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Summary Environmental Impact Assessment of The SUMMARY ENVIRONMENTAL IMPACT ASSESSMENT OF THE MEIZHOU WAN POWER PROJECT IN THE PEOPLE’S REPUBLIC OF CHINA April 1996 2 CURRENCY EQUIVALENTS (15 April 1996) Currency Unit - People’s Republic of China Yuan (Y) Y1.00 = $0.1197 $1.00 = Y8.3522 ABBREVIATIONS CO2 - Carbon Dioxide COD - Chemical Oxygen Demand DO - Dissolved Oxygen EIA - Environmental Impact Assessment FEPB - Fujian Electric Power Bureau IFC - International Finance Corporation MOEP - Ministry of Electric Power MZWRDMC - Meizhou Wan Regional Development Management Commission NEPA - National Environmental Protection Agency NOx - Nitrogen Oxides NO3 - Nitrates PRC - People’s Republic of China SO2 - Sulfur Dioxide SO4 -Sulfates SS - Suspended Solids SWEPDI - South West Electric Power Design Institute TDS - Total Dissolved Solids TSP - Total Suspended Particulates WEIGHTS AND MEASURES °C - degree Celsius ha - hectare km - kilometer km2 - square kilometer m-meter m3 - cubic meter mg - milligram Nm3 - normal cubic meter MW - megawatt NOTES In this Report, the symbol "$" refers to the US dollar and "t" refers to metric ton. 3 CONTENTS Page A. Introduction 1 B. Description of the Project 1 C. Description of the Environment 3 D. Anticipated Environmental Impacts and Mitigation Measures 7 E. Alternatives 13 F. Cost-Benefit Analysis 14 G. Institutional Requirement and Environmental Monitoring Program 14 H. Public Involvement 15 I. Conclusion 16 4 A. Introduction 1. This environmental impact assessment (EIA) for the Meizhou Wan Power Project was prepared by the South West Electric Power Design Institute (SWEPDI). The previous version of the report, prepared in accordance with the environmental regulatory requirements of the People’s Republic of China (PRC) and the environmental guidelines of the Export and Import Bank of the United States, was reviewed and approved by the Ministry of Electric Power (MOEP) and the National Environmental Protection Agency (NEPA) on 5 September 1995. The revised report incorporated further design modifications to enable the power plant to meet the environmental standards of the PRC and the environmental guidelines of the International Finance Corporation (IFC), which is cofinancing the Project. This report was reviewed and approved by MOEP on 12 December 1995. Subsequently, IFC accepted the report as complete on 25 January 1996. 2. The Meizhou Wan Power Project will be the first, wholly foreign-owned, independent power project to be developed and financed on a build-operate-transfer (BOT)1 basis in the PRC. 3. This summary EIA presents a synopsis of baseline data and field methods used in preparing the EIA report, and incorporates the results and conclusions of the EIA along with comments by local agencies. B. Description of the Project 1. Plant Capacity and Location 4. The Project includes the construction of Phase I of the Meizhou Wan Power Project (the Project), consisting of two 360-megawatt (MW)-class coal-fired units; actual net output of 362 MW per unit at 20 degree Celsius (°C) sea water temperature and gross output of 392 MW per unit (the Plant), and related facilities including a 50 kilometer (km) transmission line from the Plant to the nearest substation. The total cost of the Project is $852 million. The Plant will be located at Talin Village, Zhongmen Town, Putian City, in the Fujian Province (Latitude: N25.10°, Longitude: E119.42°). It is located to the southeast of the port city of Xiuyu, and is approximately 30 km to the south of Putian City. Expansions of the Plant in Phases II and III are being considered by the Fujian Provincial Government for future development. The geographical location of the Plant and a site layout are shown in Appendixes 1 and 2. 2. Flow Diagram 5. The coal fuel will be shipped via sea to a mooring location at Meizhou Wan in the vicinity of the Plant. The coal will be transported by barges from the coal ship to the unloading wharf, where it will be transferred onto a conveyor belt system and delivered to the coal yard. At the coal yard, a bucket wheel type unloader-reclaimer will either unload the coal to the storage piles, or transfer it to another conveyor belt and deliver the coal to the power block. 1 The Plant will be built by Fujian Pacific Electric Limited Liability Company (the Borrower), with a 23 years concession period, and transferred at the end of 23 years to the Fujian Government. 5 6. At the power block, the coal is transported through the coal silo and four pulverizers to the low nitrogen oxides (NOx) burners of the boiler. The flue gas passes through the boiler, economizer, air preheater, and electrostatic precipitator, and is drawn through the induced draft fans and emitted through the 210 meter (m) high stack. The fly ash and bottom ash will be transported via covered trucks to the ash disposal area located on the intertidal area south of the power block. 7. High pressure-high temperature steam will be developed in the steam generator and pass to the steam turbine generator to generate electricity. The electricity will be dispatched to the provincial electric network via main transformers. 8. A once-through cooling system, using sea water, is employed for the Plant. Sea water is pumped through an offshore intake structure to a shoreline pump station, and via two circulating water conduits to the Plant. The heated water from the condensers is discharged back to the bay through an offshore submerged discharge structure. 9. An industrial wastewater treatment system, which consists of facilities for pH neutralization, sedimentation, and oil separation will be provided at the Plant. A secondary sewage treatment system will also be provided to treat the domestic wastewater generated at the Plant. The quality of the treated effluent will be monitored. After meeting the discharge standard, part of the effluent will be recycled for spraying for dust control at the coal and ash storage areas, and part will be discharged to the circulating water discharge system to be released to the bay. A flow diagram for the Plant is shown in Appendix 3. 3. Source of Coal 10. The coal fuel for the Plant for Phase I will be purchased from the Kaltim Pinang area in Indonesia initially. It will be transported by ships with self-unloading facility to Meizhou Wan. The coal from Kaltim Pinang is characterized by its low sulfur content (0.44 percent based on ultimate analysis), and low ash content (6 percent based on ultimate analysis). When the coal produced in the Pingshuo area of the Shanxi Province becomes available, the Plant may also burn a blend of the coal from Indonesia and PRC. The blending ratio will depend on the coal availability, the emission limit, and characteristics. The maximum percentage of the coal from Pingshuo used in the blend is estimated to be 60 percent, based on current data about the coal from Pingshuo and Kaltim Pinang. The coal from Pingshuo has a sulfur content of 0.9 percent and an ash content of 12.61 percent, based on ultimate analysis. The characteristics of the coal from both Pinang and Pingshuo are shown in Appendix 4. 4. Source of Freshwater 11. The freshwater for the Plant will come from the Dongzhen Reservoir located 45 km to the north of the Plant site. The pipeline delivering water to the site will be built by the Putian 6 City to the boundary of the Lippo development area.1 From the development boundary, the Project will build a pipeline to deliver water to the Plant. The freshwater supply is guaranteed by the Putian Government. The local government has plans to connect Dongzhen Reservoir with two other reservoirs to provide a flexible water supply under extreme drought conditions. 5. Plant Access Road 12. The Plant may be accessed by road from Putian. The existing 2-lane, asphalt- paved road connects Putian to Zhongmen, approximately 35 km apart. A section of this road, from Putian to Wusi, is currently being widened to 4 lanes and repaved with concrete. The construction will be completed by July 1996. From Zhongmen to Dongpu, the existing 6 km dirt road is being replaced by a 24 m wide, 4-lane, concrete-paved road. The construction is expected to be completed by May 1996. From Dongpu to the site, at a distance of 2 km, the existing road is a 7.5 m wide, compacted, dirt-based, unpaved road. Under the Project, the last 2 km connection will be constructed to complete access to the Plant. 6. Transmission Lines 13. The transmission lines will be built by the Fujian Electric Power Bureau (FEPB). Under the Project, a loan will be provided to FEPB to finance the construction of a transmission line. FEPB is solely responsible for the engineering, procurement, construction, and all environmental protection issues related to the transmission lines. FEPB is currently conducting a grid interconnection study to optimize the transmission line routing and design. C. Description of the Environment 1. Physical Environment a. Geology 14. Talin is located on a peninsula that extends into the middle of the bay (Meizhou Wan). It is surrounded on the south, west, and north sides by the bay. The land connection is approximately 10 km long. The main navigation channel in the bay is located approximately 1,500 m to the west of the Plant. Extensive intertidal areas cover the south, west and north coasts surrounding the Plant. The Talin Village covers an area of approximately 4 to 5 square kilometer (km2). There are no commercial or industrial facilities in this agricultural village. The site for the Plant is located on a rectangular section of land bordered by Shanwei Hill to the west and Tincuo Hill to the east. The site selected is relatively wide and flat with topographic elevations varying from 5 to 12 m Yellow Sea Datum.
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