Environment Management Plan - an Investment Program of Water & Sewerage SPLLC-Tagovishte

REPUBLIC OF BULGARIA Public Disclosure Authorized MINIlSTRY OF REGIONAL DEVELOPMENT AND PUBLIC WORKS

MUNICIPAL INFRASTRUCTURE DEVELOPMENT

PROJECT

DRAFT ENVIRONMENT MANAGEMENT

Public Disclosure Authorized PLAN /EMPI

VOL. 10 Public Disclosure Authorized

Investment Program of Water & Sewerage SPLLC - Dobrich

Public Disclosure Authorized October, 2007

Omonit Consult LLC, 17 G. Benkovski Street, Sofia 1000 phone.: 021980-21-16; fax: 021980-04-68 Environment Management Plan. an Investment Program of Water & Sewerage SPLLC Dobrich

1. General ...... 3 1. 1. Purpose of the Project ...... 3 1.2. Bank's Requirements and Documents...... 3 1.3. Role of the EMP ...... 4 2. Initial Information Review ...... 4 2.1. Selection Principle for Projects included in the Investment Program of Water & Sewerage SPLLC . Dobrich Projects for the Period 2008.2012 ...... 4 2.2. Brief Description of Projects Included in the Investment Program of Water & Sewerage SPLLC .Dobrich ...... 5 3. Analysis of the possible environmental impacts of the Project ...... 6 3.1. Positive impact ...... 6 3.2. Adverse Impacts ...... 7 3.3. Adverse Impacts during Construction ...... 7 3.4. Adverse Impacts during Operation ...... 10 4. 1Mitigation Measures against Potential Environmental Impacts due to Implementation of the Investment Program. during the construction phase and during the operation phase ...... 10 5. Monitoring ...... 13 5.1. Monitoring and control during construction: ...... 13 5.2. Monitoring and control during operation ...... 13 6. Conclusions and Steps Recommended to Ensure Performance of the EMP...... 15 7. Consultations and Public Discussions - Discussion of the Positive and Adverse Impacts, Routine Consultations and NGO ...... 15

APPENDICES:

Annex 1 Contract Provisions Annex 2 Environmental Impact Mitigation Program for the Construction and Operation Phases Annex 3 Construction Phase Monitoring Program Appendix A. Regulations applicable to the Project

Appendix B. Abbreviations used Maps and layout plans of Dobrich Photos of typica.1sites of routes and facilities

- Ornonit Consult SPLLC. 17 G. Benkovski Street. Sofia 1000 phone ..02/980.2 1.16. fax:02/980-04-68 2 Environment Management Plan - an Investment Program of Water & Sewerage SPLLC Dobrich

1. General

The government of R. Bulgaria requested the World Bank's assistance in financing of activities related to the Municipal Infrastructure Development Project which will help Bulgaria to comply to the European Union's directives on potable and waste water and the environmental protection factors in the investment schemes that will be acceptable and eligible for financing from the European Union's Structural Funds and are not covered by other EU grants. The Project, part of which is this Environment Management Plan /EMPI, encompasses the completion of water-supply dams (Neykovtsi, Plovdivtsi and Luda Yana) where construction was suspended in the last decade, and rehabilitation of the wall of an operating dam (Studena Dam), as well as rehabilitation of the water supply system of six companies providing water and sewerage services (Dobrich, Razgrad, Dobrich, Smolian, Stara Zagora and Targovishte).

1.1. Purpose of the Project

The general purpose of the Project is to ensure better water supply and responsible use of the water resources underlying the state policy for sustainable development of the water sector. That objective is completely in the spirit of the National Strategy of Bulgaria for Environmental Protection (2005 - 20 14) that envisages ,,provision of good-quality water and sufficient water supply for all purposes".

The purpose of the Project will be achieved by means of:

- improvement of the conditions of water supply for domestic & drinking needs in selected regions; - ensuring the required quantity and quality of potable water; - reduction of losses in the water supply network; - improvement of the reliability and efficiency of water supply systems and facilities; - provision for environmental requirements and regulations with respect to the systems; - enhancement of the operators' management and operating capability.

1.2. Bank's Requirements and Documents.

The overall environmental category of the proposed Project is A in line with Bank policies with individual investments that belong to both category A (the proposed dam completion activities and category B (the rehabilitation of water networks). Based on the proposed Project Investments the following World Bank's safeguards policies and procedures are triggered: OP/BP 4.01 Environmental Assessment; OP/BP 4.12 Ornonit Consult SPLLC, 17 G. Benkovski Street, Sof~a1000 phone.:02/980-21-16; fax:02/980-04-68 3 Environment Management Plan - an Investment Program of Water & Sewerage SPLLC Dobrich

Involuntary Resettlement; OP/BP 4.3 7 Safety of Dams; and OP/BP 7.50 Projects on International Waterways. Furthermore, adequate protection and maintenance of ecosystems downstream of the dams should be assessed during project preparation to determine the relevance of the OP/BP 4.04 Natural Habitats and OPIBP 4.36 Forestry safeguard policies. Also, given the possibility that proposed water companies might implement projects in cities with historic districts, the OPN 11.03 Cultural Property safeguard policy might be triggered. The following documents will be prepared by the Government of Bulgaria prior to project appraisal: (1) Environmental Framework of the Project (EF) for all proposed subprojects; (2) Environmental Due Diligence Report (EDR), including, in summary, assessment of the site conditions and assessment of the possible environmental impacts related to completion and operation of the proposed three dam sites; (3) Environment Management Plans (EMP) on investment in rehabilitation of the water distribution networks in which the contract provisions for construction works will be specified /See Annexes 1, 2 and 31 related to application of the technical standards and other requirements relevant to the construction phase. 4) project Land Acquisition Policy Framework that will outline the process to be followed in case there is land acquisition needed for the project; and (5) Social Due Diligence for the three dam sites that presents an overview of the past land acquisition process carried out by the Government.

1.3. Role of the EMP

The present Environment Management Plan was developed by the Consultants Team of Omonit Consult SPLLC by assignment of the Ministry of Regional Development and Public Works (MRDPW) and contains a main, explanatory part, Contract Provisions /Annex11 on environmental protection, Environmental Impact Mitigation Program /Annex21 including appropriate environmental protection measures that will help to mitigate the negative impacts arising from the construction of new facilities and rehabilitation of the water supply system of Water & Sewerage SPLLC - Dobrich, and the attendant costs, as well as an Environmental Monitoring Program /Annex 31, pointing out to the parties in charge of the implementation of that program that, in the detailed documents of the works, they shall ensure adherence to all provisions related to environment and to the correct implementation of all environmental protection measures. The monitoring Plan includes information on the inspections in the course of realization, internal and external monitoring and assessment, as well as a reporting system. The plan presents cost estimates of the environment management measures and the time schedule of their performance.

2. Initial Information Review.

2.1. Selection Principle for Projects included in the Investment Program of Water & Sewerage SPLLC - Dobrich Projects for the Period 2008-2012.

Omonit Consult SPLLC, 17 G. Benkovski Street, Sofia 1000 phone.:02/980-21-16; fax:02/980-04-68 4 Environment Management Plan - an Investment Program of Water & Sewerage SPLLC Dobrich

Selection of the sites proposed for financing from the loan granted by the World Bank was performed after analysis and assessment of the condition of the individual components of the water supply systems serving all municipalities within Dobrich District - Dobrich Municipality, Balchik Municipality, Kavarna Municipality, Shabla Municipality, General Toshevo Municipality and Tervel Municipality. The total number of residents served by Water Supply and Sewerage SPLLC - Dobrich is 206 580. The high percentage of losses reaching 78% of the quantity fed into the system and the number of the residents affected by water supply interruptions (19 000 residents for the region included in the investment program) are the criteria by which priorities were defined in the selection of sites in the Investment Program. As a whole, the region's environment is not polluted mainly due to the absence of pollution sources and the priority assigned to development of agriculture instead of industry. The pollution (of water, air and soils) caused by a set of human activities are neutralized naturally, thanks to the stable quality of the natural environment and its fast recreation capability.

2.2. Brief Description of Projects Included in the Investment Program of Water & Sewerage SPLLC -Dobrich.

Centralized water supply in Dobrich District is provided to all 213 settlements. The water supply is mainly of the pump type served by a considerable number of reservoirs and pump stations, with total length of the pump system network 3 393 km,of them head mains - 1 562 km street water supply network - 1 831 krn. The water supply network is built using mainly asbestos-cement pipes ( over 85% ), with expired service life and high wear rate causing serious water losses (78%). About 60% of the ground where the water mains network was laid consists of highly collapsible (in case of humidification) geological formations - loess and loessal clays. That has an adverse effect on the worn-out water supply network. The discharge rates of water sources in the service territory of the W&S operator depends on the precipitations and in the cases of prolonged draughts water rationing has to be imposed. An example of that is July 2007 when rationing was imposed in the village Durankulak with 541 residents. Raw water is drawn from 2 1 1 underground water sources (drainages, captations, pits and deep drill wells). There is no potable water purification plant (PWPP) in that district, so the water is fed to the consumers only after disinfection. The quality of the ground waters is adversely affected by the unfinished sewer networks and town waste water treatment plants (TWWTP) and by the application of bad agricultural practices. Deviations from the physico-chemical indicators are most frequently observed with respect to turbidity and color ". The increased nitrate content is a serious problem of the quality of raw water. The Program envisages reconstruction of head water mains, restoration of Riltsi 3 Pump Station (PS), construction of a pressure reservoir with V = 500 m at Shabla 2 PS, and replacement of the street water mains in regions with frequent accidents and poor quality of the water supply service. Consideration is also given to the higher health risk to the population, due to the failure to supply potable water of the required quality all the year round, in conformity with Regulation IVo. 91 16.03.2001.

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The total length of head water mains subject to reconstruction is 35 620 m, of them 20 700 m head water mains with diameters 110 mm - 200 mm, the routes of which cross the boundaries of the urban territories, and the length of the street water mains network is 14 920 m and diameters 90 mm. - 31 5 mm. Replacement of the local branch-off to the buildings is envisaged.

3. Analysis of the possible environmental impacts of the Project

The analysis is based on the present state of components and environmental factors, and their possible development in connection with the investment intentions of W&S SPLLC, Dobrich for the reconstruction of water supply facilities in the Dobrich District. The main problems, conclusions, recommendations and mitigation measures are defined in conformity with the goals defined in the Terms of Reference (TOR).

3.1. Positive impact

With the modernization and development of the water-supply infrastructure, water rationing is avoided which, on the one hand, will lead to more efficient management of the water supply system, and is, on the other hand, of great significance to human health and improvement of the local residents' quality of life. 3.1.1. Positive environmental impact - The reasonable consumption of water resources is of primary importance not only to this but also to the future generations. With implementation of the projects actual reduction of unreported water flows will be achieved which will result in reduction of the water quantities delivered at the inlet end of the water supply system and saving of an ecological resource. The smaller number of accidents guarantees also operation reliability. The replacement of asbestos cement and steel pipes by pipes made of high-density polyethylene (HDPE) permits application of modern pipe laying technologies while eliminating, in the process of operation, the health risk for consumers arising from secondary pollution of the potable water. 3.1.2. Positive social effect -The proposed Program fits successfully into the regional strategy for balanced and sustainable development of Dobrich, with actual contribution to improvement of the quality of provided water supply service to the population of the selected settlements. The contemplated measures will help to enhance the regional competitiveness and level of development, and manifestation of its advantages within the country's general development strategy. With improvement of the conditions in the urban environment and less urbanized territories related to it, beneficial conditions for development of the local tourism will be created. Opening of temporary jobs at the construction works is a prerequisite for social and economic stabilization of the respective region.

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3.2. Adverse Impacts

During construction, the territories coming under the easement of head main routes will be affected mainly during the construction phase due to the increased emissions of certain noxious substances, fine dust particles and other pollutants generated by the operation of earth-moving building machines and transport activities, handling of earth and bulk building material, layer compaction, etc. During operation, a negative impact on the landscape, protected zones under NATURA 2000, natural habitats of rare species and common heritage can be expected as a result of accidents and/or incidents.

3.3. Adverse Impacts during Construction

The negative impacts during construction are mainly direct, temporary (within the construction phase), short-time and localized, without any cumulative effect.

3.3.1. Due to the nature of the contemplated works

Disrupted water supply in the region of activities. Potential deterioration of potable water quality upon a change in the water supply arrangements. Scattered materials and machines on the construction sites- pipes, reinforcement iron, pieces of castings, damaged building machines, etc.; creation of unregulated disposal sites for construction debris and spoil material. Improper handling and waste treatment during replacement of the asbestos-cement pipes. Disruptions of the transport traffic and the attendant inconvenience to residents.

3.3.2. Due to material fype and use

During construction, increased levels of fine dust concentrations in the air can be expected in the event of failure to apply the preventive measures during transportation, storage and placing of the aggregate materials used.

3.3.3. Due to construction debris and waste generated at the construction site

Waste generated during construction at each of the work sites, according to the national classifier is: domestic solid waste, construction debris, waste fuels and lubricants, and less probable: hazardous, pints and varnishes. Domestic solid waste generated by the construction workers is handled together with that generated by the residents or urban territories. There is no provision for opening of any canteens or kitchens. The domestic solid waste from sites outside settlements will be collected in containers and disposed of in the nearest landfill. Waste generated during dismantling of asbestos-cement pipes will be treated in conformity with the normative requirements (items 17 and 18 of Appendix A).

3.3.4. Free Air

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It is assumed that the operation of building machines and transport vehicles at any construction sector creates pollution by dust and exhaust gases. Due to the limited dimensions of the sectors such pollution is local, however in the urban tenitories it may exceed the permissible concentration limits (permissible concentration limits, PCL).

3.3.5. Noise and Vibrations

Objects of impact by the "noise" factor will occur mainly during construction or refurbishment of the street water supply network in the settlements. The noise limits set for them are different depending on their function (item 23 of Appendix A).

Residential areas: daytime - 55 dB(A), evening - 50 dB(A) and at night - 45 dB(A). Central urban areas and areas subjected to busy motor vehicle traffic: daytime - 60 dB(A), evening - 55 dB(A), at night - 50 dB(A). Educational activity and leisure areas: daytime - 45 dB(A), evening - 40 dB(A), at night - 35 dB(A). Medical facility areas: daytime - 45 &(A), evening - 35 dB(A), at night - 35 dB(A). The noise sources during refurbishment of water mains and facilities, and during new construction are various transport and building machines and plants such as: dredger, front loader, asphalt cutter, compactor, asphalt laying equipment, roller, compressor, heavy-duty cars, with noise limits within the range 80 dB(A) - 92 dB(A). Noise levels considerably exceeding the above-indicated sanitary limits can be expected near the operating machines. The impact of high noise levels will last for a limited time period - till completion of the works in the respective sector of the water supply network. An increase of the overall acoustic load in that region of construction activities occurs also in the case of idle running building and transport machines.

3.3.6. Water

Release of effluent with excessive concentration of chlorine and chlorine-based reagents in open water courses during the startup and adjustment of the refurbished or newly built water mains and facilities.

3.3.7. Soils

The soils are an acceptor of all harmful impacts in the environment and thus present a potential risk to human health. Erosion, floods, landslides and landfalls are factors that can cause environmental problems during both construction and operation phases. Improper disposal of construction debris and domestic solid waste may also cause soil pollution and degradation.

3.3.8. Flora

According to data from the W&S operator and the Dobrich District Administration, the investment projects do not belong to the Natura 2000 territories under the Habitats Directive and no rare or endangered species are destroyed. Expropriations from the forest and agricultural fund andlor temporary use indemnifications shall be effected as required. Ornonit Consult SPLLC, 17 G. Benkovski Street, Sofia 1000 phone.:02/980-21-16; fax:02/980-04-68 8 Environment Management Plan - an lnvestment Program of Water & Sewerage SPLLC Dobrich

3.3.9. Fauna

In the course of construction of head water mains the habitats situated along the route will be left by the animal species, part of which will return to their old habitats upon completion of the construction and recultivation works.

3.3.10. Landscape

The scale of contemplated rehabilitation and new construction is small and no significant impact on the landscape is expected. After completion of the construction the urban environment will be restored (pavement, curbs, side walks), and with recultivation along the head main routes (technical and biological), the landscape will be restored.

3.3.11. Health Factor

Health risks for the population: - Risk of excessive noise due to operation of the building machines. That noise is not permanent but with temporary effect only. The effect is disturbing and irritating. - Work in the open precludes the negative health effect of combustion gases and asphalt evaporations. Health risks to the workers: - Adverse weather conditions having in mind the need to work "in the open all the year round" in an environment with considerable temperature amplitudes. High temperatures are a risk factor of incidents such as thermal andlor sun shocks. Too low temperatures increase the frequency of colds, diseases of the skeletal/muscular and peripheral nervous system. - The drivers of building machines will be subjected to excessive noise levels of the order 80-100 dB(A). Noise has an adverse effect on the hearing and central nervous system resulting in somnopathy, development of neurotic conditions and arterial hypertension. - The drivers of building machines will be subjected to general and local vibrations. They injure the vestibular apparatus, the locomotory system and the parenchymal organs, the sensory and circulatory systems of the fingers. - With the limited scope of excavation and refurbishment works and work in the open air, no adverse health effect is expected by air pollution. - The labor traumatism risk is highest in the case of manual excavation and erection works. - In the case of hard physical work involving lifting and carrying of excessive loads, there is higher risk of diseases of the locomotory and nervouslmuscular system.

During the construction the working environment factors can have certain effect on workers' health. Such effect is temporary and will be minimized if measures for protection of the workers' health and safety are undertaken.

3.3.12. Common Heritage

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According to information from competent authorities there are no historical, architectural and archaeological monuments along the routes of the proposed sites. In the event of an unforeseen find the Bulgarian legislation provides for the necessary action (item 8 of Appendix A).

3.4. Adverse Impacts during Operation

More significant in-operation negative impacts occur in the event of improper disposal of domestic waste generated on the facility site by the operating staff, excessive noise levels /sanitary limit 70dB(A)/ and failure to implement the Emergency and Accident Action Plan in the respective circumstances.

4. Mitigation Measures against Potential Environmental Impacts due to Implementation of the Investment Program - during the construction phase and during the operation phase.

The present EMP contains mitigation measures against the negative environmental impacts that are referred to the above-listed potential impacts, and will be applied in the course of Project performance and after its implementation.

During construction:

4.1. For normal functioning of the water supply system in the regions that will be affected by the works, autonomous and/or alternative water supply should be organized for the time of construction and startup.

4.2. The repair works contemplated by W&S SPLLC, Dobrich of some facilities, pressure reservoirs, pump stations, chlorinating plants, head water mains, town water supply networks, allow, with appropriate organization, perfect matching of the construction/erection works (CEW) to the uninterrupted operation of the water supply system. As required, alternative water supply is ensured for cases of time extension announced by the operator.

4.3. In cases of modification of the water supply pattern the operator shall provide additional quantities of chlorine and chlorine-based reagents for disinfection of the drinking water with a view to preventing adverse health effects to the population.

4.4. It is recommended to use with priority non-excavation technologies that permit minimization of the environmental impacts. Digging up of the streets is avoided. Besides, changes in traffic organization are reduced.

4.5. Construction debris is deposited in landfills defined by permits. Earth masses in the urban territories as well as in the country are stored temporarily along the routes after which they are used for backfilling. The spoil materials /earth and rock/ are handed over to the state forestries or to interested persons.

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4.6. The humus stripped in the beginning of construction is kept at temporary disposal sites. After completion of the construction it is used for recultivation of disturbed lands.

4.7. The nearest motor depots are used for filling with fuel and lubricants.

4.8. In the event of generating any hazardous waste, including replacement of asbestos-cement pipes, a firm possessing a license for their transportation and treatment is contracted.

4.9. The transport routes crossing settlements for waste transportation to the deposit sites are agreed upon with the municipalities.

4.10. For containment of the impact mainly on the working environment and on the population, the following measures should be undertaken: water sprinkling, monitoring of the condition of machines and vehicles.

4.1 1. In the final phase of the construction, the quantities of reagents needed to neutralize the residual quantities of chlorine in the effluent from flushing and sanitation of water mains and facilities shall be defined in order to meet the requirements of environmental legislation towards the quality of such effluents and to prevent pollution of the environment (soils and open water courses) by chlorine agents.

4.12. Drinking water is delivered to the the construction site by water-carrier cars or bottled.

4.13. Bn the course of rehabilitation measures and new construction in urban territories all effluents generated in the construction process as well as neutralized water from flushing and sanitation of water mains and facilities shall be discharged into the public sewerage system or into the nearest water basin with quality corresponding to its category.

4.14. The technical condition of machines shall be checked every month for oil leaks.

4.15. The existing latrines or chemical toilettes shall be used for the sewage.

4.16. In order to prevent soil pollution, inspections of the building machines and transport vehicles shall be regularly performed. Transport vehicles shall be washed in the appointed places.

4.1 7. The transport vehicles shall be covered.

4.18. Management of head mains coinstruction shall preclude triggering of landslides.

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4.19. Blast works shall be performed after a special, contained-blast plan in order to preserve the adjacent vegetation.

4.20. In the course of rehabilitation works and construction of new facilities the destruction of ligneous and fruticose vegetation shall be minimized as much as possible, after coordination with the competent authority.

4.21. In compliance with the Bulgarian legislation (item 2 and item 8 of Appendix A) upon discovery of archaeological finds in the course of construction works the Museum of Archaeology and History shall be informed, the construction shall stop temporarily and the respective decision about their preservation shall be made.

4.22. Construction activities shall be limited within the daytime period - from 7,00 a.m.. till 7,00 p.m.

4.23. The machines and plants used shall be kept in good repair.

4.24. The exhaust pipes of the transport vehicles and building machines shall be fitted with mufflers.

4.25. Idle running of the transport vehicles and building machines shall not be allowed.

4.26. With a view to limiting the adverse effect of unfavorable weather conditions, the workers shall be supplied with work clothes suitable for the season (item 15 of Appendix A).

4.27. The workers shall be supplied with personal protection means - helmets, ear muffs, anti-vibration gloves, safety belts, etc., depending on the specifics of work (item 15 of Appendix A).

4.28. In compliance with the normative requirements (with a view to reducing physical strain, overfatigue and development of skeletal-muscular diseases), regimen of work and rest within a working day are introduced (item 15 of Appendix A).

4.29. Pursuant to the 2007 amendments of the Biological Diversity Act crossing of NATURA 2000 territories shall be reviewed for compliance by the National Office for Protection of Nature at Ministry of Environment and Water (item 6 of Appendix A).

According to the Bulgarian legislation (item 3 of Appendix A), aggregate materials, concrete mixes and asphalt products used may be supplied only by enterprises possessing the respective license for their extraction and production. With respect to waste, the requirements of the Waste Management Act are met at all stages of the construction. The measures for impact mitigation and improvement of the effects related to investments in rehabilitation and new construction at water supply sites will be included in the Technical Specification to the Construction Contract. Contractual support is an indispensable prerequisite for implementation, by the Contractor, of all needed measures for

Omonit Consult SPLLC, 17 G. Benkovski Street, Sofia 1000 phone.:02/980-21-16; fax:02/980-04-68 12 Environment Manaeement Plan - an Investment Proaram of Water & Sewerage SPLLC Dobrich protection of the environment on the site itself and outside it and to limit the damage and inconvenience to people as a result of pollution, noise and other consequences of the construction works. The Contractor shall make sure that, by implementation of the indicated measures that the air emissions, surface run-off and treated effluents, noise and vibration impacts, etc., resulting from the activities performed do not exceed the levels stipulated by the applicable laws (items 3,4,5,9,10 and 12 of Appendix A). Preservation of the natural components is achieved through establishment of integration connections with the anthropogenic landscape components which, at the same time, will result in improvement of the visually aesthetic value of the environment. Coordinated action with the local state and Municipal authorities and the competent environmental protection and public health bodies is an important prerequisite for successful implementation of the planned rehabilitation measures and new construction in the water transfer network.

During operation: 4.30. The domestic waste generated by the plant operation staff will be collected in containers as it was done before, and transported to the solid waste landfill by garbage trucks. 4.3 1. The workers shall be equipped with ear muffs. 4.32. The Emergency Action Plan defines the required environmental impact mitigation measures and the staff needed in such circumstances. The plan is developed by the Operator and reviewed by the local municipal administration.

5. Monitoring

The contemplated model of monitoring for implementation of the environmental impact mitigation measures was adopted so as to cover all aspects and requirements in conformity with the law and good engineering practice

5.1. Monitoring and control during construction:

The adopted form of monitoring includes a specific description of the monitoring measures and is designed to cover all aspects in the construction process (related to the adverse impact mitigation measures proposed in the adverse impact mitigation plan) with the parameters to be measured, methods to be applied, points of sampling, measurement intervals, concrete description of the organizational structures and reporting procedures.

5.2. Monitoring and control during operation At the operation phase monitoring for the sites envisaged by the project will be performed by the Operator Organization in conformity with the regulatory requirements.

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Organization of EMP application and reporting:

Monitoring and reporting will be applied entirely by the Contractor's management. The Contractor shall exercise everyday monitoring of the normal environmental practices by presentation of regular reports. These reports shall be addressed to the institutions indicated in the normative requirements and once in a month - to the Employer /Engineer/. The Contractor shall appoint its specialist in charge of the environmental aspects of the Project. The Engineer auditing the process shall report on the performance of environmental impact mitigation measures included in the Technical Specification to the Contract; on the correct understanding and application of EMP by the Contractor; on assurance of the relevant steps; on keeping correct record of any discrepancies, on the conducting of briefing and training, emergency aid measures, and shall evaluate and correct the Contractor's reports. The Engineer shall report on the EMP performance and progress to the Employer every month. The respective government institutions will be involved in auditing of all environmental protection and social measures and the progress on the Project by receiving regular reports in conformity with the normative requirements. The Project Management Unit (PMU) established at the MRDPW shall keep and store the documentation required by law and by contract. On the basis of the Engineer's reports and site visits as required, EMP performance and progress reports will be presented to the World Bank every six months.

Institutional Responsibilities in Implementation of the Environment Management Plan

Making of decisions on Responsibilities for I environment management 1 impact mitigation and Reporting relations I /start of action, expense I performance (who reports to whom) authorization, completion/ monitoring and intervals 1 Institutions or I Activities 1 persons in charge I MRDPW /Employer/ Contractor to Engineer Monitoring of Engineer RIEW /monthly/ EMP Supervisor, contact RIPQPH Engineer: performance person appointed IAE to MRDPW by Employer Municipality to RIEW /MRDP W/ /monthly/ RIEW Project ~ana~ementUnit MoEW (NNPU) at the MRDPW to the RIPQPH

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6. Conclusions and Steps Recommended to Ensure Performance of the EMP.

According to the developed Environmental Impact Mitigation Program (Annex 2) and Environmental Monitoring Program (Annex 3), the Contractor is not required to provide additional facilities involving significant costs. The recommended steps needed to ensure performance of the EMP are: a) Provide for funds for implementation of the adverse impact mitigation measures and EMP performance monitoring by including it in the Technical Specifications to the Construction Contract. b) Obtain the Contractor's correct understanding of the steps and resources required for environment management, the required steps and measures being evaluated and offeredl. c) Discuss the EMP at preliminary clarification sessions. dl) After signing of the Contract, the Employer shall officially familiarize the Contractor with the prevention and impact mitigation by means of the EMP included in the Contract and the implementation of monitoring. The main problems, conclusions, recommendations and negative impact mitigation measures are defined in conformity with the objectives set in the Terms of Reference. In the longer term, with the proposed investment projects, EMP implementation and through application of good engineering practices for optimization of the set of activities in the process of producing and supply of drinlung and washing water to the population, the objectives of responsible use of water resources set in the government's policy for sustainable development of the water sector are achieved without any risk to the environment and with a beneficial effect on the life quality of the population, which leads to the conclusion that the Project is beneficial.

7. Consultations and Public Discussions - Discussion of the Positive and Adverse Impacts, Routine Consultations and NGO

In connection with the Municipal Infrastructure Improvement Project and more particularly, with implementation of the Investment Program of Water & Sewerage SPLLC - Dobrich for the period 2008-2010 funded from a World Bank loan, the Environment Management Plan was announced publicly at the W&S SPLLC - Dobrich and to the Municipality of Dobrich.

EMP announcement Place of Comments made What was date announcement incorporated 1 2 3 4 22.10.2007 W&S SPLLC - No objections, comments Dobrich, on the or recommendations notice board were received within the 15-day time limit.

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DOBRICH MUNICIPALITY

WATER MAIN REHABILITATION IN A PASSABLE SEWER IN THE TOWN OF DOBRICH

Excerpt from a cadastral plan with plotted existing water supply network within a passable sewer along ''~5~~sePtemberm street and "Bulgaria" street. Rehabilitated sector length - 650 m., diameter 31.5 mm HDPE.

REHABILITATION OF WATER MAIN INSPECTION PIT BRANISHTE - VILLAGE OF BRANISHTE

Excerpt from a chart with indicated route of the reconstructed water main sector from inspection pit Branishte to the village of Branishte with length 2000 m, diameter 140 mm HDPE.

REHABILITATION OF RILTSI PUMP STATION

Excerpt from map with plotted Riltsi PS and water main route to a reservoir 2x1500

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SHABLA MUNICIPALITY

CONSTRUCTION OF PRESSURE RESERVOIR AT SHABLA-2 PS

Excerpt from a map with outlined zone of Natura 2000.

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Photos of typical sites along the routes and at some facilities Investment Program of Water Supply & Sewerage Company SPLLC - Dobrich Municipal Infrastructure Upgrading Plan

Riltsi Pump Station

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Borehole well in the area of Riltsi Pump Station

Overhead transformer kiosk at a deep borehole well at Riltsi Pump Station

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Deep borehole well at Riltsi Pump Station

Present-day condition of the borehole and the zone

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3 Environment Management Plan - an Investment Program of Water & Sewerage SPLLC - Dobrich

The center of the town of Dobrich, pedestrian zone - water main rehabilitation inside a passable sewer

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Annex 1 Contract Provisions

The Construction Contract shall include the environmental impact mitigation requirements that shall be met by the Contractor(s) and the environmental protection measures to be adopted by the Contractor(s). Everywhere further below the term ,,Contractor7' shall be interpreted as any Contractor.

General The Contractor shall adopt all measures to protect the environment on the construction site as well as off the site, and to limit the damage and inconvenience to people and property due to pollution, noise, and other consequences of its acts. The Contractor's activity shall meet the requirements of all Bulgarian laws and bylaws related to environmental protection. The technology proposed by the Contractor shall be in conformity with the Environment Management Plan. The Contractor shall submit an Environmental Impact Mitigation Program and a program of monitoring the performance of the respective measures based on the provisions in this Environment Management Plan /Annex2 and Annex 3 to it/, prepared at the Conceptual Design Phase and included in the Technical Specifications of the Contract. The Contractor shall make sure that the air emissions, surface run-off, treated waste water, etc., resulting fiom its activity do not exceed the levels indicated in the Contract specifications and will not exceed the levels required by the applicable law. The Contractor shall provide the means, information, consumables, certified teams, tools and manpower needed for efficient test runs (sampling) wherever required. The Contractor shall nominate one of his senior staff members to be responsible for follow-up of the implementation of the provisions of the environmental plan as well as for the guidance of the rest of the staff and reporting to the Engineer. The ~n~ineer'shall be in charge of monitoring and verification of the overall construction compliance to the Environmental Impact Mitigation Plan and of the absence of any deviations fiom it or from the Contract. The Engineer shall have the right to interrupt the Conltractor's work if the conditions of the approved environmental plan are not met.

Permits The Contractor shall be in charge of drawing up and approval of the documentation and site-specific information:

Technologies and methodologies utilized by the Contractor; Specification of basic materials for potable water supply and of the natural resources to be used (quantity and quality): i.e. all raw material, including gravel, fill, and bituminous materials as well as fuel and energy; Specification of final work output; ,List and characteristics of harmful substances utilized;

' The person appointed by the Employer

Omonit Consult LLC, 17 G. Benkovski Street, Sofia 1000 phone.:02/980-21-16; fax:02/980-04-68 1 Environment Management Plan - Investment Program of W&S SPLLC - Dobrich - Annex 1

a Particular measures ensuing from the climate conditions in the region of works, from the meteorological characteristics and coefficients of emission into the atmosphere; Specification of water supply sources and treatment of waste water; a Investigation and obtaining of directions for disposal of humus and/or spoil material and/or construction debris from the construction site; List of harmful substances generated in the production process by the Contractor a Emissions from construction equipment and transport vehicles.

Solid waste from construction and construction camps Treatment of the natural material excavated during construction shall be done in conformity with the applicable law and respective permits: The humus layer (wherever there is any along the line routes) is reclaimed, deposited in the sites indicated in the permits and utilized on the terms and procedure of the existing Regulation on Humus Utilization. Clean soil material (Spoil Material) that is not reusable shall be removed from the site and deposited in accordance with the existing regulations in the sites indicated in the permits. The Contractor has the following obligations with respect to the waste generated in the process of construction or auxiliary activities: Construction debris and related waste shall be removed from the site in an orderly manner and disposed of in accordance with the existing regulations in the sites indicated in the permits. The Contractor shall make arrangements for regular collection and removal of the solid waste from the construction site and construction camps to the respective disposal sites. When construction takes place in urbanized areas the solid waste is managed through the local waste collection and disposal systems of the respective municipalities. In the event of generation of hazardous waste (including asbestos containing materials) the Contractor shall contract a firm possessing a license for its treatment.

Protection of Vegetation The Contractor shall undertake the necessary reasonable action to protect the green system, in conformity with the national and local regulations where the construction is both outside and inside the boundaries of urban territories. Perennial ligneous vegetation may be destroyed only on the basis of a permit for clearing issued by the respective verdurization authorities and in conformity with the regulation on developing and protection of the green system in the territory of the respective municipality. In the event of construction within protected areas, the Contractor shall declare that it is familiar with and will not perform operations prohibited by the Protected Areas Act and will have such requirement observed by the Contractor's staff. Measures for compliance of the Project with the National Authority of Nature Protection requirements shall be adopted.

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Blasting works shall be performed after a special contained-blast plan in order to protect the nearby vegetation. Grassed and park areas of the urban territory disturbed during construction shall be restored as part of the Contractor's obligations for restoration of the vicinity. Outside the settlements, recultivation along the routes of the works shall be performed.

Noise control The Contractor shall follow all the existing laws and regulations concerning the noise control and limiting the discomfort to the population and the workers. The Contractor shall propose and adopt effective measures both in management and technology to minimize noise, such as: The machines and plants used shall be maintained in good repair; The exhaust pipes of vehicles and building machines shall be fitted with muffles; Idle running of vehicles and building machines shall not be allowed. In residential areas, work shall be performed within the working hours (9:CJQh. - 17:00h.), and in the vicinity of medical facilities and kindergartens the noise-generating activities shall be interrupted between 14:OOh and 16:OOh.; All noise not relating to the construction shall be avoided as far as possible.

Dust control The Contractor shall follow all the existing laws and regulations concerning the mitigation of dust impact on the environment in construction works and propose and follow measures for control of that parameter. The Contractor shall submit and coordinate a plan indicating the proposed routes for aggregate material or construction debris transport. The Contractor shall suppress the dust generated during operation of the equipment, cover the transport vehicles delivering aggregate material, sprinkle water at the sites and during earth works.

Traffic Deviation and Measures: Temporary Traffic Management Plan The applicable Bulgarian regulation requires from persons performing construction or repair works to undertake steps to design and apply a Temporary Traffic Management Plan (TTM). In most cases, the Temporary Traffic Management Plan is prepared in advance as part of the Investment Project, and delivered to the Contractor together with the Water Supply Detailed Engineering Design. The TTM Plan shall be reviewed by the National Road Infrastructure Fund /the district road administration / the municipal administration, (depending on the class of road sector where construction is going on) as well as the control authorities of fhe Ministry of Internal Affairs minimum 15 days before the commencement of construction. Where the Plan is drawn up by the Contractor, the Engineer's approval shall be obtained within 28 days prior to the commencement of the construction, after which the approval of the above-mentioned institutions shall be sought. The Temporary Traffic Management Plan shall indicate the proposed plan of safe road traffic, including all construction details, temporary lighting and signing, etc., matching the work performance milestones. The Draft Plan shall cover the entire construction site and the access to it and shall include: an Explanatory Note; Layout of the road (street) sector; scope of the work site; a TTM diagram indicating: a) type and location of the lighting and signing with road marking, road signs, traffic lights, and other means of signalization in the work sector with the required elevations and dimensions; b) by-road diagram and its traffic signing and lighting, including access roads to individual properties; c) specification of the devices and materials needed for lighting and signing and TTM implementation. The Temporary Traffic Management Plan

Omonit Consult LLC, 17 G. Benkovski Street, Sofia 1000 phone.:02/980-21-16; fax:02/980-04-68 3 Environment Management Plan - Investment Program of W&S SPLLC - Dobrich - Annex 1 should also indicate the manner in which pedestrian traffic will be controlled where required. During construction works, the Contractor shall have the following responsibilities related to TTM application: inspect the condition and maintain in good repair the planned lighting and signing (signs, traffic control devices, marking, etc.), including night lighting, both during work and in the parts of the day; coordinate maintenance of traffic operations with the Engineer and the Traffic Police; review work areas, equipment operation and storage, and material handing and storage related to traffic safety; prepare and submit to the Engineer for approval a program for adoption of precautions for work during the winter period, containing: proposed precautions prior to the onset of winter; and proposed maintenance of existing traffic thoroughfares within the Site of the Works during the winter period; adopt all precautions required for safe work in winter - limit the excavation work, inspect and maintain the pedestrian bridges, etc. Where a Temporary Traffic Management Plan is prepared in advance as part of the Investment Project, all activities related to its implementation will be known in advance before the date of submission of the construction performance proposals and their detailed inclusion in the Bill of Quantities will be possible. In the event that the Contractor will be in charge of preparation and implementation of the TTM Plan, it can be included in the Bill of Quantities only as general items.

Soil Erosion The Contractor, under the Engineer's supervision, shall adopt all reasonable measures for erosion control and prevention during construction.

Construction supplies (Materials used in the Construction) The Contractor shall meet the following general requirements towards the construction supplies used: they shall be of an origin indicated in advance, established and meeting the normative requirements shall be evaluated as complying with the substantial requirements to construction and meet the Technical Specifications in conformity with applicable legislation; and shall be accompanied with relevant documents (statements of compliance, certificates of compliance, test reports, etc.), evidencing their conformity with the normative regulations. Aggregate materials for backfilling (sand, gravel, rubble), beside the above-listed, shall be accompanied by a certificate evidencing that the borrow pits by which they are supplied possesses the needed license for their extraction. The above-listed general requirements shall apply to pipeline building supplies that will be in contact with potable water. At the construction site, materials shall be kept in the designated locations to avoid possible pollution of soil, water courses, etc.

Protection of Water Resources and Soils The Contractor shall carry the full administrative and legal responsibility for any pollution of surface waters and soils according to the existing legislation, caused by its acts or acts of its employees. The Contractor shall ensure that no oil products, fuel, lubricants, detergents, paint or other harmful substances are introduced into the soil, streams and irrigation or basins. Filling or service maintenance of any machinery or transport vehicles shall be restricted to the nearest filling station. In the event that filling has to be performed on the construction site, the appropriate devices shall be used. The discharge of oil and fuel onto

Omonit Consult LLC, 17 G. Benkovski Street, Sofia 1000 phone.:02/980-21-16; fax:02/980-04-68 4 Environment Management Plan - Investment Program of W&S SPLLC - Dobrich - Annex 1 open soils is prohibited. For prevention of accidental oil leaks, the technical condition of the machines shall be checked every month. Without overruling the above requirements, the Contractor shall submit to the Engineer an emergency action plan for hazardous spills and leakage, subject for approval before commencement of the works. The Contractor shall submit in writing to the Engineer the locations of the installations related to the provision of water, fuel, construction mixes, drainage, etc., and the distances to the nearest water supply, irrigation or draining facilities, particular green or protected areas. The above-said applies to both the construction site and the construction camp for the Contractor's staff. The nearest existing toilets or chemical toilets shall be used in the construction sites or at the workers' camps. The direct discharge of sewage from worker's camps into any water basin is prohibited.

Health, Safety and Accidents

The Contractor shall undertake at any time all precautions required and relevant to securing the health and safety of all persons that have the right to be on the construction site and near it, and adhere to all applicable safety procedures, including fire and accident safety, safety of electrical installations, safe operation of higher-risk plants, blasting and fire works etc. The applicable Bulgarian legislation (Regulation No. 2 / 22.03.2004 on meeting the minimum requirements for healthy and safe labor conditions during construction and erection works) requires preparation of a Health and Safety Plan (HSF) for construction involving risks defined in the Regulation at the investment project phase, providing for all necessary construction management and performance measures guaranteeing its safe performance. According to the applicable regulation a SHF shall contain: Organization Plan; Layout Plan; an Integrated project schedule of the sequence of Construction and Erection Works (CEW); Fire and accident prevention and fighting plans and plans for evacuation of the workers and persons present at the construction site; Safety and health measures and requirements applied to performance of CEW, inclusive of specific-risk sites; A list of plants, machines and facilities subject to control; A list of the persons in charge (with names, positions, employer) of supervision and review of individual builders' plans concerning specific-risk sites, and of evacuation, drills andlor training; diagram of the temporary traffic management and safety in the transport and evacuation routes and pedestrian catwalks and crossings on the construction site and access roads; layout of the points on the construction site where two or more builders will work; layout of the specific-risk points on the construction site; layout of the points of erection of lifting equipment and scaffolding; layout of the points on of storage of building supplies and equipment, temporary site workshops and waste containers; layout of the locations of staff rooms; layout of the utilities; plan and operation schedule of the temporary artificial lighting on the construction site and at work sites; diagram and type of disaster, accident, fire or emergency alarm devices, with a site designed for first-aid provision. According to the same Regulation preparation of the SHF is assigned by the Employer as part of the investment Project, and the Contractor is in charge of its application and updating in the course of construction.

Provision, update review, or absence of a HSF plan does not relieve the Contractor of any responsibilities to ensure the safety and health of its employees, subcontractors or any other persons on the site, or of its obligations by force of the applicable Regulation pertaining to:

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Performance of risk assessment before start of the works on the construction site and till its completion; Development and updating of safety & health instructions depending on the specific conditions on the construction site by CEW types and in the cases required by the applicable legislation; The provision of protective clothing and equipment in accordance with the regulatory framework of Bulgaria and depending on the assessment of existing professional risks in every individual case; Provision of initial and regular instruction on healthy and safe labor conditions (HSLC) to the employees; Defining, in written job descriptions, the senior staffs (engineering managers, foremen, etc.) responsibilities as well as the responsibilities of persons in charge of risk elimination in the process of work, endowed with the powers and resources needed for that purpose; The provision of a qualified officer as HSLC OfficerICoordinator who has specific knowledge of safety regulations, and experience of safety precautions and who shall advise on all matters affecting the safety of workers, subcontractors and supervising officers. The provision of safety maintenance of the facilities and equipment (electrical and lifting equipment, building machines, transport vehicles, etc.) and their continuous monitoring with a view to elimination of defects that might affect the employees' safety and health or the environment; The adherence to Bulgarian legislation on fire protection and preparation of a fire prevention and fighting plan subject to the Engineer's approval. The provision of latrines in conformity with the sanitary and hygiene requirements and fire and accident safety (FAS) requirements; The provision of instruction on handling of various materials, storage and disposal of used hazardous materials; The provision of collection, storage and transportation of waste and debris; The provision and maintenance of access to all points on the site in a safe condition fiee of injury risk; The provision of joint work of construction workers and free-lance employees, if any; the provision of collaboration with the industries in the region of or near the construction site; The provision of first-aid facilities for persons injured in an industrial accident, fire, disaster or incident; Adoption of extra measures for protection of persons working in the open in adverse weather conditions; Good order and cleanliness on the construction site; Provision of integration of the construction site into the environment, including appropriate sewerage, waste collection and disposal, etc., as required by law and in a manner satisfactory to the Engineer. This requirement applies also to auxiliary work sites, the construction camp, etc. The safety officer/coordinator appointed by the Contractor shall have the power to receive instructions from the Engineer on matters relating to the health and safety of personnel on Site and the safe conduct of site operations. The Contractor shall send to the Engineer details on every accident as soon as possible after its occurrence. The Contractor shall keep a log book and produce reports on people's safety, health and security as well as on damages inflicted on property as the Engineer may reasonably request. Considering the nature of the sites and the fact that when water supply mains are connected to existing water mains andlor facilities, the persons (the Contractor's employees) may come into direct contact with drinking water, a requirement can be set that such work may be performed solely by persons possessing personal health record book.

Common Heritage: Historical, Architectural and Archaeological The Bulgarian law defines obligations towards the persons involved in construction even in cases where it is conducted outside the boundaries and protection zones of immovable objects of common heritage.

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As required by the applicable laws and bylaws, in the event of chance finds during construction that show some signs of cultural heritage objects, the work shall cease. The Contractor shall immediately notify the Engineer, the municipal administration and the nearest museum of history, adopting at the same time precautions against moving or damaging of the finds by the Contractor's staff or other persons. . The measures for preservation of the find shall be adopted under the Engineer's and competent persons' guidance.

Social Issues The Contractor should adhere to the basic principles of corporate social responsibility in the relations with its staff, business partners and the local community. The Contractor shall adhere to all labor laws applicable to the Contractors' staff, and shall provide for all legitimate rights of its employees demanding, at the same time their adherence to all applicable laws including the laws to labor safety and health. The Contractor shall adopt, at any moment, all precautions to prevent unlawful or unruly behavior and violations of the order by or among the Contractor's staff as well as for preservation of peace and protection of persons and property near the Site against such behavior In the case of construction in protected areas, the Contractor shall declare that it is informed about and will not perform any prohibited operations under the Protected Areas Act and will monitor the adherence to that requirement by the Contractor's staff. Beside adherence to the measures for mitigation of adverse impacts on the environment and the population due to performance of the Project listed in other sections, the Contractor shall meet the following requirements: The operations conducted shall be adapted to the uninterrupted operating mode of the water supply system; Scheduled interruptions of water supply shall be conducted after notification of the residents concerned; Alternative water supply shall be provided upon water supply interruptions lasting longer than the one instructed by the Operator of the W&S system.

Supervision and Monitoring Without relieving the Contractor of its obligation for permanent compliance control, the Engineer will be in charge of the monitoring and verification of compliance of the overall construction work with the Environmental Impact Mitigation Plan and of making sure that there are no deviations from it or from the Contract.

Payment All costs associated with environmental protection will be considered as being covered by the overall payments specified in the Construction Contract. All costs entailed in sampling and testing for environmental purposes shall be deemed to be included in the prices and rates entered by the Contractor in the Bill of Quantities.

Omonit Consult LLC, 17 G. Benkovski Street, Sofia 1000 phone.:02/980-21-16; fax:02/980-C4-68 7 Environment Management Plan - Investment Program of W&S SPLLC-Dobrich - Annex 2

Annex 2. Environmental Impact Mitigation Program

2.1. During the Construction Phase

In urbanized areas, the removed construction debris (asphalt, pavement, sidewalk paving stone, etc.) are transported and disposed of at the indicated sites in conformity with the local regulations and permits. After completion of construction the paving is restored to its initial condition. Destruction of ligneous and fruticose vegetation shall be minimized and

Before commencement of construction at the site of "Construction of a Pressure Reservoir at Shabla 2 Pump Station" and rehabilitation of water mains crossing or passing near protected areas, the required review under Natura 2000 shall be carried out. The measures of the

The minimum

measures. Environment Management Plan - Investment Program of W&S SPLLC-Dobrich - Annex 2

(where the daytime noise limit is 45 dB(A), shall cease all noise generating works between 2,00 and 4,00 p.m. when the residents are resting. Idle running of transport and construction equipment shall not be allowed. The workers shall be supplied with ear muffs. b) Dustpollution/Air quality Earth works, temporary and by-roads shall be At the The minimum The Contractor The Engineer sprinkled with water to prevent dust pollution; construction the trucks carrying fine materials such as sand site, and fine aggregate shall be covered to reduce permanently their scattering on the way. c) Trafjc disturbance during Prepare and apply a Temporary Traffic At the The minimum The Contractor The Engineer, District construction works Management Plan through appropriate construction Road Administration / measures and a clearly visible and easy to site, Municipal follow sign and light system for traffic permanent1 y administration, redirection, coordinated with the respective Traffic Police institutions in conformity with the prevailing normative system. No-excavation technology shall be applied wherever possible. Excavation-free technology shall be applied wherever possible. d) Transport andpedestrian Prepare and apply a plan for temporary traffic At the The minimum The Contractor The Engineer safety with/without ongoing organization with appropriate fencing, lights construction construction work and clear safety signs. Preparation and site, application of a safety and health plan. permanent1 y - - e) oil erosion Control of soil erosion by means of battering, At the ~hznimum ~heContrZor The ~n~ineer~ draining, and other means. construction site, permanently fl Aggregate material borrow Use only licensed borrow pits; undertake At the No extra funds The Contractor The Engineer pits preventive measures against in-transport construction required. material spilling; all vehicles shall be covered site, to avoid spilling on the way from the borrow permanently pits. - g) Water and soilpollution due Define places for material storage; isolate the At the The minimum, The Contractor The Engineer to improper storage, concrete work sites from water basins; the construction included in the management and use of areas for washing building and other site, funds for materials equipment shall be isolated from water basins permanently construction site and sites in places that do not drain into water organization. Environment Management Plan - Investment Program of W&S SPLLC-Dobrich - Annex 2

basins directly or indirectly. h) Water and soilpoNution due The wastes shall be deposited in designated At the As per bills of The Contractor The Engineer to improper waste disposal places protected from washing away, indicated construction quantities, by the authorized bodies. site, actually proven After flushing and disinfection of newly built permanently quantities at water mains and facilities, neutralize the prices accepted solution and release it in the designated places by contract. - public sewerage, or another basin. Existing or chemical toilets shall be used for sewer effluent. In the event that hazardous wastes, including asbestos-containing materials, are generated, contract a firm possessing a license for their treatment. - i) Potential water and soil Use the nearest motor depot for fuels and At the No extra funds The Contractor The Engineer pollution due to improper use of lubricants. construction required. the building equipment No waste oil from the machines /dredgers,etc./ site, shall be released in the public sewerage, in permanently gutters, rivers or any other places not indicated in the permits j) Air pollution due to improper The machines and plants used shall be At the No extra funds The Contractor The Engineer maintenance ofthe equipment maintained in good technical condition. construction required. Idle running of transport and construction site, equipment shall not be allowed.. permanent1 y k) Labor safety Follow the safety and health plan; provide At the The minimum The Contractor The Engineer briefings daily and at regular intervals as construction required by the regulations; use personal site, protection means; safe organization of by-pass permanently traffic. I) Archaeologicaljinds All archaeological finds discovered during the On the The Contractor The Engineer, NlCH works shall be treated in conformity with construction site and AIM Bulgarian laws. Upon finding of - upon archaeological objects the Contractor shall discovery of promptly inform the Engineer, the municipal archaeological administration and the nearest museum having finds taken measures for preservation of the find and following the competent bodies' instructions. Environment Management Plan - Investment Program of W&S SPLLC-Dobrich - Annex 2

m) Possible air, water and soil Domestic solid waste shall be collected in The Contractor The Engineer and pollution at the workers' containers and taken to the nearest landfill. construction RIEW construction camp Existing or chemical toilets shall be used for sewage effluent. Ensure proper handling of lubricants and solvents through safe storage.

2.1. During the Operation Phase

Place and time Implementation Control functions Impact due to: Impact Mitigation Measure Person in Charge of performance Funds performed by: 1 2 3 4 5 a) Water and soil pollution due 1 The domestic waste generated on the facility sites shall be On work sites, Included in the Operator MoEW and RlEW to improper waste disposal collected in containers and taken to the nearest disposal site. permanently operating costs 2. Construction debris shall be collected at a site designated by the plant management and regularly hauled to the town disposal site by special-purpose freight vehicles. 3. Hazardous waste: 3.1. Waste oils or grease shall be collected in a special pit from which they will be transferred to temporary storage vessels. After that they will be delivered to a specialized firm for processing or recycling, or deposited in the special hazardous waste sector of the waste disposal facility. They will be transported by special vehicles meeting the requirements. 3.2. Fluorescent lamps shall collected in a place specially designated for that and delivered to a specialized recycling company or deposited in the special hazardous waste sector of the waste disposal facility. They will be transported by special vehicles meeting the requirements. b Noise disturbance including The machines and plants used shall be maintained in good On work sites, By the Operator; Operator vibrations repair and meet the noise limits set in Bulgaria. permanently Included in the Employees working in rooms near the equipment that does operating costs not meet the permissible sanitary standards shall be supplied with ear muffs. Accident and Emergency Action Plan On work sites, Bv the Ooerator Ooerator

,,OMOHMT-KOHCYI~T"008,yn. ,,r. ~~HKOBCKM"NO 17, Co+#n 1000 ~en.:02/980-21-16; KC: 02/980-04-68 4 Environment Management Plan - Investment Program of W&S SPLLC-Dobrich - Annex 2

c)Force Majeure events and Icontingencies I I occurrence of I L I I an event 1 I I I The investment program of W&S SPLLC - Dobrich does not include construction of a PWPP

** Everywhere in this text Engineer means Consultant Engineer or any other expert who is appointed by the Employer and performs site supervision.

,,OMOHMT-KOHCY~T"OOA, yn. ,,T. ~~HKOBCKM"NO 17, CO@MR1000 ~en.:02/980-21-16; @a~c:02/980-04-68 5 Environment Management Plan - Investment Program of W&S Dobrich - Annex 3

- - ppppp

Annex 3: Monitoring Program for the Construction Phase

How shall the When shall the Where shall the parameter be parameter be Required What parameter shall be Organization in Impact due to: parameter be monitored?/ type of monitored? (at Funds monitored ? charge of Monitoring monitored? monitoring what intervals or /Cost/ equipment continuously) -- 1. 2 3 4 5 6 7 a) Noise and vibration Noise levels, dB(A) At and near the work Inspection and Once during the The Contractor, the places measurement by an construction works Engineer*, RIPQPH, accredited laboratory in a selected IAE, RIEW and the with the respective representative municipalities apparatus pursuant to sector and upon prevailing regulations report b) Dust pollution/Air Air pollution At and near the work Inspection and First check The Contractor, the quality places measurement by an - at the start of Engineer, RIPQPH, accredited laboratory construction; IAE, RIEW and the with the respective - sudden; municipalities apparatus pursuant to - at reg.intervals, prevailing regulations pursuant to regulations c) Traf3c disturbance Availability and At and near the work site Inspection, Before works start; during construction application of a within the scope of the observation - permanently The Contractor; the works Temporary Traffic Temporary Traffic - at intervals Engineer,RTC and the Organization (TTO) Organization (TTO) Plan municipalities Plan; traffic schemes d) Transport and Visibility and appropriate At and near the work site Observation - continuously The Contractor; the pedestrian safety methods -at regintervals Engineer,RTC and the with/without ongoing municipalities construction works e) Soil erosion Turbidity On the work site Observation Continuously The Contractor, the Engineer j Aggregate borrow pits Possession of valid Sand, rubble and rock Inspection and Before works start; The Contractor; the license for operation and borrow pits document control during Engineer origin of the aggregate performance, upon used placing of materials Environment Management Plan - Investment Program of W&S Dobrich - Annex 3

g ) Water and soil Water and soil quality for Effluent from site, Observation; -Continuously -The Contractor; pollution due to presence of suspended material storage sites; Inspection; -At reg.intervals - Engineer, IAE and improper storage, substances, oils, pH value equipment washing Check - sample -Upon RIEW management and use of collection precipitation (rain, - At prices -The Contractor materials snow etc.) and of the incident accredited laboratory h) Water andsoil Water and soil quality for The construction site and Observation; -Continuously -No extra -The Contractor; pollution due to presence of suspended service roads funds improper waste disposal substances, oils, pH value Inspection -At reg.intervals required -The Engineer, RIEW At least monthly and municipalities and upon report i) Potential water and Water and soil quality for The construction site and Observation; -Continuously -No extra -The Contractor, soilpoNution due to presence of suspended service roads funds improper use of building substances, oils, pH value Inspection -At reg.intervals required - The Engineer and the equipment sudden check At least monthly municipalities and upon report j) Airpollution due to Exhaust gases, dust The construction site Observation; -No extra -The Contractor, improper maintenance During work funds ofthe equipment required Inspection The Engineer, RIPQPH, IAE, RIEW I and the municipalities k) Labor safety Availability of personal The construction site Inspection sudden checks The Contractor, the protection means; during work Engineer, RIPQPH, instruction books; Health and Labor Inspectorate and safety checks I) Common heritage Architectural, The construction site Observation Upon discovery The Contractor, the archaeological and Engineer, NICH and historical common Inst. of Archaeology heritage with Museum m) Overall conditions at Cleanliness, collection At the construction camp Sudden check As per prevailing The Contractor, the the workers ' and removal of domestic regulations and Engineer, RIPQPH, construction camp solid waste, effluent procedures W&S treatment

* Everywhere in this text Engineer means Consultant Engineer or any other expert who is appointed by the Employer and performs site supervision Environment Management Plan - an Investment Program of Water & Sewerage SPLLC Dobrich

Appendix A

Regulation Acts Applicable to the Project

1. Water Act. Adapts the European Framework Directive on Water to the conditions in Bulgaria; 2. Structure of the Territory Act - regulates the public relations related to structure of territories, investment planning and civil works in the Republic of Bulgaria; 3. Environmental Protection Act - This act regulates the public relations in the area of: protection of the environment for the present and future generations and protection of people's health; preservation of the biological diversity in harmony with the natural biological and geographical characteristics of the country; protection and use of environmental components; control and management of the factors harmful to the environment; exercising of control on environment condition and pollution sources; pollution prevention and restriction; establishment and functioning of the National Environment Monitoring System; the environmental protection strategies, programs and plans; collection and access to information on the environment; economic organization of environmental protection activities; environmental protection rights and obligations of the State, the Municipalities, legal and physical persons; 4. Health Act. This act regulates the public relations related to protection of the citizens' health; 5. Waste Management Act. This act regulates waste management with consideration of the environment as a combination of rights and obligations, decisions, acts and activities, related to their generation and treatment as well as the forms of control over these activities. This act sets the requirements with respect to products forming hazardous or widespread wastes in the process of their generation or after their final use; 6. Biological Diversity Act. This act regulates the relations between the State, the Municipalities, legal and physical persons with respect to protection and sustainable use of the biological diversity; 7. Protected Areas Act. Regulates the categories of protected areas, their purpose and regime of protection, use, restoration and management including permitted and prohibited activities in the individual categories; 8. Monuments of Culture and Museums Act - regulates finding, protection and popularization of the monuments of culture located in the temtory of the Republic of Bulgaria; 9. Air Purity Act. The act regulates the methods of determining the air quality indicators and limits, emission restriction, rights and obligations of the respective regulating authorities, management and preservation of free air quality. The act regulates the restriction of noxious emissions from fixed and mobile sources; 10. Environmental Noise Protection Act. This act regulates the assessment, management and control of noise in the environment caused by motor, railway, air and water transport as well as industrial plants and facilities and by local noise sources ...; 11. Water Supply and Sewerage Services Regulation Act. This act provides for price regulation, affordability and quality of water supply and sewerage services provided by water supply and sewerage (W&S) operators;

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12. MH, MRDPW and MoE W Regulation No. 9/16.03.2001. on the Quality of Potable and Washing Water. W&S operators carry out, or assign to accredited laboratories the continuous and periodic monitoring of the quality of water supplied to consumers by physico-chemical, microbiological and radiological indicators; 13. MoEW Regulation No 5/08.11.2000 on the Procedure and Method of Establishing the Networks and Activity of the National Water Monitoring System. This Regulation establishes Procedure and manner of establishing water monitoring networks and regulates the activity of the National Water Monitoring Agency in the territory of the Republic of Bulgaria; 14. Regulation No.7 on air quality assessment and management. This Regulation establishes the terms, procedure and manner of assessment and management of free air quality by provisions for: conduct of the state policy of free air quality assessment and management, including improvement of free air quality in the regions where the established limits have been exceeded, and its maintenance in the other regions; credible, representative, timely and precise assessment of free air quality in the country's territory performed by the observation and monitoring systems ... ; 15. Regulation No. 2 /22.03.2004 on the Minimum Labor Health and Safety Requirements for Construction and Erection Works This Regulation defines the minimum of requirements applicable to provision of healthy and safe labor conditions at temporary and mobile construction sites; 16. Regulation No. 15 / 2 7.06.2006 on the sanitary requirements with respect to persons working at child-care facilities, specialized institutions for children and old people, water supply facilities, food production or trade enterprises, barber's shops, hair- dresser's and beauty parlors. This Regulation defines the sanitary requirements with respect to persons working at: . . ., water supply facilities and stations - pump and water treatment stations, reservoirs, chlorinating plants, water supply networks (that applies to the persons who are in direct contact with the potable water during repairs and emergency action) and sanitary protection zones of the water sources; 1 7. Regulation No.5 / 15.04.2003 on prevention and reduction pollution of the environment with asbestos. This Regulation defines requirements applicable to the prevention and reduction of pollution of the environment with asbestos for the purpose of environmental and human health protection; 18. Regulation No.9/04.08.2006 on protection of the workers against risks related to asbestos exposure during work. This Regulation defines requirements applicable to protection of workers7 health, including prevention of existing or potential risks of asbestos exposure in the process of work; 19. Regulation No.16 / 23.07.2001 on temporary traffic management in cases of construction and repair works on roads and streets. This Regulation defines the terms, procedure and means of signalization in cases of temporary traffic management in the process of construction and repair works on roads and streets; 20. Regulation on the Terms and Procedure of Performance of Environmental Impact Assessments. This Regulation defines the terms and procedure of investment proposal environmental impact assessment; 2 1. Regulation No.26 / 22.10.1996 ) on Recultivation of Disturbed Lands, Amelioration of Low-Productive Lands and Utilization of the Humus Layer. Defines the humus layer treatment during construction works on agricultural land; 22. Regulation No. 3 on the permissible limits for noxious substance concentration in soils. This Regulation sets the permissible concentration limits for noxious substances in soils;

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23. Regulation No.6 /26.06.2006 on Environmental Noise Indicators determining the discomfort degree during different parts of the day, limit values of the Environmental Noise Indicators, methods of assessment of the noise indicator levels and harmful effects of noise on the population's health; 24. Council of Ministers Decree 131/2000 Regulation on the requirements towards treatment and transportation of waste oils and oil produces. The Decree defines the requirements towards collection, temporary storage, transportation, utilization and sequestration of waste oils.

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APPENDIX B

ABBREVIATIONS USED

1. AIM - Archaeological Institute with Museum 2. W&S - Water Supply and Sewerage 3. TTM - Temporary traffic management 4. TWWTP - Town waste water treatment plant 5. EU - the European Union 6. HSLC - Healthy and safe labor conditions 7. IAE - Implementation Agency for Environment 8. TP - Traffic Police 9. MRDPW - Ministry of Regional Development and Public Works 10. MoE W - Ministry of Environment and Water 1 1. MIA - Ministry of Interior Affairs 12. MV - Motor vehicles 13. NICH - National Institute of Cultural Heritage 14. NNPA (National Nature Protection Authority) 15. NGO - Non-government Organizations 16. PWPP - Potable water purification plant 17. PS - Pump station 18. HDPE - High-density polyethylene 19. PCL - permissible concentration limits 20. SHP - Safety and Health Plan 2 1. FAS - fire and accident safety 22. EMP - Environment Management Plan 23. RIEW - Regional Inspectorate of Environment and Water 24. RIPCPH- Regional Inspectorate for Protection and Control of Public Health 25. DP - Distribution pit 26. CEW - Construction and erection works

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