SOCIAL IMPACT ASSESSMENT BUSHMANLAND PV FACILITY NORTHERN CAPE PROVINCE APRIL 2020 Prepared By Tony Barbour Tony Barbour ENVIRONMENTAL CONSULTING AND RESEARCH 10 Firs Avenue, Claremont, 7708, South Africa (Tel) 27-21-761 2355 - (Fax) 27-21-761 2355 - (Cell) 082 600 8266 (E-Mail) [email protected] EXECUTIVE SUMMARY INTRODUCTION AND LOCATION Cape EAPrac was appointed by Bushmanland PV (Pty) Ltd to manage the Basic Assessment (BA) process for the proposed 100 MW Bushmanland PV Facility. The proposed development site is located approximately 30 km south west of Upington and 16 km north east of Keimoes in the Northern Cape Province. The site is situated within the Kai !Garib Local Municipality (KGLM), which is located within the ZF Mgcawu District Municipality (ZFMDM). Tony Barbour Environmental Consulting was appointed by Cape EAPrac to undertake a specialist Social Impact Assessment (SIA) as part of a Basic Assessment (BA) process. This report contains the findings of the SIA for the 100 MW Bushmanland PV Facility. DESCRIPTION OF THE PROPOSED SOLAR ENERGY FACILITY The proposed Bushmanland PV will have a net generating capacity of 100 MW. The construction phase is expected to extend over a period of ~18-24 months and create approximately 300 employment opportunities. The operational phase will employ approximately 20 people full time for a period of up to 20 years. The capital expenditure on completion is anticipated to be in the region of R 2 billion (2020 Rand values). The energy will be linked via an on-site substation to the Eskom grid 1. The project is therefore an Independent Power Producer (IPP) project. APPROACH TO THE STUDY The approach to the SIA study is based on the Western Cape Department of Environmental Affairs and Development Planning Guidelines for Social Impact Assessment (February 2007). These guidelines have been endorsed by the national Department of Environmental Affairs (DEA), and are based on international best practice. The key activities in the SIA process embodied in the guidelines include: • Describing and obtaining an understanding of the proposed intervention (type, scale, location), the communities likely to be affected and determining the need and scope of the SIA; • Collecting baseline data on the socio-economic environment; • Identifying and collecting data on the key social issues related to the proposed development. This requires consultation with affected individuals and communities; • Assessing and documenting the significance of social impacts associated with the proposed intervention; • Identifying alternatives and mitigation measures. In this regard, the study involved: • Review of demographic data from the 2011 Census Survey and 2016 Household Community Survey; 1 The grid connection is being assessed as part of a separate BA process. • Review of relevant planning and policy frameworks; • Site specific information collected during the site visit to the area and interviews with key stakeholders; • Review of information from similar projects; • Identification of social issues associated with the proposed project. SUMMARY OF KEY FINDINGS The assessment section is divided into: • Assessment of compatibility with relevant policy and planning context (“planning fit”); • Assessment of social issues associated with the construction phase; • Assessment of social issues associated with the operational phase; • Assessment of social issues associated with the decommissioning phase; • Assessment of the “no development” alternative; • Assessment of cumulative impacts. POLICY AND PLANNING ISSUES The findings of the review indicate that renewable energy is strongly supported at a national, provincial and local level. At a national and provincial level the development of and investment in renewable energy is supported by the National Development Plan (NDP), New Growth Path Framework and National Infrastructure Plan, which all make reference to renewable energy. The proposed SEF also supports a number of objectives contained in the Northern Cape Province (NCP) Provincial Growth and Development Strategy. Renewable energy is also supported at a district and local level. The Bushmanland PV facility is also located within the Upington Solar REDZ which was formally gazetted in 20182. The area has therefore been identified as suitable for the establishment of large-scale solar energy facilities. CONSTRUCTION PHASE The key social issues associated with the construction phase include: Potential positive impacts • Creation of employment and business opportunities, and the opportunity for skills development and on-site training. The construction phase is expected to extend over a period of 14-18 months and create approximately 300 employment opportunities. Of this total ~ 60% (180) will be available to low-skilled workers (construction labourers, security staff etc.), 25% (75) to semi-skilled workers (drivers, equipment operators etc.) and 15% (45) to skilled personnel (engineers, land surveyors, project managers etc.). The total wage bill for the construction phase is estimated to be in the region of R50 million (2020 rand value). Most of the employment opportunities, specifically the low and semi-skilled opportunities, are likely to be available to local residents in the area, specifically residents from local settlements, such as Brugge, Klippunt, Dyasons Klip, Oranjevallei, Louisvale, Kanoneiland, Bloemsmond, and Keimoes. The majority of the beneficiaries are likely to be historically disadvantaged (HD) members of the community. This would represent a significant positive social benefit in an area with limited employment 2 GN114 of 2018 ii Bushmanland PV Social Impact Assessment Report April 2020 opportunities. However, in the absence of specific commitments from the developer to employ local contractors the potential for meeting local employment targets may be limited. In addition, the low education and skills levels in the area may hamper potential opportunities for local communities. The potential benefits for local communities are confirmed by the findings of the Overview of the Independent Power Producers Procurement Programme (IPPPP) undertaken by the Department of Energy, National Treasury and DBSA (March 2019). The review found that by the end of March 2019 the 64 renewable energy projects that had been successfully completed had created 31 633 job years3 of employment, compared to the anticipated 20 689. This was 53% more than planned. The study also found that significantly more people from local communities were employed during construction than was initially planned. The capital expenditure associated with the construction phase will be in the region of R 2 billion (2020 Rand value). A percentage of the wage bill will be spent in the local economy which will create opportunities for local businesses in Keimoes and Upington. The sector of the local economy that is most likely to benefit from the proposed development is the local service industry. The potential opportunities for the local service sector would be linked to accommodation, catering, cleaning, transport and security, etc. associated with the construction workers on the site. Potential negative impacts • Impacts associated with the presence of construction workers on local communities; • Impacts related to the potential influx of job-seekers; • Increased risks to livestock and farming infrastructure associated with the construction related activities and presence of construction workers on the site; • Increased risk of grass fires associated with construction related activities; • Noise, dust and safety impacts of construction related activities and vehicles; • Impact on productive farmland. The findings of the SIA indicate that the significance of all the potential negative impacts with mitigation were Low Negative. The potential negative impacts can therefore be effectively mitigated if the recommended mitigation measures are implemented. Given that most of the low and semi-skilled construction workers can be sourced from the local area the potential risk posed by construction workers on local family structures and social networks is regarded as low for the community as a whole. Table 1 summarises the significance of the impacts associated with the construction phase. 3 The equivalent of a full-time employment opportunity for one person for one year iii Bushmanland PV Social Impact Assessment Report April 2020 Table 1: Summary of social impacts during construction phase Impact Significance Significance No Mitigation With Mitigation Creation of employment and Medium Medium business opportunities (Positive impact) (Positive impact) Presence of construction Medium Low workers and potential impacts (Negative impact for (Negative impact for on family structures and community as a whole) community as a whole) social networks Influx of job seekers Low Low (Negative) (Negative) Safety risk, stock theft and Medium Low damage to farm infrastructure (Negative impact) (Negative impact) associated with presence of construction workers Increased risk of veld fires Medium Low (Negative impact) (Negative impact) Impact of heavy vehicles and Medium Low construction activities (Negative impact) (Negative impact) Loss of farmland Medium Low (Negative impact) (Negative impact) OPERATIONAL PHASE Potential positive impacts • The establishment of infrastructure to generate renewable energy; • Creation of employment and business opportunities. The operational phase will also create opportunities for skills development and training; • Benefits associated