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NEPAL ELECTRICITY AUTHORITY Kali Gandaki ‘A’ Hydropower Plant Rehabilitation Project Environmental Assessment (EA) (Final Draft) Public Disclosure Authorized Public Disclosure Authorized Submitted to: Large Hydropower Operation and Maintenance Department Public Disclosure Authorized Nepal Electricity Authority Kathmandu, Nepal Submitted by: Environmental and Social Studies Department NEA Training Center, Kharipati, Bhaktapur, Nepal P.O. Box #: 21729 Kathmandu Phone No.: 977 1 66 11 580 Fax No.: 977 1 66 11 590 Public Disclosure Authorized January 28, 2013 Table of Contents Table of Contents ................................................................................................................................. ii Abbreviations and Acronyms............................................................................................................... iv Executive Summary ............................................................................................................................. 1 CHAPTER ONE: INTRODUCTION ................................................................................................... 6 1.1 Background ................................................................................................................................... 6 1.2 Need for Rehabilitation Works ..................................................................................................... 6 1.4 Environmental Assessment of the Proposed Rehabilitation Project ............................................. 7 1.5 Proponent ...................................................................................................................................... 7 1.6 Rationality of Conducting the EA ................................................................................................. 7 1.7 Objectives of the EA Study ........................................................................................................... 8 CHAPTER TWO: PROPOSED PROJECT DESCRIPTION ................................................................. 9 2.1 The Proposed Project Location ..................................................................................................... 9 2.3 Proposed Project Ancillary Facilities .......................................................................................... 12 2.4 Human Resources Requirement for the Proposed Rehabilitation Works .................................... 12 2.5 Implementation Schedule and Costs for the Proposed Rehabilitation Works ............................. 12 CHAPTER THREE: STUDY METHODOLOGY .............................................................................. 13 3.1 Impact Screening and Identification Process .............................................................................. 13 3.2 Project Impact Area Delineation ................................................................................................. 13 3.3 Desk Study and Literature Review ............................................................................................. 13 3.4 Field Study and Data Collection ................................................................................................. 14 CHAPTER FOUR: LEGAL POLICY FRAMEWORK ....................................................................... 16 CHAPTER FIVE: EXISTING ENVIRONMENTAL CONDITIONS OF THE PROJECT AREA ....... 18 5.1 Physical Environment ................................................................................................................. 18 5.2 Biological Environment .............................................................................................................. 24 CHAPTER SIX: ANALYSES OF ALTERNATIVES ......................................................................... 27 6.1 No Project Scenario .................................................................................................................... 27 6.2 Analyses of Rehabilitation Alternatives ...................................................................................... 27 CHAPTER SEVEN: IMPACTS ASSESSMENT AND MITIGATION MEASURES ......................... 29 7.1 Key Outstanding Environmental Issues from the original KGAHPP ......................................... 29 7.2 Newly Emerged Environmental Issues in the area of the Existing KGAHPP ............................ 32 7.3 Potential Impacts of the Proposed KGAHPP Rehabilitation Project for which this EA is Conducted 34 Changed flushing regime will affect the water quality downstream (sediment load and turbidity). ....... 37 CHAPTER EIGHT: PUBLIC PARTICIPATION, CONSULTATION AND DISCLOSURE .............. 38 8.1 Approach and Process ................................................................................................................. 38 8.2 Consultation Activities during Preparation ................................................................................. 38 8.3 Consultation Mechanism during Implementation ....................................................................... 39 8.5 Disclosures .................................................................................................................................. 39 ii CHAPTER NINE: ENVIRONMENTAL MANAGEMENT AND MONITORING ............................. 40 9.5 Reporting Requirements ............................................................................................................. 46 9.6 Training and Capacity Building .................................................................................................. 46 9.7 Grievance Redress Mechanism ................................................................................................... 47 9.10 Monitoring Cost .......................................................................................................................... 49 References ........................................................................................................................................................... 51 ANNEX A: FIELD MEASUREMENTS & DATA ............................................................................. 52 ANNEX B: HISTORICAL BACKGROUND ON EIA AND MITIGATIONS .................................... 56 ANNEX C: MONITORING PARAMETERS, METHOD, SCHEDULE AND INDICATORS ........... 60 iii Abbreviations and Acronyms ADB : Asian Development Bank CSP : Community Support Program DIA : Direct Impact Areas DO : Dissolved oxygen DDCs : District Development Committees DFO : District Forest Office DHM : Department of Hydrology and Meteorology DOED : Department of Electricity Development KGAHEP : Kali Gandaki ‘A’ Hydroelectric Project KGAHPP : Kali Gandaki ‘A’ Hydropower Plant EA : Environmental Assessment EIA : Environmental Impact Assessment EMP : Environmental Management Plan ESMU : Environmental and Social Management Unit EPP : Emergency Preparedness Plan ERP : Enterprise Resource Planning ESSD : Environmental and Social Studies Department FERC : Federal Energy Regulatory Commission (US). GON : Government of Nepal GRC : Grievance Redress Committee GWh : Gigawatt Hours IIA : Indirect Impact Areas Km : Kilo meter kV : Kilo volt LRMP : Land Resource Mapping Project JBIC : Japan Bank for International Cooperation MBT : Main Boundary Thrust m3/s : cubic meter per second MCT : Main Central Thrusts MIV : Main Inlet Valve MOE : Ministry of Energy MOFSC : Ministry of Forest and Soil Conservation MOSTE : Ministry of Science, Technology and Environment NARC : Nepal Agricultural Research Council NDWQS : National Drinking Water Quality Standard (Nepal) NEA : Nepal Electricity Authority VCDP : Vulnerable Community Development Plan VDCs : Village Development Committees WB : the World Bank iv Executive Summary 1. Original Kali Gandaki ‘A’ Hydroelectric Project (KGAHEP), the largest plant in operation in Nepal, commissioned in 2002 at a cost of US$ 453 million, was funded by the ADB and Japan Bank for International Cooperation (JBIC). Though the plant has been in operation since 2002, it has not been able to generate to its full capacity of 842 GWh due to continuous operation of the project without longer sediment flushing as recommended by the Operation Manual to mitigate the power crisis ‘load shedding’ situation of the country to some extent. At present the plant suffers from i) Damage caused by sediments to equipment, ii) Poor sediment management at the headworks, iii) Safety (damage to the Main Inlet Valve and failure of control systems), iv) Cavitation, and v) Sedimentation of the reservoir, which have a direct bearing on the long term sustainability of Kali Gandaki ‘A’ Hydropower Plant (KGAHPP). 2. The objective of the proposed rehabilitation project is to improve the reliability of power supply of the existing KGAHPP through rehabilitation and safety measures. Rehabilitation Project includes three major components: 1) Civil works and 2) Electro-mechanical works and 3) Technical Assistance and Capacity Building. The Civil works component will address the main items related to civil works and consist of i) Headworks modifications, ii) Improving Dam Safety Monitoring and Instrumentation, and iii) Maintenance Works sub-components. The Electro-mechanical works component comprises of repair and upgrading sub- components at powerhouse and intake. The Technical Assistance and Capacity Building component will help NEA establish i) Dam Safety Plan including Instrumentation Plan, Operation and Maintenance Plan, and an Emergency Preparedness Plan (EPP); ii) Improve Asset Management; and iii) Safeguard