INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE

Transcription

1 INTEGRATED SAFEGUARDS DATA SHEET APPRAISAL STAGE Date ISDS PreparedlUpdated: March 3, 2010 I. BASIC INFORMATION A. Basic Project Data COImtry: Nigeria Project ID: Pl12329 Additional Project ID (ifany): Project Name: EarthCare Solid Waste Composting Project (Carbon Finance) Task Team Leader: Andrew Makokha Estimated Appraisal Date: N/A Estimated Board Date: NI A Managing Unit: AfTUW Report No.: Lending Instrument: Emission Reduction Purchase Agreement (ERP A) Sector: Solid Waste Management Theme: Climate Change IBRD Amount (US$m.): IDA Amount (US$tn.): GEF Amount (US$m.): PCF Amount (US$m): 2.65 (Elli' A value) Other financing amounts by source: Environmental Category: B Simplified Processing Simple l Repeater [l Is this a transferred project Yes [ 1 No [l B. Project Objectives: The population of Lagos has increased considerably in the last years, and the on-going massive immigration will corttinue for still a long time, leading Lagos to be one of the world's largest cities with a projected population of 24 million people by 2015 (around 17 million currently). This fast growth has strained the insufficient infrastructure, and has adverse effects on the already poor waste management disposal system. Lagos waste management has, over the last ten years, faced daunting challenges. First, the insufficiency of waste collection in Lagos city is associated with urban air, water and soil pollution resulting in serious health consequences. Second, randomly dumped waste blocks the drainage system and contributes to constant flooding in this coastal city. Finally, because current Solid Waste Management practices have mainly focused on limdfill disposal as the most appropriate and environmental friendly solution, scarcity of land has become an issue to be dealt with in this fast growing city.

2 The project objective is to divert part of the waste (equal to the processing capacity of the compost plant) and reduce the amount of waste disposed in the landfills in Lagos by 10 to 20 percent. EarthCare Nigeria Limited (ENL), in this pilot facility, proposes to turn biodegradable waste generated from domestic sources, saw mills, abattoirs and fruit and vegetable markets into useful compost. In addition to reducing the amount of waste to be disposed of in landfills, the project is to contribute to the sustainable development of Nigeria by: a) Reducing methane emissions from waste decay since the composting operation will be carried out in an aerobic enviromnent that will result in enhancement of the local air quality and reduce the effects of adverse Public Health consequertces. b) Employing local labor during plant construction and operation. c) Producing a high quality and enviromnental friendly compost which will substitute imported chemical fertilizers and reduce agricultural production costs. d) Reducing, at a larger scale, the Green House Gas emissions associated with the production offertilizers in exporting countries. C. Project Description The project will implement a proprietary bioremediation system developed by EarthCare Technologies, Inc., a teemology that has been proven by the development of projects in several countries such as the USA. The pilot facility will process mixed solid waste generated in Lagos State (comprising saw dust, animal waste, fruits and vegetables and domestic waste) into "grade A" organic fertilizer, which will be marketed to the agricultural community in Lagos State and beyond. Bioremediation is a method for treating solid waste in which organic material is broken dowrt by microorganisms in the presence of oxygen to a point where it can be safely stoted, handled, and applied to the enviromnent. The finished product is a competitive fertilizer, all natural and safe for the enviromnent. It also offers productivity advantages: it repairs damaged soil from chemical fertilizer residues and mining activities and increases the yield of crops significantly. It is estimated that the facility will process in excess of 1,200 metric tons of waste per day from Lagos city enabling it to reach a compost production of 500 metric tons per day. D. Project location and salient physical characteristics relevant to the safegllard analysis The proposed project is to be located at Odogunyan; Ikorodu Local Government Area; Lagos. State; NIGERIA. The facility will be installed on a 35-hectare plot of agricultural land in the Farm settlement at Odogunyan in Ikorodu Local Government Council (LGC) of Lagos State. The project site will consist of a large industrial style steel frame building unit, which will accommodate the processing units, compost pads, and a pond. The waste will be delivered by trucks and be shredded and processed before being spread out in rows. Ikorodu LGC is the biggest and fastest developing local govermnent council in the Lagos state and its population could have reached a million mark by now. Land use in Ikorodu is mainly for residential, industrial, commercial and agricultural purposes. In this suburb, the rural community of

3 Odogunyan hosts the State Polytechnic, the Lucky Star Fibre Company, a proposed 34- hectare fish farm and now the Compost project. The Odogunyan southern area is a designated farm settlement where most residents have home gardens around their dwellings, which are important as they provide fresh vegetables and fruits for the households and the settlements around. The site is already accessible by 2 roads, one in good condition and a shorter one that is rougher. The plot is traversed by an existing Power Holding Company of Nigeria (PHCN) high tension line to the West of the property while another line is proposed to the eastern end of the ENL property. ENL and PHCN have reached an understanding to relocate the high tension line and have connected both the proposed factory site and the local communities. The raw material mainly comes from some surrounding facilities (Oko Baba Sawmill in Ebute Metta, Oko Oba Abattoir and the Bolade fruit market) and landfills at Oregun and Ojota. The delivery, processed by trucks, will be managed so as to occur mainly during the night to avoid interference with local traffic. E. Bonower's Institutional Capacity for Safeguard Policies: EarthCare Nigeria Ltd. (ENL) was incorporated in September 1999 under Nigeria's Companies and Allied Matter Act, ENL is developing this project in Lagos in collaboration with EarthCare Te'chnology Inc., Arkansas, USA, which is the world leader of this technology that has been proven through projects in the US (such as City of Branson Municipal Waste Project), China, Vietnam and Malaysia. The Environmental Impact Assessment was undertal,en by EarthCare Nigeria Ltd., for which the terms of reference were submitted to the Federal Ministry of Environment. The final report was delivered in August The 2006 Report has been revised and upgraded. The EIA team was full-skilled and included specialists in socioeconomics, EarthCare technology, air quality, water quality, geology and geophysics, and soil and land use, and a safety officer. The study reviewed Nigerian legislation and guidelines, and international conventions that are relevant to the proposed project, and three levels of consultations were also carried out: institutional, communities and ENL African Circle. Nigeria has developed some measure of institutional capacity for relevant safeguard policies with the satisfactory implementation of the safeguards instrwnents (ErA, ESMP and RPF). The Federal Ministry of Environrnent is sufficiently knowledgeable on the Bank's safeguards policies and its staff, especially those of the impact assessment and mitigation unit, has in the past benefited from training on Bank's safeguards policies. In particular, Lagos State has a semiautonomous Environmental Protection Agency (LASEP A) that exists outside the ministry of environment. The agency has well qualified staff and is aware of Bank's environmental and social policies. Earthcare has in place adequate institutional arrangements, designated safeguards specialists, capacity building plan and monitoring and evaluation that would ensure the faithful implementation of the EMP contained in the revised ErA. Thus the project proponent Earthcare has a considerable institutional capacity for safeguards management. In addition, the proponent's safeguard compliance and capacity vis-a vis this specific project has been confirmed and strengthened by the environmental safeguards due diligence carried out by the Bank in view of the proposed carbon finance. The recommendations of the safeguards due diligence report have been incorporated into the revised EIA report and the associated EMP_ Filially, EarthCare has a consultant that provides additional technical support on need basis and

4 the arrangements seem to be working well. The EarthCare safeguards specialist will receive guidance from the Bank's safeguard specialists on the project. F. Environmental and Social Safeguards Specialists on the Team: Ainos Abu (AFTEN) Chukwudi Okafor (AFTCS) G. Safeguard Policies Triggered Environmental Assessment (OPIBP 4.01) Natural Habitats (OPIBP 4.04) Forests (OPIBP 4.36) Pest Mana!!ement (OP 4.09) PhYsical Cultural Resources (OP/BP 4.11) Indi!!enous Peonies (OPIBP 4.10) Involuntarv Resettlement (OPIBP 4.12) Safe;:; of Dams(OPIBP 4.37) Proiects on International WatelWays (OPIBP 7.50) Proiects in Disnuted Areas (OPIBP 7.60) Yes No II. KEY SAFEGUARD POLICY ISSUES AND THEIR MANAGEMENT A. Summary of Key Safeguttrd Issues 1. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts: No long term adverse impacts were identified in the Environmental Impact Assessment (EIA). 111is project will not fund activities that would cause an advetse effect on the environment or any form of land acquisition or restriction of access to sources of livelihoods. The potential environmental and social impacts of the projects will be small-scale and site-specific; and thus easily remediable typical of category B projects. The net environmental impact is expected to be positive as, beyond negative impacts of routine civil works sites, composting will reduce waste disposal in Lagos city, reducing methane emissions and improving air quality, creating jobs, as well as providing a competitive natural fertilizer to the local agricultural sector. 2. Describe any potential indirect and/or long term impacts due to anticipdtedfuture activities in the project area: No long-term adverse impact is expected.

5 3. Describe any project alternatives (if relevant) considered to help avoid or minimize adverse impacts. Not applicable. 4. Describe measures taken by the borrower to address safeguard policy issues. Provide an assessment o/botrower capacity to plan and implement the measures described. During the preparation of the project the proponent prepared and disclosed an EIA country wide in Nigeria. EarthCare also obtained operational pennit from the Federal Ministry of Environment as required by the existing EIA law in Nigeria. Prior to appraisal, the proponent revised and upgtaded the initial Environmental Impact Assessment. The report has been reviewed and final versions disclosed in-country on November 16, 2009 and at the Bank's Infoshop on February 23, In addition, the operation permit was extended on December 3, 2009 and EarthCare has already designated an environmental and social specialist who will be responsible for following up safeguards issues as and when they arise during project implementation. 5. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially 4IJected people. The key stakeholders include the residents of Odognnyan community in Ikorodu, Lagos State Waste Management Authority (LA WMA), Lagos State Environmental Protection Agency (LASEP A), Federal Ministry of Environment (FME), CBOs and NGOs, They were all fully cons\1lted and carried along in the preparation, construction and operation of the plant. In particular, the expectations and concerns of the host community were addressed in the ErA prepared by the project. Furiliennore, there exists a monthly forum organized between Earthcare and the people of Odognnyan and other stakeholders including CBOslNGOs where issues of common interest are addressed in an open and transparent marmer. This has fostered the excellent rapport that exists between the proponent of the project and the stakeholders. B. Disclosure Requirements Date Environmental Assessment! AuditlManagement Plan/Other: Yes Date of receipt by the Bank (12/01/2009) Date of "in-conntry" disclosure (11/16/2009) Date of submission to InfoShop (02/23/2010) For category A projects, date of distributing the Executive Summary of the EA to the Executive Ditectors Resettlement Action PlanlFramewol'k/Policy Process: N/ A Date of receipt by the Bank Date of "in-country" disclosure Date of submission to InfoShop Indigenous Peoples PlanlPlanning Framework: N/A

6 Date of receipt by the Bank Date of "in-country" disclosure Date of submission to InfoShop Pest Management Plan: N/A Date of receipt by the Bank Date of "in-country" disclosure Date of submission to InfoShop * If the project triggers the Pest Management and/or Physical Cultnral Resources, the respective issues are to be addressed and disclosed as part of the Environmental Assessment/Audit/or EMP. If il'l"coul'ltry disclosure of any of the above documents is l'iot expected, please explain why: C. Compliance Monitoring Indicators at the Corporate Level (to be filled in when the ISDS is finalized by the project decision meeting) OPIBP/GP Environment Assessment Does the project require a stand-alone EA (including EMP) report? Yes If yes, then did the Regional Environment Unit or Sector Manager (SM) Yes review and approve the EA report? Are the cost and the accountabilities for the EMP incorporated in the Yes creditl]oan? OPIBP Involuntary Resettlement Has a resettlement plan/abbreviated plan/policy framework/process N/ A framework (as appropriate) been prepared? tf yes, then did the Regional unit responsible for safeguards or Sector N/ A Manager review the plan?. The World Bank Policy on Disclosure of Information I-lave relevant safeguard policies documents been sent to the World Bank's Yes Infoshop? Have relevant documents been disclosed in-country in a public place in a Yes form and language that are understandable and accessible to project-affected groups and local NGOs? All Safeguard Policies Have satisfactory calendar, budget and clear institutional responsibilities Yes been prepared for the implementation of measures related to safeguard policies? Have costs related to safeguard policy measures been included in the proj ect Yes cost? Does the Monitoring and Evaluation system of the project include the Yes monitoring of safeguard impacts and measures related to safeguard policies? Have satisfactory implementation arrangements been agreed with the Yes borrower and the same been adequately reflected in the project legal documents?

7 D. Approvals./\!'Vi" 1;t( \(ft"l Signed and submitted by: Name Date Task Team Leader: Andrew Makokha ;>YTJ 03/03/2010 Environmental Specialist: Amos Abu 11/ Social Development Specialist Chudi Okafor 02/04/2010 Additional Environmental andlor Social Development Specialist(s): Approved by: Sector Manager: Jaime Bidennanq. ' Comments: '- =--- ~J. 03/04/2010 (