Environment and Social Due Diligence Report July 2012 IND: India Infrastructure Project Financing Facility II –Simhapuri Expressway Ltd. Prepared by India Infrastructure Finance Company Limited This report has been submitted to ADB by the India Infrastructure Finance Company Limited (IIFCL) and is made publicly available in accordance with ADB’s public communications policy (2005). It does not necessarily reflect the views of ADB. Environment and Social Due Diligence Report Simhapuri Expressway Limited INDIA INFRASTRUCTURE FINANCE COMPANY LTD. Simhapuri Expressway Ltd. (SEL) 6-Laning of Chilakaluripet to Nellore section of National Highway No.5 from Km 1182.802 to Km. 1366.547 (Including 10.125 km long New Ongole bypass) in the State of Andhra Pradesh on DBFOT pattern June, 2012 1 Environment and Social Due Diligence Report Simhapuri Expressway Limited CONTENTS 1. INTRODUCTION ......................................................................................................... 5 2. CONCESSIONAIRE: ................................................................................................... 8 3. INDEPENDENT CONSULTANT: ................................................................................. 9 4. EPC CONTRACTORS:................................................................................................ 9 5. LENDER’S ENGINEER: .............................................................................................. 9 DUE DILIGENCE ON ENVIRONMENTAL SAFEGUARDS: .................................................... 10 6. AVAILABILITY OF EIA/EMP REPORTS: ................................................................. 11 7. ENVIRONMENTAL SENSITIVITY AND DUE DILIGENCE: ....................................... 11 8. CATEGORIZATION OF SUB-PROJECT: ................................................................. 13 9. STATUS OF REGULATORY CLEARANCES: .......................................................... 13 10. PUBLIC CONSULTATION AND INFORMATION DISCLOSURE: ............................ 16 11. ALTERNATIVE ANALYSIS: ...................................................................................... 17 12. ENVIRONMENT AND SAFETY CLAUSES IN CONCESSION AGREEMENT: ......... 18 13. ENVIRONMENT AND SAFETY CLAUSES IN EPC CONTRACT: ............................ 19 14. EMP IMPLEMENTATION BUDGET: ......................................................................... 20 15. ENVIRONMENT MANAGEMENT PLAN (EMP) IMPLEMENTATION: ...................... 20 15.1. CONCESSIONAIRE AND EPC CONTRACTOR’S HSE PLAN: .............................................. 20 15.2. EMP COMPLIANCE STATUS:.................................................................................................. 21 15.3. ENVIRONMENTAL MONITORING: .......................................................................................... 21 15.4. INSTITUTIONAL FRAMEWORK FOR EMP IMPLEMENTATION: .......................................... 21 16. SITE VISIT OBSERVATIONS: .................................................................................. 24 17. CONCLUSIONS AND RECOMMENDATION: ........................................................... 25 DUE DILIGENCE ON SOCIAL SAFEGUARDS ....................................................................... 27 18. SOCIAL SAFEGUARDS DUE DILIGENCE REPORT: .............................................. 28 18.1. METHODOLOGY ADOPTED FOR SOCIAL COMPLIANCE REVIEW: ................................... 28 19. EFFORTS TO MINIMIZE SOCIAL IMPACTS: ........................................................... 28 20. MAGNITUDE OF LAND ACQUISITION IN THE SUBPROJECT: ............................. 28 21. RESETTLEMENT IMPACT IN THE SUB-PROJECT: ............................................... 31 22. INDIGENOUS PEOPLE AFFECTED DUE TO THE PROJECT: ................................ 31 23. COMPENSATION AND ENTITLEMENTS: ................................................................ 31 24. LOCAL EMPLOYMENT GENERATED: .................................................................... 32 25. PUBLIC CONSULTATION/FOCUS GROUP DISCUSSION: ..................................... 32 26. IMPACT ON COMMON PROPERTY RESOURCES (CPR): ..................................... 34 27. GRIEVANCE REDRESSAL MECHANISM: ............................................................... 34 28. CSR ACTIVITY UNDERTAKEN: ............................................................................... 35 29. MONITORING AND EVALUATION THROUGH EXTERNAL AGENCY: ................... 35 30. SITE VISIT OBSERVATION: ..................................................................................... 35 31. CONCLUSIONS AND RECOMMENDATION: ........................................................... 36 APPENDICES: APPENDIX-I: EIA-EMP REPORT APPENDIX-II: RELEVANT CLEARANCES AND PERMITS APPENDIX-III: PUBLIC HEARING NOTICES APPENDIX-IV: COPY OF CONCESSION AGREEMENT APPENDIX-V: COPY OF EPC CONTRACT APPENDIX-VI: IMPLEMENTATBLE ENVIRONMENTAL MANAGEMENT PLAN FOR SIMHAPURI PROJECT 2 Environment and Social Due Diligence Report Simhapuri Expressway Limited APPENDIX-VII: HSE POLICY FOR SIMHAPURI EXPRESSWAY PROJECT APPENDIX-VIII-APEX OHSE MANUAL FOR SIMHAPURI EXPRESSWAY PROJECT APPENDIX-IX: DETAILS OF SAFETY WEEK REPORT APPENDIX-X-EMERGENCY RESPONSE PLAN FOR SIMHAPURI EXPRESSWAY PROJECT APPENDIX-XI: MONTHLY COPY OF ACCIDENT INCIDENT REPORTS APPENDIX-XII-ORGANIZATION CHART OF CONCESSIONAIRE, PMC & EPC APPENDIX-XIII: SIA-RAP REPORT APPENDIX-XIV A: COPY OF THE LAND HANDOVER LETTER PROVIDED TO THE CONCESSIONAIRE BY NHAI APPENDIX-XIV B: COPY OF JOINT VERIFICATION OF LAND HANDED OVER TO CONCESSIONAIRE APPENDIX-XV: COPY OF LETTER ISSUES BY THE CONCESSIONAIRE REQUESTING A JOINT INSPECTION APPENDIX-XVI: LIST OF AFFECTED RELIGIOUS PROPERTIES APPENDIX-XVII: COPY OF THE ACTION TAKEN AGAINST THE PUBLIC GRIEVANCES PHOTOPLATE: PHOTOPLATE I: SITE VISIT PHOTOGRAPHS FOR ENVIRONMENTAL SAFEGUARD PHOTOPLATE II: SITE VISIT PHOTOGRAPHS FOR SOCIAL SAFEGUARD 3 Environment and Social Due Diligence Report Simhapuri Expressway Limited Sub Project: 6-Laning of Chilakaluripet to Nellore section of National Highway No.5 from Km 1182.802 to Km. 1366.547 (Including 10.125 km long New Ongole bypass) in the State of Andhra Pradesh on DBFOT pattern Due diligence Report on Environment and Social Safeguards 4 Environment and Social Due Diligence Report Simhapuri Expressway Limited 1. 1. National Highway Authority of India has awarded the subproject to Simhapuri Expressway Ltd. (SEL), a Special Purpose Vehicle (SPV) company promoted by KMC Construction Ltd. (51%), BSCPL Infrastructure Ltd. (48%) and BIPL Infra Projects Ltd. (1%) for its road stretch project on NH5 which was selected to carry out for 6-Laning of Chilakaluripet to Nellore section of National Highway NH-5 from Km 1182+802 to Km. 1366+547 (Including 10.125 km long New Ongole bypass) in the State of Andhra Pradesh under NHDP phase V as BOT (Toll) project on DBFOT pattern. 2. The sub project includes widening and up-gradation of the section of NH-5 from Km 1182+802 (at Tatapudi village of Chilakaluripet Mandal in Guntur District) to Km 1366+547 (at Kovour villange of Kovur Mandal in SPSR Nellore District) from existing 4 lane to 6-lane configuration, covering a distance of 183.745 Km (old) and a new six lane Ongole bypass having a length of 10.125 Km. Its length along new ongole bypass is about 183.620km.The Chainage wise details of the project road is depicted in bellow Table-1. Table-1: Chainage details of the Project Road Sl. Section Chainage Length No Type From To (Km) 1 Nellore-Kavali As Built Chainage 178+200 222+000 43.8 New Chainage 1366+547 1322+750 2 Kavali-Ongole As Built Chainage 222+000 291+000 72.0 New Chainage 1322+750 1250+691 3 Ongole- As Built Chainage 291+000 358+000 67.8 Chilakaluripet New Chainage 1250+691 1182.802 Total Length (Km) 183.6 3. The Project road starts from Km. 1182.802 near Chilakaluripet and ends at Km. 1366.547, near Nellore, covering a total length of 183.62 Km. The entire project road passes through three districts namely Guntur ( totaling to 1.08 Km), Prakasam (totaling to 124.02 Km) and Nellore (totaling to 58.65 Km) Districts in the state of Andhra Pradesh.The project stretch in general passes through plain terrain. The land use along the project road is predominantly dominated by agriculture land followed by Built-up, Industrial/Commercial, barren and Forest land. At few locations it crosses State Highways and other link roads to the nearby villages. The road section also crosses river Penna a subsidiary of river Krishna after Kavali bypass near Nellore. A total of 61 villages spread over three districts namely Guntur, Prakasam and Nellore are located on either side of the project road. 4. The existing Right of Way (ROW) varies from 40 m to 60 m in width in the stretch and has provision for expansion of 4 lanes to 6 lanes. The proposed RoW is 66m in rural and 5 Environment and Social Due Diligence Report Simhapuri Expressway Limited open areas, 50m in urban areas and 80m in new Ongole bypass. The project highway location in the state of Andhra Pradesh is presented in the Figure-1 Figure-1: Project Highway Location from Km.1182.802 (Chilkaluripet) to Km 1366.547 (Kovour) 6 Environment and Social Due Diligence Report Simhapuri Expressway Limited 5. The proposed widening and strengthening work would mainly involve: ((i) widening of existing four lane road to six lane divided carriageways; (iii) Pavement strengthening and provision of drains, service roads, sidewalks, pedestrian crossing, underpasses, bus bays and truck