1 INTRODUCTION 1.1 TERMS OF REFERENCE FOR THIS ENVIRONMENTAL IMPACT ASSESSMENT REPORT

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1 1 INTRODUCTION 1.1 TERMS OF REFERENCE FOR THIS ENVIRONMENTAL IMPACT ASSESSMENT REPORT This Environmental Impact Assessment Report (EIA Report) has been prepared by Environmental Resources Management Ltd (ERM) on behalf of Keadby Developments Limited (the Company). This EIA Report has been prepared to support an application under section 36C of The Electricity Act 1989 in accordance with the requirements of The Electricity Generating Stations (Variation of Consents) (England and Wales) Regulations 2013 ( the 2013 Regulations ). 1.2 APPLICATION HISTORY OF THE KEADBY II PROJECT On 10 September 1993, the Company were granted consent pursuant to section 36 of the Electricity Act 1989 and a Direction under section 90 of the Town and Country Planning Act 1990 providing for the construction and subsequent operation of a 710 MW combined cycle gas turbine generating station at Keadby, North Lincolnshire. The section 36 consent was subsequently varied on 3 November 2016 pursuant to section 36C of the Electricity Act 1989 (and the 2013 Regulations) and section 90(2ZA) of the Town and Country Planning Act 1990 (2016 Consent) to accommodate an increase in the electrical output of the plant, up to 820 MW (the Consented Development). 1.3 THIS APPLICATION The Company now seeks a further variation pursuant to section 36C of the Electricity Act 1989 (and the 2013 Regulations) and section 90 (2ZA) of the Town and Country Planning Act 1990, to increase the electrical output of the Consented Development, up to 910 MW and to deliver a higher efficiency in electricity generation (the Proposed Development). The Proposed Development is also known as Keadby II; its location is shown on Figure 1.1. It is anticipated that the design changes for the Proposed Development will not result in the need for any material changes to the existing consent conditions. The application submitted in relation to the 2016 Consent was supported by an Environmental Statement (ES) that was prepared in accordance with The Electricity Works (Environmental Impact Assessment) (England and Wales) Regulations 2000 ( the 2000 EIA Regulations ). An Environmental Impact Assessment (EIA) has been undertaken to determine the likely significant effects of the Proposed Development to the extent these differ from those previously assessed in the ES. The EIA has been undertaken in accordance with The Electricity Works (Environmental Impact Assessment) (England and Wales) Regulations 2017 (the 2017 Regulations ) which have come into force since the 2016 Consent. The 2017 Regulations introduce several changes from the 2000 Regulations and these are identified and discussed in Table

2 Site Location PROJECTION: British National Grid Site Location SCALE: As scale bar SIZE: A4 SOURCE: Service Layer Credits: OpenStreetMap (and) contributors, CC-BY-SA PROJECT: DATE: 06/07/2017 Kilometres VERSION: A01 DRAWN: OB CHECKED: LG APPROVED: KM ± Figure 1.1 Site Location Plan Path: \\UKEDIDC01\Data\Edinburgh\Projects\ _KeadbyGIS_GB_KM\MAPS\EIA 2017\ _SiteLocation_A02.mxd

3 In addition Regulation 17 of the 2017 Regulations requires: (e) where the application is for a section 36 variation, the main respects in which the developer thinks that the likely significant effects on the environment of the development, as varied, will differ from those set out in (i) any EIA report or environmental statement prepared in connection with the application for the section 36 consent that it is proposed be varied; and (ii) if the section 36 consent has previously been varied by a section 36 variation, any EIA report or environmental statement prepared in connection with the application for that variation; (f) a non-technical summary of the information referred to in subparagraphs (a) to (e). This EIA Report focusses on the design changes to the Consented Development and on receptors and resources that will be potentially affected (see Table 1.1 for the key design changes). It also addresses matters arising from changes in legislation (most notably the introduction of the 2017 Regulations implementing the 2014 EIA Directive), updates the baseline where appropriate and reviews other schemes that have emerged from the planning process in terms of the potential for cumulative effects. In order for the EIA Report to be proportionate it clearly sets out (Chapter 3) where the assessment of effects relating to the Consented Development remains valid. A copy of the ES can be found in Annex D. Table 1.1 Comparison of Key Design Changes between the Consented Development and the Proposed Development Consented Development Proposed Development Output Capacity 820 MW 910 MW Dimensions of Main Structures of the Proposed Development Multishaft configuration presented Multishaft configuration presented Note: The corresponding building sizes presented in the ES contained some minor errors corrected here. The nature of the error was by omission and labelling and not in the dimensions actually used in the assessment. The Consented Development gas turbine hall and steam turbine hall were to be constructed of clad steel with brickwork to the lower level. Building appearance Note: the locations of some of the buildings have changed slightly within the application boundary. The Proposed Development gas turbine hall and steam turbine hall are to be constructed of clad steel down to ground level. 1-3

4 Consented Development The Consented development included supplementary firing i.e. combustion of natural gas directly into the boiler inlet duct to provide additional steam. Proposed Development Supplementary firing The Proposed Development will not use supplementary firing as part of the power generation process. Commissioning duration The commissioning phase for the Consented The commissioning phase for the Proposed Development was approximately 26 weeks. Development has increased to 12 months. Abnormal Indivisible Loads (AILs) A maximum of 10 AILs will be required for the A higher number of AIL will be required for the Consented Development and will route Proposed Development, although the number through the village of Ealand. routed through the village of Ealand over the construction phase will remain the same (i.e. 10 AIL deliveries). All additional AIL deliveries will take an alternative route. 1.4 POLICY AND LEGISLATION OVERVIEW A comprehensive overview of the planning policy context relevant to the Proposed Development is provided in Chapter 3 of the Consented Development ES (see Annex D). Since issue of the 2016 Consent, the principle legislative change of relevance to the given application is the implementation of the 2017 EIA Regulations which came into force transposing Directive 2014/52/EU (the 2014 Directive ) into UK law. The 2017 Regulations were brought into force on the 16th May Although on the face of it the 2014 Directive introduced a number of new matters to be addressed within an EIA, many aspects of these had been routine elements of EIA in the UK for a number of years. Table 1.2 sets out the new requirements and comments on them in the context of this EIA Report. Table 1.2 Implications of the 2014 Directive EIA Directive 2014 Scoping Opinion Where a scoping opinion is requested from the decision maker the EIA Report will need to be based on the response (Art.5 (1)). Content The 2014 Directive includes clear requirements for content on a number of areas, including (Annex IV): impacts on biodiversity, climate change, landscape and human health; vulnerability to accidents and disasters Comment A scoping opinion was sought and provided for within the ES. Although this preceded the implementation of the 2017 Regulations, the ES was based on the response. A scoping opinion has not been sought specifically in relation to this EIA Report; however the information contained herein is based on the original Scoping Opinion, the consultation comments in relation to the ES and comments received from the preapplication consultations undertaken with the Council, BEIS, local communities and the statutory consultees with specific regard to this EIA Report. All these matters were fully addressed in the ES and are supplemented as necessary within this EIA Report 1-4

5 EIA Directive 2014 and the environmental consequences of such. Alternatives The 2014 Directive requires at Art.5 (1): a description of the reasonable alternatives studied by the developer. Alternatives include: project design, technology, location, size and scale (Annex IV, para.2). Uncertainty The main uncertainties associated with forecasting methods must be described. Cumulative effects These have been defined as those arising from the development with other existing and approved developments. Environmental management and monitoring In the event of consent for EIA development, the 2014 Directive now includes requirements for monitoring of implementation of mitigation measures (Art.8a (4)). Baseline, validity of data and evolution The decision-maker must be satisfied that the ES is up to date before determining the application (Art.8a). There is also a new requirement to outline the likely evolution of the baseline scenario in the absence of the development, as far as this can be assessed with reasonable effort on the basis of available information and scientific knowledge. EIA and HRA Authorities must choose whether to combine the EIA process with appropriate assessments under the European Habitats Directives or simply co-ordinate the assessments (Art.2 (a) (3)). Competence of Practitioners The 2014 Directive introduces a need for EIAs to be produced by competent experts. Comment Reasonable alternatives were considered to the extent appropriate in the ES for the Consented Development and those alternatives apply equally to the Proposed Development. See Section 2.7 for an overview of the alternatives. The role of uncertainty in assessment was addressed in the ES and also applied to this EIA Report. The ES identifies cumulative schemes following consultation with North Lincolnshire Council and assesses their cumulative effects with the Consented Development. This assessment is updated for the purposes of the Proposed Development. Monitoring measures for the construction phase are set out in the draft Construction Environmental Management Plan (CEMP) in the ES. Similar provisions will apply to the Proposed Development along with operational monitoring requirements to be set out in the Environmental Permit and to be agreed with the local planning authority regarding the consent conditions. Data sources are set out in the ES and have been updated to the extent necessary for this EIA Report. Natural evolution of the baseline where relevant is addressed in Table 3.2. The ES and this EIA Report contain an ecological impact assessment and a Habitat Regulations Assessment. The ES and this EIA Report have been prepared by Environmental Resources Management (ERM). ERM is a member of the Institute of Environmental Management and Assessment s (IEMA s) EIA Quality Mark, a scheme which allows organisations to make a commitment to excellence in their EIA activities, and have this commitment independently reviewed. 1.5 REPORT CONTENT AND STRUCTURE This EIA Report presents the outcome of the EIA in respect of the Proposed Development building on the desktop studies, field surveys and assessments conducted for the Consented Development. It is a summary of the EIA studies carried out and is presented to accompany the given Section 36C variation application. 1-5

6 This EIA Report objectively records the assessment of likely significant effects of the Proposed Development on the environment, including direct effects and any indirect, secondary, cumulative, short, medium and long-term, permanent and temporary, positive and negative effects (1), resulting from: the existence of the Proposed Development; the use of natural resources; and the emission of pollutants, creation of nuisances and waste. Table 1.3 shows the location within this EIA Report and the ES of pertinent information to satisfy the requirements set out in Schedule 4 of the 2017 Regulations. The general approach to the EIA is described in Section 1.6. The EIA Report scope, including where the ES remains valid or supplementary information is provided in the EIA Report, is presented in Chapter APPROACH TO THE ENVIRONMENTAL IMPACT ASSESSMENT This section provides an overview of the broad principles of the methodology adopted within this EIA Report. A comprehensive description of the approach to the EIA can be found in Chapter 4 of the ES (see Annex D). This EIA Report presents a comparison of the Proposed Development and its likely significant effects, when compared to those attributable to the Consented Development. An informal scoping exercise has been undertaken in the preparation of this ES Report and is set out in Chapter 3. In addition Chapter 3 highlights topics where the likely significant effects have been reassessed due to changes in the project design. For those topics where no further assessment is required justification is provided and an overview of impacts and effects as presented in the Consented Development ES is provided. For those topics where additional assessment is required a full and thorough assessment has been carried out. Figure 1.2 sets out the approach to assessment of likely significant effects that may arise from the Proposed Development. This approach has been applied in undertaking the EIA for the Consented Development as well as the Proposed Development, as part of the Section 36C variation application. (1) Transboundary effects are scoped out. 1-6

7 Table 1.3 Relevant Paragraph of Schedule 4 to the EIA Regulations [Paragraph 1] Contents of the EIA Report Required Information Description of the proposed development, including in particular: a description of the location of the proposed development; a description of the physical characteristics of the whole development including, where relevant, requisite demolition works, and the land-use requirements during the construction and operational phases; a description of the main characteristics of the operational phase (in particular any production processes), for instance, energy demand and energy used, nature and quality of the materials used and natural resources; and an estimate, by type and quantity, of expected residues and emissions (such as water, air and soil and subsoil pollution, noise, vibration, light, heat, radiation) and quantities and types of waste produced during the construction and operation phases of the proposed development. Report Reference This EIA Report provides a description of the location of the Proposed Development (Figure 1.1) alongside a description of the physical characteristics of the whole development and main characteristics of the operational phase (see Chapter 2: Project Description). Types and quantities of waste are also addressed in Chapter 2: Project Description. The changes in project design and how these may affect the estimates of various emissions have been considered in detail in Table 3.1. There are no material changes to the project design during construction and so construction emissions remain reported in the ES (see Annex D), however, operational emissions to air are reassessed in this EIA Report (see Chapter 4). See Table 3.1 for further detail on the EIA Report Scope. [Paragraph 2] [Paragraph 3] [Paragraph 4] A description of the reasonable alternatives (for example in terms of development design, technology, location, size and scale) studied by the developer, which are relevant to the proposed development and its specific characteristics, and an indication of the main reasons for selecting the chosen option, including a comparison of the environmental effects. A description of the relevant aspects of the current state of the environment (baseline scenario) and an outline of the likely evolution thereof without implementation of the proposed development as far as natural changes from the baseline scenario can be assessed with reasonable effort on the basis of the availability of environmental information and scientific knowledge. A description of the factors specified in regulation 4(2) likely to be significantly affected by the development: population, human health, biodiversity (for example fauna and flora), land (for example land take), soil (for example organic matter, erosion, compaction, sealing), water (for example hydromorphological changes, quantity and quality), air, climate (for example greenhouse gas emissions, impacts relevant to adaptation), material assets, cultural heritage, including This EIA Report provides a description of the alternatives considered and the main reasons for selection of the chosen option. See Section 2.7 for a description of the alternatives. The ES provides a comprehensive description of the baseline scenario for all topics that may be affected by the Project. However, this EIA Report provides updated baselines, where appropriate, to those topics that are being reassessed (see Table 3.1 for EIA Report Scope and Chapters 4 and 5). An outline of the likely natural evolution of the baseline without implementation of the Proposed Development, where possible, is provided in Table 3.2. The ES provides a comprehensive description of the baseline scenario. See the following chapters in Annex D: Chapter 6 - Land and water (including soils); Chapter 7 - Ecology and nature conservation (including fauna and flora); Chapter 8 - Noise and vibration;

8 Relevant Paragraph of Schedule 4 to the EIA Regulations [Paragraph 5] [Paragraph 6] Required Information architectural and archaeological aspects, and landscape. A description of the likely significant effects of the proposed development on the environment, resulting from, inter alia: (a) the construction and existence of the development, including, where relevant, demolition works; (b) the use of natural resources, in particular land, soil, water and biodiversity, considering as far as possible the sustainable availability of these resources; (c) the emission of pollutants, noise, vibration, light, heat and radiation, the creation of nuisances, and the disposal and recovery of waste; (d) the risks to human health, cultural heritage or the environment (for example due to accidents or disasters); (e) the cumulation of effects with other existing and/or approved projects, taking into account any existing environmental problems relating to areas of particular environmental importance likely to be affected or the use of natural resources; (f) the impact of the project on climate (for example the nature and magnitude of greenhouse gas emissions) and the vulnerability of the project to climate change; (g) the technologies and the substances used. The description of the likely significant effects on the factors specified in regulation 4(2) should cover the direct effects and any indirect, secondary, cumulative, transboundary, short-term, medium-term and long-term, permanent and temporary, positive and negative effects of the development. This description should take into account the environmental protection objectives established at Union or Member State level which are relevant to the project, including in particular those established under Council Directive 92/43/EEC(a) and Directive 2009/147/EC(b). A description of the forecasting methods or evidence, used to identify and assess the significant effects on the environment, including details of difficulties Report Reference Chapter 9 - Air quality; Chapter 10 - Archaeology and cultural heritage; Chapter 11 - Traffic and transport; Chapter 12 - Socio-economic characteristics; Chapter 13 - Landscape and visual. However, this EIA Report provides updated baselines, where appropriate, to those topics that are being reassessed (see Table 3.1 for EIA Report Scope and Chapters 4 and 5). Additional information on landscape and visual impacts are provided in Figure 3.1. Land take is shown in Figure 2.1. The ES provides a comprehensive description of the likely significant effects of the Consented Development on the environment. Table 3.1 in this EIA Report assesses the validity of the findings of the ES in relation to the changes in project design presented in the EIA Report. For many topics there are no material changes that would affect the significance of the assessment in the ES and as such the ES remains valid. Where the assessment of likely significant effects may be different to that assessed in the ES, new information is presented in this EIA Report (see Chapter 4: Air quality and Chapter 5: Ecology and Nature Conservation). Table 3.1 also provides supplementary information to fulfil the requirements of the 2017 EIA regulations, as indicated within the table. The ES provides a comprehensive description of the approach to the EIA (see Chapter 4 of the ES Annex D). Further topic specific details

9 Relevant Paragraph of Schedule 4 to the EIA Regulations [Paragraph 7] Required Information (for example technical deficiencies or lack of knowledge) encountered compiling the required information and the main uncertainties involved. A description of the measures envisaged to avoid, prevent, reduce or, if possible, offset any identified significant adverse effects on the environment and, where appropriate, of any proposed monitoring arrangements (for example the preparation of a post-project analysis). That description should explain the extent, to which significant adverse effects on the environment are avoided, prevented, reduced or offset, and should cover both the construction and operational phases. Report Reference are provided in ES Chapters 6 to 13 and Chapters 4 and 5 of this EIA Report. A summary of the approach is provided in Figure 1.2 below. Uncertainty, where relevant, is dealt with within the topic assessment chapters of the ES and this EIA Report. A description of the measures proposed to avoid, prevent and reduce any identified significant adverse effects as well as monitoring and the effect of implementing the proposed mitigation measures are provided in the topic assessment chapters of the ES. A summary is provided in Chapter 15 of the ES (See Annex D to this EIA Report). Where these measures have been updated due to changes in project design considered in this variation they are presented in Chapter 4: Air quality and, Chapter 5: Ecology and Nature Conservation as well as Chapter 7, which provides a summary of the updated mitigation measures. [Paragraph 8] A description of the expected significant adverse effects of the development on the environment deriving from the vulnerability of the development to risks of major accidents and/or disasters which are relevant to the Proposed Development. Relevant information available and obtained through risk assessments pursuant to EU legislation such as Directive 2012/18/EU(c) of the European Parliament and of the Council or Council Directive 2009/71/Euratom(d) or UK environmental assessments may be used for this purpose provided that the requirements of this Directive are met. Where appropriate, this description should include measures envisaged to prevent or mitigate the significant adverse effects of such events on the environment and details of the preparedness for and proposed response to such emergencies. The Proposed Development is not within the consultation zone for any COMAH site and therefore is not at risk of being affected by a major accident at one of these sites. Flood risk has been addressed in the design levels of critical operational infrastructure and the Proposed Development will be provided with a sustainable drainage system sized to cope with future changes due to climate change (see Chapter 3 and Annex D). An emergency situation and response plan will be developed for the Proposed Development prior to construction and updated for operation. A Hazard and Operability Study and Process Hazard Review (HAZOP) will also be conducted prior to construction to consider sources of major accidents as part of preparing such a plan. [Paragraph 9] [A non-technical summary of the information provided under paragraphs 1 to 8] A Non-technical Summary of all relevant information, including [Paragraph 10] A reference list detailing the sources used for the descriptions and assessments included in the environmental statement. information presented in the ES, is provided with this EIA Report. References are provided as footnotes in each chapter of the ES and EIA Report, as relevant.

10 Figure 1.2 Overview of the EIA Process Identify Impact The scoping process identifies the potentially most important/significant impacts and effects (including secondary, indirect and cumulative) for the assessment to address. This is done through a combination of: looking at the nature of a project s activities and the impacts they will give rise to; looking at a project s environmental and social settings and their aspects which are likely to be most sensitive/vulnerable to impacts from the project; applying professional understanding gained from the evidence base; and considering inputs from stakeholders through consultation. Decisions are then made on which impacts and effects to assess or to prioritise in the assessment (scoping in and scoping out) and how to assess them (proposed methodology). Predict Magnitude A project s impacts are quantified in terms of eg: landtake area or habitat loss; proportion of an ecological population exposed to impact; change in noise levels at a residence; pollutant exposure at a receptor; and numbers of jobs generated in the local economy. In predicting magnitude the effect of all the project mitigation in place (ie committed to by the applicant) is taken into account. For some impacts, especially noise, air and water pollution, significance is assessed directly against numerical criteria and standards. For exceedances, further mitigation must be incorporated by a project to reduce the magnitude of the impact (and the significance of its effect). For other impacts nominal levels of magnitude (eg small, medium, large) may be adopted based on widely recognised factors such as: the nature of a change (what is affected and how); its size, scale or intensity; its geographical extent and distribution; its duration, frequency, reversibility and, for unplanned events, likelihood of occurrence. Some activities will result in changes to the environment that may be immeasurable or undetectable or within the range of normal natural variation. Such changes are assessed as having no impact or to be of negligible magnitude and will not lead to significant effects. Increasing interaction with baseline studies, project design and stakeholders Identify Impacts Informed by high level baseline, project information and consultation with key stakeholders Evaluate Significance Predict Magnitude Project as currently planned with mitigation incorporated Evaluate Significance Compared against standards or looking at magnitude in combination with affected resource/receptor Report Effects For some impacts and effects further or different mitigation may need to be considered and the effect re-evaluated In evaluating significance, the EIA process is seeking to inform regulators and stakeholders about the effects of a project in a way that helps them make decisions on whether to approve it and allows them to develop suitable conditions to attach to an approval. The evaluation of significance ideally demonstrates legal compliance at least (eg compliance with quantified standards, avoidance of effects on legally protected resources). In the absence of quantified standards, significance can be evaluated through considering the magnitude of an impact in combination with the importance/quality/value of the receptor or resource that is affected, also considering the response (or sensitivity) of a resource or a receptor to a particular impact. Impacts/effects of more than minor significance may warrant re-examination to see if an impact magnitude can be reduced further. Different mitigation options may be examined and the reasons for selecting one and rejecting others explained. Some impacts/effects that cannot be adequately mitigated may need to be addressed through the consideration of offsets or compensation. The evaluation process may go through more than one iteration of working with project design to develop suitable mitigation and re-evaluating impacts and effects. Describe Baseline Baseline data are collected to better understand the potentially most important impacts and effects identified in scoping. Baseline data may quantify existing exposure levels (eg for noise, air and water pollution), identify vulnerable populations of animals or people, more clearly delineate valued cultural property and ecosystem services etc. Where a baseline aspect cannot be quantified then nominal levels of importance, quality or value (low, medium, high) are assigned based on widely accepted criteria in fields such as ecology, cultural heritage, landscape and socioeconomic assessment. Inter-relationships between elements of the baseline are identified. Interact with Project Design The EIA process interacts with a project design team to develop a basis for the assessment (for example quantities of emissions, noise levels of equipment, sizes of structures). The EIA process also interacts with design to assess alternatives, best available technology and mitigation options, especially when after initial assessment some impacts may need to be further reduced. Consult Stakeholders Ongoing stakeholder consultation, post-scoping, is good practice in EIA and is undertaken to refine the assessment and present preliminary findings to stakeholders to elicit early responses and help make the Environmental Statement as fit for purpose as possible. While the above provides a general framework for identifying impacts and assessing the significance of their effects, in practice the approaches and criteria applied vary across different environmental and socio-economic topics. Sensitivity/Quality/Importance of Receptor/Resource High Medium Low Magnitude of Impact Small Medium Large Not significant Minor Moderate Major

11 1.7 COMPARISON BETWEEN THE PROPOSED DEVELOPMENT AND THE CONSENTED DEVELOPMENT In accordance with Regulation 17 paragraph (e) of the 2017 Regulations, one purpose of the EIA is to provide information on the main respects in which the Company considers that the likely significant effects on the environment of the Proposed Development will differ from those described in the ES. The conclusions of this comparison are presented in Chapter 8 of this EIA Report. 1-11