IFC’s Performance Standard 6: Expectations for a good baseline and adequate metrics for hydropower projects

Presentation for Nepal workshop on Good International Industry Practices for Aquatic Biodiversity Baseline Determination and Monitoring Protocols

Leeanne E. Alonso, PhD Biodiversity Consultant to IFC April 2016 IFC Performance Standards 2012 PS1: Assessment and Management of Environmental and Social Risks and Impacts PS2: Labor and Working Conditions PS3: Resource Efficiency and Pollution Prevention PS4: Community Health, Safety and Security PS5: Land Acquisition and Involuntary Resettlements PS6: Biodiversity Conservation and Sustainable Management of Living Natural Resources PS7: Indigenous Peoples PS8: Cultural Heritage IFC’s Performance Standard 6 (PS6): Biodiversity Conservation and Sustainable Management of Living Natural Resources

Objectives • To protect and conserve biodiversity • To maintain the benefits of ecosystem services • To promote the sustainable management of living natural resources through the adoption of practices that integrate needs and development priorities Aquatic Biodiversity

In the water: Aquatic Plants Fishes -shrimp, crabs, molluscs - Plankton Chlorophyl A Along the water: Riparian plants Aquatic mammals Amphibians Reptiles Birds Invertebrates Need good Aquatic Biodiversity data for PS6 to:

• Determine Modified or Natural Habitat – Biodiversity values ( composition) – Ecological functions • Determine Critical Habitat • Assess project Impacts on Priority Biodiversity Values • Evaluate Environmental Flow Options (Impacts and Mitigation) • Develop Mitigation Actions to reduce impacts • Monitor indicators to demonstrate compliance with PS6 First - Determine the Study Area Important PS6 requirement- beyond project footprint PS6 requires that the assessment of biodiversity values be conducted beyond the project footprint to include the surrounding area on an ecologically relevant scale.

The study area should include biological communities and/or management issues that have more in common with those in the project footprint and with each other than they do with those in adjacent areas.

Start with satellite imagery, vegetation maps and literature.

For Hydropower projects, this means usually means Watershed Sanaga River: Example watershed In Cameroon

Example Ecological Study Area for Watershed Example Terrestrial Ecological Study Area Modified or Natural Habitat

Modified Habitat: areas with a large proportion of plant and/or species of non-native origin, and/or where human activity has modified an area’s ecological functions and species composition

Natural Habitat: areas with viable assemblages of plant and/or species of largely native origin, and/or with little modification of ecological functions and species composition

PS6: Modified and Natural Habitat

• Modified Habitat: areas with a large proportion of plant and/or animal species of non-native origin, and/or where human activity has modified an area’s ecological functions and species composition

• Natural Habitat: areas with viable assemblages of plant and/or animals species of largely native origin, and/or with little modification of ecological functions and species composition How much do dams create Modified Habitat?

Natural Habitat: areas with viable assemblages of plant and/or animals species of largely native origin, and/or with little modification of ecological functions and species composition In Natural Habitat

Project cannot convert or degrade Natural Habitat unless they demonstrate all the following: • No other viable alternatives within region exist for development of the project on modified habitat (Alternatives Analysis) • Consultation of views of stakeholders • Any conversion or degradation is mitigated according to the mitigation hierarchy

Projects must achieve and demonstrate No Net Loss (NNL) of Biodiversity where feasible

NNL= No change from the pre-project baseline Species Composition

In the water: Aquatic Plants Fishes Invertebrates -shrimp, crabs, molluscs -insects Plankton Chlorophyl A

Along the water: Riparian plants Aquatic mammals Amphibians Reptiles Birds Sampling methods for fish and invertebrates Ecology of the Biodiversity Values: Species and Habitats What is the abundance of species? How important is this area for them?

Which species migrate? Patterns and timing Abundance of food sources Seasonality

Where do species live, breed, feed, grow? What are their life cycles? Associated Data: Flow rate, depth, turbidity, etc. Water quality parameters Sediment regimes Flooding regimes

Ecosystem Services: How do people use the water, the plants, animals, etc. (e.g. rafting, fishing) Sampling in different seasons is important- high water, low water, rainy and dry seasons

IFC Hydro projects conducted monthly fish and sampling to assess distribution and seasonality, and to identify spawning and nursery habitats Tor putitora (Mahaseer) 70

60 Cast Nets capture small fish How to sample the large migrating fishes? 50

40 March April May 30 June July 20

10

0 FK 1 FK 2 FK 3 FK 4/SP FK 5 FK 6 FK 7/SP FK 8 FK 9 FK 10 1/Trib 5/Trib Aquatic Biodiversity Data

Must include: 1) Pre-project aquatic biodiversity baseline – Species lists – Map of aquatic habitat types (pools, riffles, channel, seasonally flooded areas, etc.) – Identification of threatened species – Assessment of regional/global importance – Relative abundance – Ecological requirements for species 2) Patterns of migration 3) Spawning and nursery areas for fish 4) Water quality index (aquatic invertebrates) Priority Biodiversity Values Species • Threatened species (IUCN or Nepal CR, EN, VU) • Endemic species • Restricted Range species • Commercial species • Culturally valuable species • Species important for local people Habitats • Unique habitats • Habitats with high biodiversity or unique species • Pristine ecosystems • Nursery or spawning areas (e.g. fishes) Processes • Migrations (upstream, lateral) • Ecological Connectivity • Gene Flow Some Priority Aquatic Biodiversity Values in Nepal

Five fish species of conservation interest, all are migratory:

Mahaseer Tor putitora, IUCN and Nepal Endangered

Sahar Tor tor, IUCN Near Threatened, Nepal Endangered

Snow trout (Buche asla) Schizothorax richardsonii, IUCN Vulnerable (VU) and Nepal VU

Snow trout (Chuche asla) Schizothoraichthys progastus, IUCN Least Concern, Nepal VU

Katli Neolissichilis hexagonolepis, IUCN Near Threatened and Nepal Endangered PS6: Critical Habitat

Evaluate whether the project is located within Critical Habitat as defined by PS6, working with relevant experts

Modified and Natural habitat may also be Critical Habitat, depending on the biodiversity values Critical Habitat: areas with high biodiversity value based on 5 Criteria:

• Critically Endangered (CR) or Endangered (EN) species (IUCN Global Red List)

• Endemic / restricted range species

• Migratory and/or congregatory species with globally significant concentrations

• Highly threatened (in the region) and/or regionally unique ecosystems

• Key evolutionary processes In Critical Habitat, client cannot implement any project activities unless:

• No other viable alternatives within the region exist in non-critical habitat (PS1: Alternatives Analysis) • The project does not lead to measurable adverse impacts on the biodiversity values that make it Critical Habitat • The project does not lead to a net reduction in the global and/or national/regional population of any CR or EN species • A robust long-term biodiversity monitoring and evaluation plan is integrated into management plans • Experts are involved to evaluate the biodiversity values and to design mitigation and offsets as needed

Project must demonstrate Net Gain for Critical Habitat biodiversity values

Net Gain = improvement for the biodiversity values, increase It may not be Critical Habitat

But remember…

• Natural Habitat requires No Net Loss of Biodiversity • Demonstrating No Net Loss of Biodiversity for Important Biodiversity Values is a big challenge Hydropower Principal Impacts from Hydropower Projects

Terrestrial habitat loss under reservoir

Reservoir: Loss of River habitat, Gain of Lake Habitat

Barrier to fish, mammal and invertebrate passage and migration

Changes in water levels, flow rate and timing, flooding regimes between dam and powerhouse (dewatered segment) and downstream – changes to habitats

Loss of aquatic habitat within project area and downstream Impact Assessment- need a good baseline to:

• Quantify hectares of Natural Habitat loss (Terrestrial and Aquatic) • Assess Quantitative or Qualitative impacts to each of the Priority Biodiversity Values – Assess separately by impact (e.g. reservoir, downstream flow, etc.) – Assess by project stage (construction, operation) – Need to assess how much we are losing in order to set targets for No Net Loss or Net Gain • Develop an Environmental Flow Assessment Impact Assessment – Operation, Karot Hydro Pakistan Environmental Flow Assessment

• Modeling impacts based on hydrology, biological and social parameters • Use hydrological data and select ecologically- relevant flow indicators • Evaluates the present day condition river • Evaluates how the condition of the river could change under different HPP operational scenarios Methodologies to Determine Ecological Flow (EF)

Hydrological/Hydraulic Methods 1960’s

Habitat Simulation / Holistic Methods

Present Example Baseline data for Eflow Assessment

Discipline Indicators Area of backwaters and secondary Coarse suspended sediment Suspended sediments channels Fine suspended sediment Vegetated mid-channel bars Low mid-channel rock exposures Depth of pools Geomorphology Lengths of cut marginal banks Sand bars Bed sediment size (fine to coarse) Water quality Nutrient concentration Temperature Diatoms and algae Trees Vegetation Bryophyta Organic detritus Grasses and shrubs Ephemeroptera Chironomidae Bivalves Shrimps Macroinvertebrates Oligoneuridae Ceratopogonidae Simulidae Tigerfish, Hydrocynus vittatus Chessa and Nkupe, Distichodus spp Cornish jack, Mormyrops anguilloides Labeo altivelis Redeye labeo, Labeo cylindricus Barbus spp. Fish Alestids, i.e. Brycinus imberi, B. lateralis Vundu, longifilis and Micralestes acutidens Cichlids Squeaker, Synodontis zambezensis Crocodiles Nile Crocodile, Crocodylus niloticus Source: Cate Brown

Preference Curves for aquatic organisms

Cp 1 Cv 1

0.8 Ephemeroptera 0.8 Trychoptera 0.6 Plecoptera 0.6 Diptera Ephemeroptera Macroinvertebrados 0.4 Trichoptera 0.4 Plecoptera 0.2 Diptera 0.2 Macroinvertebrados 0 0 0 0.3 0.6 0.9 1.2 1.5 0 0.2 0.4 0.6 0.8 1 1.2 1.4 1.6 1.8 2 Velocidad (m/s) Profundidad (m)

PS6 requires projects to apply the Mitigation Hierarchy The mitigation hierarchy is a tool to help manage risk. It provides a framework for steps to be taken throughout a development project’s life-cycle to limit negative impacts to workers, affected communities, and the environment. 1. Avoid Impacts 2. Minimize impacts 3. Restore conditions (abate, rectify, repair) 4. Where residual impacts remain Offset impacts Mitigation Hierarchy

Net gain Mitigation- need a good baseline A combination of the following measures is best: • Avoid through careful dam siting, design and operation • Minimise upstream/downstream effects with appropriate Environmental Flows, fish passages (ladders etc.) • Restore through improved species, habitat or catchment management, fish hatcheries • Offset residual impacts through off-site action Monitoring • Field methods for monitoring are often different than those for baseline assessment: – Baseline requires a variety of methods to document as much biodiversity as possible, specialists needed – Monitoring requires standardized methods that can be repeated over time, often by non-specialists – Monitoring data must be compared over time

• Monitoring requires focused questions and specific metrics to determine: – Is the project achieving No Net Loss or Net Gain? – Are the mitigation actions working to reduce impacts on the indicators?

• Select indicators to represent overall biodiversity – Should include all Priority Biodiversity Values Metrics to demonstrate No Net Loss of Biodiversity or Net Gain • Example metric for Mahaseer (Tor putitora): – #fish/100 cast net throws/unit area = Catch per Effort (CUE) – Biomass (weight)/100 cast net throws/unit area – Compare this metric each year to pre-project baseline to demonstrate No Net Loss (targets, thresholds) – Net Gain requires demonstrating increase in the metric • Other metrics: – Area of aquatic habitat (hectares)- satellite imagery – Water quality indices – Habitat Quality indices – Pressure indicators: reduction in threats to the species (e.g. reduction in fishing pressure) Summary: Hydropower projects need good Aquatic Biodiversity data for PS6 to:

• Determine Modified or Natural Habitat – Biodiversity values (species composition, habitats) – Ecological functions (migration, spawning, etc.) • Determine Critical Habitat • Assess project Impacts on Biodiversity Values • Evaluate Environmental Flow options • Develop Mitigation Actions to reduce impacts (Biodiversity Management or Action Plan) • Monitor indicators to demonstrate compliance with PS6: No Net Loss or Net Gain of Biodiversity Thank You!