Initial Environmental Examination September 2014 NEP: Third Small Towns’ Water Supply and Sanitation Sector Project–Salyan Town Subproject Prepared by the Ministry of Urban Development 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. Your attention is directed to the “terms of use” section of this website. 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. Initial Environmental Examination (IEE) Project No. XXXX June 2014 NEP: Third Small Towns’ Water Supply and Sanitation Sector Project -Salyan Town Subproject Prepared by the Ministry of Urban Development for the Asian Development Bank CURRENCY EQUIVALENT (Official exchange rate of the Nepal Rastra Bank as of 01 March 2014) Currency Unit - Nepalese Rupee (NPR) USD 1.00 = NRs 98.51 NRs 1.00 = USD 0.010151 ABBREVIATIONS ADB Asian Development Bank AP Affected person C-EMP Contractor’s environmental management plan DWSS Department of Water Supply and Sewerage EARF Environmental assessment and review framework EIA Environmental impact assessment EMP Environmental management plan EMR Environmental monitoring report EPA Environment Protection Act EPR Environment Protection Rules EO Environmental officer ES Environmental specialist ESA Environmental safeguard assistant ESE Environmental safeguard expert IEE Initial environmental examination GoN Government of Nepal GRM Grievance redress mechanism MoSTE Ministry of Science, Technology and Environment MUD Ministry of Urban Development NPR Nepalese Rupee PISU Project Implementation Support Unit PMO Project Management Office REA Rapid environmental assessment SPS Safeguard Policy Statement STWSSSP Small Towns’ Water Supply and Sanitation Sector Project 2ndSTWSSSP Second Small Towns’ Water Supply and Sanitation Sector Project ToR terms of reference USD United States Dollar VDC Village Development Committee WHO World Health Organization WSSDO Water Supply and Sanitation Divisional Office WUSC Water Users’ and Sanitation Committee i WEIGHTS AND MEASURES C Celsius/centigrade dBA decibel audible ha hectare/s km kilometer/s kph kilometer/s per hour m meter/s kph kilometer/s per hour m meter/s m3 cubic meter/s masl meter/s above sea level mg/l milligram/s per liter mm millimeter/s NOTES In the report, “$” refers to US dollars, unless otherwise stated. This initial environmental examination (draft) 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. The draft IEE and its environmental management plans will be updated during project implementation. 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. ii Table of Contents EXECUTIVE SUMMARY ........................................................................................................................ 1 I. INTRODUCTION ............................................................................................................................ 4 A. Background ................................................................................................................................ 4 B. Purpose of the IEE ..................................................................................................................... 4 C. Need for the Subproject ............................................................................................................. 5 D. Overview of the Subproject ........................................................................................................ 5 II. POLICY, LEGAL & ADMINISTRATIVE FRAMEWORK ............................................................... 6 A. Nepal’s Environmental Policy and Legal Framework ................................................................ 6 B. Environmental Impact Assessment Requirements .................................................................. 10 III. ANALYSIS OF ALTERNATIVES ................................................................................................. 13 A. With- and Without-Subproject Alternatives .............................................................................. 13 B. Alternatives Relative to Planning and Design .......................................................................... 13 IV. DESCRIPTION OF SUBPROJECT ............................................................................................. 15 A. Subproject Site ......................................................................................................................... 15 B. The Subproject ......................................................................................................................... 16 C. Description of Site and Surroundings ...................................................................................... 19 D. The IEE Study Area ................................................................................................................. 22 E. Environmental Category and Requirements ............................................................................ 23 V. DESCRIPTION OF THE ENVIORNMENT ................................................................................... 23 A. Physical and Chemical Environment and Resources .............................................................. 23 B. Ecological Environment and Resources .................................................................................. 25 C. Physical Cultural Resources .................................................................................................... 26 D. Socio-Economic Environment and Resources ........................................................................ 26 VI. ANTICIPATED ENVIRONMENTAL IMPACTS AND MITIGATION MEASURES ....................... 29 A. Positive Environmental Impacts and Benefits .......................................................................... 29 B. Impacts/Issues/Concerns and Mitigation Measures Relative to Siting, Planning and Design . 29 C. Impacts/Issues/Concerns and Mitigation Measures during Construction ................................ 30 D. Impacts/Issues/Concerns and Mitigation Measures during Operation .................................... 35 E. Indirect, Induced and Cumulative Impacts ............................................................................... 36 VII. INFORMATION DISCLOSURE, CONSULTATION AND PARTICIPATION .......................... 37 VIII. GRIEVANCE REDRESS MECHANISM .................................................................................. 39 A. Purpose of the Grievance Redress Mechanism ...................................................................... 39 B. Proposed Set-Up ...................................................................................................................... 39 C. Access to the Mechanism ........................................................................................................ 40 D. GRM Steps and Timeframe ..................................................................................................... 40 IX. ENVIRONMENTAL MANAGEMENT PLAN ................................................................................ 43 A. Institutional Arrangement ......................................................................................................... 43 B. Safeguard Implementation Arrangement ................................................................................. 44 Impacts/Issues/Concerns and Mitigation Measures during Construction......................................... 47 C. Environmental Monitoring Program ......................................................................................... 56 D. Institutional Capacity Development Program ........................................................................... 57 E. Staffing Requirement and Budget ............................................................................................ 58 F. Implementation Schedule......................................................................................................... 61 X. CHAPTER – 10: MONITORING AND REPORTING ................................................................... 62 XI. CONCLUSION AND RECOMMENDATION ................................................................................ 63 REFERENCES ...................................................................................................................................... 66 iii ANNEXES……………………………………………………………………………………………….. A Rapid Environmental Assessment (REA) Checklist for Salyan Town Sub projects and Preliminary Climate Risk Screening Checklist for Sample Sub Project Towns ....................... 67 B Relevant Environmental Quality Standards ............................................................................. 73 C Notes of Consultations ............................................................................................................