National Water Supply & Sanitation Project

AZERSU JSC

Public Disclosure Authorized

National Water Supply and Sanitation Project

GABALA REGION WATER SUPPLY AND SANITATION SYSTEMS Public Disclosure Authorized

ENVIRONMENTAL IMPACT ASSESSMENT

Public Disclosure Authorized

Public Disclosure Authorized

May 2010

Azersu JSC/World Bank Prepared by: Consultant Mirzakhan Mansimov 1 National Water Supply & Sanitation Project

Table of Contents

List of Abbreviations...... 4

Executive summary...... 5

1 Introduction...... 18 1.1 Project background and objectives ...... 18 1.2 Structure of the Report ...... 19 1.3 Description of the project ...... 20

2 Policy, legal and administrative framework...... 33 2.1 Relevant institutions ...... 33 2.2 Environmental Laws and Regulations...... 33 2.3 Existing EU legislation ...... 34 2.4 Environmental Conventions ...... 35 2.5 Environmental laws and regulations in ...... 36 2.6 Environmental Impact Assessment rules ...... 39 2.7 Land acquisition and Resettlement ...... 39

3 Baseline data ...... 40 3.1 Introduction ...... 40 3.2 Geology, soils and land use ...... 41 3.3 Air and climate ...... 42 3.4 Noise ...... 42 3.5 Ecology and protected areas ...... 42 3.6 Surface and ground water ...... 44 3.7 Social – Cultural Environment ...... 44

4 Environmental impacts ...... 48 4.1 Introduction ...... 48 4.2 Methodology ...... 48 4.3 Geology and soils ...... 50 4.4 Air quality ...... 52 4.5 Noise ...... 53 4.6 Ecology and protected areas ...... 55 4.7 Surface and ground water ...... 56 4.8 Social – Cultural Environment ...... 58

5 Analysis of alternatives ...... 68 5.1 Introduction ...... 68 5.2 Alternative 1. Do nothing ...... 69 5.3 Alternative 2. Water supply only ...... 69 5.4 Alternative 3. The preferred scheme ...... 70

6 Public consultations ...... 71

7 Environmental Management Plan ...... 73 7.1 Introduction ...... 73 7.2 General mitigation during construction ...... 73 7.3 Emergency planning ...... 75 7.4 Operations aspects...... 75

Azersu JSC/World Bank Prepared by: Consultant Mirzakhan Mansimov 2 National Water Supply & Sanitation Project

ANNEXES • ANNEX I. Preferred scheme details ...... 84 • ANNEX II. Photographs ...... 85 • ANNEX III. Environmental standards ...... 90 • ANNEX IV. Public consultation record ...... 100

Figures Figure 1-1 Location of Cabala region...... 19 Figure 1-2 Abstraction and “purification” of Damiraparan River water ...... 22 Figure 1-3 Water collecting (“purification”) pond on Damiraparan River...... 23 Figure 1-4 Location of existing water sources...... 23 Figure 1-5 Wastewaters of Gabala town...... 24 Figure 1-6 Damiraparan River site where new wells will be drilled ...... 26 Figure 1-7 Location map of new water supply and sewerage network for the Project...... 28 Figure 3-1 Wind rose of Gabala region ...... 42 Figure 3-4 Location of Shah dag National Park...... 43

Tables Table 1-1 Key discharge parameters for UWWT Directive ...... 29 Table 2-1 International Conventions ratified by Azerbaijan Republic...... 35 Table 2-2 Main environmental laws in Azerbaijan...... 36 Table 3-1 Main climate parameters of Gabala town ...... 41 Table 3-2 Annual distribution of Damiraparan River flow...... 44 Table 3-3 Social-economic indices of Gabala region...... 45 Table 3-4 2008 statics on infections spread in Gabala and surrounding regions...... 46 Table 4-1 Environmental Aspects ...... 49 Table 4-2 Examples of fugitive dust reduction ...... 53 Table 4-3 Expected noise level from construction equipment...... 54 Table 4-4 Indices on wastewater treatment and its impact on river water ...... 58 Table 4-5 Construction & operational impacts ...... 61 Table 7-1 List of Management Plans...... 74 Table 7-2 Environmental Management Plan...... 78 Table 7-3 Environmental Monitoring Plan ...... 81

Azersu JSC/World Bank Prepared by: Consultant Mirzakhan Mansimov 3 National Water Supply & Sanitation Project

List of Abbreviations

AZERSU Azerbaijan Republic ‘AZERSU’ Open Joint Stock Company BOD Biochemical oxygen demand COD Chemical oxygen demand ECS Environmental Control Standards EIA Environmental Impact Assessment EMF Environmental Management Framework EMP Environmental Management Plan EU European Union FAO Food and Agriculture Organization of UN FS Feasibility Study GRP Glass Re-enforced Pipe HDPE High Density Polyethylene MCL Maximum Concentration Limit MENR Ministry of Environment and Natural Resources MP Management Plan NGO Non-Governmental Organizations OD Outside diameter PAP Project Affected People/Person PEE Public Ecological Expertise SS State Standards UWWT Urban Wastewater Treatment WB World Bank WHO World Health Organization WSSS Water Supply and Sewer System WWTW Wastewater treatment works

Azersu JSC/World Bank Prepared by: Consultant Mirzakhan Mansimov 4 National Water Supply & Sanitation Project

Executive summary

Introduction

The water supply and sewer system in Azerbaijan is characterized by old, damaged and largely defunct infrastructure, and is financially constrained and poorly operated. This results in the level and the quality of the water supply and wastewater treatment (WWT) services especially in small towns being significantly degraded. Water shortage and the use of dirty water for drinking have negatively affected health and welfare of the population accordingly. Uncontrolled flow of wastewaters to nondesignated areas has promoted the spread of various infections and caused environmental pollution.

To address this dire situation, the Government of Azerbaijan (GoA) and the World Bank are currently planning the implementation of infrastructure projects for water supply and WWT in small towns and regions. Commencing in 2007, the GoA started to develop projects for reconstruction and development of water supply and sewer system in administrative centers of 22 regions with the World Bank within the framework of the “National Water Supply and Sanitation Project”. One of these regions is Gabala.

Gabala region is located in the north of Azerbaijan, 225 km from Baku on the southern slopes of the Great Caucasus Mountain Range.

Total area of the region is 1,548.5 km2 and the population is 90,200, of which 31,600 live in towns, including 11,900 in Gabala town. The water supply network of Gabala town is old, water abstracted from rivers is delivered to consumers without any processing, pipelines are in poor condition, and the sewerage system is essentially dysfunctional. Only the centre of the town is connected to the sewer network, which allows removal of 20% of the generated wastewater. Wastewaters are not treated and are discharged to river valleys untreated.

This report represents an Environmental Impact Assessment (EIA) of the Water Supply and Sanitation Project in Gabala town. The EIA identifies potential impacts on the natural environment and the social situation in Gabala region during the construction and operation phases of the Project. Where potential adverse effects are predicted, mitigation has been developed and its implementation is presented in an Environmental Management Plan (EMP) and Environmental Monitoring Plan (EMP).

Project description A Feasibility Study (FS) for the Project was conducted in 2007, and working schemes are now in detailed design phase. The client is AZERSU OJSC, and it has a Project Implementation Unit (PIU) which is responsible for project implementation.

The proposed works comprise:

Water supply

• Construction of 6 wells on the Damiraparan River for abstraction of groundwater;

• Construction of new main reservoir;

• Construction of the new water main

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• Construction of 4 new water storage facilities in each pressure zone based on the relief of Gabala town;

• Installation of new water distribution network in the town (HDPE or GPR pipelines buried in roads) Wastewater treatment

• Construction of a new sewage collector network covering entire Gabala town;

• Construction of a new WWT plant (aeration facility)

Water source options

Options for water sources were investigated during the FS and included:

• surface and ground water resources of Damiraparan River;

• surface water resources of Duruca River (abstraction of drinking water from infiltration areas); and

• groundwater resources on depths of 500-550 m, 13 km to the south from Gabala town.

The ground water sources considered under the other options are not preferred because they are used by the villages nearby, and the lower than Gabala altitude of those sources would require using additional equipment to pump water to the town.

Duruca River is a small river and joins Damiraparan River above Gabala town. Average annual water flow of the River is approximately 0.07 m³/sec or 2.21 mln. m³. It is less than total volume of water consumption of Gabala town. Therefore use of this river’s water canlead to an exhaustion of its resources.

The preferred scheme has adopted to use ground water of the Damiraparan River. With the confirmed average annual water flow rate being 4.59m3/sec, or 144.5 mln. m3, and estimated annual demand for the Gabala town being 2.36 mln. m3, the water abstraction would constitute 1.62 % of the flow, which is deemed to be sustainable. Also, there are no settlements, i.e. no other current or potential users located between the river and the town. Due to the altitude of the river to be higher than the one of the town, no pumping stations are required for the transportation of water, as it will move by gravity.

Water abstracted from the water source will be accumulated in water reservoirs located at 950 m elevation. Then the water will be distributed to water supply network through 4 pressure zones located within the town. Pressure zones will be situated at elevation of 750-850m.Water main and water distribution lines in the town will probably be HDPE pipe work, buried in sidewalks.

The system is designed to provide continuos 24 hour supply of good quality water compliant to the EU Drinking Water Directive (98/83/EC).

There is no up-to-date sewer network in Gabala town. Open wastewater collecting and conveying ditches called sewage system have been constructed during 1980-1985. Total length of ditches is 13.83 km, of which 4.36 km is 500 mm outside diameter (OD) wastewater conveying main and the rest of 9.47 km wastewater collecting trenches. This old system can only connect 18.5% of the town, which means only 20% of people supplied with drinking water can make use of sewerage

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system. The rest of the people just have to use soaking pits, which leads to soil and groundwater pollution.

There is no WWT plant in the town and had never been. Wastewaters conveyed from the town by 500 mm OD sewerage pipe were supposed to be treated at Tobacco Factory water treatment works. However, this facility is currently dysfunctional and completely destroyed. Wastewaters are discharged to Hamzali River untreated.

The Project includes construction of a new WWT facility on the Damiraparan River, downstream the water intake, designed to perform in compliance with the EU Urban Wastewater Treatment Directive (91/271/EEC), as amended. The new wastewater treatment system will incorporate mechanical and biological treatment methods. The design will include infrastructure to process the sludge so that it can readily be recycled to agricultural land or otherwise composted for soil improvement in areas such as parks or roadside planting.

Environmental baseline

The environmental baseline section of the report presents comprehensive information on the baseline environmental conditions, against which the potential impacts are assessed. The study methodology included review and use of data from the FS; site visits; data collection; and latest statistics.

Relief of Gabala region is mainly mountainous. North of the region is covered by the southern slopes of the Great Caucasus Mountain Range while central part by Alazan-Haftaran valley and south of the region by rolling hills. Northern border of the region is located along the watershed of Great Caucasus Mountain Range. Highest peaks are Bazardüzü (4466 m), Bazaryurd (4126 m) and Tufandagh (4206 m) which are new glaciers. A number of river cones have been formed in a zone where highly inclined foothills join Alazan-Haftaran valley. Gabala town is located at the outset of Damiraparan River cone.

Jurassic and Cretaceous deposits are widespread to the north of the region while anthropogenic deposits dominate in central and southern parts. Clay deposits and mineral springs (Bum, Gamarvan and etc.), various rocks and construction materials in high mountainous areas are widespread. Water erosions, weathering and landslides are common in these areas. Widespread cracked rocks play great role in filtrating snow and rain waters into groundwater. Forests extend over wide areas in mid mountainous zone which create favorable environment for formation of groundwater resources.

The region located in highly seismic zone, which corresponds to 8 magnitude scale on the seismotectonic map of Azerbaijan.

River network of the region is very dense (0.46-0.50 km/km²). Main rivers are River, Damiraparan River and their tributaries – Tikanli, Bum, Vandam, Duruca, Hamzali Rivers and et al. Surface water resources of the region are rich. Average annual surface flow rate is 187 mm or 5.92 l/sec. per km². Rivers are mainly fed by rain, snow and groundwater.

Damiraparan River has rich surface runoff flows, nearby and through Gabala town. It has many small tributaries. The flow of the River and its tributaries are mainly formed by rain, snow, groundwaters, and partially by glaciers. The river is braided into several arms at the outlet. The river course is mainly comprised of big boulders, exposed alluvial gravel and detritus. Most of the flow is observed during the summer season.

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Groundwater resources of the region are accumulated in deluvial and alluvial rocks Groundwater regime depends on the amount of precipitation. Mid-Jurassic sandstone and shale formations bear the richest groundwater reserves. Debit of the springs flowing from these formations reaches 7-8 l/sec. River valleys are also rich with groundwaters. So are alluvial deposits at river outlets. Groundwaters also play significant role in feeding rivers.

Two main climatic zones dominate in Gabala region: 1) Mild-hot climate with short snowy winter (Gabala town and to the north); and 2) Mild-hot mountainside and arid mountainous climate with dry winter (to the south of Gabala town). Average annual temperature may vary from 11.5 ºC to 12.4 ºC. 720-950 mm of precipitation falls annually, 10% of which occurs in winter time and 68% in summer time (May- September).

Gabala is one of the ancient regions of Azerbaijan Republic intensively cultivated since old times due to characteristics of its landscape. The following soil types are found in Gabala region: caespitose grassland; brown highland- forestland; gray highland-forestland; alluvial grassland- forestland; dark brown highland. The above-mentioned soil types are evenly distributed in the region in order of horizontal height. Therefore, various soil types expanding from low hills to highlands and mountains formed under different climate circumstances vary for their genetic, physical, chemical and mechanical characteristics, as well as for the intensity of exploitation. The amount of humus in soils comprises 3-4.0%.

Soil types found in Gabala region allow cultivation of various plants. Total area of cultivated lands is 84,600 ha, of which 48,500 ha are used as pastures for livestock. Cereal production and animal husbandry are the main agriculture sectors. Secondary areas include sheep-breeding, gardening and vegetable-growing.

Gabala region has very rich vegetation and animal life and beautiful nature. Alpine and subalpine meadows in high mountainous areas, woodlands (oak tree, beech (Fagus), hornbeam (Carpinus) and et al.) in mid-mountainous belt (200-2200 m), scrubland and sparsely forested open meadows in central areas and semi desert wormwood plants and open xerophytic bush in the south expand over wide areas. Total area of woodlands is 56,600 ha.

Fauna of the region is also rich with red deer, lynx, brown bear, European wild cat, squirrel, raccoon, wolf, fox, hare and wild pig. Various birds, such as Short-toed eagle (Circaetus gallicus) pheasant, partridge, pigeon and others live in the region. Northern mountainous part of Gabala region territory is included in Shahdag National Park which is established in 2006. Territory of the Park extends to 2-3 km north of Gabala town, which is close to the Project area. The Park has been established to protect mountainous woodland, endemic and endangered plant and animal species and to develop ecotourism. Total area of the park is 115,895 ha, including other administrative units.Although the project area is located near southern border of Shahdag National Park, it extends to river valleys only and no potential impact on protected areas is expected. Emissions from industrial enterprises in the region are localized. Project area is mountainous and there are no settlement or cultivated land there.

Domestic wastes management has recently improved in the Gabala town.

There are many tourism and recreational centers recently constructied in foothills and the river valley. Having being built without waste water treatment facilities, these centers negatively affect natural river ecosystems by discharging untreated waste waters into local rivers and lakes. Also, solid wastes are not managed and discharged directly to the river valley.

Gabala region was established on August 8, 1939 as an administrative province.

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With its favorable geographical position, Gabala region is one of the most ancient human settlements not only in Azerbaijan, but also in entire South Caucasus region. From III century BC till VIII century AD, ancient Gabala town had been the capital of Caucasian Albania for about 1000 years. Information about Caucasian Albania and Gabala can also be found in works of Strabo and C. Ptolemy. Remnants of ancient Gabala are located to the south of modern Gabala. Overall, historical monuments found in the region are all located away from the Project area.

The region borders Russian Federation, also Ismayilli, Goychay, Agdash, Sheki and Oghuz regions of Azerbaijan. It is one of socially and economically well developed regions of Azerbaijan. The main economic activities are specialized agriculture (fruit plantations, cereal production and animal husbandry), food industry (tinned fruits, wine production) and tourism. There are no project affected people (PAP) in sanitary protection zone as no impact on people is expected in areas where project facilities will be constructed or located, and resettlement of people is not planned. Water sources and pipeline routes are located away from settlements, to the north of Gabala town.

Environmental impacts and mitigation

Introduction

This section of the report presents the potential environmental impacts and mitigation measures associated with construction and operation phases of the water and sanitation project, and is based on the baseline information on environment compiled during the various studies, including the FS.

The potential positive and negative changes resulting from the Project activities are predicted for the project area during the construction phase and into operations. These predicted changes (impacts) are then evaluated using a significance ranking and activities are adapted to suggested mitigation if necessary. An outline of the impact assessment procedure is as follows:

• Identification of the baseline receptors;

• Identification of the key project activities;

• Impact evaluation; and significance ranking.

There are no specific data regarding water quality or groundwater pollution resulting from the untreated wastewater discharges. Thus these impacts cannot be quantified and are rather generic in nature. However, the project is fully compliant with the precautionary principle and is of significant environmental benefit as it will remove large volumes of untreated wastewater currently discharged to the ground and ultimately the river system, replacing them with EU compliant discharges that can also be used for agricultural irrigation downstream in the flatter plains area.

Emissions

Equipment and machinery to be used within the project framework will mainly be new and compliant with up-to-date standards. Impact of emissions from supplementary (welding equipment, pumps, etc.) and construction equipment and heavy trucks on environment will be minimal. It will be the responsibility of the construction management to apply best practices for reducing fuel consumption and exhaust emissions, wherever feasible. Aspects such as reduction of idle driving, selection of new equipment where possible and maintenance of all machinery and engines should be encouraged.

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The construction contractor should set 30 km/hr speed limit in dirt roads to prevent dust pollution during construction works. Areas where removal of asphalt surface, digging of trenches and backfilling using suitable excavated material are conducted should be watered, and materials that can be blown during transportation shall be covered.

Wastewaters

Possibility of spill of wastewaters contained in sewerage lines during reconstruction and restoration works is very high.

During completion of these tasks, wastewaters in every built and reconstructed site (block) will be stored in temporary pits dug in the ground in sewerage line level. Then they will be sucked out, taken away by septic vacuum trucks, and disposed of at sewage ponds. These measures will be taken in the beginning of any construction activity. People will be notified not to dispose sewage into open ditches, and these waters will be removed from households by septic vacuum trucks. Transportation and disposal of such waste will be agreed with local executive authority and regional branch of MENR, as necessary.

Solid waste

Inert, solid waste (metals, asphalt chunks, rocks, concrete, gravel, sand etc.) will be generated during drilling wells and pipeline installation operations. The replacement and installation of water distribution pipes in the town will include removal of asphalt surface and importation of suitable padding and backfill (e.g. sand) as well as backfilling using suitable excavated material. Repair of paved roads and walkways and asphalt surfaces will also be required. Solid wastes generated in construction sites and during the construction of pipelines and sewer drains will be transported by the construction contractor. Transportation and disposal of such waste will be agreed with local executive authority and regional department of MENR, as necessary. The construction works will generate hazardous waste, such as used oil, solvents, and other construction waste, which will be required to be disposed of. However, there is no licensed hazardous waste disposal facility in the region (and in fact this is a problem nationally) and therefore it will be necessary to arrange an appropriate containment or disposal place in agreement with MENR and regional offices. A cost allowance has therefore been made in the EMP for the municipality or AZERSU to construct a storage facility for hazardous waste generated by the project. The approach to a lack of a suitable facility has been discussed with AZERSU as part of this EIA, who have confirmed that they will work with the municipality to ensure that a suitable facility is constructed and is available for use by the project. The EMP allows for the cost of this item and it will be managed by the municipality, as per the agreement with the AZERSU.

If parts of the existing water supply and sanitation network have been constructed using asbestos containing materials (ACM), it will require careful handling during its removal. Measures compliant to good health and safety practice will need to be employed, including appropriate PPE for workers, dampening down of any material that may be abraded or otherwise generate potentially inhalable dust particles and appropriate containment prior to its storage at an approved/agree secure facility.

Soil and water

The area is susceptible to surface erosion during the excavation of trenches for water main, construction of sewerage collectors and water treatment plants and temporary use of dirt roads, especially after heavy rain, therefore efforts will be made to reduce the potential for soil erosion during construction activities. Temporary berms will be constructed where necessary to control any surface run-off to prevent rills or gulleys forming or soil wash out to surface water features. Correct

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ground works and compaction will be specified in the contract documentation to prevent soil erosion. The contractor is also required to design a reinstatement plan.

Spills of fuel, oil and other liquids (e.g. at the concrete batching plant or fabrication yard) have the potential to cause contamination of soil and groundwater. The Contractor shall implement measures to contain such spills and avoid contamination as much as possible. However, it is possible that some contamination may occur and the Contractor will be required to implement remediation measures in accordance with MENR requirements. The project requires that all contamination is removed down to intervention levels, i.e. deemed to be contaminant free. The MENR does not actually regulate contaminant levels in terms of contaminated land registration, but associated laws prescribe for environmental quality objectives and therefore the contractor would be required to satisfy MENR in the event of spillage of contaminants.

Fuel and oil storage tanks will not be located within 50 m of any watercourse, well or dry river bed. Wherever possible1, refueling and maintenance of mobile plant within 50m of all watercourses/water bodies, dry riverbeds and within designated wetlands and aquifers will be prohibited.

All tanks will be either double-skinned design and / or placed in a bund of at least 110% of the tank’s maximum capacity. If more than one tank is stored within the bund, the system must be capable of storing 110% of the biggest container’s capacity or 25% of their total capacity, whichever is greater. The bund will be impermeable (e.g. concrete-lined), without drainage points or other breaches. In the case of any uncertainty, this clause supersedes any other requirement specified elsewhere.

The water intake areas, where the access will have to be upgraded as well as the reservoir areas are located in upland areas and can therefore be prone to soil erosion due to weather and rain exposure. It will therefore be necessary to ensure best practice with regard to topsoil management, to ensure soil loss is prevented and a good standard of reinstatement is achieved.

Social life and community

A construction yard will be created in the outskirts of Gabala town, for laydown of plant and material, maintenance of machinery and prefabrication of infrastructure components.

The main effects on the local community during construction are associated with the considerable disruption that the works will have within the town through excavation of defunct infrastructure and installation of new water mains and sewer pipes in the roads and connection of water supply pipes and water meters to individual properties. The proximity of the works to residents also raises the issue of health and safety, as well as traffic disruption and interference with access to houses, work places and public buildings such as hospitals and schools.

Another area of potential concern is contamination and possible spread of diseases among residents (and workers) caused by exposure to untreated wastewater during excavation and replacement of the existing sewerage network. The Contractor is responsible to ensure safety at the work site, both for workers and residents, and assure AZERSU that all works will be carried out safely applying safe working practices. All works shall be guided by existing safety regulations, sanitary rules and AZERSU work manuals.

1 Certain plant and equipment may be required to be maintained in a position closer than 50m from the water course (and are not able to be relocated just fro refuelling) and therefore special measures will be implemented to avoid spillage of fuels and oils, such as deployment of spill-retaining materials, mobile drip trays and the lack of specific training given to operators in this regard.

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Main water reservoirs (2 reservoirs, each with 1000 m³ capacity) will be constructed on a flat surface in Damiraparan River valley. An area of 100х100 m, including fence and a check-point will be used for the construction of reservoirs. Construction of reservoirs will have no negative impact on movement, economic activity and recreation of people. There is no populated area near the location.

The potential resettlement issues have been addressed in a separate Resettlement policy Framework (RPF) that has been developed for the project.

Safety at the work site, both for workers and residents has been discussed at length with AZERSU, who will ensure that contractors develop and implement safe working practices. At project induction stage the construction contractor will train its personnel on safety, environment and quality control. As well as implementation of all the safety rules. Works will be guided by existing laws, sanitary rules and AZERSU work manuals.

Analysis of alternatives

Introduction

This section presents the alternatives that were considered for the project, which includes the do- nothing option, in accordance with World Bank Policy and best practice. Three main alternatives were considered, namely do-nothing, water supply only; and the preferred scheme.

One of the key objectives in an EIA report is to analyze the environmental implications of each viable option and then compare the options to evaluate their environmental performance, which feeds into overall project design, along with cost-benefit and other factors. In this case, however, there is a general absence of site specific data on aspects such as the existing quality of wastewater discharges and their current effect on the environment. This is due to a lack of routine environmental monitoring by authorities and it should be also noted that many discharges from households are not formalized, as only a very small percentage (near 20%) of Gabala is covered by the sewer network. This makes it unfeasible to compare the quantified environmental effects of the ‘water supply only’ option with that of the ‘water supply and sanitation’ option. This is because more wastewater will be generated by supplying water more reliably for 24 hours per day, but it is not possible to predict where that wastewater will end up, as the majority of households are not connected to the sewer and use soak ways and the network has chronic leakage.

Do-nothing option

This option can be considered the worst-case scenario. The existing water supply system is inefficient and unreliable, often supplies poor quality water, and the wastewater collection system of sewer collectors do not exist.

The socially and environmentally damaging situation in and around Gabala town will be further exacerbated if no corrective action is taken. Lack of a sewerage system increases the potential of groundwater pollution, which, in turn, increases the risk of negative impacts on public health and welfare. Impacts on environment and water ecosystems - pollution of surface and ground water reserves, erosion and pollution of soil, degradation of vegetation - are possible. Continuation of such a situation is undesirable, especially with high growth rate of population and development of new business enterprises.

Insufficient water supply and no sewerage system will make people refusing to pay bills, and losses in water pipelines and etc. can make work of Gabala Water Canal Department economically inefficient.

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Water supply only option

This option includes total reconstruction of water supply system and supplying water from a new water source – better quality groundwater recourses under Damiraparan riverbed. With the confirmed average annual water flow rate being 4.59m3/sec, or 144.5 mln. m3, and estimated annual demand for the Gabala town being 2.36 mln. m3, the water abstraction would constitute 1.62% of the flow, which is deemed to be sustainable. Also, there are no settlements, i.e. no other current or potential users located between the river and the town. Due to the altitude of the river to be higher than the one of the town, no pumping stations are required for the transportation of water, as it will move by gravity.

Sewage is planned to be discharged to the Hamzali River without treatment.

According to this Option Gabala people will continuously be supplied with high quality drinking water, and it will cover 100% of the town population. Existing water supply system covers only 18- 20% of the town population. Water loss will be reduced, flow meters will help to save water and electricity, and payments by people and organizations will increase. Continuous and quality water supply will have positive impact on public health and reduce the infections risks.

Improved water supply system will increase the amount of sewage produced. Lack of sewerage network in the town will lead to pollution of groundwater around the town and increase its level, as well as leakage of wastewaters into nearby rivers. Discharging wastewaters into Hamzali River without treatment will destroy the ecosystems in river valley and will pollute groundwater under the river-bed. Discharging sewage into lower reach of Hamzali River will significantly pollute river water and destroy the natural ecosystems of the river valley as the River is very small and has no self- cleansing capacity. During low surface runoff seasons (winter, summer) water flow in the river is very low. This can increase the risks of infections among people living along the river bank.

Preferred option

This option includes total reconstruction of water supply and sewerage systems. The preferred water source is Damiraparan River ground waters, as mentioned above. Sewage is planned to be treated at the wastewater treatment plant and discharged into the Damiraparan River downstream the water intake.

According to this Option, 100% of the town population in Gabala will continuously be supplied with high quality drinking water. Water loss will be within accepted standards, flow meters will help to use water economically, payments by people and organizations will increase and power will be saved as well. Continuous and quality water supply will influence public health positively and remove the risks of water borne infections caused by wastewaters. Impacts on ground and surface waters will be minimal.

Construction of a new WWT plant compliant to the EU UWWT Directive standards is planned within the Project framework. Sewage treatment process will cover mechanical and biological stages. Sludge generated during the treatment process can be utilized for fertilizing agricultural land and ornamental planting in parks and/or trees planted in road sides.

Public consultation

Consultations with relevant Governmental organizations and the public are an important component of the EIA process. They often provide valuable insight in to the Project Area and act as a source of

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guidance in the scoping of the EIA study, ensuring that all the appropriate issues are addressed and that official organizations are in agreement to the scope of the study. According to Environmental Protection Law, consultations with local communities and NGOs must be conducted and their participation should be provided in all stages of project implementation. The national legislation includes for public consultation at the stage of drafting the ToR for the EIA study and then again once the draft EIA report has been prepared. This approach was followed by the project and public consultations were held in February 2008 and August 2009. It should be noted that, while the purpose of the initial consultations undertaken by AZERSU was to discuss the TOR, the actual discussion covered a wider range of issues related to overall nature and objectives of the project. The second round of consultations was focused on the Gabala scheme itself, with details of the location and benefits (see Annex 4).

In accordance with the social surveys general conditions were as follows:

• According to survey results most of the households using central water supply system pay monthly service fees regularly. • Those who decline payments are mainly refugees, IDPs and families with limited income. This situation is related to the economic transition status, with those better off willing to pay additional amounts for 24 hour quality water supply. • According to respondents monthly payments are made per each household dweller (86 %).People are ready to pay more service fees for an improved water supply and sanitation system. Most of the surveyed households agree to pay service fees for a completely reconstructed system. • Households prefer water supply and sanitation services to be managed by the state agencies. • Payments in return for water services are mainly being made in cash (88 %) on receipt of payment by the water supply department officials. Only 2% of the households submit their payments via bank/post office transfer.

Representatives of local communities affected by the project and NGOs were invited to attend the consultations. Azerbaijan has joined the Convention on Access to Environmental Information, Public Participation in Decision Making Process and Access to Justice in Environmental Matters (Aarhus, Denmark, 1998) in 1999.

The results of the public consultation showed that people viewed the project as very beneficial to the community and environment alike. Many people were interested in the degree of wastewater treatment and its environmental effects and potential usage, i.e. would it be suitable for downstream irrigation etc. In discussions between the Bank and AZERSU, it was agreed to hold additional public consultations and press releases will be disclosed at all stages of the project implementation in compliance with Azerbaijani laws on NGOs and Media, as well World Bank Policy on Disclosure of Information. Information about the project will also be disclosed on internet sites of AZERSU (www.azersu.az) and Caucasus Environmental NGO Network (CENN).

All parties involved in the project are mindful of the potential disruption to residents due to the large scale of work within the town and villages and it is planned to hold further consultation with residents prior to commencement of construction works. It has been agreed that the contractor will develop a traffic/work plan in consultation with AZERSU, the municipality and local residents, to minimize disruption caused particularly by the street works. All efforts will be made to synchronize work components, especially water and sewer networks, and to expedite sidewalk and pavement reinstatement. This approach will be included within the bidding documents, to ensure its implementation.

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There is possibility of conflicts with local people during the project implementation, because construction works will cause inconvenience. If any conflicts, these will be solved through mutual discussions and in accordance with the grievance mechanism in the RPF developed for the project.

Environmental Management Plan

This section of the report presents an Environmental Management Plan (EMP) for the Gabala scheme, which outlines the management mechanisms (i.e. working arrangements) for how the environmental and social elements of the project will be managed from construction through operation.

The purpose of the EMP is to ensure that any potentially negative environmental impacts during construction and operation are kept at an acceptable level. It sets out to ensure that all aspects of the works comply with the relevant legislation, license conditions and good practice, and that measures to mitigate impacts identified in the EIA are implemented. The EMP implements appropriate environmental controls and monitoring procedures during construction and after the work is completed.

The EMP contains environmental requirements which are required for the successful implementation of mitigation measures, environmental monitoring, emergency measures and environmental auditing. The implementation of mitigation measures and emergency measures shall be the responsibility of the Contractor. He shall ensure compliance with all environmental legislation, regulations, and conventions ratified by Azerbaijan Republic.

The Contractor will be contractually required to conform to the requirements specified in the EIA and EMP and will be accountable to AZERSU, as the client, through its Project Implementation Unit (PIU).

It is recommended (as agreed with AZERSU) that the PIU is supported in achieving project environmental and social safeguard objectives by support from a local environmental consultant. The consultant will advise and support the PIU in implementation of the EIA standards during construction and into operation.

There are several mechanisms of ensuring delivery during construction of both general and site specific mitigation developed in EIAs. One mechanism involves requiring the Contractor to further develop the outline requirements in an EMP by designing individual Management Plans (MPs), such as oil and fuel storage, waste management, traffic management and pollution prevention. This approach is specified for the project, as it encourages early evaluation of these aspects by the contractor and he produces a set of MPs that can be checked and verified on site and are auditable through the monitoring process. Table 7-1 outlines the content of the MPs to be produced by the contractor and their development will be assisted by the Environmental Consultant from AZERSU PIU, in conjunction with Bank Environmental staff in Baku. This approach for each individual scheme will benefit from oversight by the PIU to form a set of environmental requirements applicable to the project as a whole, which will ensure compliance of the work to both national and Bank standards. Such measures will be managed in the bidding and contract documents, so that an overall good standard of work is achieved. This approach also has benefits of institutional capacity training, as the knowledge and capability of AZERSU will be extended to effective environmental management and as each scheme comes on stream the PIU will benefit from knowledge gained on previous schemes.

A tabulated summary of the environmental management is presented in Table 7-2 of the main report and a brief summary of key aspects is presented below.

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The above mitigation will be monitored by regular inspections by the contractor supervisors and the PIU of AZERSU and supplemented by supervision inspections by the World Bank Baku staff.

Operational aspects

There are few mitigating measures required during the operation of the water and sanitation works. The main problem is the safe disposal and preferably effective use of the generated sludge that will need to be arranged between AZERSU and the Ministry of Ecology and Natural Resources (MENR). This is typically an issue without significant adverse environmental effects, as throughout Europe in compliance with the EU UWWT Directive, sludge is routinely processed to render it a useful soil additive or source of composting material. Theoretically, an option exists simply to dispose of sludge in a landfill, but this will not be in keeping with the objectives of the EU UWWT Directive, which encourages recycling of the sludge bio-matter. AZERSU as the operator of the WWT works will be required to conduct regular monitoring of the quality of the treated wastewater discharged, as well as that of the sludge generated, to ensure compliance to the design standards.

Construction aspects

Aspect Mitigation Responsibility Monitoring Noise, vibration and Consultation with residents. Adherence Contractor AZERSU general disturbance to agreed working hours and project and disruption to standards; use of mitigation techniques residents such as screens and good maintenance. Development and implementation of traffic management plan. Health and safety of Adherence to project standards, good Contractor AZERSU residents and signage, ongoing consultation with workers residents, including schools. All workers to use appropriate PPE and be trained at project induction. Safety fencing provided. Soil and water Project standards applied, including oil Contractor AZERSU pollution and fuel storage and management. Clean-up and emergency planning procedures developed and implemented. Wastewater Project standards applied, including Contractor AZERSU contamination safe removal of wastewater during renovation works, use of appropriate PPE by workers and ongoing liaison with residents and fencing off contamination Dust and nuisance Project standards applied, including Contractor AZERSU from material traffic speed restrictions, agreed timing delivery and and routes and material covered and transport ongoing liaison with residents. Soil erosion and Project standards applied, including Contractor AZERSU habitat soil erosion prevention by good soil reinstatement practice and drainage control. Good

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soil conservation measures and effective reins to prevent future erosion and soil loss. Imported material Project standards applied including Contractor AZERSU purchase of materials for licensed sources; no unauthorized borrowing of material. Disposal of Use of authorized sites for non- Contractor AZERSU hazardous and non- hazardous wastes disposal; support hazardou wastes and arrangements for setting facilities for hazardous waste storage Archaeological Adherence to agreed measures for any Contractor AZERSU protection late finds Resettlement Adherence to agreed RPF, which AZERSU World Bank aspects includes provision of replacement lands for lost access to plot of arable land.

AZERSU as the operator of the WWT works will be required to conduct monitoring of the quality of the treated wastewater discharged, as well as that of the sludge generated, to ensure compliance to the design standards. The discharge monitoring has been developed to include downstream quality measurements, from which it will also be possible to evaluate some of the environmental benefits of the project, as hopefully the aquatic habitats will return to their previously unpolluted state.

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1. Introduction

1.1 Project background and objectives

Gabala region is located in the north of Azerbaijan, 225 km from Baku on the southern slopes of the Great Caucasus Mountain Range. Total area of the region is 1548.5 km2 and the population is 90,200, of which 31,600 live in towns, including 11,900 in Gabala town which will benefit from the project.

The water supply and sewer system in Azerbaijan is characterized by old, damaged and largely defunct infrastructure, and is financially constrained and poorly operated. This results in the level and the quality of the water supply and wastewater treatment (WWT) services especially in small towns being significantly degraded. Water shortage and the use of dirty water for drinking have negatively affected health and welfare of the population accordingly. Uncontrolled flow of wastewaters to nondesignated areas has promoted the spread of various infections and caused environmental pollution.

To address this dire situation, the Government of Azerbaijan (GoA) and the World Bank are currently planning the implementation of infrastructure projects for water supply and WWT in small towns and regions. Commencing in 2007, the GoA started to develop projects for reconstruction and development of water supply and sewer system in administrative centers of 22 regions with the World Bank within the framework of the “National Water Supply and Sanitation Project”. One of these regions is Gabala.

Thus the main objective of the project is to provide a safe, reliable water supply and an associated efficient wastewater treatment system which complies with both national and EU discharge standards.

1.1.1 Purpose of this report

This report presents an Environmental Impact Assessment (EIA) of the project in Gabala. The EIA identifies potential impacts on the natural environment and the social situation in Gabala region during construction and operation of the project.

Where potential adverse effects are predicted, mitigation has been developed and its implementation is presented in an Environmental Management Plan (EMP) and Environmental Monitoring Plan (EMP).

This project has been identified as a Category A project in the World Bank classification for EIA (OP/BP4.01). This requires an EIA report and an Environmental Management Plan. Moreover, public consultations are required to discuss the project and the proposed environmental management plan.

A detailed description of the project is presented below in section 1.3.

1.1.2 Existing organizations for water supply and sanitation

Construction and maintenance of water supply and sanitation systems in Azerbaijan is managed by AZERSU Open Joint Stock Company (AZERSU) and its relevant departments.

Shares and facilities used by this company belong to the Government. In general, all its assets are controlled by the State Committee on Management of State Assets.

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The administrative structure of water supply and sanitation system comprises four levels, with the Cabinet of Ministers at the top; AZERSU joint Stock Company; “JointSuKanal” Limited Liability

Figure 1-1 Location of Gabala region

Company (LLC) responsible for water supply and sanitation (WSS) in small towns and rural settlements; and finally local SuKanals at the bottom which report directly to Joint SuKanal.

AZERSU is a financially independent body which receives no subsidy from senior bodies. Its main revenues are from water fees it receives from consumers.

1.2 Structure of the Report

The scope and contents of the EIA have been designed to be compliant with the operational policy and procedure of the World Bank (WB OP/BP 4.01). Following the criteria of the Bank for categorization of projects based on their potential environmental impacts, this project has been determined as category A, due to the potential overall environmental effects.

This EIA report includes the following sections:

1. Introduction and project description; 2. Policy, legal and administrative framework; 3. Baseline data;

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4. Environmental Impact; 5. Analysis of alternatives; 6. Public Consultations 7. Environmental Management Plan – EMP; • Annexes. Following an introduction and description of the project as presented in section 1, an outline of the policy, legal and administrative framework is presented in section 2. Presentation of the current state of the environment in the project area is presented in section 3.

Description of project environmental impacts, which includes analysis of cumulative project impacts are presented in section 4. This section assesses the potential impacts of the project’s construction and operation on the local environment. The studies cover: geology and soils; surface and groundwater; air and climate; noise; ecology; social and cultural heritage.

Measures to avoid or mitigate adverse environmental impacts identified in the preceding sections are summarized in the EMP and monitoring plan in section 7.

1.3 Description of the project

1.3.1 Purpose

A technical-economic assessment of the project (FS) was developed by ASPI Company in 20072. The main goal of the project is to replace all useless equipment and the pipeline system currently used for the water supply and sewer system in Gabala town with new ones and to ensure their long- term and sustainable operation. Project activities cover the following strategic issues:

• To provide a reliable water supply to all consumers in the project area;

• To supply sufficient volume of water to all consumers, based on their needs;

• To regulate the pressure so that water is supplied to every consumer.

The main management components for achieving the above are the following:

• Control of the losses in the water supply system;

• Distribution of water within the town network, based on the demand;

• Production of sufficient volume and good quality of water and its distribution to water supply network.

Groundwaters of Damiraparan River will be used as the source of water in the project. Construction of a new wastewater treatment plant and sewerage system covering all parts of the town, as well as prevention of discharging sewage to surface water bodies are some of the most important elements of the project.

Recognizing the difference in the new technology of the Project network, a training and equipment package is included in the Project. Relevant staff from AZERSU will be trained in the necessity

2 Water Supply and Sanitation Development Project in Small Towns. Feasibility Study. Gabala Town. Volume 1. May, 2007. ASPI

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aspects for effective operation of the water and sanitation service. Operationally-essential equipment will be included in the project, to enable sustainable operation of assets and delivery of an effective service to customers. The training requirements and training modules are currently being developed in discussions between the World Bank and AZERSU.

1.3.2 Design studies

The Feasibility Study has been conducted by consultancy company ASPI in 2007 and include the following: • evaluation of the existing water supply and sewerage system; • estimation of water demand through 2020 considering population and economic growth • evaluation of the existing surface and groundwater resources for the current water supply system; • studies of hydrological regimes, resources and quality parameters of water sources; • investigations of the hydrogeological conditions of Damiraparan River valley and its groundwater resources; • drilling of wells in the Damiraparan River floodplain and investigating the unconfined aquifer; • geological investigations of the areas where infrastructure for the project, including the administrative buildings, water intake areas and the reservoirs will be constructed; • options for water supply and sewerage system construction and operation and evaluation of alternatives.

Presently the detailed design for the project is available, which considers the following aspects:

Construction of Water Supply System

• Construction of 6 wells on the Damiraparan River for abstraction of groundwater • Construction of new main reservoir • Construction of the new water main • Construction of 4 new water storage facilities in each pressure zone based on the relief of Gabala town • Installation of new water distribution network in the town (HDPE or GPR pipelines buried in roads)

Construction of Sewerage Network and Wastewater Treatment Plant

• Construction of a new sewage collector network covering entire Gabala town • Construction of a new WWT plant (aeration facility)

1.3.3 Existing water supply system

Construction of a centralized water supply system in Gabala town started in 1959 and continued till 1970. A project was developed during the period of 1970-1974 to build a horizontal water collection facilities based on water resources under Damiraparan River bed. However, serious rain deluges and destructive water floods had left construction works incomplete. In addition, boulders stacked in the river course made construction works impossible at that time. Therefore, it was suggested to use artesian water sources located in lower elevation than the town. However, these water sources were not used because of their inefficiency both economically and technically.

Current sources of water supply in the town are the following:

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Duruca River water source

Water abstracted from the River by primitive methods is conveyed to a surface ground pond with an approximate volume of 1200 - 1400 m³ (Fig. 1-2). And “purified” water is then conveyed to a concrete water storage with a volume of 1000 m3 by 219 mm and 159 mm OD pipelines. The pond is almost full with sludge, and its use will soon become impossible.

Our observations during the site visit on August 14-15, 2009 showed that all of Duruca River water in the outlet is abstracted and transported to Gabala town as Damiraparan River water cannot be used after deluges of rainfall. According to Gabala SuKanal office, Damiraparan River water resources are usually used in normal times.

Figure 1-2 Abstraction and “purification” of Duruca River water Damiraparan River water source

Water abstracted from the River is conveyed to a pond with an approximate volume of 3000 m3 which is used as a purifying facility and then to the water reservoir. The pond is full with sludge. Despite high sludge content of the river water (especially during spring and autumn seasons), it is transferred to the pressure zone with 1000 m3 storage capacity. Volume of water abstracted from Damiraparan River is estimated at 5 l/sec.

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Figure 1-3. Water collecting (“purification”) pond on Damiraparan River

Figure 1-4. Location of existing water sources

1.3.4 Wastewater treatment system

There is no sewerage network in Gabala town. Existing wastewater collection system consists of street sewage collectors and main interceptor. These collectors were constructed during 1980-1985. Total length of collectors is 9.47 km, and the main interceptor is 4.36 km long with 500 mm OD. This old system can only connect 18.5% of the town, which means only 20% of people

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supplied with drinking water can make use of sewerage system. The rest of the people just have to use soaking pits, which leads to soil and groundwater pollution.

There is no WWT plant in the town and had never been. Wastewaters conveyed from the town by 500 mm OD sewerage pipe were supposed to be treated at Tobacco Factory water treatment works. This facility is currently dysfunctional and completely destroyed. Wastewaters are discharged to low foothills in the south-west of the town (Fig. 1-5), which then spread out and soak into the soil and then filtrate into Hamzali River through underground pores. This area is 2-3 km by length and 500-600 m by width and used as a dumping-ground as well. Overall, full insanitary situation dominates in this area.

Figure 1-5 Wastewaters of Gabala town

1.3.5 Design factors for water supply

Groundwater resources under Damiraparan River bed will be used as a water source for water supply system.

The design of the water supply system has been developed for the 20-year horizon i.e. 2027 and will cover 100% of Gabala population. Water supply system and the capacity of equipment, as well as operation period are designed for this horizon. The gross water demand (peak hourly demand) has been calculated as 210 l/day per capita (including expected losses).

4312 m³/day in 2008-2012 and 5525 m³/day in 2022-2027 water consumption is estimated in the town, including the demands of industrial, commercial and administrative entities.

Suggested water supply system includes the following:

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• Damiraparan River groundwater abstraction;

• New reservoirs above Gabala town;

• Pressure zones within Gabala town (4 zones); and

• Distribution network within the town.

In early 2009 AZERSU engaged (ISO certified) consultants to undertake a water quality investigation of the water sources that are to be exploited for this national water supply project. The sampling and laboratory analysis followed certified sampling and analysis protocols and compared the results against the EU Drinking Water Directive (98/83/EC); World Health Organization (WHO); US EPA; and GOST standards. The results showed generally very good compliance of the Gabala source against the standards of the EU Directive ‘on the quality of water intended for human consumption’ (98/83/EC), but with non-compliant microbiological samples, for which chlorination of the supply will be required. Chlorination is routinely supplied to drinking water supplies throughout the world to provide ‘within system’ disinfection, i.e. even if the source water is compliant to bacteriological standards, the residual chlorine in the supply network provides disinfection of any bacteria that may enter the system, for example during repair work. The levels are generally low and do not have an adverse effect on the ultimate efficiency of the wastewater treatment system or its subsequent discharged effluent.

Water collection and distribution:

Water source will be groundwaters under Damiraparan River bed which are located at 5 m depth in river floodplain (Fig. 1-6). Water collection facility, which is 150 m by length and located away from river course will have 3-4 l/sec flow rate per every 50 meters. This allows to build and operate a facility for collecting groundwaters under Damiraparan riverbed. Total of 6 wells are planned to be drilled which will be 30 to 50 m deep. Location of water wells will be designed so that they can substitute horizontal water intake facility built in the middle of the riverbed. Such a deep level of ground waters allows better and more infiltration of surface waters entering the system.

Each well will be able to produce 12.5 l/sec of water and minimum fluid level in wells is estimated 20 m. Therefore, pump intake shall be at least 25 m deep. Power consumption of each well is estimated at 1.5 kW/hour.

Water will gravitate to water reservoir facility since water sources are located above the town and there is no settlement along the pipeline route. This eliminates pollution of water from various sources along the way. Total amount of water used in water supply will be 45 l/sec.

Produced water will be conveyed to a new water reservoir on right bank of Damiraparan River by 63 mm OD (HDPE) pipes. Total length of pipelines will be 2,700 m.

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Figure 1-6 Damiraparan River site where new wells will be drilled, and view of the water source

General water reservoir

Water produced from Damiraparan and Duruca rivers is stored into a general water reservoir where it is chlorinated and then conveyed to town water supply storages. Amount of water entering the general water reservoir will be 75 l/sec (6480 m3). There will be two reservoirs, each with 2000 m3 capacity and chlorination facilities at the site. The site will be fenced in 100m x 100m and an access/security gate will be set up.

Water enough for 7 hours during maximum daily water demand will be reserved in water reservoirs which allows enough time to maintain both of water mains pipelines.

Water main

This main pipeline will consist of two sections: 1) pipeline transporting water from general water reservoir to Pressure zone 1 water storage facility which is located at 950 m; 2) pipeline connecting Pressure zone 1 to the others.

Both sections will be built of HDPE pipes. The first part – water main - will be 2,700 m long with 280 mm outside diameter.

The second section of the water main will connect Pressure zone 1 with the rest of the pressure zones within the town to deliver water to entire water supply network. The water main is rated for the maximum daily water consumption season, i.e. 5942 m3 (or 68.77 l/sec). This is the initial flow rate, and it varies from zone to zone. OD of the pipeline varies from 280 mm (2,700 m long) to 250 mm (1,750 m), 225 mm (1,300 m) and 160 mm (2,198 m) ccordingly from upper parts of the town downwards. Total length of the water main will be 7,948 m.

Water distribution network:

• All components of the water supply network within the town is rated to maximum water inflow entering the water reservoirs during the maximum daily water consumption season and maximum amount of water distributed to water supply network from water reservoirs during the maximum water consumption hours;

• Regulating water storage reservoirs - two with 500 m3 capacity each in Pressure Zone 1, one in each of Pressure Zone 2 and Pressure Zone 3 with 600 m3 capacity and two with 500 m3 capacity

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each in Pressure Zone 4 - will be constructed to continuously supply water to consumers in all 4 pressure zones in all seasons.

• Road layout: one pipeline on one side of the road to be laid in roads with a width of less than 15 m, two pipelines (one on each side) to be placed in roads wider than 15 m and in the roads having a median strip;

• Flush valves shall be located at each low point of the pipeline, at locations near creeks and min. every 2-3 km for operational, repair and maintenance purposes;

• Each high point of the pipeline and minimum every 2-3 km distance of pipeline should be equipped with pressure relief valves for maintenance, repair and operational purposes.;

• Pressure maintenance scheme in water distribution network has been determined in 4 pressure zones based on relief of the area.

• OD of pipeline in water supply network in town will be 200mm, 150 mm and 100 mm. Total length of water distributing pipelines will be 97,545 m.

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Figure 1-7 Location scheme of new water supply and sewerage network proposed for the Project

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1.3.6 Sewerage system and wastewater treatment

Design factors for wastewater treatment

Wastewater treatment infrastructure will consist of refurbishment, repair and extension of the sewerage network, sanitary household connections, sewage collectors and interceptors, and a new wastewater treatment plant.

The wastewater produced in Gabala town will be domestic and industrial close to the composition of domestic wastewaters due to the lack of heavy industry in the area. Only small amount of wastewaters is currently flowed out of the town without disinfection. Most of the wastewaters soak into ground in the town or discharged into rivers.

Wastewaters will be treated in accordance with the requirements given in Annex 3, specifically compliant to the requirements of the EU UWWT Directive (91/271/EEC). This Directive specifies the approach to the collection and treatment of urban wastewater for various population equivalents and advocates standards of treatment and discharge for a p.e. (population equivalent) of >15,000, which is the case for Gabala. 1 p.e. is expressed as the organic biodegradable load having a five-day biochemical oxygen demand (BOD5) of 60g of oxygen per day.

The treatment standards are given in Annex 3 and the key parameters are given below in Table 1- 1.

Table 1-1 Key discharge parameters for UWWT Directive Parameter Concentration Minimum percentage reduction

Parameter Concentration Minimum percentage reduction

BOD5 25 mg/l O2 70-90

Chemical oxygen demand (COD) 125 mg/l O2 75 Total suspended solids (TSS) 35mg/l 90

Under the Soviet system, chlorination of effluent (for disinfection) was the norm and this was of course advocated by AZERSU as well. However, disinfection is not the norm in Europe and in fact the addition of chlorine is a biological hazard to the aquatic ecosystems to which the effluent will be discharged. It would be preferable to use ultraviolet (UV) radiation or rely on natural exposure to UV to reduce bacteria loadings in the final effluent. This EIA therefore strongly recommends that UV sterilization is provided and not chlorination of the effluent. This recommendation has already been passed to AZERSU, and they are in agreement in principle.

Azerbaijan plans to move towards harmonization with many EU environmental quality standards, and in discussions with the World Bank the Government has agreed to adhere to the UWWT Directive standards. The Cabinet of Ministers has approved the application of these standards for the national project and has confirmed this in a letter to the Bank.

The UWWT Directive also provides for enhanced treatment requirements for in the case where the receiving waters are considered as sensitive, i.e. prone to eutrophication, if levels of nitrogen and phosphorus become elevated. The definition of sensitivity is specifically referenced in the Directive, as being waters that are sensitive to eutrophication, for which the discharge of ‘standard’ treated effluent may have adverse effect and therefore nutrient removal is warranted. Such considerations and the specific treatment and associated infrastructure would normally be determined as part of

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approximation of the Directive into national law of the Member State, however this is not the case here. Furthermore, it can be assumed that the receiving waters are not sensitive (i.e. not prone to eutrophication) and indeed have been subject to discharge of untreated water for many years. Thus the standard levels of treatment advocated in the Directive shall apply (see Annex 3 for details).

Even if the waters did (perhaps originally) support particular species or assemblages, the degree of treatment provided for compliance to the EU UWWT Directive would remain the same, as dilution of the effluent containing BOD5 of 25mg/l, COD of 125 mg/l and TSS of 35mg/l, would be unlikely to have an adverse effect. Put another way, the Directive establishes basic effluent treatment standards, unless the receiving waters are sensitive to eutrophication, for which nutrient removal is justified (effluent to contain a maximum of total phosphorus 2mg/l and total nitrogen 15mg/l) and compliance to the Directive would be achieved for these ‘non-sensitive’ waters as specified in the Directive.

The consideration of any other ‘sensitivities’ in the watercourse would be an issue between the Environmental Authorities, but would be outside of the remit of compliance to the UWWT Directive.

Average daily volume (annually) of wastewaters delivered to the WWT plant will be around 5,000 m³, allowing for extraneous water.

In addition, the sludge generated in the WWTW shall be disposed of in accordance with the EU Directive (see Annex 3 for the standards and requirements). The UWWT Directive sets broad objectives with regard to the disposal of sludge per se, encouraging what it terms ‘recycling’, stating that it should be re-used wherever possible and strongly discouraging its disposal to surface waters. It goes on to say that the disposal of sludge should ensure protection of the environment. Annex 3 presents environmental monitoring guidelines for sludge that is to be disposed of to agricultural lands. As per the UWWT Directive, sludge recycling is to be encouraged and an obvious use is as a fertilizer and/or soil conditioner in agricultural land, however the disposal must not case environmental damage, through for example residual heavy metal or other harmful residuals.

Sewerage system

As mentioned above, the existing sewerage collectors have little to do with urban sewerage system, because these collectors are mainly for transportation of sewage from recreation zones and tourist centers. The main interceptor serves only for the transportation of wastewaters from households located around the main street. However, the existing sewerage system looks like a temporary building.

Construction of a new sewerage system covering the entire town is planned. Sewerage network will consist of water collectors and interceptors.

Average flow rate in wastewater collectors is estimated at 5,000 m3/day or 57.9 l/sec. The relief of Gabala town allows for gravity transportation of sewage flows, thus no pumping station will be required. A network of wastewater collectors with total length of 94,814 m will be constructed. Diameter of collectors will be 200-350 mm. The main interceptor will be 4,200 m long with 400 mm OD. Using GRP (glass reinforced plastic pipe) pipes for construction of wastewater collectors is more adequate.

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Wastewater treatment

The proposed location of treated waste water discharge is the one of the abandoned Tobacco Factory WWTP. This area is also next to the Gabala Radio Location Station (RLS) WWT facility (see Fig. 1-7), with similar treatment technology applied. The Gabala WWTP waste waters will be treated to a higher standard

FS suggests higher degree of wastewater treatment by constructing a new plant in the above- mentioned area and keeping the discharge scheme the same. This plan will help to prevent pollution of surface waters in the area. Wastewater treatment facilities for the Project will be modern and use better treatment methods (mechanical and biological). Regional office of the MENR will regularly supervise WWTP during the operation phase.

Use of aeration facilities is planned in the Project. Aeration units are for biological treatment of wastewaters through aerobic stabilization of activated sludge by “full oxidization” method. Biological treatment is the process of biochemical fragmentation of organic substances with microorganisms. Water treated by this method is transparent, does not deteriorate, with significantly higher resistance to bacterial pollution.

Aeration unit consists of three sections: aeration, sedimentation and aerobic deterioration. Big solids break down and enter the aeration zone as the water is filtered through lattice. Compressed air pumped into water enriches it with oxygen, which facilitates fragmentation of organic matter and kills bacteria, and as a result, purifies water.

Treated water then conveyed to the second sedimentation area. Activated sludge settles here and clean water is abstracted. Sand traps are installed at the entrance of aeration unit. The modern aeration units of various capacity are capable to treat water to required EU standards.

1.3.7 Preferred scheme summary

Water supply

• Abstraction of Damiraparan Riverbed groundwater through six new wells and transportation to water supply system; • Transfer of water abstracted from the water source to main reservoirs and delivery to water supply network by gravity feed; • Four new underground reservoirs for feeding gravity distribution zones; • New distribution network.

Wastewater treatment

• New WWT plant; • Construction of a wastewater collection system using GRP

1.3.8 Construction aspects

Prospective contractors are likely to be national or national in a joint venture with a foreign contracting company. The work force required for the works is not likely to be so large as to warrant a construction worker camp to house project workers and as such construction worker camps will not be required. Construction facilities (construction yard) for material and equipment laydown and maintenance will be required and will be securely fenced and controlled sites, to prevent unauthorized access by people or livestock.

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The pipe laying operations will require excavation of a trench to the required depth and width and then placement of padding (sand) on the trench base, before laying of the pipe. Once all connections of the pipe have been made, the trench area around the pipe is backfilled with suitable material (intimate padding), which should be material that will not damage the pipe. Then the remainder of the trench will be backfilled using some of the excavated material. This operation will give rise to the need for imported sands, or finer grained material for at least the padding. Borrowing of material raises the issue of potential environmental impact and therefore this issue is addressed in the EMP, by requiring the Contractor to use licensed/approved sources, which has been made a contractual requirement. Bank staff will also conduct environmental due diligence inspections of all material sources.

The reinstatement of roads will also require new covering of asphalt, which is expected to be purchased by the Contractor, as the volumes will probably not justify establishing an asphalt plant. The need for prefabrication of building elements, such as walls may mean that the Contractor will establish a small concrete batching plant. The contractual requirements will be for full compliance to the EMP to minimize adverse effects.

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2. Policy, legal and administrative framework

2.1 Relevant institutions

2.1.1 Government organizations

The Azerbaijan Government is ultimately responsible for environmental protection. The Ministry of Ecology and Natural Resources (MENR) is the central state institution controlling the protection of the environment, through application of environmental rules and ensuring adherence to norms and standards.

The National Hydrometeorology Department of MENR is responsible for registration and monitoring of surface water bodies and the Geological Department of MENR is assesses ground water resources.

The State Melioration and Water Systems Agency is the responsible institution for use of water, exploitation of water storages, canals facilities and supply of irrigation water. AZERSU JSC carries responsibility for water supply for people, houses, industrial and public entities and for operation of sewer and WWT systems.

According to Article 42 of the Environmental Protection Law, EIA should be prepared by independent experts and submitted for public discussions. The document becomes effective after being approved by the State Ecological Examination (SEE), a department of MENR. MENR also approves Environmental Passports and issues licenses for management of hazardous wastes.

The State Committee on Soil and Cartography regulates use of soil, and State Registration of Real Estate Service carries out registration of real estate, including registration of land owners.

The Ministry of Emergency Situations (MES) is the responsible institution for management of natural disasters and industrial accidents. MES also controls the implementation of safety rules in construction, mining and industry.

The Ministry of Health is the state institution controlling the sanitarian-epidemiological situation in the country. The ministry also regulates health protection in work places. State Metrology and Standardization Service determines relevance of and quality and quantity standards for units of measurement, and carries out governmental policy in this area.

2.1.2 Non-Governmental organizations

There are a range of environmental NGOs operating in Azerbaijan, with over 50 established in recent years, many motivated by the environmental contamination resulting from the oil industry, since Soviet times.

Many of the NGOs are affiliated with the Caucasus Environmental Network, which receives support from the international community, including Eurasia Foundation, USAID, UNDP and the World Bank. Several NGOs participated in the public consultations for this project.

2.2 World Bank Safeguard Policies

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The World Bank requires an environmental assessment (EA) of projects proposed for Bank financing to help ensure that they are environmentally sound and sustainable (OP 4.01). Environmental Assessment (EA) is such a process effects, scale and type of which depends on potential environmental impacts, especially volume of the suggested work.

The purpose of EA and its management is to identify potential environmental risks and spread of their impacts to project areas; to analyze alternatives; to decide ways of making choice; to determine locating, planning, projecting and implementing, as well mitigating measures; to compensate for negative effects on environment and reduce them to minimum; and to identify positive environmental effects.

EA includes environment (air, water and soil); human health and safety; social aspects (deportation, living and historical-cultural areas); and transboundary and global aspects.

All changes, which can possibly take place in the country, including ongoing ecological researches, national environmental plans, political framework of the country, laws and responsible organizations on ecological and social aspects, country’s behavior on international treaties and conventions are also taken into account in proposed projects. The Bank does not finance any project, including any EA project, which does not comply with country’s commitments.

The following are the issues that the Bank requires to focus on and consider important during EA process:

• Major initial environmental indicators;

• Compliance with environmental regulations of Azerbaijan;

• Sources of social assessment;

• Analysis of alternatives;

• Public participation, discussions and consultations with public and organizations;

• Openness of information.

2.3 Existing EU legislation

The main EU environmental legislation relevant to this Project is as follows:

• European Commission (1997) Council Directive 97/11/EC of 3 March 1997 amending Directive 85/337/EEC on the assessment of the effects of certain public and private projects on the environment OJEC L 073 14/03/1997 p5-15, known as ‘the Directive on EIA’

• European Commission (2003) Council Directive 2003/35/EC of 26 May 2003 providing for public participation in respect of drawing up of certain plans and programs relating to the environment and amending with regard to public participation and access to justice Council Directives 85/337/EEC and 96/61/EC OJEC L 156 25/06/2003 p17-23, known as ‘the Directive on Public Participation.

• European Commission (1979) Council Directive 79/409/EEC of 4 April 1979 on the conservation of wild birds, known as ‘the Directive on Birds.

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• European Commission (1992) Council Directive 92/43/EEC of 21 May 1992 on the conservation of natural habitats and of wild fauna and flora, known as ‘the Habitats Directive.

• Urban Wastewater Treatment Directive (97/271/EEC), as amended

• Drinking Water Directive (98/83/EC).

2.4 Environmental Conventions

Azerbaijan is the signatory of the Environmental Conventions given in the Table 2-1 below.

Table 2-1 International Conventions ratified by Azerbaijan Republic

Convention Year ratified International Convention on Protection of World Cultural and Natural Heritage (Paris, 1993 1972) Framework Convention of UN on Climate Changes (1992) 1995 International Marine Organization Convention 1995 Vienna Convention on Protection of Ozone Layer (1985), followed by Montreal protocol 1996 Convention on Fight against Expansion of Deserts - 1994 1998 Convention on Trade in Endangered Species of Wild Fauna and Flora – CITES (Rio- 1998 de-Janeiro, 1992) Convention on Conservation of European Wildlife and Natural Habitat (Bern, 1979) 1999

Convention on Access to Environmental Information, Public Participation in Decision 1999 Making Process and Access to Justice in Environmental Matters (Aarhus, Denmark, 1998) Convention on Environmental Impact Assessment in a Transboundary Context 1999 (ESPOO, 1991) Convention for the Prevention of Pollution from Marine Vessels (MARPOL) (1973/78) 1999 Convention on Biodiversity (Rio-de-Janeiro, 1992) 2000 Kyoto Protocol, 1997 2000 Rome Convention on Protection of Vegetation 2000 Convention on the Protection and Use of Transboundary Watercourses and 2000 International Lakes (Helsinki, 1992) Basel Convention on the Control of Transboundary Movement and Management of 2001 Hazardous Wastes (Basel, 1989) The Convention on Wetlands of International Importance (Ramsar, Iran, 1971) 2001

Convention on Long-Range Transboundary Air Pollution (Geneva, 1979) 2002 Stockholm Convention on Persistent Organic Pollutants (2001) 2003 Convention on Transboundary impact of industrial accidents– 1992 2004 OPRC, 90 Convention 2004 Framework Convention for the Protection of the Marine Environment of the Caspian 2006 Sea (Tehran, 2003)

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2.5 Environmental laws and regulations in Azerbaijan

2.5.1 Main laws

The main legislation relevant to EIA in Azerbaijan is given in Table 2.2. Main law on environmental protection and regulating its efficient use is the Environmental Protection Law (1999). The Law states main principles of preservation of nature, rights and obligations of government, public institutions and citizens in this area; determines objectives of users of nature in conducting environmental monitoring, term of “ecological insurance” for dangerous activities, and establishes volunteer and compulsory environmental audit of economic activities. Basic responsibilities for violation of its requirements have also been formulated.

Table 2-2 Main environmental laws in Azerbaijan

Legislative Acts Year adopted Environmental Protection Law 1999 Environmental Safety Law 1999 Specially Protected Natural Areas and Objects Law 2000 Radiation Safety of Population Law 1997 Sanitarian-epidemiological Safety Law 1992 Protection of Atmosphere Law 2001 Soil Code 1999 Industrial and Domestic Wastes Law 1998 Water Code 1997 Radioactive Wastes Law 1994 Soil Productivity Law 2000

The law establishes basic standards of environmental quality, environmental requirements for economic activities, and sets requirement for state and local environmental monitoring.

Quality of environment is included in environmental standards:

• Maximum concentration limit of noxious substances (MCLNS) in environment; • Tolerance limits of noxious substances discharged to the environment; • Levels of radiation safety; • Sanitary-hygienic norms and standards.

Violation of above-mentioned norms and requirements can result in termination or restriction of business activity.

The main goals and objectives of State Ecological Expertise (SEE) and Public Ecological Expertise (PEE) are included in the Environmental Protection Law and includes assessment and approval of EIAs and their role in environmental and construction permitting. Implementation of recommendations of State Ecological Expertise is compulsory. Public opinion is necessary for making optional or alternative decisions, but different from environmental expertise (EE) and SEE recommendations, this is informative and suggestive.

2.5.2 Regulations on water supply and use of water

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The main law on water supply and efficient use of water resources is Azerbaijan Republic Water Code (1997).

The list of norms and standards valid in Azerbaijan is given below, considering parameters of pollutants and elements:

• “Rules for protecting surface water sources form impure water contamination”. State Committee on Environment and Control over Use of Natural Resources. Baku, 1994;

• “Standardizing rules for use and protection of water sources”, Resolution #2006 of the Cabinet of Ministers of Azerbaijan Republic, October 15, 1988, article 8;

• “Developing draft version of MCLNS standards for enterprises applying technical standards and tolerance limits of waste and recommendations on its content”. State Environmental Committee, 1994;

• Handbook for standardizing concentration of noxious substances discharged into atmosphere and water bodies. State Environmental Committee of USSR. Moscow, 1989;

• State Standard #17.0.0.04-90. Recommendations for filling and updating environmental passport of an enterprise. State Environmental Committee of USSR. Moscow, 1990;

• State Standard 17.0.04-90. Environmental passport. Baku, 1990.

•Rules for use of water objects for cultural and community purposes, recreation and sport purposes. Resolution #216 of the Cabinet of Ministers of Azerbaijan Republic (1998).

• Allowable limits of detrimental effects to fishery water bodies. Resolution of the Cabinet of Ministers of Azerbaijan Republic (1999).

• Guidelines on regulating discharge of pollutants into atmosphere and water bodies. Goskompriroda USSR, 11.09.1989 No.09-2-8/1573

• Rules for state control over protection and use of water bodies. Resolution #198 of the Cabinet of Ministers of Azerbaijan Republic (1998).

• Resolution #150 of the Cabinet of Ministers of Azerbaijan Republic on Application of rules for paid use of water in Azerbaijan Republic (1996).

• Regulations on development and application of limits for use of water. Article #8 (15.10.1998. Council of Ministries’ Decision No: 206).

• Resolution #122 of the Cabinet of Ministers of Azerbaijan Republic on Application of fees for use of natural resources, discharge of pollutants into environment, and on use of funds formed from these sources (1992).

• Regulations on processing, preparation, submission, state expertise, approval and application of systems for comprehensive use and protection of water resources – Article #8 (15.10.1998, The Cabinet of Ministers Resolution #206).

• Radiation Safety Norms QN 2.6.1.054-90 (NRB-90);

• State Standard 2874-82. Drinking Water. Hygienic Requirements and Water Quality Control;

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• SNIP (Construction Norms and Regulations):

• For water treatment plants: SNIP 2.04.02-84; State Construction Committee, 1985; • For wastewater treatment plants: SNIP 2.04.03-85; State Construction Committee, 1985;

• Resolution of the Cabinet of Ministers of Azerbaijan Republic on approval of norms for maximum concentration limits of dangerous substances in air, soil and surface water bodies. 2000.

Standards for various environmental elements valid in Azerbaijan are given in Annex 3. Azerbaijan Republic is a member of international organizations on environment and standardization. Partnership and Cooperation Agreement (PCA) between European Union member countries and Azerbaijan (signed on April 22, 1996 in Luxemburg) became effective from June 22, 1999, which indicates high level of cooperation between the two sides.

According to article 50 of this agreement, Azerbaijan should attempt to “Promote use of technical rules of the Union in this area and application of European standards and compliance evaluation methods” within “Cooperation in the area of standards and compliance evaluation”. Under article 50 of the Agreement – “Environment” Azerbaijan has taken commitment to “Improve national legislation on the basis of European standards”.

European Commission recommendation on involving South Caucasus countries in European Neighbourhood Policy (ENP) was confirmed in Brussels Summit of heads of states and governments of European Union countries held on 17-18 June, 2004.

Within the framework of European Neighbourhood Policy “European Union – Azerbaijan Joint Plan of Actions” was signed in 2006. The following are recommended to Azerbaijan in this document:

• Integrating into EU and international legislation and management practices in the area of standards, technical regulations and evaluation of compliance;

• Improving procedures and institutes for evaluating factors affecting environment, including adopting and applying relevant laws;

• Preparing framework legislation and main procedures, and providing the planning for main environmental sectors, especially for air quality, water quality, management of wastes, protection of environment classified in national plan of actions on environment, and continuing the process of adapting to European requirements.

Complete reconstruction of water supply and sewer systems of 43 cities and towns of Azerbaijan and construction of relevant plants and networks is planned within the framework of I and II projects of National Water Supply and Sanitation financed by the World Bank. The World Bank recommended GoA to use international and European standards to implement these projects in high level.

Suggested standards are the following;

• Water Supply and Sanitation: British Standards (BS), British Water Industry Standards (BWIS), DIN Standards, ISO Standards, AWWA (American Water Works Association) Standards, European Norms (EN);

• Construction and electromechanical equipment: British Standards (BS), DIN Standards, ISO Standards, AWWA (American Water Works Association) Standards, European Norms (EN);

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• Working projects on Wastewater Treatment Plants: ATV 301 Standards.

2.5.3 Environmental Management Institutions

Norms and rules established for implementation of acts of legislation are compulsory for all institutions regardless of their legal form. Norms and rules become effective after being approved by the Cabinet of Ministers.

All organizations have health, safety and environment department. They provide implementation of all norms, rules and standards, and are responsible for keeping appropriate records and conducting trainings.

It should be noted that sometimes uncertainties and parallelisms are encountered in environmental management. This is mostly due to unclear legislation and regulations, in other cases, are the result of misuse of power by ministries. For example, SEE in MENR carries out EIA and expertise Ecological Passports on the one hand, and Ecological Centre in MENR prepares EIA. This is contrary to rules established in EIA Guidelines (i.e. EIA should be prepared by independent consultants).

Another problem is poor coordination of activities among authorized institutions. This sometimes causes conflicting issues. Such kinds of issues include, but not limited to, standards control, private ownership and state registration of lands etc. To solve the above mentioned problems, relevant changes to regulations and strengthening control over their implementation are required.

2.6 Environmental Impact Assessment rules

In 1996, Azerbaijan Government adopted amended EIA procedures corresponding to the systems applied in other countries. New rules have been described in the Regulations for Conducting Environmental Impacts Assessment in Azerbaijan Republic.

These Regulations state that “assessments of wastes discharged into environment should start in the beginning, i.e. in the planning stage and before technical-economic assessment.” According to Environmental Protection Law, development of EIA for all projected enterprises having potential impacts on environment is compulsory. Requirements established for development of EIA match with World Bank requirements (OP/BP 4.01).

2.7 Land acquisition and Resettlement

Land acquisition and resettlement required under this project will be governed by a Resettlement Policy Framework that has been developed and approved by AZERSU and is acceptable to the World Bank.

The procedure involves the Project Implementation Unit (PIU), in this case AZERSU, determining the legal status of affected lands and then determining the compensation mechanism, taking into account that users may actually have legal tenure or permissions to use the affected land. The final step involves agreement and payment of compensation to project affected people/person (PAP) at the stage of detailed design and before construction commences. The compensation could take several forms, involving land swap or monetary payment.

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3. Baseline data

3.1 Introduction

This section of the report presents information on the baseline environmental conditions, against which the potential impacts are assessed.

The study methodology included review and use of data from the FS; site visits by the local environmental consultant; data collection; and results of the public consultation. This was supplemented by a site visit on 26/11/2009 involving the local consultant, AZERSU, Bank staff and a visiting Bank environmental consultant.

3.2 Geology, soils and land use

Relief of Gabala region is mainly mountainous. North of the region is covered by the southern slopes of the Great Caucasus Mountain Range while central part by Alazan- Haftaran valley and south of the region by Ajinohur rolling hills. Northern border of the region is located along the watershed of Great Caucasus Mountain Range. Highest peaks are Bazardüzü (4466 m), Bazaryurd (4126 m) and Tufandagh (4206 m) which are new glaciers. A number of river cones have been formed in a zone where highly inclined foothills join Alazan-Haftaran valley. Gabala town is located at the outset of Damiraparan River cone.

Jurassic and Cretaceous deposits are widespread to the north of the region while anthropogenic deposits dominate in central and southern parts. Clay deposits and mineral springs (Bum, Gamarvan and etc.), various rocks and construction materials in high mountainous areas are widespread. Water erosions, weathering and landslides are common in these areas. Widespread cracked rocks play great role in filtrating snow and rain waters into groundwaters. Forests extend over wide areas in mid mountainous zone which create favorable environment for formation of groundwater resources.

Gabala is one of the ancient regions of Azerbaijan Republic exploited since old times and intensively cultivated depending on characteristics of its landscape. The following soil types are found in Gabala region: caespitose grassland; brown highland forestland; gray highland-forestland; alluvial grassland-forestland; dark brown highland.

The above-mentioned soil types are evenly distributed in the region in order of horizontal height. Therefore, various soil types expanding from low hills to highlands and mountains formed under different climate circumstances vary for their genetic, physical, chemical and mechanical characteristics, as well as for the intensity of exploitation. The amount of humus in soils comprises 3-4.0%.

Soil types found in Gabala region allow cultivation of various plants. Total area of cultivated Lands are 84,600 ha, of which 48,500 ha are used as pastures for livestock. Cereal production and animal husbandry are the main agriculture sectors. Secondary areas include sheep-breeding, gardening and vegetable-growing.

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3.3 Air and climate

3.3.1 Climate

Two main climatic zones dominate in Gabala region: 1) Mild-hot climate with short snowy winter; and 2) Mild-hot mountainside and arid mountainous climate with dry winter. Common average monthly and annual climate indices are given in Table 3-1. Average annual temperature may vary from 11.5 oC to 12.4 oC. Changes in average annual temperature usually occurs from north-west to south-east. The coldest months of year are January and February. Average monthly temperature in these months can vary from -2.7 0C to -10.9 0C. 23-24 0C and higher temperature is observed during the hottest months of July and August.

Absolute maximum and absolute minimum temperatures can reach 34-35 0C and -20 0C respectively.

Evaporation from water surfaces and ground increases with increase in weather temperature and wind speed. Amount of evaporation can be 1 mm/day in winter and 4- 5 mm/day in midsummer. Evaporation decreases from east to west and varies between 720 mm and 950 mm annually, 10% of which occurs in winter time and 68% in summer time (May-September). Humidity is low everywhere.

Table 3-1 Main climatic indices of Gabala region Average humidity, Average monthly temperature, oC Wind speed, m/sec. Monthly % Months precipitation, Average Absolute Absolute Monthly Average Absolute Maximum Minimum Average Minimum mm monthly max. min. average max. max. 1 0,3 4,6 16,4 -2,7 -8,4 83,2 67,1 1,0 1,6 10,8 42,1 2 0,7 5,6 15,0 -2,7 -10,9 80,9 63,2 1,0 1,8 14,6 63,4 3 4,5 9,6 18,5 0,9 -4,7 79,1 61,4 1,1 2,0 12,3 68,7 4 11,4 17,1 25,5 6,8 -0,5 75,0 56,0 1,1 2,1 12,2 78,0 5 15,7 21,3 27,8 11,2 3,9 74,3 56,7 1,1 2,0 12,8 116,7 6 20,4 26,2 32,4 15,4 8,9 67,3 50,4 1,1 1,8 9,1 114,9 7 23,1 28,8 32,9 18,1 13,8 65,8 49,9 1,0 1,4 5,9 69,0 8 23,3 29,1 34,1 18,6 14,7 66,1 49,8 1,0 1,9 6,6 48,2 9 18,0 23,5 30,4 13,6 9,2 74,9 58,3 1,0 1,7 7,1 128,8 10 12,4 17,6 24,6 8,6 2,8 82,4 64,6 1,0 1,8 9,4 95,2 11 6,0 10,6 18,3 2,6 -3,5 85,9 69,0 0,9 1,4 10,1 75,4 12 2,2 6,6 15,4 -0,9 -7,3 85,2 70,3 0,9 1,1 8,6 44,5

11,5 Average annual: 945

Wind directions are shown in Figure 3-1. Mainly local mountain and valley winds.

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Şm 25

20 ŞmQ ŞmŞ 15

10

5

Q 0 Ş

Cq Cş

C

Figure 3-1 Wind rose of Gabala region

3.3.2 Air quality

Emissions from industrial enterprises in the region are localized. No data have been obtained regarding the specific air quality of the area, but in general the area is rural in nature and air quality appears good accordingly. The project area is mountainous and covered with scattered settlements, cultivated lands and forests, with no heavy industry.

3.4 Noise

The area is essentially rural in nature and noise levels are generally low; no noise surveys were conducted or considered as being necessary and no existing data are available.

3.5 Ecology and protected areas

3.5.1 Biodiversity

Gabala region has very rich vegetation and animal life and beautiful nature. Alpine and subalpine meadows in high mountainous areas, woodlands (oak tree, beech (Fagus), hornbeam (Carpinus) and et al.) in mid-mountainous belt (200-2200 m), scrubland and sparsely forested open meadows in central areas and semi desert wormwood plants and open xerophytic bush in the south expand over wide areas. Total area of woodlands is 56,600 ha.

Fauna of the region is also rich with red deer, lynx, brown bear, European wild cat, squirrel, raccoon, wolf, fox, hare and wild pig. Various birds, such as Short-toed eagle (Circaetus gallicus) pheasant, partridge, pigeon and others live in the region. Part of Ismayilli State Reserve is in Gabala region territory.

3.5.2 Protected areas

Gabala region is mostly mountainous area covered with woodlands, alpine and subalpine meadows. The Shahdag National Park (115, 895 ha) was established in the northern part of the

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region in 2006 to protect mountainous woodland, endemic and endangered plant and animal species and to develop ecotourism.

Project elements are located at different distances from the Park: wells constructed in the Damiraparan River valley at 500-600 m; main water storage reservoirs at 400-500 m; and the town and other storage reservoirs at Pressure Zones at 2-5 km (Fig.3-2). No new roads will be constructed for water abstraction to the north of Gabala town, construction of water reservoirs and water mains. Unpaved road along the Damiraparan River course connecting Gabala town and Laza village will be used during the construction works within the Project near the Park territory. Pipelines will also be laid along this road.

Figure 3-2 Location of Shah Dag National Park and project area

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Construction Contractor is responsible to instruct its personnel about not entering the forests within the Park territory with any machinery and polluting these areas with any construction or domestic wastes, as well as erect warning signs in the area.

3.5.3 Project site

Newly constructed tourism and recreational facilities, in the absence of water treatment facilities, discharge domestic, construction and other wastes to the valley of the Damiraparan and Duruca Rivers. The untreated waste waters are discharged into sewerage line crossing the center of the Gabala town and are eventually discharged into the Hamzali River. Wastewaters of the local fruit juice plant / cannery is discharged into the dumping ground which is the source of constant heavy odor in the surrounding area.

3.6 Surface and ground water

River network of the region is very dense (0.46-0.50 km/km²). Main rivers are Turyan River, Damiraparan River and their tributaries – Tikanli, Bum, Vandam, Duruca, Hamzali Rivers and et al. Surface water resources of the region are rich. Total average annual surface flow rate is 187 mm or 5.92 l/sec. per km². Rivers are mainly fed by rain, snow and groundwaters.

Damiraparan River has rich surface runoff flows nearby and through Gabala town. It has many small tributaries. The flow of the River and its tributaries are mainly formed by rain, snow, groundwaters, and partially by glaciers. The river is braided into several arms at the outlet. The river course is mainly comprised of big boulders, exposed alluvial gravel and detritus. Most of the flow is observed during the summer season (Table 3-2).

Table 3-2 Annual distribution of Damiraparan River flow Winter Spring Summer Fall № River/Location Unit Total XII-II III-V VI-VIII IX-XI m3/sec. 2.09 4.57 7.51 4.25 4.59 3 1 Damiraparan/Gabala m 16 251 840 36 326 016 59 695 488 33 782 400 144 585 000 100 % 11 25 41 23

Groundwater resources of the region are accumulated in deluvial and alluvial rocks. Groundwater regime depends on the amount of precipitation. Mid-Jurassic sandstone and shale formations bear the richest groundwater reserves. Debit of the springs flowing from these formations reaches 7-8 l/sec. River valleys are also rich with groundwaters. So are alluvial deposits at river outlets. Groundwaters also play significant role in feeding rivers.

3.7 Social – Cultural Environment

3.7.1 Socio-economic situation

Gabala region is located in the north of Azerbaijan, 225 km from Baku on the southern slopes of the Great Caucasus Mountain Range. Due to the region having a favorable natural-geographical position it is one of the most ancient human settlements not only in Azerbaijan, but also in whole South Caucasus region. The region borders Russian Federation, also Ismayilli, Goychay, Agdash, Sheki and Oghuz regions of Azerbaijan.

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Gabala administrative region was formed on August 8, 1939.

The region is one of socially and economically well-developed regions of Azerbaijan. Total area of the region is 1548.5 km2 and the population is 90,200, of which 31,600 live in towns, including 11,900 in Gabala town.

A number of manufacturing facilities on various business sectors operate in Gabala region. Main business areas are production and trade of agricultural goods, tinned food, hazelnut, non-alcoholic drinks, asphalt and reinforced concrete, sand and gravel, brick and et al. Tourism has highly developed in the region in the last 10 years. Tens of thousands of people rest in tourist and recreation centers of Gabala region every year. That is why services have developed very well in the region.

Social and economic indices of the region are given in Table 3-3 below.

Table 3-3 Social and economic indices of Gabala region

Social and economic indices 2000 2002 2003 2004 2005 2006

Population, thousand people (as of the end of year) 85.2 87.3 88.3 89.2 90.2 91.4 Number of death per 1000 newly born children (till 1 year) 14.5 12.3 15.6 18.3 16.1 11.3 Number of doctors per 10000 people 121 120 116 116 131 133 Number of nurses 370 386 373 386 395 410 Number of hospitals 7 7 5 5 5 5 Number of hospital beds 365 365 310 310 310 310 Number of ambulatories serving people 11 11 11 11 11 11 Capacity of ambulatories (personnel on shift) 725 725 725 725 725 725 Number of kindergartens 22 23 23 23 23 23 Number of kids in kindergartens, person 779 839 847 845 880 864 Supply of kindergartens (calculated on number of kids per 87 92 87 93 89 88 100 slot) Number of day-time high schools 67 67 67 68 68 68 Number of children in them, person 20707 21524 21644 21346 21048 20399 Percentage of students studying II and III shifts 28.2 30.0 22.3 23.9 22.6 17.4 Number of public libraries 72 69 69 69 69 69 Number of books in them, thousand books 435.0 406.4 405.1 387.4 395.2 407.9 Number of books per 1000 people, each 5106 4635 4588 4343 4381 4493 Number of public clubs 57 53 53 53 47 47 Number of museums 1 1 1 1 1 1 Number of museum visitors, thousand people 26.2 28.5 25.0 71.0 70.1 67.7 Pollutants emitted from stationary entities, thousand tons 0.02 0.01 0.02 0.004 0.02 0.05 Number of day laborers, thousand people 10.2 6.4 7.0 8.0 9.2 9.1

3.7.2 Project affected people

There are no PAP in the Project area, as the water sources of the Project are located in the north of the region, in uninhabited areas. No people are planned to be resettled or moved during the construction of project facilities.

3.7.3 Public health

Current level of health care in the region is satisfactory. There are hospitals and medical stations in all settlements and villages of the region supplied with relevant medical personnel. Main indicators of health care in the region are shown in Table 3-3 above.

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Most of infectious and parasitic diseases are transmitted to humans through dirty and untreated waters. These diseases result directly from use of untreatedwaters, or indirectly from plants and animals affected by the poor quality water. Statistics on diseases spread in Gabala and neighboring regions are given in Table 3-4 belowTable 3-4 2008 statistics on infections spread in Gabala and surrounding regions

(http://www.azstat.org/statinfo/healthcare/az/index.shtml) Infections First Viral Hepatitis Administrative region and diagnose Mange hepatitis – Hepatitis Hepatitis Hepatitis B parasitoids of malaria total A C Gakh 1686 3 31 20 20 - - Gabala 981 - - 20 11 8 1 Oghuz 1217 - 5 5 2 2 1 Sheki 740 3 12 17 10 3 4

As shown in the Table above, 981 people or 10.4 per 1000 people were infected with infectious and parasitic disease, although health care service in the region is satisfactory. Infectious and parasitic diseases found in the region include diarrhea, dysentery, brucellosis, diphtheria, and skin diseases spread in the region are mange and viral hepatitis.

Severe reduction in infectious diseases is expected due to improvement of water supply system and treatment of wastewaters within the Project framework.

3.7.4 Immovable cultural assets

History of Gabala is as rich as its nature and constitutes one of the impressive pages of Azerbaijan history.

First of all, ancient Gabala town which had been capital of Caucasian Albania for 900 years (from IV century BC till V century AD) and its tremendous walls surviving to date are recalled when speaking about Gabala. Old Gabala city which was located 20 km south-west of modern Gabala town, north-east of modern Chukhur Gabala village, between the watershed of Corlu and Gara Rivers is compared to ancient and world-famous cities of Babylon, Troy, Pompeii and Carthage for its magnificence and importance as a political, economic and trade center.

Name of Gabala town situated on ancient Silk Way with its 2500 year history is mentioned as Cabalaca by Roman historian Pliny the Senior in his “Natural History”, as Khabala by Greek geographer C. Ptolemy (II century AD) and as Khazar by Arabian historian Belazoory (IX century AD). Azerbaijani historian A. Bakikhanov (XIX century AD) wrote in his “Gulustani-Iram” for the first time that Cabalaca or Khabala is modern Gabala.

Roman troops had attacked Caucasian Albania in 60s BC, but could not occupy Gabala. Although Gabala was occupied by Sassanid Empire in 262 AD, the town had not lost its political and economic importance. In the second half of V century AD (in 464) Albania temporarily lost its independence and moved its capital from Gabala to Partav (modern Barda) when attacks of northern nomadic tribes severed. However, Gabala kept its importance as a main trade, handicraft, cultural and spiritual center. Gabala has been attacked by Shirvanshah Farybourz in 1068; Georgian King III David in 1120; Taymourlang in 1386; Safavyd shah I Tahmaseb in 1538; and Nadeer shah in1734, consequences of which had disturbed the stability and prosperity in the town, but the town never lost its importance completely. After the death of Nadeer shah in 1747 Azerbaijan split into khanates (small kingdoms) and sultanates one of which was Gabala sultanate.

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More than 90 historical, ethnographic and cultural memorials are registered in the region and protected by government. Gabala Historical-Cultural Reserve extending to 480 ha area was formed in 1985 to protect remnants of ancient Gabala city and archeological find discovered around it.

Stone barrow dated back to I millennium BC in Boyuk Amily village; Albanian church on Kilse mountain, in the south of Soltannukha village dated to IV century; ancient necropolis in Nidje village; Maiden Tower in the south of Yengije village dated back to IV-XIV; Sorkhay Castle in river outlet dated to X-XII centuries; series of tumuli in Hazra village dated to XIV-XV centuries; Komurad tomb in north-west of Dizakhly village (VII century); remains of idol house in Gabala town; 8 angle Mosque (XVIII century); Mosque (XIX-XX century); house museum and grave of I. B. Gutgashynli; and et al. are among “historical gems” which attrack tourists visiting the region. Region executive power has recently taken a number of measures to study the past and today of Gabala region, preserve it and pass over to future generations.

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4. Environmental impacts

4.1 Introduction

This section of the report presents the potential environmental impacts and mitigation associated with construction and operation of the water and sanitation project and is based on ‘superimposing’ the project components onto the baseline compiled during the various studies, which include the FS and the individual EIA report for the Gabala scheme. Mechanisms for implementing the mitigation are presented in Section 7, EMP.

Overall, the project is designed to be very beneficial to the residents of Gabala, through provision of a reliable water supply and to bring benefits to both residents and the riverain environment due to discharge of treated wastewater, compared to today’s untreated wastewater. Thus the majority of potential adverse impacts are associated with the disruption during construction of the infrastructure, especially the replacement piped water supply and sewer network within the town.

4.2 Methodology

Section 3 provides a description of environmental baseline conditions in the project area. This baseline knowledge permits identification of environmental parameters that may be affected by the proposed project.

The potential positive and negative changes resulting from the Project activities are predicted for the project area during the construction phase and into operations. These predicted changes (impacts) are then evaluated using a significance ranking. An outline of the impact assessment procedure is as follows:

• Identification of the baseline receptors;

• Identification of the key project activities;

• Impact evaluation; and significance ranking.

There has been a general absence of site-specific data during the EIA study; this includes water quality data for the untreated wastewater discharges and the receiving waters. Thus many of the impacts cannot be quantified and are rather generic in nature.

4.2.1 Baseline Receptors

A baseline receptor (BR) is any part of the environment that is considered to be important or valuable and merits detailed consideration in the EIA process. In this context the broadest definition of ‘the environment’ is applied, such that BRs may be selected according to economic, social, aesthetic or ethical criteria, as well as by consideration of physical and biological characteristics. The process of selecting BRs may consider legal status, scientific or cultural value, and public perception; and may account for the organizations, or the general public.

Based on the environmental baseline of the project area, BRs (aspects) have been identified and are listed in (Table 4-1), along with the potential impacts and mitigation where required.

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4.2.2 Project Environmental Aspects

The key construction activities include:

Water supply:

• Construction of wells in Damiraparan River;

• Construction of main reservoirs;

• Construction of the water main;

• Construction of 4 new water storage facilities in each Pressure zone based on the relief of Gabala town;

• Installation of new water distribution network in the town (HDPE or GRP pipelines buried in roads)

Wastewater treatment:

• Construction of a new sewage collector network covering entire Gabala town;

• Construction of a new WWT plant (aeration facility).

The project description provided in Section 1 of this document has been summarized into key environmental aspects of the project. An environmental aspect is an element of the project's activities that can interact with the environment. The key aspects associated with the Project activities are presented in Table 4-1.

Table 4-1 Environmental Aspects Project Component Environmental Aspects Construction Installation of extraction boreholes in river valley floodplain Temporary removal of habitat for pipeline construction Working over rivers and in floodplains

Potential polluted run-off and spillage of untreated wastewater during sewer renovation Pedestrian, vehicle and community safety Procurement and delivery of construction materials Use, maintenance and repair of equipment and machinery Air and noise pollution from preparation of construction Materials such as bitumen, asphalt and concrete. Extraction/purchase of sands and gravels for earthworks Construction camp/yards for equipment and machinery Waste and hazardous materials management Construction of new reservoirs above each of the ‘gravity zones’ for water supply to Gabala Service disruption (electricity, telecoms, water) Disruption to irrigation and drainage infrastructure Decommissioning and demolition of the derelict WWT works Operation Operation of the water and wastewater networks Sludge disposal Community safety Induced development

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Project Component Environmental Aspects Air and noise quality Use of maintenance machinery and equipment Storm water management Wastewater discharge Accidents Spills and leaks Inappropriate waste or sludge disposal Sewer flushing due to blockage

Due to a general absence of environmental quality data (such as water quality parameters of the discharged wastewater or biotic indices in the receiving waters) it is not possible to quantify the benefits of the project. The environmental benefits of the preferred scheme, (which mainly refer to provision of an EU compliant wastewater discharge, over and above supply of an efficient water system project alternative) cannot be quantified and therefore the precautionary principle applies, i.e. removal of polluting discharges.

4.3 Geology and soils

4.3.1 Construction phase

Hazardous materials

Spills of fuel, oil and other liquids (e.g. at the concrete batching plant or fabrication yard) have the potential to cause contamination of soil and groundwater. The Contractor shall implement measures to contain such spills and avoid contamination as much as possible. However, it is possible that some contamination may occur and the Contractor will be required to implement remediation measures in accordance with project and MENR requirements. The project requires that all contamination is removed down to intervention level, i.e. deemed to be contaminant free. The MENR does not actually regulate contaminant levels in terms of contaminated land legislation, but associated laws prescribe for environmental quality objectives and therefore the contractor would be required to satisfy MENR in the event of spillage of contaminants.

Construction materials

In accordance with the estimations of the Feasibility Study, the following materials will be used:

• Sand – 8,904 m³;

• Regular soil – 303,208 m³;

• Asphalt – 33,746 m³;

• Concrete – 560 m³;

• Metal – 175 m³;

• Gravel – 1452 m³;

• Bitumen – 10.5 tons;

• HDPE – 97,545 m (different sizes; for details see subsection 1.3.5);

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• GRP – 94,814 m (different sizes; for details see subsection 1.3.6).

Contractor will not mine and/or process sand and gravel required for construction works because these materials are locally available from the licensed plants operating in the east of Gabala. Most of the material excavated from trenches will be re-used for water and sewerage lines refilling. Excessive material will be disposed in the sites agreed with local executive and environmental authorities.

Asphalt produced in local licensed plants will be used for re-paving roads (104,360 m²). Asphalt will be directly supplied to the construction site.

Concrete will be produced in small batch mixers at construction camp and transported to work site by concrete mixer trucks.

Bitumen will be used to cover surface area of gravel road (750 m long, 6 m wide) to WWT plant. Sand/soil barrier needs to be put in place to prevent bitumen from flowing to the sides of the road. Contractor should always closely monitor the condition of bitumen tanks and instruct driver on bitumen spillage prevention safety and environment rules

Soil erosion

The area is susceptible to surface erosion, especially after heavy rain; therefore efforts will be made to reduce the potential for soil erosion during construction activities. Temporary berms will be constructed where necessary to control any run-off to prevents rills or gulleys forming or soil wash out to surface water features. Correct ground works and compaction will be specified in the contract documentation to prevent soil erosion.

Waste management

Inert, solid waste (metals, asphalt chunks, rocks, concrete, gravel, sand and etc.) will be generated during drilling well and pipeline installation operations. The replacement and installation of water distribution pipes in the town will include removal of asphalt surface and importation of suitable padding and backfill (e.g. sand) as well as backfilling using suitable excavated material. Repair of paved roads and walkways and asphalt surfaces will also be required.

Solid wastes generated at construction sites and during the construction of pipelines and sewer drains will be transported by the construction contractor. Transportation and disposal of such waste will be agreed with local executive authority and regional department of MENR, as necessary.

The construction works will generate hazardous waste, such as used oils, solvents and other construction waste, which will be required to be disposed of. However, there is no licensed hazardous waste disposal facility in the region and, therefore, it will be necessary to arrange an appropriate containment or disposal place in agreement with MENR and the regional officials. The approach to a lack of a suitable facility has been discussed with AZERSU as part of this EIA, who have confirmed that they will work with the municipality to ensure that a suitable facility is constructed and is available for use by the project. The EMP allows for the cost of this item and it will be managed by the municipality, as per the agreement with AZERSU.

A construction yard shall be created outside of Gabala town, for laydown of plant and material, maintenance of machinery and prefabrication of infrastructure components. No worker accommodation is proposed and workers on the site during the daytime will use ‘portaloo’ chemical

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toilet facilities, which will be serviced by the hire company, as is widespread throughout Azerbaijan on major construction sites.

All construction sites will be managed as follows:

• Boundaries of construction sites will be marked beforehand and signs will be erected warning people not to enter or dump garbage;

• Metal wastes will be collected and taken to metal processing companies;

• Construction debris (sand, soil, rocks) will be re-used as an additional material for filling deep trenches when needed and where suitable. If not needed, they will be taken to city dumping- grounds, as agreed with local environmental/planning authorities;

• Removed asphalt debris will be taken by the contractor to bitumen factories for recycling, such as the asphalt plant in Gabala;

• Speed limits will be set for all trucks operating within the town; this will be important for those transporting waste.

4.3.2 Operational phase

No adverse effects are anticipated as a result of normal operations, as the wastewater will be treated to EU standards prior to its discharge, which is a distinct improvement from the current situation, which sees no functional wastewater treatment. Discussions are ongoing regarding the treatment of the final effluent, as under the Soviet system, chlorination of effluent (for disinfection) was the norm and this was of course advocated by AZERSU et al. However, disinfection is not the norm in Europe and in fact the addition of chlorine is a biological hazard to the aquatic ecosystems to which the effluent will be discharged. It would be preferable to use ultraviolet (UV) radiation or rely on natural exposure to UV to reduce bacteria loadings in the final effluent. The recommendation to use UV has been made strongly in this EIA and also in discussions with AZERSU, who are very supportive of this approach and the intention is to implement this.

4.4 Air quality

4.4.1 Construction phase

It will be the responsibility of the construction management to schedule construction activities and to apply best practices for dust control, to minimize occurrences of excessive dust concentrations in sensitive neighboring areas and at the worksite.

It will be the responsibility of the construction management to apply best practices for reducing fuel consumption and exhaust emissions, wherever feasible. Aspects such as a reduction of idle driving, selection of new equipment where possible and maintenance of all machinery and engines should be encouraged. Examples of best practice for control of fugitive dust are given in Table 4-2.

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Table 4-2 Examples of fugitive dust reduction Fugitive Dust Source Control Actions Category Material moving Maintain soil moisture content at a minimum of 12 percent; or For any earth-moving which is more than 30 m from all property lines, conduct watering as necessary to prevent visible dust emissions from exceeding 30 m in length in any direction. Only work at lee side of the pile or apply wind shelter when doing load in and load out operations. Unpaved roads Water all roads used for any vehicular traffic at least once every two hours of active operations; or Water all roads used for any vehicular traffic once daily and restrict vehicle speed to 25 kph; or Apply chemical stabilizer to all unpaved road surfaces in sufficient quantity and frequency to maintain a stabilized surface. Paved roads Reduce the spillage of materials by vehicles Cover all haul vehicles; or The peak of uncovered loads must not exceed above the upper edge of the cargo container area, and the sides of the load, where it contacts the container walls must be kept at least 15 cm below the upper edge of the cargo container. Do regularly cleanup of the road Open storage piles Apply chemical stabilizers; or Apply water to at least 80 percent of the surface areas of all open storage piles on a daily basis when there is evidence of wind driven fugitive dust; or Install a three-sided enclosure with walls with no more than 50 percent porosity that extend, at a minimum, to the top of the pile.

4.4.2 Operational phase

Adverse air quality effects are not predicted during operation, due to the nature of the project. All machinery will either be new and/or will be maintained according to the manufacturer’s service programme. Furthermore, significant noxious odors are only typically generated from a WWTP in the vicinity of pumping operations, where an aerosol effect is produced or when sewage has gone septic due to operational problems. All the main potential locations where noxious odor could be generated will be housed and ventilated. In addition, there are no sensitive receptors nearby to the operating facility, which is located several miles from habitation.

4.5 Noise

4.5.1 Construction phase

The nature and extent of the works, particularly those involving replacement of the water distribution system will result in noise and disturbance to local residents.

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AZERSU are very well aware of this potential disruption and will ensure that the contractor minimizes disruption and noise, by inter alia, liaising with residents. It must also be noted that the residents are overwhelmingly supportive of the project, as it will result in provision of a reliable, constant water supply, compared to the current ca. 2 hour daily supply and will therefore generally be tolerant of disruption to some extent.

The overall noise emitted by a works site will vary greatly depending on the different processes being performed at any one time. Some construction processes have a permanent position whereas others are mobile, such as pipe laying, their noise emissions moving within the work site. Factors such as the type, specific model and condition of machinery used are also significant.

Noise is disturbing sound. It is measured by energy or pressure intensity unit and measured in decibels (dB). Noise level is proportional to audio-frequency range of human ear and is called A- frequency or dBA. Noise during construction works will be generated by sources shown in Table 4- 3.

Table 4-3 Expected noise level from construction equipment Equipment Maximum expected noise level at 15m distance (dBA)

Bulldozers and excavators 87 Cranes 86 Welding equipment 73 Generators 92 Tipper trucks 87 Concrete mixers 87

According to norms valid in Azerbaijan, allowable noise level should be 65 dBA in daytime; and 45 dBA at night-time.

These are very close to World Bank standards. In the UK DoE Advisory Leaflet 72 sets maximum levels of construction noise at residential locations during daytime hours at 75dBA in urban areas.

Mitigation

There are three ways to reduce noise emissions: mitigation at the source, mitigation along the path and mitigation at the receptor. The following examples of construction noise mitigation methods could be considered during planning of the works and are expected to be a source of guidance to the contractors. In many cases, the magnitude of the dB reduction can first be ascertained when construction work has begun and measurements can be made.

1. Source controls In general, source controls are the most effective method of mitigating noise. The impact of a noise source is reduced before it emits offensive noise levels. There are many possibilities for source control, with some mentioned in the following section:

Sequence of operation: Noisy operations can be scheduled at the same time to take account of the fact that combined levels may not be significantly higher than the level produced if the operations were performed separately. The perceived percentage usage for the noisiest activities will thus be lower at noise sensitive receptors.

Depots/routing: During the planning and design stages of a project, storage areas and depots may be designated in locations removed as far as possible from sensitive receptors. Construction

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equipment and vehicles carrying spoil, concrete and other materials can be routed so as to cause the least possible disturbance to residents in the vicinity.

Drilling/excavations: Drilling and excavation could produce noise levels in excess of acceptable limits and it will be important to apply noise reduction methods. Mufflers: Most construction noise originates from equipment powered by either gasoline or diesel engines. A large part of the noise emitted is due to the intake and exhaust portions of the engine cycle. A remedy for controlling much of the engine noise is the specification and use of adequate muffler systems.

2. Path controls These mitigation measures operate on the principle of interrupting sound propagation from source to receptor.

Existing Barriers: As early as possible in the design development process, natural and artificial barriers such as ground elevation changes, existing buildings and other structures can be considered for use as a noise shield during noisy operations. Waste materials and earth can also be strategically stored where they can provide a barrier for noisy construction activities.

Noise barriers/curtains: In general noise barriers or curtains are cost-effective when they can provide perceptible noise reduction benefits to a relatively large number of snsitive receptors. To be effective they must completely break the line-of-sight between the noise source and the receptor and must not be flanked by nearby reflective surfaces. The limiting factor is in actual fact the amount of flanking around and over the barrier. A properly installed noise barrier or curtain is capable of an insertion loss of 10 - 15 dB, a reduction perceived by affected receptors as at least halving the original loudness.

The following actions are planned to reduce noise:

• Working hours will be restricted to 0800-1800hrs, with no night-time work expected. Equipment and heavy transport will not be used at night time, on Saturdays and Sundays;

• Noise absorbing walls/screens will be set up if there is any dwellings, offices or public places in less than 50 m distance from noisy transport routes;

• Nearby people and institutions will be warned about high noise during daytime;

• Special attention will be given to sensitive institutions, especially schools, kindergartens and hospitals;

• Mufflers for heavy equipment will always be maintained in good condition.

4.5.2 Operational phase

Negligible operational noise is anticipated, as the pumping stations will be housed within buildings and the new WWT plant is situated away from residential housing in a fenced compound and is designed to emit limited noise.

4.6 Ecology and protected areas

4.6.1 Construction phase

The main potential effects on ecology are associated with construction of new wells in Damiraparan River bed; construction of new pipelines connecting water sources and the new

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reservoirs; and construction of the new reservoirs themselves. Soil and vegetation will be removed along the pipeline route; however recycle of removed soil will allow the restoration of vegetation during the next year.

As mentioned in Section 3 abovr, project elements are located at different distances from the Shahdag National Park: wells constructed in the Damiraparan River valley at 500-600 m; main water storage reservoirs at 400-500 m; and the town and other storage reservoirs at Pressure Zones at 2-5 km (Fig.3-2). No new roads will be constructed for water abstraction to the north of Gabala town, construction of water reservoirs and water mains. Unpaved road along the Damiraparan River course connecting Gabala town and Laza village will be used during the construction works within the Project near the Park territory. Pipelines will also be laid along this road. Construction Contractor is responsible to instruct its personnel about not entering the forests within the Park territory with any machinery and polluting these areas with any construction or domestic wastes, as well as erect warning signs in the area.

4.6.2 Operational phase

The receiving watercourses and areas currently adversely affected by polluting untreated wastewaters will be expected to improve considerably and can be expected to see re-recruitment of more natural flora and fauna, as nutrient and bacteria levels significantly reduce.

4.7 Surface and ground water

4.7.1 Construction phase

Many of the risks to surface and groundwater are similar to those already covered under the soils section above and are therefore not repeated here. Due to the nature of the works there is the potential for spillage of wastewater to ground or watercourse, which is generally poorly treated or untreated and could also lead to the spread of disease to workers or local residents.

It is proposed to empty the wastewater into temporary excavated pits and then remove the material by suction into septic tanks on sewer trucks. Residents will be advised to route wastewater to open ditches, where it can be removed by this technique during construction.

The sources for aggregate extraction have yet ti be determined, but as with other ongoing aspects of the project, the contractor will work alongside AZERSU and its environmental consultant to minimize adverse effects associate with such extractions and all sources will be subject to survey and compliance to in-country licensing legislation.

Mitigation

1. Fuel and oil storage Fuel and oil storage tanks will not be located within 50m of any watercourse, well or dry river bed. Wherever possible, refueling and maintenance of mobile plant within 50m of all water courses/water bodies, dry riverbeds and within designated wetlands and aquifers will be prohibited. Certain plant and equipment may be required to be maintained in a position closer than 50 m from the water course and therefore special measures will be implemented to avoid spillage of fuels and oils, such as deployment of spill-retaining materials, mobile drip trays and the like ad specific training given to operators in this regard. All tanks will be either double-skinned design and / or placed in a bund of at least 110% of the tank’s maximum capacity. If more than one tank is stored within the bund, the system must be

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capable of storing 110% of the biggest container’s capacity or 25% of their total capacity, whichever is greater. The bund will be impermeable (e.g. concrete-lined), without drainage points or other breaches. In the case of any uncertainty, this clause supersedes any other requirement specified elsewhere.

All tank connection points will be contained within the bund. All tank discharge lines will be fitted with shut-off devices that can be operated from a safe position outside the bund. All tanks will be fitted with easily accessible level indicators to prevent overfilling. All fuel / hydrocarbon dispensing nozzles are to be of a drip control design and securely locked when not in use.

Areas for road tanker parking and delivery shall be hard surfaced (concrete) and drained to an interceptor. Discharge of rainwater and waste from these areas will be via a treatment system designed to meet the water discharge standards. At each site where diesel is delivered and stored, spillage equipment shall be installed to contain any spillage during loading. Specific drainage requirements, which include oil interceptors, will be put in place at facilities where diesel is stored and used.

Accumulated rainwater in bunds will be pumped out of the bund to either drains or the ground if uncontaminated, and if contaminated, disposed of in accordance with AZERSU requirements.

All fuel storage areas will be securely fenced and locked to prevent unauthorized access. Only Refueling Operators will be allowed to dispense fuel as set out below. All fuel storage areas will be equipped with an adequate supply of spill containment materials. All refueling will take place at, semi-permanent (wherever practicable) locations such as work yards and will be from designated, bunded fuel storage tanks rather than drums. Within the site compounds, this will be restricted to specially constructed areas adjacent to the bunded fuel tank(s). These areas will be of hard standing with an impermeable surface and sealed drainage system, which will allow any spills to be contained or drained to an interceptor.

Exceptions to the above are to be made for smaller fuel equipment. Generators will be self-bunded and will have an integral fuel tank. Refueling will be undertaken as per the procedures below.

Refueling will be carried out by the nominated Refueling Operators who will be specifically trained in the relevant procedures. Upon arriving at the refueling areas, the Refueling Operators will dispense the required fuel.

2. Drip Trays The use of integral drip trays for generators, tanks and other fixed plant will be will be encouraged throughout the project.

Individual drip trays will be necessary for temporary secondary containment of materials.

3. Storage and Use of Chemicals All chemicals will be stored in designated, locked storage areas, taking care to ensure segregation of potentially reactive substance (e.g. flammables should not be stored with toxic substances). These areas will have an enclosed drainage system/bund to avoid contamination. Material Safety Data Sheets (MSDS) will be provided for all substances and used in project health and safety assessments. Efforts will be made to avoid and minimize the use of hazardous chemicals during construction where possible.

4.7.2 Operational phase

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Impact of use of groundwater resources of Damiraparan River on water regime of the river will be insignificant.

According to perennial observation records, average annual flow rate of Damiraparan River is 4.59 m3/sec and subsequently 144.5 million m3 annually. 75 l/sec or 2.36 million m3 of water will be abstracted annually from Damiraparan River through wells drilled in the riverbed. Abstracted water will constitute only 1.62% of total river flow.

Minimum flow season in Damiraparan River is observed in winter (Table 3.2). Only 11% of total annual flow of the river – 2.09 m³/sec or 66 million m³ is formed during that season. Total volume of water abstracted from the river for water supply during minimum flow season (December, January and February) will comprise 3.6% of total river flow. Hence, impacts on natural hydrological regime of Damiraparan River will be minimal.

Impacts of treated wastewater discharge on the Damiraparan River

As mentioned in Section 1.3.4, wastewaters will be treated in aeration facility to be constructed to the south of Gabala town, at the currently abandoned WWTP of the former Tobacco Factory. This area is near wastewater treatment facility of Gabala RLS (Fig. 1-7). Landscape of the area allows flowing the treated water by gravity.

Treatment of wastewaters will considerably reduce pollution of rivers and groundwater resources. Table 4-4 below compares the data describing the current level of pollution, the expected quality of treated effluents, and compares this with the standards for drinking water. As demonstrated by the Table, the expected water quality in the Damiraparan river at the discharge point (once mixed with the river flow) meets the drinking water standards (expect for concentration of common solids).

In the absence of environmental quality data it is not possible to categorically state the degree of improvement in the aquatic ecosystem or its associated riparian habitats, which are currently adversely affected by the discharge of untreated wastewater.

One can only generally conclude that the removal of large organic loadings and their associated bacteria will be of significant benefit to at least the local river system and will contribute to a reduction in polluting loadings within the catchment, on which several internationally financed projects are focusing their attention.

Table 4-4 Indices on wastewater treatment and its impact on river water (the composition of untreated wastewater was determined by the lab test in February 2010)

Parameter Untreated Treated Minimu Treatment Damirapa Treated Drinking wastewater wastewater m standard ran River wastewater water after WWT reducti (EU) water after standard plant on discharge to river, flow rate 200 l/sec1 Biochemical 120 mg/l 12 mg/l 90% 25 mg/l 1.5-2.5 4.2 mg/l 3-6 mg/l Oxygen Demand mg/l (BOD) Chemical Oxygen 180 mg/l 18 mg/l 80% 125 mg/l 2-3 mg/l 6.3 mg/l 15-30 mg/l Demand (COD) Common solids 70 mg/l 7 mg/l 90% 35 mg/l 620 mg/l 620 mg/l 4 mg/l Ammonium salts 18.4 mg/l 3.68 mg/l 80% 15 mg/l 0.9-1.5 2.05 mg/l 2 mg/l nitrogen, N mg/l Phosphates P2O5 20 mg/l 2 mg/l 90% 2 mg/l 0.05-1 1.2 mg/l 2 mg/l mg/l

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1 Treated wastewaters will be discharged into one of the tributaries of Damiraparan River in its lower reach, and therefore is calculated for a river with 200 l/sec flow rate (4.5% of average river flow during minimum flow season)

4.8 Social – Cultural Environment

4.8.1 Construction phase

Local community

The main effects on the local community during construction are associated with the considerable disruption that the works will have within the town through excavation of defunct infrastructure and installation of new water mains and sewer pipes in the roads and connection of water supply pipes and water meters to individual properties. The proximity of the works to residents also raises the issue of health and safety, as well as traffic disruption and interference with access to houses, work places and public buildings such as hospitals and schools.

Another area of potential concern is contamination and possible disease spread to residents (and workers) caused by exposure to untreated wastewater during excavation and replacement of the sewer network.

The potential resettlement issues have been addressed in a separate Resettlement Policy Framework (RPF) that has been developed for the project.

Mitigation

Safety at the work site, both for workers and residents has been discussed at length with AZERSU, who will ensure that contractors develop and implement safe working practices. The construction contractor will train its personnel on safety, environment and quality control, as well as implementation of all the safety rules. Works will be guided by existing laws, sanitary rules and AZERSU work manuals.

The following measures will be taken to protect the health of personnel working in polluted areas:

- Health and safety training will be conducted as part of project induction for all workers; - All personnel will be supplied with special coveralls and the minimum PPE;

- Personnel working in excavation of polluted soils and collection, loading, transportation and disposal of sewage waters will be supplied with protective safety glasses, gloves, long rubber boots and dust masks;

- Mobile shower cabins will be set up for personnel;

- Personnel will pass regular medical check-ups;

- Use of asbestos and other dangerous substances is prohibited.

As referenced earlier, impacts on people and their economic activity, public transport and agricultural activities during construction phase are possible. Construction sites will be divided into sections, works will be planned according to schedule prepared beforehand and people and organizations will be notified ahead of time. Borders of construction sites will be marked, safety boards will be placed, signs regulating movement of pedestrians and traffic will be erected.

Furthermore, discussions have been held with AZERSU regarding the need to keep residents informed of planned activities, but also to be receptive to their requirements.

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Thus contractors will be required to develop a traffic management plan in consultation with AZERSU and the municipality and to discuss this at a public meeting prior to start of the works. This should ensure that disruption of residents is minimized and works are coordinated to limit impeded access.

Cultural heritage

Under national law, the works require a clearance certificate from the Archaeological department, and this department will be kept informed of any potential findings from the pipeline routes or new infrastructure, for subsequent action.

Historical monuments reported about in Chapter 3.7.4. above, are located beyond the project area. However, due to the historical value of the area, there is a probability of archaeological findings at construction sites. In such case, Contractor must immediately stop working and inform local authorities and AZERSU of its findings. Local authorities and AZERSU should, in their turn, report to the Ministry of Culture and Tourism and Institute of Archaeology and Ethnography. Construction works can only resume after the artifacts are safely removed, or necessary amendments are made to project design.

4.8.2 Operational phase

Significant public benefits are expected to be generated by the project at the operation phase, as communities will be enjoy safe and reliable water supply and provided with effective wastewater treatment facilities. These long-term positive effects of project implementation include the following:

• People will be supplied with quality drinking water corresponding to the standards;

• Demand for water will be continuously satisfied; less electric power will be consumed as water will be conveyed to the water distributing system by gravity;

• Maintenance and operational expenses will be insignificant, as no coagulants or flocculants will be used for water purification;

• Soil erosion and pollution in the streets of the town will be prevented by decreasing water loss in water mains;

• Creation of new management system for water supply and sewer system based on modern technologies and continuous control over water quality will reduce risks of infectious diseases and health care expenses;

• Sewage purification will end pollution of soils, ground waters, plants and the Hamzali River;

• New jobs will be created.

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Table 4-5 Construction & operational impacts

Aspect Potential impact Significance Mitigation Residual impact (Low, Medium, pact/comments

high) + = positive 0 = neutral - = negative Construction Air quality Emission from construction vehicles and - medium All vehicles, equipment and machinery Negligible. machinery used for construction will be regularly maintained to ensure that the pollution emission levels conform to the standards prescribed Construction related dust, from - medium Dust suppression will be used on Negligible. movement of vehicles at site and to sites unsealed road surfaces, asphalt mixing from borrow and quarry sites, etc. sites and temporary service areas.

Vehicles hauling materials will generate - medium Vehicles delivering material will be Negligible. dust nuisance. covered.

Soil Soil Erosion due to inadequate and - high Re-vegetate barren cuts and work Negligible. immediate application of stabilization areas as soon after the work has been techniques. completed as is practical. Topsoil will be carefully stripped off to a typical depth of 300mm and protected. On reinstatement the natural seed bank is expected to allow natural regrowth of the vegetation. In the event of poor growth, an appropriate seed mix can be used. The details of this will be designed and submitted by the contractor, as per the bidding documents. Damage to soil through compaction - medium Strip off topsoil initially and then de- Minor. along temporary work areas such as compact and reinstate topsoil for laydown sites and transport routes. effective reinstatement. As always, the decision whether to remove topsoil or leave it in situ will be made by the contractor, based on the plant to be

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Aspect Potential impact Significance Mitigation Residual impact (Low, Medium, pact/comments

high) + = positive 0 = neutral - = negative used and the soil loadings and duration of works, which will determine the potential degree of compaction. Where high compaction is predicted, topsoil will be removed and replaced as part of reinstatement procedures. Illegal or excessive borrowing of earth for - medium No earth borrowed from unauthorized Negligible. infill damaging natural resources. locations. Specific work on identifying the potential aggregate source sites has not yet been undertaken, and will be conducted by the contractor as part of his work scope. Advice will be taken from the PIU and the environmental consultant, to minimize adverse environmental impacts associated with material extraction. Contamination of soil from fuel and - high All fuels and oils stored in accordance Negligible. lubricants. with international practice; bunded and impervious flooring. Pollution by fuels spillage. - high Construction vehicles and equipment Negligible. will be maintained and refueled at protected refueling stations where practicable. Surface water Pollution of resources by fuels and oils. - high Fuel storage and refueling sites located Negligible. away from drainage channels and important water bodies. Surface features damaged. - medium Affected irrigation and drainage Negligible. features will be rehabilitated immediately.

Ground water Pollution of groundwater by fuels and oils - high Construction vehicles and equipment Negligible. spillage. will be maintained and refueled at

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Aspect Potential impact Significance Mitigation Residual impact (Low, Medium, pact/comments

high) + = positive 0 = neutral - = negative protected refueling stations where practicable3. All storage areas bunded. Flora Loss or damage to vegetation - medium Replanting plan to be developed Negligible.

Failure to properly manage/store topsoil, - medium Cleary defined topsoil storage and Negligible. leading to degraded and substandard site handling in contract specs. and follow reclamation and re-vegetation. up with regular inspection & monitoring and reporting. Topsoil is to be removed to a typical depth of 300mm, as this contains the seed bank for the natural vegetation. Topsoil is to be stored in bunds or piles typically 1-2m high (to avoid compaction and anaerobic conditions associated with high mounds. Free drainage should be maintained and the mounds protected from damage or spillage of oils or fuels. In the event that they are at risk from desiccation and significant loss they should be watered to encourage vegetation growth and/or seeded to maintain the material in situ. The contractor will provide further details of how he intends to comply with this specification, based on what plant and

3 This statement is made in recognition that it is often entirely impractical to construct hard standing, bunded compounds throughout the project work areain locations where machines need refuelling. Similarly, it is usually entirely impractical to relocate heavy machinery large distances back to the yard where hard standing is located each time they need to be refuelled e.g. daily. Sometimes it is practical to use drip trays positioned underneath plant whilst they are refuelled and other times due to the configuration of the equipment it is not possible to either fabricate a drip tray to ‘fit’ or position one which would catch any spilled fuel, due to the shape of large plant and the location of refuelling nozzles. It is often only practical to train refuelling operatives to deploy oil-sorbent materials that are held in place around the refuelling nozzle on the tank to catch any spilled materials and implement other such measures to manage the risk of spillage.

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Aspect Potential impact Significance Mitigation Residual impact (Low, Medium, pact/comments

high) + = positive 0 = neutral - = negative other resources he intends to mobilize to site. Fauna Loss, damage or disruption to fauna due - minor Construction workers will be directed Negligible. to unnecessary and un-approved not to disrupt or damage the fauna. increases in construction work areas, soil As the exact work areas and compaction. construction footprint has not yet been determined and no setting out works have commenced to delineate site boundaries it is not possible at this early stage to provide further details of potential impacts in this EIA. Detailed ecological studies on the project sites has not been undertaken to date as part of this EIA, but further site investigations are to be conducted by the contractor and the environmental consultant from the PIU. This work will allow identification of no-go areas and other site constraints, which contractor staff will be required to adhere to. Landscape Landscape impact due to work areas. - minor As has already been stated, the service Negligible. reservoirs and pipelines will be buried infrastructure and will therefore not constitute a landscape impact after reinstatement has been undertaken and vegetation has re-grown. Implement best practice soil handling techniques to allow for successful reinstatement of affected areas; As already described earlier and subject to further elaboration by the contractor. Agriculture Damage to agricultural lands, including - medium Liaise effectively with PAPs before start Negligible. drainage and irrigation infrastructure. of construction, maintain dialogue, develop a grievance procedure, strictly

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Aspect Potential impact Significance Mitigation Residual impact (Low, Medium, pact/comments

high) + = positive 0 = neutral - = negative control machinery and vehicle access and reinstate all affected areas. Livestock safety Livestock resources damaged by - medium Liaise effectively with PAPs before start Negligible. machinery and vehicles. of construction, maintain dialogue, develop a grievance procedure, strictly control machinery and vehicle access, consider fencing for protection. Noise Inadequate prevention of construction- - medium The plants and equipment used for Minor. related noise from vehicles, asphalt construction will strictly conform to EMP plants, crushing and any batch plants noise standards. and equipment. Disturbance and disruption to residents. - medium Working hours/activities will be adjusted Minor. to avoid low-noise times. Protection of workers H&S - high Noise standards for industrial enterprises will be strictly enforced to protect construction workers from noise impacts, in accordance with international HSE procedures. Traffic Traffic disruption - high Develop and implement effective traffic management plans and make them publically available. Community Residents injured by construction traffic - high Conduct safety awareness campaigns, Residual impacts safety and machinery focusing on schools and children. will be dependent on quality and effectiveness of the campaigns. Community Community loses access to resources, - minor Consult with livestock owners regarding Negligible. economic activity affecting income generating activities. access Land acquisition, Land acquisition, either permanent or - high RPF adherence and RAP development Negligible. access to income temporary; access to income generating and implementation generating activities activities

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Aspect Potential impact Significance Mitigation Residual impact (Low, Medium, pact/comments

high) + = positive 0 = neutral - = negative Worker HSE Workers injured during construction - high Implement international HSE standards Minor and if in all contracts. standards and training is high, the working practices could be a beneficial legacy of the project. Material Illegal or excessive borrowing may - medium No earth borrowed from unauthorized Negligible. resources damage archaeological or land locations. resources. Sewer pipeline Agricultural lands, soil loss, soil erosion, - high Range of measures: liaison with PAPs; Minor construction water pollution, drainage damage soil conservation techniques; effective work planning; pollution prevention measures; good reinstatement. Archaeology and Loss and damage to cultural resources - medium Consultations to date have not revealed Negligible. cultural heritage any archaeological sites potentially affected by the project footprint. In accordance with in-country procedures for EIA permitting, the works will require an archaeological clearance certificate from the competent authority, which will provide another safeguard for cultural heritage features. Develop and implement a plan with authorities for managing any late finds. Waste Contamination of soil or water resources. - high Contaminated or hazardous waste to Minor. be transferred to new facility constructed by municipality or AZERSU and approved by MENR. Soil and water pollution. - minor Develop plans for cement and wash- Negligible. water management. Encroachment Land resources damaged. - medium Identify work areas with Contractor(s) Negligible. and describe system approvals for

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Aspect Potential impact Significance Mitigation Residual impact (Low, Medium, pact/comments

high) + = positive 0 = neutral - = negative extensions and fines for violations. Pollution Inappropriate sludge or waste - medium Management systems and inspections Minor. management to ensure correct approach Operation Surface water Reduction in pollution + high NA Beneficial for aquatic ecosystem Health Removal of contamination source from + high NA Beneficial for untreated wastewater community health and water use Sludge disposal Soil conditioner, compost 0 Compliance to sludge quality standards Beneficial use as and effective processing of sludge. It soil conditioner, should be recognized, as stated earlier, compost that the issue of sludge handling and management is new to AZERSU and until the issue is progressed as part of ongoing design and discussion works it is not feasible to provide further details in this EIA. AZERSU has committed to operate in compliance with relevant EU Directives, which provide detailed guidance on this technical issue and it is not desirable or useful to provide additional information here.

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5. Analysis of alternatives

5.1 Introduction

This section presents the alternatives that were considered for the project, including the do- nothing option, in accordance with World Bank Policy and best practice. The three options are: ‘do-nothing’, ‘water supply only’ and the ‘preferred scheme’. One of the key objectives in an EIA report is to analyze the environmental implications of each viable option and then compare the options to evaluate their environmental performance, which feeds into overall project design, along with cost-benefit and other factors.

5.2 Alternative 1, “Do nothing” option

This option can be considered the worst-case scenario. The existing water supply system is inefficient and unreliable, often supplies poor quality water, and the wastewater collection system of sewer collectors do not exist.

The socially and environmentally damaging situation in and around Gabala town will be further exacerbated if no corrective action is taken. Lack of a sewerage system increases the potential of groundwater pollution, which, in turn, increases the risk of negative impacts on public health and welfare. Impacts on environment and water ecosystems - pollution of surface and ground water reserves, erosion and pollution of soil, degradation of vegetation - are possible. Continuation of such a situation is undesirable, especially with high growth rate of population and development of new business enterprises.

Insufficient water supply and no sewerage system will make people refusing to pay bills, and losses in water pipelines and etc. can make work of Gabala Water Canal Department economically inefficient.

5.2.1 Geology and soils

The do nothing scenario will see ongoing and increased pollution of soils, which will limit their usage for agriculture and grazing due to their polluted nature.

5.2.2 Air quality

No specific effects will ensue, apart from the already bad odor continuing to prevail, associated with untreated wastewater, both escaping into the streets and downstream of the discharge point.

5.2.3 Noise

No particular changes to noise levels are associated with this option, apart from increased noise during the frequent maintenance caused by the failing system.

5.2.4 Ecology and protected areas

Continued and possibly increasing pollution of the water environment and low lying areas will occur, further damaging the flora and fauna, as native species are replaced by dominant eutrophic-tolerant species. The water ecosystem already shows signs of dominant emergent

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species such as Phragmites and Typha as well as macro algae; all nutrient-induced development.

The protected areas are at the sufficient distance from the project site and will be unaffected by project implementation.

5.2.5 Surface and ground water

The do nothing scenario will see ongoing and increased pollution of surface and groundwater, which will limit their usage for agricultural irrigation due to their polluted nature.

5.3 Water supply only

5.3.1 Introduction

This option includes total reconstruction of water supply system.

There are several potential water sources considered by the FS:

• surface and ground water resources of Damiraparan River;

• surface water resources of Duruca River (abstraction of drinking water from infiltration areas); and

• groundwater resources on depths of 500-550 m, 13 km to the south from Gabala town.

The ground water sources considered under the other options are not preferred because they are used by the villages nearby, and the lower than Gabala altitude of those sources would require using additional equipment to pump water to the town.

Duruca River is a small river and joins Damiraparan River above Gabala town. Average annual water flow of the River is approximately 0.07 m³/sec or 2.21 mln. m³. It is less than total volume of water consumption of Gabala town. Therefore use of this river’s water canlead to an exhaustion of its resources.

The preferred scheme has adopted to use ground water of the Damiraparan River. With the confirmed average annual water flow rate being 4.59m3/sec, or 144.5 mln. m3, and estimated annual demand for the Gabala town being 2.36 mln. m3, the water abstraction would constitute 1.62 % of the flow, which is deemed to be sustainable. Also, there are no settlements, i.e. no other current or potential users located between the river and the town. Due to the altitude of the river to be higher than the one of the town, no pumping stations are required for the transportation of water, as it will move by gravity.

Sewage is planned to be discharged to Hamzali River without treatment.

According to this Option, Gabala people will continuously be supplied with high quality drinking water, and it will cover 100% of the town population. Existing water supply system covers only 18-20% of the town population. Water loss will be reduced, flow meters will help to save water and electricity, and payments by people and organizations will increase. Continuous and quality water supply will have positive impact on public health and reduce the infections risks.

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5.3.2 Geology and soils

Production of groundwater resources under Damiraparan River bed will have minimal effect on its regime. As construction of water dam on Duruca River will be accomplished in the river course only, no impacts on vegetation and hydrogeology of the river are expected.

5.3.3 Air quality

There are no specific issues pertaining to air quality of this option, apart from an increase in odor nuisance associated with exposure to untreated wastewater.

5.3.4 Noise

Noise levels and disruption will occur during replacement of the water supply network; as per the preferred scheme. Noise disruption will occur due to maintenance of the failing sewer system, as flows increase.

5.3.5 Ecology and protected areas

Improved water supply system will increase the amount of sewage produced. Continued lack of sewerage network in the town will lead to pollution of groundwater around the town and increase of its level, as well as discharge of wastewaters into nearby watercourses. Discharging wastewaters into Hamzali River without treatment will destroy the ecosystems in river valley and will pollute groundwater under the riverbed.

Discharging sewage into lower reach of Hamzali River will significantly pollute river water and destroy the natural ecosystems of the river valley as the River is very small and has no self- cleansing capacity. During low surface runoff seasons (winter, summer) water flow in the river is very low. This can increase the risks of infections among people living along the river bank.

This option is not environmentally beneficial because of discharging untreated wastewaters into environment. Protected areas in Gabala region are located away from the Project area and project implementation will have no impact on these environments.

5.3.6 Surface and ground water

Increased provision of potable water supply will significantly increase the generation and discharge of wastewater, which will result in increased contamination of surface and ground waters due to the non-operational wastewater treatment infrastructure.

5.4 The preferred scheme

This option includes total reconstruction of water supply and sewerage systems as described in section 1 of this report. Sewage will be discharged to the Damiraparan River after being treated at WWT plant. According to this Option, 100% of the town population in Gabala will continuously be supplied with quality drinking water. Water loss will be within accepted standards, flow meters will help to use water economically, payments by people and organizations will increase and power will be saved as well. Continuous and quality water supply will influence public health positively and remove the risks of water borne infections caused by wastewaters. Impacts on ground and surface waters will be minimal.

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A new WWT plant compliant to the EU UWWT Directive (91/271/EEC) standards includes mechanical and biological treatment of effluent. Sewage treatment process will include mechanical and biological stages, which will allow for the water quality similar to the irrigation water quality.

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6. Public consultation

Consultations with relevant Governmental organizations and the public are an important component of the EIA process. They often provide valuable insight in to the Project Area and act as a source of guidance in the scoping of the EIA study, ensuring that all the appropriate issues are addressed and that official organizations are in agreement to the scope of the study.

According to Environmental Protection Law, consultations with local communities and NGOs must be conducted and their participation should be provided in all stages of project implementation. The national legislation includes for public consultation at the stage of drafting the ToR for the EIA study and then again once the draft EIA report has been prepared. This approach was followed by the project and public consultations were held in February 2008 and August 2009. It should be noted that, while the purpose of the initial consultations undertaken by AZERSU was to discuss the TOR, the actual discussion covered a wider range of issues related to overall nature and objectives of the project. The second round of consultations was focused on the Gabala scheme itself, with details of the location and benefits (see Annex 4).

In accordance with the social surveys general conditions were as follows: • According to survey results most of the households using central water supply system pay monthly service fees regularly. • Those who decline payments are mainly refugees, IDPs and families with limited income. This situation is related to the economic transition status, with those better off willing to pay additional amounts for 24 hour quality water supply. • According to respondents monthly payments are made per each household dweller (86 %).People are ready to pay more service fees for an improved water supply and sanitation system. Most of the surveyed households agree to pay service fees for a completely reconstructed system. • Households prefer water supply and sanitation services to be managed by the state agencies. • Payments in return for water services are mainly being made in cash (88 %) on receipt of payment by the water supply department officials. Only 2% of the households submit their payments via bank/post office transfer.

Representatives of local communities affected by the project and NGOs were invited to attend the consultations. Azerbaijan has joined the Convention on Access to Environmental Information, Public Participation in Decision Making Process and Access to Justice in Environmental Matters (Aarhus, Denmark, 1998) in 1999.

The results of the public consultation showed that people viewed the project as very beneficial to the community and environment alike. Many people were interested in the degree of wastewater treatment and its environmental effects and potential usage, ie would it be suitable for downstream irrigation etc.

In discussions between the Bank and AZERSU, it was agreed to hold additional public consultations and press releases will be disclosed at all stages of the project implementation in compliance with Azerbaijani laws on NGOs and Media, as well World Bank Policy on Disclosure of Information. Information about the project will also be disclosed on internet sites of Azersu (www.azersu.az) and Caucasus Environmental NGO Network (CENN).

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All parties involved in the project are mindful of the potential disruption to residents due to the large scale of work within the town and villages and it is planned to hold further consultation with residents prior to commencement of construction works. It has been agreed that the contractor will develop a traffic/work plan in consultation with AZERSU, the municipality and local residents, to minimise disruption caused particularly by the street works. All efforts will be made to synchronise work components, especially water and sewer networks, and to expedite sidewalk and pavement reinstatement. This approach will be included within the bidding documents, to ensure its implementation. There is possibility of conflicts with local people during the project implementation, because construction works will cause inconvenience. If any conflicts, these will be solved through mutual discussions and in accordance with the grievance mechanism in the RPF developed for the project.

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7. Environmental Management Plan

7.1 Introduction

This section of the report outlines the management mechanisms for how the environmental and social elements of the project will be managed from construction through operation to minimize impacts on natural and social environment.

The purpose of the EMP is to ensure that all potentially negative environmental impacts during construction and operation are avoided. It sets out to ensure that all aspects of the works comply with the relevant legislation, licence conditions and good practice, and that measures to mitigate impacts identified in the EIA are implemented.

The EMP implements appropriate environmental controls and monitoring procedures during construction and afterwards.

The EMP contains environmental requirements, which are required for the successful implementation of mitigation measures, environmental monitoring, safety and environmental auditing. The implementation of mitigation measures and emergency measures shall be the responsibility of the Contractor. He shall ensure compliance with all environmental legislation, regulations, and conventions ratified by Azerbaijan Republic.

It is recommended (as agreed with AZERSU) that the PIU is supported in achieving project environmental and social safeguard objectives by support from a local environmental consultant. The consultant will advise and support the PIU in implementation of the EIA standards during construction and into operation.

7.2 General mitigation during construction

The Contractor will be contractually required to conform to the requirements specified in the EIA and EMP and will be accountable to AZERSU, as the client, through its Project Implementation Unit (PIU).

There are several mechanisms of ensuring delivery during construction of both general and site specific mitigation developed in EIAs. One mechanism involves requiring the Contractor to further develop the outline requirements in an EMP by designing individual Management Plans (MPs), such as oil and fuel storage, waste management, traffic management and pollution prevention. This approach is specified for the project, as it encourages early evaluation of these aspects by the contractor and he produces a set of MPs that can be checked and verified on site and are auditable through the monitoring process. The following table (Table 7-1) outlines the content of the MPs to be produced by the contractor and their development will be assisted by the Environmental Consultant from AZERSU PIU, in conjunction with Bank Environmental staff in Baku.

Table 7-1 List of Management Plans Environmental Plan Outline of Contents

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Environmental Plan Outline of Contents Waste Management Measures to reduce, handle, separate, store and dispose waste from operations and work sites. Requirements for monitoring, recording, inspection and reporting. Instructions for the storage and handling of various types of hazardous materials. Wastewater Measures to control, collect, treat or reuse wastewater from various sources to Management avoid pollution. Air Quality Control Measures to reduce and control air emission from various sources. Requirements for monitoring, recording, inspection and reporting. Dust Control Measures to reduce and control dust emissions from roads, work sites and construction activities. Requirements for monitoring, recording, inspection and reporting. Noise and Vibration Measures to reduce and control noise and vibrations generated by plant at all work Control sites and from transport activities. Requirements for monitoring, recording, inspection and reporting. Emergency Response Procedures for response to a range of incidents and emergencies. Requirements for monitoring, recording, inspection and reporting. Traffic Management Procedures for minimising disruption to traffic and access, especially for public buildings such as hospitals and schools. Archaeology and Measures to reduce adverse impacts on cultural heritage during construction. If any Cultural Heritage late finds are made measures must be taken to ensure ‘conservation’ in accordance with legislation. Oil and fuel storage Specification for storage of all oils and fuels (secondary containment etc) and and refuelling procedures for refuelling vehicles, plant and equipment so as to ensure environmental protection. Site Inspection Procedures for site inspection and reporting including notification of non-compliance Handling of Complaints Procedures for handling of complaints including response to complainer and and Grievances reporting. Environmental Training - Project Induction - Toolbox talks Training requirements and procedures including target groups, contents of training sessions and verification. Storage and use of Registration, logging of material safety data sheets and risk assessment of hazardous products & materials and chemicals being used in the project. Documentation requirements. substances Reinstatement Plan Plan for removal of all equipment and materials from temporary work sites and reinstatement of areas to a standard at least as good as the pre-construction condition. Plan for topsoil management and removal wasres.

As is the case in many countries with developing economies, there is an absence of compliant hazardous waste disposal facilities in Azerbaijan (the only existing hazardous waste landfill is located far from the project area). A recent Bank financed waste facility has been constructed in Sumgayit near Baku, but costs of transporting waste are likely to be prohibitive for the contractor and eventually all rayon centres should provide such facilities. In this respect, the only practicable course of action to avoid environmental damage caused by hazardous waste is for the material to be stored on site properly and securely by the contractor and then transfer this material to a specially designed storage facility in Gabala. This new facility should be operated by the municipality and/or AZERSU and a cost allowance has been made in the EMP accordingly. In ongoing discussions with AZERSU, they are supportive

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of this approach and have confirmed that they will ensure that the municipality manages such a facility.

A tabulated summary of the environmental management is presented in Table 7-2.

7.3 Emergency planning

During the construction phase Emergency plans will be prepared by all Contractors. The Emergency plans will determine the responses to unforeseen incidents and accidents and allow co-ordination with the Emergency Services as appropriate.

The Contractor shall set up emergency procedures for the construction phase. The basis for emergency response and planning is firstly incident prevention, and secondly rendering any incidents harmless. The priorities for protection in an emergency situation are the following:

• Human life and health;

• The environment;

• Assets belonging to Client and the Contractor;

• Maintenance of normal operations on site.

The protection of human life, health and the environment shall be primarily dealt with in the Contractor's Environmental, Health and Safety Plan. The Contractor shall also take all reasonable measures to prevent contamination of water air or land as a result of any incident, to reduce such contamination if it is unavoidable and to remediate any contamination that has occurred during the works.

The Contractor shall immediately report any significant incidents to AZERSU and if relevant MENR.

Appropriate measures against fire will be taken in compliance with existing laws and safety rules. These measures are as follows:

• Fire fighting equipment will placed in all sites having fire potential;

• All personnel will be trained on fire fighting.

7.4 Operational aspects

Gabala Water Canal Department will be supplied with various modern control, maintenance, measurement equipment and small laboratory, as well as administrative building, vehicles, special equipment for cleaning sewer systems within the project framework. Sewage treatment process will cover mechanical and biological stages, and these waters are planned to be cleaned to irrigation water level.

Water and wastewater treatment management will be carried out according to internally compliant procedures of AZERSU. These procedures comply with requirements set by the legislation and management regulations of Azerbaijan Republic.

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Potential environmental impacts during utilization phase are few, and their management is described below:

• Continuous control over water quality and standards;

• Control over water consumption;

• Prohibiting entrance of people and animals in water protection areas and providing regular guarding;

• Continuous control over chlorination process in water storage facilities, accommodating chlorine storage in chlorination building to safety rules;

• Continuous control over mechanical and biological sewage aeration in sewage treatment works, use of mobile power generator where necessary for providing continuous treatment;

• Continuous control over quality (microbiological and chemical composition) of treated effluent;

• Continuous control over sludge processing and quality, neutralisation of dangerous substances and heavy metals;

• Researching options of using sludge as a fertilizer for agricultural lands or as a compost for landscaping works, in agreement with authorities.

7.5 Environmental Monitoring Plan

During the construction phase ongoing monitoring will be conducted to ensure compliance to the environmental and social requirements and standards. Operational monitoring will essentially comprise performance monitoring of the efficiency of the WWTW, from which it will be possible to gauge environmental enhancement, as downstream monitoring will indicate pollution levels and record general environmental quality through observations.

The main elements of the environmental monitoring plan are the following:

Construction phase:

• Dust monitoring;

• Noise monitoring;

• Solid wastes monitoring;

• Wastewaters monitoring;

• Soil monitoring.

Operation phase:

• Monitoring of water volume in water sources and water storages;

• Monitoring of microbiological and chemical composition of water distributed to people, comparison to water standards;

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• Monitoring of pollution load of sewage;

• Monitoring of treatment effluent;

• Monitoring of sludge quality in the plant;

• Monitoring of discharged effluent and downstream where it joins the Damiraparan River;

• Monitoring of sludge disposal sites to check for any contamination;

• Establishing a laboratory (for monitoring sanitary condition of waters) at Gabala Water Canal Department.

A tabulated summary of the environmental monitoring plan is presented in Table 7-3.

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Table 7-2 Environmental Management Plan

Phase, location Issue Mitigation Institutional Cost Notes Cost responsibility AZM note

Construction

Excavation of Disturbance to Advanced liaison, public consultation, adhere to Contractor 20,500 Contractual 1 trenches for residents, waste working hours and noise & vibration minimisation. requirement removal of old and disposal Waste management to project procedures. laying of new pipelines

Sand and gravel Disturbance of river Use existing borrow pits or buy material at licensed Contractor NA Contractual 2 borrow pit operations; requirement for official approval or valid requirement bed, water quality, operating license4. ecosystem disturbance Asphalt laying Dust, fumes, Use existing, licensed asphalt plants and good practice Contractor NA Contractual 3 workers health and during work. requirement

safety, ecosystem disturbance

Installation of new Water and ground Adherence to fuel/oil storage, hazardous materials Contractor 10,000 Contractual 4 wells for water pollution esp. in river handling & clean up procedures requirement abstraction floodplain

Mains pipelines Damage, pollution to Adherence to fuel/oil storage, hazardous materials Contractor NA Contractual 5 construction river and riparian handling & clean up procedures, good soil

4 Options for acquiring sand and gravel and the quantities required are unknown until the contractor mobilises to site and breaks ground. He may apply for a license to extract material using his own equipment or purchase material from a 3rd party. If he intends to extract material himself then a pre-condition will be environmental evaluation of the site, obtaining the approval and license from the relevant Authority and operation of activities in accordance with best practice, which will include adherence to fuel and oil storage and refuelling, waste management and health and safety. If he purchases material from a 3rd party the contractor is required to undertake a due diligence inspection of the facility to satisfy himself that the above environmental standards are being applied.

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Phase, location Issue Mitigation Institutional Cost Notes Cost responsibility AZM note

areas management and reinstatement requirement

Soil management, Good soil management techniques required, topsoil Contractor NA Contractual 5 drainage segregation, good storage and reinstatement to requirement interference, water prevent erosion and loss of fertility, pollution prevention pollution measures implemented.

Land resources, Liaise with PAPs prior to works; adhere to RPF, Contractor 1,000 Contractual 6 agriculture, income implementation of grievance mechanism; no storage of requirement generation activities materials on agricultural land or as agreed with landowners. Ecological damage Careful storage of soil and trench sub soil to avoid Contractor NA Contractual damaging forest and riparian habitat. requirement

Routing of pipeline Undertake environmental analysis to limit damage Contractor 1,000 Contractual 7 from pipeline routing; best practice for water courses requirement crossings and consider potential for pipeline to act as a drain for water to change hydrology; pipelines should cross streams in the shortest distance possible; construction should be scheduled for during dry flows where feasible. Pipeline Apply best practice pipeline construction techniques, Contractor 10,000 Contractual 8 construction including water stops in trench, proper backfill, requirement methods compaction, erosion prevention measures at any water crossings and reinstatement. Pipeline installation Consider best practice installation techniques, eg open Contractor NA Contractual 9 methods cut method versus trenchless techniques such as requirement thrust bore, pipe jack, horizontal drilling to minimise environmental damage to water courses and valuable lands and roads etc.

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Phase, location Issue Mitigation Institutional Cost Notes Cost responsibility AZM note

Material transport Asphalt cover truck load Contractor 10,000 Contractual 10 requirement dust, fumes

Stone wet or cover truck load Contractor Contractual 10 requirement Dust

Sand and gravel wet or cover truck load Contractor Contractual 10 requirement Dust

Avoidance of All waste to be managed and disposed of as per Contractor NA Contractual 11 Waste pollution agreement with the measures which are specified in requirement management this EIA & as agreed with AZERSU during discussions as part of this EIA. Copies of waste transfer/disposal retained on file. noise, vehicle Haul material at off peak traffic hours; use alternative Contractor NA Contractual 12 Traffic exhaust, road routes to minimize major traffic sites requirement management congestion

Construction site Noise and vibration Limit activities to daylight working hours (not between Contractor NA Contractual 12 disturbance to 8 p.m. and 7 a.m. or as agreed with public and requirement residents and authorities); equipment operating with noise mufflers

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Phase, location Issue Mitigation Institutional Cost Notes Cost responsibility AZM note

workers

Access disruption Liaise with residents and any visitors or tourists Contractor 2,000 Contractual 13 requirement

Vehicle and Appropriate lighting and well defined safety signs and Contractor NA Contractual 14 pedestrian safety information to residents requirement when there is no construction activity

Operation Sludge disposal Dispose without causing pollution or other adverse AZERSU NA AZERSU will 15 effect arrange disposal with MENR local department and municipality.

Water quality AZERSU to monitor discharge quality parameters and AZERSU NA AZERSU will 16 take remedial action in the event of non-compliance arrange in liaison with MENR local department

Hazardous waste Construct hazardous waste storage facility until Municipality/A 50,000 Cost excluded 17 Municipality constructs a compliant final disposal ZERSU from the EMP facility for hazardous waste. costs for contractor accountability.

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Phase, location Issue Mitigation Institutional Cost Notes Cost responsibility AZM note

TOTAL 54,500

1. Cost assumes one public meeting at commencement of construction to inform residents about disturbance issues; cost assumes 1000. Waste management cost assumes removal of contaminated material from trenches and storage at a temporary site pending construction of a waste facility. Quantities assume 100 m3 at a m3 cost of 200 = 20,000. Final disposal cost cannot be calculated now and will be AZERSU responsibility.

2. No costs are assigned here, as EMP specifies only licensed material can be used.

3. No costs area assigned here; trucks will be covered, which should be standard practice and cost is included in tendered cost.

4. Cost assumes supply and use of drip trays and other containment arrangements and supply of clean-up equipment; cost assumes 10,000

5. No costs are assigned here, as EMP specifies good practice and costs are included in tendered cost.

6. Cost assumes one meeting with nearby residents/land owners at commencement of construction to inform residents about construction issues; cost assumes 1000.

7. Cost assumes walk-over survey by contractor and refining of any route amendments. Cost assumes 1000

8. Cost assumes possible modifications to pipe laying operations e.g. inclusion of water stops to prevent water flow down trench; cost assumes 20 water stops = 10,000.

9. No costs are assigned here, as EMP specifies best practice; already included in tendered cost.

10. Assumes cost of covering trucks cost assumes lump sum 10,000.

11. Cost assumes handling, segregation, storage and transfer of waste to storage facility in Gabala; cost assumes oil and other waste 10,000.

12. No cost assigned, already in contract.

13. Cost assumes regular meetings and/or information displayed to inform residents about traffic disruption. Cost assumes 2,000.

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Phase, location Issue Mitigation Institutional Cost Notes Cost responsibility AZM note

14. No cost assigned, already in contract.

15. No cost assigned as initial discussions regarding sludge management and its disposal not yet commenced.

16. No costs assigned as responsibility of AZERSU during operation.

17. Cost assumes Municipality construction of a medium to long term storage facility for hazardous waste, which needs to be hard stand, pollution controlled drainage and locked for security and covered. Cost estimate, not based on specified design or obtained construction prices.

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Table 7-3 Environmental Monitoring Plan

What How is the parameter to be When is the parameter to Notes Why is the parameter to Phase, parameter is Where is the parameter to monitored?/ type of moni- be monitored? (fre- Institutional about be monitored? Cost item to be be monitored? toring equipment quency of measurement responsibility costs (optional) monitored? or continuous) Constructi Dust Construction sites and load Observation and inspection Everyday, until construction Protecting human health 2,000 Contractor/PIU 1 on transportation routes works finish AZERSU Noise Construction sites Observation and inspection Everyday, until construction Reducing people’s 5,000 Contractor/PIU 1 monitoring works finish annoyance AZERSU Solid waste Construction sites and load Observation and inspection Everyday, until construction Preventing environmental 1,000 Contractor/PIU 1 monitoring transportation routes works finish pollution AZERSU Waste water Construction sites Observation and inspection Everyday, until construction Preventing environmental 5,000 Contractor/PIU monitoring works finish pollution, decreasing risks AZERSU 1 of infectious diseases Soil Sites where pipelines and Observation and inspection Regularly Preventing degradation of 2,000 monitoring temporary dirt roads will be soil and vegetation Contractor/PIU built AZERSU 1

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When is the parameter Why is the Where is the How is the parameter to be Notes Phase, What parameter is to be monitored? (fre- parameter to be Cost, Institutional parameter to be monitored?/ type of moni- about item to be monitored? quency of measurement monitored? AZN responsibility monitored? toring equipment costs or continuous) (optional) Operation Monitoring of water Water sources of Measuring fluid level and flow Fluid level every 10 days, Efficient use of 10,000 AZERSU/ volume in water Duruca and rate in water wells with fluid and flow rate continuously water resources in Gabala Water 2 sources and water Damiraparan Rivers shot device and flow meter water sources Canal storages Department Monitoring of microbi- Quality indicators of Water samples will be taken Once a month; every 3, 5, To keep water AZERSU/ 3 ological and chemical water sources of in standard bottles and or 10 days in emergency quality and quality Gabala Water composition of water Duruca and analysed in laboratory situations water supply to Canal distributed to people, Damiraparan Rivers: people under Department comparison to water - physical control standards characteristics of 6,800 water - turbidity - amount of anions and cations - microbiological indicators - heavy metals Monitoring of pollu- Quality indicators of Water samples will be taken Once a month; every 3, 5, To control sewage 6,800 AZERSU/ 4 tion level of sewage sewage generated in in standard bottles and or 10 days in emergency treatment Gabala Water town: - physical analysed in laboratory situations Canal characteristics of water Department - turbidity - amount of anions and cations - microbiological indicators - heavy metals

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Note When is the parameter s How is the parameter to Why is the parameter to Phase, What parameter is Where is the parameter to to be monitored? (fre- Institutional abou be monitored?/ type of be monitored? Cost item to be monitored? be monitored? quency of measurement responsibility t moni-toring equipment (optional) or continuous) cost s Monitoring of sewage Quality indicators of water in Water samples will be Once a month; every 3, 5, To control sewage 6,800 AZERSU/ Operatio after purification the outlet of water purification taken in standard bottles or 10 days in emergency treatment Gabala Water n plant: - physical and analysed in laboratory situations Canal characteristics of water - Department turbidity - amount of anions and cations - microbiological indicators - heavy metals 4 Monitoring of Determining mechanical Water samples will be 7,200 Once a month, and To control sewage depositions in water composition of depositions, taken in standard bottles AZERSU/ whenever depositions are treatment and to keep purification plants noxious substances and and analysed in laboratory Gabala Water 5 removed from water recycling of depositions microbiological parameters Canal treatment plant under control required by standards Department 1 – Monitoring costs include salaries of supervisor and observers and use of small mobile control units 2 – 36 measurements are planned per year, measurement of flow rate – 200 AZN/measurement, total of 7,200 AZN, and cost of flow rate measuring tool 2,800 AZN 3 – Cost of laboratory services for analyzing 1 sample of water is about 425 AZN; however, costs for 4 more sample analysis are also included, just in case if need for any unexpected measurement emerges 4 – Sampling and analysing of water at entrance and exit of WWT plant, and extraction and analysis of 4 more samples in emergency cases 5 – Costs related to sampling and analyzing sludge: Cost of laboratory analysis for 1 sample is 600 AZN

ANNEX I. Preferred scheme details

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Planned water supply network of Gabala town Planned sewerage network of Gabala town

ANNEX 2

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Photographs of the Project area

Water abstraction ditch and purification pond on Damiraparan River

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Area where wastewaters of Gabala town are discharged Wastes in the area where wastewaters of Gabala town are discharged

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Damiraparan River water source. Drilling of 6 wells in this area is Area where construction of a main water reservoir is planned planned within the Project framework

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ANNEX 3

ENVIRONMENTAL STANDARDS

Environmental Rules for Wastewater Treatment Plants

According to the Azerbaijan rules, discharge of wastewaters into water bodies is allowed only after obtaining a permit for "special water-use". The degree to which discharged wastewaters have to be treated (purified) is determined by the Maximum Allowable Discharge (MAD) norms for polluting substances. These norms are normally imposed in order to gradually improve surface water quality and meet the sanitary-hygienic requirements in proximity to water-intake structures. Norms (MACs or EALs) for the water chemical composition and its properties in water bodies are set depending on the category of water-use. (MAC - maximal allowable concentrations of substances are such concentrations, that these substances do not impose any direct or indirect influence on human health (both immediate and cumulative effects) and do not lead to deterioration of hygienic conditions of water usage.

Water bodies of the first category are the water bodies, used as the source for centralized or non-centralized economic-potable water supply as well as for water supply of food processing industry enterprises. Water bodies of the second category are the water bodies, used for cultural and community purposes, recreation, sport and water bodies, located inside settlement borders (USSR Ministry of Health, 1988a).

So-called Emission Limit Values (ELVs) are calculated in order to meet the Maximum Allowable Concentrations (MACs) in the receiving media. ELVs constitute the basic permit requirements.

During determination of the rules for discharge of wastewaters into water storages

• Mixing and dilution level of the water in water storages with waste waters in the distance between discharge of the waste waters and water intake for agriculture, drinking ,domestic ,fishing purposes etc. • Quality of the waters in water flows above the discharge area of the waste waters have been considered in the report.

Environmental Standard for Drinking Water

Main monitoring standards on quality of drinking water are defined on the basis of document “GOST (State standards) 2874-82. Drinking water. Hygienic Requirements and water quality control”. Monitoring parameters of drinking water and standards are given in Table 1.

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Table- 1 Environmental Standards for Drinking water in Azerbaijan

Environmental Parameter Standard pH 6.0 – 9.0 Turbidity 1.5 mg/l Microorganisms (Colony number formed in 1ml of test water) <100 Coliforms (coli-index). Intestinal bacillus number <3 formed in 1 litre of test water - Nitrates (N03 ) 45 mg/l - Nitrites (N02 ), 3 mg/l Chlorides 350 mg/l Phosphates 1.0 mg/l 2- Sulfates (S04 ) 500 mg/l Total hardness 7 mmol/1 Residual chlorine 0.3-0.5 Al 0.5 mg/l As 0.05 mg/l Fe 0. 3 mg/l Ni 0.1 mg/l Cr(Cr6+) 0.05 mg/l Cu(Cr2+) 1 mg/l Zn 5 mg/l Cd 0.001 mg/l Pb 0.03 mg/l Hg 0.0005 mg/l

Table-1 Maximum Allowable Concentrations for Inorganic and Organic components in drinking water

AR (SanPiN, Environmental Parameter WHO US EPA EU GOST) Inorganic components, mg/dm3 + Ammonium,(N-H4 ), 1.5 - 0.54 -

Chlorine: 0.5- 5.0* - Residual free - - 0.3-0.5 -Residual connected 0.8-1.2

- Nitrates (N03 ) 50.0 44.01 50.03 45.0

- Nitrites (N02 ), 3.0 3.31 0.53 3.0

2- Sulfates (S04 ) 250.0 250.02 250.04 500.0

H2S 0.05 - - 0.03 Al 0.2 0.22 0.24 0.5 Al 0.2 0.22 0.24 0.5 Ba 0.7 2.01 0.16 0.1 Be - 0.0041 - 0.0002 B 0.3 - 1.03 0.5 V - - - 0.1 Bi - - - 0.1

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AR (SanPiN, Environmental Parameter WHO US EPA EU GOST) W - - - 0.05 Eu - - - 0.3 Fe 0.3 0.32 0.24 0.3 Cd 0.003 0.0051 0.0053 0.001 K - - 12.05 - Ca - - 100.06 - Co - - - 0.1 Si - - - 10.0 Li - - - 0.03 Mg - - 50.05 - Mn 0.5 (0.1) 0.052 0.054 0.1 Cu 2.0 (1.0 ) 1.02 -1.31 2.03 1.0 Mo 0.07 - - 0.25 As 0.01 0.051 0.013 0.05 Na 200.0 - 200.04 200.0 Ni 0.02 - 0.023 0.1 Nb - - - 0.01 Hg 0.001 0.0021 0.0013 0.0005 Rb - - - 0.1 Sm - - - 0.024 Pb 0.01 0.015 0.01 0.03 Se 0.01 0.05 0.01 0.01 Ag - 0.12 0.015 0.05

H2S 0.05 - - 0.03 Sr - - - 7.0 Sb 0.005 0.006 0.005 0.05 Tl - 0.002 - 0.0001 Te - - - 0.01 P - - - 0.0001 F- 1.5 2.0-4.0 1.5 1.5 Chlorine: - Residual free 0.5-5.0* - - 0.3-0.5 -Residual connected 0.8-1.2 Cl-) 250.0 250.0 250.0 350.0 Cr3+ - - 0.5 0.1 Cr6+ 0.05 0.05 0.05 CN- 0,07 0.2 0.05 0.035 Zn 3.0 5.0 5.0 5.0 Organic components, µg/dm3

Chlorinated alkanes

carbon tetrachloride 2 5 - 6

dichloromethane 20 5 - 7.5

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AR (SanPiN, Environmental Parameter WHO US EPA EU GOST) 1,2- dichloroethane 30 5 3 -

Chlorinated ethylene

vinyl chloride 5 5 0.5 50

1,1-dichloroethylene 30 7 - -

1,2- dichloroethylene 50 170 - -

trichloroethylene 70 5 10 -

tetrachloroethylene 40 5 10 -

aromatic hydrocarbons

Benzol 10 5 - 10

Toluol 700 1000 - 500

Xylene 500 10000 - 50

ethylbenzene 300 700 - 10

Styrene 20 100 - 100

polycyclik aromatic - - 0.1 - hydrocarbons

Benzpyrene 0.7 0.2 0.01 0 - 5

Benzpyrene benzol

Mono chlorbenzene 300 100 - 20

1,2- dichlorobenzene 1000 600 - 2

1,4-dichlorobenzene 300 - - -

Trichlorbenzol 20 70 - 30

Environmental Standard for Treated Effluent and Treated Sludge

EU wastewater treatment regulations

In the European context, the performance of wastewater treatment has to fulfil the EU Urban Wastewater Treatment Directive (91/271/EEC, later amended by 98/15/EEC), implemented by Member States in their national legislation. The objective of the Directive is to protect the environment from the adverse effects of discharges of urban wastewater and of wastewater from industrial sectors of agro-food industry. This EU Directive outlines universal standards for end-of-pipe compliance at all secondary treatment facilities. The standards are expressed as either numerical limits or percentage reduction values for COD, BOD5 and TSS parameters.

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Alternate/additional end-of-pipe limits are also applied to facilities that discharge into waters at high elevation and/or into waters classified as “sensitive areas” and “less sensitive areas”. For these areas, population equivalent (PE) provisions for each parameter may be implemented. “Sensitive areas” include water bodies that are eutrophic or are susceptible to eutrophication, as well as water bodies from which potable water is collected. In addition to the aforementioned parameters, total nitrogen (TN) and total phosphorus (TP) limits that take PE into account are applied to treatment facilities that discharge to sensitive areas. Less stringent limits (including the complete absence of limits) may apply to large water bodies (i.e., estuaries, coastal areas) that exhibit high water exchange and are not susceptible to eutrophication (or likely to become eutrophic) or do not experience oxygen depletion due to the discharge of urban wastewater. These areas are referred to as “less sensitive”. Apart from identification of “sensitive” and “less sensitive” water bodies, the end-of-pipe limits do not take receiving environment conditions and/or dilution ratios into account for derivation of the limits. See Table-2 and Table -3 for the numerical values of effluent limits throughout Europe. Table-2 Requirements for discharges from urban waste water treatment plants subject to Articles 4 and 5 of the EU Urban wastewater Directive.

Parameters Concentration Minimum Reference method of percentage of measurement reduction (1)

Biochemical 25 mg/l O2 70-90 Homogenized, unfiltered, oxygen 40 under undecanted sample. Determination demand Article 4 (2) of dissolved oxygen before and (BOD5 at 20 after five-day incubation at 20 °C ± °C) without 1 °C, in complete darkness. nitrification (2) Addition of a nitrification inhibitor

Chemical 125 mg/l O2 75 Homogenized, unfiltered, oxygen undecanted sample Potassium demand dichromate (COD)

Total 35 mg/l 90 (3) - Filtering of a representative suspended 35 under 90 under sample through a 0,45 ìm filter solids Article 4 (2) Article 4 (2) membrane. Drying at 105 °C and (more than 10 000 (more than 10 000 weighing p.e.) p.e.) - Centrifuging of a representative 60 under 70 under sample (for at least five mins with Article 4 (2) Article 4 (2) mean acceleration of 2 800 to 3 (2 000-10 000 p.e.) (2 000-10 000 p.e.) 200 g), drying at 105 °C and weighing (1) R eduction in relation to the load of the influent. (2) The parameter can be replaced by another parameter: total organic carbon (TOC) or total oxygen demand (TOD) if a relationship can be established between BOD5 and the substitute parameter. (3)This requirement is optional. (2) Analyses concerning discharges from lagooning shall be carried out on filtered samples; however, the concentration of total suspended solids in unfiltered water samples shall not exceed 150 mg/l.

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Table -3 Requirements for discharges from urban waste water treatment plants to sensitive areas which are subject to eutrophication as identified in Annex II.A (a) Directive.

Parameters Concentration Minimum Reference method of percentage of measurement reduction (1)

Total phosphorus 2 mg/l P 80 Molecular absorption (10 000 - 100 000 p. e.) spectrophotometry 1 mg/l P (more than 100 000 p. e.)

Total nitrogen (2) 15 mg/l N 70-80 Molecular absorption (10 000 - 100 000 p. e.) spectrophotometry 10 mg/l N (more than 100 000 p. e.) (3) (1) Reduction in relation to the load of the influent. (2) Total nitrogen means: the sum of total Kjeldahl-nitrogen (organic N + NH3), nitrate (NO3)-nitrogen and nitrite (NO2)-nitrogen. (3) Alternatively, the daily average must not exceed 20 mg/l N. This requirement refers to a water temperature of 12° C or more during the operation of the biological reactor of the waste water treatment plant. As a substitute for the condition concerning the temperature, it is possible to apply a limited time of operation, which takes into account the regional climatic conditions. This alternative applies if it can be shown that paragraph 1 of Annex I.D is fulfilled. Table -4 Environmental Monitoring Program and Standards for Treated Effluent

Environmental Monitorin Responsible Parameter to be g Frequency Standard Organization monitored Location

Daily 1.During the start-up BOD 25 mg/l period : COD At WWTP 125 mg/l Construction site contractor, PH 6 – 9 SuKanal department Oil and grease 10 mg/l 1.During the WSSS operation period: TSS 35 mg/l SuKanal department Total 2 mg /l P Phosphorus 15 mg /l N Total Nitrogen ≤ 1 egg/liter Nematode eggs 200-400 MPN/100 Faecal coliforms. ml

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Environmental Monitorin Responsible Parameter to be g Frequency Standard Organization monitored Location

10 mg/l During the start-up Heavy metals At period : 2.0-2.5 mg/l Fluoride Wastewat Weekly Construction er Plants 400-500 mg/l contractor, Sulfate and in SuKanal department 1 mg/l Sulfide river after 1.During the WSSS discharge 2 mg/l operation period: DO SuKanal department Should not increase TDS by >10% after 200m

At During the start-up Cadmium 0.05-0.1 mg/l Wastewat period : Chromium er Plants 0.1 -0.5 mg/l Construction and in Monthly contractor, Copper river after 0.2-0.5 mg/l SuKanal department Iron discharge 3.0-3.5 mg/l 1.During the WSSS operation period: Lead 0.1-1.0 mg/l SuKanal department Selenium 0.1 mg/l Silver 0.1-05mg/l Zinc 2.0 mg/l

During the start-up At the Weekly 0.2 mg/l period : Chlorine (in discharge Construction event of use) from the contractor, outfall or SuKanal department at 1 km 1.During the WSSS from the operation period: WWTP SuKanal department

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Table -5 Environmental Monitoring Guidelines for the Treated Sludge

Environmental Parameter to be Monitored Standard

pH 5.5-8.5

Coli-titr <0.01

Viable eggs of biohelminths (in 1 dm3) 0

Viable cyst of intestinal pathogenic enterobacterium 0

Heavy Metals (mg/kg sludge): Cd <30 Cu <1500 Ni <400 Pb Zn <1000 Cr <4000 As <1200 Hg <20 <15

Main conditions for use of wastewater and sludge as an additive in irrigation and fertilization in agriculture; taken from Russian standards, which are based on those from WHO and FAO.

General requirements Application of certain methods of use of waste water on irrigated fields depend on preliminary preparation, with consideration of natural conditions and type of cultivated crops.

Assessment of waste water quality and its sludge, applied for irrigation and fertilization is conducted in complex way according to agrochemical and sanitary-hygienic and veterinary-sanitary indications.

Regulation of indicators of quality of watering water and its sludge is made with consideration of soil-climatic, hydro-geological conditions of territory of specific object, biological specific features of cultivated crops and technology of irrigation. Chemical composition of waste water, used for irrigation is assessed on the basis of activity of hydrogen ion (pH), composition of amount of dissolved salts, availability of main biogenic elements (nitrogen, phosphorus, potassium), micro-elements and organic substances.

Depending on chemical composition of waste water, physical and chemical properties of soil, specific features of cultivated crops, technology of use of waste water for regular (by water use) or fertiliser watering.

For use of waste water and sludge in agriculture at irrigation and, as additive to fertilizer, the principal conditions are to be regulated by following documents: • State standard 17.4.3.05-86 (ST SEV 5297-85) • SniP 2.04.03-85 Sanitation, External networks and structures

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• SniP 2.06.08-85 Irrigation systems and structures • Sanitary rules of installation and operation of agricultural fields of irrigation, N 3236-85. • Irrigation systems with use of waste water. Norms of designing VSN 33-2.2.02-86. Requirements to waste water and sludge for irrigation and fertilization. • Corresponding rules of FAO and WHO Requirements for quality of wastewater and its sludge Quality of waste water and its sludge, used for irrigation is regulated by chemical, bacteriological and parasitological indications.

Admissible concentration of heavy metals in waste water is established depending on irrigation norm, and it is defined in each specific case in accordance with acting requirements to waste water quality and its sludge, used for irrgigation and fertilization.

Waste water, containing microelements, including heavy metals in quantities not exceeding MAC for economy-potable water use, may be used for irrigation without restrictions.

Microbiological and parasitological indications of waste water quality, relevant for irrigation, are cited in Table Error! No text of specified style in document.-6.

Table Error! No text of specified style in document.-6 Microbiological and parasitological indications of waste water quality, relevant for irrigation Indicators admissible composition in 1 cub.dm1 Number of LPB (lactose positive bacillus) <10000 Pathogenic microorganisms absence Viable eggs of geohelminths, ascarid, <1 whipworm, hookworm Viable eggs of biohelminths (oncosphere, heniide, <1 eggs of liver fluke) Viable cyst of intestinal pathogenic protozoa <1 (cyst of lamblias, Balantidium, oocyst, cryptosporidiosis)

Possibility of use of treated industrial and mixed waste water in at irrigated fields is settled in each specific case by bodies and institutions of state sanitary-epidemiology and veterinary services on base of results of special researches, directed for learning of degree and character of impact of waste water on soil, cultivated crops, live-stock and cattle breeding production. Requirements concerning sludge from wastewater, applied for fertilization.

Use of sludge of waste water for fertilization may be admitted after its sterilization by one of methods in accordance with acting Sanitary rules of installation and operation of agricultural fields of irrigation.

Before use of sludge at lots for fertilization, agrochemical examination of soil on following parameters is to be conducted: pH, composition of active forms of phosphorus, potassium, heavy metals-lead, cadmium, chromium, copper, nickel, mercury, zinc. Examination is made on base of methods, accepted at agrochemical service.

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As a rule, content of heavy metals in sludge of waste water from enterprises, reprocessing agricultural production is lower, however, nutritive substances are higher, than in sludge from city treatment facilities. With the aim to exclude hazard of pollution of soil, production and environment by heavy metals sludge of waste water purposed for fertilization are to be obligatorily analyzed for checking of heavy metals: lead, cadmium, chrome, copper, nickel, mercury, and zinc.

Application of sludge of industrial –domestic waste water, containing heavy metals and composts from them is prohibited, if introduction of these fertilizers will increase level of pollution of soils up to values 0,7-0,8 MACs

Quality control of waste water and its sludge, which are applied for irrigation and fertilization Production laboratory control on envisaging of sanitation rules and standards at operation of at irrigated fields includes:

• control of effectiveness of operation of plants on preliminary preparation of waste water and its sludge before introduction at agricultural fields; • quality control of underground and surface water, whcih are in the area of impact at agricultural fields • quality control of soil and agricultural production

Check points, terms of selection of samples of waste water and main indicators of its content are defined in each specific case at designing and they are specified at operation of irrigation systems in agreement with local control bodies.

Analysis of content of sludge of waste water is conducted before its use. Background content of heavy metals in soils is defined at lots, purposed for irrigation.

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ANNEX 4

Public Consultations Report 1 National Water Supply and Sanitation Project. Baku City Azerbaijan – World Bank

Public consultations were held in the first stage of Environmental Impacts Assessment development, in a conference organized by Azersu JSC on February 9, 2008.

A public notification was released for organizing the meeting.

• An information about organizing the meeting was placed in www.azersu.az website on January 31, 2008;

• Applications for participation were received from NGOs till February 6, 2008.

Head of International Relations and Development Department of Azersu JSC, Mr. Ilgar Taghiyev opened the meeting and delivered general information about the project. He mentioned that one of the main terms of water supply and sewer system project implementation is EIA development.

Discussions started after presentation on technical tasks of the Project was finished. Questions were asked first.

Fuad Akhundov – Karvan, NGO Which equipment and methods will be utilized for sewage treatment? How will depositions generated in purification plants be treated? Answer: Sewage is planned to be fully cleaned, i.e. using mechanical and microbiological purification plants according to technical-economic assessment of the project. Cleaned water will be conveyed to open drains which will allow additional aeration of water. Depositions settled in purification plants are suggested to be cleaned and used with mineral fertilizers.

Rafig Verdiyev – International Hydrology Program, NGO How will use of ground waters affect hydrologic balance of rivers? Answer: Ground waters used as water source for the project are artesian and subartesian waters, and water mainly formed in middle and upper reaches of river basins and recharging ground waters (in Agstafa). These waters are close to surface in synclinal and monoclinal (hollows) parts of the landscape. Areas suggested as water sources are located in lower parts of river basins and almost no river flow is formed in these areas. These waters most likely will not affect hydrologic balance of rivers. This issue will be studied in EIA. Use of ground waters are planned in other regions, including Gabala and Shamakhy, and use of these resources will not have significant impact on hydrological regime of Damiraparan and Pirsaat Rivers, as the volume of removed water will be less than 1 % of river flow.

Samir Isayev – Ecolex, NGO Why river waters are not used in water supply? Is this related to the volume of water flow and water quality of rivers?

Answer: River waters are enough for water supply and their use will not have significant effect on rivers. The main issue here is quality. Agstafachay River waters are regularly polluted in Armenian territory, Agstafachay dam was constructed for irrigation purposes only, and hardness of Hassansuchay River waters is very high.

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Waters of Damiraparan River in Gabala and Pirsaat River in Shamakhy are often very turbid, and there are issues with clearing water. Moreover, there are always risks of pollution of river waters. Ground waters are clearer and higher quality, as well as costs for their purification is minimal.

Soltanhamid Malikov – Lazer Ltd. The issue worrying me is sewage treatment level. What level will these waters be cleaned to, and how can they be used afterwards? Answer: Purification of water is planned to irrigation water level. This allows to use these waters in dry seasons mixing with irrigation waters.

Main discussions Discussions were mainly about impacts on small river ecosystems; prevention of sewage disposal to rivers; status of ground waters under river courses as most of river waters are consumed; positive role of the project in water supply for people; and potential impacts on ground water resources. Brisk discussions about issues causing major NGO and public concerns, such as sewage and exploitation of most modern technologies for its purification and further utilization of depositions generated in purification process were led.

Compliance of the project with World Bank requirements and Azerbaijani legislation, standards, monitoring, ways of minimizing potential environmental impacts during construction phase of the project were also discussed. It was noted that the project is supported by NGOs, and finally, wide-scale works towards solution of water supply and sewer system problems existing for 20- 30 years will have positive effects on public welfare and health.

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Record of public consultation held in Baku, 9th February 2008

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PUBLIC CONSULTATIONS. REPORT 2 National Water Supply and Sanitation Project. Gabala Town. Azerbaijan – World Bank

Public consultations were held in Gabala town in the first stage of site-specific Environmental Impacts Assessment development for Gabala town Water Supply and Sanitation Project, in a meeting organized by Gabala Water Canal Department on August 14, 2009.

A public notification was released in advance for organizing the meeting.

• An information about organizing the meeting was placed in www.azersu.az website on July 01, 2009;

• Applications for participation were received from public untill August 10, 2009.

Head of Gabala Water Canal Department of Azersu JSC Mr. Tamerlan Hassanov opened the meeting and gave general information about the project. Development of EIA is one of the main requirements of implementing water supply and sanitation projects.

Then environmental consultant Mr. Mirzakhan Mansimov spoke about the content of EIA document on Gabala WSSS project. Discussions started after project presentation finished. Questions were asked first.

Yashar Nematov – Representative of a local NGO: Question: When project activities will be launched? Today Gabala people consume untreated river water. Why use of water of Mayal valley and high mountain springs is not planned? Answer: Well, if EIA document for the project is being developed, it means the project will be started soon. Currently all of the Mayal valley water resources are totally consumed by tourist centers. These waters used to be supplied to the town till 1998. Accumulating spring waters from high mountainous areas and transporting them to the town is economically inefficient and requires more pipelines.

Damir Bayramov, municipality member Question: What equipment and methods will be used in wastewaters treatment? What will happen to depositions accumulated in sewerage treatment plants and equipment? Answer: Full, i.e. both mechanical and biological treatment of sewage by using adequate methods and equipment is planned in feasibility study of the project. Treated wastewater will be discharged into Damiraparan River which will allow additional aeration of those waters. Depositions accumulated in sewage processing equipment are planned to be cleaned and used with mineral fertilizers.

Rajab Mammadov – Representative of International Hydrology Programme, NGO Question: How will use of groundwater resources affect hydrological regime of rivers? Answer: Only groundwater resources will be used within the Project. These resources are formed by surface flow of Damiraparan River. Total volume of water negatively affect hydrological regime of Damiraparan River.

Zabil Mammadov - member of Gabala town municipality Question: Why surface waters of the river are not used for water supply? Is it because of insufficient amount of water in the river, or its quality?

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Answer: In fact, groundwaters under riverved are also river waters. Groundwater resources under Damiraparan river course will be used, because river water is very turbid during spring/summer seasons.

Maarif Hassanov – Cultural affairs officer Question: Will construction works under the project and new buildings harm Gabala forests? Answer: No, because the project elements are not planned to be fostered through woodland.

Mughdat Abdullayev – Teacher Question: Woodland between Damiraparan and Hamzali Rivers called “chailag” (river course) is polluted with sewage and waste. Is this area going to be cleaned under the project? Answer: Waste water/sewage is planned to be conveyed to that area during the project implementation. Cleaning the area from debris is responsibility of Gabala town executive authorities and environmental monitoring agencies. These government bodies will be informed about the problem.

Main discussions Discussions were mainly about impacts on ecosystems of creeks; preventing waste waters from being flowed into rivers; condition of ground waters at river outlets after most of their water is consumed; positive role of the project in water supply for people; possible impacts on ground water resources; and etc. Main issues concerning NGOs and public during the discussions were waste water/sewage and using the most outstanding euipment for their purification and also utilization of polluted depositions after purification process.

Compliance of the project with World Bank standards and Azerbaijan legislation; standards; monitoring; mitigation of possible negative impacts on natural environment were also discussed.

It was noted that NGOs support the project, and wide-scale works on solving water supply and sewer system problems finally after 20-30 years will positively affect public health and wellfare.

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Record of public consultation held in Gabala, 14th August 2009

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