Uch-Kurgan Hydropower Plant Modernization Project RRP KGZ 49240-002

Initial Environmental Examination

Project Number: 49240-002 Loan and Grant Numbers: Xxxx 23 September 2018

KGZ: Uch-Kurgan Hydropower Plant Modernization Project

Prepared by the Consulting Joint Venture TRACTEBEL ENGINEERING S.A/ Endustriel Elektrik Maden LLC for the Open Joint-Stock Company Electric Power Plants and for the Asian Development Bank. This initial environmental examination is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

Abbreviations

APs Affected people ADB Asian Development Bank CAREC Central Asia Regional Economic Cooperation EIA Environmental Impact Assessment EHS Environment, Health and Safety EMP Environmental Management Plan EPP Electric Power Plants Open Joint Stock Company (EPP OJSC) GRM Grievance Redress Mechanism HPP Hydro Power Plant IEE Initial Environmental Examination LARF Land Acquisition and Resettlement Framework MES Ministry of Emergency Situations MoA Ministry of Agriculture, Food Industry and Melioration of the Kyrgyz Republic MoF Ministry of Finance MPC Maximum Permissible Concentration NGO Non-Governmental Organization PC Public Consultation PCB Polychlorinated Biphenyls PPE Personnel protective equipment PS GES Lead Company of HPPs under EPP SAEPF State Agency on Environmental Protection and Forestry SER State Environmental Review SIETS State Inspectorate for Ecological and Technical Safety SSEMP Site specific Environmental Management Plan SPS ADB’s Safeguard Policy Statement SMP Sediment management plan UK HPP Uch Kurgan HPP UK reservoir Uch Kurgan HPP water reservoir

TABLE OF CONTENT 1. EXECUTIVE SUMMARY ...... 10 Introduction ...... 10 Policy, Legal, and Administrative Framework ...... 10 Project Location and General Situation ...... 11 Category of the Project ...... 12 Description of the Project ...... 12 Description of the Environment ...... 13 Analysis of Alternatives ...... 14 Anticipated Environmental Impacts and Mitigation Measures ...... 15 Environmental Management Plan ...... 16 Information, Disclosure, Consultation, and Participation ...... 17 Grievance Redress Mechanism...... 18 Costs of the EMP ...... 18 Conclusion and Recommendation ...... 18 Structure of the Report ...... 19 2. POLICY, LEGAL, AND ADMINISTRATIVE FRAMEWORK ...... 20 Administrative base ...... 20 Environmental legislation of the Kyrgyz Republic ...... 21 International Conventions and Agreements ...... 23 Required ADB Environmental Approval ...... 24 Permitting Processes in Kyrgyz Republic ...... 26 Environmental Standards ...... 27 3. DESCRIPTION OF THE PROJECT ...... 30 Purpose and need of the Project ...... 30 Project location ...... 30 Existing situation ...... 34 Project description ...... 38 General view of process ...... 40 Approaches to methods of dredging ...... 41 Further description and alternatives of dredging works ...... 43 Transportation method ...... 47 Sediment disposal scenarios ...... 47 Scenario 1 – No Contamination of sediments ...... 48 Location of temporary disposal site (dewatering quarry) ...... 48 Location of permanent storage site for dry sediments ...... 51 Scenario 2 – Contaminated Sediments ...... 53 Sediments analysis ...... 53 First analysis campaign: March 2018 ...... 53

Second analysis campaign: June 2018 ...... 57 Conclusion on sediment analysis ...... 58 Responsibility of dredging operations ...... 59 Time schedule of the Project implementation ...... 59 Health and safety in HPP in KR ...... 60 4. DESCRIPTION OF THE ENVIRONMENT ...... 61 General location and physical environment ...... 61 Climate and Meteorology in Fergana valley and Jalal-Abad Oblast...... 62 Geology and Hydrogeology ...... 62 Hydrography ...... 63 Laboratory measurements of baseline water quality of the Naryn River ...... 64 Historical characteristics of the siltation of the UK HPP reservoir on the Naryn river ...... 68 Topography ...... 70 Soils ...... 71 Natural Disasters ...... 71 Seismic activity ...... 72 Ecological resources ...... 73 Flora of the Naryn River and UK HPP water reservoir ...... 73 Fauna and Ichtyofauna ...... 73 Red Data Book ...... 74 Protected Areas in vicinities of the Project Site ...... 75 Social, cultural and economic resources ...... 77 Infrastructure ...... 77 Historical and Cultural Heritage ...... 78 Population of Kyrgyzstan and Jalal-Abat Oblast...... 78 Economy of Jalal-Abat Oblast, including agriculture ...... 79 Agriculture ...... 80 Infrastructure of the oblast ...... 80 Population, economy and infrastructure in Shamaldy-Say ...... 81 The socio-economic situation of the territories adjoining the Uch-Kurgan HPP ...... 82 Infrastructure of the Oblast ...... 83 5. ANALYSIS OF ALTERNATIVES ...... 85 ‘Without project’ ...... 85 ‘With project’ ...... 85 Alternative dredging techniques ...... 86 6. ANTICIPATED ENVIRONMENTAL IMPACT ASSESSMENT AND MITIGATION MEASURES ...... 88 Methodology...... 88 Main Impacts and risks ...... 89

Detail of impacts and mitigation measures during design, rehabilitation works and dam operation ...... 91 7. INFORMATION, DISCLOSURE, CONSULTATION AND PARTICIPATION ...... 97 Public Consultation...... 97 Information Disclosure ...... 100 Grievance redress mechanism ...... 100 8. ENVIRONMENTAL MANAGEMENT AND MONITORING PLAN ...... 103 The Environmental Management Plan for the design stage ...... 103 The Environmental Management Plan for the rehabilitation works stage ...... 106 The Environmental Management Plan for the operation stage ...... 113 Specific EHS Requirements during rehabilitation works ...... 113 EHS targets ...... 113 EHS Organization ...... 113 SEMP ...... 114 Workers and Public Safety programs ...... 115 Environmental programs ...... 116 Monitoring Plan ...... 117 Implementation arrangements for the EMP ...... 120 Reporting ...... 122 Summary of Costs for Implementation of the Environmental Management Plan ...... 123 9. CONCLUSIONS AND RECOMMENDATIONS ...... 124 ANNEXES ...... 126 Annex 1. Table. List of the Red Data Book species of the Kyrgyz Republic inhabiting the area adjacent to the Project zone in Jalal Abad Oblast ...... 126 Annex 2. Sediment samples analysis ...... 128 Annex 3. Water quality analysis...... 140 Annex 4. Damen DOP Dredger 350L sheet ...... 147 Annex 5. MoM and Attendance sheets of Public Consultation ...... 149 Annex 6. Brochure of Project for Public Consultation ...... 157 Annex 7. Letters ...... 160 1. Letter to EPP ...... 160 2. Letter from Shamaldy-Say ayil-okmotu on sediments dewater land plot...... 162 1. Letter from Dostyk ayil-okmotu on sediments disposal (deposit) area ...... 165 Annex 8. Land Acquisition and Resettlement Framework (LARF) ...... 167 1. Introduction ...... 172 1.1 Project Overview ...... 172 1.2 Defined Safeguard Responsibilities ...... 173 1.3 Potential Land Acquisition and Resettlement Impacts ...... 174 2. OBJECTIVES, POLICY AND LEGAL FRAMEWORK ...... 174

2.1 Country legislation ...... 174 2.1.1 Constitution ...... 175 2.1.2 Civil Code ...... 175 2.1.3 Land Code ...... 176 2.1.4 Provisions ...... 176 2.1.5 Law on Grievances ...... 177 2.1.6 Provisions on Asset Valuation ...... 177 2.2 Safeguard Policy Statement of ADB ...... 177 2.3 Comparasion Kyrgyz Republic legislation and ABD Ressettlement Policy ...... 179 3. COMPENSATION ELIGIBILITY AND ENTITLEMENTS...... 181 3.1 Eligibility ...... 183 3.2 Entitlements ...... 184 3.3 Unforeseen Impacts ...... 184 4. SURVEYS, IMPACTS ASSESSMENT, AND RESETTLEMENT PLANNING ...... 184 4.1 Socioeconomic Survey, Census, Inventory of Losses ...... 184 4.2 Compensation, Income Restoration and Relocation ...... 185 5. PUBLIC CONSULTATION, PARTICIPATION AND DISCLOSURE ...... 186 6. INSTITUTIONAL FRAMEWORK ...... 187 6.1 ADB ...... 187 6.2 EPP/PIU ...... 187 6.3 Consultant ...... 188 6.4 Ministry of Finance ...... 188 6.5 LAR Commission ...... 188 6.6 GRGs...... 188 7. GRIEVANCE REDRESS MECHANISM ...... 188 7.1 Grievance Redress Mechanism ...... 188 7.1.1 Objectives ...... 188 7.1.2 Grievance Redress Groups ...... 189 7.1.3 Additional Mechanisms ...... 190 7.1.4 Complaint Documentation ...... 191 8. CAPACITY BUILDING FOR LARP IMPLEMENTATION ...... 191 9. RESETTLEMENT BUDGET AND FINANCING ...... 191 10. MONITORING AND REPORTING ...... 191 Appendixes ...... 193 Appendix 1: OUTLINE OF LAND ACQUISITION AND RESETTLEMENT PLAN ...... 193 Appendix 2: Involuntary Resettlement Impact Screening Checklist ...... 196

List of tables:

Table 1. Relevant Laws and Regulations on the Environmental Impacts of the Projects ...... 21 Table 2. International agreements and protocols ...... 23 Table 3: Maximum permissible concentrations of harmful substances in ambient air according to Kyrgyz and international standards...... 27 Table 4. EC Noise Standards (dB) ...... 27 Table 5.Kyrgyz Republic Noise Standards (dB) ...... 28 Table 6. Surface water quality standards ...... 28 Table 7. Levels related to trace elements and compounds (table IV) ...... 29 Table 8. The results of spectral analysis of sediment ...... 55 Table 9. First results of sediments spectral analysis (March 2018) ...... 55 Table 10.Second group of results of sediment analysis ...... 58 Table 11. Water chemical analysis results (1) ...... 65 Table 12. Water chemical analysis results (2) ...... 67 Table 13: Curves of volume of Uch Kurgan water reservoir from bathymetric campaigns since 1957 up to 2016 ...... 69 Table 14. Fish species in Jalal-Abad oblast ...... 74 Table 15. Red Data Book species inhabiting direct vicinities of the Uch-Kurgan water reservoir ...... 75 Table 16. List of specially protected natural areas in Jalal-Abad oblast ...... 75 Table 17. Matrix for Determining the Significance of Environmental Impacts ...... 88 Table 18. Assessment of Impacts and mitigation measures ...... 91 Table 19. Summary of questions, recommendations and concerns of public hearings participants ...... 97 Table 20. Grievance Resolution Process ...... 101 Table 21. Design Stage Mitigation Plan ...... 103 Table 22. Details of sediment management plan ...... 104 Table 23. Construction Stage Mitigation Plan ...... 107 Table 24. Operation stage Mitigation Plan ...... 113 Table 24. Environmental Monitoring Plan ...... 118 Table 25. List of responsible entities for EMP implementation ...... 122 Table 26. Estimated costs with respect to environmental mitigation ...... 123

List of figures: Figure 1. Location of hydropower plants of the Naryn Cascade ...... 31 Figure 2. Local siting of the Uch Kurgan hydropower plant ...... 32 Figure 3. Top and upstream views of the Uch Kurgan dam ...... 33 Figure 4. Oil storage area ...... 35 Figure 5. Water intake system for village Shamaldy Say ...... 36 Figure 6. Uch Kurgan water reservoir ...... 37 Figure 7: Current operational layout ...... 41 Figure 8: Cutter suction dredger and pipeline ...... 41 Figure 9: Situation sketch with DOP dredger 350L ...... 42 Figure 10. Example of water current control ...... 43 Figure 11. Turbidity generation by a cutter suction dredger (CSD) ...... 44 Figure 12. Example of water current control ...... 45 Figure 13. Example of silt screens usage ...... 46 Figure 14. Silt screen principle ...... 46 Figure 15: Location of Uch-Kurgan HPP and temporary disposal area (quarry) ...... 49 Figure 16: Quarry contour and road to quarry in case of hydraulic removal of sediments through the pipeline (highlighted in red), at a distance of 1.5 km...... 49 Figure 17: Photo 1 of Selected temporary area for sediments dewatering ...... 50 Figure 18: Photo 2 of Selected temporary area for sediments dewatering ...... 50 Figure 19. Location of Uch-Kurgan HPP and permanent deposit area ...... 51 Figure 20: Map of quarry territory for permanent disposal of dry sediments ...... 51 Figure 21: Photos of the selected permanent area for dry sediments deposit ...... 52 Figure 22: General location of sediment samples ...... 54 Figure 23. Detailed location of sediment samples ...... 54 Figure 24. Sediments sampling area ...... 55 Figure 25: View of sampling points on left bank ...... 57 Figure 26. Topographical and hydrographical map of Fergana valley, and borders of the countries. Source: www.cawater.info-net.org ...... 61 Figure 27. Administrative division of Jalal-Abat Oblast ...... 61 Figure 28. Geological map oft he Project area ...... 63 Figure 29.Rivers of Jalal-Abad oblast. The Kugart river (after a heavy precipitation)...... 64 Figure 30. Rivers of Jalal-Abad oblast. The Chychkan river ...... 64 Figure 31. Water samples points location ...... 65 Figure 32. Evolution of the Uch Kurgan water reservoir capacity since 1957 ...... 69 Figure 33.Relief map of Jalal Abat oblast ...... 70 Figure 34.Topographical features of Jalal Abat oblast ...... 70 Figure 35.Map of probable seismic danger on the territory of Jalal-Abat oblast for 2011-2020. The area of the Project location is rounded in violet color...... 72 Figure 36.Types of vegetation around and at the UK water reservoir and the Naryn River....73 Figure 37. Natural Protected areas around the Project site ...... 76 Figure 38. Bishkek-Osh Road, section in Jalal-Abat Oblast ...... 77 Figure 39. High voltage electricity transmission lines of the country in Jalalabat oblast ...... 78 Figure 40. Arable lands in Jalal-Abat oblast ...... 80

Figure 41. The population of the territories adjoining the Uch Kurgan HPPs in the context of men and women ...... 81 Figure 42. The national composition of settlements adjacent to the Uch Kurgan HPP ...... 82 Figure 43. Example of low impact cutter heads (left: disc bottom dredger, right: Scoop dredger) ...... 86 Figure 44. Dredging crane on pontoon with environmental bucket ...... 87 Figure 45. DragFlow subsea pump with turbidity bell ...... 87 Figure 46. Hierarchy of Mitigation ...... 89 Figure 47: Naryn downstream river regime ...... 90 Figure 48. Photos of 18 participants, who attended the Public hearings...... 100 Figure 49. Photos of 37 participants, who attended the Public hearings...... 100

1. EXECUTIVE SUMMARY Introduction 1. The Kyrgyz Republic is immensely rich in renewable energy resources. The electricity sector relies predominantly on hydroelectricity: 85% of its total 3,920 MW electricity generation installed capacity comes from hydropower generation. The rest comes from two combined heat and power plants in Bishkek and Osh. Most of the country’s hydroelectric generation comes from the Naryn River Cascade, with a total installed capacity of 2,870 MW. 2. Covering 150 km along the Naryn River, the Naryn River Cascade is the powerhouse of the Kyrgyz Republic, its six hydropower plants that collectively produce 92% of the country’s power supply. Built in 1975, the Toktogul power plant with its 1,200 MW of generation capacity, is the largest power plant; Uch-Kurgan, built in the early 1960s, is the oldest of the six plants. 3. Since commercial operations started in 1962, Uch Kurgan has not had major improvements or modernization to maintain its original performance. As the plant’s condition is very poor and well past its useful economic and functional life, it needs major rehabilitation or replacement. Rehabilitating Uch-Kurgan is needed to maintain the integrity of the power system in whole. Therefore, modernization of Uch-Kurgan is the logical next step to maintain the integrity of the Naryn cascade. 4. This Initial Environmental Examination (IEE) are developed for the Uch Kurgan HPP modernization project. It has been prepared in accordance with ADB’s Safeguard Policy Statement of June 2009 (SPS 2009), the Kyrgyz Republic’s Law on Environmental Protection, 1999, and other relevant laws, regulations and requirements. The objective of the IEE is to (i) identify and assess potential impacts and risks from project implementation on the physical, biological, physical cultural and socio-economic environments of the project area, and (ii) recommend measures to avoid, mitigate and provide compensation for adverse impacts, while enhancing positive impacts. 5. The IEE study for Project is conducted based on secondary information from a number of available sources, while primary data were obtained from field parametric measurements along with the observations gathered from several field visits. Public consultation was done and was attended by residents and heads of local authorities of the communities mentioned. Policy, Legal, and Administrative Framework 6. The supreme legislative instrument in the Kyrgyz Republic is the Constitution of the Kyrgyz Republic, 1993 (latest revision 2016), which establishes the principles of natural resource and environmental management, and through its legal framework, regulates between natural resource users and the state. The most relevant environmental legislation includes the Law on Environmental Protection, 1999, the Law on Ecological Expertise, 1999, and the Law on Surface Water Protection, 2009. In addition, the Kyrgyz national legal framework includes laws in other substantive areas with relevance to the Project, normative legal acts and various standards for water, ambient air and noise. The environmental study therefore conforms with the national legal framework of Kyrgyzstan, which also includes international treaties. 7. The Law on Environmental Protection requires that an Environmental Impact Assessment (EIA) has to be prepared for a planned activity. The Law on Ecological Expert’s Review defines the activities that require EIA and states ‘Any new construction, reconstruction, expansion or re-equipment of operating economic entities or other entities which are likely to have impacts on the environment’. Consequently, for the Uch Kurgan Hydropower Plant Modernization Project, an Environmental Impact Assessment has to be conducted.

8. The key government institution responsible for the establishment and implementation of environmental policy and management in the Kyrgyz Republic is the State Agency on Environmental Protection and Forestry (SAEPF). Therefore, the EIA report has to be reviewed by the Department of Ecological Expertise within this authority. SAEPF is then responsible for issuing environmental permits for infrastructural projects1. The Agency is directly ranked under the government and has the status of a ministry. The Agency located at Bishkek is responsible for all nationwide projects of national importance. 9. Another (newly established) environment-related authority in the country is State Inspectorate for Environmental and Technical Safety that is authorized to inspect and control state profile bodies and their subdivisions on fulfillment of environmental and technical requirements in industrial and other relevant fields. Project Location and General Situation 10. The backbone of Kyrgyz power generation is the Naryn River with its several hydropower plants Kambarata 2, Toktogul, Kurpsay, Tash-Kumur, Shamaldy-Say and Uch-Kurgan (UK HPP) 11. Electricity demand in Kyrgyz Republic is highly seasonal with two thirds of domestic consumption taking place in autumn and winter. Although electricity generation capacity has nearly doubled since the Soviet era, load shedding is frequent especially in the winter when hydropower output is limited due to low river discharge, while cuts arise from problems due to technical failures in the outdated generating equipment. 12. The UK HPP is located on the Naryn River, in the Jalal-Abad Oblast (West side of Kyrgyzstan) at around 140 km downstream of Toktogul HPP, and at a distance of 500 km from Bishkek, the capital of the Republic of Kyrgyzstan. 13. On the local level, the UK HPP is located 3 km from the village of Shamaldy-Say in the industrial zone. The territory of the industrial site on the HPP is fenced and well planted. The relief of the land plot is plain. The roads are asphalted. 14. The UK HPP is the first constructed hydro power plant on the Naryn River Cascade. It is the lowest stage of the Cascade which also includes, from upstream to downstream: Kambarata HPP-2 (120 MW), Toktogul HPP (1200 MW), Kurpsay HPP (800 MW), Tash Kumyr HPP (450 MW) and Shamaldy Say HPP (240 MW). 15. Infrastructure and basic facilities of the UK HPP are following: industrial site, administrative site, oil storage, area for mechanization and transport, outdoor switchgear (110 kV); militarized security zone and other. 16. The reservoir of the Uch Kurgan HPP had formed in a narrow canyon with a length of about 17 km and a mirror area of 4 km2, with a volume of 52.5 million m3, with a useful capacity of 20.9 million m3 intended for daily flow control and the creation of a water reserve for irrigation. 17. The reservoir of the UK HPP is a reservoir of daily regulation. The area of the reservoir located near the concrete dam is limited by the left-bank dam and the natural bank of

1 The normal national procedure is: In a first stage, after having finalized the feasibility study to a project, SAEPF issues the permit ‘to proceed’ based on an EIA/IEE report. In a second step the final environmental approval will be given after submission of a ‘Environment Protection Section’ (as part of the Design Documentation to the project) giving details of the impacts and quantifying them as far as possible. This document contains then a detailed EMMP which can be part of the tender documentation. The EPS with detailed EMMP has then also to be approved by SAEPF.

the Naryn River. Upstream, the reservoir does not go beyond the canyon of the river with high steep banks. The siltation of the reservoir by today estimate as 70%. 18. The site assessment work included inspection of the four units on which three of them have been dewatered, operation testing of one intake gate, downstream stoplog, one bottom outlet service gate, the spillway gate, the unit synchronization, and gantry cranes and inspection of main transformers, HV switchyard, electrical equipment, mechanical auxiliary systems, control and communication systems. 19. The technical due diligence also assessed at site the condition of the civil structures and dam stability. The structures satisfy the operational requirements of the hydropower plant and no significant deterioration or movement has occurred over the last 56 years confirming that the global strength of the foundation is sufficient to take the loads of the dams. However, hydrogeological condition of the foundation will need improvement due to possible internal erosion caused by underground water pressure. 20. The concrete dam sections are stable for all load cases including seismic load case, except for the right bank block that will need reinforcement. For earth-fill dam, stability calculation has shown that the dam is stable. Since the plant will continue to be operated as a run-off river hydropower, there will be less pressure on the dam. 21. Considering the current water storage capacity remaining which is very low, it is still necessary to limit as possible the future siltation of Uch Kurgan reservoir. As part of the modernization project, it was decided to purchase equipment that will carry out excavation of bottom sediments. Category of the Project 22. The project is categorized as environment Category B because potential adverse environmental impacts are site-specific, few if any of them are irreversible, and in most cases mitigation measures can be designed readily. 23. The project categorization is based on the following considered solutions: • the project does not provide for the construction of mini HPPs; • the volume of dredging sediments is 500,000 m3; • the sediments are not contaminated and does not pose a danger to the environment; • and the possibility of using mitigation measures during the dredging works. Accordingly, this IEE has been prepared as the request level of assessment to address the potential impacts in line with the SPS. 24. No land acquisition and resettlement activities are required for HPP modernization as all works will be implemented on the existing site of HPP. 25. There is no protected area located nearby and ecologically sensitive habitats will not be affected. All activities will take place within the properties of the existing HPP facilities belonging to Joint Stock Company Electric Power Plants. Description of the Project 26. The project will replace the four turbine-generator units and all associated equipment of the power plant including main transformers, replace or repair hydromechanical equipment, repair the concrete dam and earth-fill dams’ civil structures, recover the flood discharge capacity. This will bring benefits by (i) increasing unit power output from 45 MW to 56 MW and (ii) increasing generating unit rated efficiency from 88.5% to 93.4%. The economic life of the rehabilitated units will be 40 years. 27. A partial recovering of reservoir capacity is foreseen through sediment dredging operation in the area close to the concrete dam upstream face. The dredging works will

be performed in coordination with hydromechanical equipment works and civil works. The sediment dredging operation will be provided by EPP. Implementation Schedule 28. The works are supposed to start in 2019, and the implementation duration is 5 years. The four units will be switched off and rehabilitated one by one, and one every year from 2021 to 2024. The life duration of the project is estimated as 40 years. Description of the Environment 29. In the following description of the environment of the Kyrgyz Republic and of Jalal-Abad oblast, only baseline data are given as being possibly relevant for this rehabilitation Project. General Location 30. The Kyrgyz Republic is a small, land-locked country with an area of approximately 200,000 km2 surrounded by the People's Republic of China, Kazakhstan, Tajikistan, and Uzbekistan. The project area is located in the Jalal-Abad oblast. This oblast consists of 8 rayons (districts). Climate 31. In Jalal-Abad oblast remoteness from significant in size water reservoirs causes the climate’s continentality and aridity with hot summer, humid spring and autumn, and relatively cold winter. The most amount of precipitation falls to the south-west slopes of Fergana range (up to 1000 mm per year). The south-west part of the oblast is most arid. Here, at the foothills, amount of precipitation is 100-200 mm per year. Highest precipitations occur on spring and beginning of summer (up to 70 % of annual amount). The second part of the summer is drought. Water Resources 32. The area of the oblast is crossed by the largest river of the country. The Naryn River comprises about 30 % of the Kyrgyz Republic’s rivers total surface flow. The rivers of Kara-Darya, Kugart, and Kara-Unkur that flow within the limits of the Fergana valley are significant especially in terms of their irrigation capacity. The rivers of Fergana and Chatkal ranges are primarily of snow- and glacier-derived nourishment. They are characterized by early spring floods. In the territory of the oblast, a network of channels and water reservoirs were constructed to efficiently use the available water resources. Protected areas 33. There are several protected nature areas around the hydro power plants concerned. However, all are located in a distance that any impact caused by the modernization measures (included impact by truck movements) can be excluded. No Ramsar sites (wetlands) are located within the investigation area. Socio-economic Conditions 34. After the collapse of the Soviet Union the ethnic situation in Jalal-Abad oblast has dramatically changed. Due to its location near Uzbekistan, the oblast is characterized by the availability of many ethnic and language minorities. A lot of Russians, Tatars, Germans, Koreans and other ethnic formations have left the country for Russia, Europe and America causing a change in the ethnic composition of the local community: now dominating ethnic groups are Kyrgyz and Uzbeks, Tajiks, and Turks. Currently, about 0,923 million people inhabit the Jalal-Abad oblast that comprises 20 % of the total population of the country.

35. The principal religion in the country is Islam of secular persuasion with a touch of shamanism among ethnic Kyrgyz. Russians and other Slavic people living in the country are members of the Orthodox Church and/or are atheists. 36. Average size of a household in the oblast is 5 persons. 37. Jalal-Abad oblast is one of the most industrial developed oblasts of the country, where more than 100 industrial enterprises are located. The enterprises represent practically all the industries: electric power generation, electronics, coal, sewing and shoemaking industry, exploration and excavation of minerals (gold, oil, coal, gas), metal processing, food industry (processing agricultural production), wood processing, machinery construction, building materials production. 38. In Kyrgyz Republic, treatment of chemical substances in connection with the development of agricultural and mining sectors, which contribute significantly to environmental pollution, is one of the most important among the issues of waste disposal. Nowadays, in Kyrgyz Republic there are great ongoing efforts to improve considerably the waste management in the country. In 2008 UNDP implemented the project "Capacity building for implementation of the principles of sustainable waste management in the Kyrgyz Republic" (2008-2010). This project is a continuation of the project "Capacity building and capacity building of municipal waste management system in Kyrgyzstan", implemented in 2005-2007. Environment, Health and Safety at Hydropower Plants 39. At all HPPs there are first aid kids available. These kits are regularly inspected. All workers are instructed what to do in case of an accident, e.g. after a worker is hit by an electric shock. In addition, there is specially trained staff for first aid. In case of severe injuries, the worker concerned has to be taken to the next hospital. 40. Workers and other “ITR” (“Engineering and Technical Personnel”) are trained and certified concerning safety aspects when working in a hydropower plant. This training comprises issues like working under high voltage, how to secure a working place with signs, etc. 41. There are fixed rules and standards in written form provided to the workers/employees. The major principles are reflected at the following two documents: “Safety requirements under the electric unit’s operation” and “Electric plants and grids technical maintenance regulations”. Analysis of Alternatives 42. The Project consider two main alternatives: "Modernization" (“With Project”) and "No action option" (“Without project”). ‘Without project’ 43. Without substantial revision or improvements of the equipment, the powerhouse and appurtenant structures have been progressively degraded. All the electrical and mechanical equipment installed in the powerhouse is outdated and worn out. 44. The reservoir has lost its storage capacity due to sediment deposits in the reservoir. The live storage capacity is reduced and the powerhouse is operating as run-of-river plant whereas three of the eight bottom outlet gates are not operational. 45. In the ‘without-project’ scenario, the existing UK HPP will be degraded, exposed to critical risks of incidents that may result in increasing failures and possibly breakdown. The without-project scenario thus assumes decrease in energy generation and increase in OPEX costs.

‘With project’ 46. The positive impact is aligned with increased reliability of national and regional power systems (National Sustainable Development Program, 2013–2017). The outcome will be improved operational performance of the Kyrgyz Republic’s power sector. 47. The proposed Uch Kurgan HPP Modernization project aims to (i) increase supply of renewable energy to meet growing demand, and (ii) improve energy security by enhancing supply reliability. 48. To this purpose, the following works are planned: (i) rehabilitation of Uch Kurgan HPP and civil structure by upgrading the powerhouse equipment; (ii) addition of a generation capacity to the powerhouse. 49. Also in this alternative, the treatment of the reservoir is considered. 50. As a result of the treatment of the reservoir, the useful volume of the reservoir will be increased, the reliability of the HPP will increase at the existing working water level, the safety of the dam will increase, due to cleaning and repair of bottom spillways. 51. Within treatment operations of the reservoir, the sediment will be excavated to the surface. In order to ensure the safe and environmentally sustainable management of sediments, the project considers two management scenarios: • Scenario 1 – No Contamination • Scenario 2 – Contaminated Sediments 52. Which of these scenarios will be applied at the design and implementation phases of the project will be determined after the laboratory analysis of the bottom sediments for potential contamination. This laboratory analysis will be carried out before the design work, after the Contractor has been determined. 53. This IEE considered the action plan for each of the scenarios. This IEE contains LARF as an annex 8 in case land acquisition and resettlement (LAR) is required during project implementation for addressing issues related, but not limited, to the contaminated sediments (e.g. an additional land plot is required for constructing a facility to treat contaminated sediments etc.). If LAR is required during project implementation stage, EPP needs to comply all the requirements of LARF. 54. The preferred alternative is identified as being the modernization of HPP that will allow the increased reliability of national and regional power systems. Anticipated Environmental Impacts and Mitigation Measures 55. Major Findings of the IEE are summarized as follows: • All modernization processes will be carried out in the existing sites of the HPP; • The main and requiring attention process is the removing of sediments from the UK water reservoir. It may have the following impacts: • sediment analysis performed at surface levels in March and June 2018 did not reveal any contamination, but sediments may be contaminated with heavy metals in deeper layers of the reservoir Therefore, the excavation and utilization of sediments must comply with environmental requirements and precautionary measures must be foreseen; • excavation works will increase the turbidity levels in the immediate upstream and downstream areas, with potential impacts on water uses, and thus turbidity levels have to be contained and monitored to remain within acceptable limits.

• during the excavation works due to the lowering of the water level in the reservoir, there may be temporary shortage of irrigation and drinking water supply for the population, since water supply is carried out from the river. • all major construction impacts were identified and assessed in this IEE. • Public responsiveness to the Project, as documented in the public consultation forum, has been strongly positive. • The negative impacts that are expected to arise are mostly short-term in nature, and all impacts are readily manageable using available, well-tested mitigation and monitoring measures. • The increase of installed capacity after project completion may allow potential increased peaking operations of the powerhouse during winter, which remain in the existing downstream hydrological framework. Environmental Management Plan 56. An EMP is incorporated in this IEE, which includes (i) mitigation measures for environmental impacts during design and implementation phases; (ii) an environmental monitoring program; (iii) responsible entities for mitigation, monitoring, and reporting. The EMP will be included in civil works bidding and contract documents. 57. During the construction phase, anticipated impacts on the physical and biological environment are temporary, localized and can be easily avoided or minimized with the implementation of mitigation and monitoring measures which are detailed in the EMP. The following are the anticipated impacts and corresponding mitigation measures during the construction phase of the project: • Air pollution from dust emissions during rehabilitation, movement of earth materials and emission from movement of heavy equipment and construction vehicles. This will be mitigated by good construction practices such as water spraying on road surface and work areas, covering all materials during transportation, and proper maintenance of construction vehicles and equipment; • Water pollution accidental spillage of oil and other lubricants from construction equipment and increased turbidity during dredging works. The potential spillages will be mitigated by timely removal of the polluted soil and checking of the construction machines for leaks. Turbidity will be controlled with the use of silt screens and special cutter dredger heads to minimize and reduce turbidity levels which will be duly monitored; • Noise pollution from construction activities that causes a nuisance to local communities will be mitigated through consultation with communities regarding the schedule and time of noise-generating construction activities, and the use of noise limitation techniques on construction equipment; • The generation of construction wastes, which will be mitigated by the provision of waste bins in construction sites and the proper segregation, collection and disposal of solid wastes; oils and scrap metals will be kept safe at the on-site storage area, which will be improved with financing under the project. EPP is responsible for ensuring that licensed companies, under the monitoring and supervision of the PIC and PIU, recycle and dispose oils and scrap metals. • Sediments excavation from dredging works will be managed according to two scenarios (sediments are dangerous or not) in compliance with applicable environmental standards; although first round of surface sampling and analysis found no contaminants, samples will be collected at various depths to check if

contaminants are present in deeper layers. The sampling and testing will be completed before any dredging operation could start. • Occupational health and safety in construction sites, potentially causing harm and danger to the lives and welfare of workers. This will be mitigated through the implementation of an environment, health and safety plan, including the provision of personal protective equipment to all workers; and • Community health and safety, such as the anxiety of the population by the movement of heavy trucks on the public roads. This will be mitigated through implementation of a traffic plan agreed by the local authorities. 58. During the operational phase of the project, all infrastructure will operate with routine maintenance. New equipment will result in better working conditions for HPP workers, and environmental risks will be much less than in the prevailing conditions. 59. For the sediments disposal, the respective operators will be responsible for the sediments management to ensure that the transportation by pipeline, dewatering and transportation to the permanent disposal site will comply with applicable environmental standards. 60. The PIU will be responsible for EMP implementation with assistance from the Project Implementation Consultants (PIC) and staff of EPP’s Service of Reliability and Safety Department. A specific line item is added in the cost table for social and environmental mitigation. Monitoring results will be included in the project quarterly progress reports and semiannual environmental reports. 61. This EMP will be part of the contract documents consisting of specified measures covering most of the possible issues that can occur and enabling the avoidance, the reduction, and the mitigation of adverse impacts in the project cycle. The Contractor shall adopt the mitigation measures, particularly those for the construction, into Site Specific Environmental Management Plans (SEMPs) as part of its overall EHS plan and consistent with its own work program. Supplementary Plans will also be drawn up by the Contractor for specific situations to ensure a focused action on any problem that might arise. 62. The costs of EMP mitigation measures will be included in the turnkey contract, and the cost for environmental monitoring will be included in the consulting services of the PIC. Information, Disclosure, Consultation, and Participation 63. In accordance with ADB’s Public Communications Policy (2005) and SPS (2009), Public Consultation meetings were carry out in August 7, 2018 in two local authorities of Dostuk and Shamaldy Say. The Public Consultations were supported by PS GES/ UK HPP staff. 64. Consistent with the stakeholder consultation and involvement process during project preparation, public consultation process included information disclosure with details of the project during meetings, discussion, feedback solicitation from the public, and meetings report. Public hearing to the project has been positive, with a majority of participants expressing a strong interest in the modernization of UK HPP as a reliable energy supply and improving irrigation water supply management. 65. The IEE shall also be disclosed to a wider audience via the ADB and EPP websites. During the project implementation, periodic environmental monitoring reports shall be submitted by EPP and correspondingly also be uploaded in the ADB and EPP websites.

Grievance Redress Mechanism 66. The project will establish and implement a GRM in order to receive and facilitate the evaluation and resolution of affected peoples’ concerns, complaints, and grievances regarding the project’s environmental performance. When and where the need arises, this mechanism will be utilized to address complaints that may arise during the implementation of the project. The proposed GRM addresses affected people's concerns and complaints promptly, utilizing an understandable and transparent process that is gender responsive, culturally appropriate, and readily accessible to all segments of the affected people at no costs and without retribution. Costs of the EMP 67. Most of the mitigation measures require the contractors to adopt good site practice, which should be part of their normal construction contract. The quality monitoring of environment components to be conducted by the contractor during construction also should be part of their normal construction contract. The below Table indicates the total Budgetary Cost for Environmental Monitoring Specialists and Cost for social and environmental mitigation measures. Measure Costs Remark Mitigation measures and monitoring Included in 580,000 USD Contractor contract National Environmental safeguard Included in PIC specialist for 5 years to be 100,000 USD contracted by EPP International external auditor, twice a year, including travel costs Included in PIC 200,000 USD Environmental monitoring and contract supervision of mitigation measures Subtotal 880,000 USD 10% contingencies 30,000 USD Total 910,000 USD

Conclusion and Recommendation 68. The IEE, EMP and Monitoring Plan, as part of the contract documents, shall be adhered to by the Contractor. Accordingly, the Contractor shall require all his Sub-Contractors to comply with the EMP and such stipulations should also be shown in the Sub- contracting agreements and this will be verified by the PIC. 69. Upon assessment of the impacts in this IEE process, the project is proposed at Environmental Category B, since the predicted impacts are site-specific with few irreversible ones, and in most cases mitigation measures can be readily designed and incorporated in the tender specifications and detailed design. 70. Mitigation measures have been developed for finalization in the detailed design phase, for implementation in the construction phase, and subsequently for the operation phase, to reduce all negative impacts to acceptable levels. As per assessment in this IEE, the proposed Project is unlikely to have significant environmental impacts. To ensure environmental and social safeguards, the IEE recommends: • baseline measurements and periodic monitoring during construction;

• proper design should be produced, • approved EHS plan from Contractor before commencing construction works, • specific asbestos management plan before commencing construction works, • Contractor to appoint a qualified environmental staff, • Implementation of mitigation and monitoring measures, • PIC to provide sufficient training on EMP implementation and compliance monitoring for the PIC engineers and the Contractor’s staff, • PIC to assist PIU in monitoring and reporting on EMP implementation, • PIU shall oversee environmental compliance and ensure that reporting requirements are followed. Structure of the Report 71. The IEE report includes the following major elements: • executive summary, • description of the project, • description of the baseline environment, • analysis of alternatives, • anticipated environmental impacts and mitigation measures, • consultation and information disclosure, grievance redress mechanism • environmental management plan(s), and • conclusion and recommendations

2. POLICY, LEGAL, AND ADMINISTRATIVE FRAMEWORK 72. In the following chapter, administrative, legal and policy issues related to environmental protection in the Kyrgyz Republic are considered. Administrative base 73. At the highest level of the country’s governance, the Jokorku Kenesh (Parliament) - through the Commission on Land and Agriculture, Water Resources, Environment and Regional Development - is responsible for the following issues: • definition of the general structure of the policy on environmental protection; • development and approval of laws and regulations; • approval of government proposals for the introduction of fees for the use of resources and proposals for taxes. 74. Several types of responsibility in the field of environmental issues are delegated to the Office of the President. The President is empowered on issues such as: • establishing specific rules, and making decisions on the use of natural resources; • define and declare borders and state of ecological emergencies and zones of ecological disasters; • approval of procedures for the collection and use of funds to protect the environment. 75. Since the type of governance in the Kyrgyz Republic has changed from presidential to parliamentary, the powers of the President have been reduced. According to Clause 64 of the new Constitution of the KR of 2010, the President is responsible for signing all laws passed by the Jorkork Kenesh, holding international negotiations and signing international agreements and agreements, with the approval of the Prime Minister. At the same time, the President has the right to transfer these powers to the Prime Minister and members of the Government, while retaining the authority to sign documents of ratification and accession. 76. The State Agency for Environmental Protection and Forestry (SAEPF) under the Government of the Kyrgyz Republic is authorized state institution responsible for the development, approval and management of environmental policy in the Kyrgyz Republic. Its main tasks and objectives include: conducting state control over the implementation of environmental protection, developing and implementing a common policy in the field of environmental protection, and carrying out environmental protection measures. 77. Inspection and supervisory functions in the field of industrial safety, use and protection of lands, construction, nuclear and radiation, as well as fire safety, and control over the compliance of enterprises and organizations with environmental legislation belong to the State Inspectorate for Ecological and Technical Safety (SIETS) under the Government of the Kyrgyz Republic. Specifically, the SIETS, amongst others, carries out: • state oversight and control over the legislation, technical regulations on mechanical, seismic, fire, environmental, industrial, energy, biological, chemical, and radioactive safety and / or associated with it processes of production, construction, mounting, setting-up, operation, preservation, transportation, application, implementation, burying, disposal and recycling; • making provisions for the implementation of obligations regarding international agreements within the limits of its competence; and • other relevant tasks.

Environmental legislation of the Kyrgyz Republic 78. The environmental impact of the Project is regulated by a number of legislative acts of the Kyrgyz Republic in environmental protection. Table 1. Relevant Laws and Regulations on the Environmental Impacts of the Projects Number & # Legislation Year of Purpose/content adoption Main laws on environmental protection Land, its mineral resources, airspace, waters, forests, flora and fauna and other natural resources are used, but at the same The Constitution of the 1 2010 time are under protection. Kyrgyz Republic Everyone is obliged to take care of the environment, flora and fauna of the country. It establishes the basic principles of environmental policy and The Environmental Safety No.506 dtd. determines global, national and local environmental issues; 2 Concept of KR 23.11.2007 priorities in the field of environmental protection at the national level as well as tools to ensure environmental safety. Establishes the basic principles of environmental protection and provides legal authority to establish environmental quality, designate special protected areas, promulgate rules and procedures for the use of natural resources, establish environmental monitoring and control system and reinforce procedures for overcoming emergency situations. Among the standards and norms of environmental quality authorized under this law and related to the project there are: No.53 dtd. • Standards of Maximum Safe Concentration of Hazardous 1999 Law of KR “On Substances in Air, Water; 3 in the wording Environmental Protection” • Standards of Natural Resources Use; dtd. 27.04.2009 • Standards of Maximum Safe Noise, Vibration Levels and Other Hazardous Physical Impacts. This law establishes the requirements for environmental examination (environmental assessment) intended by economic or other activities to prevent potential adverse environmental impacts. In addition, it prohibits financing or implementation of projects related to the use of natural resources without obtaining approval from the State Environmental Expertise. The main law related to environmental assessment. Its task is No.54 dtd. Law of KR "On to prevent negative impacts on human health and environment 1999, in the 4 Environmental Impact occurring as a result of economic or other activities, and to wording dtd. Assessment" ensure compliance of these activities with environmental 04.05. 2015 requirements of the country. Law of KR "General Is meant to protect the environment. It determines the main technical rules and provisions for technical regulation of environmental safety and No.151 dtd. 5 regulations for establishes general requirements for ensuring environmental 2009 environmental safety in safety during design and operations of businesses and other the Kyrgyz Republic" facilities of all legal and physical entities. Regulation on procedure Establishes the procedure for assessing the environmental for conducting impact of the proposed activity (hereinafter EIA). The purpose No. 60 dtd. 6 environmental impact of EIA is to prevent and/or mitigate the environmental impacts 13.02.2015 assessment in the Kyrgyz of the proposed activity and other related social, economic and Republic other consequences. Regulation on Water Defines the procedure for establishing water zones and strips 7 Zones and Strips of Water No.271 dtd. of water bodies protection in the Kyrgyz Bodies Republic, establishes a regime of economic activity and land Protection in the Kyrgyz 8 7.07. 1995 use located in the water protection zones and strips. This law Republic also defines responsibility for keeping them in proper shape. No.51 dtd. Law of KR "On Protection 1999, in the 9 Governs the relations on use and protection of atmospheric air. of Atmospheric Air" wording dtd. 09.08.2005

Number & # Legislation Year of Purpose/content adoption Defines the national policy in production and consumption waste management. It is aimed at preventing negative impacts Law of KR "On Production No.89 dtd. from production and consumption waste on the environment 10 and Consumption Waste" 2001 and human health while handling it and their maximum involvement in the economy as an additional source of raw materials. The classifier defines the list of wastes, their characteristics and codes. Classifier of hazardous The classifier is intended for use in the waste management waste system, including accounting, control, rationing in waste Methodological № 9 dtd. 11 management, issuing permits for transboundary movements and recommendations for 15.01.2010 waste disposal, designing environmental protection facilities and determining the hazard class conducting environmental protection measures, assessing social, of waste economic, material and material risks and occurrence of accidents and disasters. Law of KR "On Protection No.53 dtd. Establishes the legal framework for ensuring effective 12 and Use of Flora" 2001 protection, rational use and reproduction of flora resources. No.59 dtd. 1999, in the Establishes the legal relations in the context of protection, use 13 Law of KR "On Wildlife" wording dtd. and reproduction of wildlife. 24.06.2003 Law of KR "On local self- Establishes the principles for setting-up local authorities at the No.101 dtd. 14 government and local level of administrative and territorial units of the Kyrgyz 2011 state administration" Republic. Legislation on Land Acquisition Clause 12 recognizes a diversity of forms of ownership and guarantees equal legal protection of private, state, municipal and other forms of property (Clause 12, paragraph 1). Land can be of private, municipal and other forms of ownership except for pastures, which cannot be privately owned (Clause 12, paragraph 5). Property is indefeasible. No one can be arbitrarily The Constitution of the 15 2010 deprived of his property. Seizure of property by the state Kyrgyz Republic against the will of the owner is allowed only by court decision (Clause 12, paragraph 2). Seizure of property for public purposes specified in the law is possible by the court decision with fair and advanced compensation of property cost and other damages caused as a result of such alienation. (Clause 12, paragraph 2). Determines that the person whose right is violated can demand full compensation for damages, unless the law or agreement consistent with the law says otherwise (Clause 14, paragraph 1). The Civil Code specifies the following losses subject to compensation: • expenses incurred or to be incurred by the person whose No.16 dtd. right is violated in connection with restoration of violated 8.05.1996 in the 16 Civil Code rights (Clause 14, paragraph 2); wording dtd. • loss or damage to property (Clause 14, paragraph 2); 30.05.2013 • lost income that would be received by the person under normal civil turnover conditions if his right was not violated (lost profits) (Clause 14, paragraph 2); • Compensation for loss of profits along with the other costs, at least in the amount of such income, to the person loosing land, assets or livelihood. No.45 Governs land relations in the Kyrgyz Republic, basis for the dtd. origin, procedure for exercise and termination of rights to land 2.06.1999 in and their registration, and also aimed to create land and market 17 Land Code the wording relations in state, communal and private ownership of land and dtd. efficient use and protection of land. The Land Code is the main 26.05.2009 document, which regulates land use.

Number & # Legislation Year of Purpose/content adoption This law is developed in accordance with the Land Code of the Law of KR «On transfer Kyrgyz Republic and other normative legal acts of the Kyrgyz No. 145 dtd. 18 (transformation) of land Republic. It defines the legal basis, conditions and procedure 15.07.2013 plots» for transfer (transformation) of arable land to other category or land type intended for other purpose. Valuation of assets is made based on the Provisional Rules of activities of valuators and valuation organizations (Government Regulation on valuation of 19 Resolution #537 dtd. August 21, 2003), property valuation assets standards (Government Resolution #217 dtd. April 3, 2006) and other national legislative provisions. Law On Protection And Use Of Historical And Cultural Heritage Establishes legal norms for protection and use of tangible historical and cultural heritage on the territory of the Kyrgyz Republic, which is of unique value for people. The law is mandatory for all legal entities and individuals. It defines their The Law "On protection No.91 dtd. rights and obligations in the context of protection and use of 20 and use of historical and 26.07.1999 tangible historical and cultural heritage. Historical and cultural cultural heritage" heritage are the historical and cultural monuments associated with historical events in the life of the people, development of society and the state, material and spiritual creative works representing historical, scientific, artistic or other value.

International Conventions and Agreements 79. The Kyrgyz Republic has signed or ratified the following international agreements and protocols that can be considered in the context of the Project. Table 2. International agreements and protocols

N Name of the document Year Brief description

UN Framework 1 Convention on Climate 2000 Combating global climate change and its consequences. Change Aarhus Convention on access to information, To support the protection of human rights to a healthy environment public participation in and wellbeing, access to information, public participation in 2 2001 decision-making and decision-making and access to justice on issues related to the access to justice on environment. environmental issues. Protection of human health and the environment from the negative effects of persistent organic pollutants. The main duties of the party that ratified the Stockholm Convention are: • taking measures to reduce or eliminate releases from Stockholm Convention unintentional production; 3 on Persistent Organic 2006 • taking measures to reduce or eliminate releases from stocks or Pollutants wastes; • Development and periodic review and updating of the National Action Plan of the Stockholm Convention; • taking measures to implement the National Action Plan of the Stockholm Convention.

Basel Convention on the Protecting human health and the environment from the harmful Control of Transboundary effects of hazardous wastes by regulating international trade in 4 Movements of 1996 hazardous and other wastes, minimizing their formation and Hazardous Wastes and transboundary movement and ensuring their environmentally their Disposal sound disposal.

N Name of the document Year Brief description

The Convention sets out the obligations of the Parties with respect to the assessment of the environmental impact of specific activities in the early stages of planning. It also contains the general The UNECE Convention obligations of the Parties to notify and consult each other when on Environmental Impact considering projects that can have significant harmful effects on the 5 Assessment in a 2001 environment outside the borders of one state. Transboundary Context The Convention is a tool with great potential, facilitating the (Espoo) cooperation of the Parties, joint discussion of issues, establishing contacts and finding common ways to resolve the issues that have arisen.

• Development and management of the international wetland network necessary for the conservation of biodiversity (mainly the protection of waterfowl habitats). Ramsar Convention • Maintain the conservation of sustainable use of wetlands and 6 'Protection of Water and 2002 their inclusion in the world list. Wetlands' • Identification of the most important wetlands on the territory of the Kyrgyz Republic for inclusion in the wetland list. • Exchange of experience and information on the importance of conservation of wetlands of international importance.

International agreement, adopted in Rio de Janeiro on June 5, 1992. The objectives of the Convention are the conservation of biological The United Nations diversity, the sustainable use of its components and the fair and 7 Convention (Rio) on 1996 equitable sharing of benefits arising from the use of genetic Biological Diversity resources, including through the provision of the necessary access to genetic resources and the appropriate transfer of appropriate technologies, taking into account all rights to such resources and technology, as well as through adequate funding.

80. Ratification of international legal acts involves implementation of international requirements into the national legislation and harmonization of the Kyrgyz legislation with the international legislation. However, this process is moving very slowly in Kyrgyzstan given that conventions are really frameworks that need to be translated into national laws, a process that is time consuming and complicated. Required ADB Environmental Approval 81. The ADB Safeguard Policy Statement 2009 (SPS) has the objectives to (i) avoid adverse impacts of projects on the environment and affected people; (ii) where possible; minimize, mitigate, and/or compensate for adverse project impacts on the environment and affected people when avoidance is not possible; and (iii) help borrowers/clients to strengthen their safeguard systems and develop the capacity to manage environmental and social risks. The environment safeguard requires due diligence which entails addressing environmental concerns, if any, of a proposed activity in the initial stages of project preparation. 82. The SPS categorizes potential projects or activities into categories of impact (A, B or C) to determine the level of environmental assessment required to address the potential impacts. 83. Environment Categorization. ADB uses a classification system to reflect the significance of a project’s potential environmental impacts. A project’s category is determined by the category of its most environmentally sensitive component, including direct, indirect, cumulative, and induced impacts in the project’s area of influence. Each proposed project is scrutinized as to its type, location, scale, and sensitivity and the

magnitude of its potential environmental impacts. Projects are assigned to one of the following categories: (i) Category A. A proposed project is classified as category A if it is likely to have significant adverse environmental impacts that are irreversible, diverse, or unprecedented. These impacts may affect an area larger than the sites or facilities subject to physical works. An environmental impact assessment is required. (ii) Category B. A proposed project is classified as category B if its potential adverse environmental impacts are less adverse than those of category A projects. These impacts are site-specific, few if any of them are irreversible, and in most cases mitigation measures can be designed more readily than for category A projects. An initial environmental examination is required. (iii) Category C. A proposed project is classified as category C if it is likely to have minimal or no adverse environmental impacts. No environmental assessment is required although environmental implications need to be reviewed. 84. The project is categorized as category B the based on the following considered solutions: • the project does not provide for the construction of mini HPPs; • the volume of dredging sediments is 500,000 m3; • the sediments are not contaminated and does not pose a danger to the environment; • and the possibility of using mitigation measures during the dredging works. 85. The project is categorized as environment Category B because potential adverse environmental impacts are site-specific, few if any of them are irreversible, and in most cases mitigation measures can be designed readily. Accordingly, this IEE has been prepared as the requisite level of assessment to address the potential impacts in line with the SPS. 86. Public Disclosure: ADB will post the following safeguard documents on its website so affected people, other stakeholders, and the general public can provide meaningful inputs into the project design and implementation: • For environmental Category A projects, draft EIA report at least 120 days before Board consideration; • Final or updated EIA and/or IEE upon receipt; and • Environmental Monitoring Reports submitted by Implementing/Executing Agencies during project implementation upon receipt 87. ADB also requires public consultation in the environmental assessment process. For Category B projects, the borrower must consult with groups affected by the proposed Program and with local nongovernmental organizations (NGOs) if possible. The consultation for this needs to be carried out as early as possible in the Project cycle so that views of affected groups are taken into account in the design of the Project and within the mitigation measures proposed. 88. Information disclosure involves delivering information about a proposed project to the general public and to affected communities and other stakeholders, beginning early in the project cycle and continuing throughout the life of the project. Information disclosure is intended to facilitate constructive engagement with affected communities and stakeholders over the life of the project. In order to make key documents widely available to the general public, the SPS 2009 requires submission of a finalized IEE for Category B projects to ADB for posting on its website. In addition, the SPS 2009 requires that borrowers take a proactive disclosure approach and provide relevant information from the environmental assessment documentation directly to affected

people and stakeholders. The SPS 2009 also requires that the project proponent carry out meaningful consultation with all stakeholders, including civil society, and facilitate their informed participation. 89. Public consultation was conducted in the two rural administrations. As an information disclosure used brochures in Kyrgyz and Russian and the presentations about of the modernization HPP in terms of environmental and social issues (Annex 5,6). Permitting Processes in Kyrgyz Republic 90. After approval ADB and EPP the Report of Feasibility study will send to National Energy Holding Company for their review and approval. 91. After Energy Holding Company review the Report will have sent to State Committee of industrial of energy and subsurface use of Kyrgyz Republic, after approval the document will be sent to Government of Kyrgyz Republic for expertise. 92. Before approval of the Report by the Government, the positive conclusion of State Environmental Review must be obtained for IEE. 93. The assessment of the possible effects of economic and other activities on the environment and human health, as well as the development of a list of measures to prevent adverse effects (destruction, degradation, damage and depletion of natural ecological systems and natural resources) and improve the environment are carried out in the framework of an environmental impact assessment, complying with the environmental legislation of the Kyrgyz Republic. Environmental impact assessment is carried out according to: • Regulations on the procedure for environmental impact assessment in the Kyrgyz Republic (13 February, 2015, #60); • Regulations on the procedure of the state ecological examination in the Kyrgyz Republic (7 May, 2014, #248); • Law "On Ecological Expertise" No.54 dtd. 1999, (with amendments as of 04 May 2015), • Law "On Environmental Protection" No.53 dtd. 1999, and • Law "General technical regulation on environmental safety."No.151 dtd. 2009. 94. Environmental assessment in the Kyrgyz Republic is founded on two subsystems: (i) OVOS (the Russian acronym for “Environmental Impacts Assessment”), and (ii) Ecological Expertise (State Environmental Review, SER). The ecological assessment based on a “List”, (project screening) is done to determine whether a project is the subject to environmental assessment or not. For cases which are required to, an OVOS is conducted by an OVOS consultant hired by a Project Proponent. The environmental assessment process produces EIA documents which will be subject to further reviews. 95. According to the “List”, the Project screening has been done and determined that modernization of HPP is subject to environmental assessment.

Annex 1 to the Regulation on the procedure for environmental impact assessment in the Kyrgyz Republic

List of Economic activities subject to environmental impact assessment 1. Energy facilities: 1) combined heat and power plants, thermal power plants, hydroelectric power stations; 2) industrial plants for the production of electricity, steam, hot water; 3) lines of pipelines supplying gas, oil and oil products, heat; 4) high-voltage power lines; 5) warehouses of oil and oil products, gas, solid fuel; 6) ash-and-slag-pit. 2. Reservoirs

96. The resulting EIA is then presented for public consultations, after which revisions are done according to the public’s feedback. Subsequently, the OVOS report, Statement of Environmental Consequences, and other supporting documentations are submitted for the State Environmental Review (SER). After which the project may be approved, rejected or send for reexamination. The SER duration depends on the complexity of the project, but should not exceed 3 months after submission of all the OVOS documents by the Project Proponent. 97. The Environmental Management Plan (EMP) is developed on the basis of the EIA, design solutions and refined, and is specified on each next stage of the project. EMP reflects all the possible negative impacts that have been identified in the EIA and includes mitigation measures for these effects. Environmental Standards 98. The following environmental standards are applied to the Project; subsequently the more stringent standards shall be used as monitoring requirements. 99. Air quality Table 3: Maximum permissible concentrations of harmful substances in ambient air according to Kyrgyz and international standards. Maximum permissible Pollutants Concentration averaging period. concentration (mg/m3) According to According to According to According to EU national EU national legislation and WB legislation legislation legislation EHS guidelines Particulate Matter 0.15 0,05/0.02 daily average 24 hours /1 year Sulphur Dioxide (SO2) 0.5 0.02 daily average 24 hours Nitrogen Dioxide (NO2) 0.085 0.04/0.2 daily average 1 year/1 hour Maximum daily 8 Carbon monoxide (CO) 3,0 10,0 daily average hours mean 100. Noise Table 4. EC Noise Standards (dB) Noise Level Guidelines* One Hour LAeq (dBA) Receptor Daytime 07:00 - 22:00 Nighttime 22:00 - 07:00 Residential; institutional; educational** 55 45 Industrial; commercial 70 70 *Guidelines values are for noise levels measured out of doors. Source: Guidelines for Community Noise, World Health Organization (WHO), 1999. **For acceptable indoor noise levels for residential, institutional, and educational settings refer to WHO (1999).

Table 5.Kyrgyz Republic Noise Standards (dB)

Leq Lmax Description of activity/category Day Night Day Night Areas directly adjacent to hospitals and sanatorium 45 35 60 50 Areas immediately adjacent to dwellings, polyclinics, dispensaries, 55 45 70 60 rest homes, holiday hotels, libraries, schools, etc. Areas immediately adjacent to hospitals and dormitories 60 50 75 65 Recreational areas in hospitals and sanitariums 35 50 Rest areas at the territories of micro-districts and building estates, 45 60 rest houses, sanitariums, schools, homes of aged, etc. SN (Sanitary Norms) 2.2.4/2.1.8.562-96 “Noise at workplaces, in dwelling rooms, in public buildings and at the area of residential development”. 101. Surface water Table 6. Surface water quality standards Maximum permissible concentration (mg/l) Pollutants According to national According to EU Guideline value (mg/l; legislation legislation*** WH0, 2017) Not less than 1,0 Turbidity Not less than 20 cm meters/depth not visible in the Petroleum oils 0,3 мг/л form of a film Total suspended solids 0,25 мг/л Nitrite 0,02 mg N/l 0,3 mg NO2/l Nitrate 9,0 mg N /l 50 mg NO3/l Ammonium 0,4 mg N/l 0,5 mg NH4/l Total nitrogen of Kjeldahl Total phosphor as P 0,2 mg P/l Dissolved oxygen Not less than 4 mg/l 6 mg/l HCO3 Hydrogen carbonate ions 300 - CO3 100 - F (Fluoride) 0,05* - 1.5 mg/l CL 300** - SO4 100 - NO2 0,1 0,3 mg/NO2/l NO3 45 50 mg NO3/l Na 200 - K 50 - Mg 0.1 - Ca 180 - Conductance, μS 4 - pH Not less than 6 6 GN 2.1.5.1315-03 with changes GN 2.1.5.2280-07 and SanPiN2.1.5.980-00 * Additionally to the background level, but not more than their summarized volume equal to 0,75mg/l; ** This volume is for Cl-anion; for free Cl, its absence should be presented; *** Arrêté du 27 juillet 2015 modifiant l’arrêté du 25 janvier 2010 relatif aux méthodes et critères d’évaluation de l’état écologique, de l’état chimique et du potentiel écologique des eaux de surface (European standard: Directive 2008/105/EC of the European Parliament and of the Council of 16 December 2008 on environmental quality standards in the field of water policy and Directive 2013/39/EU/39/EU of the European Parliament and of the Council of 12 August 2013) 102. Hazard properties of sediments 103. In the legislation of the Kyrgyz Republic there is no document regulating the level of pollution of sediments. According to the Classification of Hazardous Waste (Decree of the Government of the Kyrgyz Republic of January 15, 2010 No. 9), sediments are not defined as wastes. In connection with the foregoing, the document uses European standards for identification of the level of pollution in the sediments. 104. Limit values are defined according to European Referential Standard to define if sediments are dangerous or not. A sediment is considered non-dangerous if it does not have any of the hazard properties listed in Annex I, Article R.541-8 of the

Environmental Code (European Standard) / Decision of the European Commission No °2014/955/UE of 18 of December 2014. 105. An excerpt from an Article 1: • the quality of sediments extracted from streams or canals is assessed against the thresholds in section 3.2.1.0 of the nomenclature, the reference level S 1 of which is specified in Table IV2. Table 7. Levels related to trace elements and compounds (table IV) (in mg / kg of dry sediment analyzed on fraction less than 2 mm) Parameter Limit value* Arsenic 30 Cadmium 2 Chromium 150 Copper 100 Mercury 1 Nickel 50 Lead 100 Zinc 300 PCBs total 0,680 PAHs total 22,800 *European referential directives (mg/kg dry wt)

2 “Arrêté du 9 août 2006 relatif aux niveaux à prendre en compte lors d’une analyse de rejets dans les eaux de surface ou de sédiments marins, estuariens ou extraits de cours d’eau ou canaux relevant respectivement des rubriques 2.2.3.0, 4.1.3.0 et 3.2.1.0 de la nomenclature annexée à l’article R. 214- 1 du code de l’environnement »

3. DESCRIPTION OF THE PROJECT Purpose and need of the Project 106. Electricity demand in Kyrgyz Republic is highly seasonal with two thirds of domestic consumption taking place in autumn and winter. Although electricity generation capacity has nearly doubled since the Soviet era, load shedding is frequent especially in the winter when hydropower output is limited due to low river discharge, while cuts arise from problems due to technical failures in the outdated generating equipment. 107. Hydroelectric generation from the Naryn Cascade is central to the present and future economic development of the Kyrgyz Republic also with view on an electric power generation and transmission system regionally managed between the Central Asian Countries in future. 108. However, the future security of this capability is in some doubt because of the age of most of these facilities. They are over 50 years old, obsolete and many spare parts are no longer available. Therefore, the modernization of Uch- Kurgan HPP being part of the Naryn Cascade is very important. 109. The proposed Uch Kurgan HPP Project will increase sustainable hydropower generation in Kyrgyz Republic. The project’s physical outputs will be (i) electromechanical generation equipment replacement; (ii) hydraulic steel structures refurbishment and replacement; and (iii) dam stability security of the Uch-Kurgan HPP. This rehabilitation is expected to result in (i) increased capacity of all four power generating units from 45 MW to 56 MW; (ii) restored flood discharge capacity of 3,000 m3/s; (iii) reinforced dam foundations and structure; and (iv) installed dam monitoring system. Project location 110. The Uch Kurgan Hydro Power Plant is located on the Naryn River, in the Jalal -Abad oblast (West side of Kyrgyzstan) at around 140 km downstream of Toktogul HPP, and at a distance of 500 km from Bishkek, the capital of the Republic of Kyrgyzstan. 111. The Uch Kurgan HPP is the first constructed hydro power plant on the Naryn River Cascade. It is the lowest stage of the Cascade which also includes, from upstream to downstream: Kambarata HPP-2 (120 MW), Toktogul HPP (1200 MW), Kurpsay HPP (800 MW), Tash Kumyr HPP (450 MW) and Shamaldy Say HPP (240 MW).

Figure 1. Location of hydropower plants of the Naryn Cascade

Figure 2. Local siting of the Uch Kurgan hydropower plant

Figure 3. Top and upstream views of the Uch Kurgan dam 112. The Hydro Power Plants of the Cascade are operated by the Electric Power Plants Open Joint Stock Company (EPP OJSC) which is the Executive Agency for the Uch Kurgan Modernization Project. The Uch Kurgan scheme includes an earth fill dam and an outdoor hydro powerhouse of 180 MW equipped with 4 vertical Kaplan turbines of 45 MW each. The plant was commissioned in 1962 and needs a complete refurbishment and modernization.

Existing situation 113. Uch-Kurgan HPP is located 3 km from the village of Shamaldy-Say. The territory of the industrial site on the hydrosystem is fenced, well planted. The relief of the land plot is plain. The roads are asphalted. 114. At the industrial site there are: • The site of hydroconstructions, including the building of the HPP; • Outdoor switchgear (110 kWt); • Oil storage area • Administrative and production building; • Area for mechanization and transport; • Wastewater collection plant (septic tank); • Checkpoint (militarized security). 115. In addition, an emergency response team (so called “operative group”) is working at the HPP, electric machine shop, the electrical laboratory, the hydro-section, electrical site is the power plant, and machine site. 116. The dam of the Uch-Kurgan HPP is equipped with four water conduits of hydroelectric generators, eight bottom spillways (bottom outlets), one surface spillway, two water intake structures of irrigation canals and three gantry cranes. 117. Each water intake of a unit (turbine) is equipped with two gates and two trash-rack water intakes. On the crest of the dam, there is a machine for cleaning the trash-rack structure. A set of stop log gates is provided in order to isolate one of the suction pipes. 118. Each bottom spillway is equipped with an upstream emergency gate and the operational gate on the downstream side. Surface spillway is equipped with a double- leaf gate and a stoplog gate. 119. The water intake of the left-bank irrigation canal is equipped with two flat gates that regulate the water level in the canal. There is one upstream gate for emergency shutdown, and also for maintenance of one of the operational gates. 120. On the right bank, three flat gates are used to regulate the discharge of water in the right-bank irrigation canal. There is one upstream gate for emergency shutdown, and also for maintenance of one of the operational gates. 121. Two gantry cranes on the crest of the dam are used for: • control of the gates of the water intake; • technical maintenance of trash-rack grids; • installation of emergency gate of the bottom spillway in the weir pond; • installation of the stoplog gate of the surface spillway. 122. A gantry crane in the downstream deck is used for: • Installation of draft-tube stoplog; • Bottom outlets stoplog installation; • maintenance of service gate of bottom outlets. Oil storage area 123. 11 oil storage tanks installed in the open air and connected with their pipelines were corroded.

Figure 4. Oil storage area 124. Stationary equipment for oil processing is installed in an old dedicated building. The building includes various rooms that are in poor condition with floors soaked in oil. Below the main floor of the building, there is an underground floor with metal tanks for oil recovery. 125. Air ducts and associated exhausters do not operate. It is also noted that the lighting is not of a fireproof type. 126. In the past, new oil was delivered to the station by rail tank wagons. Now the oil is delivered in barrels. 127. According to the staff of the HPP, transformer oils do not contain biphenyls (PCBs). 128. The oil currently used in mechanical systems of turbines and transformers corresponds to international standards. Emissions of pollutants into the atmosphere 129. The main areas of emissions of pollutants at the HPP are mechanical sections: repair areas, welding stations, oil storage, and transportation means. Water supply and sewerage system 130. At the enterprise, water is used for production purposes, household needs and watering of greenery. The source of water supply is the Naryn River. 131. For production purposes (electricity generation), water passes through the HPP turbines without changing its quality and quantity. Seasonal water consumption for production purposes is uneven, depends on the operating time of the HPP. Water flow passed through a HPP are accounted for by flow calculation curves on each turbine, on the data from conduits and dams overflow according to open curves of gates devices and flow characteristics. At the enterprise, there are indefinite permits for special water use for industrial purposes, which indicate the volumes of water use in the Naryn River. 132. For household and drinking needs, water abstraction is carried out from HPP buildings from the technical water supply pipeline, on which water meters are not installed. The quality of water for domestic and drinking needs is controlled by the Tash-Kumyr Center of State Sanitary and Epidemiological Surveillance. Samples from the water supply network of administrative buildings and canteens are regularly taken. A physico-chemical and sanitary-microbiological study of water samples is carried out. 133. Sanitation at the Uch-Kurgan HPP is carried out in three chamber treatment facilities with a capacity of 50 m3/day. The treatment facilities were put into operation in 1964. That period, wastewater treatment was carried out in a decanter with subsequent disinfection with chlorine. Effluent treated to standard quality was discharged into the

Naryn River. At present, sewage is pumped out by sewage machines and is transported outside the enterprise. Wastes of the UK HPP 134. The main types of waste generated in the company are solid waste, rags and metal shavings. Wastes are collected on the territory of the enterprise and transported as they accumulate on the landfill. Water intake system for water supply to the village Shamaldy Say 135. On the crest of the dam, at a level of 542.00 m on the left bank side, there is a pumping system designed to supply water to the Shamaldy-Say village drinking water supply network. 136. Provision of drinking water supply to the network is carried out by pumping water from the reservoir through suction pipes, and three pumps (one working). According to the technical staff of the HPP, water is distributed to the village without any treatment. 137. This system is in poor condition, including old power and control panels installed outside the proximity of the pumps.

Figure 5. Water intake system for village Shamaldy Say 138. According to the HPPs Enterprise employees’ data, state authorities (the State Inspectorate of Environmental and Technical Safety) impose penalties for the use of the water intake system and its supply to the village Shamaldy Say for drinking water supply, as this system does not have design and permitting documentation and the water quality does not comply with regulatory requirements. Water reservoir 139. The reservoir of the UK HPP is a reservoir of daily regulation with elevations of 536.5 m and 540.0 m (the permissible working range of the water level of the upstream is 538.7 to 539.5 m) in a narrow and up-stretched waterbody with a total length of 20 km and a width of 200 to 500 m. The area of the reservoir located near the concrete dam is limited by the left-bank dam and the natural bank of the Naryn River. Upstream, the reservoir does not go beyond the canyon of the river with high steep banks. 140. Pebble gravel are underlain by conglomerate-pebble strata with a thickness of 40-85 m; below are marly clays of Neogene age.

141. The loss of water from the reservoir for filtration and evaporation is negligible. From the reservoir, water is taken for irrigation and drinking water supply by local communities. 142. Since 1957, 5 bathymetric campaigns were conducted for Uch Kurgan water reservoir. This allows a very good estimation of the siltation matter of the reservoir, in natural context (before the commissioning of upstream reservoirs) and under the influence of Toktogul and the three other upstream reservoirs. 143. The initial capacity of the reservoir has been reduced of around 70%. However, since 1971 the sedimentation rate has drastically decreased, mainly due to the Toktogul reservoir commissioning and the so disruption of the sedimentation flow. 144. It is obvious (and confirmed by the dam operator) that the sediment management rules that were defined at the design stage of the Uch Kurgan HPP project, have never been applied in the past. This is the main reason why the reservoir siltation is now so high. 145. Main siltation observed on the left side upstream, and the right side is deep and clean. 146. The composition of sediments is sand, clay fractions and minor volume of organic substances.

Figure 6. Uch Kurgan water reservoir Site inspection 147. The site inspection found that, for their major part, equipment is worn out and at the end of their lifetime despite of their satisfactory maintenance works and replacement of some equipment in the course of the 56 years of continuous operation. 148. The inspection found that the civil structures satisfy the operational requirements of the hydropower plant and no significant deterioration or movement has occurred over the last 56 years confirming that the global strength of the foundation is sufficient to take the loads of the dams. However, hydrogeological condition of the foundation needs improvement due to possible internal erosion through underground water pressure.

149. A stability checking calculations of the concrete dam and earth-fill dam structures have been performed. The concrete dam sections are stable for all load cases including seism load case, except for the right bank block that will need reinforcement. For earth-fill dam, stability calculation has shown that the dam is stable. Project description Technical description 150. According to the results of the feasibility study, the project includes the rehabilitation and modernization of the powerhouse (civil works and hydro-electro-mechanical equipment), the dam (civil works and hydromechanical equipment), the HV switchyard, and the irrigation water intakes, to upgrade the performance and the safety of the plant. The project includes also the partial rehabilitation of reservoir storage capacity and the socio-environmental mitigation measures. 151. The project will replace the four turbine-generator units and all associated equipment of the power plant including main transformers, replace or repair hydromechanical equipment (gates, stoplogs, trashracks and gantry cranes), repair the concrete dam and earth-fill dams ‘civil structures, recover the spillway capacity. This will bring benefits by (i) increasing unit power output from 45 MW to 56 MW, (ii) increasing unit rated efficiency from 88.5% to 93.4%, and (iii) improving availability and safety of the plant. The economic life of the rehabilitated units will be 40 years. 152. The existing turbine equipment and governing system will be fully replaced by new design Kaplan turbine at same velocity and with power increase to 56 MW. The turbine fixed parts embedded in concrete shall be repaired: metallic parts of spiral case (partial steel lining), stay ring and stay vanes, runner chamber and draft tube cone. The concrete surface of penstock, spiral case and draft tube shall be repaired. 153. The existing generator equipment will be fully replaced by with new design generator with power increase to 65 MVA. The existing excitation systems are already new and shall be used for the new units. 154. The two existing main transformers will be replaced by two new main step-up power transformers of 130 MVA. The 10.5 kV busbars, generator circuit breakers and associated equipment connecting generators to main transformer will be replaced. The electrical auxiliary AC and DC systems will be fully replaced and improved. All power and control cables and cable trays shall be removed and replaced by new ones. 155. The powerhouse main travelling crane and the three gantry cranes will be rehabilitated. 156. All the mechanical auxiliary systems including cooling water system, drainage pits equipment, units dewatering system, compressed air systems, mechanical oil treatment and storage systems, ventilation and air conditioning systems, sewage water system, mechanical workshop, fire detection system and firefighting equipment and water systems, will be replaced and improved. 157. Control system and electrical protections will be fully replaced by redundant digital equipment. Communication equipment will be replaced. 158. At 110 kV switchyard, control cubicles and associated cabling will be replaced (all HV equipment are currently been replaced then no work is foreseen on these equipment). Overhead conductors of 110 kV busbars will be replaced. 159. Concerning hydraulic steel structures: it is foreseen the replacement of eight-unit intake gates adding dedicated operating device for each gate, the replacement of water intake trashracks and trashrack cleaning machine, the replacement of eight downstream bottom outlet service gates and eight bottom outlet upstream guard

gates, the rehabilitation of draft tube stoplogs, spillway stoplog and spillway gate and repairing all the fixed parts of the gates and stoplogs. A steel liner shall be installed for high water speed sections of the eight bottom outlet waterways. The gates of the left bank and right bank irrigation channels will be replaced. 160. In addition to civil adaptation works to new equipment, repairs and stability mitigation works are necessary on Uch Kurgan dam’s civil structures. 161. For the concrete dam and powerhouse structure, the recommended repairs involve mainly: repair of various damages and defects throughout the concrete structures, corrosion protection, change the treatment of the expansion joints in the concrete structures, sealing of the concrete slab of downstream deck to stop water infiltrations, repair or replacement of miscellaneous steel structures such as steel platforms, covers and gratings, metallic stairs, ladders, guard rails, etc. 162. To mitigate stability risks on concrete dam stability, reinforcement works will be implemented on right bank block of the dam and a grout curtain and downstream drainage curtain shall be added at dam foundation. 163. For the earth-fill embankment dam, the recommended repairs involve mainly: repair of upstream face concrete and expansion joints, repair of parapet wall, re-built completely the left bank irrigation channel intake structure and execute field investigations to confirm the need of rehabilitation works of dam crest. 164. To mitigate stability risks on embankment dam stability, a grout curtain shall be added at dam foundation on upstream side, throughout 1000 m length starting from the concrete dam interface. 165. Completely new dam monitoring equipment will be installed both for concrete dam and embankment dam. This will improve the acquisition of data related to safety and management of the dam under both normal and extreme loading conditions (earthquakes and flooding). The downstream hydrological station will be rehabilitated. 166. The bridge on upstream side of the concrete dam crest shall be fully repaired. 167. A partial recovering of reservoir capacity is foreseen through sediment dredging operation in the area close to the concrete dam upstream face. The dredging works will be performed by HPP before the start of the rehabilitation works. 168. Training of EPP staff on operation and maintenance of new equipment and new control system will be provided by the contractors. 169. Other existing equipment of the UK HPP not listed above are not part of the project. Sediment removal and disposal process 170. The modernization project of the UK HPP is considering the possibility of cleaning the reservoir from bottom sediments in the amount of 500,000 m3. 171. As part of the modernization project, it was decided to purchase equipment that will enable to carry out the excavation of bottom sediments. Indeed, and as described in the feasibility study, the Naryn Cascade upstream of Uch Kurgan has considerably decreased the sediment inflow to the reservoir. However, considering the current water storage capacity remaining which is very low, it is still necessary to limit as possible the future siltation of Uch Kurgan reservoir. 172. The work on cleaning the reservoir will be carried out directly by the PS GES/ UK HPP. 173. The contractor providing the supply of equipment to enhance and strengthen the capacity of the staff of PS GES / UK HPP will also provide for their training in working

with the dredger and practical demonstration of work with the excavation of a certain amount of bottom sediments. 174. Within the framework of the environmental assessment, sediment samples were taken from a depth of 50 cm from the surface, for their identification and determination of the level of contamination with toxic and organic contaminants. 175. The results of the laboratory study showed that the upper layer of sediments are not contaminated and have no toxic effects (there are not categorized as dangerous waste). 176. However, one must consider that the main siltation took place in the first years of operation of the HPP. And the deepest layer of bottom sediments may potentially contain various pollutants. To make sure that the bottom sediments are not contaminated it will be necessary to provide sampling and analysis from deeper layers of the reservoir. In this connection, the Project Implementation Consultant (PIC) must be assisted in carrying out the sampling. 177. Since only chemical analysis of sediments can be carried out in the Kyrgyz Republic, it is necessary that the PIC, together with the PS GES/ UK HPP, select a qualified laboratory abroad with international certification for carrying out physical-chemical and agrochemical analysis (chemical and organic composition). 178. Depending of future sediment analysis results, two scenarios about sediment removal must then be considered: • Scenario 1 – No Contamination • Scenario 2 – Contaminated Sediments 179. Removal of sediments will then be associated to management rules to maintain the useful capacity and safety of the Uch Kurgan water reservoir. The sediment management process within the project then includes the removal of sediments according to the above-mentioned scenarios. Operating management rules to maintain the useful capacity and safety of the reservoir and associated HPP has also to be considered. General view of process 180. The planned Uch Kurgan HPP rehabilitation works include the dredging of the upstream reservoir to free the dam flushing gates (bottom outlets). This dredging operation represent a total estimated volume of 500 000 m³. This volume is contained in a layer of 15m of sediment. The dredge site represents a surface of 150 m x 200 m. The top of the sediment layer is 20 m below the water level in normal HPP operating conditions.

Figure 7: Current operational layout 181. Hydraulic techniques could be the most appropriate solution as a dewatering process will be required in order to allow the storage in a reduced area. The hydraulic suction dredging will have also the advantage to limit the water turbidity increase. 182. Sediments shall be dredged by cutter suction dredging equipment and hydraulically transported through pipeline and pumping booster station(s) to the deposit area. 183. Sediment will be dewatered after transportation (through pipeline) to the temporary deposit area. Approaches to methods of dredging 184. The proposed dredging method proposed for the operations in the HPP reservoir is the use of a dismountable cutter suction dredger discharging the dredged material through pipelines in a retention area. Dredging with suction dredgers create agitation close to the river bed and sucks the sediment mixed with water through pipelines. Once the sediment enters the dredging head it is isolated from the aquatic environment.

Figure 8: Cutter suction dredger and pipeline

185. Calculations have been made considering a Damen DOP Dredger 350L (Annex 4). It is the largest dismountable cutter suction dredger able to dredge at 31 meters water depth. This dredger size will not allow to dredge the complete material layer that is up to 35 meters below the water surface when the water is at its normal level 539.50 m. During the dredging operation the water level will have to be lowered of about 5 meters to make sure all the sediment can be reached. Target water level will be 536 m for most of the dredging operations. 186. To dredge the material close to the dam, the water level will have to be lowered of 15 meters from its original level. This would let the dredger to go under the structure and have space to swing. The water level will have to be lowered at about 525 m.

Figure 9: Situation sketch with DOP dredger 350L 187. The estimated volume that will have to be dredged with that very low water level of 525 m is 63 000 m³ based on: • 15 meters sediment layer thickness • 210 meters dam length • 20 meters of layer width 188. In the sequence, this volume should be dredged last to make sure that the dredging operation upstream do not bring additional material. 189. Lowering so much the water level will induce the Uch Kurgan HPP production shutdown, so special attention needs to be put in this volume dredging preparation to limit as much as possible the duration. So, to avoid the stop of the upstream hydro plants of the Cascade, EPP will manage the daily complete shut-down of the power plant for the execution of dredging close to the dam face for some hours per day at upstream water level 525.00 m. Due to the short period available every day, this work should last 2 to 3 months. 190. During the dredging close to the dam, it is not recommended to take the risk of the cutter head touching the dam wall as it can damage the structure. Therefore, there will probably be a small layer of sediment against the dam wall that will not be dredged using the proposed method. If the material is not cohesive, this layer will be minimal as the material will fall down when dredging. 191. Final extraction of sediment at upstream dam foot shall be performed by divers with suction tool. 192. Dredging operation will necessarily put material in suspension and increase locally the turbidity around the cutter head but no major turbidity increase of the full reservoir is

expected. With the proposed cutter dredger this turbidity will remain close to the bottom and considering the current it will be trapped by the dam and stay upstream the power plant. Additionally, silt curtains can be used to decrease the turbidity to minimal extent, if required. Further description and alternatives of dredging works 193. The planned Uch Kurgan HPP works include the dredging of the upstream reservoir to free the dam flushing doors. This dredging operation represent a volume of approximatively 500 000 m³. 194. This volume is contained in a layer of 15m of sediment which type is not determined yet. The dredge site represents a surface of 150 m x 200 m. The top of the sediment layer is 20 m below the water level in normal HPP operating conditions.

Figure 10. Example of water current control 195. The initial dredging method proposed for the operations in the HPP water reservoir is the use of a dismountable cutter suction dredger discharging the dredged material through pipelines in a retention area. Dredging with suction dredgers create agitation close to the river bed and sucks the sediment mixed with water through pipelines. Once the sediment enters the dredging head it is isolated from the aquatic environment.

Figure 11. Turbidity generation by a cutter suction dredger (CSD) 196. Dredging operations may take place during a complete stop and bypass of the turbines but it has not been confirmed. If it is, turbidity mitigation will have to be adapted. 197. The sole source of turbidity is therefore generated close to the bottom and there is no possible spillage when the sediment travels through the water column. As the current stream in the river is mainly horizontal, the sediment will most likely remain close to the bottom and settle again. There will be very limited vertical transport of the turbidity. 198. A common way to mitigate turbidity is taking into account local hydro-dynamic conditions and related HPP operational modes, into the dredge planning operational processes. This process could be helped by selecting the dam doors to be shut depending on the area to direct the flow and limit its velocity in the vicinity of the dredging location. This could also be done with a potential by-pass (diversion structure).

Figure 12. Example of water current control 199. Operational measures can be taken such as lowering cutter head velocities, lowering production and limiting operations during low flow velocity conditions that could occur seasonally (lower river discharge rates). 200. With correct preparation, combined dredging and HPP operations can then be planned to reduce the sediment transport downstream. 201. This solution could be completed by everyday turbidity and water flow monitoring that would help adjust the water current and the dredging operations in real time in order to reduce the impact of dredging activities on the water quality. 202. Silt screens. One of the most used solutions to contain dredge-borne turbidity is a silt screen. These are semi-permeable curtains attached to a buoyancy module that can be deployed around the turbidity generating area to contain it. Deployment of silt screens require fit for purpose vessel like multicat with deck space and small crane.

Figure 13. Example of silt screens usage 203. The silt screens to be used for Uch Kurgan HPP reservoir dredging need to go all the way from surface to the bottom of the reservoir as the turbidity will be generated on the river bed. It will have to be carefully deployed to catch all the sediment in suspension in the water flow.

Figure 14. Silt screen principle

204. The best effectiveness of the silt screens is achieved when deployed all across the river from to bottom. If there is some space left, the water flow will be diverted bringing the sediment in suspension with it. As the screens will be deployed across the river flow blocking the whole water stream, this solution can only be deployed in areas with very limited current velocities, less than 0.3m/s. Also operationally, they are tedious and difficult to move around and sensitive to manipulation, often resulting in ruptures when manipulated repeatedly. 205. Pro-active Adaptative management – ECOPAM. The solution to reduce the impact of dredging operations on the environment is a combination of the above-mentioned possibilities. The recommended approach is to anticipate at design stage what mitigation will be put in place to ensure the effect of the dredging operations stay within defined criteria. 206. When the above adaptive management and/or one or more mitigation measures are anticipated during the design phase of a project, the environmentally viable scenarios for dredge execution are modelled using numerical models. Professionals has used this approach repeatedly. During the project this approach also allows for pro-active adaptive management by forecasting the turbidity using real-time forecasts of hydro-dynamics and operational processes. 207. The ECOPAM combines observations, modelling and simulation of operations to define at an early stage the best dredging solution and mitigation to put in place to perform the dredging operations with the lowest impact on environment. This approach limits the risk of needing corrective actions usually much costlier or to simply stop operations. 208. Then, during operation a close monitoring of defined environment parameters could be performed and models are adapted to stay in line with the in situ measurement. The results of models will give the opportunity to anticipate environmental parameter future behavior and to anticipate mitigation or change of dredging method if needed. Transportation method 209. The mix sediment + water shall be transported to the discharge area (deposit area) through a pipeline. Then no truck shall be used for this operation. The discharge pipeline will be 350 mm inner diameter, 2500 meters of pipeline shall be standard shore pipeline, 250 meters shall be floating pipeline and 100m submerged. The pipeline may be laid alongside the roads. Pipeline bridges, which are standard temporary structures, shall be foreseen to cross the roads without impacting the traffic. Considering the length of pipeline, a booster pumping station will be required to keep the dredging production at an efficient rate. Road distance between reservoir and deposit area is about 2 to 2.5 km. Sediment disposal scenarios 210. For safe management of bottom sediments, the following two disposal scenarios should be considered: Scenario 1 – No Contamination. In case of no contamination, the steps for dredging, transport, management and final disposal will be undertaken without any specific measures to contain pollutants (see within next paragraph). Scenario 2 – Contaminated Sediments. Agreement with the Government/ EA should be sought on how to deal with the contaminated sediments, and a plan should be prepared and include the following as a minimum: dredging agreement, schedule, dredging activities, transport, storage sites, treatment, disposal and monitoring requirements.

ADB must review the plan and if cleared, the project will be re-assessed for recategorization, the safeguard documents (i.e. IEE/ EMP) will be updated and cleared by ADB. More detail of the Sediment Management Action Plan is presented in the Table 22. Scenario 1 – No Contamination of sediments 211. This scenario details dredging operations once it is evidenced that the sediments are not contaminated. As today, this is the privileged option as the analysis performed on the sediments within this IEE did not reveal any contamination by pollutants (see chapter Sediment analysis). However, bottom sediment contamination has still to be checked to confirm the option. 212. The deposit area shall be public land located at few kilometers of the Uch Kurgan HPP and has been identified but remains to be secured with EPP and the local authorities. The sludge will be delivered to the temporary deposit area by a pipeline (hydraulic transportation). The deposit area will be arranged to store properly the mix water + sediments and ensure efficient dewatering of the sediments mainly through soil infiltration). Earth moving equipment will have to be permanently working in the discharge area to spread the material in a safe and efficient way. The foreseen equipment are: • 3 bulldozers • 2 excavators 213. As the sludge dries, the dried sludge will be transported by trucks to another quarry for its permanent disposal and/or reuse for construction purposes. 214. Assumptions about the dredger characteristics: • Dredger type = cutter suction dredger with devices to limit turbidity • Mixture (sediment + water mix) flowrate capacity = around 1500 m3/h • Dredged sediment daily volume: 1500 to 3800 m3/day (volume depends on sediment type: more sand or more clay) • Mixture (sediment + water) daily volume = up to 24000 m3/day (this is the maximum effective daily volume transferred to the deposit area where it will be dewatered) 215. The temporary deposit area will allow to store about 2 weeks volume of dredged sediments. That will be a sufficient duration to ensure the dewatering, as the major part of water volume will be drained in some days. Location of temporary disposal site (dewatering quarry) 216. The mix sediment + water shall be transported to temporary dewater area (quarry) that is an industrial area (wasteland) on the left bank of the Naryn River, 2-3 kilometers downstream of the Uch Kurgan HPP belonging to Dostuk Aiyl Okmotu and Tash- Kumyr town of Nooken rayon of Jalal-Abad oblast. 217. The quarry is located in the industrial zone and has road infrastructure. Site parameters are: a depth of h = 4.5 m, l = 554 m, b = 56 m, a total storage volume V = 160,000 m3.

Figure 15: Location of Uch-Kurgan HPP and temporary disposal area (quarry)

Figure 16: Quarry contour and road to quarry in case of hydraulic removal of sediments through the pipeline (highlighted in red), at a distance of 1.5 km.

Figure 17: Photo 1 of Selected temporary area for sediments dewatering

Figure 18: Photo 2 of Selected temporary area for sediments dewatering

Location of permanent storage site for dry sediments 218. A large quarry is located in the village of Chuyut Say, the embankment is more than 9 m, the depth is 8-9 m, the length is 475 m and the width is 190 m, the total capacity is V = 750 000 m3. The quarry will be used for disposal of dry sediments, transported from the temporary deposit area. Sediments could be used as a construction material (backfilling of trenches, ravines, voids) and other purposes. Distance from the temporary deposit area is 15-17 km.

Figure 19. Location of Uch-Kurgan HPP and permanent deposit area

Figure 20: Map of quarry territory for permanent disposal of dry sediments

Figure 21: Photos of the selected permanent area for dry sediments deposit

Scenario 2 – Contaminated Sediments 219. Decision about the applicability of the scenario 2 will be made after results of a pre- dredging sediment analysis campaign (deep boreholes samples) which will allow to characterize sediments in more detail and to definitively state about the dangerousness of sediments and the presence of pollutants. In that purpose, analysis will be performed at different depths of the reservoir, within the section necessary to perform the rehabilitation works, and within a larger section according to the decision of EPP to extend dredging activities in order to restore the volume capacity of the reservoir. Final decision about the dredging works (carry out or not) will then depend on the contamination status of sediments, and the preparation of a sediment management plan. This IEE contains LARF as an annex 8 in case land acquisition and resettlement (LAR) is required during project implementation for addressing issues related, but not limited, to the contaminated sediments (e.g. an additional land plot is required for constructing a facility to treat contaminated sediments etc.). If LAR is required during project implementation stage, EPP needs to comply all the requirements of LARF. 220. Decision about the dredging of contaminated sediments include: • agreement with the Government/ EA should be sought on how to deal with the contaminated sediments, and a plan should be prepared and include the following as a minimum: dredging agreement, schedule, dredging activities, transport, storage sites, treatment, disposal and monitoring requirements. • ADB must review the plan and if cleared, the project will be re-assessed for recategorization, and the safeguard documents (i.e. IEE/ EMP) will be updated and cleared by ADB. • dredging activities will start following the agreement of the proposed plan.

Sediments analysis 221. The results of the analysis of the sediments that were taken at a depth of 50 cm from the surface and investigated by various laboratories are presented in the Tables 8,9 below as well as the sampling points. Laboratory tests were carried out to determine the degree of contamination of the sediment for dredging operations. Two campaigns of analysis were performed in March and June 2018. First analysis campaign: March 2018 222. Sampling protocol as well as location of sampling are presented below for the first campaign. Sampling was carried out on 16/03/2018 at 12.30 – 13.00 p.m. from 5 points: SS 1, SS 2, SS 3, SS 4, SS 5. 223. Methodology of sampling and analysis were as follow: • The selection was carried out in plastic containers, using a shovel. • The samples were dried at a natural air temperature and sent to the laboratories. • Spectral analyses were realized in laboratories (Kyrgyzstan).

Figure 22: General location of sediment samples

Figure 23. Detailed location of sediment samples

Figure 24. Sediments sampling area 224. The results of spectral analysis realized for 5 sediment samples (from the reservoir) is presented in the tables 8 and 9 below. 225. According to results of analysis (Table 8) sandy soils predominate in the Naryn River, with low-power quaternary deposits. Thus, it can be concluded that the composition of sediments is sand, clay fractions and minor volume of organic substances. Table 8. The results of spectral analysis of sediment SiO2 AlO3 MgO Fe2O3 CaO Na2O K2O Composition Unit № % % % % % % % 1 50 5 1.2 4 9 2 1.5 2 50 4 1.5 5 12 2 2 Sample 3 50 4 1.2 4 7 2 2 4 50 4 2 5 12 2 2 5 50 5 1.5 5 12 2 2 Source: The laboratory of the State Committee of Industry, Energy and Subsoil Use, State Enterprise "Central Laboratory

Table 9. First results of sediments spectral analysis (March 2018) Detection Uncertainty/ Limit Sample S-Uch- S-Uch- S-Uch- S-Uch- S-Uch- Limit analytical value*, ID/ Method 1 2 3 4 5 (DL) error mg/kg Element margin (U) dry wt Ag, 1 14,1% Multi-element mg/kg <1.0 <1.0 <1.0 <1.0 <1.0 analysis by 100 4,3% Al, mg/kg 11678 9031 10718 10106 8840 atomic- As, 1,5 14,5% 30 emission mg/kg 11 9 12 11 9 method with Ba, 10 7,1% inductively- mg/kg 120 139 165 137 192 coupled plasma ICP- Be, 1 6,9% AES after mg/kg 1 1 1 1 1

Detection Uncertainty/ Limit Sample S-Uch- S-Uch- S-Uch- S-Uch- S-Uch- Limit analytical value*, ID/ Method 1 2 3 4 5 (DL) error mg/kg Element margin (U) dry wt 3,5 10,9% - decomposition Bi, mg/kg <3.5 <3.5 <3.5 <3.5 <3.5 on an OPTIMA Ca, 100 7,4% - 5300DV mg/kg >50000 >50000 >50000 >50000 >50000 Perkin Elmer Cd, 1 6,4% 2 spectrometer. mg/kg <0.5 <0.5 <0.5 <0.5 <0.5 Samples are Co, 1 5,2% pre-dried at mg/kg 12 10 11 11 10 room Cr, 1 4,5% 150 temperature in mg/kg 33 28 34 27 31 a dark place, Cu, 1 11,9% 100 disaggregated, mg/kg 22 15 21 18 17 sieved through Fe, 100 3,3% - a 2 mm sieve. mg/kg 21802 17935 19821 18727 18253 Hg, 1 7,2% 1 mg/kg <1 <1 <1 <1 <1 100 2,8% - K, mg/kg 1844 1348 1951 1532 1406 La, 10 3,4% - mg/kg 13 12 12 12 13 Mg, 100 3,4% - mg/kg 11257 10370 10901 9820 10811 Mn, 5 6,8% - mg/kg 413 425 505 378 509 Mo, 1 13,8% - mg/kg <1 <1 <1 <1 <1 Na, 100 4,2% - mg/kg 156 120 193 147 105 1 5,3% 50 Ni, mg/kg 40 37 41 33 46 10 4,7% - P, mg/kg 697 582 635 619 589 Pb, 3,5 14,6% 100 mg/kg 16 12 15 14 13 Sb, 2,5 12,5% 2-25 mg/kg <2.5 <2.5 <2.5 <2.5 <2.5 Sc, 1,0 4,6% - mg/kg 4 3 3 3 3 Se, 1,5 19,5% - mg/kg <1.5 <1.5 <1.5 <1.5 <1.5 Sn, 2,5 10,1% - mg/kg <2.5 <2.5 <2.5 <2.5 <2.5 5 3,6% - Sr, mg/kg 290 259 478 379 154 Te, 5 6,6% - mg/kg <5 <5 <5 <5 <5 10 4,6% - Ti, mg/kg 344 310 307 321 320 5 7,0% - U, mg/kg <50 <50 <50 <50 <50 1 3,1% - V, mg/kg 34 28 30 30 27 10 8,4% - W, mg/kg <10 <10 <10 <10 <10 1 5,6% - Y, mg/kg 9 9 8 9 9 Zn, 2 4,7% 300 mg/kg 53 42 47 45 41 1 5,7% - Zr, mg/kg 3 4 3 3 5 *European referential directives or Interim Sediment Quality Guidelines, Australian and New Zealand Guidelines for Fresh and Marine Water Quality (ANZECC and ARMCANZ, 2000 – see footnote n°3 - (mg/kg dry wt)

Source: The laboratory STEWART ASSAY AND ENVIRONMENTAL LABORATORIES LLC 226. According to these results of the analysis for some metals, the rate is very low (Cr, Cu, Pb). 227. For Nickel (Ni), the rate is close to the limit value (50 mg/kg; European standards). When looking at other standards (Australian and New Zealand Guidelines), the Ni

value is between the trigger value ISQG Low3 and the ISQG High (Low: 21 mg/kg and High: 52 mg/kg). It is the only element in that case, and no element is above the ISQG limit. Second analysis campaign: June 2018 228. The sampling activity took place at Uch Kurgan water reservoir on 29th of June 2018. The analysis was performed to complement the previous ones, and in order to determine the PCBs and aromatic hydrocarbons (PAHs) in bottom sediments, due to the fact that chemical analysis of these substances are not carried out in the Kyrgyz Republic. The second set of samples was then sent to a specialized French laboratory. 229. Three sediment samples have been collected on the left bank side close to the concrete dam area. On the right bank side, it has been checked at various places near the dam but it has been found only gravels and pebbles and no clay/sand sediment. Then no sample has been collected on the right bank.

Figure 25: View of sampling points on left bank 230. The results of the three sediment samples that have been collected at the end of June 2018 at Uch Kurgan site and are presented in the Table 10 below. 231. Limit values are defined according to European Referential Standard to define if sediments are dangerous or not. A sediment is considered non-dangerous if it does not have any of the hazard properties listed in Annex I, Article R.541-8 of the French Environmental Code (European Standard) / Decision of the European Commission No °2014/955/UE of 18 of December 2014.

3 Interim Sediment Quality Guidelines, Australian and New Zealand Guidelines for Fresh and Marine Water Quality (ANZECC and ARMCANZ, 2000). Interim sediment quality guidelines – low: Probable effects concentrations below which biological effects would rarely occur. Interim sediment quality guidelines – high: Probable effects concentrations below which biological effects would possibly occur. Concentrations above these values represent a probable-effects range within which effects would be expected to frequently occur.

232. It shall be noted that the results related to the parameters (heavy metal content) analyzed on previous samples in Kyrgyz laboratory are very similar to this new analysis result. Table 10.Second group of results of sediment analysis Parameter Limit value* Sample n°1 Sample n°2 Sample n°3 Standards Arsenic 30 10.8 10.7 9.45 NF EN ISO 11465 Cadmium 2 <2 <2 <2 Chromium 150 95.9 43.3 49.6 Copper 100 44 30 32.4 Mercury 1 <0.1 <0.1 <0.1 Nickel 50 46 38.9 35.2 Lead 100 15.2 14.1 17.5 Zinc 300 85.9 54 51.8 PCBs total 0,680 <0.01 <0.01 <0.01 XP X33-012

PAHs total 22,800 <0.05 <0.05 <0.05 XP X33-012 *European referential directives (mg/kg dry wt) Source: French laboratory, June 2018 233. According to the Table 10, it appears that no limit is reached and the analysis shows that there are no toxic organic components (PCBs - Polychlorinated biphenyls and PAHs - Polycyclic aromatic hydrocarbons) in the sediment samples. 234. The original analysis report of the French laboratory is attached in Annex 2. Conclusion on sediment analysis 235. As a conclusion to the two analysis campaigns performed on the sediments of Uch Kurgan water reservoir, the analysis did not reveal any pollution of the sediments. This should allow the following possible uses for the sediments: • Valuation in road construction • Valuation in strengthening riverbanks • Career backfill • Construction activities 236. The latter two possibilities are subject to the criterion of inert waste (any waste which does not undergo any significant physical, chemical or biological modification, which does not decompose, does not burn, produces no chemical or physical reaction and is not biodegradable), which is almost certain for the sediments of Uch Kurgan. 237. However, we must keep aware that sediment samples have been collected only in surface, close to the riverbanks and additional analyzes will need to be performed before the start of dredging operations to check the properties of the deep sediments. 238. The value for Nickel according to results of analysis variation from 33 to 46 mg/kg. 239. According to Interim Sediment Quality Guidelines, the rate for Nickel (Ni) is between the trigger value ISQG Low and the ISQG High: Low: 21 mg/kg and High: 52 mg/kg. (According to European referential directives, limit value for Nickel is 50 mg/kg dry wt). 240. Given the various standards for estimating the level of Nickel contamination, which vary between Low and High pollution, and the above consideration in paragraph 237, an additional analysis for heavy metals is required before sediments excavation work begins. 241. According to results of additional analysis, final decision will consider the choice of one of the scenarios sediments disposal. 242. The Naryn River flows through a series of zones that have different geological structures, and are composed of various structural-material rock complexes that have

different composition. Of the variety of rocks that make up the territory of the Naryn River flow, many of them may have elevated contents of various groups of elements. For example, ophiolites are characterized by the presence of elements of iron group: chromium, iron, titanium, cobalt, nickel and others. Carbonate rocks give high levels of calcium and magnesium; intrusive rocks can carry elevated levels of potassium and sodium. In addition, numerous ore occurrences and mineral deposits in this region that can also have an impact on both water (the elements carried by the tributaries of the Naryn River into the main waterway) and the bottom sediments composition, which are in close proximity and away from the river. Judging by the results of upper layer of sediment analyses, some of these elements are washed out by the river and carried downstream. That is why the samples of upper layer sediments contains a slightly increased level of heavy metals, which, however, do not exceed the MPC. It should be noted that samples taken from surface layers of sediments can contain heavy metals at a lower level than samples taken from deeper layers. This is explained by the fact that at the first stage, when the Uch Kurgan HPP had been run, the volume of washed up rocks was high, and decreased as construction and start-up of the subsequent /upper stream HPPs of the Naryn Cascade took place. Responsibility of dredging operations 243. All work on the dredging operations will be the responsibility of EPP while a distinction will be made between: • dredging operations necessary for the rehabilitation works, which will be performed close to the dam site by a dredging operator; • dredging operations which will be necessary to restore the reservoir volume, which will be performed by EPP after a specific training by the dredging operator. Time schedule of the Project implementation 244. Work on the rehabilitation of the object of each generating unit should be carried out from March 1 to November 15 (one unit every year from 2021 to 2024), including dismantling the unit, installing a new unit, testing and commissioning. 245. Given the time required by the contractor for the hydromechanical and electromechanical equipment to conduct a detailed survey of the facility, then the basic design, testing of the turbine model, detailed design and manufacturing, it is emphasized that in order to start the rehabilitation of the first generating unit in March 2021, it will be necessary to have the notice to proceed for the rehabilitation contract not later than August 2019. 246. Rehabilitation of the bridge will take about 16 months, including a 4-month winter break. 247. Excavation of bottom sediments will take about 8 – 10 months, including mobilization/ demobilization activities. 248. Thus engineering and works of the project should start in 2019 and end of the project is foreseen in 2024. 249. The main milestones are the following: • Notice to proceed 01/08/2019 • Dredging works finished 02/03/2021 • First unit rehabilitation in 2021 • Second unit rehabilitation in 2022 • Third unit rehabilitation in 2023 • Fourth unit rehabilitation in 2024

• End of the project 30/11/2024

Health and safety in HPP in KR 250. According to the existing legislation, all HPPs in KR are equipped with first aid kits. These kits are regularly inspected. All workers are instructed what to do in case of an accident, e.g. after a worker is hit by an electric shock. In addition, there is staff specially trained for first aid available. In case of severe injuries, the worker concerned has to be taken to the next hospital. 251. Among others, such first aid training is provided by a special department established within Joint Stock Company Electric Power Plants called”Service of Reliability and Safety”. The headquarters of this Service is based at Bishkek comprising 6 people working in it. 252. In the Oblasts branches of this Service are established. In Jalal-Abad oblast there are three of them, one at Kara-Kul responsible for Toktogul HPP, and one at Tash-Kumyr being responsible for Uch-Kurgan and Shamaldy-Say HPPs. A third branch is located at Kambarata. 253. Beside first aid instructions, one of the main tasks of this Service is to train workers and other “ITR” (“Engineering and Technical Personnel”) concerning safety aspects when working in a hydropower plant. This Service is training workers in the Oblast; higher skilled engineers will be trained in the headquarters at Bishkek. This training comprises issues like working under high voltage, how to secure a working place with signs, etc. 254. All workers/employees must go through an exam to get a competence certificate that shows for what kind of work the worker/employee concerned is qualified. If a worker/employee takes unsatisfactory grade or do not pass (fails) the exam he/she will not get the allowance to do specific works. The higher the qualification the higher the salary is. 255. There are fixed rules and standards in written form provided to the workers/employees. The major principles are reflected at the following two documents: “Safety requirements under the electric units operation” and “Electric plants and grids technical maintenance regulations”. These requirements and rules are derived from old Soviet and Russian standards. Right now, new safety requirements and standards of the Kyrgyz Republic are undergoing the endorsement at the Ministry of Justice KR, and will be available until end of 2011. 256. With respect to maximum permissible field strength allowed for workers to work in the former USSR a formula to calculate the exposure time of workers is still used in the Kyrgyz Republic. This formula is:

T[hrs] = (50/E) – 2 E = electric field [kV/m] 257. This means that the exposure time in an electric field of 25 kV/m is 0 hrs. Working in an electric field of 25 kV or more is not allowed without special protecting clothing. 258. The details for the exposure time are laid down in ‘Safety Regulations under Electricity Generating Equipment operation’ (Moscow, Energoatomizdat, 1987). 259. Using the above formula there are maps in the installations (as HPPs, substations etc.) available that show areas with high electric fields, indicate the allowed working time and show where protection devices are located. Devices to measure electric fields are available at all HPPs. Similar precautions exist for the strength of magnetic fields. In general, these fields are less critical compared to the electric field.

4. DESCRIPTION OF THE ENVIRONMENT General location and physical environment 260. Landlocked and mountainous, Kyrgyzstan is bordered by Kazakhstan to the north (1,113km), Uzbekistan to the west and southwest (1,374km), Tajikistan to the southwest (972km) and China to the east (1,048km). 261. The country’s high-mountain location varies from 350 up to 7,439 meters above the sea level forming a specific high-altitude climatic and natural landscape vertical zoning.

Figure 26. Topographical and hydrographical map of Fergana valley, and borders of the countries. Source: www.cawater.info-net.org 262. The Jalal-Abad oblast occupies the south-western part of Kyrgyzstan and covers an area of 33,500 km2 (about 17% of the entire territory of the Kyrgyz Republic). In the north, it borders with Talas and Chui oblasts, in the east - with Naryn oblast, and in the south - with Osh region, in the south-west and west - with Uzbekistan.

Figure 27. Administrative division of Jalal-Abat Oblast

263. According to its administrative-territorial division, the region consists of 8 districts (Aksy, Ala-Buka, Bazar-Korgon, Nooken, Suzak, Toguz-Torou, Toktogul, Chatkal), where 68 village administrations are located. The structure of the region includes 5 cities, 8 urban-type settlements, 415 villages. The total area of the region is 33.7 thousand km2 (16.9% of the total area of the country). There is an airport in Jalal- Abad city. Climate and Meteorology in Fergana valley and JALAL-ABAD Oblast 264. The climate of the Jalal-Abad oblast within the Fergana Valley has subtropical features (high air temperature in the warm season, drought at the end of summer, and precipitation in the winter-spring period), however, the colder winter than in the subtropics is typical for this temperate belt. 265. The Fergana Valley is characterized by a mild, dry winter and dry hot summers in the lower zone, moderately cold and cold winters in the upper zone. 266. The annual amount of precipitation is 300-500 mm, on the slopes of the Fergana Ridge it is 900-1050 mm. In the lower and middle parts of the territory, 50-70% of precipitation falls during the cold period of the year, in the upper zone precipitation of the warm period prevails. The main maximum of precipitation is in March-April, secondary - in November, a minimum - in August-September. The snow cover in the lower zone is not high, 10-25 cm, it lies 1.5-2 months, in the upper zone it can be kept up to 4 months. 267. The climatic conditions of the region are characterized by mean air temperatures in January -4.4ºС in the valley part, -8ºС in the mountainous part. In July, the average monthly temperatures vary from + 26.3° C in the valley, to + 23.2° C in the mountains. Minimum air temperature -30ºС in the valley, -35ºС in the mountains; maximal + 41° C in the valley, + 23° C in the mountains. 268. The average annual precipitation is from 456 mm in the valley part and up to 1090 mm in the mountains. In the warm period in the valley part falls to 300 mm of precipitation and up to 600 mm in the mountains. The daily maximum of precipitation can reach 70 mm in river valleys, 90 mm in the mountains. The average height of the snow covers in the valley part reaches 50 cm, up to 200 cm in the mountains. 269. The highest wind speed can reach 30.5 m / sec along the valleys, in the mountains - 42.5 m / sec. Geology and Hydrogeology 270. The surfaces of both banks of the river are characterized by embedded gravel-pebbly grounds, sometimes covered with fine earth (melkozem), with a thickness of 0.5-5 m. The thickness of gravel-pebble grounds varies in the range of 2.5-15 m. They reach a maximum thickness of about 30 cm on the left bank of the river, where there is a buried ravine (say), embedded in a conglomerate-pebble bedrock underlying gravel-pebble grounds, which they filled in. Gravelly pebbles along the entire length of the plot are underlain by a conglomerate-pebble stratum having a wavy surface and a thickness of 45-85 m. Conglomerate-pebbles are underlain by clay marl. Gravel-pebble grounds are widespread on both banks of the river and reach a high thickness - up to 80 m.

Figure 28. Geological map oft he Project area 271. According to the granulometric composition, they are coarse-grained, stiffish, sometimes weakly cemented with calc-clay cement. The conglomerate-pebble stratum is a non-uniformly cemented semi-rock on well-rounded pebbles of igneous rocks of various sizes with sandy-gravel filling. 272. Marly clays underlying the clastic sediments are a semi-latitudinal rock of pale-yellow rock, occurring in strata falling at an angle of 5º, the azimuth of 201-220º. Clays have sandstone interlayers. 273. According to the petrographic composition, gravel-pebble grounds consist of igneous rocks - granites, diorites, syenites, porphyrites, less often - sedimentary marble limestones and sandstones. 274. The level of groundwater fluctuates within 2-6 m, having a maximum in July-August, i.e., when the maximum water flows are running in the river. This indicates that the river feeds groundwater, despite the fact that the entire conglomerate-pebble column at the site of the HPP and below the bed of the river is anhydrous. Groundwater is poorly mineralized. 275. Thus, four main types of grounds are represented in the structure of the Uch-Kurgan HPP vicinities: Quaternary fine earth, gravel-pebble grounds, conglomerate-pebbles and marly clays. 276. The rocks composing the strata of the vicinities of the Uch-Kurgan HPP as a whole are represented by young formations of the Upper Quaternary, Quaternary and Neogene-Paleogene age. To the south-east of the HPP location, near the city Jalal Abat, Mesozoic deposits of the Cretaceous period intermingle with the Jurassic and Silurian formations. Hydrography 277. The territory of the region is crossed by the largest river of the country. The Naryn River accounts for about 30% of the total surface runoff of the rivers of the Kyrgyz Republic. The rivers Kara-Darya, Kugart and Kara-Unkur, flowing along the Fergana Valley, play an important role, given their irrigation capacity. The feeding of the rivers

of the Fergana and Chatkal ranges is mainly due to the melting of snow and glaciers. They are characterized by early spring floods. Along the territory of the region, networks of canals and reservoirs have been built for effective use of available water resources.

Figure 29.Rivers of Jalal-Abad oblast. The Figure 30. Rivers of Jalal-Abad oblast. Kugart river (after a heavy precipitation) The Chychkan river

278. Two large waterfalls located on the resort "Arslanbob" 70 km from the town of Jalal- Abad, at the foot of the Peak Weber, in a ridge Babash-Ata. On the opposite side of the Babash-Ata ridge, in the Chon-Kerey valley, there is the Kutman-Kol lake. In the north-eastern part of the ridge is Isfandzhayloo Lake Kara-Suu at an altitude of 1900 m. The largest lake in the Jalal-Abad region, a lake Sary-Chelek (507 hectares). Laboratory measurements of baseline water quality of the Naryn River 279. Samples were taken from five points: upstream (ВПБ- Right, ВЛБ- Left) and downstream (НБ) of the reservoir, drainage water (ДК1), turbine water (T1, T2). Water samples were sent to 2 local laboratories. The results of the analyzes are shown in the Table 11 and Table 12 below.

Figure 31. Water samples points location T1, T2, ДК1, ВПБ, ВЛБ, НБ [Legend: samples taken upstream (ВПБ- Right, ВЛБ- Left) and downstream (НБ) of the reservoir, drainage water (ДК1), turbine water (T1, T2). (ДК 1 and T1 are superimposed on each other, since the difference in coordinates is small) 280. Water samples from different parts of the Uch-Kurgan water reservoir (Table 11), shows that impurities of nitrites, nitrates, ammonium and phosphorus, compared to their MPCs are at insignificant/low levels. 281. Analyses of water from the reservoir demonstrated value of pH = 8.53, which indicates a slightly alkaline composition of this water. Level of dissolved oxygen (within 7.6- 14.75 mg/l limits), indicates the water’s high oxygen saturation and, consequently, a significant level of purity of the reservoir’s aquatic environment. Table 11. Water chemical analysis results (1) Uncertai Right Left nty/anal Detecti Analysis Drainag side side Downst ytical Parameters Unit Т1 Т2 MPC* on limit method e 1 Upstrea Upstrea ream error m m margin (U) Total suspended solids mg/L 1 Gravimetry 5 9 8 15 13 9 - 18% Nitrite as N mg N/L 0,001 Colorimetry <0.001 0.002 0.002 0.002 0.003 0.002 0,03 15% Nitrate as N mg N/L 0,1 IC 0.8 0.8 0.8 0.8 0.4 0.8 2.25 11% Ammonium as N mg N/L 0,04 Colorimetry 0.05 <0.04 0.04 0.05 0.20 <0.04 0,38 21%

Uncertai Right Left nty/anal Detecti Analysis Drainag side side Downst ytical Parameters Unit Т1 Т2 MPC* on limit method e 1 Upstrea Upstrea ream error m m margin (U) Total nitrogen of Kjeldahl mg N/L 0,04 Colorimetry 0.13 0.14 0.24 0.26 0.44 0.11 - 23% Total phosphor as P mg P/L 0,01 Colorimetry 0.02 0.01 0.01 0.01 0.02 0.02 0.05 10% Total phosphor mg P/L 0,1 ICP-AES <0.1 <0.1 <0.1 <0.1 <0.1 0,35 10% * from European standards on surface water quality

Source: STEWART ASSAY AND ENVIRONMENTAL LABORATORIES LLC (Kyrgyzstan) 282. Based on the analyzes carried out by the SCO Laboratory (at the Institute of Geology, National Academy of Sciences, Kyrgyz Republic) for the water of the Uch-Kurgan water reservoir, it was found that water is characterized by weak alkalinity (pH level is 7.80 - 8.53) and has high quality characteristics, which can be assessed based on the quantitative parameters determined for 6 samples collected at different locations in the reservoir. 283. In particular, the level of dissolved oxygen (from 7.8 to 14.7 mg/l) indicates that the water in the Uch-Kurgan water reservoir is pure, and the reservoir itself belongs to the oligotrophic type, in which the low level of biogenic components is represented. 284. It is known that an increase in the electrical conductivity of water indicates the presence of ionic impurities in it. In accordance with the available indicators for the specific conductivity of water in the reservoir, from 260 to 366 mg/l at different sampling points, it can be concluded that water does not have a large number of ions, based on the available standards for this index at 1000 mg/l (2 mS/cm) for chloride or 1500 mg/l (3 mS/cm) for carbonate mineralization. Indeed, the cations of sodium, potassium and calcium are at a level much lower than the MPC. The same can be said about the content of anions of chlorine, sulfate and bicarbonate. The Table 12 presents water quality results.

Table 12. Water chemical analysis results (2)

9 Samplin Sample GIS information cond pH dissol HCO3 acid CO3 acid F Cl SO4 acid NO2 acid NO3 Na K Mg Ca

g date place ucta ved radical radical fluorin chlorine radical radical acid sodium potass magnesi calcium

nce oxyg e radical ium um en longitud latitud Elav μS mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L e e atio n 1 21.04.2 180421 41,18665 72,161 502 260 7,80 7,60 192,56 N/A 0,50 11,64 67,42 N/A 3,41 14,12 1,02 13,19 53,79 018 Uch- 84 189,18 N/A 0,52 11,64 67,44 N/A 3,40 14,12 1,00 13,22 53,85 Korgon(GES 1) 182,98 N/A 2 21.04.2 180421 41,18794 72,159 509 260 8,2 192,56 N/A 0,52 11,64 67,49 N/A 3,68 14,19 1,03 13,17 53,81 018 Uch- 98 9,43 185,80 N/A 0,52 11,73 67,51 N/A 3,58 14,12 1,02 13,18 53,83 Korgon(DK1 ) 180,17 N/A 3 21.04.2 180421 41,18794 72,159 504 272 8,22 175,67 N/A 0,52 11,56 67,30 N/A 3,40 14,00 1,09 13,13 53,55 018 Uch- 97 10,52 175,10 N/A 0,51 11,59 67,35 N/A 3,41 14,02 1,06 13,16 53,65 Korgon(T1) 185,24 N/A 4 21.04.2 180421 41,18806 72,160 506 275 8,53 152,58 N/A 0,51 11,49 67,28 N/A 3,36 14,00 1,05 13,16 53,55 018 Uch- 74 10,1 149,77 N/A 0,51 11,54 67,39 N/A 3,53 14,00 1,04 13,18 53,58 Korgon(T2) 158,21 N/A 5 21.04.2 180421 41,18881 72,159 534 264 8,2 152,58 N/A 0,52 11,52 67,32 N/A 3,43 13,94 1,03 13,18 53,60 018 Uch- 11 9,89 164,40 N/A 0,54 11,54 67,41 N/A 3,52 13,97 1,01 13,19 53,62 Korgon(VPB ) 162,15 N/A 6 21.04.2 180421 41,19325 72,164 541 366 8,49 135,69 N/A 0,50 11,70 65,58 N/A 1,62 14,20 1,27 12,54 42,38 018 Uch- 49 14,75 137,94 N/A 0,51 11,77 65,43 N/A 1,72 14,24 1,28 12,56 42,47 Korgon(VLB) 146,95 N/A Source: Kyrgyz-Chinese laboratory under the Institute of Geology, National Academy of Sciences, KR. Sampling date is April 21, 2018 (* -additionally to the background level, but not more than summarized volume equal to 0.75mg/l; ** - for Cl-anion)

Conclusion 285. Thus, based on the results obtained, we can draw the following conclusion that the Naryn River refers to the oligotrophic type of water body. 286. Oligotrophic type of water object contains a small amount of biogenic elements; as a result, they are poor in plankton. 287. The river has a deep bottom; the water temperature is low. The water is clear and has a greenish-blue hue. The water is saturated with oxygen, so the organic remains are intensely mineralized and the bottom sediments are poorly saturated with them. Conditions for the development of fauna are favorable at all depths. Sandy soils predominate in the river, with low-power quaternary deposits. Historical characteristics of the siltation of the UK HPP reservoir on the Naryn river 288. The Naryn River cuts through the Jurassic cretaceous and tertiary sandstones, clays and conglomerates. Large slopes and flow velocities cause the river to carry a huge number of suspended sediments, large bottom sediments and even boulders. The main runoff of both suspended and bottom sediments flows in the flood period. According to the mineralogical composition, suspended sediments are represented by quartz, granite, feldspar, silicon, biotite, ore minerals, etc. 289. The first-born in the Naryn Cascade of the HPP is the Uch Kurgan HPP, commissioned in 1962, and the largest, both in terms of capacity and volume of the reservoir, is the Toktogul HPP commissioned in 1975. 290. The construction of the dam of the Uch Kurgan HPP in a narrow canyon formed a reservoir with a length of about 17 km and a mirror area of 4 km², with a volume of 52.5 million m3, with a useful capacity of 20.9 million m3 intended for daily flow control and the creation of a water reserve for irrigation. 291. In order to preserve the useful capacity of the reservoir and ensure the transit of sediment downstream during the period of solid runoff concentration (April-August), measures were developed to rationally operate the reservoir. 292. The procedure provides for a 5 m decrease of the upstream water level relative to the normally backed-up level, and the conduct of flushing with concentrated discharge rate of 1000-1500 m3/s. It was assumed that under this regime the useful volume of the reservoir would remain untouched. 293. For the period 1962 to 1973, before the Toktogul HPP was commissioned, the Uch Kurgan water reservoir was receiving the river's sediments, and the diversion of water into canals (Greater Fergana, Uch-Kurgan, North Fergana and Akhunbabayev), which were located below the Uch Kurgan HPP, prevented the implementation of special measures for rational operation of the reservoir. As a result, the reservoir became substantially silted. 294. Since 1957, 5 bathymetric campaigns were conducted for the Uch Kurgan water reservoir. This allows a very good estimation of the siltation matter of the reservoir, in natural context (before the commissioning of upstream reservoirs) and under the influence of Toktogul and the three other upstream reservoirs. 295. The results of the 5 campaigns are summarized in the Table 13 below, as well as the initial bathymetry in 1957.

Table 13: Curves of volume of Uch Kurgan water reservoir from bathymetric campaigns since 1957 up to 2016 Year 1957 1971 1979 1983 2003 2016 (design) WL (m) 520 520 526 520 520 520 V (Hm3) 3.6 0 0 0 0 0 WL (m) 525 525 530 525 525 525 V (Hm3) 9.1 0.075 0.5 0 0 0 WL (m) 530 530 532 530 530 530 V (Hm3) 17.3 0.4 1.1 1.1 0 0 WL (m) 535 535 535 535 535 536 V (Hm3) 33 5.3 5.4 5.6 4.9 7.29 WL (m) 539.5 539.5 539.5 539.5 539.5 539.5 V (Hm3) 54.1 20.65 18.5 17.5 16.5 14.84 WL (m) 540 540 540 540 540 540 V (Hm3) 21.6 18.7 16.2

296. The initial capacity of the reservoir has been reduced of around 70% (depending of the initial reservoir capacity5 that is considered). 297. However, since 1971 the sedimentation rate has drastically decreased, mainly due to the Toktogul reservoir commissioning and the disruption of the sedimentation flow. However, as Toktogul commissioning has occurred in 1975, the period 1971-1979 is not fully representative of as the sedimentation rate is for both pre and post Toktogul. 298. Since 1983, thus after the commissioning of the second upstream facility (Kurpsay dam), the sedimentation rate is stable between 0.14 Hm3 and 0.19 Hm3 per year. 299. The Figure 28 below shows the results of the different bathymetric campaigns. Even if the reservoir capacity volume continues to decrease, the reservoir volume curves since 1971 are very close.

Figure 32. Evolution of the Uch Kurgan water reservoir capacity since 1957

4 This value has been corrected as in the 2016 report about the bathymetric campaign, it was indicated that at WL 539.50, the volume of the reservoir is 17.8 Hm3, It is not possible that the volume for water level lower than 540 m is higher than the volume at 540 m. From the figure, it is possible to read that for 539.50 WL, the real measured volume is 14.8 Hm3. 5 The initial capacity is here indicated to of 56.4 Hm3 at WL of 540 m (source: Bathymetric campaign report, 2003), while it is indicated to be 52.5 Hm3 in other collected documents (source: Bathymetric campaign report, 1979).

Topography 300. The main units of the Jalal-Abad oblast relief are the north-eastern outskirts of the Fergana Valley and the mountains of the Western Tien Shan, which breaks into the following ranges: Talas Ala-Too, Susamyr-Too, Pskem Range, Fergana Range, Chandalash Range and Chatkal Range.

Figure 34.Topographical features of Jalal Figure 33.Relief map of Jalal Abat oblast Abat oblast

301. The relief of the oblast has a complex structure, the amplitude of elevation marks varies from 500 to 4500 m. In the relief, there are slightly sloping foothill plains, adyrs, intermontane depressions, medium-altitude and high mountain ranges can be noted. Between the adyrs and spurs, there are often intermontane depressions (from 900 to 3000 m above sea level). The middle mountains are represented by separate mountain ranges, and by continuous mountain massifs. For high mountains (from 3000 m above sea level), a dense network of deep and narrow mountain valleys with steep slopes, rocks, stony placers and screes is typical. 302. On the crests of ridges, there are circuses, kars, glacial and fern fields. The location of the hydro scheme is at the outlet of the Naryn River from the foothills to the plain. The location of the site is flat, slightly hilly, the average altitude above sea level is 530 meters. The left bank of the valley smoothly descends to the river, the right bank is steep and is cut by ravines and say’s. The terrain before the construction of the hydropower plant was desert. Before the hydroelectric complex, the river flows in a canyon with high steep banks, below the river cross section bank line, they drop and become shallow. 303. The Naryn River on the site of the HPP has a tortuous outline of the riverbed in the general meridional direction. The surface of the land within both banks is flat-wavy. In the cross section of the valley, three well-defined alluvial terraces are defined: the flood plain on both sides of the river, the third on the left and the fourth on the right bank. The terraces rise above the low-water horizon in the river Naryn at 2.2 and 45

m. The structure of the entire area is monotonous, represented by a complex of Quaternary deposits of horizontal occurrence, lined at a depth of 45-85 m by weakly dislocated Neogene clays. 304. The left bank of the Naryn River near the HPP complex is slightly billowy, located at absolute elevations of 528-531 m, corresponding to the third terrace surface of the Naryn River. The ledge of the terrace is relatively shallow (45-50*) and has a height of about 18 m, it descends directly to the floodplain of the river. The right bank of the river has a more pronounced billowy nature. Soils 305. Soil and vegetation cover is diverse and characterized by vertical zonation. Lowest areas of the oblast (from 500 to 900 m of the absolute altitude) are the deserts and semi-deserts. These soils are characterized by fine-grained structure, relatively low humus content and a high content of mineral nutrients. With irrigation, the soil is very fertile and cultivable for a wide variety of crops. The zones of lowlands occupy altitudes between 900-1,300 m asl. The cover soils are dark gray soils and are characterized by relatively high humus content. 306. The forest-steppe zone is located at altitudes between 1,000-2,200 m. Soils formed under the walnut forests have special features, especially they are rich in humus with high moisture capacity. Therefore, despite of the significant slopes, there is almost no surface run-off, and most of the melt and rainwater is absorbed into the soil. Unique walnut wood has a huge economic importance for this area. 307. The steppe zones occupy a large area and are used primarily as late spring and summer pastures. Gentle slopes and flat lands are used for irrigated grain crops. The subalpine zone occupies a large part of the mountain area in Jalal-Abad oblast and located at altitudes between 2,000 to 3,000 m. 308. Soil cover of subalpine zone is represented in areas occupied by various shrubs and meadows by brown mountain soils, and in areas occupied by spruce-fir forest by brown forest soils. Grass cover consists of flemis, groundsel, Phlomis oreophila (Kar. et Kir.), foxtail, and other species. Subalpine meadows are good summer pastures that can be used up to four months a year. 309. The alpine zone is the highest part of the mountain ridges and lies above 3,000 m asl. It is characterized by semi-peaty soil type. 310. Land suitable for agricultural comprises 1,835.5 thousand hectares (ha), of which 8.6% (157.85 thousand ha) is arable, 0.3% (5.51 thousand ha) are occupied by perennial fruit trees, 2.1% (38.55 thousand ha) is reserved for hay harvesting, 88.7% (1,628.1 thousand ha) is under pasture lands and 0.3 % (5.51 thousand ha) is used for other purposes. Natural Disasters 311. Dangerous natural processes and phenomena, depending on climate, relief, lithological features of rocks, intensity of manifestation of modern tectonics, etc., have a wide development in the region. In their distribution and development, there is a certain zoning, caused by tectonic and climatic factors. 312. In the high altitude and middle altitude mountain parts, where rock and semi-rocks are predominant, the development of landslides and rockfalls, screes, landslides, glacial muds, landslides, solifluction are forecasted. In the low-mountain, foothill, flat areas combined with loose and cohesive soils, development landslides, erosion, subsidence, flooding with groundwater, mudflows and floods is possible.

313. In the Jalal-Abad oblast, 41 to 147 emergencies occur every year, an average of 91- 92 annually. Emergencies caused by mudflows and floods account for 35.4%; landslides and rockfalls 9.4%; earthquakes of 4.8%; snow avalanches - 22.4%; dangerous meteorological phenomena 29.6%; technogenic accidents and large fires 19.2%. Seismic activity 314. Earthquakes, apart from direct impacts on buildings, structures, communications, are often accompanied by secondary impacts: such as landslides, landslides, rock falls, dam lake formations, dam damages, fires and other phenomena. 315. According to the Institute of Seismology of the NAS of the Kyrgyz Republic in the Gissar-Kokshala zone of southern Kyrgyzstan, the next phase of the manifestation of strong earthquakes may be observed in the period 2018-2021, with magnitude of 6-8 points by Richter scale. 316. The risk of dangerous events group of the II category is located along the Tars lineament and covers the densely populated areas of the east and north of the Fergana Basin, and the most dangerous are the following areas of expected earthquakes: Chust-Pap, Sumsar-Kassansay, and North-Fergana.

Figure 35.Map of probable seismic danger on the territory of Jalal-Abat oblast for 2011-2020. The area of the Project location is rounded in violet color. Source: Data of the Seismology Institute, National Academy of Sciences, KR 317. In the territory of the detected North Fergana district, there are such settlements as Jalal-Abat, Shamaldysay, Mailuu-Suu, Nooken, Tash-Kumyr, etc. From the beginning of 2007 and until 2010 in the areas of dangerous earthquakes of the indicated areas, there were three earthquakes with magnitude of 5-6 points by Richter scale.

Ecological resources 318. Walnut-fruit forests of Jalal-Abat oblast are the largest in the world and cover an area of 27,000 hectares. In these forests about 130 species of trees and shrubs, among them walnut, pistachios, almonds, pears, cherry plums, black currants and apple-trees can be found. The productivity of walnut forests is quite high. There are some hazel- nuts that can provide a yield of up to 200-400 kg per year. The age of these trees is more than 800 years, their height reaches 30 meters, with a trunk diameter of up to 2 meters. Flora of the Naryn River and UK HPP water reservoir 319. The area of the Project site is under strong anthropogenic impact. Natural ecosystems are everywhere replaced by agrocenoses and inhabited localities or ruderal landscapes with extremely depleted secondary plant communities, based on wormwood tarragon (Artemisia dracunculus), sisymbium, Scotch cotton thistle, Baby Blue eyes (Nemophila menziesii), Red Clover (Trifolium pretense), dandelions, shepherd’s-purse (Capsella bursa-pastoris), yellow star of Bethlehem, common reed grass (Phragmites communis), reed mace (Typha), etc. (see picture below).

Figure 36.Types of vegetation around and at the UK water reservoir and the Naryn River Fauna and Ichtyofauna 320. The Jalal-Abad oblast is located in the zone of steppes and deserts currently covered with arable agricultural land. This zone is inhabited by Turkestan rat and red-tailed sandpiper. To the east of the city of Jalal-Abad and the Kok-Art River, desert and semi-desert species can be found: reptiles - gray gecko (Cyrtodactylus), Turkestan agama, round head (Phrynocephalus), gray varan (Varanidae) and mammals - horseshoe bats (Rhinolophus), and the Hemprich's big-eared bat (Otonycteris). The remaining inhabiting mammals include synanthropic species: dogs, cats, sparrows, myna, crows, etc. 321. From among the mammals, the following species are represented here: gray rat, house and field mouse, gray hamster. Occasionally, representatives of wild fauna can be met: Turkestan rat, hare-Tolai, eared hedgehog, forest dormouse, fox, in winter - wolf. 322. Birds in the project area are represented more widely. Synanthropic species found in the project area: field and house sparrows, Afghan starling (myna), Eurasian blackbird (Turdus merula), large tit, magpie, rock pigeon (Columba livia), turtledove, sometimes a white stork can stay here for nestling. Representatives of wild species: lark, quail (Coturnix coturnix), bunting (Emberiza), common wheatear (Oenanthe oenanthe) and representatives of coraciiformes (Coraciiformes). In the fields, there are predatory

birds: a goshawk (Accipiter gentilis), a sparrow hawk (Accipiter ninus), common buzzard (Buteo buteo), long-legged buzzard (Buteo rufinus), a rumpet, a black kite (Milvus migrans), a snake-eater, a large spotted eagle, an ordinary kestrel, eurasian hobby (Falco Subbuteo) and common vulture. 323. Herpetofauna is represented by the following species: the lake frog, the green toad, the Central Asian tortoise, the gray gecko, the Turkestan agama, the deserted bare- eye (Phlegopsis), tesselated water snake (Natrix tesselata), the sand boa (Eryx), steppe ribbon snake (Psammophis Lineatriton), east steppe viper (Vipera renardi). 324. Several species of fish are found in the Toktogul, Shamaldy-Say and Uch-Kurgan water reservoirs; some of them local, others were introduced. One can meet the following fish species (Table 14 below): Table 14. Fish species in Jalal-Abad oblast (Types of fish in the reservoirs of Toktogul, Shamaldy-Say and Uch-Kurgan)

Name of fish (English) Latin Name Pike asp (Introduced in the Red Data Book of KR) Aspiusesocinus Chinese carp Ctenopharyngodon Silver carp Hypophalmichthys European mirror carp Ciprinus carpius Gibel carp Carassius auratus gibelio Stone loach Salmo Common marinka Schizothozax intermedia 325. The Turkestan catfish Glyptosernumreticulatum, which is also included in the Red Book of the Kyrgyz Republic, does not live in reservoirs, as this fish prefers a dynamic habitat. This species, most likely, lives in the mountain rivers flowing into the Toktogul, Uch-Kurgan and Shamaldy-Say reservoirs, rather than in artificial lakes around the hydroelectric power station with their relatively inactive environments. Red Data Book 326. According to the Red Data Book of the Kyrgyz Republic, in comparison with other regions of the republic, the largest number of plant species included in the national Red Data Book grow in Jalal-Abad oblast, the territory of which belongs to the Wester Tien Shan domain. Taking into account that this area is a highly valuable from the viewpoint of the world’s gene pool preservation issues, a Central Asian transboundary project funded by the international donor community had been implemented in 2001- 2006 to protect the endangered species of the West Tien Shan, including first and foremost, those inhabiting Jalal-Abad oblast. The number of endangered plant species in this oblast is more than their total number in the rest oblasts of Kyrgyzstan (46 and 37 respectively). 327. In spite of the fact that during last several years, some mammals and birds, which were included in the Red Data Book, ceased decreasing in their population number, there are still many other species which require rigorous protection measures. 328. List of endangered species inhabiting areas near and in the Project area is provided in the Annex to this report. Specifically, in the Project area, there is the only Red Data Book species inhabiting direct vicinities of the Uch-Kurgan water reservoir, which is provided in the Table 15 below:

Table 15. Red Data Book species inhabiting direct vicinities of the Uch-Kurgan water reservoir Avifauna White stork Coconia coconia Белый EN, IV category Outskirts of Jalal-Abad and Osh (Linnaevus, 1755) аист oblasts, Shamady-Say settlement 329. The white stork remained in small numbers in the Pry-Fergana areas of Jalal-Abad and Osh oblasts, on the border with Uzbekistan. In 1999, 2003 and 2004 an increasing colony was found along the Bishkek-Osh road (near Shamaldy-Say settlement). The stork lives in the foothills and in the plains of river valleys in the cultural landscape. Before, the main part of the nests was located in the old human settlements, now the birds have been utilizing the poles for this, on some of which 2-3 nests have been built. There are no data on the number in Kyrgyzstan, presumably 10-20 couples in total. Protected Areas in vicinities of the Project Site 330. In accordance with the Law of the Kyrgyz Republic “On Special Protected Natural Areas” No. 18, dated March 3, 2011 are the " …. territories and/ or water areas of priority environmental, scientific, cultural, aesthetic and historical significance that represent national endowment, in whole or in part, permanently or temporarily withdrawn from economic activities, for which a special regime/conditions of protection and use are established”. 331. In Kyrgyzstan, the network of specially protected natural areas is arranged on a total area of 1,189,360 ha or 6.3% of the total area of the country. Among them, there are 10 state reserves, 9 state natural parks, 10 forests, 23 botanicals, 19 geological, 2 complex and 14 hunting (zoological) sanctuaries (zakazniks), and the Biosphere Reserve “Issyk-Kul”. 332. Specially protected natural areas located in the Jalal-Abad oblast are as follows: Table 16. List of specially protected natural areas in Jalal-Abad oblast

№ Name of the protected area State Natural Protected areas Sary-Chelek Biosphere Reserve 1. State Natural National Parks Besh Tash 2. State Botanical Sanctuaries-Zakazniks 3. Jel Tiibes 4. Rjazan Say Forest and Hunting Sanctuaries – Zakaniks 5. Uzun-Akmat 6. Batrahan 7. Sandalash Source: Altas of West Tien Shan Biological Diversity. Central Asia Transboundary West Tien Shan Biodiversity Project. World Bank-Global Environment Facility. Bishkek. 2005 333. Sary-Chelek Biosphere Reserve is located on the southern slopes of the Chatkal Range. It was formed in 1959 to preserve the walnut-fruit forests. Its lowest point lies at an altitude of 1200 m above sea level, the highest point is at an altitude of 4247m

(Mount Muztor). More than 1,000 plant species grow in the reserve; up to an altitude of 2100 m above sea level, nut-fruit forests and apple forests dominate. Higher, at an altitude of 2100-3000 m, there are subalpine belts that cover juniper and spruce forests, and grassy meadows. In some areas walnut forests are a kind of geobotanical museums, in which one can find species of woods typical for Siberia and different places of Tien Shan. On the lakes, in spring and autumn, one can observe many waterfowls. 334. There are also other 6 natural sites located in the region, in relatively far distances from the Project site, but also should be indicated here. 335. All natural protection areas indicated in the last table are located at such a distance that any impacts caused by rehabilitation activities (including impacts from the movement of trucks) may be excluded. None of the wetlands mentioned in the Ramsar Convention are observed within the subproject implementation area.

Figure 37. Natural Protected areas around the Project site Source: Altas of West Tien Shan Biological Diversity. Central Asia Transboundary West Tien Shan Biodiversity Project. World Bank-Global Environment Facility. Bishkek. 2005.

Social, cultural and economic resources Infrastructure 336. The geographic location of the Kyrgyz Republic in Central Asia provides favorable conditions for the use of existing transit transport corridors. Their further development is expected in the transit increase, and provision of high-level services. The length of motor roads in the Kyrgyz Republic is 34,000 km, of which 18,000 km are of common use. In the common network of freeways, a special role for the country's economy belongs to the highways of international importance. The length of the indicated motorways is 4,160 km, and more than 1,600 km of them belong to the sub-regional transport system of Asian and European roads (ESCATO, TRASECA), and the international highways of the CIS. One of the most strategically important transport routes is Bishkek-Osh road, approximately 678 km long. This highway connects the north and south of the country and forms a common economic and political space.

Figure 38. Bishkek-Osh Road, section in Jalal-Abat Oblast 337. In the Kyrgyz Republic, there are well-developed and extended power lines with a length of 6,600 km, with a voltage of 110 kV and more, as well as 190 substations, with a voltage of 500, 220 and 110 kV. OJSC "National Electric Networks of Kyrgyzstan" (NESK) performs electricity supply from all domestic HPPs to four national distribution companies, 68 direct consumers, as well as import and export through various international transmission lines 500, 220, 110, and 35 kV to neighboring countries: Kazakhstan, Uzbekistan, and Tajikistan.

Figure 39. High voltage electricity transmission lines of the country in Jalalabat oblast 338. The power transmission system of JSC "NESK" is integrated with the United Power System of Central Asia. The system is based on the 500 kV Ring, expanded with common 220 and 110 kV networks. Historical and Cultural Heritage 339. The Kyrgyz Republic from the earliest times was a part of the Central Asian civilization and an important junction that unites international, diplomatic and cultural traditions and contacts of the West and the East countries. Situated in the very center of the Great Silk Road, the Kyrgyz Republic adopted the cultural achievements of various ancient civilizations. 340. Various archaeological sites in the Kyrgyz Republic are an integral part of the World Cultural Heritage. In Jalal-Abad oblast, there are several places of religious worship and historical monuments that date back to the 11th-12th and 17th centuries: Mausoleum "Shah-Fazil" (XI-XII centuries.), located near the village Safid-Bulan, Ala- Buka district. 341. The "Archa-Mazar" mountain, located near the Mausoleum, is an object of worship for the Muslims throughout the Fergana Valley. Mausoleum of the Prophet Idris and his standard-bearer is located near the village of Jani-Bazar in the Chatkal district and belongs to the beginning of the XVIII century. Near the Mausoleum, there is also a mosque. 342. Rock paintings (petroglyphs) in the National park of Saimaluu-Tash represent a huge collection of petroglyphs of the Bronze Age, Saka, Huns and Sarmatians (II-I millennium BC). Population of Kyrgyzstan and Jalal-Abat Oblast 343. According to estimates, the number of the resident population of Kyrgyzstan at the beginning of 2017 was 6 million 140 thousand people, one third of the population (33.8%) lived in urban settlements and two thirds (66.2%) - in rural areas. Thus, according to the share of the rural population, Kyrgyzstan is one of the agrarian countries. The resident population of the Jalal-Abad oblast at the beginning of 2017 was 1 million 168.7 thousand people, which is 19% of the total population of the republic. Just over a fifth of the permanent population (21.7%) lived in urban settlements and more than three-quarters (78.3%) - in rural areas. Thus, the share of the rural population of the Jalal-Abad oblast is higher than the average for the republic.

344. Demographic processes taking place in recent years in the Jalal-Abad oblast, are characterized by relatively high population growth due to the high birth rate, which provides the expanded reproduction of the population. The rate of population growth in the country as a whole was 2.0 percent, which, according to world standards, is quite high. 345. The ethnic composition of the population in the region is as follows: Kyrgyz constitute 71.9% of the total population; Uzbeks - 25.6%, Russians, Turks and Tajiks at 0.6%, Uighurs 0.3%, Tatars 0.2%, others 0.5%6. 346. The change in the total population of the country is significantly influenced by migration. For 2012-2016 years. The negative balance of migration outflow from the country was about 31 thousand people. The main countries of emigration of the population of Kyrgyzstan are Russia and Kazakhstan7. 347. The poverty level in 2016. in the whole country it was 25.4%. The value of the total poverty line in 2016 was 31151 KGS per year per capita, the extreme - 17052 KGS. Beyond the poverty line in 2016. lived 1 million 557 thousand people, of which 74.0% were residents of rural settlements. The level of extreme poverty in 2016 was 0.8 %. Beyond the extreme poverty line in 2016. lived 49 thousand people, of which 85.4% were residents of rural settlements8. 348. The influence of the external factor on the material welfare of the population of the southern regions is obvious. Calculations show that when the income of labor migrants is excluded from the cost of consumption, the average poverty level in the republic increases 24.5 to 31.5 %. At the same time, poverty in Jalal-Abad will increase from 32.2% to 39.9%. 349. A significant impact is income of labor migrants to extreme poverty, with the exception of which the level of extreme poverty increases from 0.8 to 5.0 %. The probability of the household falling into the category of the poor is affected by the size and composition of the household. Low per capita income is associated, as a rule, with a high coefficient of dependency and a large household size. The average household size in Jalal-Abad oblast is 5 people9. Economy of Jalal-Abat Oblast, including agriculture 350. The economy of Jalal-Abad oblast is represented by industry, agriculture, construction, transport, communications, trade, public catering. The industrial sector of the region includes all major hydroelectric power stations in the country; virtually all oil and gas production, refining; light and food industry; coal industry; sewing and footwear industry; processing with / of economic products, production of building materials, etc. Intensive exploration and production of minerals (gold, oil, coal, gas, etc.) is conducted in the region.

6 Source: Demographic Yearbook of the KR. 2012-2016». Bishkek 2017. P. 101. 7 Source: Demographic Yearbook of the KR. 2012-2016». Bishkek 2017. Pp.280-282. 8 The Kyrgyz Republic National Statistical Committee's integrated sample survey data of households budgets and workforce (5016 households coverage).. 9 Data of the Kyrgyz population census in 2009.

Figure 40. Arable lands in Jalal-Abat oblast 351. In the years of the USSR, the Jalal-Abad oblast was the most developed industrial region. Currently, the production of industrial products of Jalal-Abad is only 9.6 % of the total volume of industry of the republic. 352. There are 178 industrial enterprises operating in the territory of the Jalal-Abad oblast, engaged in the following economic activities: extraction of minerals - 53 enterprises; manufacturing industry - 96 enterprises; provision (supply) of electricity, gas, steam and air conditioning - 11 enterprises; water supply, purification, waste treatment and recycling - 18 enterprises10. Agriculture 353. The following agricultural products are produced in Jalal-Abad oblast: cereals, corn; rice; leguminous plants; raw cotton, oil crops, potatoes, vegetables; melons, fruits and berries; meat, milk; eggs, and wool. 354. The area under cultivation in the Jalal-Abad oblast is 152.2 thousand hectares or 12.8% of the total acreage in the republic. The number of active subjects in the agriculture of the Jalal-Abad oblast is only 96,128; 21 - forestry; 23 - fishing. State and collective farms produced 1.2% of production, personal part-time farms 25.7%, and peasant farms - 73.1%. 355. The number of employed population divided by the territories, in 2016, in the country was 2363.7 thousand people; in Jalal-Abad oblast - 402.7 people, or 17.0% of the total number in Kyrgyzstan. 356. The number of employees of enterprises and organizations in the Republic is 595,300 people and 80,900 people in the Jalal-Abad oblast, or 13.6% of the total in the country. The number of registered unemployed in Jalal-Abad oblast was 13 775 people, which makes about a fifth (24.8%) of all registered in Kyrgyzstan. Infrastructure of the oblast 357. The main contribution to the economy is made by electricity from the cascade of hydroelectric power stations and reservoirs on the Naryn River: Toktogul HPP,

10 Statistical digest "Industry of the Kyrgyz Republic in 2012 - 2016", Bishkek 2017, p.30

Kurpsay HPP, Tash-Kumyr HPP, Uch-Kurgan HPP, which generate over 80% of the total power generation in the country. The capacity of all power plants was 4309.3 million kW. in the republic in 2016, including hydroelectric power stations - 3676.8 million kW. h. Electricity production was 13118.4 million kW. h, including hydroelectric power stations - 11497.8 million kWh. 358. Electricity consumption in 2016 as a whole in the republic was 13305.5 million kW. Of these, 41% by industry, 23.4% by agriculture, 16.9% by the social sector, 0.8% by construction, 0.5% by transport, 1.5% by the Republic and by 1.5% the total loss was 17.3%. 359. By implementing the above projects, in addition to improving energy supply and increasing the republic's energy capacity, conditions are created for organizing new production facilities based on the region's material resources and increasing electricity exports to the countries of Central Asia and, in the long term, to Pakistan and China. Population, economy and infrastructure in Shamaldy-Say 360. The population of the settlements adjacent to the Uch-Kurgan HPP and the reservoir is 83647 people. The total number of households in settlements adjacent to the Uch Kurgan HPP is 12,495.

10595 4216 MEN 6048 20004

10946 4207 WOMEN 7221 20410

0 5000 10000 15000 20000 25000

Uch Kurgan AO Dostuk AO Shamaldysai Tashkumyr

Figure 41. The population of the territories adjoining the Uch Kurgan HPPs in the context of men and women Source: Passports of the city of Tash-Kumyr, Shamaldy-Say village, Dostuk Ail Okmoty, Uch- Kurgon Aiyl Okmoty 361. In the project area, extremely poor are 1,163 families (8.6% of the total number of households) with an income of up to 910 soms per month per family member. The second category includes 1736 families (13%), having a monthly income per member of the family from 911 to 1519.1 KGS. The third category includes 1715 families (13%) who have income from 1520.1 to 2631.1 som per family member per month.

40000 35000 36425 30000 25000 20000 15000 19687 10000 5000 7894 6890 2696 1816 1398 1686 1293 416 135 10 0 KYRGYZ UZBEKS OTHER

Tashkumyr Shamaldysai Dostuk AO Uch Kurgan AO

Figure 42. The national composition of settlements adjacent to the Uch Kurgan HPP Source: Passports of the city of Tash-Kumyr, Shamaldy-Say village, Dostuk Ayil Okmotu, Uch-Kurgon Aiyl Okmotu 362. The most vulnerable households and / or people: single families of the elderly, single- parent families, survivors of gender-based violence, pregnant women; orphans and / or runaway children; widows / widowers, chronically ill and / or people with limited mental or physical abilities, people with alcohol and drug addiction, people without means of subsistence. The socio-economic situation of the territories adjoining the Uch-Kurgan HPP 363. The Uch-Kurgan HPP and the adjacent reservoir are located at the junction of the Aksy and Nooken districts of the Jalal-Abad oblast and the territorial department of the mayor's office of the city of Tash-Kumyr. On the right side of the Uch-Kurgan HPP is the village of Kum Uch-Kurgan Ayl Aymak Aksy district. On the left side of the Uch- Kurgan HPP and the reservoir, the village Shamaldy-Say is located, which is a part of the territorial department of the Tash-Kumyr city administration and Yntymak village, Dostuk Aiyl Aimak of the Nooken district. 364. The city of Tash-Kumyr is located in the north-eastern part of the Fergana Valley, on the north-west side it borders on the Aksy district, from the north-east with the city of Kara-Kul, and from the east with the Nooken district. The city is located on the right bank of the Naryn River (the Syr Darya River basin). The city covers an area of 48.3 square meters km and is located at an altitude of 585 meters above sea level. 365. Near the city is the Bishkek-Osh road. The distance to the city of Bishkek is 450 km, and the city of Jalal-Abad is 129 km away. The city is connected by a railway branch (33 km) on the Andijan-Namangan line with the Uch-Kurgan railway station of the Republic of Uzbekistan. 366. The city of Tash-Kumyr is a city of regional subordination. The first settlements at the present location of the city Tash-Kumyr arose in the pre-revolutionary (1917) period with the beginning of the discovery of coal deposits. In 1930, when a coal basin discovered in the region, a small mining village was established. The development of coal mining began in the 1930s after the construction of the Tash-Kumyr-Andijan railway. In 1933 the Tash-Kumyr mine department was founded in this settlement. In 1943 the settlement got the status of a city. 367. In the 1960s, with the beginning of the construction of the Uch-Kurgan HPP, and then the Toktogul HPP, Tashkumyr became a city not only for miners, but also builders and power engineers (the city of Karakul until 1968, as an urban settlement, was

administratively subordinated to the city of Tashkumyr). Then, a tobacco-fermentation plant and other industrial facilities were built. 368. Since 1982, the construction of a plant of semiconductor materials for the production of trichlorosilane, silicon tetrachloride, polycrystalline silicon, and synthetic quartz crucibles was started. This plant was to become one of the largest in the world in silicon production. In 1989 the plant was put into operation. Due to the collapse of the USSR, the plant never reached its designed capacity. At present, this plant has ceased to exist. The industrial branches of the city were coal mining, hydropower, chemical production, tobacco leaf fermentation, construction, transportation and others. Currently, many enterprises are not functioning or have changed their profile and have been replaced by small and medium-sized businesses. 369. Tash-Kumyr consists of 7 territorial administrations, 5 villages: Tendik, Kuduk-Say, Chuyut-Say, Kashkulak-Say, Kyzyl-Alma, and 2 villages of Shamaldy-Say and Kyzyl- Dzhar. 370. The representative body of the city is the Tash-Kumyr city council of deputies, consisting of 31 deputies, and has 5 commissions. The executive-administrative body is the mayoralty of the city of Tash-Kumyr. A total of 26 employees in the management apparatus, including 11 women: 4 – technical office personnel, 5 - clerical personnel. 371. The village of Shamaldy-Say is part of the territorial department of the city administration of Tashkumyr. The village of Shamaldy-Say borders on the west with the village of Kum Uch-Korgon Aiyl Aymak Aksy rayon and the Uzbek Republic; in the south-east - with Dostuk Aiyl Aymak Nooken district; and the northern side - with the city of Tash-Kumyr. The total area of the village is 682,992 m². The village of Shamaldy-Say emerged during the construction of the Uch-Kurgan HPP, which became a town-forming enterprise for the village. And now Uch-Kurgan HPP continues to perform some functions to ensure the life of the village. Shamaldy-Say received the status of urban settlement in 1957, and in 2012 Shamaldy-Say’s urban status was transferred to the status of the village. The main job of the local people is commerce, agriculture, catering, education, health, etc. 372. Ayil Aimak Dostuk is a part of the Nooken district. The total area of Aiyl Aymak's area is 3,233 hectares. Dostuk Ayl Aymak includes 6 villages: Shamaldy-Say, Kyzyl-Tuu, Dostuk, Kuduk, Shyn-Say, and Sary-Kamysh. Aiyl Aymak is located at an altitude of 700 meters above sea level. The distance between it and the oblast center is 70 km. The main occupation of people is agriculture. 373. Aiyl Aymak Uch-Kurgon is part of the Aksy district. The total area of Uch-Kurgan Aiyl Aymak is 21,229 ha. Aiyl Aymak is located at an altitude of 700 meters above sea level. The distance to the regional center is 70 km, to the regional center - 120 km. Directly to the Uchkurgan power plant adjoins the village of Kum Uch-Kurgan Aiyl Aimak adjoins. The main occupation of people is agriculture. 374. Downstream of the Naryn River from the UK HPP on the left side is a quarry formed during the construction of the Uch Kurgan HPP. Gradually, this quarry has become a wasteland and garbage dump from the nearest production complexes. After the events of 2010 (a large interethnic conflict), this wasteland was divided into plots for the construction of residential buildings. Altogether, the territorial administration of the village of Shamaldy-Say allocated 136 parcels of 4.5 hectare. Infrastructure of the Oblast 375. In Jalal-Abad oblast, automobile, railway, aviation and pipeline transport are developed. Of these, a special place is occupied by road transport. The geographical location of the Jalal-Abad region makes it a transport corridor between the northern and southern regions, as well as to China, Uzbekistan, Tajikistan and further to

Afghanistan. Due to the fact that the country is located in high-altitude conditions, the main means of transportation in Kyrgyzstan is road transport. According to the National Statistics Committee, 96.6% of freight and 98% of passenger transportation of the country are provided by motorways. The importance of road transport remains the most important factor of sustainable socio-economic development of the country, one of the main tools in solving the economic and social tasks of the country. One of the most strategically important highways is the Bishkek-Osh highway, which is about 678 km long. It connects the North and South of the country and forms a single economic and political space. 376. There are railway lines on the territory of the Jalal-Abad oblast: Kara-Suu-Jalal-Abad- Kok-Yangak and Namangan (Uzbekistan) -Uch-Korgon-Tash-Kumyr. The length of railways is about 424 km. Rail transport accounts for about 3% of turnover. Despite their limited length, these roads play an important role in establishing economic ties with other countries. The construction of an alternative highway "Balykchy-Jalal- Abad", 74 km of which from 143 km pass through the Jalal-Abad oblast, has been started. 377. In Jalal-Abad, in the villages: Kazarman, Kerben, Kanysh-Kya, there are airports that connect these settlements with Bishkek. In addition, Jolal-Abad has air links from the cities of Karakol, Cholpon-Ata and the village of Kazarman. 378. On the territory of the Jalal-Abad region, a gas pipeline has been laid. There are main gas pipelines Mailuu-Suu-Jalal-Abad-Kara-Suu-Osh on the territory of the country. Pipeline transportation accounts for 1.5% of turnover. 379. In Kyrgyzstan, the total length of lines with a voltage of 110-500 kV is 7,513 km. The National Electricity Transmission Company "National Electric Grids of Kyrgyzstan" (NEGK) provides electricity from all domestic hydropower generating plants of four national distribution companies, 68 direct consumers, as well as import and export through various international power transmission lines from 500, 220, 110 and 35 kV to neighboring countries: Kazakhstan, Uzbekistan and Tajikistan. The electricity transmission system of OAO NEGK is integrated into the Common Electrical System of Central Asia. The system is 500 kV, with looped common 220 and 110 kV networks.

5. ANALYSIS OF ALTERNATIVES 380. Uch Kurgan HPP is in the Jalal-Abad oblast, close to the border with Uzbekistan. Uch- Kurgan HPP is a project of significant value for Kyrgyzstan. Located at the lowest level of the cascade of HPPs on the Naryn River, UK HPP, is one of the water-energy system parts and provides required energy outcomes, as well as increasing the guaranteed water-yield to consumers in the lower part of the river. 381. Uch Kurgan HPP has been commissioned in 1962 and the capacity installed is 180 MW, with 4 Kaplan turbine units of 45 MW. The power plant is mainly operated to produce base load power for Kyrgyzstan and Uzbekistan, and is connected to the 110kV transmission system. 382. Therefore, in this context, it is necessary to consider two main alternatives: "Modernization" (“With Project”) and "No action option" (“Without project”). ‘Without project’ 383. Without substantial revision or improvements of the equipment, the powerhouse and appurtenant structures have been progressively degraded. The capacity of one of the four units is limited to 37 MW. All the electrical and mechanical equipment installed in the powerhouse is outdated and worn out. 384. Besides, the reservoir has lost its storage capacity due to sediment deposits in the reservoir. The live storage capacity is reduced and the powerhouse is operating as run-of-river plant whereas three of the eight bottom outlet gates are not operational. 385. In the ‘without-project’ scenario, the existing UK HPP will be degraded, exposed to critical risks of incidents that may result in increasing failures and possibly breakdown. The without-project scenario thus assumes decrease in energy generation and increase in OPEX costs. 386. In the ‘without-project’, no CAPEX is foreseen for the rehabilitation of UK HPP. 387. In the ‘without-project’ configuration, the annual OPEX costs will be higher than in the configuration ‘with-project’. Firstly, without rehabilitation, the incidents and outages will be significantly multiplied and will require more spare parts. 388. Besides, the modernization and automatization of the UK HPP will decrease the cost of staff on site. The OPEX of the ‘without’ project is taken 20% higher than the ‘with project’ OPEX. ‘With project’ 389. The positive impact is aligned with increased reliability of national and regional power systems (National Sustainable Development Program, 2013–2017). The outcome will be improved operational performance of the Kyrgyz Republic’s power sector. 390. The proposed Uch Kurgan HPP Modernization project aims to (i) increase supply of renewable energy to meet growing demand, and (ii) improve energy security by enhancing supply reliability. 391. To this purpose, the following works are planned: (i) rehabilitation of Uch Kurgan HPP and civil structure by upgrading the powerhouse equipment; (ii) addition of a generation capacity to the powerhouse. 392. The project’s physical outputs will be (i) the renovated Uch Kurgan HPP and civil structures, (ii) the added generation capacity to the powerhouse. The Uch Kurgan HPP rehabilitation is expected to result in (i) a fully-refurbished plant operational for an additional 40 years, (ii) increased generation capacity by 220 MW, (iii) improved

domestic and regional power supply reliability, (iv) additional irrigation or drinking water, and (v) increased safety of the dam. 393. The modernization of the UK HPP will increase the energy generation by upgrading the powerhouse hydro electromechanical equipment and adding energy generation capacity to the powerhouse, the OPEX costs will decrease. 394. All the equipment proposed for modernization is modern and meets the requirements of quality and reliability. 395. Also in this alternative, the treatment of the reservoir is considered. 396. As a result of the treatment of the reservoir, the useful volume of the reservoir will be increased, the reliability of the HPP will increase at the existing working water level, the safety of the dam will increase, due to cleaning and repair of bottom spillways. 397. When cleaning the reservoir, the sediment will be excavated to the surface. In order to ensure the safe and environmentally sustainable management of sediments, the project considers two management scenarios. • Scenario 1 – No Contamination • Scenario 2 – Contaminated Sediments 398. Which of these scenarios will be applied at the design and implementation stage of the project will be determined after the laboratory analysis of the sediments for their contamination at deeper layers. This laboratory analysis will be carried out before the dredging works. 399. This document considered the action plan for each of the scenarios.

ALTERNATIVE DREDGING TECHNIQUES 400. Specific cutterheads (CSD). Cutter suction dredging appears to be the most efficient way to dredge the required material volume and transport it considering the project constrains (water depth, limited discharge area possibilities, surrounding city). We saw that the turbidity generated by a cutter suction dredger is close to the bottom, but the cutting head still has to mechanically put material in suspension to be able to hydraulically transport it as a liquefied mix of soil and water. The spillage can be limited by using cutting heads that will contain the material in suspension (Figure 45).

Figure 43. Example of low impact cutter heads (left: disc bottom dredger, right: Scoop dredger) 401. Although this solution would reduce the turbidity, it is to be checked if they can be deployed considering the other project constrains. Such cutter heads are very heavy and they would need to be installed on large vessels to be used at required water depth.

402. Other dredging method may generate less turbidity than suction dredging. A backhoe dredger with environmental seal bucket would generate less turbidity as it would not need to put sediment in suspension to remove them. The principal is that the bucket is completely closed after collecting material limiting spillage to the minimum.

Figure 44. Dredging crane on pontoon with environmental bucket 403. Although this equipment is more efficient regarding turbidity, they have not been considered as they have very low production and would not be able to reach all sediment of the reservoir. To date only a grab dredger (similar to a wire crane) could be able to reach the required water depth but it would not be able to dredge below the road bridge. The extracted material would have to be placed in barges and would need to be rehandled before reaching the storage location several kilometers away from the dredge site. 404. Another solution that was considered during the dredging methodology study, is the use of a subsea pump that can be fitted with a bell physically containing the turbidity. This solution could be very interesting for the Uch Kurgan HPP reservoir dredging as it requires only a small pontoon with an A-frame for deployment.

Figure 45. DragFlow subsea pump with turbidity bell 405. Similarly, to a cutter suction dredger, the material is mobilized close to the bottom and isolated from the river flow when travelling through the water column. The method has not been selected as it can only be deployed vertically and dredging below the road bridge would remain challenging. Moreover, this method is not successful in dredging consolidated, hard material.

6. ANTICIPATED ENVIRONMENTAL IMPACT ASSESSMENT AND MITIGATION MEASURES Methodology 406. The Project has been classified by the ADB as Category B for environment, as impacts are anticipated to be less adverse, site-specific, mostly reversible, and in most cases can be mitigated. This section includes the identification of potential impacts, analysis of their nature and severity, and identification of appropriate mitigation measures to address them. 407. This section provides information on the impact assessment methodology and process adopted for the assessment of project impacts and determination of their significance. 408. Development of mitigation measures for identified significant effects are set out, and any residual significant effects are reported. 409. The assessment findings are based on all mitigation measures presented in this document being fully implemented as part of the project implementation. All mitigation established in the report are considered committed mitigation once the report has been approved by ADB. The commitments made within the IEE become a binding part of the contract and grant agreement. 410. As many of the potential impacts of this project relate to the project implementation phase, then consideration of the need for an update of the findings of this IEE shall be made once the contractor is appointed and his working methods, proposals for camps and locally negotiated borrow pits and waste disposal areas have been made. 411. The mitigation measures provided in this IEE shall be considered as high level in many cases and will need to be refined by the contractor during the development of Site Specific Environmental Management Plans. 412. The IEE includes an environmental management plan (EMP) based on identified potential impacts, their characteristics, magnitude, distribution and duration, sensitive receptors and affected groups. The EMP will address potential impacts and risks identified by the environmental assessment through appropriate mitigation measures aimed at minimizing, reducing and mitigating that will occur throughout the project cycle. 413. Assessment of Impact Significance - A significant effect may be broadly defined as one which should be brought to the attention of those involved in the decision-making process. The determination of significance of an effect uses a two-dimensional matrix based on the parameters of impact magnitude and value/sensitivity of the receptor. The proposed assessment uses a matrix for determining the significance of impact. Significance is therefore a function of the value or sensitivity of the E&S receptor. Table 17. Matrix for Determining the Significance of Environmental Impacts E&S Value- International/ National/ Regional/ Local/Low sensitivity Extreme High Moderate vs Impact magnitude Major HIGH HIGH MEDIUM LOW

Moderate HIGH MEDIUM MEDIUM LOW

Minor MEDIUM MEDIUM LOW NS

Negligible NS NS NS NS

414. The impact assessment has utilized the following semantic definitions of the significance terms High, Moderate and Low. They are based on the terminology used in international principles and guidance and on the geographical context of the effect: • High – An environmental effect that has importance at international or national level and is irreversible or unprecedented; • Medium – An environmental effect that has importance at a regional scale and/or one that can be readily reversed with intervention and is limited to the site boundary and immediate surrounding area; • Low - An environmental effect that is only important in a local context, which is readily mitigated, and it occurs only within the boundary of the project; and • NS – An environmental effect that is considered non-significant. 415. Significant adverse effects occur where valuable or sensitive receptors, or numerous receptors, are subject to impacts of considerable magnitude and duration. Some effects will be temporary, others are permanent in nature and these will be stated in the assessment. 416. Hierarchy of Mitigation – Figure 39 shows the Hierarchy of Mitigation as defined by the World Bank Group. This is based on the principle of avoidance of impacts through design, followed by minimizing impacts through mitigation, and finally offsetting impacts that cannot be mitigated fully.

Figure 46. Hierarchy of Mitigation 417. The above hierarchy has been incorporated into the IEE process for the current project. The mitigation set out in this document is committed and will form part of the contract documentation. 418. The results of the assessment are present in the following sections. Main Impacts and risks 419. The proposed modernization works will be within the boundaries (footprints) of the existing HPP site and these are relatively remote from sensitive receptors except water body – Naryn River. 420. The proposed modernization project will have standard impacts from construction activities: minor noise and dust, possible pollution the surface water, waste generation

(asbestos, scrap metal, domestic and industrial waste). Asbestos is an issue due to potential health problems for workers. 421. The proposed rehabilitation of the bridge will increase ambient level of noise and vibration, dust, waste generation, and generate potential temporary disruption of the road traffic movement. 422. Sediment removal will cause increase level of turbidity in water, potential impacts on the natural habitats of biodiversity, and storage issues as the volume of excavated sediments is significant. Impacts will be severed if sediments are found to be contaminated, which was not revealed by the analysis performed in the frame of this IEE. 423. Excavation of sediments may lead to a temporary disruption of the water supply system for Shamaldy-Say. 424. Excavation of sediments may also lead to the disruption of the water irrigation system supply during dredging activities, as numerous pumping stations are located on the reservoir. 425. During operation of the rehabilitated Uch Kurgan HPP (after completion of the project), the increase of the design discharge of the power plant (from 760 m3/s to 880 m3/s as expected) will allow the dam to modify its normal operation rules. Usually, Uch Kurgan power plant operates at its maximum capacity during winter time (from December to February) while during summer time, the water release is quite low as the power plant does not produce much energy. With an increase of the design discharge, it can be envisaged that during winter time (December, January and February), the power plant will operate at its full capacity (880 m3/s) within peaking periods, depending of the water availability (and depending of the whole Naryn River cascade operation). It corresponds to an increase of water release of about 15%. Even if significant, such an increase of water release has already been experienced by the downstream area during the last 10 years, as presented on the below figure (the figure presents the actual mean, max and min Naryn river regime downstream of Uch Kurgan observed since 2007 - no data is available for older period). As a consequence, the resulting downstream hydrological impact of a potential increase of discharge operations falls within the existing framework.

Figure 47: Naryn downstream river regime

Detail of impacts and mitigation measures during design, rehabilitation works and dam operation Table 18. Assessment of Impacts and mitigation measures Receptor HPP’s and associated infrastructure facilities modernization and reconstruction Impact Description Receptor Value/ Significan Mitigations measures Cost Sensitivity ce Design stage Biodiversity Dredging works may cause Local/low Low Before commencing work, the HPP will undergo with field HPP budget disturbance to local avifauna. investigations with ornithologist to define preventive and Biodiversity issues are about: loss of monitoring measures as necessary (no vegetation clearance habitat, and indirect impacts such as during breeding season and monitoring of nesting activity during noise, lighting, visual disturbance during noisy dredging procedures) construction activities Rehabilitation works stage: dredging works Water courses - Dredging works may cause increased Regional/ Medium Use best dredging methods according to technical HPP budget water quality turbidity upstream and downstream Moderate specifications (including silt screens), permanently monitor the downstream turbidity and design a “stop operation procedure” in case of excess of turbidity downstream.

General Pipeline installation and trucks Regional/ Medium EPP/HPP shall develop a specific traffic management plan in HPP budget environment/local movements for transport of sediments to Moderate coordination with local authorities to access the final deposit population temporary and definitive storage areas area, with specific measure to reduce nuisances and avoid dust: may cause various risks and construction traffic speed limit when passing through populated nuisances for the population (local areas, watering of dusty tracks and roads, noise limitation traffic annoyance, noise, dust) as well through appropriate organization of work, movement of the large as air pollution. Most significant impact trucks from 22:00 to 6:00 not permitted. are related to the trucks movement between temporary and final deposit areas, as the pipeline to the temporary site will not impact the traffic and the distance is low. General Dredging works and sediment storage Local/Low Low Continuous monitoring during works and drying process of HPP budget environment may cause odor impact. According to sediments to identify potential troubles, and use of aeration the results of the laboratory analysis, techniques of sediments during disposal phase if odors occur. nutrients are kept in small amounts, thus the decomposition of organic substances will be minimal, accordingly, the odor impact will be insignificant. General Temporary and final sediment deposit Regional/ Medium Environmental scoping of the permanent disposal area including HPP Budget environment areas are public lands to be secured by Moderate fauna/flora, landscape issues and local acceptance. EPP and local Authorities. Dewatering of 91

Receptor HPP’s and associated infrastructure facilities modernization and reconstruction Impact Description Receptor Value/ Significan Mitigations measures Cost Sensitivity ce sediments (no contamination case) by infiltration on the temporary site will result in neutral environmental impacts, due to the location within industrial area. Final disposal of sediment is assimilated as backfilling of quarry with few constraints other than local issues. General Handling and storage of bottom Regional/ Medium Conduct sediment sampling and analysis in deep layers of HPP budget environment sediments from the UK water Moderate the reservoir and prepare sediment management plan in case reservoir may be contaminated and of contamination of sediments (see sediment disposal scenarios considered as dangerous for the within project description section). environment Local economy/ Disturbance of the water irrigation Regional/ High Preparation working schedule of dredging activities need HPP budget irrigation supply system during dredging Moderate various approvals from local authorities (no dredging works in works. The pumping stations in the irrigation period without approval), adequate timeframe of irrigation canals which are located in the operations, and corrective measures in case of non-operation reservoir upstream of the river (stat level of the water intake in irrigation channels and other pumping 540 - 540.5 m) supply a large number of stations located on the reservoir during dredging works. villages for irrigation water. Lowering the water level in the reservoir by 15 m due to dredging operations (target level: 536 and max 525) will lead to a temporary stop of water irrigation supply to the population (water supply is ensured for 854 hectares in Shamaldy-Say, 1814 ha in Dostuk and 1,353 ha in Kyzyl-Zharsky

Local population/ Disturbance of the drinking water Regional/ High Adequate daily timing of operation to minimize shortage of HPP Budget drinking water supply system in the village of Moderate water supply. EPP will manage the daily complete shut-down supply Shamaldy Say whereas the pumping of the power plant for the execution of dredging close to the dam station is located on the reservoir face for some hours per day. Potential need for backup pumping concrete dam (level 538.5 - 539.5 m) station for water supply in during the works. during dredging operations. Lowering the water level in the reservoir by 15 m due to dredging operations will lead to a temporary stop of drinking water supply to the population. Rehabilitation works stage: dam and powerhouse rehabilitation

Receptor HPP’s and associated infrastructure facilities modernization and reconstruction Impact Description Receptor Value/ Significan Mitigations measures Cost Sensitivity ce Biodiversity Increase in (bird) hunting pressure, Local/low Low No workers allowed to hunt fauna within the project site or HPP budget etc. surrounding areas. National parks, This Project does not affect national National/ High NS - - nature reserves, parks, wildlife sanctuaries or any other other natural protected areas. protected areas Cultural and All reconstruction measures will be Regional/ NS - - archaeological sites undertaken within the existing site Moderate boundaries Water courses - Potential contamination of water Regional/ Low Specific measures to contain oil spills and leakages of Contractor water quality course due to release of Moderate hydrocarbons will be requested such as anti-pollution devices hydrocarbons or oils and grease, to contain any leakage of oil. Specific absorption and garbage, by suspension. containment devices will so be needed to contain, reduce and remove accidental oil spills on the work site. No refueling of vehicles or equipment to take place within river beds or within 25 meters of the edge of the water course Air quality and local Fugitive dust emissions from works, Regional/ Medium Development of a traffic management plan with specific Contractor population health construction traffic causing dust soiling Moderate measure to reduce and avoid dust: construction traffic speed and increase in particles PM2.5 and limit when passing through populated areas, watering of dusty PM10 and nuisance to local population tracks and roads during rehabilitation works, selection of adequate routes avoiding populated areas, use of good quality equipment with minimum emissions and adopt sustainable behaviors: no equipment shall be left idling if not in use Noise and Vibration Noise and vibration emissions due to Local/Low Medium Noise management plan with dedicated measures for Contractor /Local population equipment and construction activities occupational safety at work including awareness program and health/ workers will cause nuisances to workers and personnel protective equipment. health population. Development of a traffic management plan with specific measures to reduce and avoid noise: awareness program for local residents prior to commencement of works, no idling of equipment when not in use, noise limitation through appropriate organization of work, movement of the large trucks from 22:00 to 6:00 not permitted General Poor waste management practices Regional/ Low Development of a Waste Management Plan: all hazardous Contractor environment resulting in negative direct and Moderate waste containers to be labelled clearly with a waste hazard indirect affects on project area identification label; demarcated temporary waste storage area environment where waste is stored pending transport to final treatment/disposal location; good housekeeping on site; measures to minimise waste; prevent the disposal, burying and 93

Receptor HPP’s and associated infrastructure facilities modernization and reconstruction Impact Description Receptor Value/ Significan Mitigations measures Cost Sensitivity ce burning of waste on-site, roadside dumping and illegal land filling ; training of workforce on waste management including waste segregation, storage and handling) Soil/water Specific works waste (scrap metals, Regional/ Low Development of a waste management Plan with dedicated Contractor used oil) may cause soils and water Moderate measures for waste recycling. Steel is a raw material and pollution shall be recycled. E.g. “Temir” State Enterprise - Jalal Abad branch, “Jalal Abad Temir” - can take over the scrap metals. Oil from equipment to be replaced shall be stored safely until further reuse. Oil refining can be done on another HPP site, where it will be needed or it will be burned on the TPP. Workers Significant amount of asbestos Regional/ Medium Prepare an asbestos management plan with disposal solution Contractor wastes expected from the rehabilitation Moderate in the official landfill of the city Jalal-Abad and specific measures works cause specific health issue to avoid and reduce risks (identification of contaminated areas, (worker exposure to asbestos fibres) awareness of asbestos and risks associated with handling such material, protective measures for workers – see EHS specific requirements paragraph paragraph). Workers’ health and Injury or fatality of workers due to National/High Medium Contractor to develop Health and Safety Management plan Contractor safety insufficient controls on work activities with dedicated measures about safety and security for and processes. The local population can workers, including risk assessment for each major activity be hired for rehabilitation work during (health and safety induction training for all staff, supply of free the peak construction period. It is of charge necessary Personal Protective Equipment (PPE), necessary to pay special attention to the specialized EHS officer as responsible person for the duration workers’ safety and health during of the project, provision of health care and first aid equipment construction phase. "Zero incidents" during the construction to be a goal to reach the indicator. Worker Health and Risk of poor quality housing and Regional/ Medium Contactor to ensure that workers accommodation and rights Contractor Safety hygiene standards resulting in injury Moderate are in line with the FIDIC Pink Book requirements or sickness for workers (accommodation can be provided as follows: rent of private apartments / houses; hotel of PS GES in the village of Shamaldy-Say; building temporary camp for workers provided with water supply, sewerage with local treatment system, Contract documentation to include requirement that worker accommodation be in line with good practice, Contractor to appoint camp manager who will be responsible for ensuring standards of eccommodation meet basic requirements and are safe and hygienic)

Receptor HPP’s and associated infrastructure facilities modernization and reconstruction Impact Description Receptor Value/ Significan Mitigations measures Cost Sensitivity ce Local incomes Benefit for employment of local Regional/ Low (+) Maximum possible employment of the local population in Contractor workers. Qualified specialists are likely Moderate tender documents (the tender materials for Contractors to be attracted from outside the contain provisions that refer to the need for, equally women and oblast/the country, i.e., not from the men, as far as possible; providing equal and fair remuneration Project area. There may be a need for for equal or similar work among women and men, youth, adults short-term unskilled labor force to assist and the elderly; also the documents should contain instructions in the dismantling and relocation of old for ensuring hygiene and safety measures, wages, etc. in HPP equipment. accordance with the labor legislation of the Kyrgyz Republic. The employer guarantees that no job seeker will be suspended from work or subjected to harassment at work due to his gender, age - over 16 years -, marital status, religion, ethnicity, economic and social status, level education, or the fact that he / she lives with chronically ill family members). Local entrepreneurs Benefit for Local economy. Short-term Regional/ Low (+) Include a clause in the contractors’ tender documents to Contractor demand from the contractor for the Moderate enhance benefit for local economy if skills are available services of local entrepreneurs Local population / Limitation of traffic and access Local/low Medium Development of a traffic management plan with dedicated Contractor circulation during bridge repairing operations measures for traffic control. In case of complete closure of the and potential complete closure of the bridge, inform the local population in advance about closing of bridge. the bridge; strictly observe the schedule of work on repairing the bridge, provide alternative routing with adequate road signs as necessary Local population/ Risk of discontinuing of the water Regional/ Medium Adequate planning for repair operations to be discussed Contractor, HPP irrigation irrigation supply during the repair of Moderate with HPP and local authorities. The repair works have to be the water intake of irrigation channels carried out when the irrigation period is finished or before it starts, or when backup solution for irrigation supply is effective when the water intake is being repaired Operation stage: dam and powerhouse rehabilitation Downstream impact The increase of the design discharge of Regional/ Medium Even if the resulting downstream hydrological impact of a HPP the power plant (from 760 m3/s to 880 Moderate potential increase of discharge operations falls within the m3/s as expected) may allow (see para. existing hydrological framework, HPP should communicate 425) the Uch Kurgan dam to increase about peaking operations to Public Authorities. Specific production during peaking periods procedure has to be designed and used during peaking resulting in a temporary higher operations involving an increase discharge downstream. downstream discharge Better working The rehabilitation works will facilitate the Local/low - - HPP conditions for HPP working conditions for HPP workers, as workers they will not face any more continuous

Receptor HPP’s and associated infrastructure facilities modernization and reconstruction Impact Description Receptor Value/ Significan Mitigations measures Cost Sensitivity ce repairs and heavy maintenance of the equipment. Restoration of the The rehabilitation works will allow the Regional/ - Sediment flushing procedure. The procedure provides for a 5 m HPP discharge capacity sediment flushing procedure to keep the Moderate decrease of the upstream water level relative to the normally capacity of the reservoir backed-up level, and the conduct of flushing with concentrated discharge rate of 1000-1500 m3/s. It was assumed that under this regime the useful volume of the reservoir would remain untouched.

7. INFORMATION, DISCLOSURE, CONSULTATION AND PARTICIPATION

Public Consultation 426. Public consultations (PC) were carried out in accordance with ADB’s Public Communications Policy (2011) and SPS (2009). Public consultation meetings on the environmental aspects were undertaken on August of 7, 2018 in the two local authorities Dostuk and Shamaldy Say. PC was organized by the PPTA Team through official communication with the mayor of Tash – Kumyr town, two head of local authorities and Director of PS GES by inviting key stakeholders in the villages. 427. The Project area of influence extends to several settlements in the UK HPP vicinity. These settlements embrace Shamaldy Say village and Dostuk local authority, which includes several villages. At public hearings, residents of the named settlements were invited, together with their leaders, as well as representatives of Tash Kumyr city. Since the Project has been defined as Category C for resettlement, and does not imply either displacement of residents from the places where they live now, nor the withdrawal of their land for construction purposes, it can be concluded that there are no any project affected persons. Nevertheless, residents of all districts that can be potentially impacted by the project were invited to participate in public consultation and were informed about the expected work of the UK HPP modernization. 428. During the public consultations, powerpoint presentations were presented, outlining the technical features of the project and explaining the potential environmental and social impacts, together with associated mitigation measures. Presentations regarding environmental safeguards were delivered in Russian and Kyrgyz, followed by question and answer sessions. The Director of PS GES answered technical questions and clarified issues that were raised. Printed brochures (on Russian, and Kyrgyz) were prepared and distributed to the participants for their information, and as a way of disseminating the environmental concerns of the project to the public. Details of the consultation, including all supporting data, is presented in Annex 5,6 of this IEE. 429. Q/A sessions were lively, with focus on stability of irrigation and drinking water supply, the result of sediment analysis, stability electricity supply and possibility to use the sediment by population. Main Q/A are presented in the Table 20 below. Table 19. Summary of questions, recommendations and concerns of public hearings participants

№ Question / wish / recommendation of Addressing in the IEE report (if it related) participants

1. Will there be a power outage during the repair No, power outage will not on the sites. The HPP works? have ring system of power transmission, when power outage during the repair works will required, the power transmission will switch on other line from Shamaldy Say HPP power transmission line.

2. Where and how will the sediments be Sediments will be excavated by dredger and deposited from the reservoir? How will they be transported by pipeline to temporary quarry. The extracted? By pipeline or transported by temporary quarry is located on the industrial site, vehicles? Can it be used as construction on the left side of UK HPP, on distance around 2 materials? Is it possible to strengthen the km from HPP. earth dam with the bottom sediments? Is it After dewatering the dry sediments will be possible to fill the silt of a career? transported by trucks to permanent quarry

№ Question / wish / recommendation of Addressing in the IEE report (if it related) participants (preliminary version), which is located on 15 km from UK HPP, in the territory with no residential area. By today we have a result of sediments analysis, which have confirmation that the sediments are not contaminated. The sediments may be used as the construction or non- construction materials.

3. Is the rehabilitation of the Left Bank Canal will The rehabilitation of the Left Bank canal will be be carried out? carried out for only the water intake system.

4. The bottom sediments saturated with water Dredged sediments will be transported by can get in propagation of algae, emit a marsh pipeline to temporary quarry, and will be odor, attract mosquitoes and other insects, dewatered on this site. The site is located on the and thus create a lot of inconvenience for local industrial territory, and odor will not disturb residents. How is it possible to avoid that residential areas, but odor monitoring is needed, factor? and will be included in the monitoring plan. The main cause of odor is methane-borating substances. To oxidize and destroy them, it is necessary to saturate the sediments with oxygen. To create natural aeration of sediment by air, it is necessary to periodically turn over sediments. Thus at the processes of natural aeration the organic substances will be oxidized and destroyed in the sediments. It will decrease the odor impacts. This process will be carried out by specific machinery on the site. Measures will be described in the EMP.

5. When will the bottom sediment be excavated: The bottom sediments will be dredged before before the replacement of the power then main modernization works start. generating equipment, or after?

6. Rehabilitation of irrigation channels is No, the rehabilitation of irrigation channels is connected with the Namangan region of connected only with Kyrgyzstan, and only the Uzbekistan. Is co-financing of these works water intake system. foreseen by the neighboring state?

7. How to deal with the turbidity of water? It is The process of dredging will include the obvious that during the pumping of silt from measures for decrease of turbidity: the process the bottom of the reservoir, the water will be will be hydraulic, use special form of ladle for turbid. Uch-Kurgan HPP stands on a excavation, and use the special screens. The transboundary watercourse. Therefore, if the measures are included in the EMP. water is turbid, Uzbekistan will be unsatisfied And also monitoring of water quality on the and we will have problems. What measures upstream and downstream will be carried out should be taken? (included in the monitoring plan)

8. 5 pumping stations are proposed to be closed These proposals will be considered, because the and instead of them one main/common station relocation is not included in the budget of should be installed. So, it will be economically modernization of HPP.

№ Question / wish / recommendation of Addressing in the IEE report (if it related) participants more acceptable, and the issue with stable water supply and the issue with disinfection (chlorination) of water will be resolved.

9. The irrigation channel has been operating The rehabilitation of the irrigation channel will be since 1965 and rehabilitation is required. It is only on the water intake system. The relocation is very important to ensure that population of the not included in the budget of modernization of three village authorities would not have water HPP. supply shortage during the implementation works. It is necessary to relocate the pumping station for the Project construction work period.

10. The inclusion by one representative from each The development of project documentation will be village authority in the group for the project carried out on the next stage - design and documentation development can be very implementation stage. much useful, because they know the local problems and can propose good ideas.

11. Water quality / turbidity during excavation of The monitoring will be carried out in the dredging bottom sediments period. It is included in the monitoring plan.

12. It is necessary to pay attention to the risks of Yes, we are attentive looking for the sediments mudflows in the zone of presumed sediment disposal sites, that to avoid different risks (in deposition. It is necessary to make connection with natural emergency risks) during calculations, otherwise all the silt/bottom disposal process. sediments will be disastrously transported in populated areas placed side by side, and will cause great damage to the population and infrastructure facilities.

13. The hydropower plant pays heavy fines for The relocation is not included in the budget of pumping station location on the territory of modernization of HPP. This question will be power station in accordance with the considered by ADB. requirements of the State Institute for Ecological and Environmental Studies. Therefore displacement of the pump station outside the territory of HPP is required.

430. Public consultation was conducted in the two rural administrations. Information disclosure used brochures in Kyrgyz and Russian and the presentations about of the modernization HPP in terms of environmental and social issues. 431. Public hearing in Dostuk ayil-okmotu (local government) and in Shamaldy-Say ayil- okmotu (municipal government) are illustrated in the below pictures:

Figure 48. Photos of 18 participants, who attended the Public hearings

Figure 49. Photos of 37 participants, who attended the Public hearings Information Disclosure 432. After ADB endorses the IEE, it is made available as information to the public, both in the English and Russian languages. The procedure for public consultation in Kyrgyz Republic includes the following steps: • Public notification on public discussions; • Providing public access to the IEE documentation by the project initiator and/or other accessible locations (local authorities, the territorial bodies of environmental protection), and disclosure of the IEE report on the website of the proponent (if a website exists); • The general public familiarizes itself with the IEE documentation; • In the case of public interest: 1. Provide public notice regarding the date and place of the meeting to discuss the IEE documentation; 2. The collection and analysis of comments and suggestions, summarizing the results of public discussion of the IEE documentation. 433. The Russian version of the IEE will be available in the EPP/PS GES office. The IEE shall also be disclosed to a wider audience through the ADB website. During project implementation, periodic environmental monitoring reports shall be submitted. Grievance redress mechanism Objectives 434. The Grievance Redress Mechanism (GRM) will be established to allow APs appealing any disagreeable decision, practice or activity arising from implementation of Uch-

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Kurgan HPP Modernization Project. APs will be fully informed of their rights and of the procedures for addressing complaints whether verbally or in writing during consultation and time of implementation of the Project. Care will always be taken to prevent grievances rather than going through a long redress process. Importantly, EPP will give administrative support to the GRM. 435. The Grievance Redress Groups (GRG) will be established for the duration of project implementation. The GRG is tasked with all activities needed to discuss a grievance, assess its validity, assess the scope of eventual impacts, decide eventual compensation needed and instruct/facilitate the functioning of the grievance redress mechanism. 436. The GRM covers issues related to social, environmental and other safeguard issues under the ADB safeguard covenants and Kyrgyz laws. Local Focal Point (LFP) 437. Local Focal Points (LFP) are located within the city hall of Tash-Kumyr and Dostyk ayil okmotu. LFP receives and screens complaints, convenes and facilitates GRG meetings, provides necessary documents, and keeps all records, including a complaints log. Grievances Redress Groups 438. The grievance redress mechanism (GRM) involves two stages appeals Local and Central Levels. 439. The GRGs will function for the duration of Project implementation. The local GRGs is located in city hall and ayil-okmotu and the central GRG is set at the EA (EPP) in Bishkek. Grievance Resolution Process 440. The LFP of GRGs will be regularly available and accessible for APs to address concerns and grievances. He will assist the aggrieved APs in formally lodging their claims to the GRG. The complaints and grievances from the APs will be addressed through the process described below. Table 20. Grievance Resolution Process

Steps Action level Process Timeline

Step 1 Resolution At initial stage, the LFP will give hearing to the aggrieved person and try to give acceptable solutions. If any aggrieved 5 days AP is not satisfied with the solutions, then the aggrieved AP will lodge grievances in written to the concerned local GRG within 5 days.

Step 2 GRG After receiving written complaints of AP the LFP will review Resolution and prepare a Case File for GRG hearing and resolution. A 14 days formal hearing will be held with the GRG at a date fixed by the LFP in consultation and the aggrieved APs. On the date of hearing, the aggrieved AP will appear before the GRG at the office of concerned Ayil-Okmotu/City Hall and produce proof in support of his/her claim. The LFP will note down the statements of the complainant and document all proof. The decisions from majority of the members will be considered final from the GRG and will be issued by the LFP

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Steps Action level Process Timeline and signed by other members of the GRG. The case record will be updated and the decision will be communicated to the complainant AP by the LFP within 14 days of submission. If any aggrieved AP is not satisfied with the solutions, then the LFP will lodge grievances in written to the central GRG at EPP with conclusion and supporting documents prepared at local level.

Step 3 Resolution of After receiving written complaints of AP the GRG Central GRG Chairperson of the central GRG will review and prepare a 14 days Case File for GRG hearing and resolution. A formal hearing will be held with the GRG at a date fixed by the GRG Chairperson and the aggrieved APs. GRG members will contact the complainant and visit his village/town. The EPP Project Coordinator will note down the statements of the complainant and document all proof. The decisions from majority of the members will be considered final from the GRG and will be issued by the GRG Chairperson and signed by other members of the GRG. The case record will be updated and the decision will be communicated to the complainant AP by the EPP Project Coordinator within 14 days of submission.

Additional Mechanisms 441. Any physical and legal person, any appellant can communicate his/her concern to the court at any stage of grievance redress. The GRGs will not restrict or influence the AP from applying to court for legal remedies. If the complaint is found invalid, the GRG will formulate a response and send a written letter to the complainant, explaining the reasons of rejection. All costs incurred by the complainants in regard to filing the complaints and grievance resolution will be covered by the project 442. In addition, ADB has its Accountability Mechanism Policy (2012)11 that is to be accountable to people for ADB-assisted projects as a last resort mechanism. The accountability mechanism provides a forum where people adversely affected by ADB- assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures. 443. The complainant, if not satisfied with GRG’s decision or even the court’s decision, can appeal the case to Office of the Special Office Facilitator of ADB12.The GRGs will not in any way impede APs’ access to the ADB Accountability Mechanism.

11 https://www.adb.org/site/accountability-mechanism/main 12 www.adb.org/site/accountability-mechanisn/contacts

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8. ENVIRONMENTAL MANAGEMENT AND MONITORING PLAN 444. The EMP provides the basis for action and responsibility in relation to the specific environmental, social and cultural heritage concerns raised in this IEE. It ensures that appropriate preparatory, preventive and mitigation measures, as well as effective monitoring and follow-up actions, are properly implemented in a timely manner by designated entities. The actions and responsibilities specified in the EMP which are relevant for the Contractor and HPP will be applied during the detailed design and construction phases and monitored by the PIU. They will be incorporated into the contract bidding documents, establishing an agreed framework of shared responsibility for ensuring that the Project is fully compliant with EMP throughout the pre-construction and construction phases, as set out in the ADB’s SPS 2009 and in the relevant laws, standards and regulations of the Kyrgyz Republic. 445. This section provides an overview and guide to the mitigation and monitoring actions that have been specified on the basis of impact analysis of this report. 446. The impacts identified in the course of the analysis presented in this report are listed as line items in EMP tables coming from Table 18 for project rehabilitation works. Alongside each impact, the recommended mitigation action; location and timing of their implementation; responsibility for their implementation; and responsibility for supervising their implementation is detailed. The EMP provides the basis for defining contractual obligations for contractors, as well as responsibilities and expectations for the UK HPP, municipal and national government entities, and Project staff. The Environmental Management Plan for the design stage 447. The design section of the EMP (before commencement of any works of site from HPP or Contractor) includes several line items for impacts for which mitigation measures are prescribed. These are impacts likely to arise during the implementation of rehabilitation works, but for which pre-emptive mitigation action is appropriate in the design and pre-construction phase, especially for the start of dredging activities and rehabilitation works. Mitigation of most impacts during implementation period appropriately begin with incorporation of preventive measures by the way of the Contractor EHS plan which include specific sub-plans or programs to be implemented during rehabilitation works. 448. Land acquisition or resettlement will not be required for this project as the all modernization works will be carried out on the existing HPP sites. Sediment dewatering (temporary) and disposal (permanent) sites are located on the industrial zone and non-residential areas which belong to public land. 449. Main mitigation activities relevant for the design phase are listed in the below table: Table 21. Design Stage Mitigation Plan

Mitigation Activity Mitigation objective and detail Responsibility

Protection of biodiversity During the design phase, attention PIU. The works should be carried areas from potential should be paid to any impact on out in a way that minimizes disturbance due to natural areas. PIC together with destruction of vegetation and dredging works competent biologist needs to with minimum of noise undertake preconstruction survey disturbance and containment of for avifauna in all locations where silty runoff. disturbance of suitable habitats will occur. Competent ornithologist to check for presence of the fauna habitat near to project site. If present, suitable protection plans shall be developed, agreed with PIU and implemented. Ongoing

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Mitigation Activity Mitigation objective and detail Responsibility

monitoring of fauna habitat shall be part of monitoring plan.

Sediment management Obtain sediment samples of HPP will be responsible for these plan: Identification of deeper level and carry out of actions sediments contamination laboratory analysis of sediments contamination. Decide the scenario of sediment disposal and treatment modalities according to results of laboratory analysis

Sediment management Dredging modalities must be HPP will take ultimate plan: coordination with discussed with communities responsibility for dredging local authorities on before commencement of impacts on community living. dredging modalities to activities (issue: relocate the avoid and reduce any pumping stations of irrigation and impact on irrigation and drinking water supply, if water level drinking water systems in the reservoir will be lowered).

SEMP prepared by PIU will ensure that SEMP PIU will be responsible for EMP Contractor with EMP measures relevant for Contractor implementation monitoring. requirements included will be adequately included in EHS contractor’s plan submitted prior to commencing construction works. Preparation of SEMP should include: • Asbestos Management Plan • Transportation and Traffic Management Plan • Waste Management Plan • Water Course Protection Management Plan • Emergency Response Plan • Complaints Log Book • Health and Safety Management Plan • Sediment management Plan The EHS plan (including site- specific Environmental Management Plan SSEMP) shall be approved by PIU at least 15 days before construction/ rehabilitation works start. Contractor is responsible for the EMP implementation

450. Details of sediment management plan is given in the below table: Table 22. Details of sediment management plan Target criteria Time Activity Responsibility for successful schedule implementation Development and approval of the HPP Before Sampling and Sampling and Analysis Plan: dredging Analysis Plan • Sampling indicators (e.g., heavy works approval by ADB metals, organic contaminants, agricultural contaminants, radioactive materials if possible, etc.)

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Target criteria Time Activity Responsibility for successful schedule implementation • location of sampling, with a schematic indication; • sampling methodology; • methods and conditions for the transportation of samples; • methods for determining indicators; • certification of the laboratory; • used standards for comparison.

Conducting laboratory studies HPP Before Assessment of • bottom sediment sampling from mid dredging bottom sediment and deep layers; works contamination • study of samples: physical and Study to be chemical analysis (analysis for submitted to chemical, organic contamination); ADB • interpretation of the results; • conclusions • once results of the analysis are ready, an assessment on the level or not of contamination must be undertaken

Next scenarios will be considered: 1) Scenario 1 - precipitation is not contaminated 2) Scenario 2 - Precipitation is contaminated

Scenario 1 - No contamination HPP Before and dredging and • obtaining of official permits from during disposal local authorities and Jalal-Abad dredging sediments territorial department of SAEPF; period • excavation of bottom sediments; • hydraulic transportation (by pipeline, distance of 1.5 km through the territory of the hydroelectric station or 2.2 km along existing roads - tapping of the strip without the use of cutting trees and shrubs); • discharge of mixture into a temporary quarry (total volume of quarry = 170,000 m3, industrial zone); • after drying, transportation to the quarry of permanent storage located 15-17 km from the temporary quarry (total volume 750,000 m3, undeveloped land area, free of agricultural land, quarry) • use of dried sediments in construction and other purposes by the population and local authorities.

Scenario 2 - Contaminated sediments HPP Before and 1. Approval of 1. Refusal to clean, depends on the degree of during local authorities contamination of bottom sediments dredging and Jalal-Abad 2. Dredging activity period territorial department of Dredging activity is chosen: SAEPF. • Prepare and approve a 2. Contaminated Contaminated Sediments Sediments Management Plan, which includes Management the following information as a

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Target criteria Time Activity Responsibility for successful schedule implementation minimum: dredging agreement, Plan approved schedule of works, dredging by ADB. activities, transportation, temporary 3. Dredging of storage place, processing/ the reservoir and treatment, removal, disposal and safe disposal of monitoring requirements. contaminated • The plan should be sent to ADB for sediments approval and reassessment to establish a project re-classification. The safeguard documents (i.e., the IEE / EMP) will be updated and revised by ADB. • Dredging will begin after approval of the proposed plan and updated safeguard documents.

The Environmental Management Plan for the rehabilitation works stage 451. Rehabilitation works stage impacts are related to the effects of specific construction practices on the biophysical and socioeconomic environments. Some of these impacts can be severe and long-term, e.g., surface water contamination, soil erosion and worker exposure to asbestos dust, if preventive action is not taken. Most construction impacts, such as noise, disruption of community life, and dust and emissions, waste generation are temporary, and can generally be addressed through relatively simple interventions like good maintenance and being a responsible contractor. All implementation period impacts identified in the EMP are generally minimized through implementation of mitigation measures prescribed in the EMP as (good site practices), and none are likely to be permanent or long-term, provided they are addressed as identified. 452. Mitigation activities relevant for the construction phase are listed in the table 23.

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Table 23. Construction Stage Mitigation Plan Project Activity Potential Impact Mitigation Measure Locations Timeframe Implementation Supervision Cost Estimates Rehabilitation works stage: dredging works Water Water pollution by suspended Use best dredging methods according to technical UK dredging Contractor PIC/HPP/EPP Contractor contract Resources solid and turbidity during specifications (including silt screens), permanently reservoir works (procurement of (technical specification dredging works monitor the downstream turbidity and design a “stop dredger, silt of dredger, silt screens) Water quality operation procedure” in case of excess of turbidity screens) during dredging downstream. HPP - working HPP budget works process General Handling and storage of According to results of laboratory analysis on sediments, Disposal dredging HPP PIC/EPP Budget HPP environment bottom sediments from the sediment disposal will be subject to sediment sites works UK water reservoir may be Management plan Dredging of contaminated and considered sediments as dangerous waste

Dredging works and Continuous monitoring during works and drying process of Disposal dredging HPP PIC/EPP Budget HPP sediment storage may cause sediments to identify potential troubles, and use of aeration sites works odor impact techniques of sediments during disposal phase if odors occur. Water uses Disturbance of the water Preparation working schedule of dredging activities UK water dredging HPP HPP/EPP HPP irrigation supply system need various approvals from local authorities (no dredging reservoir works Dredging works during dredging works. The works in the irrigation period without approval), adequate pumping stations in irrigation timeframe of operations, and corrective measures in case canals which are located in of non-operation of the water intake in irrigation channels the reservoir upstream of the and other pumping stations located on the reservoir during river (stat level 540 - 540.5 m) dredging works. supply a large number of villages for irrigation water. Lowering the water level in the reservoir by 15 m due to dredging operations (target level: 536 and max 525) will lead to a temporary stop of water irrigation supply to the population (water supply is ensured for 854 hectares in Shamaldy-Say, 1814 ha in Dostuk and 1,353 ha in Kyzyl- Zharsky Disturbance of the drinking Adequate daily timing of operation to minimize shortage UK water Dredging HPP HPP/EPP HPP water supply system in the of water supply. EPP will manage the daily complete shut- reservoir works village of Shamaldy Say down of the power plant for the execution of dredging close whereas the pumping station to the dam face for some hours per day. Potential need for is located on the reservoir backup pumping station for water supply in during the works. concrete dam (level 538.5 - 539.5 m) during dredging operations. Lowering the 107

Project Activity Potential Impact Mitigation Measure Locations Timeframe Implementation Supervision Cost Estimates water level in the reservoir by 15 m due to dredging operations will lead to a temporary stop of drinking water supply to the population. General Pipeline installation and EPP/HPP shall develop a specific traffic management plan Disposal dredging HPP PIC/EPP Budget HPP environment trucks movements for in coordination with local authorities to access the final sites works transport of sediments to deposit area, with specific measure to reduce nuisances and Transportation temporary and definitive avoid dust: construction traffic speed limit when passing and storage of storage areas may cause through populated areas, watering of dusty tracks and sediments various risks and nuisances roads, noise limitation through appropriate organization of for the population (local traffic work, movement of the large trucks from 22:00 to 6:00 not annoyance, noise, dust) as permitted. well as air pollution. Most significant impact are related to the trucks movement between temporary and final deposit areas, as the pipeline to the temporary site will not impact the traffic and the distance is low. General Temporary and final Environmental scoping of the permanent disposal area Disposal dredging HPP PIC/EPP Budget HPP environment sediment deposit areas are including fauna/flora, landscape issues and local sites works public lands to be secured by acceptance. Transportation EPP and local Authorities. and storage of Dewatering of sediments (no sediments contamination case) by infiltration on the temporary site will result in neutral environmental impacts, due to the location within industrial area. Final disposal of sediment is assimilated as backfilling of quarry with few constraints other than local issues. Rehabilitation works stage: dam and powerhouse rehabilitation Waste Poor waste management Development of a Waste management plan: all hazardous All Throughout Contractor PIC Included in construction management practices resulting in waste containers to be labelled clearly with a waste hazard locations the project contract. negative direct and indirect identification label; demarcated temporary waste storage General affects on project area area where waste is stored pending transport to final construction environment treatment/disposal location; good housekeeping on site; activities measures to minimise waste; prevent the disposal, burying and burning of waste on-site, roadside dumping and illegal land filling ; training of workforce on waste management including waste segregation, storage and handling) 108

Project Activity Potential Impact Mitigation Measure Locations Timeframe Implementation Supervision Cost Estimates

Domestic wastes Domestic waste of the workers will be disposed of at HPP All Throughout Contractor PIC Included in construction site and taken to official dumping site at Jalal-Abad. locations the project contract Scrap metals Development of a Waste management plan with HPP sites Throughout Contractor PIC Included in construction dedicated measures for waste recycling. Steel is a raw the project contract. No costs, material and shall be recycled. E.g. “Temir” State Enterprise scrap metals can be - Jalal Abad branch, “Jalal Abad Temir” - can take over the sold (according to scrap metals. Oil from equipment to be replaced shall be market prices) stored safely until further reuse. Oil refining can be done on another HPP site, where it will be needed or it will be burned on the TPP.

Oil pollution of soil and waters Oil from equipment to be replaced shall be stored safely until HPP sites Throughout Contractor PIC Included in construction further reuse (roofed and concreted areas being fitted with the project contract. bunds). Oil waste Oil shall be reused. Oil can be refined on another HPP site HPP sites End of HPP EPP Included in operational or it can be burned on the TPP. and other Project costs HPPs Ceramic waste Ceramic is a chemically inert material and can be used e.g. HPP sites Throughout Contractor PIC Included in construction as land-filling material. the project contract Significant amount of Prepare an asbestos management plan with disposal HPP sites Throughout Contractor PIC Included in construction asbestos wastes expected solution in the official landfill of the city Jalal-Abad and the project contract from the rehabilitation works specific measures to avoid and reduce risks (identification of cause specific health issue contaminated areas, awareness of asbestos and risks (worker exposure to asbestos associated with handling such material, protective measures fibres) for workers – see EHS specific requirements paragraph). Construction waste from civil The waste from civil works shall be disposed of in an HPP sites Throughout Contractor PIC Included in construction works appropriate landfill. Disposal in the official landfill of the city the project contract Jalal-Abad. Water Potential contamination of Specific measures to contain oil spills and leakages of HPP sites During bridge Contractor PIC Included in construction Resources water course due to release hydrocarbons will be requested such as anti-pollution rehabilitation contract of oils and grease, remains of devices to contain any leakage of oil. Specific absorption works Water quality concrete, other remains road and containment devices will so be needed to contain, during construction materials etc. reduce and remove accidental oil spills on the work site. construction works Storage of material in safe watertight places and at a safe distance from nearby water sources (chemicals and oils, building materials (aggregate, sand and gravel). The installation of sedimentation tanks shall be in places avoiding the pollution of the river and followed by treatment of contaminated water. The quality of water to be discharged into the river must meet the established requirements. Regular maintenance of construction equipment. In the river water protection zone (not less than 50 m), pollution of the ground surface is prohibited, including arranging garbage dumps, industrial wastes, as well as refueling, parking, 109

Project Activity Potential Impact Mitigation Measure Locations Timeframe Implementation Supervision Cost Estimates cleaning and repair of motor vehicles and road construction equipment. The water protection zone prohibits the production and placement of local building materials without permits and approvals from environmental authorities. Emissions Fugitive dust emissions Development of a traffic management plan with specific All Throughout Contractor PIC Included in construction from works, construction measure to reduce and avoid dust: construction traffic locations. the project. contract Air quality during traffic causing dust soiling speed limit when passing through populated areas, watering construction and increase in particles of dusty tracks and roads during rehabilitation works, works PM2.5 and PM10 and selection of adequate routes avoiding populated areas, use nuisance to local population of good quality equipment with minimum emissions and adopt sustainable behaviors: no equipment shall be left idling if not in use Noise and Noise and vibration Noise management plan with dedicated measures for All Throughout Contractor PIC Included in construction vibration emissions due to equipment occupational safety at work including awareness program locations. the project. contract and construction activities and personnel protective equipment. will cause nuisances to workers and population. Development of a traffic management plan with specific measures to reduce and avoid noise: awareness program for local residents prior to commencement of works, no idling of equipment when not in use, noise limitation through appropriate organization of work, movement of the large trucks from 22:00 to 6:00 not permitted Soil Accidental spillage of oil, Fuels should be stored in good quality above ground tanks All Throughout Contractor PIC Included in construction grease placed on an impervious surface with a spill containment locations the project contract bund capable of containing 110% of the tank capacity; no onsite refueling within or adjacent to water courses; on site refueling of equipment and vehicles shall utilize a drip tray to prevent oil entering the ground. Workers’ health Injury or fatality of workers Contractor to develop H&S plan with dedicated programs All Throughout Contractor PIC Included in construction and safety due to insufficient controls on about safety and security for workers, including risk locations the project contract work activities and processes assessment for each major activity (health and safety induction training for all staff, supply of free of charge necessary Personal Protective Equipment (PPE), specialized EHS officer as responsible person for the duration of the project, provision of health care and first aid equipment Potential presence of Contractor shall develop an Asbestos Management Plan. All Throughout Contractor PIC Included in construction asbestos - risk of worker disposal in the official landfill of the city Jalal-Abad;and locations the project contract exposure to asbestos fibres worker awareness of asbestos and risks associated with handling such material. Risk of poor quality housing Contactor to ensure that workers accommodation and rights All Throughout Contractor PIC Included in construction and hygiene standards are in line with the FIDIC Pink Book requirements locations the project contract resulting in injury or (accommodation can be provided as follows: rent of private sickness for workers apartments / houses; hotel of PS GES in the village of Shamaldy-Say; building temporary camp for workers provided with water supply, sewerage with local treatment 110

Project Activity Potential Impact Mitigation Measure Locations Timeframe Implementation Supervision Cost Estimates system, Contract documentation to include requirement that worker accommodation be in line with good practice, Contractor to appoint camp manager who will be responsible for ensuring standards of accommodation meet basic requirements and are safe and hygienic) Community Positive effect - Benefit for Maximum possible employment of the local population - Throughout Contractor PIC Included in construction Socio- employment of local in tender documents (the tender materials for Contractors the project contract economics workers. There may be a contain provisions that refer to the need for, equally women need for short-term unskilled and men, as far as possible; providing equal and fair labor force to assist in the remuneration for equal or similar work among women and dismantling and relocation of men, youth, adults and the elderly; also, the documents old HPP equipment (short should contain instructions for ensuring hygiene and safety term employment of local measures, wages, etc. in accordance with the labor people). legislation of the Kyrgyz Republic. The employer guarantees that no job seeker will be suspended from work or subjected to harassment at work due to his gender, age - over 16 years -, marital status, religion, ethnicity, economic and social status, level education, or the fact that he / she lives with chronically ill family members). Risk of discontinuing of the Adequate planning for repair operations to be Irrigation During Contractor and PIC Included in construction water irrigation supply discussed with HPP and local authorities. The repair channels rehabilitation HPP contract during the repair of the water works have to be carried out when the irrigation period is works intake of irrigation channels finished or before it starts, or when backup solution for irrigation supply is effective when the water intake is being repaired Social or social disturbance and Advise the local community of project plans in advance of Residential Throughout Contractor PIC Included in construction Community community benefits from the construction, and involve them in planning, as necessary; areas the project contract Concerns project: abide by the laws of the Kyrgyz Republic relating to employment and use of labor. Social or Increased risk of road traffic Development of a traffic management plan with Residential Throughout Contractor PIC Included in construction Community accident due to construction dedicated measures for safety. In case of complete areas the project contract Concerns traffic movements closure of the bridge, inform the local population in advance about closing of the bridge; strictly observe the schedule of Limitation of traffic and work on repairing the bridge. Actively enforce speed limits access during bridge for Project vehicles; awareness program for local population repairing operations and prior to works commencing, including visits to local schools; potential complete closure of drivers to be fully competent and authorized to drive heavy the bridge. loads vehicles and to receive specific training; ensure all drivers have completed training and are licensed to drive the (Impacts on health of dust vehicles they are operating; limits to be adopted and and noise emissions) enforced for maximum number of work hours to avoid overtiredness; minimize the number of road movements as much as practicable, maximizing capacity of vehicles; watering of dusty tracks and roads during rehabilitation works; schedule road movements to minimize impact on existing road users; zero tolerance policy for drug and alcohol use amongst all workforce. 111

Project Activity Potential Impact Mitigation Measure Locations Timeframe Implementation Supervision Cost Estimates Reporting Environmental monitoring Contractor’s monthly reports and PIC’s quarterly progress Project Duration of Contractor, PIC PIU Included within and reporting to confirm reports should have a section on safeguard compliance. PIU Reporting the project management costs compliance will submit for disclosure on ADB and EPP websites semi- annual environmental monitoring reports (EMR) in January and July each year. Final EMR will include post-construction environmental audit and will be submitted one month after the project physical completion.

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The Environmental Management Plan for the operation stage 453. Operation phase is related to the activity of the HPP after completion of the rehabilitation works. E&S impacts are then related to the day to day operating of the HPP with regards to the performance of the newly rehabilitated equipment. 454. Mitigation activities relevant for the operation stage are listed in the table 24. Table 24. Operation stage Mitigation Plan

Impact/Activity Mitigation objective and detail Responsibility

The increase of the design discharge Even if the resulting downstream HPP of the power plant (from 760 m3/s to hydrological impact of a potential increase 880 m3/s as expected) may allow of discharge operations falls within the (see para. 425) the Uch Kurgan dam existing hydrological framework, HPP to increase production during should communicate about peaking peaking periods resulting in a operations to Public Authorities. Specific temporary higher downstream procedure has to be designed and used discharge during peaking operations involving an increase discharge downstream. Better working conditions for HPP - HPP workers. The rehabilitation works will facilitate the working conditions for HPP workers, as they will not face any more continuous repairs and heavy maintenance of the equipment. The economic life of the rehabilitated units will be 40 years Restoration of the discharge Sediment flushing procedure. The HPP capacity of the HPP permits the procedure provides for a 5m decrease of control of sedimentation in the the upstream water level relative to the reservoir through regular flushing normally backed-up level, and the activity. conduct of flushing with concentrated discharge rate of 1000-1500 m3/s. It was assumed that under this regime the useful volume of the reservoir would remain untouched.

Specific EHS Requirements during rehabilitation works EHS targets 455. The Environmental, Health, and Safety (EHS) targets of the Project are: • zero accidents, • no hazardous situations to the environment and the public; • no PCBs; • no harmful spills to the environment, • the promotion of welfare and health issues, • the development of a sound working environment; and • the integration of the local community. EHS Organization 456. In order to reach the general objectives given above, the Contractor shall develop, implement and operate an EHS Management System (EHSMS). This EHSMS is based on the generally existing EHS policy and goals of the Contractor and on an EHS Management Plan that has to be specifically developed to this Project by the Contractor. This plan shall give all measures how to meet the outlined EHS targets and goals.

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457. The Contractor shall determine persons being responsible for all EHS issues on construction site(s). These H&S officers in charge shall prepare monthly records of all EHS relevant incidences (e.g. worker’s fatal and non-fatal accidents), and keep an employment record giving name, age etc. of employed workers. The EHS officers will be responsible for keeping a high environmental, health and safety standard at the construction sites as wearing helmets, providing workers with ear protection devices, ensure that workers are belted during working at height etc. They will also be responsible for regularly teaching of workers in first aid, how to work under high voltage etc. These EHS officers will also take care that all sub-contractors follow this good EHS practice at the construction site(s). A monthly report shall be prepared and submitted to the PIU. 458. Following key tasks shall be considered by the contractor in order to meet the targets and objectives as defined above: • build up an EHS team with all project team members as part of coordination meeting (s); • perform EHS training presenting all relevant governing documents and applicable legislative requirements related to H&S; • implement measures to meet all risk acceptance criteria and H&S objectives defined for the OHL and Substation project, • implement EHS requirements in all requisitions/ subcontractors, • implement EHS requirements in all supply contracts, • set-up and maintain EHS evaluation and decision-making system; • define and implement all EHS permit requirements; • implement an office safety and clean desk policy; • prepare an emergency preparedness and response plan. SEMP 459. It is anticipated that the following SEMPs, as a minimum, will form part of the overall EHS plan. • Asbestos Management Plan • Transportation and Traffic Management Plan • Waste Management Plan • Water Course Protection Management Plan • Emergency Response Plan • Complaints Log Book • Health and Safety Management Plan • Sediment Management Plan 460. The main focus of EHS during construction is the preparation and consideration of a EHS plan, including SEMPs, to be prepared by the Contractor and to be submitted to the Employer for approval prior to mobilization. This EHS plan shall: • consider the EHS targets and objectives defined above; • cater for the full scope of Contractor’s work, including what is done by subcontractors; • provide all procedures required for performing EHS tasks that are inherently harmful and/or hazardous, e.g. performing excavations and trenching, confined space entry, work at heights, lifting/ hoisting operations, working with hazardous, dangerous or flammable material or goods, working under high voltage etc. 461. Any deviation to the EHS requirements must be reported in writing to the Employer for approval. The Contractor shall be responsible for promoting EHS awareness

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among his employees as well as those of his subcontractors, suppliers, visitors, and persons delivering materials and equipment. Workers and Public Safety programs 462. The following requirements are the minimum requirements with respect to EHS at the construction site. The employer shall have the right to extend these EHS requirements in case of the needed actions to fulfill the EHS targets and objectives: 463. Regarding the influx of construction workers, specific attention shall be paid to Sexually Transmitted Diseases (STD)—or Sexually Transmitted Infections (STI) in general and HIV/AIDS in particular. An awareness program shall be developed and communicated to all workers. This program might also include the provision of condoms for all site staff and labor as appropriate and provide an STI and HIV/AIDS screening, diagnosis and counseling. 464. The Contractor’s approved EHS plan will be the only applicable and valid EHS plan at site outlining and specifying details regarding H&S. Separate subcontractor or supplier’s EHS company policies, EHS management systems or EHS plans are not acceptable at site. 465. No personnel or employees are allowed to perform works, tasks or operations which they are not specifically trained and certified to perform. All works will be subject to work permits. No works are allowed to perform without an applicable and valid permit to work. 466. At arrival of any personnel on site the Contractor shall secure that they have or will get the required training / certification before any works, tasks or operations are assigned. 467. The Contractor shall ensure that his own, his subcontractors’ and suppliers’ personnel at all times follow all site-specific EHS rules and requirements whenever they are present on site. 468. The Contractor shall ensure that first aid kits including "eye washers" are available at all work locations and that first aid kits are complete at all times. The Contractor shall ensure that at least one defibrillator will be available on each construction site. 469. If applicable, the Contractor shall inform himself about the potential presence of poisonous animals and take all required precautions to avoid accidents. 470. The Contractor shall ensure that his personnel have passed an elementary first aid training including cardiac arrest treatment. 471. The Contractor shall ensure that safety goggles are handed out and worn by all employees or personnel at all times at working places. Hard hat, safety footwear, working gloves and protective outer clothing suitable for the local climate conditions shall be worn at all working locations. Hearing protection shall be worn in all areas with noise levels at or above 80 db(A). All electrical hand tools, extension cables, transportable generators, other non-permanent electrical equipment etc. shall undergo short circuit checks by a certified and registered electrician minimum per every three (3) months, prevailing national or international rules. 472. Use of drugs and alcohol are strictly prohibited when working or being present on site. Personnel reporting for work that are under the influence of alcohol and/or drugs shall be denied access to site. In such cases, the Employer expects the Contractor to intervene with appropriate measures according to Contractors' terms of employment in order to prevent recurrence. However, the Employer reserves the right to deny continued access to site to such person(s) without further notice if the site safety and security in any way otherwise is felt threatened. In order to fulfill the health and safety

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tasks and the environmental requirements stipulated in the EMP, the contractor has to set up specific H&S programs. Environmental programs 473. Potential impacts to be experienced during the Project rehabilitation works are varied, and include noise, associated with the operation of the equipment’s HPP, odor impacts associated with the operation sediment dewatering site, waste generation and community disturbances during the transportation dry sediments. Some potential work period impacts are human health risks from surface water contamination by turbidity and mitigation of such impacts will often require an adaptive management approach. Many operating period impacts can be effectively prevented or minimized through mitigation actions implemented during the pre-construction phase, especially during detailed design. 474. Asbestos management plan. During the visit to the Uch Kurgan HPP, it was found that volume of asbestos at the Plant is significant. Therefore, a special asbestos management plan shall be elaborated by the Construction Contractor’s environmental specialist to avoid any adverse health impact of asbestos during implementation activities, as indicated in the EMP. 475. Waste management plan. After the refurbishment of HPP, there will be a lot of scrap metal generated. As experience of other HPPs demonstrated, it will not be easy to find a seller for this waste. Therefore, before the scrap metal is sold, it should be kept on a specially designated area of HPP for indefinite period. This area should be defined in advance by the management of the HPP, taking into account all the advantages and disadvantages of the process and accessibility for perspective sellers. Additionally, it should be noted that construction wastes of other types will be generated along with the solid (domestic) wastes. To solve the issues of waste disposal in a legal manner, the Construction Contractor shall conclude a special agreement with the local provider of services of the domestic waste removal, which will take into account disposal of both domestic and construction wastes according to the legislative requirements in regard to the class of danger. 476. Transportation of large-sized electric equipment to UK HPP. Some of very heavy equipment has to be transported to the site as the transformer which the construction contractor is responsible for. The weight of one transformer without oil is about 250 tons, the height is 7 meters, the width 3.5 m, and the length is 8 m. Using this dimension, the way from Bishkek via the Töö-Ashuu Pass is not possible because the height of the tunnels is not more than 6 m. A possible transport route through Uzbekistan is difficult due to political reasons and is considered not be practical. A transport using helicopter is not possible because the max. weight helicopters can carry is about 50 tons. In principle, the transportation routing to the construction site will be fixed by the Contractor. There are different routings possible depending from which country the transformers have to be delivered. The decision will be made during the tender procedure. 477. Transportation (and traffic) management program, including all specifications listed in the EMP, will be prepared by the Contractor before commencement of works. Six (6) months after awarding the contract the contractor shall present a detailed road survey how he intends to bring the transformers, within this transportation and traffic plan. 478. In addition to these very heavy truck movements to the site, the removal of transformers will be done after having cut it into pieces (with e.g. flame cutters done by the recycling company), and a certain amount of truck movements will occur during the construction period, bringing in new material and taking out e.g. waste from civil works. The amount of these truck movements cannot be determined seriously at the

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moment. But the contractor shall avoid unneeded truck movements by proper planning of the construction activities as far as it is possible. If wastes can generate dust (e.g. from civil works) the trucks shall be fitted with tarpaulins when transporting the wastes to the landfills. This will be part of the transportation and traffic plan. 479. A sediment management plan (SMP) has to be developed to minimize the impacts on the upstream and downstream in during dredging works in the water reservoir. The process is detailed in project description section and in the EMP (design phase). The SMP should describe the dredging working process, methods and equipment planned to maintain turbidity levels, sediment removal and monitoring of the water quality. The SMP should provide an overview of the mitigation measures that may be used in during the works. The dredging works must comply with the regulatory requirements, approval conditions, according Action plan and EMP, and this document. 480. Dredging operations are given in the project description section of IEE and need dredging turbidity control measures, as planned in the EMP. The Uch Kurgan HPP is planned to undergo major renovation works, amongst which dredging works in the reservoir just upstream of the dam. Trapped sediment of the past decades needs to be removed. During the dredging operations of Uch Kurgan HPP reservoir, management of the turbidity is a major stake. The sediment may be polluted and the operations could put material in suspension and carry it downstream. In addition, the dam reservoir water is being used by multiple stakeholders: irrigation for agriculture and drinking. Hence additional turbidity needs to be carefully controlled to safeguard current water quality. The following potential mitigation measures have been identified: • Adaptive management: optimization of dredge works • Specific CSD cutter heads • Alternative Dredging Methods • Silt Screens • Pro-active adaptive management: optimizing dredge works before execution: plume modelling or continuous monitoring of the turbidity upstream and downstream. Monitoring Plan 481. The Monitoring Plan provides the basis for ensuring accountability and thoroughness in relation to certifying the environmental soundness of the Project and helps define responsibilities and expectations for the Project staff and governmental entities involved in the follow-up. In the case of mitigation measures specified for the rehabilitation works, the monitoring responsibilities specified in the Monitoring Plan provide a basis for the establishment of long-term compliance monitoring programs, and ensure that the prescribed mitigation measures are in fact implemented appropriately. 482. Indicators of EMP implementation performance are of two general types: (i) those that can be measured or observed in the environment; and (ii) those that are reported and can be measured with reference to compliance monitoring, reporting, and communication with people in the Project area. 483. Monitoring of environmental quality and of the implementation of mitigation measures will be performed by the Project Implementation Consultant (PIC) with sufficient TORs and staff-time for this task; • as a minimum, it is required for PIC to recruit 6 months of an International Environmental Specialist and 35 months of a National Environmental specialist over 5 years during the project implementation;

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• the monitoring results will be included in the project monthly and quarterly progress reports and semi-annual environmental monitoring reports.

Table 25. Environmental Monitoring Plan

Monitoring Parameters to be Location Measurement Frequency Responsibilitie Costs measure monitored s Water Turbidity UK water regular visual Baseline Contractor – Included in quality Temperature reservoir, inspections, monitoring constructor Dissolved oxygen; where will instrumental measurement HPP – costs and Total suspended carry out measurement s to be dredging Budget solids (TSS); dredging s, record of conducted works HPP pH; works, and findings before phosphates/nitrate downstrea construction s; m and dredging visible oil film. works start. Then during dredging works Hydrology Water Streamflow regular: During HPP Budget consumption upstream instrumental implementatio HPP (downstream) and measurement n and Stored water downstrea s, record of operation volume m (key findings periods (reservoirs) selected Flow, velocity, and points) depth Meteorolog Rainfall (reservoir) All Climatic data During HPP Budget y territories implementatio HPP of HPPs n and operation periods

Capacity of Sedimentation All control regular visual Operation HPP Budget reservoir point of inspections, period. Once HPP water instrumental in 5 years reservoir measurement s, record of findings Water If sediments are Treatment regular visual To be defined HPP HPP quality contaminated and plant inspections, according to budget during depending of instrumental type of dewatering pollutants type measurement pollutant s, record of findings Air quality/ Visible dust at Industrial regular visual Baseline Contractor Included in Emissions construction sites, site of HPP/ inspections, monitoring constructio Particulate Matter, demolition instrumental measurement n costs Carbon Dioxide site - indoor measurement s to be (CO2), Sulphur air s, record of conducted Dioxide (SO2), findings before Nitrogen Dioxide construction (NO2), works start. Exceedances of Monthly basis MAC of airborne during asbestos fiber construction stage Waste Waste to be stored All regular visual All Contractor Included in in appropriate territories of inspections, construction constructio containers or skips HPPs instrumental period n costs and removed for measurement treatment/disposal s, record of at a frequency so as findings

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Monitoring Parameters to be Location Measurement Frequency Responsibilitie Costs measure monitored s to avoid the build- up of waste on site: Scrap metals, Oil waste, Ceramic waste, Asbestos waste, Construction waste from civil works, Domestic waste Sediments Disposal regular visual To be defined HPP Budget sites inspections, according to HPP instrumental type of measurement sediments s, record of findings Soil Spills of fuels, All regular visual Every time of Contractor Included in pollution lubricants, coolants constructio inspections, inspections constructio at work sites n sites instrumental n contract measurement costs s, record of findings Biodiversity Aquatic and Upstream regular: visual During HPP Budget terrestrial ecology (location of inspections, dredging HPP surveys, if needed the record of works (aquatic ecology dredging findings should be assessed works) and upstream and downstrea downstream of m effluent discharges during implementation) Noise and Quantitative All regular visual Baseline Contractor Included in vibration analysis during the constructio inspections, monitoring constructio construction phase. n sites instrumental measurement n contract measurement s to be costs s, record of conducted findings before construction works start. Monthly basis during construction stage Local Noise Public Through Transportatio Contractor Included in population roads regular n period constructio inspections n contract costs Local Odor Nearby Through During HPP Budget population quarries regular dredging HPP inspections works

Complains Number of Constructio regular visual Monthly time Contractor, Included in from local complaints n works on inspections PIC, PIU constructio population received by PIU, the Project and records of n contract PIC and site complaints costs Contractors, and municipalities about impacts considered unacceptable by members of public Number of Project site Through Monthly time Contractor, Included in grievances under regular review PIC, PIU constructio GRM about impacts of GRM n contract records

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Implementation arrangements for the EMP 484. MOF is the responsible government body for coordination with ADB and other donors for foreign assistance. 485. SAEPF is a leading state environmental agency responsible for the environmental policy of the country and coordination of environmental activities of other state bodies. Its functions include: • Development of environmental policy and its implementation; • Carrying out a state environmental expertise; • Issuance of environmental licenses; • Environmental monitoring; • Delivery of environment information services. Jalal Abad Territorial Department of SAEPF will responsibility of Project documentation approval. 486. SIETS carries out its activity in accordance with the Law "On Procedure for inspection of business entities". SIETS exercises control over compliance in established order of: • environmental legislation, set rules, limits and standards of environmental management, standards for emissions and discharges of pollutants and waste disposal in the environment; • requirements of industrial safety in the construction, expansion, reconstruction, modernization, operation, conservation and liquidation of hazardous production facilities; • requirements of land legislation; • requirements for safe operation of equipment and facilities for storage and distribution of petrochemicals and gas, cranes; • requirements of safe use rules in the construction, assembling and commissioning of electrical networks and electrical equipment. 487. EPP will be the executing agency for the physical outputs of the project (para. 18). The EPP has a full-time PIU administering all consulting and procurement contracts of Toktogul Phase 113, Phase 214 and Phase 315 projects on behalf of EPP. The current PIU team will be expanded to carry out the same responsibilities for the Uch-Kurgan HPP Modernization Project. It will be responsible as well for bid evaluation, contract award, construction supervision, contract management, and reporting to the government and ADB. The project implementation unit will be supported by additional individual consultants and consultant company. Consultant company will assist in tendering and supervision of Uch Kurgan rehabilitation turnkey contract. 488. The Project Implementation Unit (PIU) shall be responsible for obtaining any required National and Local Permits for these facilities. 489. Full implementation of the EMP will require several different types of actions. Training needs must also be met at this stage, to make the PIU and contractors fully aware of their responsibilities and improve their understanding of environmental impact and mitigation.

13 Toktogul Phase 1 project refers to ADB Loan 2869/Grant 0294: Power Sector Rehabilitation Project. 14 Toktogul Phase 2 project refers to ADB Loan 3212/Grant 0419: Toktogul Rehabilitation Phase 2 Project. 15 Toktogul Phase 3 project refers to Loan 3422/Grant 0494: Toktogul Rehabilitation Phrase 3 Project.

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490. During construction planning, proactive effort will be required to lay the groundwork for effective implementation of mitigation measures during construction, primarily through the preparation and approval of the EMP. 491. On-the-ground mitigation actions will dominate during the construction period, as contractors will apply the measures specified in the EMP. 492. Similar day-to-day actions will continue in the operation period. EMP implementation will transition to include ongoing testing, analytical and adaptive work in the operation period. Throughout the entire Project life cycle, monitoring for compliance and environmental performance, as well as enforcement, will be constant. 493. EPP as responsible PIU for the project will recruit a Project Implementation Consultant (PIC). The national and international team of consultants will assist EPP as project supervision consultant on the modernization of Uch- Kurgan HPP. The Consultant will also provide capacity building training to EPP staff for project management and operation and maintenance for the Project. The Consultant will be essentially an extension of EPP. The Consultant will assist EPP in assuring that the project is implemented according to the specified standards. 494. The Consultant assignment will include the update of the environmental management and monitoring plan (EMP) detailing environmental mitigation measures, to address each identified impact and recommend appropriate environmental mitigation measures. He will assess the cost, responsibilities schedule, location and monitoring framework associated with the implementation of the mitigation measures and the EMP and he will assist EPP in monitoring the implementation of the EMP. 495. Most mitigation measures during construction have to be implemented by the Contractor through by preparation and implementation of a EHS plan what will be monitored by the Project Implementation Consultant (PIC) during the whole construction period. 496. Below in the table several groups are described who will have responsibilities with respect to implementation of the EMP, with the PIU taking the leading role in the EMP implementation.

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Table 26. List of responsible entities for EMP implementation Entity Role Specific EMP responsibilities PIU (Project Implementation Safeguards specialists involved in Provides guidance to contractors on Unit) training and monitoring. Local level preparation of SEMPs EPP/ PS GES entity with direct oversight of Monitors contractor compliance with Project, including EMP SSEMPs implementation Provides EMP-specified training PIC (Project Implementation Undertakes the technical oversight Ensure that EMP mitigation and monitoring Consultant) for the delivery of all safeguard measures re implemented and compliance measures reporting completed. Contractors Carry out most construction period Implements mitigation measures as mitigation specified in SSEMPs Jalal Abad TDEP (Jalal Abad Lead technical advisory services Provides oversight of monitoring Territorial Department for related to environmental protection Conducts some environmental monitoring Environmental Protection) in the Project site in particular Naryn Provides as advice as needed. river. Supporting role in relation to Oversees monitoring of health-related environmental and human health elements in the sediments management. implications of sediments Can provide inputs to strategies for management. addressing of sediments management, if they will identify as are contaminated. Can assist to solution in relation to sediments disposal issues. MoA (Ministry of Agriculture, Supporting role in relation to Provides to assist for regulation irrigation Food Industry and rehabilitation water intakes of water flow in the construction period Melioration of the Kyrgyz irrigation channels Republic) Department of Water Resources and Land Reclamation. Rayon water management department SIETS (State Inspectorate Supporting role in relation to Monitors worksite parameters pertaining to for Ecological and Technical occupational health and safety worker health and safety Safety)

Reporting 497. The results of any assessment for the facilities shall be considered and any required updates to the IEE and/or the EMP’s shall be carried out and supplied to ADB for approval. 498. Monitoring of environmental quality and of the implementation of mitigation measures will be performed by the Project Implementation Consultant (PIC) with sufficient TORs and staff-time for this task. Therefore, as a minimum over the project duration of 5 years, it is suggested PIC to recruit an international environmental specialist and a national environmental specialist. 499. Contractors will prepare Site Specific Environmental Management Plans (SEMP) as part of their EHS plan that will incorporate the environmental concerns identified in this IEE, the detailed measures of the EMP included in this document, and the contract. The EHS plan provides contractors an opportunity to address environmental concerns identified in the IEE, utilizing their own experience and site practices to state clearly how environmental issues will be addressed. From the EHS plan, a series of checklists will be derived by the Contractor with PIC input for use in auditing the contractor’s environmental performance and offering early identification of any deteriorating environmental standards. 500. Contractors will submit monthly and quarterly engineering reports and these must include information on EHS performance. Reporting will include but not be limited to:

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• Status of the EMP; • Status of any other contractor prepared environmental documents; • Status of environmental permits; • Recording any physical environmental monitoring results (e.g. air, noise, water quality); • Results of contractor and joint contractor / PIC site audits; • Grievance redress mechanism; • Interaction with the public – public consultations and complaints; • Training of site staff in environmental matters. 501. The PIU will prepare a six-month environmental monitoring report, drawing on the contractors monthly and quarterly environmental monitoring information and reporting the environmental performance of the project. This document will be disclosed on the ADB project website. 502. Implementation of the EMP will be documented by the PIU`s working closely with the PIC, ensuring proper compliance with all mitigation and monitoring measures specified in the EMP. The process of documentation will be guided by the framework provided by the EMP, and incorporate decisions coming from the application of the Grievance Redress Process. 503. The PIC shall prepare quarterly reports including the progress of the implementation of the EMP based on Contractor`s monthly reports. These reports shall be submitted to EPP and distributed to all involved departments, e.g. ‘Service of Reliability and Safety’. 504. The report shall contain all discrepancies from the EMP and list all EHS relevant incidents and accidents that occur during the implementation of the refurbishment measures. Based on these reports and on own regular construction site audits the Consultant together with EPP/PIU will prepare semi-annual performance and monitoring reports and submit them to ADB. Summary of Costs for Implementation of the Environmental Management Plan 505. Most of the mitigation measures require the contractors to adopt good site practice, which should be part of their normal construction contract. The quality monitoring of environment components to be conducted by the contractor during construction also should be part of their normal construction contract. The Table 26 indicates the total Budgetary Cost for Environmental Monitoring Specialists and Cost for social and environmental mitigation measures. Table 27. Estimated costs with respect to environmental mitigation Measure Costs Remark Mitigation measures and monitoring Included in Contractor 580,000 USD contract National Environmental safeguard specialist Included in PIC 100,000 USD for 5 years to be contracted by EPP International external auditor, twice a year, including travel costs 200,000 USD Included in PIC contract Environmental monitoring and supervision of mitigation measures Subtotal 880,000 USD 10% contingencies 30,000 USD Total 910,000 USD

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9. CONCLUSIONS AND RECOMMENDATIONS Conclusion 506. This IEE has examined the potential impacts of the modernization project of UK HPP. The project considered two main parts: the first of them modernization of equipment and rehabilitation of civil structures, the second of increase volume of water reservoir and strengthening flood safety management. 507. Upon assessment of the impacts in this IEE process, the project is proposed at Environmental Category B; since the predicted impacts are “site-specific”, with few irreversible, and in most cases mitigation measures can be readily designed and incorporated in the detailed design. 508. The assessment has concluded that the likely positive environmental and social impacts of the Project are considerable, and help to address a significant improvement of capacity of HPP and its reliable working, strengthening flood safety management and irrigation water flow regulation. 509. Following possible environmental impacts might be associated to the rehabilitation project: (i) safety and health issues during construction; (ii) increased truck movements during construction period also through inhabited areas; transportation of heavy equipment, construction materials and wastes; (iii) disposal of iron/steel, asbestos and other wastes; (iv) construction waste from civil works and some domestic waste generated by the workers; and (v) proper disposal of sediments. 510. The EMP specifies adequate mitigation measures and monitoring plans to cover these impacts. Although first rounds of surface sampling found no contaminants, samples will be collected at various depths to check if contaminants are present in deeper layers. The sampling and testing will be completed before any dredging operation could start. 511. Oils and scrap metals will be kept safe at the on-site storage area, which will be improved with financing under the project. EPP is responsible for ensuring that licensed companies, under the monitoring and supervision of the PMC and PIU, recycle and dispose oils and scrap metals. 512. On balance, the potential positive impacts of the Project greatly outweigh the potential negative ones, and this should hold true as long as appropriate mitigation of negative impacts is undertaken. To ensure that this happens, an EMP has been developed to specify appropriate mitigation measures for Project impacts, with the timing of implementation indicated and responsibility assigned. The measures included in the EMP cover the entire Project life cycle, from detailed design and construction planning through the operation period. The EMP also specifies responsibility for monitoring the implementation of each mitigation action, to ensure that all are put properly in place when needed, and that implementation problems can be addressed as they arise. 513. The IEE, EMP and its monitoring Plan, as part of the contract documents, shall be adhered to by the Contractor. Accordingly, the Contractor shall require all his Sub- Contractors to comply with and such stipulations should also be shown in Sub- contracting agreements. This will be verified by the PIC and submitted to PIU for their approval. Recommendations 514. In view of the impact balance discussed above, as well as the importance of effective mitigation and capacity building, this IEE report concludes with the following recommendations:

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515. The Project should be implemented, because it is needed and can be expected to make an overwhelmingly positive contribution to social and economic development of the Kyrgyz Republic. 516. All measures in the EMP, should be fully implemented in a competent and timely manner to ensure that the Project realizes its positive potential. 517. The institutional capacity building elements of the Project should be pursued with special vigor to ensure the long-term sustainability of the infrastructure and environmental management systems put in place. 518. The technical capacity building should parallel the institutional strengthening, with a focus on environmental monitoring, data management analysis and information sharing. 519. To ensure a smooth execution of the project, additional key studies and surveys are required before to launch the execution such as: • Deep boreholes samples at bottom of the reservoir to have reliable characteristics of the sediments to be dredged and to confirm the solution and cost of the dredging works. • Asbestos detailed survey to identify the possible presence of asbestos in the various equipment and areas of the power plant including a specific survey to identify the possible presence of lead or asbestos in the paints. Contractor will have this responsibility, as well as developing an effective asbestos management plan to minimize exposure to asbestos. 520. Mitigation measures have been developed to be utilized for finalization in the detailed design phase, for implementation in the construction phase, and subsequently for the operation phase, to reduce all negative impacts to acceptable levels. As per assessment in this IEE, the proposed Project is unlikely to significant environmental impacts. To ensure environmental and social safeguards, the IEE recommends that: • baseline measurements and periodic monitoring be done; • proper design should be produced; • Contractor should have SEMPs as part of its EHS plan approved before commencing construction works; • Contractor to designate environmental staff; • mitigation measures be implemented and monitored by the PIU; • PIC to provide sufficient training on EMP implementation and compliance monitoring for the PIC engineers and to the Contractor’s staff; • PIC to assist PIU in monitoring and reporting on EMP implementation • PIU shall oversee environmental compliance and ensure that reporting requirements are followed.

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ANNEXES Annex 1. Table. List of the Red Data Book species of the Kyrgyz Republic inhabiting the area adjacent to the Project zone in Jalal Abad Oblast

# Name of Name of Name of species Category/Status Area of habitation species species (Russian) (English) (Latin) Embryophytes – High Plants Korshinski’s1. Pyrus Груша VU, a narrow Chatkal and Fergana Pear Korshinskyi Коржинского endemic species Ranges Litv. of the West Tien- Shan Niedzwetzki’s2. Malus Яблоня VU, highly rare, Chatkal, Uzun-Akhmat Apple tree niedzwetski Недзвецкого endemic, ranges, SW part of Dieck disappearing Fergana range species, with insignificant number of the population Siever’s3. Apple Malus Sieverii Яблоня Сиверса LC Natural Reserves tree (Ledeb.) (zapovednik) – Padysh- Ata, Sary-Chelek and Besh-Aral, as well as in Dashan, Uzun-Akhmat, Iyri-Suu wildlife sanctuaries (zakasnik) Knorring4. Haw Knorringiana Боярышник VU, narrow The rivers Chychkan, tree Pojark. Кнорринга endemic species Chatkal and Fergana ranges Korolkov’s5. Stypholobium Софора CR Fergana Range Pagoda tree Korolkowii Королькова (Koche) Jakovl. Short6. -winged Colutea Пузырник VU Fergana and Alay ranges Bladder-senna brachipters короткокрылый Sumn. Microcarpus7. Dorema Дорема VU, rare endemic Chatkal, Fergana ranges Dorema microcarpum мелкоплодная species, under Korov. the threat of disappearance Andrachne8. - Scutellaria Шлемник VU, the rarest Piedmonts of Fergana like Scullcup andrachnoides андрановидный species valley Vved. inhabiting cliffs, narrow endemic species Lamyropappus9. Lamyropappus Ламиропаппус VU Piedmonts of Chatkal and schakaptarikus Шекафтарский Fergana ranges (B.Fedtch.) Arthopods Fergana10. Carabus Брызгун VU B1ab, II SW macro-slope of Ground Beetle (Pseudotribax) Ферганский category, narrow Fergana range, from Jalal ferganicus areal rare Abad city till the Kara-Suu Breuning 1933 species, endemic lake species of Fergana range Vigorous11. Corabus Брызгун могучий VU B1b (iii)+2b Both macro-slopes in the Ground Beetle (Preudotribax) (iii, iv), C2b middle part of Fergana validus Kraatz, range as well as its NW 1884 spurs – range Kokerim (south piedmonts) and Ak- Shiirak-Western range

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# Name of Name of Name of species Category/Status Area of habitation species species (Russian) (English) (Latin) Tchitcherin’s12. Prionus Усач Чичерина VU B2ab (iii) Kichik-Alay, Fergana, Root Borer (Pogonarton) Chatkal ranges, tchitcherini Tashkumyr city (Sememov, 1889) Juniper13. Urocerus sah Рогохвост LR-nt, III Besh-Aral Natural Horntail (Mocsary, арчевый category Reserve (zapovednik) 1881) (Chatkal), Sary-Chelek zapovednik, North part of Fergana range Amphibians and reptiles Steppe,14. or Agrinemus Среднеазиатская VU B1ab (ii, ii, v), Fergana valley region Afgan, tortoise horsfieldi черепаха C1 (Gray, 1944) Sheltopusik,15. or Pseudopus Желтопузик NT Turkestan, Alay, Fergana, Armour Galss- apodus Chatkal ranges, lower lisard (Pallas, 1775) courses of the Chatkal river Avifauna White16. stork Coconia Белый аист EN, IV category Outskirts of Jalal Abad coconia and Osh oblasts, (Linnaevus, Shamady Say settlement 1755) Lammergeier17. Gypaetus Бородач NT:R, VI Western and Central Tien barbatus category Shan ranges (Linnaeus, 1758) Egiptian18. Neophron Стервятник VU:R, V category Western Tien Shan Vulture percnopteur (Linnaeus, 1758) Eurasian19. Bubo bubo Филин LC, VII category Jalal Abad Oblast, Chatkal Eagle-Owl (Linnaeus, range 1758) hemachalanus Hume, 1873 White20. -winged Dendrocopus Белокрылый LC, VII category Alay and Fergana valleys Woodpecker leucopterus дятел (Salvadori, 1879) Mammals Asian21. Barbastella Азиатская NT:R, VI Piedmonts of Alay and Barastelle leucomelas широкоушка category Fergana ranges, in the (Asiatic Wide- (Cretzchmar, direct vicinities of Jalal eared Bat) 1826) Abad City Menzbir’s22. Marmota Сурок Мензбира NT B1+2с, Mountain areas of the marmot Menzberi endemic species rivers Pskem, Chatkal, at (Chatkal sub- (Kaschkarov, of West Tien the meadows of Chatkal species) 1925) Shan, narrow mountains, westward form areal ancient Chapyma pass, in the species, upper belts of Gava-Say and Ters.

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Annex 2. Sediment samples analysis The analysis report of the French laboratory is here-attached.

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Annex 3. Water quality analysis In order to analyse the water quality in different part of the reservoir and power plant, 6 water samples were taken at different locations: • 2 samples were taken in the reservoir, on right and left banks; • 3 samples were taken inside the powerhouse (turbine pits and drainage pit); • 1 sample was taken in the river downstream of the plant. The sampling has been performed with the following protocol: • The sampling was carried out on 21/04/2018 from 6 points: Left bank of the reservoir – at 17.26 p.m., Right bank of the reservoir – at 16.45 p.m., Turbine 1 pit – at 15.47 p.m., Turbine 2 pit – at 16.00 p.m., drainage pit – at 15.14 p.m., left bank downstream of the plant – at 14.30 p.m; • The selection was carried out in plastic bottles; • Preservation of samples was carried out by the following solutions: NaOH, H2SO4, HNO3; • To measure parameters such as pH, conductivity, oxygen content, aportable HANNA device was used; and a thermometer was used to measure water temperature (First data of samples); • The chemical analysis of water was carried out by the laboratory “STUART ESSEY AND ENVIRONMENTAL LABORATORY LLC” in Kyrgyzstan. The general location of the water samplings is presented on Figure 1 and Table 1-3 below.

Figure 1: General location of the samples of water for water quality analysis

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No element is found to be higher than the threshold indicated in the Water quality guidelines.

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Other parameters that were measured directly on site during sampling are presented on the Figures 2-7 below.

Figure 2: Data sheet of water sampling for the drainage pit

Figure 2-1: Picture of the water sampling in the drainage pit

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Figure 3: Data sheet of water sampling for the Turbine 1

Figure 3-1: Picture of the water sampling in the Turbine 1

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Figure 4: Data sheet of the water sampling for the right bank of the reservoir

Figure 5: Data sheet of the water sampling at the Turbine 2

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Figure 6: Data sheet of the water sampling for the left bank of the reservoir

Figure 6-1: Picture of the water sampling for left bank of the reservoir

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Figure 7: Data sheet of the water sampling downstream the dam

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Annex 4. Damen DOP Dredger 350L sheet

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Annex 5. MoM and Attendance sheets of Public Consultation Public Consultations Minutes of Meeting Date: Tuesday, August 07, 2018 Venue: Dostyk ayil-okmotu (local government) 1. In accordance with ADB policies planned activities of the Project should be accompanied by public hearings in the area of construction / rehabilitation works. 2. In this regard, the local expert team of the Uch-Kurgan HPP Modernization Project conducted public consultations in villages of the Project area. On August 7, 2018 two public hearings were held with local communities with assistance of local authorities. Project team informed the participants on feasibility study results, and its main goals and tasks. Leaflets in Russian and Kyrgyz languages were distributed to participants of the hearings. Public hearing in Dostuk ayil-okmotu (local government) 3. The first public hearing took place in the office of Dostuk ayil-okmotu (local government), where 18 people were present. Lists of participants are attached to this MoM. Meeting was also attended by the Director of the HPPs enterprise, the lead engineer of Capital Construction Department of HPPs enterprise, and the head of Dostuk ayil-okmotu. The Director HPPs enterprise opened the meeting and informed on general problems of HPPs Cascade operation, energy generation and supply issues, planned rehabilitation works at Power Plant. He also characterized technical aspects, and explained the benefits for local population from an implementation of this project. 4. Then the floor was taken by Nazgul Asanalieva, the project’s environmental expert and head of local experts group who in detail explained engineering solutions, expected environmental impacts of the project and mitigation measures. 5. Then the floor was taken by Djamila Aitmatova, project environmental expert who spoke about the social impacts of the Project's implementation. 6. Aina Argymbaeva, National Resettlement consultant, took the floor and informed participants about the land acquisition and resettlement policies. ADB’s Important Safeguard Messages are: if APs become more vulnerable or poorer then compliance with safeguards is not met, “to avoid involuntary resettlement wherever possible, to minimize involuntary resettlement and improve or at least restore the livelihoods of all displaced persons to pre-project levels”. 7. In accordance with Safeguard Policy Statement (SPS 2009) of ADB, land acquisition and resettlement plan is prepared and updated at the final design stage, approved and implemented before construction starts. 8. The resettlement plan is prepared on the basis of the results of: a) inventory of losses; b) census of affected households; c) detailed measurement survey; d) valuation of property; e) public consultations with general population and with affected people. 9. Also, Aina Argymbaeva spoke about the Grievance redress mechanism (GRM) that will be established to receive and facilitate resolution of the displaced persons’ concerns and the general population. GRM will be established under OJSC "Electric Power Plants" at the central and local levels. The complaint mechanism will include issues related to social, environmental and other aspects. 10. Members of the Grievance Redress Group will conduct activities to discuss complaints, assess their validity and facilitate implementation grievance mechanism. 11. The director of HPP enterprises noted that this mechanism will set up and will work throughout the project implementation period.

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12. The local population showed interest in information about the Project. The residents asked questions and expressed different views on the various aspects of the Project. In particular, the agronomist of the Dostuk Village suggested that if the silt were gradually run downstream, from the very beginning of the UK HPP operation, then the islands in the reservoir might not exist, and then it would not have to get in troubles and spend a lot of money to remove the bottom sediments. Also, he noted that the water contains silt, and this is good, because irrigating the soil with such water leads to a positive result, as it fertilizes the soil with microelements.

Questions of participants at During the presentation of Nazgul Asanalieva at the public hearings in Dostuk ayil- public hearings in the Dostuk ayil-okmotu okmotu

13. The head of the Dostuk ayil-okmotu (local government) noted that repair of irrigation channels will be carried out within the framework of the Project and will lead to positive changes in local community. Therefore, the project will only benefit for the life of local people. The main issue there should be no power outage in settlements located nearby to power plant. One of the participants asked if there could be electrical outages during the repair works? Nazgul Asanalieva and the Director of the HPPs enterprises responded that there will be no power outages, as the generator equipment will be replaced step by step, but not simultaneously all turbines at once.

Presentation by Aina Argymbaeva on Resettlement Safeguards

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14. Another participant of the hearings also raised the problem of bottom sediments and their extraction from the reservoir. He noted that if islands were formed from the silt, then probably volume of silt is very big. Where and how will they be placed? Can it be used as building materials? Is it possible to strengthen the earth dam with silt? Maybe an open-pit could be filled in with it? 15. The participants also noted that it is necessary to pay attention to the risks of mudflows in the area of the alleged location of bottom sediments. It is necessary to make calculations, otherwise all the silt will be disastrously transported in populated areas placed side by side, and will cause great damage to the population and infrastructure facilities. 16. The Director of HPPs enterprise explained that the French company Tractebel, which is involved in the development of engineering solutions for the Uch-Kurgan HPP modernization, will make calculations, and agreed that the land for bottom sediments storage should be selected in a very careful way. However, by themselves, the sludge/sediments can be of interest to local residents as a source of building materials, and may be used as fertilizers for farmland. The latter can be learnt only after carrying out appropriate agrochemical analyses and determining practical benefit when used in agriculture. 17. The head of ayil-okmotu (local government) expressed the opinion that this is very important also because bottom sediments saturated with water can get in propagation of algae, emit a marsh odor, attract mosquitoes and other insects, and thus create a lot of inconvenience for local residents. 18. The director of the PS HPP responded that this issue will be considered by the management of Uch-Kurgan HPP, PS HPP, OJSC EPP, and appropriate, well-grounded decisions will be made. In general, that is why we are holding public hearings, he said, so that the local population knew and understood what kind of work the Project would be doing, what kind of plans are available at the Uch Kurgan Hydro Power Plant and how they will be implemented. 19. The head of ayil-okmotu (local government) thanked for interesting presentations, and promised full assistance in finding a suitable piece of land to deposit bottom sediments. Public hearing in Shamaldy-Say ayil-okmotu (municipal government) 20. The second public hearings were held in Shamaldy-Say municipal government. The meeting was attended by the Mayor of Tash Kumyr city, the head of the Shamaldy Say Village authority, the director of the PS HPP, the lead engineer of the Uch-Kurgan HPP’s Capital Construction Department, the headmen of 6 nearby villages, and other representatives of local government, as well as the local population.

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Public hearings were Local residents asked Speech by the Mayor of Consultation of Aina opened by the Director many questions Tashkumyr Argymbaeva for local of HPPs enterpise residents

21. The public hearing was opened by the Director of the PS HPP, who spoke about the general features of the project and gave the floor to Djamila Aitmatova. She told about works that will be implemented and why they will be produced at the HPP, how long it will take and what specific activities will be carried out, including cleaning the reservoir. 22. The information aroused keen interest among listeners. A number of questions were asked: 1) In particular, one of the participants asked when the bottom sediment will be excavated: before the replacement of the equipment, or after? 2) Another participant noted that the project with its works on the rehabilitation of irrigation canals is connected with the Namangan region of neighboring Uzbekistan. Is there co-financing of these works on Uzbekistan’s part? 3) Excavated silt from the reservoir - where and how will it be transported to the depositing place? By a pipeline or transported by vehicles? Will the rehabilitation of the Left Bank Canal be carried out? 4) How to deal with the turbidity of water? It is obvious that during the pumping of silt from the bottom of the reservoir, the water will be turbid. Uch-Kurgan HPP stands on a transboundary watercourse. Therefore, if the water is turbid, Uzbekistan will be unsatisfied and we will have problems. 23. The director of HPPs enterpise responded that at the stage of engineering solution consideration, HPPs enterpise provided its comments on the strengthening of canals, agreed on the feasibility study of these issues. Each generating unit will be replaced separately one by one. The most critical pumping stations are Ak-Shaar, and Jyyrmanchy (Station # 20). Therefore, they have decided to propose to establish intermediate stations. 24. The mayor of Tashkumyr city suggested that instead of 5 pumping stations one common pump station should be installed. So, it will be economically more profitable, from his point of view, and the issue with stable water supply and the issue with disinfection (chlorination) of water will be resolved. Such amendments need to be made to the project. He noted that if the Project needs land for bottom sediments – “we will find it and provide! The people entirely for such a project, no one is against it!

Director of the Division Participants of Female-participants of Participants of Public of Public Utilities at the Public hearings in Public hearings in hearings in Shamaldy-Say SS HPP, Shamaldy-Say Shamaldy-Say Shamaldy-Say explains his point of view

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25. One of the participants noted that irrigation channel has been operating since 1965 and its rehabilitation is very important for local people. It is very important to ensure water supply during implementation period for population of three ayil-okmotu (local governments). Therefore, it is important to transfer the pumping station for the period of construction works. He also noted that inclusion of one representative from each village authority into project documentation development is very important as they better known regional problems and can bring up good ideas. 26. Then Aina Argymbaeva, National Resettlement consultant, took the floor and informed participants about the land acquisition and resettlement policies. ADB’s Important Safeguard Messages are: if APs become more vulnerable or poorer then compliance with safeguards is not met, “to avoid involuntary resettlement wherever possible, to minimize involuntary resettlement and improve or at least restore the livelihoods of all displaced persons to pre-project levels”. 27. In accordance with Safeguard Policy Statement (SPS 2009) of ADB, land acquisition and resettlement plan is to be prepared, which is updated at the final design stage, approved and implemented before construction starts. 28. The resettlement plan is prepared on the basis of the results of: a) inventory of losses; b) census of affected households; c) detailed measurement survey; d) valuation of property; e) public consultations with general population and with affected people. 29. Also, Aina Argymbaeva spoke about the Grievance redress mechanism (GRM) that will be established to receive and facilitate resolution of the displaced persons’ concerns and the general population. GRM will be established under OJSC "Electric Power Plants" at the central and local levels. The complaint mechanism will include issues related to social, environmental and other aspects. 30. Members of the Grievance Redress Group will conduct activities to discuss complaints, assess their validity and facilitate implementation grievance mechanism. 31. Also, the issue of water quality / turbidity during excavation of bottom sediments from the reservoir aroused a keen interest of participants in public hearings. With regard to the turbidity of water, which is expected to appear as a result of bottom sediment cleaning, Nazgul Asanalieva responded that this parameter will be constantly monitored. 32. In conclusion, the local residents thanked for the information provided and wished success in Project implementation. At this point the public hearing was closed.

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Attendance sheets of Public Consultation

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Annex 6. Brochure of Project for Public Consultation

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Annex 7. Letters 1. Letter to EPP

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2. Letter from Shamaldy-Say ayil-okmotu on sediments dewater land plot.

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Location

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Translation of Letter from Shamaldy-Say ayil-okmotu on sediments dewater land plot.

DATE: 10.08.2018 № 01-38/238

TO: A.Kamchybekov, Director of HPPs enterprise FROM: N.Jorobayev, Head of Shamaldy-Say ayil-okmotu (local government)

Dear Akylbek Arstanovich,

We have reviewed your letter dated by 18.07.2018 № 13-3/2010 on Uch-Kurgan HPP (UK HPP) modernization project and request to provide land plot for sediments storage as a result of conducting bottom cleaning operations for improvement of the dam safety in case of possible floods.

I would like to inform you that the land requested is available in distance of 2 kilometers from the Uch-Kurgan HPP and we are ready to provide it for the above mentioned purposes.

At present the land plot to be provided used as waste deposit area and belongs to Shamaldy- Say ayil okmotu (state owned land).

The area has the following parameters:

• Not under lease; • Non-agricultural land; • The area is in public land without encroachers, squatters or renters; • Not available as residential construction area.

The length of the territory is 554 meters, width is 56 meters and depth is 4,5 meters. The total volume is 170 000 m3.

Kind regards,

N.Jorobayev, Head of Shamaldy-Say ayil-okmotu

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1. Letter from Dostyk ayil-okmotu on sediments disposal (deposit) area

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Translation of Letter from Dostyk ayil-okmotu on sediments disposal (deposit) area

Kyrgyz Republic Jalal-Abad region Nooken district Dostyk ayil-okmotu

DATE: 09.08.2018 № 01-5/379

TO: A.Kamchybekov, Director of HPPs enterprise FROM: Z. Mamasydykov, Head of Dostuk ayil-okmotu (local government)

Dear Akylbek Arstanovich,

We have reviewed your letter dated by 22.07.2018 № 13-3/2010 on Uch-Kurgan HPP (UK HPP) modernization project and request to provide land plot for sediments storage as a result of conducting bottom cleaning operations for improvement of the dam safety in case of possible floods.

I would like to inform you that Dostyk ayil-okmotu can provide the land requested located in distance of 20 kilometers from the Uch-Kurgan HPP in the northern part of ayil-okmotu territory, which is far from residential/non-residential constructions and designated as construction waste deposit area.

The land plot has the following parameters:

• Not under lease; • Non-agricultural land; • The area is in public land without encroachers, squatters or renters; • Not available as residential construction area.

The length of the territory is 475 meters, width is 190 meters and depth is 8,5 meters. The total volume is 760 000 m2.

Kind regards,

Z. Mamasydykov, Head of Dostyk ayil-okmotu

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Annex 8. Land Acquisition and Resettlement Framework (LARF)

Land Acquisition and Resettlement Framework

September 2018

KGZ: Uch Kurgan Hydropower Plant Modernization Project

This draft Land Acquisition and Resettlement Framework (LARF) is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature.

In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

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Uch Kurgan Modernization Project - RRP PAM rev. A

ABBREVIATIONS

ADB Asian Development Bank AH Affected Household APs Affected Persons CAPS Central Asian Power System C&P Consultation and Participation COI Corridor of Impact EA Executing Agency EDB European Development Bank EPP Open Join-Stock Company Eletric Power Plants GRG Grievance Redress Group GRM Grievance Redress Mechanism HPP Hydroelectric Power Plant IA Implementing Agency KR Kyrgyz Republic kWh Kilowatt-hour KGS Kyrgyz Som (currency unit) LAR Land Acquisition and Resettlement LARC Land Acquisition and Resettlement Commission LARP Land Acquisition and Resettlement Plan LARF Land Acquisition and Resettlement Framework LFP Local Focal Point NGO Non-Governmental Organization PD Preliminary Engineering Design PIU Project Implemeting Unit PIC Project Implementation Consultant PPTA Project Preparatory Technical Assistance SES Socioeconomic Survey SPS Safeguard Policy Statement US$ United States Dollar

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DEFINITION OF TERMS

Compensation – This is payment given in cash or in kind to affected persons (APs) at replacement cost or at current market value for assets and income sources acquired or adversely affected by the project. Cut-off date – Is the date when the DMS was completed (19 June 2018). Anyone who occupies or encroaches into the defined boundaries of the Project area after this date is not entitled to compensation and other assistance for affected assets and incomes. Detailed Measurement – With the use of approved engineering drawings, this activity Survey (DMS) involves list of assets affected, severity of impacts, and list of APs done during the preparation of this draft Land acquisition and resettlement plan (LARP). Affected person (AP) – Refers to any person or persons, household, firm, private or public institution that, on account of changes resulting from the Project, will have its (i) standard of living adversely affected; (ii) right, title or interest in any house, land (e.g., residential, commercial, agricultural, and/or grazing land), water resources or any other fixed assets acquired, possessed, restricted or otherwise adversely affected, in full or in part, permanently or temporarily; and/or (iii) business, occupation, place of work or residence or habitat adversely affected, with or without physical displacement. Eligibility _ Eligible APs may fall under any of the following groups: (i) Those who have formal legal rights to land lost including customary and traditional rights; (ii) Those who do not have formal legal rights to land lost as of the cut-off date but have claims to such land or assets that are recognizable under national laws; and, (iii) Informal settlers who satisfy the condition for eligibility to compensation as provided in the definition of “cut-off date for eligibility”. Non-eligible APs include those making claims based on subsequent occupation after the cut-off date for eligibility. Entitlements – Refers to a range of measures, such as compensation in cash or in kind, income restoration support, transfer assistance, relocation support, etc., which are provided to the APs depending on the type and severity of their losses to restore their economic and social base. Ethnic Minority _ People with a group status having a social or cultural identity distinct from that of the dominant or mainstream society. Land acquisition – Refers to the process whereby an individual, household, firm or private institution is compelled by a public agency to alienate all or part of the land it owns or possesses to the ownership and possession of that agency for public purposes in return for compensation at replacement costs. Land Acquisition and – This is a time-bound action plan with budget, setting out the Resettlement Plan resettlement objectives and strategies, entitlements, activities and (LARP) responsibilities, resettlement monitoring, and resettlement evaluation. Relocation – This is the physical displacement of an AP from his/her pre- project place of residence and/or business. Replacement cost – Means the amount in cash or in kind needed to replace an asset in its existing condition, without deduction of transaction costs or depreciation and salvageable materials, at prevailing current market value at the time of compensation payment.

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Severely affected – This refers to AHs who that “are (i) physically displaced from their Households residences and have to relocate or (ii) losing from 10% or more of their income generating/productive assets. Vulnerable groups – These are distinct groups of people who might suffer disproportionately or face the risk of being further marginalized due to the project and specifically include: (i) female-headed households, (ii) household with disabilities, (iii) households falling under the generally accepted indicator for poverty, (iv) elderly households with no other means of support, (v) non-title holders, (vi) ethnic minorities.

CONTENTS

1. Introduction ...... 172 1.1 Project Overview ...... 172 1.2 Defined Safeguard Responsibilities ...... 173 1.3 Potential Land Acquisition and Resettlement Impacts ...... 174 2. OBJECTIVES, POLICY AND LEGAL FRAMEWORK ...... 174 2.1 Country legislation ...... 174 2.1.1 Constitution ...... 175 2.1.2 Civil Code ...... 175 2.1.3 Land Code ...... 176 2.1.4 Provisions ...... 176 2.1.5 Law on Grievances ...... 177 2.1.6 Provisions on Asset Valuation ...... 177 2.2 Safeguard Policy Statement of ADB...... 177 2.3 Comparasion Kyrgyz Republic legislation and ABD Ressettlement Policy ...... 179 3. COMPENSATION ELIGIBILITY AND ENTITLEMENTS ...... 181 3.1 Eligibility ...... 183 3.2 Entitlements ...... 184 3.3 Unforeseen Impacts ...... 184 4. SURVEYS, IMPACTS ASSESSMENT, AND RESETTLEMENT PLANNING ...... 184 4.1 Socioeconomic Survey, Census, Inventory of Losses ...... 184 4.2 Compensation, Income Restoration and Relocation ...... 185 5. PUBLIC CONSULTATION, PARTICIPATION AND DISCLOSURE ...... 186 6. INSTITUTIONAL FRAMEWORK ...... 187 6.1 ADB ...... 187 6.2 EPP/PIU ...... 187 6.3 Consultant ...... 188 6.4 Ministry of Finance ...... 188

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6.5 LAR Commission ...... 188 6.6 GRGs ...... 188 7. GRIEVANCE REDRESS MECHANISM ...... 188 7.1 Grievance Redress Mechanism ...... 188 7.1.1 Objectives ...... 188 7.1.2 Grievance Redress Groups ...... 189 7.1.3 Additional Mechanisms ...... 190 7.1.4 Complaint Documentation ...... 191 8. CAPACITY BUILDING FOR LARP IMPLEMENTATION ...... 191 9. RESETTLEMENT BUDGET AND FINANCING ...... 191 10. MONITORING AND REPORTING ...... 191 Appendixes ...... 193 Appendix 1: OUTLINE OF LAND ACQUISITION AND RESETTLEMENT PLAN ...... 193 Appendix 2: Involuntary Resettlement Impact Screening Checklist ...... 196

LIST OF TABLES

Table 1: Gaps and Reconciliation Provisions…………………………………………………….….180 Table 2: Compensation Entitlement Matrix…………………………………………………...... …...182 Table 3: Grievance Resolution Process………………………………………………………...…....189

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1. INTRODUCTION

1. This Land Acquisition and Resettlement Framework (LARF) has been prepared for the proposed Uch-Kurgan Hydropower Plant Modernization Project. The LARF (i) describes the project and its outputs; (ii) explains the general anticipated land acquisition and involuntary resettlement impacts of the project; (iii) specifies the requirements that will be followed related to screening and categorization of the additional project activities, changes of the design and locations of the project sites (including disposal sites), assessment, and planning, including meaningful consultation with affected people and other stakeholders and information disclosure requirements. The LARF provisions shall guide the Project Implementation Unit (PIU) in the EPP, the project executing agency, in selecting, screening, and categorizing of any additional project components and activities which are not included in the original project plan. This LARF includes Land Acquisition and Resettlement Plan (LARP) template to guide the executing agency to prepare LARP in case if such a need arises. The document is based on the Kyrgyz Republic applicable laws and regulations, as well as the ADB’s Safeguards Policy Statement (SPS) 2009.

1.1 Project Overview

2. The Kyrgyz Republic power sector is characterized by aging assets, high commercial loses, and poor performance of the sector companies. Most assets are more than 30 years old and approaching the end of their economic lives. Given the increased demand for power in the Kyrgyz Republic, modernization and replacement of power sector assets are critical for energy security in the country.16 In 2011–2016, the economy has shown sustained growth, averaging at 4.75%. Growth is expected to slow in 2017 to due to the downturn in the mining sector, before recovering in 2018 with faster growth in the economies of key trading partners.

3. Currently, hydropower accounts for more than 3,070 megawatts (MW) of the total 3,786 MW of power generation capacity installed, producing 80% of the country’s power generation. In addition, there are two combined heat and power plants in Bishkek and Osh where electricity is generated as a byproduct. The country’s hydropower potential is estimated to be more than 18,000 MW, with 94% of small hydropower potential remaining untapped.17 Almost 100% of the population is connected to the electricity grid; however, with the increase in demand, outages occur in the winter months when hydropower generation does not meet peak demand.18

4. The Kyrgyz Republic power sector consists of a generation companies—Open Joint- Stock Company Electric Power Plants (EPP); a transmission company; four electricity distribution companies; and a district heating company, all of which are state owned. In July 2016, the State Committee for Industry, Energy and Subsoil Use took over strategic (SCIESU) planning, policy development, and forecasting from the Ministry of Energy and Industry, which was

16 Winter consumption grew by 62% from 2009 to 2012, while summer consumption grew by 16% in the same period. World Bank. 2014. Power Sector Policy Note for the Kyrgyz Republic. Washington, DC. 17 In Kyrgyz Republic, small HPP is defined as having capacity of 30 MW and below. United Nations Industrial Development Organization and International Center of Small Hydropower. 2013. World Small Hydropower Development Report. 18 World Bank. 2013. Press Release: A More Efficient Kyrgyz Electricity Sector Could Reduce the Power Deficit by Half. Washington. http://www.worldbank.org/en/news/press-release/2013/06/26/more- efficient-kyrgyz-electricity-sector-could-reduce-power-deficit-by-half.

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abolished at the end of 2015 to optimize the activities of state agencies.19 The State Agency for Regulation of Fuel and Energy has tariff-setting, regulation and licensing authority, while in early 2016 the National Energy Holding Company (NEHC) was established to manage the state-owned energy companies.

5. The country is the largest net exporter of electricity to the 500-kilovolt Central Asian Power System (CAPS), with average annual exports of 1,600 gigawatt hours (GWh) between 2007– 2014. Exports of hydro-based electricity to CAPS occur during summer when electricity production exceeds domestic demand, which is associated with water release for regional irrigation needs.20 Along with electricity imports to augment supply, fossil fuels are imported during winter to supply thermal power plants.

6. Uch-Kurgan hydropower plant (HPP) is the downstream plant of the Naryn River Cascade, in the Jalal-Abad province, close to the border with Uzbekistan. The power plant was commissioned in 1962 with installed capacity of 180 MW – that is, 4 Kaplan turbine units of 45 MW each. It is the fifth in a line of HPPs along the Naryn River cascade and is mainly operated to produce base load power for Kyrgyzstan and Uzbekistan connected to the 110 kilovolt (kV) transmission system. The outdated and under-maintained facility is at the risk of breakdown for the next five years. Without substantial improvements of the equipment, the powerhouse and appurtenant structures have been progressively degraded where the capacity of one of the four units has reduced to 38 MW. All the electrical and mechanical equipment installed in the powerhouse is outdated and worn out. In addition, severe sedimentation (more than 70% of the reservoir capacity) has affected the dam storage capability and blocked four of the eight outlet gates. This has reduced the live storage capacity and limited the powerhouse operation into a run-of-river plant where four of the eight bottom outlet gates are non-operational.

7. Impact and Outcome. The impact is an improved operational performance of Kyrgyz Republic power sector which is consistent with the State policy on energy security.21 The outcome will be an improved Naryn River Cascade hydropower generation performance. 8. Outputs and Beneficiaries: The project’s physical outputs will be (i) electromechanical generation equipment replacement; (ii) hydraulic steel structures refurbishment and replacement; and (iii) dam stability security establishment of the Uch-Kurgan HPP. In addition, the project will promote women participation in a male-dominated power sector by engaging at least 10 newly-graduate female engineers in EPP’s HPP operations. This rehabilitation is expected to result in (i) increased capacity of all four power generating units from 45 MW to 56 MW; (ii) restored flood discharge capacity of 3,000 m3; (iii) reinforced dam foundations and structure; and (iv) installed dam monitoring system.

1.2 Defined Safeguard Responsibilities

9. The following are the main responsibilities of the PIU of EPP if any additional activities are planned and changes of design and locations of the facilities occur during project implementation stage:

19 Government of the Kyrgyz Republic. 2015. About Organization Measures in Connection with New Structure of the Government of Kyrgyz Republic. Bishkek (Resolution number 768). 20 CAPS connects the power systems of Southern Kazakhstan, Uzbekistan, Tajikistan, and the Kyrgyz Republic. 21 Government of Kyrgyz Republic. 2016. Concept for Development of Energy Sector of The Kyrgyz Republic Till 2030. Bishkek.

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I. Conduct screening of any additional project activities and changed design and locations of the facilities; II. If land acquisition and involuntary resettlement is identified as a result of the screening, prepare LARP according to the LARF, and get ADB clearance before public disclosure by ADB and PIU of EPP; III. If land acquisition and involuntary resettlement is identified as a result of the screening, conduct periodic social safeguard monitor of the project throughout the project implementation period; and IV. Submit semi-annual social safeguard monitoring reports to ADB.

1.3 Potential Land Acquisition and Resettlement Impacts

10. This LARF provides the framework for any activities under the project however particular attention should be paid to the location of the sediment disposal sites. During the project preparation stage, due diligence confirmed that there were three sediment disposal sites identified for this project and these sites would not cause any land acquisition and involuntary resettlemet mpacts. If any changes occur with regard to the locations of the identified three sediment disposal sites or additional disposal site(s) is required (e.g. sediment disposal site for contaminated sediments etc.), screening needs to be conducted to the new locations of the disposal site(s) to confirm the existence of land acquisition and involuntary resettlement impacts. If land acquisition and involuntary resettlement impacts are identified as a result of the screening, LARP needs to be prepared and submitted to ADB for approval. Until compensation is fully provided to the affected persons and compensation payment results are validated by ADB, any civil work cannot start at the impact sites. LARF will provides the necessary guidance for the PIU of EPP, as the PIU of EPP will be responsible to ensure all the activities are compliant with ADB safeguard requirements and procedures.

2. OBJECTIVES, POLICY AND LEGAL FRAMEWORK

11. This LARF is a document of the borrower and reflects the relevant national legal framework and requirements along with specific ADB’s requirements under its Safeguard Policy Statement (SPS) 2009. The document is agreed between EPP and ADB and no changes shall be made to the LARF without prior approval from ADB.

12. The objectives of this LARF are to guide PIU in defining the displaced people, conducting a socio-economic assessment of affected population, identifying types the extent of permanent and temporary impact, eligibility and compensation as well as assistance to Displaced People (DP).

13. Land Acquisition and Resettlement Plans (LARPs), when necessary, will be prepared in accordance with this LARF upon assessment, guidelines and recommendations by the social safeguards specialist, for the project. This LARF will also help PIU to prepare, implement and monitor the LARPs for the project when needed.

2.1 Country legislation

14. The following laws and Normative Acts regulate land/real property ownership rights and rules and procedures for obtaining state ownership right to privately owned land parcels based on the necessary public needs caused due to constructions activities: (i) Constitution of the Kyrgyz Republic (28 December 2016) (ii) Civil Code (08 May 1996, No. 16; last amended on 08 June 2017)

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(iii) Land Code (02 June 1999, No. 45; last amended 01 June 2017) (iv) Law on State Registration of Rights and Associated Transactions (22 December 1998, N 153, last amended on 10 February 2017) (v) Law on Grievances (dated 04 May 2007, last amended on 27 July 2016) (vi) Valuation Standards for Valuators (Government Resolution No.217, 03 April 2006, last amended on 15 November 2016)

2.1.1 Constitution

15. Constitution of the Kyrgyz Republic is the principal and supreme law to which all other Kyrgyz laws must conform. According to the Constitution, international agreements to which the Kyrgyz Republic is a party that have entered into force under the established legal procedure shall be the constituent part of the legal system of the Kyrgyz Republic. Enforcement of an international agreement may be done through its signing, exchange of notes and letters, ratification, approval, accession to an international agreement, or other way agreed by the parties of such international agreement. If an international agreement ratified by the Jogorku Kenesh (National Parliament) of Kyrgyz Republic establishes rules other than those envisaged by civil legislation, the rules of the international agreement shall be applied (Article 6, Civil Code 2017).

16. The Constitution of Kyrgyz Republic (28 December 2016), Article 12 also provides that: • The Kyrgyz Republic recognizes diversity of ownership forms and guarantees the equal legal protection to private, state, municipal and other types of ownership (Clause 1). • Ownership is inviolable and no one can be dispossessed of its property arbitrarily. The property can be acquired by the state against the person’s (party’s) will only based on the court’s ruling (Clause 2) • Land can be in private, municipal and other types of ownership with an exception of pasturelands that cannot be held in private ownership (Clause 5). • Acquisition of property for the public purposes, as defined in the national laws, can be carried out only through the court’s ruling and with the fair and prior payment of the compensation for the affected property as well as other costs (Clause 2).

2.1.2 Civil Code

17. The Civil Code (08 May 1996, No. 16; last amendment on 08 June 2017, No. 100) provides that: a party whose rights are violated can claim full loss reimbursement (full compensation for losses incurred), unless the national legislation or the agreements (contracts) prepared in line with the national legislation indicate the contrary. The relevant provisions include articles 14 and 15.

18. Article 14: Loss Reimbursement. Clause 1 of Article 14 defines the losses that subject to reimbursement (compensation): (i) A person, whose right is violated, may claim full compensation for losses incurred, unless the law and/or terms and conditions of agreement entered by the parties in compliance with the law provides the contrary. (ii) The losses are defined as follows: a) A person, whose right was violated and who incurred or will have to incur costs to restore violated rights, losses or damage to his property (actual loss), and also b) Un-received income, which a person would have received under normal conditions of civil turnover, if his right had not been violated (income loss), c) If a person earned income through violating a law, a person whose rights were thus violated can claim loss reimbursement along with other costs, actual loss in the amount no less than income earned by a violator.

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19. Article 15: Compensation for Losses Caused by the State Agencies and Local self- government. Losses incurred on a citizen or legal entity as a consequence of illegal actions (or inactivity) of state agencies, bodies of local self-government or officials of these bodies, including issuance by a state body of an act that does not comply with legislation, are subject to compensation by the state, as well as local self-government authorities in the cases foreseen under the law.

2.1.3 Land Code

20. Article 68 of the Land Code (02 June 1999 N 45, last amended on 01 June 2017, No. 95) defines withdrawal of land plot for state and public needs.

21. Article 68: Withdrawal (Redemption) of the Land for State and Public Needs: • Acquisition (purchase) of a land plot for state and public needs may be exercised on the grounds of an agreement between the authorized agency and landowner or land-user. If no agreement is achieved with the land owner/land-user, the authorized agency has the right to apply to the court within two months from the date of official denial of landowner/land-user. • During price calculation, the purchase (redemption) price of a given land plot, shall include market value of the land and buildings and structures attached to the given land plot, as well as losses incurred to landowner/land-user as a result of termination of rights to a land plot, including the damages/losses related to the earlier termination of liabilities with third parties. • In the event of withdrawal of the land plot for the state or public needs another land plot may be allocated to a land owner/user, subject to his consent and the value of the right to it shall be credited to the redemption price.

22. The Land Code specifies that the right to the land and associated structures can be terminated, among others, when land is needed for state or public purposes. A court decision is required to officially terminate the rights to land and associated structures. The acquisition of the land can be effected only after compensating the costs of the rights termination and associated costs (Article 49).

23. According to Article 49, unless the legislation, land title or lease contract indicates the contrary, the land owners or user can have the right to: • Use land based on owner’s/user’s own discretion and in accordance with the targeted purpose of the land; • Build structures on the land, according to its targeted purpose, following established procedures and meeting architectural, construction, environmental, sanitary, fire safety and other requirements • Claim compensation for losses suffered, as specified by the Kyrgyz Republic legislation.

24. Finally, the Land Code (Article 78) specifies the use regime with regards to the lands of common use. It particularly indicates that lands of common use in settlements/towns/villages (e.g. roads, streets, squares, sidewalks, driveways, park bands, boulevards, mini parks, water bodies, etc.) cannot be in private ownership, and only in exceptional instances can be rented by the authorized state body to legal entities and individuals for maximum of 5 years. The authorized state body may permit construction of light (not capital) structures on lands of common use.

2.1.4 Provisions

25. The Law on State Registration of Rights of Immovable Properties and Associated Transactions (hereinafter - state registration of rights) is a legal act of recognition and confirmation of rights to immovable properties and their encumbrances (restrictions), as well

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as real estate transactions, providing protection for the rights and encumbrances (restrictions), except as provided in this Law (Article 1).

26. Any other document or entitlements and their limitations, are subject to mandatory registration in accordance with Article 4 of this Law, submitted to the registration authority not later than thirty days from the date of the (drafting) of the above document (Article 7).

27. The property rights, which are not subject to the registration, but are recognized and protected by the State include (Chapter 1, Article 6): • Access rights to the communication lines, pipelines, geodesic localities, and other pieces of infrastructure meant for public use; • Rights of spouses, children, and other individuals; • Temporary rights, lease or sub-lease for a period of under 3 years; • Actual use rights for the primary or preferential use of the property; • Rights arising from the taxation requirements; • Encumbrances arising from the common rules on healthcare, public safety, environmental protection etc.

2.1.5 Law on Grievances

28. The Law on Grievances (23 March 2007, last amended on 27 July 2016, No. 151) provides that the grievance from Kyrgyz Republic citizens should be registered, given due consideration, and addressed in an equitable, timely and accountable manner (Article 2 and 4). The grievance registered with the state agency or the local government should be processed within no more than 30 days (Article 8). For the grievance to be given due consideration, it should be filed in written, showcasing the substance of the complaint and, if necessary, supported by the relevant documentation (Article 4 and 5). The grievance submitted should be processed and resolved strictly following the relevant national laws and regulations (Article 11).

2.1.6 Provisions on Asset Valuation

29. The valuation of assets is based on the Interim Rules of activities of appraisers and appraisal organizations in the Kyrgyz Republic (Government Resolution No. 537 of 21 August 2003, last amended on 03 December 2012, No. 807) as well as property valuation standards, mandatory for all the subjects of valuation activity in the Kyrgyz Republic (Government Resolution No. 217 of 03 April 2006, last amended on 15 November 2016, No. 593) and other provisions of national legislation.

2.2 Safeguard Policy Statement of ADB

30. For any ADB operation requiring involuntary resettlement, resettlement planning is an integral part of project design, to be dealt with from the earliest stages of the project cycle. The SPS (2009)22 of ADB sets guidance and requirements for resettlement planning, as well as the follow-up implementation.

31. The objectives of ADB’s safeguard policy on involuntary resettlement are: to avoid involuntary resettlement wherever possible; to minimize involuntary resettlement by exploring project and design alternatives; to enhance, or at least restore, the livelihoods of all displaced persons in real terms relative to pre-project levels; and to improve the standards of living of the displaced poor and other vulnerable groups.

22 SPS (English) available at: https://www.adb.org/documents/safeguard-policy-statement; and SPS (Russian): https://www.adb.org/ru/documents/safeguard-policy-statement

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32. The three important elements of ADB’s involuntary resettlement policy are: (i) compensation to replace lost assets, livelihood, and income; (ii) assistance for relocation, including provision of relocation sites with appropriate facilities and services; and (iii) assistance for rehabilitation to achieve at least the same level of well-being with the project as without it.

33. The policy principles for involuntary resettlement are: (i) Screen the project early on to identify past, present, and future involuntary resettlement impacts and risks. Determine the scope of resettlement planning through a survey and/or census of displaced persons, including a gender analysis, specifically related to resettlement impacts and risks. (ii) Carry out meaningful consultations with displaced persons, host communities, and concerned nongovernment organizations. Inform all displaced persons of their entitlements and resettlement options. Ensure their participation in planning, implementation, and monitoring and evaluation of resettlement programs. Pay particular attention to the needs of vulnerable groups, especially those below the poverty line, the landless, the elderly, women and children, and Indigenous Peoples, and those without legal title to land, and ensure their participation in consultations. Establish a grievance redress mechanism to receive and facilitate resolution of the displaced persons’ concerns. Support the social and cultural institutions of displaced persons and their host population. Where involuntary resettlement impacts and risks are highly complex and sensitive, compensation and resettlement decisions should be preceded by a social preparation phase. (iii) Improve, or at least restore, the livelihoods of all displaced persons through (a) land-based resettlement strategies when affected livelihoods are land based where possible or cash compensation at replacement value for land when the loss of land does not undermine livelihoods, (b) prompt replacement of assets with access to assets of equal or higher value, (c) prompt compensation at full replacement cost for assets that cannot be restored, and (d) additional revenues and services through benefit sharing schemes where possible. (iv) Provide physically and economically displaced persons with needed assistance, including the following: (a) if there is relocation, secured tenure to relocation land, better housing at resettlement sites with comparable access to employment and production opportunities, integration of resettled persons economically and socially into their host communities, and extension of project benefits to host communities; (b) transitional support and development assistance, such as land development, credit facilities, training, or employment opportunities; and (c) civic infrastructure and community services, as required. (v) Improve the standards of living of the displaced poor and other vulnerable groups, including women, to at least national minimum standards. In rural areas provide them with legal and affordable access to land and resources, and in urban areas provide them with appropriate income sources and legal and affordable access to adequate housing. (vi) Develop procedures in a transparent, consistent, and equitable manner if land acquisition is through negotiated settlement to ensure that those people who enter into negotiated settlements will maintain the same or better income and livelihood status. (vii) Ensure that displaced persons without titles to land or any recognizable legal rights to land are eligible for resettlement assistance and compensation for loss of non-land assets. (viii) Prepare a resettlement plan elaborating on displaced persons’ entitlements, the income and livelihood restoration strategy, institutional arrangements,

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monitoring and reporting framework, budget, and time-bound implementation schedule. (ix) Disclose a draft resettlement plan, including documentation of the consultation process in a timely manner, before project appraisal, in an accessible place and a form and language(s) understandable to displaced persons and other stakeholders. Disclose the final resettlement plan and its updates to displaced persons and other stakeholders. (x) Conceive and execute involuntary resettlement as part of a development project or program. Include the full costs of resettlement in the presentation of project’s costs and benefits. For a project with significant involuntary resettlement impacts, consider implementing the involuntary resettlement component of the project as a stand-alone operation. (xi) Pay compensation and provide other resettlement entitlements before physical or economic displacement. Implement the resettlement plan under close supervision throughout project implementation. (xii) Monitor and assess resettlement outcomes, their impacts on the standards of living of displaced persons, and whether the objectives of the resettlement plan have been achieved by taking into account the baseline conditions and the results of resettlement monitoring. Disclose monitoring reports.

34. The ADB SPS (2009) distinguishes three categories of affected persons (APs) or displaced persons, with variable compensation needs: (i) APs with formal rights: APs with formal legal rights to land lost in its entirety or in part; (ii) APs with semi-formal rights: APs without formal legal rights to land lost in its entirety or in part but who have claims to such lands that are recognized or are recognizable under national law; and (iii) APs with non-formal rights: APs who have neither formal legal rights nor recognized/recognizable claims to land lost in its entirety or in part.

35. For categories (i) and (ii) above, borrowers are expected to provide compensation at full replacement cost for lost land, structures, land improvements and relocation assistance. For APs in category (iii) (informal settlers), the borrower/client is expected to compensate all assets other than land (i.e. buildings, trees, cops, businesses) at full replacement cost. The risk of opportunistic encroachment on land designated for acquisition by the project is managed through a cut-off date.

36. Compensation for lost land may be in the form of replacement land (preferable if feasible) or in cash. When “land for land” compensation is not feasible cash compensation can be valued based on market rates or, in absence of land markets, through other methods (i.e. land productivity or reproduction costs). Independently from the valuation method used, compensation is to be provided at “full replacement cost” including: (i) transaction costs; (ii) interest accrued; (iii) transitional and restoration costs; and (iv) other applicable payments, if any. Compensation for all other assets is to be provided in cash at replacement cost without deductions for amortization, salvaged materials and transaction costs.

2.3 Comparasion Kyrgyz Republic legislation and ABD Ressettlement Policy

37. Table 1 presents the gaps between the policy requirements of the SPS (2009) and of the Kyrgyz laws and regulations, as well as practices of ADB financed projects and the reconciliation provisons.

Table 1: Gaps and Reconciliation Provisions

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Area/Impact/Issue ADB SPS (2009) Kyrgyz Legislation and Comments Reconciliation Practice with ADB on Gaps Measures Financed Projects LAR planning and When an ADB financed Appropriate documentation Gap exists. The LARP will be documentation project causes LAR on impact and valuation is prepared and it will impacts, a LARP is to to be prepared but such a be based on DMS, be prepared. The documentation does not SES, C&P, and LARP shall be based have the format of a LARP independent on DMS, SES, valuation consultations and valuations, etc. Title status and APs with formal titles: Land loss: compensation at No compensations compensation for lost replacement costs or difference land and non-land replacement land or market assets at full values replacement costs or Structures: compensation Minor Compensations at market values but depreciation counted difference full replacement costs will be included in the LARP Crops & tress: mandated Minor Compensations at but selectively applied difference valuated prices will be included in the LARP APs with formalizable APs with formalizable titles: Gap exists Legalization of title: compensation for legalization is not formalizable titles lost land and non-land distinguished and by the Gosregister assets at full considered. during the LARP replacement costs or implementation, if market values, yet EA any. shall help them in legalizing their assets. APs with no legal title: Non-legal APs have no Gap exists Lost assets, other to be compensated for right to be compensated for than land will be lost non-land assets land and non-land assets. compensated at valuated replacement costs or market values will be included in the LARP. Loss of business Reimbursement of Cash compensation at Minor Valuation of losses actual losses plus market value for all difference will be carried out business damages/opportunity costs by independent reestablishment costs. incurred. Burden of proving valuator; For application based opportunity costs rest on Compensation for on tax declared income the AP based on business for period of business recognized/documented interruption and interruption. In evidence but no clear rehabilitation absence of tax methodology. assistances will be declaration based on included in the maximum non-taxable LARP. salary. Information Resettlement-related No disclosure requirement Gap exists The final LARP, in disclosure documents to be timely exists. Kyrgyz and disclosed in the APs’ Russian language. languages, will be disclosed in affected villages and various government agencies The final LARP, in English, Russian

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Area/Impact/Issue ADB SPS (2009) Kyrgyz Legislation and Comments Reconciliation Practice with ADB on Gaps Measures Financed Projects and Kyrgyz languages will be disclosed on ADB and EPP websites. Consultation Meaningful public Matters of local importance Gap exists Formal public consultations are to be to be publicly discussed consultations will held with the APs. APs with local authorities. But be carried out in should be informed no requirement to consult the affected about their entitlements directly the APs villages in the and options, as well as process of resettlement preparing the alternatives LARP.

Grievance A GRM is to be Each state agency/ministry Minor Structured GRM established for each should define a process for difference will be established project. Information on registering and reviewing and details will be GRM is to be the concerns and claims included in the communicated to the from citizens LARP. APs Monitoring Implementation of Not required Gap exists Monitoring will be LARP is subject to planned in the monitoring, and LARP. monitoring reports shall be disclosed. Asset acquisition Property can be Property can be acquired No Notice to conditions acquired only after full only after full compensation difference contractors to compensation is paid to is paid to APs proceed the APs construction works in LAR impacted segments cannot be given until ADB has approved the LARP implementation report. Assistances to These APs are to be No special consideration is Gap exists Assistances will be vulnerable and identified and special given to these APs. included in the severely affected assistances shall be LARP APs provided to restore/ improve their pre- project level of livelihoods

38. The borrower has drafted this LARF for the Project in order to bridge the gaps between the legislation of the Kyrgyz Republic and ADB’s Safeguards policy. It will serve as a guiding tool for planning and implementing LAR in compliance with the ADB SPS.

3. COMPENSATION ELIGIBILITY AND ENTITLEMENTS

39. All LAR impacts under the Project will be identified and compensated according to the eligibility criteria and entitlement matrix conforming to the legislation of the Kyrgyz Republic as well as ADB’s safeguards policy. Summary of the entitlements for this Project is included in the Table 2 below.

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Table 2: Compensation Entitlement Matrix Type of Impact Application Type of DPs Compensation Entitlements 1. Agriculture Land Loss Legal Owners − Compensation at replacement value. − DPs with legalizable title have right to be compensated for lost land and Legalizable Owner assets after the EAs helps them to legalize their assets. − Legal Leaseholder will be compensated 1.1 for loss of produce for the number of Agricultural Land AH losing permanently or years remained in the lease or will be Loss temporary agricultural Leaseholder given a new lease. permanently land regardless of impact (private/municipal/st − Legalizable user of land (some affected severity ate) confirming documents are missing but can be restored/obtained) will be legalized and compensated as a legal Leaseholder. − Compensation will be paid only for the loss of structures, improvements on Non-legalizable DPs land and agricultural produce. No compensation for land. 2. Residential/Commercial Land Loss Owner − Replacement cost at market value − After legalization, compensation at Legalizable Owner replacement cost Residential/Comm Leaseholder AH losing their − Legal Leaseholder will be compensated ercial land (private/municipal/st commercial/ residential for loss of produce for the number of 2. ate) land years remained in the lease or will be given a new lease. − Compensation will be paid only for the Non-legalizable AHs loss of structures and improvements on land (see items 3 and 4. 3. Compensation for Affected Houses and Structures − Compensation at replacement cost for House/structure the affected portion, without deduction 3.1 partly affected (the for depreciation or salvageable All AHs regardless of their Owner/user remaining parts materials; legal status just require − Allowance to rebuild or repair the repairs) remaining portion; level of allowance will be determined by the EA. 3.2 All AHs regardless of their Owner/user − Compensation at replacement cost for House/Structure legal status the entire affected structures, without totally affected deduction for depreciation or

salvageable materials.

− Cash compensation for expenses for

execution of documents;

Assistance for severe impacts and for

relocation (see items 5.1 and 5.2)

4. Affected Crops and Trees − Compensation for the loss of productive trees on the basis of the value of the annual harvest from the tree (s) over a Productive trees loss number of years necessary to replace the tree (s) to achieve an equivalent 4. Affected crops and All AHs irrespective productivity + cost of the seedling. trees of legal status of land − Compensation for loss of unproductive Unproductive trees loss use trees based on value of the wood volume. Decorative tree/bushes − Compensation based on market value. losses − Compensation based on the harvest Agricultural crops value for one year at market rate.

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Type of Impact Application Type of DPs Compensation Entitlements All Ahs irrespective − Compensation based on the market Affected pastures Loss of fodder of legal status of land value of fodder use 5. Other Support and Assistance

All severely affected All AHs including − A rehabilitation allowance of 6 months Allowances for households (those who informal settlers and at minimum national salary for relocated Severe Impacts lose 10% or more of relocated renters. 5.1 AHs. income generating asset) . All relocated AHs − Relocation under the Project 5.2 Relocation Transport costs for including relocated arrangement or market-based cost of Allowances relocation renters and movable transport for self-relocation within the businesses. village/settlement. 5.3 − In addition to any other entitlement, a Vulnerable HH as Assistance for All vulnerable cash allowance equivalent to 6 months per definition in the vulnerable households; per HH of a minimum salary and LARP/LARF. households employment priority in Project-related

jobs.

− In kind support for facilitating logistics if

moving is required.

Compensation for ALL HH who have to buy All AHs with land − Compensation for real costs of 5.4 registration of a new land and register acquired. registration; documents new properties 6. Temporary and Unforeseen Impacts − Pay a rent to AHs. The rent will be Temporary impacts on Legal and legalizable negotiated with affected households. Temporary land HH − The land will be restored to its pre- Impacts during project condition 6.1 construction − The contractor will have to ensure Temporary impacts on All HH access to shops and residences; access − Construction period will be minimized; − Rehabilitation will be based on the GRM Committee makes above provisions and in compliance with Unforeseen LAR 6.2 decisions on an individual All AHs the Land Acquisition and Resettlement Impacts, if any basis Framework (LARF) and applicable laws of the Republic of Kyrgyzstan. 3.1 Eligibility

40. The displaced persons eligible for compensation or rehabilitation provisions shall include line the following:

(i) All land owning displaced persons losing land or non-land assets, i.e., crops and trees whether covered by legal title or traditional land rights, whether for temporary occupation or permanent acquisition; (ii) Tenants and sharecroppers, whether registered or not; for all non-land assets, based on prevailing tenancy arrangements; (iii) Displaced persons losing the use of structures and utilities, including titled and non-titled owners, registered, unregistered, tenants and leaseholder’s plus encroachers and squatters; (iv) Displaced persons losing business, income and salaries of workers, or a person or business suffering temporary effects, such as disturbance to land, crops, and business operations both permanently and also temporarily during construction; (v) Loss of communal assets and public infrastructure; (vi) Vulnerable displaced persons identified through the social impact assessment (SIA); and (vii) In the event of relocation, all displaced persons will receive transitional and other support to re-establish livelihoods.

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41. Compensation eligibility will be limited by a cut-off date for each subproject on the day of the beginning of the DP Census and DMS. The EA will announce the cut-off date through the appropriate channels (local and national mass media). Anyone who occupies or encroaches into the defined boundaries of the subproject area after this date is not entitled to compensation and other assistance for affected assets and incomes.

3.2 Entitlements

42. The project entitlements developed and presented in the entitlement matrix are based on regulations of the Kyrgyz Republic and ADB Social Safeguard policies. Entitlements for each type of AHs are based on the types and levels of losses. The entitlements also provide various measures aimed at providing opportunities for AHs to obtain development benefits from the project as well as assisting vulnerable AHs to improve their living standards. 43. All compensations will be based on independent valuation results, while the valuation itself followed the LAR principles and the above mentioned entitlements.

3.3 Unforeseen Impacts

44. If during project implementation, additional adverse social impacts are identified and/or additional AHs are found, these persons and households are entitled to receive Project entitlements as the others on condition that it can be ascertained that they have actually been in the Project area before the cut-off date for eligibility. New AHs that will emerge due to changes in Project design or alignment prior to or even during construction works are likewise entitled to the same entitlements as those of the other AHs, consistent with the Project LARF.

4. SURVEYS, IMPACTS ASSESSMENT, AND RESETTLEMENT PLANNING

45. This section describes the required procedure for preparation of resettlement planning document that includes the methodologies to be used for socioeconomic surveys, censuses, inventories of losses, and assessments of land losses. It also describes the methods and outlines preparation of resettlement plan for the subprojects entailing resettlement impacts.

4.1 Socioeconomic Survey, Census, Inventory of Losses

46. The EA with the assistance of the social safeguard consultants will conduct a census and inventory of all losses (IOL) due to the project works based on detailed engineering design. Details on the scope and methods of carrying out the census, Socioeconomic Survey (SES) and Detail Measurement Survey (DMS) are provided below. I. Inventory of losses (IOL) and assessment of land losses. Based on final engineering design, IOL will be conducted in areas identified where there is a potential risk of a household(s) being adversely affected by the proposed project. Specific data that needs to be gathered includes (i) type or nature of landholding that will be affected by the project, (ii) size; (iii) type and extent of possible project impacts; and (iv) name of owner/tenant of the property that will be affected. It will include all types of losses incurred by affected persons such as area of land to be acquired, type and area of affected structures (houses, shops, fences, sheds, toilets, wells, etc.) damaged infrastructure (drainage, electricity, sewer lines, cable, etc. if any) heating, number of affected trees by type, area of crop production, loss of income and/or livelihood, loss of employment, permanent or temporary impacts, etc.

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II. Detail Measurement Survey and Census. PIU and resettlement specialists of Supervision Consultants will undertake surveys for each identified subproject, based on detailed/final technical design. Detailed measurement survey (DMS) includes the following: (i) a full inventory/measurement of all land/other assets losses including buildings, crops, trees, and income; (ii) describing the type of (construction) materials used, i.e. concrete, brick, mud/mud-brick etc.; iii) an assessment of unit replacement values for each affected item/loss will be conducted to ascertain the value of losses and identify rehabilitation measures to mitigate impacts. A valuation company/individual licensed valuator will be contracted to provide valuation report and define the replacement value per item per AP. Valuation report will serve as a basis for defining compensation package along with other entitlements. III. The census of affected persons will be conducted to document the status of potentially affected people within the subproject impact area and identify vulnerable affected persons. It shall cover 100% of affected households/entities, and should identify and record all affected persons. The census will include a socio-economic profile of affected households and entities, especially their assets and main sources of livelihood. These resettlement investigations will be the basis to prepare a detailed inventory of losses for each affected person in terms of type and extent of impact with respect to land, structure, livelihoods and access to common property resources, if any. IV. Socio-economic sample survey. The socio-economic sample survey to be conducted for the final LARPs prior to contract award will supplement additional information gathered during the project impact assessment. The survey will provide general socioeconomic profile for all the affected households with the focus on severely affected households and affected households/entities. The survey will also collect sex- disaggregated data to address gender issues in resettlement and analysis of social structures and income resources of the population. V. Database. All information concerning resettlement issues related to land acquisition, socioeconomic information of the affected land, structures, inventory of losses by individual affected persons, compensation and entitlements, payments and relocation will be entered onto a computer database. This database will form the basis of information for preparation and implementation of LARP, monitoring and reporting purposes and facilitate efficient management and monitoring of compensation distribution. The collected data and the analysis shall quantify the degree of losses and implications for the affected households in terms of living conditions, livelihoods, income loss, intangible loss and other impoverishment risks.

4.2 Compensation, Income Restoration and Relocation

47. Income restoration assistance to the affected persons includes various strategies. Short term income restoration strategies are for immediate assistance during relocation and include the following: • Compensation for land, structures, and all other lost assets is paid in full before construction activity begins; • DPs losing entire structures are entitled to shifting and reconstruction allowance (cash) for moving to alternative premise for re-establishing house/business; • Shifting allowance for households based on actual cost of moving/unloading; • As a gap-filling measure, special permit will be given for physically displaced Aps to construct new house/buildings on the replacement land, while the procedure of earmarking the land plot is done and registration of the land use rights is on-going. Having done that, the EA will ensure the registration of land use rights is reasonably

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speed-up and DPs do not face difficulties getting their land use certificates. This issue will be one of the focus areas for the resettlement monitoring task.

5. PUBLIC CONSULTATION, PARTICIPATION AND DISCLOSURE

48. According to ADB SPS (2009), APs must be meaningfully consulted and provided with opportunities to participate in the planning and implementation of LAR. Under the same principles, APs have to be informed in an appropriate and timely manner of the LAR planning process and outcomes, as well as the schedules and procedures for the preparation and implementation of the LAR activities, including entitlements, payment procedure and relocation.

49. The Constitution of Kyrgyz Republic guarantees the right of the people to access information on activities of state and municipal authorities in the manner prescribed by the Constitution.23 In addition, it confers citizens the right to receive information on the disbursement of funds from the state budget, as prescribed. The Law of the Kyrgyz Republic on access to information held by state bodies and local self-government bodies requires maximum openness of information, publicity and transparency of the activities of the state and local authorities. 50. Following the above requirements, information disclosure, consultation and participation (C&P) activities should be timely carried out in the process of preparing the LARP. C&P plan will be prepared and will be implemented during LARP and project implementations, further information disclosure. 51. This LARF in Kyrgyz and Russian languages will be disclosed to the public on the EA website. It will be also disclosed to the affected communities. LARF in English will also be disclosed on ADB website after being endorsed by the EA and ADB. Consultation with the affected communities will be held throughout the Project cycle.

52. During the LARP preparation SES with the inclusion of gender disaggregated data and consultations with communities, in addition to the information about the Project, LAR processes, bidding process and expected time for the beginning of the works, the EA Decree on the GRM and information about the cut-off date will be provided to the APs.

53. During the LARP implementation, the following information disclosures are planned:

• uploading of the draft LARP in English on the ADB website; distribution of copies of the LARP in the Kyrgyz and Russian language in the local authorities' offices

• posting of the approved draft LARP in the Russian language on the EPP website;

• in case of changes in project design, which may result in changes of resettlement impacts, measurement of additional impact, valuation and updating of the LARP will be undertaken. Consultations with DPs and information disclosure will be ensured as per the established LAR consultations procedure. The updated LARP will be disclosed to the displaced persons, and submitted to the PIU and ADB for approval prior to the commencement of construction in the section(s) where the design has been changed. The updated and approved LARP will be uploaded on the ADB and EPP websites.

23 Article 33, Chapter II of the Constitution of Kyrgyz Republic.

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6. INSTITUTIONAL FRAMEWORK

54. The planning, preparation and implementation of the LARP involves distinct processes and different parties, including ADB, EPP, Ministry of Finance, LARC, etc.

55. The project executing agency will be EPP, with responsibility overall project progress and implementation of all the project activities. A project implementation unit (PIU) within EPP will be established to implement the project on behalf of EPP, supported by a project implementation consultant led by international specialists.

6.1 ADB

56. ADB will be the funding agency of the project, including LAR activities except land acquisition costs. In addition to funding; ADB will periodically review project and LARP implementation status as well as provide clearance for contract awards and the signing/initiation of civil works on the project.

57. Main responsibilities of ADB at loan implementation stage are: (i) Selection and mobilization of a design consultant with approved national and international resettlement specialists and inclusion of costs and requirements for resettlement related activities in the tender/contract documents; (ii) Approval of the Action Plan of LARP processes; (iii) LARP submission, approval and endorsement; (iv) Disclosure of LARP; (v) ADB reviews and approves Compliance report; ADB issues No objection to construction.

6.2 EPP/PIU

58. EPP is the Executing Agency (EA). As the EA, EPP has the overall responsibility for project implementation, as well as the LARP implementation.

59. Main responsibilities of EPP/PIU at loan implementation stage are: (i) Selection and mobilization of a design consultant with approved national and international resettlement specialists and inclusion of costs and requirements for resettlement related activities in the tender/contract documents; (ii) Approval of the Action Plan of LARP processes; (iii) Agreeing on key implementing mechanisms for the final LARP; (iv) Engaging LARC; (v) Selection of the Consultant for DMS, Census, SES and Valuation; Training LARC on ADB SPS (2009) and LAR; (vi) Community Consultations; (vii) Re-activate GRM. Establish GRCs and appoint Focal Persons; (viii) Approval of the Valuation Report by the relevant authority; (ix) Assisting in legalization processes; (x) Disclosure of compensation amounts to APs; (xi) LARP submission, approval and endorsement; (xii) Disclosure of LARP; (xiii) Implementation of LARP; (xiv) Monitoring and reporting on LARP implementation; (xv) Preparation of LARP Compliance Report for ADB revision and approval; (xvi) Handing over LAR impacted site for construction.

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6.3 Consultant

60. Tasks and responsibilities of the Consultant at detailed design stage include: (i) Development of Action Plan for LARP preparation; (ii) Agreeing on key implementing mechanisms for the final LARP; (iii) Selection of the Consultant for DMS and Valuation; (iv) Training LARC on ADB SPS (2009) and LAR; (v) Community Consultations; (vi) Preparation of Implementation Ready LARP and its submission for approval to EPP/ADB.

61. At project implementation, a Project Imlementation Consultant (PIC) will be engaged to assist EPP/PIU to implement the LARP and to carry out monitoring and reporting.

6.4 Ministry of Finance

62. The Ministry of Finance has the overall financial responsibility for the Project. Compensations to AHs will be paid through the Ministry.

6.5 LAR Commission

63. Main responsibility of the LARC is to assist EPP to implement the LARP. Others roles of the LARC include: (i) Participation in public consultations (ii) Assisting PIU to carry out internal monitoring (iii) Participation in GRM, facilitating resolution (iv) Facilitating land surface clearance of ROW after LAR being implemented

6.6 GRGs

64. Any complaints during LARP implementation and construction period will be registered and addressed by the GRGs. Functioning of GRGs are detailed in the following subsection.

7. GRIEVANCE REDRESS MECHANISM

7.1 Grievance Redress Mechanism

65. The Grievance Redress Mechanism (GRM) is a process and forum through which the affected people need a trusted way to voice and resolve concerns about LAR and the project also finds an effective way to address affected people’s concerns. For this project, A GRM will be established.

66. APs and local people have the right to file complaints and/or queries on any aspect of the project, including LAR, environmental and other safeguard issues. Under the GRM, people may appeal any decision, practice or activity related to the project. All possible avenues will be made available to the affected persons and others to voice their grievances. The PIU will ensure that grievances and complaints on any aspect of the project are addressed in a timely and effective manner.

7.1.1 Objectives

67. Objectives of the GRM are: • To reach mutually agreed solutions satisfactory to both the project and the APs, and to resolve any grievances locally, in consultation with the aggrieved party;

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• To facilitate the smooth implementation of the LARP, particularly to cut down on lengthy litigation processes and prevent delays in project implementation; and • To facilitate the development process at the local level, while maintaining transparency as well as to establish accountability to the affected people.

68. The mechanism will consist of grievance resolution of two levels, the local and central levels. At each level, a grievance redress group (GRG) will be established. The role and responsibility of the GRGs is to accept claim and complaints, assess its validity, determine the scope of eventual impacts, and timely resolve the issue, including the claims regarding the compensation and maintain GRM as flexible and efficient to address and resolve the claims as raised during LARP and project implementation.

69. The GRM covers issues related to social, environmental and other safeguard issues under the ADB safeguard covenants and Kyrgyz laws.

7.1.2 Grievance Redress Groups

70. Local Focal Points (LFP) are located within the city hall of Tash-Kumyr and Dostyk ayil okmotu. LFP receives and screens complaints, convenes and facilitates GRG meetings, provides necessary documents, and keeps all records, including a complaints log.

71. The grievance redress mechanism (GRM) involves two stages appeals Local and Central Levels.

72. The GRGs will function for the duration of Project implementation. The local GRGs to be located in city hall and ayil-okmotu and the central GRG is set at the EA (EPP) in Bishkek.

73. The LFP of GRGs will be regularly available and accessible for APs to address concerns and grievances. He will assist the aggrieved APs in formally lodging their claims to the GRG. The complaints and grievances from the APs will be addressed through the process described below.

Table3. Grievance Resolution Process Steps Action level Process Timeline Step 1 Resolution At initial stage, the LFP will give hearing to the aggrieved person and try to give acceptable solutions. 5 days If any aggrieved AP is not satisfied with the solutions, then the aggrieved AP will lodge grievances in written to the concerned local GRG within 5 days. Step 2 GRG After receiving written complaints of AP the LFP will Resolution review and prepare a Case File for GRG hearing and 14 days resolution. A formal hearing will be held with the GRG at a date fixed by the LFP in consultation and the aggrieved APs. On the date of hearing, the aggrieved AP will appear before the GRG at the office of concerned Ayil- Okmotu/City Hall and produce proof in support of

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his/her claim. The LFP will note down the statements of the complainant and document all proof. The decisions from majority of the members will be considered final from the GRG and will be issued by the LFP and signed by other members of the GRG. The case record will be updated and the decision will be communicated to the complainant AP by the LFP within 14 days of submission. If any aggrieved AP is not satisfied with the solutions, then the LFP will lodge grievances in written to the central GRG at EPP with conclusion and supporting documents prepared at local level. Step 3 Resolution After receiving written complaints of AP the GRG of Central Chairperson of the central GRG will review and 14 days GRG prepare a Case File for GRG hearing and resolution. A formal hearing will be held with the GRG at a date fixed by the GRG Chairperson and the aggrieved APs. GRG members will contact the complainant and visit his village/town. The EPP Project Coordinator will note down the statements of the complainant and document all proof. The decisions from majority of the members will be considered final from the GRG and will be issued by the GRG Chairperson and signed by other members of the GRG. The case record will be updated and the decision will be communicated to the complainant AP by the EPP Project Coordinator within 14 days of submission.

7.1.3 Additional Mechanisms

74. Any physical and legal person, any appellant can communicate his/her concern to the court at any stage of grievance redress. The GRGs will not restrict or influence the AP from applying to court for legal remedies. If the complaint is found invalid, the GRG will formulate a response and send a written letter to the complainant, explaining the reasons of rejection.

75. In addition, ADB has its Accountability Mechanism Policy (2012)24 that is to be accountable to people for ADB-assisted projects as a last resort mechanism. The accountability mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

24 https://www.adb.org/site/accountability-mechanism/main.

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76. The complainant, if not satisfied with GRG’s decision or even the court’s decision, can appeal the case to Office of the Special Office Facilitator of ADB25. The GRGs will not in any way impede APs’ access to the ADB Accountability Mechanism.

7.1.4 Complaint Documentation

77. The EPP will document all grievances in both written and electronic forms.

8. CAPACITY BUILDING FOR LARP IMPLEMENTATION

78. To ensure satisfactory and smooth implementation of potential LAR issues under the Project and to further develop capacity of the EA to handle LARPs, EPP will need to recruit a social safeguard consultant to manage all relevant issues. 1-2 days’ awareness raising sessions on ADB social safeguards, including land acquisition and involuntary resettlement, compensation entitlements, public consultation, Grievance Redress Mechanism, internal and external monitoring of resettlement plans will be carried out for Central and local level stakeholders, involved in LARP preparation and implementation, when the Project starts.

9. RESETTLEMENT BUDGET AND FINANCING

79. All the costs associated with LAR administration, compensation of DPs and LARP implementation will be financed by the government of the Kyrgyz Republic.

80. Ministry of Finance of the Kyrgyz Republic will allocate funding based on the submitted request from EPP with details of the DPs and compensation amounts based on the LARPs. The funds will be transferred to the special account in every concerned district and DPs will pick-up their compensation amount in person when verified against their passports/IDs. EPP together with the internal monitor/resettlement Consultant will observe compensation payment and carry out sample survey of DPs who received compensation. The results of the monitoring will be reflected in the periodic Social Safeguards Monitoring Reports to the ADB.

81. EPP will ensure compensation funds are made timely available and DPs are compensated prior to acquiring their land and private assets. It will estimate detailed LARP budget, which will include: (i) detailed costs of land acquisition, structures, trees, relocation, and livelihood and income restoration and improvement; (ii) administrative costs; (iii) LARP implementation costs.

10. MONITORING AND REPORTING

82. The implementation of the LARP will be subjected to internal monitoring. Internal monitoring will focus on LARP implementation progress and will be conducted by EPP/PIU with assistance from Consultant.

83. The objectives of the monitoring are to: (i) monitor LARP implementation progress and check whether or not the time lines are being met; (ii) assess if compensation, rehabilitation measures and social development support are sufficient; (iii) identify problems or potential problems;

25 www.adb.org/site/accountability-mechanisn/contacts

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(iv) identify immediate/rapid response methods to mitigate problems or potential problems; (v) ensure that the GRM is functioning and grievances, if any, are being addressed timely and effectively; and (vi) ensure that the standard of living of AHs is restored or improved.

84. Upon completion of land acquisition and resettlement, PIU will prepare a LARP implementation report for ADB’s review and approval.

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Appendixes

Appendix 1: OUTLINE OF LAND ACQUISITION AND RESETTLEMENT PLAN

A. Executive Summary This section provides a summarized information of project scope, key survey findings, entitlements and recommended actions.

B. Project Description (i) General description of the project, including project objectives, scope, implementation timelines, institutional arrangements. Discusses project components that result in land acquisition, involuntary resettlement, or both, and identifies the project area. (ii) LARP preparation rationale, including the alternatives considered to avoid or minimize resettlement. Include a table with quantified data and provide a rationale for the final decision. (iii)Objective and scope of the LARP. (iv) Project cut-off date, including a concept of the cut-of-date, its legal consequences, approach to the definition and mechanisms of communication to APs. (v) LAR related project implementation conditions.

C. Scope of Land Acquisition and Resettlement

(i) discusses the projects impacts; (ii) describes the scope of land acquisition; (iii) key effects in terms of assets acquired and displaced persons; and (iv) provides details of any common property resources that will be acquired.

D. Socioeconomic Information and Profile

(i) defines, identifies and enumerates the people and communities to be affected; (ii) describes the impacts of land and asset acquisition on the people and communities; (iii) discusses the project’s impacts on the poor, and/or ethnic minorities, and other vulnerable groups; and (iv) identifies gender dimension of LAR

E. Information Disclosure, Consultation, and Participation

(i) identifies project stakeholders, especially primary stakeholders; (ii) describes the consultation and participation mechanisms; (iii) describes the activities on project and resettlement information; (iv) summarizes the results of consultations; (v) confirms disclosure of the draft resettlement plan; and (vi) describes the planned information disclosure measures.

F. Grievance Redress Mechanisms

Please see guidance notes GRM, for additional information

G. Legal Framework

(i) describes national and local laws and regulations; (ii) describes the legal and policy commitments; (iii) outlines the principles and methodologies used for determining valuations and compensation rates; (iv) describes the land acquisition process.

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H. Entitlements, Assistance and Benefits

(i) defines displaced persons’ entitlements and eligibility; (ii) specifies all assistance to vulnerable groups and (iii) outlines opportunities for affected persons.

See Guidance Notes on Compensation for additional information

I. Relocation of Housing and Settlements (i) describes options for relocating housing and other structures; (ii) describes alternative relocation sites considered; (iii) provides timetables for site preparation and transfer; (iv) describes the legal arrangements to regularize tenure; (v) outlines measures to assist displaced persons; (vi) describes plans to provide civic infrastructure; and (vii)explains how integration with host populations will be carried out.

J. Income Restoration and Rehabilitation

(i) describes income restoration programs; (ii) outlines measures to provide social safety net through social insurance and/or (iii) project special funds; (iv) describes special measures to support vulnerable groups; (v) explains gender considerations; and (vi) describes training programs.

K. Resettlement Budget and Financing Plan (i) includes budget for all resettlement activities; (ii) describes the flow of funds; (iii) includes a justification for all assumptions; (iv) information about the source of funding for the resettlement plan budget.

L. Institutional Arrangements

(i) describes institutional arrangement responsibilities and mechanisms; (ii) includes institutional capacity building program; (iii) describes role of NGOs; and (iv) includes a gender sensitive description of all arrangements

M. Legalization of Displaced Persons’ Rights

Action plan on assistance required for the legalization process of DPs’ rights shall be provided with specific timelines and responsible parties identified. This action is a country specific and includes requirements of national laws and regulations on legalization of DPs’ assets in order to make DPs eligible for compensation. For more details, please refer to GN 9 – Legalization of DPs.

N. Implementation Schedule

The implementation schedule should cover all aspects of resettlement activities synchronized with the project schedule of civil works construction, and provide land acquisition process and timeline.

O. Monitoring and Reporting

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Describes the mechanisms and benchmarks appropriate to the project for monitoring and evaluating the implementation of the resettlement plan. It specifies arrangements for participation of affected persons in the monitoring process. This section will also describe reporting procedures.

P. LIST OF APPENDIXES The following appendixes should be attached to the LARP: 1. List of DPs with respective impacts and loses 2. Survey and Valuation Methodology 3. All survey instruments (for example, assets inventory checklist, Census survey questionnaire etc.); 4. Template of assets description protocol(s); 5. Sample of acquisition contract and/or agreement; 6. Documents, brochures disclosed and to be disclosed to APs (for example, project information brochure, LARP information brochure, notification letters, GRM etc.); 7. Documentation related to public consultations, including minutes of meetings, list of participants, photos etc.; 8. TOR for different participants/entities involved in the LARP implementation – such as the LARP implementation team, External Monitoring Agency, GRM implementers etc; 9. Other relevant documents.

For more details, please see the ADB SPS 2009, Annex to Appendix 2: Outline of a Resettlement Plan.

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Appendix 2: Involuntary Resettlement Impact Screening Checklist

Possible Involuntary Resettlement Effects Yes No Not known Remarks Involuntary Acquisition of Land 1. Will there be any land acquisition?

2. Are the locations for land acquisition known?

3. Is the ownership status and current usage of land to be acquired known? 4. Will there be loss of shelter and residential land due to land acquisition? 6. Will there be loss of agricultural and other productive assets due to land acquisition? 7. Will there be losses of crops, trees, and fixed assets due to land acquisition? 8. Will there be loss of businesses or enterprises due to land acquisition? 9. Will there be loss of income sources and means of livelihoods due to land acquisition? 10. Will there be physical relocation of DPs? [ ] No [ ] Yes If yes, approximately how many (DHs/DPs)? Involuntary restrictions on land use or on access to legally designated parks and protected areas 10. Will people lose access to natural resources, communal facilities and services? 11. If land use is changed, will it have an adverse impact on social and economic activities? 12. Will access to land and resources owned by communally or by the state be restricted? Quantification of land to be acquired Preliminary estimated size of land that will be required by the Project? [ ] No [ ] Yes If yes, approximately how much? ______hectares

Information on Displaced Persons: Estimated number of households/persons that will be displaced by the Project? [ ] No [ ] Yes If yes, approximately how many? ______

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Are any of them poor, female-heads of households, or vulnerable to poverty risks?

[ ] No [ ] Yes

If yes, approximately how many? ______

Are any displaced persons from indigenous or ethnic minority groups?

[ ] No [ ] Yes

If yes, how many? ______

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