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Initial Environmental Examination Shanxi Inclusive Agricultural Value Chain Development Project (RRP PRC 48358) Initial Environmental Examination Project number: 48358-001 August 2017 People’s Republic of China: Shanxi Inclusive Agricultural Value Chain Development Project Prepared by the Shanxi Provincial Government for the Asian Development Bank CURRENCY EQUIVALENTS (as of 29 August 2017) Currency unit – yuan (CNY) CNY1.00 = $0.1511 $1.00 = CNY6.6183 ABBREVIATIONS ADB Asian Development Bank GDP gross domestic product AVC agricultural value chain GHG greenhouse gas BOD5 5-day biochemical oxygen demand GRM grievance redress mechanism CNY Chinese yuan IA implementing agency COD chemical oxygen demand MOE Ministry of Environment DO dissolved oxygen PMO project management office EA executing agency PAC project agribusiness company or cooperative EIA environmental impact assessment RP resettlement plan EIR environmental impact report SPG Shanxi Provincial Government EIT environmental impact table SOE state-owned enterprise EMP environmental management plan SPS Safeguard Policy Statement EPB environmental protection bureau WHO World Health Organization ESS environment safeguard specialist WRB water resources bureau FSR feasibility study report WRS water resources specialist FYP five-year plan WWTP wastewater treatment plant WEIGHTS AND MEASURES oC degree centigrade m2 square meter dB decibel m3/a cubic meter per annum km kilometer m3/d cubic meter per day km2 square kilometer mg/kg milligram per kilogram kW kilowatt mg/l milligram per liter L liter mg/m3 milligram per cubic meter m meter t metric ton t/a ton per annum NOTE In this report, "$" refers to United States dollars. This initial environmental examination is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature. Your attention is directed to the “terms of use” section of this website. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area. i TABLE OF CONTENTS I. EXECUTIVE SUMMARY ............................................................................................ 1 II. INTRODUCTION ........................................................................................................ 8 III. POLICY, LEGAL, AND ADMINISTRATIVE FRAMEWORK ....................................... 9 A. Policy Framework ............................................................................................ 9 B. Legislative Framework for Environment Impact Assessment in the PRC ......... 9 C. International Agreements............................................................................... 11 D. Applicable PRC and ADB Policies and Assessment Categories .................... 11 E. Assessment Standards ................................................................................. 13 F. Emission Standards for Construction and Operation Activities ...................... 15 IV. DESCRIPTION OF THE PROPOSED PROJECT ..................................................... 18 A. Outputs ......................................................................................................... 18 B. Subproject Sites and Design Features .......................................................... 20 C. Implementation Arrangements ....................................................................... 20 D. Capacity Building .......................................................................................... 22 E. Anticipated Environmental and Social Benefits .............................................. 22 V. DESCRIPTION OF THE ENVIRONMENT (BASELINE DATA) ................................ 25 A. Environmental Setting – Shanxi Province ...................................................... 25 B. Environmental Baseline at Project Counties and Sites .................................. 26 VI. ANTICIPATED ENVIRONMENTAL IMPACTS AND MITIGATION MEASURES ...... 30 A. Sensitive Receptors within Project Area of Influence ..................................... 30 B. Pre-Construction Phase ................................................................................ 31 C. Construction Phase ....................................................................................... 32 1. Soil erosion ................................................................................................. 32 2. Water resources management and water pollution control .......................... 33 3. Air pollution ................................................................................................. 34 4. Noise ........................................................................................................... 34 5. Vibration ...................................................................................................... 36 6. Solid waste .................................................................................................. 36 7. Ecological resources ................................................................................... 36 8. Community and worker health and safety .................................................... 37 9. Physical cultural resources .......................................................................... 38 D. Operational Phase......................................................................................... 38 1. Sustainable use of water resources ............................................................. 38 2. Management of wastewater and protection of water quality ........................ 39 3. Management of solid waste – livestock manure and dead livestock ............ 42 4. Management of solid waste – litter and other products ................................ 42 5. Use of agricultural and livestock-related chemicals ..................................... 43 6. Air quality and odor ..................................................................................... 43 7. Noise ........................................................................................................... 43 8. Management of Gas Production and Storage .............................................. 44 9. Humane treatment of livestock .................................................................... 44 10. Community and worker health and safety .................................................... 44 E. Climate Change and Greenhouse Gas Emissions ......................................... 45 1. Greenhouse Gas Emissions ........................................................................ 45 2. Climate Risk and Vulnerability Assessment ................................................. 45 F. Associated Facilities ...................................................................................... 47 G. Indirect, Induced and Cumulative Impacts ..................................................... 48 ii VII. ANALYSIS OF ALTERNATIVES.............................................................................. 49 A. Waste Treatment Technologies ..................................................................... 49 B. Wastewater Treatment Technologies ............................................................. 50 VIII. INFORMATION DISCLOSURE, CONSULTATION AND PARTICIPATION ............. 51 A. Information Dissemination ............................................................................. 51 B. Public Consultations ...................................................................................... 52 C. Future Plans for Public Participation .............................................................. 60 IX. GRIEVANCE REDRESS MECHANISM.................................................................... 62 X. PROJECT ASSURANCES ....................................................................................... 63 XI. ENVIRONMENTAL MANAGEMENT PLAN ............................................................. 64 XII. CONCLUSIONS ....................................................................................................... 65 APPENDIX 1: SUMMARY OF ENVIRONMENTAL ASSESSMENTS FOR SUBPROJECTS .................................................................................................................. 67 APPENDIX 2: BASELINE DATA FOR AMBIENT ENVIRONMENT ..................................... 74 APPENDIX 3. ENVIRONMENTAL MANAGEMENT PLAN ................................................ 120 A. Introduction ................................................................................................. 121 B. Institutional Arrangements and Responsibilities for EMP Implementation .... 121 C. Summary of Potential Impacts and Mitigation Measures ............................. 123 D. Monitoring and Reporting ............................................................................ 133 E. Training ....................................................................................................... 137 F. Grievance Redress Mechanism................................................................... 139 G. Cost Estimates ............................................................................................ 141 H. Draft Terms of Reference ............................................................................ 142 iii I. EXECUTIVE SUMMARY A. Introduction 1. This initial environmental examination (IEE) is
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