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Of Environmental and Social Impact Assessment PUBLIC CONSULTATION REPORT Subject: The follow-up public consultations on the draft Terms of Reference (TORs) of Environmental and Social Impact Assessment (ESIA) for Shuren Hydropower Plant Project (Hereinafter, referred as SHHP) Period: 10:00 -13:00 pm, 19 April, 2016 Place: School Cultural Center, Khyalganat Bag of Khangal Soum of Bulgan Province INTRODUCTION This Public Consultation Report summarizes 1) Project background, 2) The objective of public consultation and, 3) The structure of the consultations organized, 4) Disclosure and Dissemination of the Information materials, 5) Process, 6) The key questions asked by the participants, 7) The key concerns and comments raised by the participants, 8) Key findings. In addition, Appendix- 1 Participants list, Appendix 2 Photos and Appendix 3 Stakeholder’s matrix for Shuren HPP are attached with the report. 1) PROJECT BACKGROUND The Mining Infrastructure Investment Support Project (MINIS), financed by the World Bank, aims to facilitate investments in infrastructure to support mining-related activities and downstream value-added processes (regardless of funding source) and to build local capacity to prepare and transact infrastructure Projects. In the scope of SHHP project, a Feasibility Study and ESIA will be carried out. Mongolia is in danger of a serious energy shortfall as early as 2012, at which point the maximum imported capacity of 255 MW from Russia may not meet demand. Russian power has become more expensive. This shortfall will negatively affect rapid expansion of the country`s mining sector. To address energy shortfall, the Government cabinet meeting (November 2011) discussed the SHHP along with several other energy projects and recognized the SHPP as a priority project. The main goal of the SHPP project is to supply the electricity demanded by the mining sector and to fill electricity shortfall faced by the country. Secondary goals are to provide renewable energy, enable energy independence from the Russian power system, and develop a low-cost supply of renewable energy. The Project has been classified as Category “A” according to the World Bank Environmental Assessment Operational Policy 4.01, and therefore the proposed project must be supported by conducting an Environmental and Social Impact Assessment (ESIA) and Regional Environmental Impact Assessment (REIA) with public consultation. Page | 1 The Shuren project has been studied at pre-feasibility level, which is reported in the “Technical Study Report for the Shuren Hydropower Plant Project”. Assessment of the findings of the pre-feasibility study should serve as the starting point for the development of the ESIA work plan.The work to be done under this TOR is the ESIA; the technical and economic Feasibility Study will be contracted separately. The Feasibility Study must however be closely coordinated with the ESIA. 2) THE OBJECTIVES OF THE PUBLIC CONSULTATIONS: - To present the contents of the draft ESIA ToRs for SHHP project to the potentially impacted local key stakeholders in Khyalganat Bag of Khangal Soum of Bulgan Province; - View their concerns regarding the proposed project and receive their inputs and feedback on the ESIA TORs; - To consider incorporating them into the draft ESIA TORs. 3) THE FOLLOW-UP CONSULTATIONS WERE STRUCTURED IN BELOW ORDER: Introduction of MINIS project by MINIS PMU Presentation on the draft REA and ESIA TORs for SHHP by Mongol Management Ltd, Questions& Answers Presentation on MINIS Grievance Resolution Mechanism by PIU, Questions& Answers Discussions by all participants Distribute feedback forms Coffee break 4) DISCLOSURE AND DISSEMINATION OF THE INFORMATION MATERIALS FOR CONSULTATION ORGANIZED: - Information materials including invitation, agenda and the draft ESIA TORs in English and Mongolian were disclosed on 02 April 2016 on MINIS website, (http://www.minis.mn/mn); - Information materials of the public consultation conducted including invitation, agenda, the draft ESIA TORs, the summary of ESIA TORs, MINIS Grievance Resolution Mechanism and Public Consultation and Information Disclosure Planning Checklist, World Bank were disclosed by sending them to the local governors via email on 02 April 2016; - Some of the key local stakeholders, particularly potentially- impacted herders live in distance in rural area. It’s complicated to provide the information about the consultation to them via email and send the consultation materials. Also, sending them via post is not feasible. So that, the local Soum and Bag governor offices cooperated with us to deliver and disseminate the consultation materials in hard copies to the herders in hand. Page | 2 5) PROCESS: The consultation team was comprised from the representatives of Ministry of Environment, Green Development and Tourism, Ministry of Energy, World Bank and Environmental Department of Bulgan Province. The follow-up local public consultation was held by MINIS PIU at 10:00 -13:00 pm on 19 April, 2016 at School Cultural Center Khyalganat Bag of Khangal Soum of Bulgan Province and attended by total of 36 participants including the local governors, Head of Citizen Representative Meeting, relevant CSOs, NGOs, the representatives from private sector and potentially-impacted local herders . The presentation has been structured in easily understandable way for non- professionals. Posters and maps have been used for explaining the project areas, in particular, the potentially- affected areas. The participants openly expressed their views and concerns regarding the proposed project and made some of useful inputs and feedback on ESIA TORs. The key questions asked and the key inputs and feedback made by the participants were carefully taken into account in the ESIA TORs. In order to respond to the consultation participants how their comments have been considered, PIU has developed the Response Matrix and publicly disclosed it. At the end of the consultation, the feedback forms have been to seek the additional inputs on the ESIA TORs for SHHP and also suggestions on how to improve the further consultation events. In total, 30 comments were received. The most of them were positive and the consultation was assessed as well-organized. Media coverage: The public consultations on ESIA TOR were broadcasted through Erdenet Nomin TV and My Mongolia TV Selenge Province. 6) THE KEY QUESTIONS ASKED BY THE PARTICIPANTS - Where the proposed hydropower plan will be built? It has been discussed since 1970. - Will there be any economic significance for Khyalganat bag if the proposed project is implemented successfully? - Has the soil studies been carried out in the project area? This is one of the very important issues. - What’s the result of land use assessment? If hydro-technical analysis has been done? How you are doing land assessment for a herder household? Page | 3 - When Egg HHP will be constructed? - Is Egg HHP going to be built? Is it possible to use old bridges and roads instead constructing new ones? It’s economically efficient to use them. - Is workforce going to be provided from Khyalganat bag if dirt work and construction work started? - I have got understanding that a new bridge will be built if the construction work stars for Eg HHP? What size of bridge has been planned to be built? What’s carrying capacity of the bridge? Is going to be permanently used? How much is it going to cost? - What are the capacities of SHHP and EG HHPs? Can these two Hydropower power plants fully ensure the energy needs for entire Mongolia? - What types of adverse impacts the proposed project could cause on the local communities of Khyalganat bag if the SHHP project proceeds? - Can you please provide us the detailed information on EG HHP progress? - Is proposed project going to cause the potential negative impacts environmentally and socially? - How long the construction process would continue? - How is it going effect on local herders and their lives as well as their animal husbandry? - There two lakes in Khyalganat. Will these lakes be adversely impacted? 7) THE KEY CONCERNS AND COMMENTS RAISED BY THE PARTICIPANTS, - Carefully consider the environmental damages to be created as result of project implementation in the ESIA TORs; - To meet face- to - face with the potentially- impacted local herders and private firms to find out their comments and concerns about the project and ESIA TORs; - To closely coordinate the project activities, particularly, the development of ESIA TORs shall be consistent with local Land Management Plan; - To closely cooperate with relevant local governor offices; - Improve stakeholder involvement into the consultation process and regularly provide information about project progress to them; - The routine of the new road shall be through the Khyalganat bag; Page | 4 - Explain well the potential economic benefits of the proposed project to the local communities of Khyalganat bag; - I support the implementation of this project. It is right to use the rivers with outflows for the reason of further economic improvement; - In order to be out of dependent from other country, despite the some of the minor risks and consider the proceeding of the project; - Use the old big bridge in Khyalganat bag; - To involve more people into consultation process; - To let us people of Khylagant to meet with the relevant decision makers; - To meet with every single herders and farmers those who are living in the potentially impacted project area and get their feedback; - Explore the potential adverse environmental impacts and reflect them along with mitigation
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