Public Disclosure Authorized Government of Nepal Ministry of Physical Infrastructure and Transport Department of Roads Development Cooperation Implementation Division (DCID) Jwagal, Lalitpur Public Disclosure Authorized Strategic Road Connectivity and Trade Improvement Project (SRCTIP) Improvement of Naghdhunga-Naubise-Mugling (NNM) Road Public Disclosure Authorized Environment and Social Impact Assessment (ESIA) Prepared by Environment & Resource Management Consultant (P) Ltd. JV with Group of Engineer’s Consortium (P) Ltd., and Udaya Consultancy (P) Ltd. Kathmandu Public Disclosure Authorized January 2020 EXECUTIVE SUMMARY Introduction The Government of Nepal (GoN) has requested the World Bank (WB) to support the improvements of existing roads that are of vital importance to the country’s economy and regional connectivity through the proposed Strategic Road Connectivity and Trade Improvement Project (SRCTIP). This project will support (a) Improvement of the existing 2- lane Nagdhunga-Naubise-Mugling (NNM) road (94.7 km on the pivotal north-south trade corridor connecting Kathmandu and Birgunj) to 2-lane Asian Highway standard; and (b) Upgrading of the Kamala-Dhalkebar-Pathlaiya (KDP) road of the Mahendra Highway (East West Highway) from 2-lane to 4-lane. This Environmental and Social Impact Assessment (ESIA) report only assesses the environmental and social risks and impacts of the NNM road in accordance with the Government of Nepal’s (GoN) requirements and the World Bank’s Environmental and Social Framework (ESF) and relevant Environmental and Social Standards(ESSs). The KDP road is covered by a separate upstream Environmental and Social Assessment (ESA) based on pre-feasibility information since the feasibility study of KDP road has just commenced recently. The ESA will inform the detailed ESIA at the detailed design stage of the KDP road. Project Description The existing 2-lane Nagdhunga - Naubise – Mugling (NNM) (94.7-km section) will be improved to 2-lane Asian Highway Standards under SRCTIP. The total length of NNM road comprises of Naghdhunga-Naubise (12.3 km) (part of Tribhuvan Highway (TH) and Naubise- Mugling (82.4 km) (part of a Prithvi Highway (PH). The road is located in Kathmandu, Dhading and Chitwan district of Province 3. The alignment starts at Nagdhunga check-post and passes through Naubise, Khanikhola, Mahadevbesi, Galchhi, Baireni, Malekhu, Benighat, Kurintar and ends at Mugling. The road section has a junction with TH at Naubise. The highway also connects Nuwakot District via a newly constructed road in Galchhi and connects to the district headquarter of Dhading District at Phurke Khola, Malekhu. Similarly, at Mugling the highway has junction of Mugling-Narayanghat Road Section connecting this highway to Mahendra Highway (MH). Map of Existing Road alignment The existing NNM road has been proposed to be improved into 2- lane Asian Highway Standard with a carriageway width of 7 meters and shoulder width of 1 to 2.5 meters from its current carriageway of 5.5 to 6.5 m and existing shoulder of 0.5 to 1m. Improving road safety will also be a key feature of NNM road improvements, including installation of signages and imposition of speed limits. The NNM road is one of the key roads connecting Kathmandu to Terai Region on the way to Indian border and other major cities of Nepal such as Pokhara (a major tourist destination), Narayanghat and Birgunj. Improvement of NNM road will provide better accessibility and driving/riding quality, ensuring efficient transportation and better traffic and road safety. It will also facilitate the development of physical infrastructures, contributing to local and regional development, economic initiatives and improvement of local wellbeing. The original ESIA work was carried out in 2016-2018 in accordance with Environmental Protection Act (EPA), 1997 and Environmental Protection Regulations (EPR), 1997 and WB Operational Policies1. The ESIA report was submitted to WB as per the requirements. The WB released the new Environment and Social Framework (ESF) in 2018. So, this report is updated as per the requirements of the ESF, 2018. 1 (particularly Environmental Assessment EA (OP 4.01), Natural Habitats (OP 4.04), Indigenous People (OP 4.10), Physical Cultural Resources (OP 4.11), Physical Cultural Resources (OP 4.11), Involuntary Resettlement (OP 4.12), Forests (OP 4.36). Scope of ESIA The scope of the ESIA is to: i) update the existing baseline status of the environment within Corridor of Impact and Project Zone of Influence; ii) identify the additional probable adverse and positive E&S risk and impacts due to the planned project during its entire cycle i.e. from preconstruction to construction to operation & maintenance; iii) consider all Environment, Health and Safety (EHS) likely in the project for further usage towards preparation of Stakeholder Engagement Plan (SEP), Labour Management Procedure (LMP), Gender Based Violence (GBV) Action Plan. Legal and Institutional Framework Nepal’s national legislative framework, WB ESF and EHS guidelines forms the legal and institutional framework for this ESIA at different stages including the assessment and development of mitigation measures to be complied in construction and operation stages. This section of the ESIA provides an overview of the applicable environmental and social policy, legislative and institutional framework, which the project will be required to comply during its implementation. The legal and institutional framework is based on the Constitution of Nepal (2015), which states the right of everybody to live in clean and healthy environment as well as to conserve, promote and make sustainable use of natural resources. Further, the detailed analysis of the existing legislative framework in Nepal was provided, including review of all relevant documents such as development plans, strategies, policies, acts and rules. The national directives, guidelines, manuals and standards help to fulfil the requirements of the regulatory framework, providing useful practical tools, applicable at the level of project implementation. The existing regulatory framework was analysed and tabulated highlighting relevance of key provisions to NNM ESIA. Some of the important laws and regulations reviewed included (but not limited to) the following: The Road Safety Action Plan (2013-2020), Nepal National Biodiversity Action Plan, (2014-2020), Nepal National Environment Policy, (2019), Forest Policy, (2015), Labour Policy, (2005), Land Acquisition, Resettlement and Rehabilitation Policy, (2015), Environment Protection Act, (2019), Forest Act, (2019), Control of International Trade of Endangered Wild Fauna and Flora Act, (2017), Labour Act, (2017), Child Labour (Prohibition and Regulation) Act, (2000), and Land Acquisition Act (1977) with amendments, Labour Rules, (2018), Water Resources Regulation, (1993), Industrial Policy (2010). Nepal, being a signatory party for many international conventions and other treaties, is bound to address the vital environmental and social issues transboundary or global in nature such as pollution, climate change and biodiversity conservation. The provisions of international treaties have been taken into account during ESIA process. Baseline Environmental and Social Conditions The baseline assessment from 2016-2018 and recent updates includes key environmental attributes like physiography, drainage, geology, soil, hydrogeology, land use, flora, fauna, forest/vegetation cover, climate, ambient air quality, water quality, ambient noise levels, hazards and vulnerability; and social attributes such as private assets, cultural heritages, public utilities, Indigenous People (IPs), vulnerable groups, affected groups, GBV of the proposed project. Physical Environment The highest point along the NNM road is at Nagdhunga (1,500 m). The road alignment passes through hilly area from Nagdhunga to Naubise. From Naubise, the road alignment goes along the river valley of the Mahesh Khola up to Galchhi. After Galchhi, road alignment follows the left bank of the Trishuli River valley up to Mugling which is the lowest point of the road (265 m). Geologically, the project area belongs to the rocks of the Lesser Himalaya and falls in Central Nepal. The lithological units available within the project district are carbonaceous schist, limestone schist, dolomite and Gneiss schist and three types of soil namely, colluvium, residual and alluvium. Historically, the highway has been very in bad condition due to a number of slope failure sites and landslide deposits. The entire section of the road from Manakamana cable car station to Mugling from Km 90+1 00 to Km 92+500 is old landslide zone. However, only the road section from Km 91+900 to 92+500 for about 600 m is active landslide zone and the rest has been stabilized in due course of time2. The road section (125 m) at Jogimara 66+800 to 66+925 is also a potential rock fall zone. The air quality monitored in various locations showed that all parameters were within the National Ambient Air Quality Standard (NAAQS) except for the PM10 and PM2.5. The observed equivalent noise pressure levels were found to exceed the National Noise Quality Standard Limit (NNQSL) and Occupational Safety and Health Association (OSHA) TLV guideline. In terms of water quality, fluoride level was found to be lower than the National Drinking Water Quality Standard (NDWQS)3 limit in all water samples. Iron was high in the water sample of Agra Khola, Majhimtar across Trishuli River and near Shree Chandrodaya H. S. School