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EPZA: Scoping Report in the SEA for the Leather Industrial Park

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EPZA: Scoping Report in the SEA for the Leather Industrial Park CONSULTANCY SERVICES FOR STRATEGIC ENVIRONMENTAL ASSESSMENT (SEA) STUDY IN THE MASTERPLAN FOR THE LEATHER INDUSTRIAL PARK PROPSED AT KINANIE- ATHI RIVER, MACHAKOS COUNTY Draft SEA Report November 2015 EPZA: SEA Process in the Masterplan for the Leather Industrial Park-1st Draft DISCLOSURE PAGE This Detailed SEA Report prepared under auspices of the Strategic Environmental Assessment Study in the Master Plan for Development of the Kinanie Leather Industrial Park is hereby disclosed as follows:- Assignment: Strategic Environmental Assessment Study in the Master Plan for Development of the Kinanie Leather Industrial Park Parties to the Contract for SEA Study: Proponent SEA Consultant Administration Building, Repcon Associates Viwanda Road off Nairobi-Namanga The Repcon Center Highway, Sigona 410 off KEFRI/KARI Rd-Muguga Athi River, Kenya P.O. Box 79605-00200, Nairobi P.O. Box 50563 00200 Telefax: 254-20-2248119; Nairobi- Kenya Mobile: +254 -721-274358; ISDN +254-45-6621000 +254 732-274358 VoIP Lines: 020-7606040/3 Email:[email protected] Mobile: +254 713-051172/3 +254 786-683222 +254 733-683222 Email: [email protected] Fanuel Kidenda Date……………….. Michael Wairagu Date……………. Chief Executive Officer SEA Team Leader ii EPZA: SEA Process in the Masterplan for the Leather Industrial Park-1st Draft Executive Summary A. Background The Government of Kenya (GOK) through its implementing agency, the Export Processing Zones Authority-EPZA is developing a Leather Industrial Park at Kinanie, Machakos County. In line with requirements of the Environmental Management and Coordination Act (EMCA) of 1999, the proposed Master Plan was subjected to a Strategic Environmental Assessment (SEA) Study conducted as per Legal Notice 101 of June 2003 and the Guidelines for Strategic Environmental Assessment issued by NEMA. Conduct of the SEA has been managed by Repcon Associates (NEMA Firm of Experts No. 0002), a Nairobi based consultancy duly registered and licensed by NEMA. The Detailed SEA Study stage which culminated in this report investigated likely economic, social and environmental impacts associated with the Masterplan proposals and identified mitigation measures that need to be put in place to ensure that the development and implementation of the Masterplan will be carried out in a sustainable manner. The SEA also identified options to enhance the technical sustainability, economic viability, and social acceptability in the implementation of the Masterplan. B. The Master Plan for the Proposed Leather Industrial Park The Masterplan for the Leather Industrial Park (LIP) has been conceived by the Ministry of Industrialization and Enterprise Development (MOIED) through the EPZA as a Kenya Vision 2030 flagship project targeting to enhance contribution of Manufacturing GDP growth to the national economy. The Masterplan proposes to create a Leather Industrial Park targeting Value additional and transformative research and innovation towards unlocking economic potential of the Leather sector in Kenya. The Masterplan for LIP targets LR 23961-a 301ha property situated on the banks of the Mbagathi River in Kinanie Division about 16 kilometers along the Mutonguni (E434) road between Athi River and Kangundo Rd. On the ground, the site is occupied by a Eucalyptus plantation located next to a sewerage treatment plant that handles sewerage delivered from the Athi River based EPZA complex through a 16km pipeline. Proposals for development as per the Masterplan include establishment of Infrastructure in form of 5Kms each of paved road, street lighting and sewerline, a power substation, boreholes for water supply, storm water drainage, culverts and a Common Effluent Treatment Plant (CETP) in a site that is currently a forest plantation. The Masterplan proposes a phased development of 36 tanneries each to seat on a one ha plot complemented by an 18 leather value addition parks developed for purposes of transforming the leather produced into high value finished products for export. The VAPs will be complemented by SME parks and a Trade Center mainly for promoting and marketing high quality leather trade. Activities in Tanning and Value Addition will be underpinned by a Research and Development Centre charged with promoting development of leather industry mainly in quality control in processing and production of quality skins and hides together with leather industry information dissemination. Other support services in the LIP include an Administration Centre, Logistics and Customs area, and a housing estate comprised of 1,200 assorted units. Development of the proposed leather industrial park is in line with the objectives of the national industrial policy framework of creating an enabling environment for industrial development, enhancing value addition, and promoting development of SMEs. The export oriented park is legally anchored under the EPZA Act Cap 517 and will adhere to all laws and policies relevant in Kenya. C. Objectives and key milestones in the SEA Study This SEA Process is aligned to the broad objectives for SEA Studies identified by NEMA in the recently issued National Guidelines for SEA where the overriding goal is to ensure that a proposed PPP is compatible with sustainable environmental planning and management. Conduct of the SEA process is iii EPZA: SEA Process in the Masterplan for the Leather Industrial Park-1st Draft guided by the Legal Framework for environmental management in Kenya as provided by the National Constitution and the Environmental Management and Coordination Act (EMCA) 1999 and its legal tools. In conformity with this, core milestones have been achieved as follows:Screening Study: Screening was undertaken to determine whether the proposed Master Plan required a SEA process. After consultations with NEMA, it was determined that a SEA would be required. Scoping Study: Scoping of this SEA was carried out to define the scale of investigations to be undertaken during the detailed SEA stage. A SEA Scoping Report was prepared and submitted to NEMA. Detailed SEA Study: Core highlights of Detailed SEA Stage activities include: i) Situation analysis: Secondary data, especially on the pre-project baseline, was extracted from diverse reports, planning documents, etc obtained either from stakeholders or existing sources. Of critical importance were planning documents such as strategic plans from stakeholders which were analyzed towards collaborating and defining stakeholder interests and potential points of conflict with the proposed Master Plan. ii) Intensified Stakeholder analysis and consultation: Given the expectation for SEA studies to map potential areas of conflict between proposed Masterplan and existing stakeholder interests, considerable effort was invested in identifying, engaging and analyzing stakeholders. Such process proved quite useful in clarifying stakeholder interests, concerns and aspirations while providing useful linkage to other stakeholders and information. iii) Analysis of alternatives: The SEA study identified and analyzed alternative investment -use options against goals for meeting Vision 2030 objectives while sustaining environmental and social quality. iv) Identification of Impacts and their mitigation/enhancement: The SEA focused on significant impacts, both positive and negative, with a view of mitigating the adverse and enhancing the good. The efforts have been made to identify and highlight cumulative and induced impacts which may not be easily captured during the project specific IEE/IEA downstream. v) Formulation of an Environmental and Social Management Plan (ESMP): The SEA process culminated in formulation of a tool to guide resolution of anticipated impacts both at the current (planning) and downstream implementation stages. D. Findings from the SEA Study: This SEA made numerous findings which, if applied, can greatly shape focus of the Master Plan towards securing a socially acceptable, technically viable and environmentally sustainable development of DK area. Key salient findings are highlighted below. The prevailing biophysical baseline: From the baseline characterization study, it emerged that the Mbagthi-Athi River basin in which the LIP will be situated is a water scarce area on account of aridity and overexploitation of available water as such, water to support operations of the LIP as currently conceived may not be available. It further emerged that, on account of draining Nairobi, Thika, Machakos, Athi River and other towns, the Mbagathi-Athi system already suffers a huge pollution load which already comprises viability of this river as a source of water supply for downstream communities. Stakeholders are supportive but also concerned: The SEA Team identified and consulted many stakeholders either through private interviews or public hearing meetings that culminated in a Disclosure workshop hosted by the EPZA at the Technology Development Center-TDC. The SEA Study encountered a charged ground comprised of residents who are aggrieved by the nuisances, disease and accidents hazards associated with operation of the EPZA owned iv EPZA: SEA Process in the Masterplan for the Leather Industrial Park-1st Draft sewer infrastructure. Indeed, failure by authorities to reign in operations of exhauster truck operators who often vandalize manhole covers and dump human waste in non-designated areas dominated any public forum arranged for the SEA. All stakeholders have however affirmed that they are not opposed to the proposed Leather Industrial Park. Investor interest at Kinanie: Investor interest in Kinanie
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