HUANENG FUYUN PORT & SHIPPING (PVT.) LTD. Environmental Impact Assessment of Coal Transshipment Project at Berth 3 & 4 Port Qasim Karachi Sindh for Huaneng Fuyun Port & Shipping (Pvt) Ltd Final Report August, 2016 Global Environmental Management Services (Pvt.) Ltd 2nd Floor, Aiwan-e-Sanat, ST-4/2, Sector 23, Korangi Industrial Area, Karachi Ph: (92-21) 35113804-5; Fax: (92-21) 35113806; Email: [email protected] Environmental Impact Assessment for Coal Transshipment Project at Berth 3 & 4 of Port Qasim Karachi Sindh for HUANENG FUYUN PORT & SHIPPING PVT LTD EXECUTIVE SUMMARY This report discusses the Environmental Impact Assessment of the proposed Coal Transshipment Project at Berth 3 & 4 of Port Qasim. The proposed project is basically transformation of existing berth 3 & 4 of Port Qasim into one of the most advanced and specialized coal handlings/transshipment berths. The annual ship unloading capacity after development of the proposed project is expected to meet about (2000t/h x 16h x315 D = 1008x 104t/year) considering one ship on berth with following specifications: Ship type: 30000t self-unloading ship Working days per year 315 Working shift 3 shift per day, 8h/shift, (One shift for maintenance). NEED OF THE PROJECT The energy concerns of the country are now assuming serious and terrible proportions possessing to the fact that the country has been distressed by energy crisis for about half a decade thus a major bottleneck in economic development and progress. It is important to note that the internal stability of any country is highly dependent on its Figure 1: Projected Energy Demand by 2030 economic well-being, which is directly (Adopted from Solutions for Energy Crisis in Pakistan, Vol II, 2014) dependent upon energy resources and proper management of them. The current energy deficit has resulted in reduced efficiency of several industrial units hence rendering a large number of people unemployed the current energy deficit not only resulted in unemployment but the malfunctioning energy sector had resulted in a 4 percent loss in the GDP annually (Solutions for Energy Crisis in Pakistan, Vol II, 2014). In this regard Government of Pakistan has taken some tangible steps and is currently engaged in development of power projects, across the country. The proposed project is dedicated to support the domestic energy demand in Pakistan GEMSEIA1080716HFPSL Executive Summary i Environmental Impact Assessment for Coal Transshipment Project at Berth 3 & 4 of Port Qasim Karachi Sindh for HUANENG FUYUN PORT & SHIPPING PVT LTD by coal supply from Berth 3 & 4 of Port Qasim all the way towards the 2 X 660 MW Coal-fired power plants at Sahiwal. PROPONENT INTRODUCTION This proposed project will be developed by Huaneng Fuyun Port & Shipping (Pvt.) Limited. This company is a joint venture of Huaneng Shandong Ruyi (Pakistan) Energy (Pvt.) Limited (HSRE) and Qingdao Old Captain Shipping Company limited (OCSC). HSRE is the consortium company of Huaneng Shandong Power Generation Co. Ltd. and Shandong Ruyi Science Technology Group Co. It is the investor of Sahiwal 2 X 660MW Coal-fired Power Plant. OCSC is a professional maritime transport system supplier. Business sections include shipping, port terminal, ship- supporting, land transportation, ocean engineering. PROJECT AREA The proposed project is located at Port Qasim. The project site map has been presented in figure below: PROPOSED PROJECT SITE MAP GEMSEIA1080716HFPSL Executive Summary ii Environmental Impact Assessment for Coal Transshipment Project at Berth 3 & 4 of Port Qasim Karachi Sindh for HUANENG FUYUN PORT & SHIPPING PVT LTD PROJECT DESCRIPTION Scope and Design of The Proposed Project includes: Demolition and Clearing of Existing Shed and other structures on the Berths; Repair/Renovation of the Quay Wall Structure and Yard Pavement; Construction of office building, Control Tower, Generator House and workshops; Provision and Installation Of Coal Unloading Hoppers, Conveyor Belts and Re- Claimers; Construction of Storage Yard All the conveyor belts will be covered to prevent coal dust dispersion, only conveyor belt 1 and 3 referred to as BC 1 and 3 will be uncovered to handle the coal. The capacity of the storage yard will be determined based on system conveying capacity between the operating time difference of ship unloading and wagon loading. The annual operation day quantity of wagon loading is temporarily determined as 315 days/year. Considering the time difference between ship unloading and wagon loading, some material needs to be transferred to storage yard. Due to limited area of storage yard, the design volume of storage yard is about 200,000 tons. The coal pile height will be about 15 m while on the other hand the storage yard will be enclosed by 18 m high boundary walls in order to prevent coal dust dispersion and to lower down the wind speed. Schematic layout of the coal transshipment process is presented below and a simplified simulation model of the proposed project is presented in figure on the next page. SCHEMATIC LAYOUT OF THE COAL TRANSSHIPMENT PROCESS GEMSEIA1080716HFPSL Executive Summary iii Environmental Impact Assessment for Coal Transshipment Project at Berth 3 & 4 of Port Qasim Karachi Sindh for HUANENG FUYUN PORT & SHIPPING PVT LTD SIMULATION MODEL OF THE PROPOSED PROJECT Power Generator Fuel Oil Coal Pusher Room Room Tank Guard Station Room Fire Water Warehouse Pump House GEMSEIA1080716HFPSL Executive Summary iv Environmental Impact Assessment for Coal Transshipment Project at Berth 3 & 4 of Port Qasim Karachi Sindh for HUANENG FUYUN PORT & SHIPPING PVT LTD LEGISLATIVE REQUIREMENT The proposed project falls under the project category of Schedule II: “Ports and Harbor Development” as per the guidelines issued by the Sindh Environmental Protection Agency (SEPA) under the Sindh Environmental Prote ction Act 2014 (SEPA, 2014). According to these guidelines, project under this category require an EIA to be conducted at planning stage. ENVIRONMENTAL BASELINE The project area lies in the jurisdiction of Bin Qasim Industrial Area, and several industrial activities takes place within the project vicinity. It is important to note that the proposed project will be developed onto the marginal wharf of Port Qasim i.e. berth 3 & 4 which is a high wind corridor therefore the level of air pollution within the project area was observed to be quite low. Only PM10 concentrations were observed to be higher than prescribed SEQS limits at few monitoring locations. The aquifers present in the project area are mostly saline. The proposed project is being developed onto the existing land structure hence it is anticipated that the proposed project will not exhibit any long-term impact onto the topography. However, the proposed project is likely to impact the existing air quality of the proposed project area if suggested mitigation measures are not implemented properly. None of the floral and faunal species were identified to be threatened, vulnerable, critically endangered or near extinction according to IUCN red list or protected under CITES and or SIND WILDLIFE ORDINANCE. The mangroves within the proposed project area are in the control of Sindh Forest Department and Port Qasim Authority and are declared as "Protected Forests". The proposed project does not involve clearing of mangrove species. Only 10-15 terrestrial trees need to be cleared near the existing railway line which will be replanted by the ratio of 1:5. SOCIAL BASELINE A large number of laborers are working on existing berths of Port Qasim. These laborers are working under the labor union of Port Qasim. The laborer union of Port Qasim is very active having a proper union structure, such as collective bargaining agents, these agents are responsible for representing the issues of labor and raise voices in case of injustice. Additionally it is important to note that the proposed project area also sustains a variety of industries and to look after the industrial issues there is a fully functional association referred to as Bin Qasim Association of trade and Industry (BQATI). As the proposed project area lies under the jurisdiction of Port Qasim Authority (PQA) so most of the works and issues related to the areas are being solved by the PQA. The prominent landmarks near the project area include: Pakistan Steel Mills GEMSEIA1080716HFPSL Executive Summary v Environmental Impact Assessment for Coal Transshipment Project at Berth 3 & 4 of Port Qasim Karachi Sindh for HUANENG FUYUN PORT & SHIPPING PVT LTD Quaid e Azam Park Famous Shrine of Hazrat Hassan Shah Bukhari at Russian Beach The consultation and scoping meetings were also carried out in the project area to disseminate information about the project and its expected impact on the primary and secondary stakeholders. Chapter 7 of this report clearly describes the issues raised by the stakeholders during different consultation meetings S. No Stakeholder Consulted Contact Person/Representative LIST OF PRIMARY STAKEHOLDERS (Hotel, Shops And Community) 1 Dock Laborers Senior Laborer: Mr Ibrahim 2 Dilawaer Hotel at Berth 4 Hotel Owner Chaundary Javed Hotel at 3 Hotel Manager Berth 4 Quetta Arafat Hotel at Berth 4 Hotel Representative 4 Bin Qasim Handicraft Store 5 Shop Owner: Mr. Mehmood Ghaznavi at Berth 4 6 Rehri Goth Community Community Head: Mr. Omar LIST OF PRIMARY STAKEHOLDERS (INDUSTRIES) 1 DP World Site Manager HSE: Capt. Farrukh Husnain Pakistan House International 2 Manager: Mr. Aslam M.s Baggia Limited 3 Mujahid Oil Refinary General Manager: Mr. Khalid