PLANNING STRATEGY FOR DEVELOPING PILOT ECO INDUSTRIAL ESTATES IN

September 1, 2005 Issues & Concerns Environmental Concerns in Industrial Estates Improper Siting: • Adequate ‘designated sites’ in Master/Regional Plans do not exist • Environmental aspects not usually considered in site selection (EIA recently made mandatory) • Designated sites in Master Plan are not necessarily based on env. Considerations Environmental Concerns Within the Estate: • Lack of proper layouts • Lack of infrastructure • Lack of appropriate management structures for the estate Environmental Concerns Outside the Estate: • Haphazard development of housing areas • Over exploitation of resources eg. water • Impact on surrounding land uses viz. habitation, agriculture, forests etc. • Stress on already inadequate supporting infrastructure viz. roads, hospitals etc. • Haphazard development of industry based activities Comparison of Existing Industrial Estate Sites (1) IDA Jeedimatla, IDA Nacharam, IDA Mallapur: . Size of the industrial estates vary between 200 and 800 acres

. Estates are loose agglomeration of self containing small companies which occupy rather large plots

. Sites are not well planned. Installation of any common utilities and waste treatment with pipe network will be (too) expensive due to long distances.

. Roads are open to public thereby posing risks to transport of materials/chemicals

. There is no proper drainage/sewerage system

. Electrical distribution is by the Power Company to the individual industries

. There are very limited common services, the only common services being mainly roads, lighting and storm water drains (exception IDA Jeedimatla with CETP) IDA Jeedimetla IDA Nacharam/IDA Mallapur SEZ Visakhapatnam SEZ Visakhapatnam SEZ Visakhapatnam SEZ Visakhapatnam SEZ Visakhapatnam SEZ Visakhapatnam Vizag Steel Plant:

Total site : 22,000 acres land

Land under plant : about 1,300 acres (plant might expand to a maximum of 6,000 acres)

Rest of the land is under forest, housing, water reservoirs etc. Comparison of Industrial Estate Sites (2)

. Bayer Chemical Park at Leverkusen – about 1,000 acres, since 1891, 26200 employees . Caojng SCIP Park – 5,560 acres, investment of 35-50 billion US$ . Chemical Park Dormagen, 600 Ha, Since 1917, 9600 employees . Chemical Park Krefeld-Uerdingen, since 1877, 300 Ha, 9500 employees . Industrial Park Brunsbüttel, since 1973, 420 Ha, 1300 employees

. Sites in Andhra Pradesh are generally not well planned. . Sites occupy large land and are loosely agglomerated with units. . Estates rarely have common services. . Land under individual industries is large. . Investments at the sites are extremely low as compared to the estates in the other parts of the world.

In Andhra Pradesh, General India Steel Company 22,000 acres 1,300 to 6,000 acres Pharmaceuticals 2,200 acres 200 acres Chemical parks Varying 1000 acres AP SEZ site 9,300 acres Trends in Modern Industrial Estates Outside India

. Modern estates are well planned . Have large infrastructure corridors and well planned services . Site Master Planning is well prepared to accommodate units properly . Investments per unit area of the estate are very high. . Estates employ very large number of people per unit area of the estate. Eco Industrial Estate: Objective & Definitions Eco Industrial Estates: Objectives

To minimize conflicts between “industry” and “environment” while ensuring: . Industrial development compatible to social, environmental and economic needs . Improved economic performance of industries and investment safety . Harmonious development around the estate

MoU signed between GTZ and partners in June 2004 India to take up Pilot work started for 2 existing estates and one upcoming estate in Andhra Pradesh in India Definitions (1)

Eco Industrial Estate: An industrial estate that has no adverse conflicts between “industry” and “environment” and ensures: a) industrial development is compatible to social, environmental and economic needs b) improved economic performance of industries and investment safety c) harmonious development around the estate

. Accommodates several industries which are legally separate entities. . Site is owned and operated by a single company (private or non-private) called as Eco Industrial Estate Operator. . All the services on the site are conducted directly by this company. . Infrastructure/services are provided by the Eco Industrial Estate Operator or are carried out by third parties (one or more independent infrastructure companies) exclusively for the company. . Environmental considerations are adequately in-built. Definitions (2)

Eco Industrial Estate Operator:

. Company which owns the land on which the EIE is built and therefore fulfils the role of owner/landlord.

. Operator provides or organises wide range of services. Some of the services are mandatory for all EIE users - emergency management, security, fire, power supplies etc.

. Operator holds a relatively strong position and sometimes takes on the role of site manager in relations with the outside world. Definitions (3)

Eco Industrial Estate Operator …… (2) The EIE Operator is responsible for: . Management inside the EIE . Safety and security of the EIE . Marketing of the APSEZ and the integration of new investors . Further development of the EIE . Communication with the neighbourhood

Responsible Care: Commitment to the global Responsible Care initiative to bring about continuous improvement in health, safety and environmental protection. - Responsibility: all companies of EIE, EIE Operator Definitions (4)

EIE users: All companies in the EIE but not EIE operator.

EIE Committee: The EIE management structure is responsible for everyday life on the site. The common decision-making body is the EIE Committee. It holds regular meetings and all companies of EIE are represented on the committee and enjoy voting rights for taking decisions.

Investors: The Investors have bought or rented lots inside the EIE. They are planning, building and operating their plants in the EIE. They are responsible for the security and safety inside their plants. They can benefit from all the synergies available at the EIE. These include the wide range of material and product networks, access to research and development groups, mastery of key innovative technologies, provision of human resources support, commercial success together with other companies at the EIE and the offerings of the Service Companies. Definitions (5)

ECO Aspects of Eco Industrial Estate: . Minimal conflicts between “industry” and “environment” . Improved environmental performance of individual industries . Harmonious/compatible development around the estate . Appropriate site layout plans with safety aspects . Maintaining of environmental quality . Greenery inside, buffer zones to outside . Resource conservation at the site . Waste water management and safe disposal . Industrial and hazardous waste management . Common utilities (power, steam ….) . Efficient environmental management - Centre for Safety, Security and Environment [serves as emergency response centre (fire, chemical hazard, incidents); monitors eco-relevant data] Advantages of Eco Industrial Estate

. Investors can concentrate on core business . Increased efficiency . Environment friendly – many preventive, control and management measures inbuilt . Economy of scale for services . Optimized shared services . Optimized synergies . Marketing advantage for foreign investors . A high level of acceptance of the site in the surroundings . One window to authorities and neighbourhood . This is generally requested from international investors . This is nowadays standard for world class EIE Eco Industrial Estate: Planning Strategy for Siting Regional Environmental Assessments

Scale : 1250,000

Suitability to Air Polluting Industries

SITE SUITABILITY TO AIR POLLUTING INDUSTRIES MAP J (without Considering water pollution) H A N R MAP -5 K H # A N D M U R S H I D A B A D # Hindusthan Cables Town

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- w r D H a h u - r S B g a a é p r BD d u Not Suitable For A1, A2, A3 Category Of Industry R r d ailw é T ay h E o a x m H p To ow a r n e K r s a o h C s lk Raina - I w a h t Not Suitable For A1, A2 Category Of Industry And Possible For A3 Category Of Industry With BAT a a o y Air pollution Env. Zone-1 Zone-2 Zone-3 Zone-4 r d

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g Note: 'Consent To Establish' Is Required in All Cases a b m a (> 7km) r A Y Executed By: o L T H Source: O G WEST BENGAL STATE COUNCIL O i) Degree Sheet No. 73M, 73N; Survey of India. H ii) District Planning Series Map, Barddhaman 1995, NATMO. OF SCIENCE AND TECHNOLOGY, 2005 iii) District Map, Barddhaman (Directorate of Land Records & Survey, Kolkata) iv) Holistic Development Plan, Barddhaman, 1997, Barddhaman Jila Parishad Funded By: v) District Industry Center, Barddhaman & Durgapur vi) District Information & Cultural Office, Barddhaman vii) Geoinformatics & Remote Sensing Cell, DST, Govt. of West Bengal. CENA2TRAL POLLUTION CONTRONotL BOA SuitableRD Not Suitable Not Suitable Possible Suitable (5 to 7 km)

A3 Not Suitable Not suitable Possible Suitable Suitable (2 to 5 km) SuitabilitySITE SUITABILI TtoY T OWater WATER PPollutingOLLUTING IND IndustriesUSTRIES MAP J

H A MAP -10 R Chittaranjan K N # (without considering air pollution) H A N D

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# hw Town a é r R ‘consent to establish’ is required in all cases. . g a b Source: m a Note: 'Consent To Establish' Is Required in All Cases r A Y o L T H i) Degree Sheet No. 73M, 73N; Survey of India. Executed By: O G ii) District Planning Series Map, Barddhaman 1995, NATMO. O H iii) District Map, Barddhaman (Directorate of Land Records & Survey, Kolkata) WEST BENGAL STATE COUNCIL iv) Pollution Control Board Regional Office, Durgapur. Water pollution Env. Sensitive Zones/ High Medium Sensitivityv) Holistic D evelopment Plan,Low Barddhaman, 19Sensitivity97, Barddhaman Jila Parishad OF SCIENCE AND TECHNOLOGY, 2005 vi) Environmental Management Plan of Asansol-Durgapur Industrial Corridor, West Bengal Pollution Control Board. Funded By: sensitivity Areas to be avoided Sensitivity Zone vii) District Industry Center, Barddhaman & DurZonegapur. viii) District Information & Cultural Office, Barddhaman. CENTRAL POLLUTION CONTROL IndustryBOARD Zone ix) Geoinformatics & Remote Sensing Cell, DST, Govt. of West Bengal. category W1 Not Suitable Not Suitable Not Suitable Possible (very high potential)

W2 Not Suitable Not Suitable Possible for Possible (high potential) limited number with BAT W3 Not Suitable Not suitable Possible Suitable (medium to high potential) Site Suitability SITE SUITABILITY MAP J N H A MAP -11

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A # Town Y i) Degree Sheet No. 73M, 73N; Survey of India. o L T Executed By: G H ii) District Planning Series Map, Barddhaman 1995, NATMO. O iii) District Map, Barddhaman (Directorate of Land Records & Survey, Kolkata) O WEST BENGAL STATE COUNCIL H iv) Pollution Control Board Regional Office, Durgapur. v) Holistic Development Plan, Barddhaman, 1997, Barddhaman Jila Parishad OF SCIENCE AND TECHNOLOGY, 2005 vi) Environmental Management Plan of Asansol-Durgapur Industrial Corridor, West Bengal Pollution Control Board. Funded By: vii) District Industry Center, Barddhaman & Durgapur. viii) District Information & Cultural Office, Barddhaman. CENTRAL POLLUTION CONTROL BOARD ix) Geoinformatics & Remote Sensing Cell, DST, Govt. of West Bengal.

About 74 sq.km. of land is available for industries with high pollution potential Environmental Assessments for Search Areas IDENTIFICATION OF STUDY AREA (Based on Zoning Atlas)

MAPPING (land use, environmentally sensitive zones, environmental quality, resource areas etc.)

UNSUITABLE ZONES (areas to be avoided)

CANDIDATE SITES FOR INDUSTRIAL ESTATE (environmental and socio-economic considerations)

LAND USE SENSITIVITY ASSESSMENT

AIR POLLUTION SENSITIVITY ASSESSMENT

WATER POLLUTION SENSITIVITY ASSESSMENT

RECOMMENDATIONS

Scale : 50,000 Environmental Impact Assessment (EIA) for Selected Site(s)

As per the Notification of the Ministry of Environment & Forests (MoEF), Govt. of India, (July 2004) EIA has to be taken up for establishing any industrial estate having area more than 50 Ha.

. Consent to establish needed from State Pollution Control Board after „pubic hearing‟

. Clearance o be issued by MoEF

Scale : 50,000 Eco Industrial Estate: Scope in Existing & New Estates Scope of EIE in Existing Estates . Improvement in site layout & design including planning for vacant plots . Improvement in infrastructure – roads, drains, plantation, parking for trucks, storage etc. . Improvements within the individual industries . Waste minimization including recycle, reuse . Process improvements . Common wastewater treatment . Industrial/hazardous waste management . Improvement in fire, safety and security including improvement in disaster preparedness . Improvement in estate organization/ management . Green belts, landscapes, buffer zones . Improvements around the site viz. rejuvenation of polluted water body Road Map for Existing Sites

. “Status Report” to be prepared – site details, plot-wise details etc.

. Environmental Management Plan to be prepared – CETP needs, process improvement needs etc.

. Follow-up actions: • Designing of needed facilities –drainage, CETP, waste management etc. • Planning for vacant plots • Installing appropriate estate management/ organization including training • Waste minimizations, process improvements etc. in individual industries Scope of EIE Strategy in New Sites: Challenges for Developing SEZ into EIE

Has over 35,000 population in the vicinity Strategy for Developing SEZ into EIE (1)

Develop SEZ Visakhapatnam as integrated Eco Industrial Estate and not as just an agglomeration of industries. Estate to have proper Master Planning and Design

. Investor concentrates on core business Detailed Master Plan required . Separation/Zoning of heavy & light industries and services . High density of production units, infrastructure and investment . Many common service offered . Many synergies . Organisation by own EIE-Management Strategy for Developing SEZ into EIE (2) Adequate Services to be provided in the Estate

. Site Safety, Fire, Security . Infrastructure and Real Estate (roads, rail, truck terminals, warehousing, pipe networks, chemical storage facility … . Environmental Services – CETP, marine outfall, incineration, landfill site, Emergency/disaster management … . Energy Services – Uninterrupted power, Steam, Water, Refrigeration, Compressed air, Natural Gas ….. . Public Relations . Technical Services – consultancy, permits… . Health, Laboratory (monitoring & analysis), Business services – post, telecommunication, petrol/diesel pumps, bank etc. . Estate management & administration Strategy for Developing SEZ into EIE (3) Considerations for Developing Layout Plan: . Existing plantation on the site should be undisturbed to the maximum extent. . Existing landscape should be retained to the extent possible so that the estate is tucked into it.

. The area is prone to cyclones. Casuarinas Plantation and similar other measures are needed.

. EIA has to be undertaken . Requirements of environmental laws viz. compliances with environmental standards (source standards, ambient standards), environmental impacts, hazardous waste management rules

. CRZ regulations to be complied with Strategy for Developing SEZ into EIE (4) ECO Aspects of Eco Industrial Estate:

. Minimal conflicts between “industry” and “environment” . Rationalized shape and size of the estate and no adverse environmental impacts . Improved environmental performance of individual industries . Harmonious/compatible development around the estate . Appropriate site layout plans with safety aspects . Water harvesting, treated domestic sewage/cooling water reuse, improved water tables . Maintaining of environmental quality . Greenery inside, buffer zones to outside . Resource conservation at the site . Waste water management and safe disposal . Industrial and hazardous waste management . Common utilities (power, steam ….) . Efficient environmental management - Centre for Safety, Security and Environment [serves as emergency response centre (fire, chemical hazard, incidents); monitors eco-relevant data] Strategy for Developing SEZ into EIE (5)

Considerations for Developing Layout Plan: . Zoning of industries . Location of heavy & light industries, services . Definition of block sizes and width of infrastructure corridors . Drainage concept . Electricity distribution concept; substations . Definition of utility and wastewater networks as steam, compressed air; potable, industrial and fire fighting water . Logistics concept . Access to road, rail and sea . Location of logistic hub, warehouses . Major investors are requested to submit Master Plan for their lot Strategy for Developing SEZ into EIE (6) Considerations for Developing Layout Plan: Strategy for Developing SEZ into EIE (7) Considerations for Developing Layout Plan: Strategy for Developing SEZ into EIE (8) Considerations for Developing Layout Plan:

Rail line (existing)

Rail connection

Ganagavaram Port (new)

Infrastructure Corridor Natural Gas Line

SEZ Site

Bay of Bengal

Marine Outfall Road Map for SEZ

Phase I : Conceptual Planning

Phase II : Detailed Planning/designing

Phase III : Implementation

Phase IV : Operational Road Map for SEZ: Phase I Activities (1)

Task 1: Pre-feasibility Study and EIA

. Assess likely industrial demand . Assess preliminary infrastructure needs . Assess site area requirements . Assess social impacts . Prepare preliminary site layout plans . Undertake EIA . Obtain environmental clearances Road Map for SEZ: Phase I Activities (2)

Task 2: SEZ requirements into Visakhapatnam Master Plan

. Assess SEZ requirements in the city Master Plan Rail/road corridors Gas lines Water Housing Ancillary industries Etc. . Interact with VUDA for incorporations Road Map for SEZ: Phase I Activities (3)

Task 3: Capacity Building Needs of APIIC

. Assess infrastructure building needs and install Office facility Equipment, hardware/software

. Assess training needs Levels of staff Training needs (including overseas visit-cum-exposure) Implement training Thank You