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Amba 50 MW Wind Power Project Environment Due Diligence Report Project Number: 46268-002 May 2018 IND: Clean Energy Finance Investment Program - Tranche 1 Subproject : 50 MW Wind Power Project at Amba Village, Ratlam district, Madhya Pradesh, (EUL) Submitted by Indian Renewable Energy Development Agency, New Delhi This Environment Due Diligence Report has been prepared by the Indian Renewable Energy Development Agency, New Delhi for the Asian Development Bank and is made publicly available in accordance with ADB’s Public Communications Policy (2011). It does not necessarily reflect the views of ADB. This Environment Due Diligence Report 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. DUE DILIGENCE REPORT ON ENVIRONMENTAL SAFEGUARDS (LOAN 3186 IND: CLEAN ENERGY INVESTMENT PROGRAM) Subproject: 50MW Wind Power Project at Amba, Ratlam District, Madhya Pradesh Subproject Developer: Etesian Urja Limited (EUL) (Special Purpose Vehicle of IL&FS) 15th MAY 2018 (Ver. of 1st March 2018 revised for compliance to ADB review comments) S afeguards Due Diligence Prepared by: HARI PRAKASH, ADB TA E nvironmental S afeguards S pecialist On Behalf of: ESSU, IREDA 3rd Floor, August Kranthi Bhavan, Bhikaji Cama Place New Delhi 110 066 DUE DILIGENCE REPORT ON ENVIRONMENTAL & SOCIAL SAFEGUARDS (LOAN 3186 IND: CLEAN ENERGY INVESTMENT PROGRAM) Subproject: 50MW Wind Power Project at Amba, Ratlam District, Madhya Pradesh Subproject Developer: Etesian Urja Limited (EUL) (Special Purpose Vehicle of IL&FS) HARI PRAKASH, Prepared by ADB TA, Environmental Safeguard Specialist RUCHIKA DRALL, Environmental & Review by Social Officer, ESSU, IREDA KHEKIHO YEPTHO, Approved by Head ESSU & Compliance Officer, IREDA CONTENT A. Sub Project Title…………………………………………………………… 1 B. Sub Project Background and Project Developer………………………… 1 C. Sub Project Financial Closure……………………………………………… 1 D Present Status of Subproject………………………………………………. 2 Applicable Environmental Safeguards Policies and Regulatory E 2 Framework……………………………………………………………………. I. GoI India Regulatory Framework………………………………………… 2 II. ADBs Safeguards Policy and Requirements……………………………... 3 III. Scope and Methodology for Environmental Safeguards Due Diligence 3 F Environmental Safeguards Due Diligence……………………………… 4 G Corrective Action Plans Required……………………………………….. 8 H Conclusion and Recommendations……………………………………… 9 ANNEXURES Annexure 1 The notification of MPCCB for categorization of industries……............. 11 Annexure 2 Criteria for siting of the wind mill/turbines as per MoEF & CC………… 44 Consent to establish and operate obtained from MPPCB (Madhya Annexure 3 53 Pradesh Pollution Control Board)……………. ………………………… Annexure 4 ADB prohibited list of activities ……………………….............................. 58 Filled-in Rapid Environmental Assessment Checklists Along with the Annexure 5 60 Environmental Categorization Form ……………………………………… Annexure 6 Copy of ESIA report ………………………………………………………… 68 Annexure 7 Photographs taken during field visit …………...…………..……………… 309 Annexure 8 Typical EHS audit report…………………………………………………… 312-325 List of Abbreviations ADB: Asian Development Bank CSR: Corporate Social Responsibility EPC:Enineering, Procurement and Construction ESIA: Environmental & Social Impact Assessment EIA: Environmental Impact Assessment ESDD:Environmental safeguard due diligence ESMS: Environmental and Social Management System ESSU: Environmental and Social Safeguards Unit EUL:Etesian Urja Limited GoI:Government of India IFC:International Finance Corporation IL&FS:Infrastructure Leasing and Financial Services IREDA:Indian Renewable Energy Development Agency Limited LoC:Line of Credit MPPCB:Madhya Pradesh Pollution Control Board MPPTCL:Madhya Pradesh Power Transmission Company Limited MNRE:Ministry of New and Renewable Energy MoEF & CC:Ministry of Environment, Forests and Climate Change PS: Performance Standards PIM: Project Information Memorandum REA:Rapid Environmental Assocaton) SPV: Special Purpose Vehicle SPS:Safeguard Policy Statement Due Diligence R eport on E nvironmental S afeguards Loan 3186 IND: Clean E nergy Investment Program Due Diligence report on Environmental Safeguards Sub Project: 50MW Wind Power Project at Amba, Ratlam District, Madhya Pradesh A. Sub Project Title 1. The subproject constitute setting up and commissioning of 50MW Wind Power Project at Amba, R atlam District, Madhya Pradesh, India. The wind power generated from this project is being evacuated from the pooling station situated at a distance of 12kms and then transferred to the Madhya Pradesh Power Transmission Company Limited (MPPTCL) switching station at Negra, R atlam District. This transfer of the pooled electricity from Amba to Negra is done through 30 km long 220 kV transmission line. B. Sub Project Background and Project Developer 2. E tesian Urja Limited (EUL), has proposed to set up a 50 MW project at Amba, R atlam District, Madhya Pradesh including a 30km long transmission corridor for connecting to the S tate Government owned 400kV/220kV switching station situated at Negra. E UL is a S PV (S pecial Purpose Vehicle) formed by IL&FS for setting up and commissioning of 50MW Wind Power Project at Amba, Ratlam District, Madhya Pradesh, India. The switching station at Negra is not specially built for this subproject but also caters to connect multiple transmission lines from several other renewable (wind) power projects in the area at one junction and to facilitate further connection and network expansion into National grid. C. Sub Project Financial Closure 3. IL&FS through its subsidiary E UL has sought term loan from IREDA (Indian R enewable E nergy Development Agency Limited), to achieve the financial closure to set up and commission the 50MW Wind Power Project at Amba, Ratlam District, Madhya Pradesh. 4. IR E DA is a Public Limited Government Company established in 1987, under the administrative control of MNRE (Ministry of New and R enewable E nergy), GoI to promote, develop and extend financial assistance for renewable energy and energy efficiency/conservation projects. The corporate objectives of IREDA are: To give financial support to specific projects and schemes for generating electricity and / or energy through new and renewable sources and conserving energy through energy efficiency To increase IR E DA's share in the renewable energy sector by way of innovative financing To strive to be competitive institution through customer satisfaction. To maintain its position as a leading organization to provide efficient and effective financing in renewable energy and energy efficiency / conservation projects. Improvement in the efficiency of services provided to customers through continual improvement of systems, processes and resources. 5. In line with its corporate objectives, IRE DA has committed to part finance the 50 MW TA 8937 IND – Capacity Building of the IR E DA - E nvironmental S afeguards Consultant 1 Due Diligence R eport on E nvironmental S afeguards Loan 3186 IND: Clean E nergy Investment Program wind power project. The project is also co-financed by several other financial institutions and public-sector banks under Government of India with a debt and equity ratio of 75:25. 6. At the request of GoI, ADB has signed a loan agreement with IR E DA under the Clean E nergy Investment Program to augment the efforts of IRE DA in financing and promoting the renewable energy sector including the wind power projects. The present 50MW wind power project near Amba, R atlam District, Madhya Pradesh is one of the several projects that IRE DA is contemplating to finance under the LoC (Line of Credit) from ADB. D. Present Status of Subproject 7. The construction of 50 MW wind power project was commenced from December 2016 and completed in March 2017. At present (since April 2017), the project has been fully commissioned and generating wind power at its full installed capacity. 8. The subproject has 25 wind turbines of 2 MW generation capacity each at 25 locations, with a cumulative land requirement of 125 acres (including the safety zone area and approach roads). The construction of pooling station near the village of Amba and 30 km long power transmission corridor up to Negra switching station has also been completed. All access roads required for smooth operation and maintenance of the wind power project have been constructed and completed. 9. The entire 125 acres of land required for the project including access roads is largely rain fed private agricultural land and has been purchased by the developer directly from the land owners through willing seller and willing buyer principle. The 30 km long transmission lines for the subproject are laid along existing roads and/or along private lands with prior agreement with respective landowners for a consideration. 10. Gamesa has been engaged as the EPC (Engineering, Procurement and Construction) contractor for the project responsible for setting up and commissioning of the 50 MW wind power project. 11. An E S IA (environmental and social impact assessment) report for this 50 MW Wind Power Project has been prepared by M/s Cholamandalam MS R isk S ervices Limited. Although, it was not a
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