PROPOSED ALUMINIUM PECHINEY SMELTER WITHIN THE COEGA IDZ CHAPTER 16: ADDITIONAL ENVIRONMENTAL ISSUES FOR CONSIDERATION

Transcription

1 CHAPTER 16: ADDITIONAL ENVIRONMENTAL ISSUES FOR CONSIDERATION

2 Contents 16. ADDITIONAL ENVIRONMENTAL ISSUES FOR CONSIDERATION Electricity generation and supply Electricity supply options for meeting Aluminium Pechiney s demands Air emissions and water consumption associated with electricity generation for the smelter Contribution to global greenhouse gas emissions and climate change Mitigation measures Conveyor corridor Proposed conveyor corridor for the IDZ Impact assessment and mitigation for the conveyor corridor Impacts associated with the Aluminium Pechiney conveyor belt 16-7 List of Tables Table 16.1: Water consumption and electricity use associated with Aluminium Pechiney s electricity demands. 16-3

3 16. ADDITIONAL ENVIRONMENTAL ISSUES FOR CONSIDERATION This chapter includes information on two additional environmental issues that were identified through scoping. A comprehensive assessment of the impacts associated with these issues is beyond the scope of the EIA for the smelter. The issues are: Impacts associated with the generation of electricity to the smelter Impacts associated with the conveyor corridor for the Port of Ngqura to the IDZ. Eskom is currently expanding powerlines and corridors from Poseidon to the IDZ in order to meet potential increased electricity demands. Information on the EIAs for these additional transmission lines is provided in section Electricity generation and supply Issues related to energy policy and the use of coal for power generation are national policy issues, the full impacts of which cannot be addressed through a project-specific EIA. However, the purpose of this section is to provide information on the potential environmental and economic implications associated with the provision of 860MW of electricity for the Aluminium Pechiney smelter. The scoping process identified the following issues: the implications of the smelter in terms of Eskom s capacity to supply power to other electricity users; the contribution of electricity generation from the smelter to greenhouse gas emissions and climate change Electricity supply options for meeting Aluminium Pechiney s demands South Africa s surplus electricity supply capacity is expected to be exhausted by 2007 (Energy Research Institute, 2001). In order to meet growing electricity demands (irrespective of whether or not an additional aluminium smelter is established in South Africa) Eskom, therefore, will need to develop additional power generation capacity. The possible options are outlined below. The Integrated Resource Plan for electricity in South Africa (National Energy Regulator, 2002) shows that the current plans to meet demands in the period are: page 16-1

4 Returning three old mothballed coal-fired powerstations to service: Camden (1520 MW), Grootvlei (1130 MW) and Komati (906 MW). Construction of four new coal-fired powerstations with dry-cooling systems and flue gas de-sulphurisation ( MW in total) Construction of four new pumped storage schemes (3674 MW in total) Construction of one gas combined cycle plant and five gas turbine plants using gas from Namibia, Mozambique or Angola (1 950 MW in total). The White Paper on Energy Policy (DME, 1998), the joint planning between the National Electricitiy Regulator (NER) and Eskom, and Eskom s Integrated Strategic Energy Planning (ISEP) process promote diversifying the energy mix. Strategies to diversify away from coal as a primary fuel source include: importing electricity from hydropower schemes within the Southern African Power Pool (SAPP); building nuclear plants using pebble bed modular reactor technology; using discard coal from the coal mines to burn in greenfield fluidized bed combustion boilers; constructing combined cycled gas turbines. Promoting solar and wind power technologies. These strategies to diversify the energy mix are currently evaluated as being more expensive than the previous four planning options listed above. The additional capital expenditures required to expand the electricity generation capacity are expected to have an impact on the price of electricity (National Energy Regulator, 2002). In addition to economic costs, the different options being considered for augmenting the electricity supply capacity will have environmental impacts to a greater or lesser extent. Project-specific impacts will need to be assessed through environmental impact assessments as required by South African legislation Air emissions and water consumption associated with electricity generation for the smelter Coal-fired powerstations currently generate 90% of Eskom s electricity. A summary overview of air emissions and water consumption associated with the generation of electrical power for the Aluminium Pechiney smelter is provided in Table On the basis of the future energy plans for (NER, 2002) it is assumed that Eskom s calculated water consumption and air emissions per kilowatt-hour will not change page 16-2

5 significantly by the time the aluminium smelter comes into operation in Estimations of the percentage increase in annual emissions associated with meeting Aluminium Pechiney s electricity demand are based on Eskom s 2001 performance figures and do not take into account changes (increases or decreases) in Eskom s total water consumption and emissions between 2001 to Table 16.1: Estimated water consumption and electricity use associated with Aluminium Pechiney s electricity demands. ENVIRONMENTAL INDICATORS (per year) TOTAL RELEASED OR USED BY ESKOM (in 2001) ANNUAL EMISSIONS ASSOCIATED WITH MEETING ALUMINIUM PECHINEY S DEMAND VALUE % INCREASE Water usage (Million litres) Coal usage (Million tonnes) Ash produced (Million tonnes) Ash emitted (tonnes) SO 2 emissions (tonnes) NO x emissions (tonnes) CO 2 emissions (Million tonnes) Source: Calculated from Eskom (2002) The generation of electricity for supply to the Aluminium Pechiney smelter will account for an increase of approximately 4 % in Eskom s water consumption and air emissions, estimated using year 2001 as a baseline. South Africa s total CO 2 emissions are estimated to be 355 million t/year (World Bank, 2002). The estimated contribution of power generation for the Aluminium Pechiney smelter to South Africa s CO 2 emissions is therefore approximately 1.8%. It should be noted that Eskom s plans to diversify its sources of electricity supply may result in a reduction in the percentage contribution of coal to future electricity supplies (NER, 2002) Contribution to global greenhouse gas emissions and climate change Climate change refers to a change of climate which is attributed directly or indirectly to human activity that alters the composition of the global atmosphere and which is in addition to the natural climate variability observed over a comparable time period (Climate Change Secretariat, 2002). It is considered one of the most pressing environmental problems facing the world today due to the unpredictability and severity of impacts. Climate change includes: an increase in global mean surface temperatures; changes in rainfall patterns and the occurrence of more extreme weather events such as intense storms and heat page 16-3

6 waves. Negative impacts associated with climate change include: an increased risk of drought or floods in many regions, with a consequent impact on food security; human health impacts through the spread of tropical diseases to new areas; destruction of infrastructure and livelihoods; flooding of many low-lying areas as a result of rising sea-levels; and changes to species composition and biodiversity in adversely affected areas which has implications for how ecosystems function. Climate change therefore comes at a high financial, social and ecological cost. The science and impacts of climate change are being actively researched and assessed by a large body of international scientists that make up the Intergovernmental Panel on Climate Change (IPCC Secretariat, 2001). The findings of this international research programme is that climate change is a result of the rising concentrations of greenhouse gases in the earth s atmosphere as a result of economic and demographic growth over the last two centuries (Box 16.1). Box 16.1: Definition of greenhouse gases Greenhouse gases are those gases, both natural and resulting from human activities, which absorb and re-emit infrared radiation from the earth s surface. They contribute to a warming of the earth s atmosphere by acting as a blanket over the earth s surface. Greenhouse gases included under the Kyoto Protocol are carbon dioxide (CO 2 ), methane (CH 4 ), hydrofluorocarbons (HFCs), Nitrous oxide (N 2 O), perfluorocarbons (PFCs) and sulphur hexafluoride (SF 6 ). These gases have different global warming potentials, which is a measure of the relative effect of a gas in warming the atmosphere over a given time period (100 years in terms of the Kyoto protocol), compared against a value of one for CO 2. For purposes of comparability, greenhouse gas emissions are therefore often expressed in terms of equivalent volumes of CO 2. Source: Climate Change Secretariat, 2002 To tackle the problem of climate change, 93 countries, including South Africa, have so far ratified the Kyoto Protocol. This protocol is a legally-binding commitment to constrain greenhouse gas emissions, adopted in 1997 under the United Nations Framework Convention on Climate Change (Climate Change Secretariat, 1997). It differentiates responsibilities between developed countries (Annex-1 countries) and developing countries in terms of the type of commitments which apply to these two groups. Despite the fact that the protocol has not yet entered into force, many countries have already taken steps to constrain or reduce their emissions and, where applicable, meet their commitment targets. The Kyoto Protocol allows Annex-1 countries to meet their targets through a range of innovative mechanisms aimed at cutting the cost of page 16-4

7 curbing these emissions and facilitating clean development in developing countries (i.e. economic and social development which takes place without unacceptable increases in greenhouse gas emissions). South Africa ratified the UN Framework Convention on Climate Change on 29 August 1997 and acceded to the Kyoto Protocol on 31 July This accession (which has the same legal status as ratification of the Protocol) included the commitment to incorporate climate change considerations in relevant social, and economic policies and promote the development, application and transfer of climate-friendly technologies and practices (Climate Change Secretariat, 2002). South Africa s accession to the Kyoto Protocol does not currently include any commitment to reduce emissions Mitigation measures Aluminium Pechiney, in conjunction with Eskom, should investigate mechanisms promoted by the Kyoto Protocol to offset their contribution to greenhouse gas emissions (generated by smelter operations and through the generation of electricity required by the smelter). Options for realizing reductions in greenhouse gas emissions in South Africa include the clean development mechanisms as promoted by the Kyoto Protocol. These may include: investing in efficiency improvements in other South African industries and other users; supporting the supply of power with lower emissions to rural areas and townships, in particular in those areas where air quality deteriorates through large-scale burning of biomass and low-grade fuel; supporting the use of renewable energy supplies and technologies; carbon sequestration projects; and using cleaner energy sources with reduced greenhouse gas emissions (e.g. gas). It is recommended that in negotiating the electricity supply agreement with Aluminium Pechiney, Eskom should factor in the short-term and long-term environmental costs (externalities) associated with electricity generation from coal-fired powerstations to avoid these costs being borne by South African consumers. A strategic environmental assessment (SEA) would assist in identifying environmental opportunities and constraints to electricity supply options currently under consideration. Elements of an SEA process are starting to be incorporated into the Integrated Resource Plan for electricity in South Africa and Eskom s latest Integrated Strategic Energy Plan (ISEP8). It is critical that environmental page 16-5

8 considerations are integrated into energy planning; and that decision-making is undertaken on the basis of comparing alternatives once the true costs (including externality costs) of the different supply options have been estimated. Eskom should ensure that any price increase resulting from the expansion of supply capacity is fairly apportioned between domestic, industrial and other consumers and not borne by domestic consumers in a disproportionate manner Conveyor corridor Proposed conveyor corridor for the IDZ A conveyor corridor from the port to the IDZ is shown in the current plans prepared by CDC for the IDZ. These plans allow for up to four conveyor belts. The proposed conveyor corridor runs along the south-western edge of the current saltworks, cutting through the northern corner of the Butterfly Valley area, and passing beneath the N2 highway (refer to Figure 2.2). This corresponds approximately with the transport corridor identified in Figure 5.2a of the Subsequent EIR for the proposed port of Ngqura (CES, 2001). In order to ascend from sea level at the port to the elevated plateau on which the IDZ is located, a relatively constant slope will need to be provided for the conveyor route. This will require cut and fill operations, in particular in the northeastern corner of the Butterfly Valley area. The construction of the base platform on which the conveyor belts would be built is to be done by NPA and CDC. NPA are responsible for providing the base platform from the port to the N2, and CDC for the remainder of the route to the sites within the IDZ Impact assessment and mitigation for the conveyor corridor The EIA for the port assessed the predicted impact of the proposed transport corridor (section in CES, 2001). The corridor would adversely affect the Mesic Succulent Thicket of the steep slopes, which have previously been classified as highly sensitive, because of the erosion implications. The EIA predicts that loss of Mesic Succulent Thicket will definitely occur with the development of the back-of-port area (in particular, the conveyor corridor). This will result in a permanent, moderately severe negative impact at a localised scale. This impact is predicted to be of moderate significance (with mitigation). The proposed mitigation is considered to constitute best practice. To mitigate impacts, the EIA for the port recommends that all slopes exceeding a 1:3 gradient ideally should not be developed. Where development does take place, the slope must be stabilised and rehabilitated. The development should be page 16-6

9 placed so that as little disturbance as possible occurs within the sensitive vegetation types. The final Record of Decision, for both the Rezoning EIA and the Subsequent Port of Ngqura EIA, stipulates that prior to construction the remaining patches of both the Bontveld vegetation and the Mesic Succulent Thicket must be fenced off and protected from mechanical destruction and infestation with alien vegetation. An assessment of the impacts of preparing the conveyor corridor is not included in this EIA. The main reasons for this are that: (i) impacts of the corridor were identified and assessed in the EIA for the port; and (ii) construction of the base platform for the corridor will be undertaken by NPA and CDC as part of the general infrastructure development for the IDZ and Port of Ngqura. The following general recommendations can be made to mitigate the impacts of the corridor: 1. The planned layout of the corridor, while needing to meet engineering specifications for slope and curvature, must minimise the extent of cut and fill required. In particular, for the conveyor belt from the port to the smelter, the route must minimise the disturbance of sensitive valley slopes in the Butterfly Valley area. 2. The Standard Environmental and Re-vegetation Specifications developed by CDC must be implemented. These include specifications for site clearance (removal of rare, endemic or endangered species; removal of topsoil; stabilisation of steep slopes; and removal of alien vegetation) and revegetation (CDC, 2002c) Impacts associated with the Aluminium Pechiney conveyor belt Aluminium Pechiney has been allocated one conveyor belt lane within the conveyor corridor. This single conveyor belt will be constructed, operated and maintained by Aluminium Pechiney and used to transport both alumina and coke to the smelter. At the time of undertaking the specialist studies for the smelter EIA, no detailed design of the conveyor corridor was available. The impacts associated with dust and transport of materials via the conveyor are assessed in Chapter 6, which is based on the specialist study on materials handling and waste management (Raghubir et al, 2002). The visual impacts of the Aluminium Pechiney conveyer belt are addressed in Chapter 13 and in a specialist study on visual impacts (Oberholzer and Lawson, 2002). Noise impacts of the conveyer belt are addressed in Chapter 12, based on the noise impact specialist study (Weber, 2002). These chapters include recommendations to mitigate impacts. page 16-7