Initial Environmental Examination October 2012 MFF 0021-PAK: Power Distribution Enhancement Investment Program – Proposed Tranche 3 Prepared by the Quetta Electric Supply Company for the Asian Development Bank. Power Distribution Enhancement Project (PAK) Tranche 3 INITIAL ENVIRONMENTAL EXAMINATION (Draft) Loralai – Quetta Industrial 132KV Double Circuit Transmission line Subproject Submitted to Asian Development Bank October 2012 By Quetta Electric Supply Company (QESCO) Government of the Islamic Republic of Pakistan Power Distribution Enhancement Multi Tranche Financing Facility QESCO Tranche - 3 Loralai - Quetta industrial 132KV DC Transmission Line Initial Environmental Examination TABLE OF CONTENTS 1. Introduction 1 1.1 Overview 1 1.2 Scope of the IEE Study and Personnel 3 1.3 Policy and Statutory Requirements in Pakistan 4 1.4 Structure of Report 8 2. Description of the Project 10 2.1 Type of Project 10 2.2 Categorization of the Project 10 2.3 Need for the Project 10 2.4 Location and Scale of Project 11 2.5 Decommissioining and Disposal of Materials 9 2.6 Proposed Schedule for Implementation 11 3. DESCRIPTION OF THE ENVIRONMENT 12 3.1 Project Area 12 3.2 Physical Resources 12 3.3 Ecological Resources 15 3.4 Economic Development 15 3.5 Social and Cultural Resources 16 4. SCREENING POTENTIAL ENVIRONMENTAL IMPACTS AND MITIGATION MEASURES 19 4.1 Project Location 19 4.2 Potential Environmental Impacts during Design & Pre-Construction Stage 21 4.3 Potential Environmental Impacts from Construction 22 4.4 Potential Environmental Impacts during Operation 25 5. INSTITUTIONAL REQUIREMENTS & ENVIRONMENTAL MANAGEMENT PLAN 27 6. PUBLIC CONSULTATION AND INFORMATION DISCLOSURE 41 6.1 Approach to Public Consultation 41 6.2 Public Consultation Process 41 6.3 Results of Public Consultation 42 6.4 Grievance Redress Mechanism 24 i Power Distribution Enhancement Multi Tranche Financing Facility QESCO Tranche - 3 Loralai - Quetta industrial 132KV DC Transmission Line Initial Environmental Examination 7. CONCLUSIONS 47 7.1 Findings and Recommendations 47 7.2 Summary and Conclusions 48 List of Tables Table 5.1 Environmental Management Plan – Matrix Table 5.2 Monitoring Plan – Matrix Figures and Maps Figure 1.1 Pakistan IEE Process Figure 1.2 Letter from Pakistan Federal EPA on IEE Process Figure 2.1 Jurisdiction of QESCO. Figure 2.1 Layout of QESCO Loralai -Quetta subproject DGS Appendices Appendix 1 Institutional Arrangements for the implementation of Monitoring Plan ii Power Distribution Enhancement Multi Tranche Financing Facility QESCO Tranche - 3 Loralai - Quetta industrial 132KV DC Transmission Line Initial Environmental Examination ABBREVIATIONS ADB Asian Development Bank COI Corridor of Influence CSP Country Strategy Program DC Double Circuit DoF Department of Forests DFO Divisional Forest Officer DGS Distribution DGS Substation DGL Distribution DGS Line DIZ Direct Impact Zone EA Environmental Assessment EARF Environment Assessment Review Framework IEE Initial Environmental Examination EMP Environmental Management Plan GDP Gross Domestic Product GOP Government of Pakistan GIS Gas Insulated Switchgear LARP Land Acquisition and Resettlement Plan QESCO Quetta Electric Supply Company Leq Equivalent sound pressure level MPL maximum permissible level NEQS National Environmental Quality Standards NGO Non-Governmental Organization NIPS National Information and Population Service PC Public consultation BEPA Balochistan Environmental Protection Agency PEPAct Pakistan Environment Protection Act 1997 (as regulated and amended) PPMS Project Performance Monitoring System REA Rapid Environmental Assessment SIA Social Impact Assessment SP Subproject SR Sensitive Receiver TOR Terms of Reference TXL Transmission line Units cfs cubic feet per second Rupee, PKR Unit of Pakistan currency, $US approx. Rs. 95 iii Power Distribution Enhancement Multi Tranche Financing Facility - PAK Tranche 3 – Loralai-Quetta industrial 132KV DC Transmission line, Initial Environmental Examination 1. INTRODUCTION 1.1 Overview 1. This document is the Initial Environmental Examination (IEE) for the construction of a new Loralai- Quetta industrial -132kv DC transmission line (DGL) from Loralai to Quetta District, Baluchistan province, adjacent to the Five DGS to be connected to the existing Quetta – Loralai line of the QESCO distribution grid. This IEE presents the results and conclusions of environmental assessment for the proposed construction of the Loralai –Quetta SP, and is submitted by Quetta Electric Supply Company (QESCO). The SP is to be considered for early improvement under the PDEMFF and requires environmental assessment under ADB operating procedures. An IEE has been carried out to fulfill the requirements of ADB Safeguards Policy Statement 2009. 2. Overall the proposed PDEMFF facility has been designed to address both investment and institutional aspects in the electrical power sector. The Project involves the construction of a new transmission line in Quetta and Loralai District of Balochistan, connected to the five existing grid DGS, for which detailed designs are currently being developed. The total cost of the SP will be estimated later on. ADB will fund the design, civil works and project preparation and support components through a Tranche 3. 3. The environmental assessment requirements of the GoP for DGL and power transmission projects are different to those of ADB. The environmental regulations of the GoP categorize development projects into two schedules according to their anticipated potential environmental impacts. The proponents of projects that have more adverse environmental impacts (Schedule II) are required to submit an environmental impact assessment (EIA). A review of the need for IEE / EIA submission is therefore required by the relevant environmental protection agency, in this case the Baluchistan Environmental Protection Agency (BEPA). Page 1 of 54 Power Distribution Enhancement Multi Tranche Financing Facility - PAK Tranche 3 – Loralai-Quetta industrial 132KV DC Transmission line, Initial Environmental Examination 4. The standards and conditions of the power transmission system in Pakistan are inadequate to meet the rapidly growing demand for electrical power. New developments in SP will result in additional load on the DGS stations, which are already facing difficulties in meeting the demands Page 2 of 54 Power Distribution Enhancement Multi Tranche Financing Facility - PAK Tranche 3 – Loralai-Quetta industrial 132KV DC Transmission line, Initial Environmental Examination of even the existing communities. This situation limits national development and economic growth. To cope with the constraints, the existing power transmission infrastructure has to be improved and upgraded. The overall contribution of power infrastructure also requires institutional arrangements and capacity that support strategic management of the sector, and planning and management of investments. 5. The Tranche 3 subprojects can be broadly separated into two groups. Projects that involve the improvement of facilities and equipment within existing DGS boundaries and do not require any land acquisition belong to group 1. However, the SP involves construction of a new DGL, and Impacts from the SP should not be excessive even though some land needs to be acquired for the Right of Way (RoW) to accommodate the transmission line towers. The location of the DGL is known and enabling observations and consultations for an Environmental Impact Assessment (Cat B). The designs for the Tranche 3 (T3) subprojects and further subprojects in all later tranches will be developed; under the project support component of TA. 6. The GOP has requested the Asian Development Bank (ADB) to provide finance for the SP to cover the construction of a DGL to help fulfill the overall objective of the MFF to encourage economic growth and improve transmission and distribution efficiency, by creating a series of regional improvements. The improved transmission efficiency will contribute to expansion of economic opportunities by improving capacity and efficiency and security of supply in the Baluchistan Province of Pakistan. 1.2 Scope of the IEE Study and Personnel 7. At the time of conducting this study (August, 2012), the preliminary detailed designs for the DGL are not completed and the overall requirements for installation of the equipment have not been identified and the approximate alignment of the line is in process (Figures 1.2 and Appendix 1). This IEE has been conducted based on information available as of August 2012. 8. The Loralai-Quetta SP involves the construction of about 272 km of Double Circuit 132 KV transmission line from Loralai to Quetta District in Balochistan and the detailed designs are under development. Land will be acquired for a Right of Way (RoW) for the supporting towers that can accommodate the transmission line. This IEE study has included field reconnaissance of the site and surroundings of the subproject. 9. The study area study included the identification of any irrigation facilities, water supply, habitable structures, schools, health facilities, hospitals, religious places and sites of heritage or archaeological importance and critical areas1 (if any) within about 50m of the proposed distribution line (DGL). The works are generally envisaged to involve construction of the bases and foundation pads and towers to support the transmission line. 10. The field studies would be undertaken by the project‘s environment team with experience of environmental assessment for