Initial Environmental Examination: Transmission Subprojects September 2017 SRI: Clean Energy and Network Efficiency Improvement Project Prepared by Ceylon Electricity Board for the Asian Development Bank. This Initial Environmental Examination (Transmission Subprojects) report 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 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 Table of Contents EXECUTIVE SUMMARY 1 1.0 INTRODUCTION 5 1.1 Background 6 1.2 Scope of Work and Methodology Adopted 7 1.3 Applicable Environmental and other Legislations 8 2.0 DESCRIPTION OF THE PROJECT 8 2.1 The Project 8 2.2 Type of Project 11 2.3 Justification of the Project 11 2.4 Location 12 2.5 Size and Magnitude of the Operation 17 2.6 Implementation Plan 20 3.0 DESCRIPTION OF ENVIRONMENT 22 3.1 Nuwara Eliya District 22 3.2 Mannar District 24 3.3 Vavuniya District 31 3.4 Anuradhapura District 33 3.5 Kegalle District 35 3.6 Colombo District 37 4.0 SCREENING OF POTENTIAL ENVIRONMENTAL IMPACT AND MITIGATION MEASURES 38 4.1 CEB’S Approach for Route Selection 38 4.2 Alternatives for Transmission Line Alignment 39 4.3 Environment Impacts and Mitigation Measures 40 4.4 Environmental Management Plan 48 5.0 INSTITUTIONAL REQUIREMENT AND ENVIRONMENTAL MONITORING PROGRAMME 52 5.1 Institutional arrangements 52 5.2 Environmental Monitoring Plan (EMoP) 53 5.3 Critical Environmental Review Criteria 54 5.4 Environmental Management Plan Budget Costs 54 5.5 Associated Facilities 54 6.0 GRIEVANCE REDRESS MECHANISM 55 6.1 Awareness of Stakeholders 55 6.2 The Grievance Redress Mechanism and PUCSL 55 7.0 PUBLIC CONSULTATION AND INFORMATION DISCLOSURE 56 7.1 Consultation Findings 57 8.0 FINDINGS AND RECOMMENDATIONS 59 9.0 CONCLUSIONS 60 Annexure 1 Applicable Environmental Policies and Procedures 61 Annexure 2 Alternative Site Analysis for Grid Substations 70 Annexure 3 Alternative Route Analysis for Transmission Lines 73 Annexure 4 Inventorisation along the Transmission Lines 79 Annexure 5 Environment Management Plan (EMP) 96 Annexure 6 Environmental Parameters and Periodicity for Environmental Monitoring Plan 103 Annexure 7 Granting of Necessary Wayleaves for Electricity Networks in Sri Lanka - Guidelines for Licensees, Divisional Secretaries and Landowners and/or Occupiers 105 Abbreviations ADB - Asian Development Bank CEA - Central Environmental Authority CEB - Ceylon Electricity Board DoF - Department of Forest DS - District Secretary EA - Executing Agency EIA - Environmental Impact Assessment EMoP - Environmental Monitoring Plan EMP - Environmental Management Plan GoSL - Government of Sri Lanka GRM - Grievance Redress Mechanism IA - Implementing Agency IEE - Initial Environmental Examination LA - Local Authority LARC - Land Acquisition and Resettlement Committee MoENR - Ministry of Environment & Natural Resources MoPE - Ministry of Power and Energy MSL - Mean Sea Level NARA - National Aquatic Resources Research & Development Agency NEA - National Environmental Act PHI - Public Health Inspector PIU - Project Implement Unit PRDA - Provincial Road Development Authority PUCSL - Public Utility Commission of Sri Lanka RDA - Road Development Authority RE - Rural Electrification RoW - Right of Way SLSEA - Sri Lanka Sustainable Energy Authority EXECUTIVE SUMMARY 1. On 18 September 2012, the Asian Development Bank (ADB) provided the Government of Sri Lanka (GoSL) with a loan of $130Mto finance clean energy and network efficiency improvement focusing on the transmission and distribution projects to evacuate the power generated from renewable energy (wind and solar) parks/projects and to improve the overall network efficiency. The Ceylon Electricity Board (CEB) is the Executing Agency of the project. 2. As funded by ADB, the project was classified as category B on environment according to their Safeguard Policy Statement (SPS) 2009, which classifies projects based on its potential environmental impacts. An initial environmental examination (IEE) is required for category B project. An IEE was prepared for the project and was publicly disclosed to the ADB website in August 2012 as required by SPS 2009 and Public Communications Policy (PCP) 2011. However, during project implementation the previous lands earmarked for the substations became unavailable. Thus, this IEE, whichhas been posted to the ADB website in August 2012, was updated in October 2014 to cover some of the changes in the substation sites and the consequent changes in the length of some of the transmission lines resulting from the new substation locations.Since then, CEB proceeded with detailed route surveys and wayleave clearance works. In order to address grievences of several affected persons, objection meetings were held with relevant Divisional Secretaries and as a result, certain deviations were effected to reduce environmental and social impacts. Hence this IEE has been updated to reflect changes occurredsince October 2014 in accordance with the ADB SPS 2009. 3. The Clean Energy and Network Efficiency Improvement Project consists of transmission subprojects (Component A) and the distribution subprojects (Component B). This IEE covers Component A and consists of the following: A-I. Transmission System Strengthening in Mannar region A-1.1 Extension of 220 kV new Anuradhapura GSS A-I.2 Construction of 132 kV double circuit 55 kmnew Anuradhapura-Vavuniya Transmission line with 220 kV design for future upgrade of voltage A-I.3 Augmentation of Vavuniya GSS A-I.4 Construction of 132 kV double circuit Zebra 70 km Vavuniya-Mannar Transmission linewith 220 kV design for future upgrade of voltage A-I.5 Construction of 220kV/132 kV/33 kV Mannar GSS (1 x 31.5 MVA) A-II. New Polpitiya 220/132 kV grid substation (GSS) and associated transmission line A-II.1 Construction of 220/132 kV new Polpitiya GSS which is about 1.4 km away from the existing Polpitiya GSS A-II.2 Construction of 132 kV 1.4 km double circuit (2xZebra) Polpitiya-new Polpitiya transmission line A-II.3 Provision of 2x220kV double bus transmission bays to connect the newPolpitiya to the new Galle 220 kV transmission line A-II.4 Construction of 220 kV 73km, double circuit (2xZebra) new Polpitiya-Pannipitiya transmission line through Padukka to the existing Pannipitiya GSS A-II.5 Augmentation of Pannipitiya GSS (2x220 kV DB transmission line bays) A-III. Padukka 220/132/33 kV GSS and associated transmission line A-III.1 Construction of 220/132/33 kV Padukka Grid Substation A-III.2 Construction of 132 kV 8.4 km, double circuit (2xZebra) Athurugiriya to Padukka, transmission line A-III.3 Construction of 132 kV 12.5 km, double circuit (2xZebra) Athurugiriya to Kolonnawa IEE for Power Transmission Development Project Clean Energy and Network Efficiency Improvement Part 1: Conducting Due Diligence Implementing Agency - Ceylon Electricity Board 1 transmission line A-IV. Construction of 132/33 kV GSS at Kegalle A-IV.1 Construction of 132/33 kV GSS at Kegalle A-IV.2 Installation of 15 MVAr (3x5 MVAr) capacitor banks including 33 kV BSC bays at Kegalle 33 kV Bus Bar to control load PF A-IV.3 Construction of 132 kV 22.5 km, double circuit (Zebra) Thulhiriya to Kegalle transmission line A-IV. 4 Augmentation of Thulhiriya GSS with 2 nos. of 132 kV line bays A-V. Installation of reactive power compensation devices A-V.1 50MVAr at Biyagama 33 kV BB (10x5 MVAr including BSC bays) A-V.2 50MVAr at Sapugaskanda 33 kV BB (10x5 MVAr including BSC bays) A-V.3 30MVAr at Kolonnawa-new 33 kV BB (6x5 MVAr including BSC bays) A-V.4 30MVAr at Kolonawa-old 33 kV BB (6x5 MVAr including BSC bays) 4. The selected lands for new Politipitiya, Padukka and Kegalle GSS are all located in private rubber plantation and paddy, respectively. The Mannar GSS land belongs to the GoSL. Proposed land for Kegalle GSS will be purchased at market rates and acquisition of land will not be required from the surrounding communities. The initially proposed land for Mannar GSS belongs to the Irrigation Department, whichhad no objections in transferring the land to CEB. However, later Mannar District Secretary has verbally informed CEB in a meeting attended by DGM (Tr. Projects) and PM (CENEIP – P1) on 02/04/2013 that the said land is reserved for a proposed administrative building complex and therefore, cannot be released. Hence, CEB has sought other suitable lands. Presently, Land Commisioner’s Department has released the said land for construction of Mannar GSS and notified to CEB in their letter dated 04/11/2013. Accordingly, the original line route had been slightly deviated to connect to the new location, which has not caused significant change of length (less than 0.3km). 5. Theinitially earmarked land for the new Polpitiya GSS was later found to be vulnerable to landslides after studies carried out by the National Building Research Organization (NBRO)and mentioned in their report in August 2013. Proposed remedial measures include heavy earth retaining structures and the GSS to be constructed in three levels, which will cause significant increase in cost. CEB looked out for suitable government land in the area, but being a hilly area Polpitiya is scarce of technically viable lands to construct a grid substation. Since no government owned lands were available with the relevant Divisional Secrataries, CEB has published a paper advertisement seeking a suitable private land. Selected land is a 6ha out of the 20has private land located much closer to the Polpitiya Hydro Power Station (1.4km), and CEB has obtained the possession of land.