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Environmental Assessment and Review Framework Project Number: 43405 November 2010 Proposed Multitranche Financing Facility Georgia: Urban Services Improvement Investment Program United Water Supply Company of Georgia (UWSCG) Government of Georgia ABBREVIATIONS ADB - Asian Development Bank AP - Affected Person CWRD - Central and West Asia Region Department DQMEP - Department of Quality Management & Environmental Protection EA - Executing Agency EARF - Environmental Assessment and Review Framework EEC - Environmental Expertise Conclusion EIA - Environmental Impact Assessment EIP - Environmental Impact Permit EMP - Environmental Management Plan GoG - Government of Georgia GRC - Grievance Redress Committee GUSIIP - Georgia Urban Sector Improvement Investment Program IA - Implementing Agency IEE - Initial Environmental Examination MDDP - Municipal Development and Decentralization Project MDF - Municipal Development Fund MFF - Multi-tranche Financing Facility MoEPNR - Ministry of Environmental Protection and Natural Resources MoRDI - Ministry of Regional Development & Infrastructure NGO - Non-Governmental Organization OSPF - Office of the Special Project Facilitator OCRP - Office of the Compliance Review panel PIU - Project Implementation Unit IPMO - Investment Project Management Office REA - Rapid Environmental Assessment USWCG - United Water Supply Company of Georgia NOTE In this report, “$” refers to US dollars. iii CONTENTS I. INTRODUCTION 1 II. ASSESSMENT OF LEGAL FRAMEWORK AND INSTITUTIONAL CAPACITY 4 A. National Legislation 4 B. ADB Policy 5 III. ANTICIPATED ENVIRONMENTAL IMPACTS 7 IV. ENVIRONMENTAL ASSESSMENT FOR PROJECTS AND COMPONENTS 9 A. Environmental Assessment Procedure 9 B. Preparation of Initial Environmental Examinations (IEE) 11 C. Preparation of Environmental Impact Assessments (EIA) 11 D. Procedure to be followed for Projects requiring EIP 12 V. CONSULTATION, DISCLOSURE AND GRIEVANCE REDRESS 13 A. Consultation & Disclosure 13 B. Grievance Redress Mechanism 14 VI. INSTITUTIONAL ARRANGEMENTS AND RESPONSIBILITIES 17 A. Responsibilities and Authorities 17 B. Institutional Capacity and Development 18 C. Staffing and Budget 20 VII. MONITORING AND REPORTING 23 APPENDICES Appendix 1: Map of Protected Areas in Georgia (List and Map) Appendix 2: Government of Georgia Surface Water Guidelines Appendix 3: Government of Georgia Drinking Water Guidelines Appendix 4: Government of Georgia Wastewater Disposal Standards Appendix 5: REA Checklists – Water Supply & Sewerage Appendix 6: Outline of EIA/IEE Report Appendix 7: DQMEP Organizational Chart Appendix 8: Environmental Safeguard Compliance Process Flowchart Appendix 9: Organizational Capacity Assessment of DQMEP Appendix 10: Terms of Reference for Environmental Management Specialist (DC) Appendix 11: Terms of Reference for Environmental Management Specialist (SC) Appendix 12: Terms of Reference for Environmental Management Specialist (DQMEP) LIST OF TABLES Table 1: Other National Environmental Legislations and Applicability ................................... 5 Table 2: Anticipated Environmental Impacts & Mitigation Measures ..................................... 8 Table 3: Environmental Criteria for Project Selection............................................................. 9 Table 4: Training Plan .......................................................................................................... 20 Table 5: Environmental Management Cost of Each Subproject........................................... 21 Table 6: Estimated Costs of EARF Implementation ............................................................. 22 1 I. INTRODUCTION 1. This document is the Environmental Assessment and Review Framework (EARF) for the Asian Development Bank funded Georgia Urban Services Improvement Investment Program (or the Investment Program). This is prepared to adequately address the ADB Safeguard Policy Statement (2009) requirements and is to be endorsed by the Georgian government. The objective of preparing this EARF is to provide a formal structure through which the environmental impacts of new and amended subprojects can be assessed and mitigated by the Executing Agency in the future, in compliance with the ADB policy. 2. The Investment Program was developed as the Government’s response to the lack of adequate and/or safe water supply, sewerage and sanitation in urban areas of Georgia. This is intended to optimize social and economic development in select urban areas (provincial capitals and secondary towns) through improved urban water and sanitation (WSS) services, and will be financed by the ADB through its Multi-tranche Financing Facility (MFF).With a total cost of $625 million, this Investment Program will be implemented in six selected towns (Figure 1) in four tranches of funding over a period of 8 years beginning in 2011. 3. The Investment Program will improve infrastructure through the development, design and implementation of a series of subprojects, each providing improvements in a particular sector (water supply and/or sewerage) in one town. Subprojects will rehabilitate existing infrastructure and/or create new and expanded infrastructure to meet the present and future demand. Water supply improvements will include source augmentation and headworks, pumping systems, treatment facilities, transmission and distribution network; and, sewerage improvement works will include sewer network, trunk sewers and sewage treatment facilities. 4. The Investment Program will improve the health of residents in the urban centers of Kutaisi, Poti, Marneuli, Zugdidi, Anaklia and Mestia. The outcome of the Investment Program is improved WSS services in these urban centers. (i) The first tranche will improve water supply intake and treatment facilities in Zugdidi, Anaklia, Mestia and Marneuli. It will also improve the institutional effectiveness of the UWSCG through appointment of the Management Contractor. Design engineering and construction supervision consultants for all six Investment Program towns will be appointed in the first tranche. Detailed engineering design for all six Investment Program towns is planned for completion by end 2011. (ii) The second tranche will (a) improve WSS systems in the first zone of Marneuli, Kutaisi, Poti, and Zugdidi; (b) complete WSS systems in Anaklia and Mestia; and (c) complete construction of the sewage treatment plants (STP) in Mestia. (iii) The third tranche will (a) improve WSS systems in the second zone of Kutaisi; (b) complete WSS systems in Poti and Zugdidi; and (c) complete construction of STPs in Poti and Zugdidi. (iv) The fourth tranche will complete WSS systems and the STP in Kutaisi. 5. Tranche 1 of this Investment Program, with a total cost of $ 105 million, includes following subprojects: (i) Improvement of water supply system in Marnueli (rehabilitation of existing bore holes, new disinfection facility, laying of transmission line, rehabilitation/ construction of reservoirs, and pumping systems) 2 (ii) Improvement of water supply system in Mestia (new source development, laying of transmission mains, construction of water treatment plant and construction of reservoirs) (iii) Improvement of water supply system in Zugdidi and Anaklia (new source development, laying of transmission mains, construction of water treatment plant and rehabilitation of existing reservoirs) 6. Ministry of Regional Development and Infrastructure (MoRDI) is the Executing Agency (EA) and United Water Supply Company of Georgia (UWSCG), is the Implementing Agency (IA) of the Investment Program. The EA will be responsible for compliance with ADB procedures, including environmental and social safeguards as required under ADB’s Safeguard Policy Statement (SPS) 2009. This EARF assesses the requirements of Georgian environmental law and ADB safeguards policy, and describes the procedures that both the EA and IA will follow to ensure safeguard compliance by all projects under every tranche of the Investment Program. Before Investment Program appraisal this EARF will be translated into Georgian and distributed to all interested stakeholders and the English version will be posted on the ADB website. 4 II. ASSESSMENT OF LEGAL FRAMEWORK AND INSTITUTIONAL CAPACITY A. National Legislation 7. The Georgian system of environmental assessment and environmental permitting was established in 1997 through the enactment of Laws “On Environmental Permits” and “On State Ecological Expertise”. At present, the environmental permit procedure in Georgia is set-out in the following laws: (i) Law of Georgia on Environmental Impact Permit, 2008. This Law supersedes the earlier Law on Environmental Permit, 1997, and establishes the procedure of obtaining Environmental Impact Permit (EIP), and notifies activities or projects that are subject to ecological expertise (EE, see below) for issuing EIP. The Law describes the procedures and duties and responsibilities of the project proponent and the permit issuing authority, Ministry of Environmental Protection and Natural Resources (MoEPNR). (ii) Law of Georgia on State Ecological Expertise, 2008. This Law supersedes the previous Law on Ecological Expertise, 1997, and defines the basic principles of ecological expertise. Ecological expertise is a review of the EIA document, submitted in support of an EIP application and is undertaken by a commission composed of independent experts for different impacts and from various disciplines related to the project profile. A positive Ecological Expertise Conclusion (EEC) is a must for issuing the Environmental
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