REG: Trans Borneo Power Grid: Sarawak to West Kalimantan Transmission Link (Malaysia Section)

Transcription

1 Trans Borneo Power Grid: Sarawak to West Kalimantan Transmission Link (RRP INO 44921) Initial Environmental Examination July 2011 REG: Trans Borneo Power Grid: Sarawak to West Kalimantan Transmission Link (Malaysia Section) This initial environmental examination 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. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular 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.

2 Asian Development Bank TA 6441-REG Efficiency Improvement and Connectivity Strengthening in Archipelagic Southeast Asia Project (Energy Component) Final Report, Part G Initial Environment Examination: 275 kv Regional Interconnection HVTL Mambong (Sarawak) to Bengkayang (West Kalimantan) and 150 kv HVTLs Bengkayang to Tayan (West Kalimantan) Prepared by SOFRECO Financed by the Asian Development Bank Revised July 2011

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6 Figure 3.1 Figure 3.2 Figure 3.3 Figure 3.4 Figure 3.5 Figure 3.6 Figure 3.7 Figure 3.8 Figure 3.9 Figure 4.1 Figure 4.2 Figure 8.1 Figure 8.2 Figure 8.3 Figure 8.4 Figure 9.1 Figure 9.2 Schematic diagram of proposed 275 kv Regional Interconnection HVTL, showing connections to proposed 150 kv HVTLs. The 275 and 150 kv HVTLs are a key element of the West Kalimantan Power Grid Strengthening Strategy, under the PLN Electricity Supply Planning Effort (Rencana Usaha Penyediaan Tenaga Listrik RUPTL ) Existing 275/132 kv system in Sarawak with future high demand supply locations, including export to West Kalimantan Location map of the 275 kv Regional Interconnection HVTL from Mambong to the Malaysian-Indonesian border (Sarawak Malaysia) Location map of the 275 kv Regional Interconnection HVTL from the Malaysian-Indonesian border to Bengkayang (West Kalimantan) Location map of 275 kv Regional Interconnection HVTL from the Malaysian- Indonesian border to Bengkayang, and the 150 kv HVTL from Bengkayang to Ngabang (West Kalimantan) Side-view diagram of typical transmission tower, West Kalimantan. Top-down view diagram of typical HVTL tower site. Layout of Bengkayang substation, showing land units to be acquired from Affected Persons (APs). Topography along 275 kv and 150 kv HVTL routes, West Kalimantan Forest Zoning along 275 kv and 150 kv HVTL routes, West Kalimantan Generalized grievance redress mechanism, preconstruction and construction stages, covering 275 kv Regional Interconnection HVTL from Malaysian- Indonesian border to Bengkayang, and 150 kv HVTLs from Bengkayang to Ngabang, and Ngabang to Tayan (West Kalimantan section) Grievance redress mechanism, preconstruction and construction stages, covering 275 kv Regional Interconnection HVTL from Mambong to the Malaysian-Indonesian border (Sarawak Malaysia section) Grievance redress mechanism, operation stage, covering 275 kv Regional Interconnection HVTL from Malaysian-Indonesian border to Bengkayang, and 150 kv HVTLs from Bengkayang to Ngabang, and Ngabang to Tayan (West Kalimantan section) Grievance redress mechanism, operation stage, covering 275 kv Regional Interconnection HVTL from Mambong to the Malaysian-Indonesian border (Sarawak Malaysia section) Environmental Management and Reporting, Construction Phase, West Kalimantan Environmental Management and Reporting, Operation Phase, West Kalimantan

7 Table 3.1 Table 3.2 Table 3.3 Table 3.4 Table 3.5 Table 3.6 Table 3.7 Table 3.8 Table 3.9 Table 3.10 Table 4.1 Table 4.2 Table 4.3 Table 4.4. Table 4.5. Table 4.6 Table 4.7 Table 4.8 Table 4.9 Table 4.10 Table 4.11 Table 4.12 Table 4.13 Table 4.14 Table 4.15 Table 4.16 Table 4.17 Table 4.18 Table 4.19 Table 4.20 Table 4.21 Table 4.22 Route length and number of transmission towers, 275 and 150 HVTLs Location of alignment and transmission towers by District, Subdistrict and Village, 150 HVTLs (West Kalimantan) Transmission tower types, 275 and 150 kv HVTLs (West Kalimantan) Minimum HVTL conductor clearance Land acquisition impacts, Bengkayang Substation Land Required for tower construction and RoW, 275 kv HVTL Existing use of the land to be affected by towers Summary of HVTL impacts Tentative Implementation Schedule (275 kv and 150 kv HVTLs, West Kalimantan) Indicative Project budget Land use in Project area Subdistricts in West Kalimantan (275 kv HVTL) Land use and vegetation cover along 275 kv HVTLs Land use along 150 HVTL alignment, Ngabang-Tayan Agricultural production and area for major crops, Bengkayang District Production of fruit, Bengkayang District Classification and area of forest Land in Sarawak Area of major forest types in Sarawak Area of major crops in Sarawak Number of enterprises in Bengkayang Household connected to the electricity grid in Project Subdistricts in West Kalimantan Electricity supply in Kuching and Bau Populations of districts and villages crossed by 275 kv HVTL, West Kalimantan Populations of districts and villages crossed by the 150 kv HVTLs, West Kalimantan. The distribution of subclans in each subdistrict in the Project area, Bengkayang District The distribution of subclans in the Project area in Sarawak Labor force involved in Bengkayang District Employment status in Bengkayang District Percentage employment by industry, Sarawak Health facilities in Bengkayang District Health facilities in Kuching and Bau Districts Education facilities in Bengkayang District Education facilities in Bau and Sarawak

8 Table 4.23 Table 6.1 Table 9.1 Table 9.2 Table 9.3 Table 9.4 Religion facilities in Bengkayang District Assessment of top ranked alignment options, 275 kv Regional Interconnection HVTL Environmental Management Plan (EMP) Environmental Monitoring Plan (EMoP) Estimated Environmental Budget West Kalimantan Estimated Environmental Budget Sarawak

9 ADB AFD AH AMDAL AP APG ASEAN Bapedalda CAP CEMP CHSP CSO DBNA DOE EIA EMF EMoP EMP EPC GRDP ha HPP HVTL IA IEE IOL IPP ISO IUCN KLH km kv kw kwh LARAP LVTL m masl MVTL Asian Development Bank Agence Française de Développement (French Development Agency) Affected Household Environmental assessment under Indonesian Government requirements Affected Person Angle Point (Transmission Line) ASEAN Power Grid Association of Southeast Asian Nations Provincial Environmental Impact Management Agency (Indonesia) Corrective Action Plan Construction Environmental Management Plan Community Health and Safety Plan Civil Society Organization Dayak Bidayau National Association (Sarawak) Department of Environment (Malaysia) Environmental Impact Assessment Electric and Magnetic Fields Environmental Monitoring Plan Environmental Management Plan Engineering, Procurement and Construction Gross Regional Domestic Product Hectare Hydropower Plant High Voltage Transmission Line Implementing Agency Initial Environmental Examination Inventory of Losses Independent Power Producer International Standards Organization International Union of Conservation of Nature Ministry of Environment (Indonesia Kilometer Kilovolt Kilowatt Kilowatt Hour Land Acquisition and Resettlement Action Plan Low Voltage Transmission Line Meter Meters Above Sea Level Medium Voltage Transmission Line

10 MW Megawatt NGO Non Governmental Organization NREB Natural Resources and Environment Board (Sarawak) O&M Operation and Maintenance OHSP Occupational Health and Safety Plan PIC Project Implementation Consultant PLN PT PLN Persero (Indonesia) PPS Personal Protective Equipment PPSA Power Purchasing and Selling Agreement REA Rapid Environmental Assessment RoW Right of Way RTRW Rencana Tata Ruang Wilayah (Spatial Plan) RUPTL Rencana Usaha Penyediaan Tenaga Listrik, (Electricity Supply Planning Effort), PLN SEB Sarawak Energy Berhad SES Sarawak Engineering Services (subsidiary of SEB) SESCO Sarawak Electricity Supply Corporation (subsidiary of SEB) SIA Social Impact Assessment SNI Indonesian National Standard SPS Safeguard Policy Statement T Tonne TA Technical Assistance UKL/UPL Environmental Management Effort or Upaya Pengelolaan Lingkungan and Environmental Monitoring Effort or Upaya Pemantauan Lingkungan

11 (i) This Initial Environmental Examination (IEE) has been prepared under the Asian Development Bank (ADB) financed technical assistance (TA) project TA 6441-REG: Efficiency Improvement and Connectivity Strengthening in Archipelagic South-east Asia Project (Energy Component). The TA is preparing a feasibility study for the cross-border interconnection of the existing power supply systems of West Kalimantan (Indonesia) and Sarawak (Malaysia) on the island of Borneo. The proposed Project will include a 275 kv Regional Interconnection High Voltage Transmission Line (HVTL) running from Mambong in Sarawak to Bengkayang in West Kalimantan; and two 150 kv HVTLs running from Bengkayang to Ngabang and Ngabang to Tayan in West Kalimantan. The Project includes transmission towers and lines; additions to an existing substation at Mambong in Sarawak, and in West Kalimantan a new 275/150 kv substation and associated facilities in Bengkayang and new 150/20 kv substations in Ngabang and Tayan; a limited number of access substation roads; equipment and materials storage and assembly areas; and, facilities for workers. (ii) The interconnection of the power supply systems of Sarawak and West Kalimantan will improve the reliability of the electrical supply in West Kalimantan and reduce the reliance on existing and proposed power generation based on fossil fuel sources. Electricity imported from Sarawak will be substantially from hydropower and will have lower carbon emissions than the alternative of developing fossil fuel based electricity generation, which is the main alternative in West Kalimantan. The 150kV HVTLs to Ngabang and Tayan will also bring access to electricity for hundreds of thousands of households across West Kalimantan. (iii) The Project proponent in Indonesia (West Kalimantan) is P.T. Perusahaan Listrik Negara Persero (PT PLN (Persero)), a state owned utility company responsible for generation, transmission and distribution of electricity in Indonesia. The Project proponent in Malaysia (Sarawak) is Syarikat SESCo Berhad (SESCO), responsible for operation of the electric power system of Sarawak. (iv) The proposed Project has been classified as environment Category B by the ADB, requiring the preparation of an initial environmental examination (IEE) in accordance with the ADB Safeguard Policy Statement (SPS); this document forms the Project IEE report. This report has been prepared based on field work; agency consultations; alignment, geotechnical and other surveys; data collected from a variety of government and academic sources; public and stakeholder consultations; a Rapid Environmental Assessment (REA) checklist used for environmental categorization; a draft AMDAL report for the 275 kv HVTL in West Kalimantan; and approved UKL/UPL reports for the 150 kv HVTLs. As a result of this process a thorough assessment has been undertaken of the key potential impacts attributable to the construction and operation of the proposed Project. Alternatives to the Project and to key design aspects were also examined. (v) The overall HVTL corridor (275 and 150 HVTLs) is characterized by flat to moderately hilly topography; scattered villages and associated small farms; a heavily modified rural landscape dominated by gardens, plantations, and shifting cultivation; a limited number of secondary urban centers; and patchy secondary scrub and forest growth and a near total absence of primary forest. Impacts will be limited to areas of cultivation and secondary growth already affected by human presence. The HVTL alignment has been planned adjacent to existing roads as much as possible so as to further limit potential effects on the limited remaining natural primary environments in the broader Project area. (vi) Preconstruction phase impacts are primarily related to the Project siting, including alignment of the HVTLs and siting of the substations. Careful routing of the HVTL will ensure that the final alignment avoids to the maximum extent possible sensitive ecosystems such as parks and protected forests; other sensitive locations such as houses and schools; and areas with high concentrations of high values economic trees, such as palm oil plantations. There will be no requirement to relocate houses or other significant structures. Separate processes are underway to assess the impacts of land acquisition and

12 provide appropriate compensation, including preparation of Social Impact Assessments (SIAs) and Land Acquisition and Resettlement Action Plans (LARAPs) for each of the Project s major components in West Kalimantan and Sarawak. (vii) Construction phase impact are associated with vegetation clearing, soil erosion, drainage, impacts on water and air quality, management of wastes, impacts on infrastructure, hunting and fuel wood collection by workers, and occupational and community health and safety. Most impacts can be mitigated through the use of good international construction practices such as limiting vegetation removal, erosion control, provision of site drainage, appropriate management of fuels, oils and hazardous materials, dust control, waste management, and the development and implementation of occupational and community health and safety plans. (viii) In West Kalimantan the main issue will be associated with procurement of land for the Bengkayang, Ngabang and Tayan substations and for tower sites. Agriculture is the principal occupation of the region s inhabitants; however, there will be no requirement to relocate houses or other significant structures, and impacts from the HVTLs and substations should be minimal and will be compensated through the above noted SIA and LARAP processes. There are no protected areas, primary forest, wetlands, peatlands, swamp forest, mangroves, estuarine areas, areas identified as having special ecological significance, or identified cultural heritage sites affected by the HVTL alignment. The route passes at closet approximately 500 m from the Gunung Condong Protection Forests; however it will be designated a no go areas, and will be strictly off limit for all workers. (ix) In Sarawak land will also be acquired for tower sites, but not for the substation as the existing Mambong station has area available for expansion. There will be no requirement to relocate houses or other significant structures, and there are no protected areas, primary forest, wetlands, peatlands, swamp forest, mangroves, estuarine areas, areas identified as having special ecological significance, or identified cultural heritage sites affected by the HVTL alignment. The 275 kv HVTL will pass within 0.5 to 2 km of some relatively intact forests area in the Bau area. However, the location of the HVTL in this area is in an area of farming, shifting cultivation and secondary vegetation and not through the intact forest where the park might be established, and the Project is not expected to have a significant negative impact on these intact forests or the proposed park. Nonetheless, SESCO will develop good communication with the Natural Resources Department during the detailed design of the HVTL route to ensure there is no potential for impact upon the proposed Park. In addition, these forest areas will be identified as no go areas. (x) Issues related to Project operation include EMFs and management of hazardous wastes at substations. Again, with the implementation of good international practices impacts can be effectively mitigated. (xi) A comprehensive EMP has been developed which includes construction and operation phase mitigation measures; a rigorous environmental monitoring and reporting plan with corrective actions if required; development and implementation of occupational and community health and safety plans; and training and capacity building. With a 15% contingency the total EMP budget is $156,630 in Sarawak and $216,315 in West Kalimantan. It should be noted that costs for many of the EMP mitigation measures are included in the engineering, procurement and construction (EPC) cost estimates, and are thus not included in the EMP budget. A Project Grievance Redress Mechanism has also been developed. (xii) The Project was initially classified by ADB as Category B, requiring the preparation of an IEE, the subject of this report. This IEE confirms the environmental categorization, and is considered adequate to meet ADB environmental assessment requirements; no further environmental assessment is required. (xiii) Based on the analysis conducted in this assessment it is concluded that overall the Project will result in significant positive socioeconomic benefits, and those potential negative environmental impacts that have been identified are small-scale and localized, and can be minimized adequately through good design and the appropriate application of mitigation measures. It is therefore recommended that the Project be supported by ADB, subject to the implementation of the commitments contained in the EMP and allocation of appropriate technical, financial and human resources by implementing agencies to ensure these commitments are effectively and expediently implemented.

13 1. The Asian Development Bank (ADB) financed technical assistance (TA) project TA 6441-REG: Efficiency Improvement and Connectivity Strengthening in Archipelagic South-east Asia Project (Energy Component), is preparing a feasibility study for the cross-border interconnection of the two existing power supply systems of West Kalimantan (Indonesia) and Sarawak (Malaysia) on the island of Borneo. The proposed Project, referred to in Indonesia as Strengthening West Kalimantan Power Grid, and in Malaysia as the Trans Borneo Power Grid Sarawak to West Kalimantan Line, will include a 275 kv Regional Interconnection High Voltage Transmission Line (HVTL) running from Mambong in Sarawak to Bengkayang in West Kalimantan; and two 150 kv HVTLs running from Bengkayang to Ngabang and Ngabang to Tayan in West Kalimantan. The Project includes transmission towers and lines; additions to an existing substation at Mambong in Sarawak, and in West Kalimantan a new 275/150 kv substation and associated facilities in Bengkayang and new 150/20 kv substations in Ngabang and Tayan; a limited number of access substation roads; equipment and materials storage and assembly areas; and, facilities for workers. 2. The Project proponent in Indonesia (West Kalimantan) is P.T. Perusahaan Listrik Negara (Persero) (PT PLN (Persero)), Indonesia s state owned electric utility company responsible for generation, transmission and distribution of electricity in Indonesia. 1 The Project proponent in Malaysia (Sarawak) is Syarikat SESCo Berhad (SESCO), responsible for operation of the electric power system of Sarawak. 3. The proposed Project is part of the ASEAN Power Grid (APG) Interconnection Development Project, the objective of which is to encourage an economic use of energy resources for mutual benefit, while also enhancing power system security and opening up opportunities for energy trading in an ASEAN electricity market. The Project is also a key element of the West Kalimantan Power Grid Strengthening Strategy and of long term power development plans in Sarawak, which includes exporting power to Sabah, Brunei and West Kalimantan. 4. The proposed Project has been classified as environment Category B by the ADB, requiring the preparation of an initial environmental examination (IEE) in accordance with the ADB Safeguard Policy Statement (SPS); this document forms the Project IEE report. 5. This report is structured as follows: Executive Summary Summarizes critical facts, significant findings, and recommended actions. I Introduction Introduces the Project, IEE report purpose, and approach to IEE preparation. 1 The term Persero designates a wholly or majority state owned company.

14 II Policy, Legal, and Administrative Framework Discusses the environmental assessment legal and institutional frameworks and requirements of the ADB, Malaysia and Indonesia. III Description of the Project Describes the Project type, location and route, key components, implementation phases and budget. IV Description of the Environment Describes relevant physical, biological, and socioeconomic conditions within the Project area of influence. V Anticipated Environmental Impacts and Mitigation Measures Describes environmental impacts predicted to occur as a result of the Project, and identifies suitable mitigation measures. VI Analysis of Alternatives Presents an analysis of alternatives to the Project. VII Information Disclosure, Consultation, and Participation Describes the process undertaken during Project design and preparation for engaging stakeholders; summarizes concerns raised and actions taken to address concerns; and describes planned information measures for carrying out consultation with affected people during Project implementation. VIII Grievance Redress Mechanism Describes the Project grievance redress framework for resolving complaints. IX Environmental Management Plan Presents the Environmental Management Plan (EMP), including required construction and operation phase environmental mitigation measures, an environmental monitoring plan (EMoP), and occupational and community health and safety requirements. X Conclusion and Recommendation Presents conclusions drawn from the assessment and recommendations. Appendices Provides references and supporting documentation and information. 6. This report has been prepared based on: - field work, agency consultations undertaken by the TA-6441 team in 2009 (focusing on the 275 kv HVTL) and 2011 (focusing on the 150 kv HVTLs); 2 - HVTL alignment, geotechnical and other surveys conducted by PT PLN (Persero) in West Kalimantan and SESCO in Sarawak; - data collected from a variety of government and academic sources (topography and geology maps, biodiversity distribution, forest and land cover, socioeconomic status), see Appendix A; - public and stakeholder consultations conducted in 2009 and 2011; - a Rapid Environmental Assessment (REA) checklist, used for environmental categorization purposes; 2 An initial draft of this report was prepared in 2009 by the TA-6441 team covering the 275 kv Regional Interconnection HVTL running from Mambong in Sarawak to Bengkayang in West Kalimantan, as well as additions to an existing substation at Mambong in Sarawak and a new 275/150 kv substation and associated facilities in Bengkayang, West Kalimantan. The report was subsequently revised by the TA Team in 2011 to include the two 150 kv HVTLs running from Bengkayang to Ngabang and Ngabang to Tayan in West Kalimantan, and associated substations.

15 - draft AMDAL report for 275 kv HVTL in West Kalimantan; 3 and, - approved UKL/UPL reports for the 150 kv HVTLs. 7. Project impacts have been analyzed the context of the proposed Projects area of influence (study area). The study area is defined loosely as a zone 1000 meters wide perpendicular to the average trend of the 275 and 150 kv HVTL alignments, and the areas encompassed by, and adjacent to, substations, substation access roads, and temporary storage areas. This has not precluded, however, the assessment of any impacts which have been identified to occur outside of this zone. 3 An AMDAL report covering the 275 kv HVTL was prepared by PLN s consultants and approved in May 2010 by the Governor of West Kalimantan Province. However, given the transboundary nature of the Project activities, the Ministry of Environment overturned the approval and is requiring that a new EIA be prepared that better addresses any potential transboundary issues. See Chapter 2 for additional information.

16 8. The ADB s environmental safeguard requirements are presented in Appendix I (Safeguard Requirements 1: Environment) of the Safeguard Policy Statement (SPS), available at: The SPS became effective on 20 January A Rapid Environmental Assessment (REA) checklist was prepared for the Project (Appendix B), and on the basis of the Checklist findings the Project was classified as Environment Category B by the ADB, meaning that the project is expected to have some adverse environmental impacts, but to a lesser degree than would be the case for a category A project. These impacts are expected to be site-specific, few if any are irreversible, and in most cases mitigation measures can be designed more readily than for category A projects. An initial environmental examination (IEE) is required; this document forms the Project IEE report. 10. The Project will have a separate implementing agency (IA) in each country: PT PLN Persero in Indonesia, and Sarawak Electricity Supply Corporation (SESCO) in Malaysia. Each IA has or is preparing an environmental assessment on the portions of the Project within their country as per their national requirements. 11. Indonesia has enacted a number of laws regarding environmental protection and management, including: - Law Number 5, Year 1990, on Conservation of Living Natural Resources and their Ecosystems; - Law Number 41, Year 1999, on Forestry; - Law Number 26, Year 2007, on Spatial Planning. - Law Number 19, Year 2009, on Ratification of Stockholm Convention on Persistent Organic Pollutants; and - Law Number 32, Year 2009, on Protection and Management of the Environment. 12. These laws are accompanied by various ministerial and provincial decrees and regulations. Environmental protection and management ministerial decrees include: - State Minister for the Environment Decree Number 13, Year 1995, on Standard Quality of Emission of Stationary Source - State Minister for the Environment Decree Number 48, Year 1996, on Noise Level Standard;

17 - State Minister for the Environment Decree Number 49, Year 1996, on Standard Quality of Vibration Level; and, - State Minister for the Environment Decree Number 45, Year 1997, on Standard Index of Air Pollutant. 13. Environmental protection and management government regulations include: - Government Regulation Number 82, Year 2001, on Management of Water Quality and Water Pollution Control. - Government Regulation Number 18, Year 1999, in conjunction to Government Regulation Number 85 Year 1995, on Management of Dangerous and Poisonous Materials. - Government Regulation Number 41, Year 1999, on Air Pollution Control. - Government of Indonesia Regulation Number 7 Year 1999 on Preservation of Plant and Animal Species. 14. The EIA process in Indonesia dates back more than 20 years, and Law Number 32, Year 2009, on Protection and Management of the Environment emphasizes the obligation to protect the environment. This is the most current environmental protection and management law, and was derived from the amendment of two previous laws, Law Number 23, Year 1997, on Environmental Management, and Law Number 4, Year 1982, on Principles of Environmental Management. In addition, the Ministry of Environment Regulations No 08 and No 11, Year 2006, provide the latest guidance on the EIA process. 15. The Indonesian government imposes a positive list for a project and/or activity that requires a full environmental assessment (AMDAL) according to the type, scale and location of the activity through Minister of Environment Regulation No. 11, Year Projects not listed only require environmental management and monitoring and are obliged to prepare Environmental Management Effort or Upaya Pengelolaan Lingkungan (UKL) and Environmental Monitoring Effort or Upaya Pemantauan Lingkungan (UPL) documents in accordance with Article 34 of the Environmental Protection and Management Law Any project located at the border or inside a protected area, no matter of type or scale, also requires an AMDAL. 16. Prior to commencing AMDAL work the project proponent is required to notify the environmental impact management agency. Based on the type, scale and location of the project, AMDAL approval may be granted at the central level by the Ministry of Environment (KLH), at the provincial level by the Provincial Environmental Impact Management Agency (Provincial Bapedalda), at the District level by the District Environmental Impact Management Agency (District Bapedalda). 17. At the provincial level, the regulation that requires environmental management is West Kalimantan Province Regulation Number 7, Year 1988, on Management and Conservation of the Environment, and West Kalimantan Governor Decree Number 120, Year 1989, on Environmental Quality Standards for West Kalimantan Province. 18. According to Minister of Environment Regulation No. 11, Year 2006, a 275 kv HVTL requires a full AMDAL. PLN initially understood that that the 275 kv HVTL AMDAL would be reviewed at the Provincial level. An AMDAL report was prepared by a PLN consultant and submitted to the Bapedalda, and in May 2010 it was approved by the Governor of West Kalimantan Province. However, given the transboundary nature of the Project activities, the Ministry of Environment overturned the approval and is requiring that a new EIA be prepared that better addresses any potential transboundary issues. This report will be reviewed and approved at the national level. The terms of reference for the AMDAL is currently under development. It should be emphasized that the primary rational for this decision was with regards to potential international border issues and not environmental concerns, and the Ministry expects the new AMDAL to draw heavily from the previous report. 19. The proposed of 145 km Bengkayang-Ngabang-Tayan 150 kv HVTLs are neither within or adjacent to protected areas. Based on Minister of Environment Decree No. 11, Year 2006, the Project only requires the preparation of a UKL/UPL. UKL/UPLs have been prepared for each 150 kv HVTL, with appropriate reference to State Minister for the Environment Decree Number 86, Year 2002, on Guidelines for Implementing Environmental Management and Monitoring Efforts, and the UKL/UPLs have received formal approval by the Bapedalda of West Kalimantan Province in Decision Number 660.1/209/BLHD-A (Bengkayang-Ngabang) and Decision Number 660.1/206/BLHD-A (Ngabang-Tayan)).

18 20. In designing the transmission lines and substations, including the selection of tower materials and components, PT PLN (Persero) will refer to the Minister of Energy and Mineral Resource Decree Number 1457 K/28/MEN/2000 on Technical Guidelines of Environmental Management in Mining and Power Sectors, and Decree Number 1899 K/09/MPE/1994 on Implementation of Environmental Monitoring of Electivity Power. Furthermore, standards related to HVTLs are presented in Indonesia National Standard (SNI) Number on Free Space and Minimum Free Distance of High-voltage transmission lines and Extra High-voltage transmission lines; and SNI Number on Air Spaces for Highvoltage transmission lines and Extra High-voltage transmission lines - Threshold Values of Magnetic Field and Electricity Field. 21. Land acquisition and compensation will be undertaken as per Head of National Land Authority Decree Number 3 Year 2007 on Methods for Making Available Land and Land Swap Compensation. Because some of the transmission lines will be inside production forest, PT PLN (Persero) will be required to obtain necessary permits as per Government Regulation No. 24 Year 2010 on Forest Area Use, and Ministry of Forestry Regulation No. 18/Menhut-II/2011 on Forest Area Land Use Guidelines. 22. Relevant requirements with respect to worker health and safety include Law No.1 year 1970 on Worker Safety and Ministry of Workforce Decree No. Kep-51/MEN/1999 on Reference Standard on Activities in the Working Area. 23. In Malaysia section 34A of the 1974 Environmental Quality Act specifies the legal requirements for environmental impact assessment (EIA). It empowers the Minister of Natural Resources and Environment, after due consultation, to prescribe any activity which may have significant environmental impact as a Prescribed Activity. The section further requires the project proponent of a Prescribed Activity to submit an EIA report to the Director General of Environmental Quality before approval for the proposed activity is granted by the relevant approving authority. The EIA report must be in accordance with the guidelines issued by the DOE, contain an assessment of the impact of the Prescribed Activity on the environment, and detail the proposed measures that shall be instituted to prevent, reduce or control adverse impacts on the environment. 24. At the provincial level, in Sarawak Prescribed Activities subject to EIA are listed under the Natural Resources and Environment (Prescribed Activities) Order, 1994, as administered by the Natural Resources and Environment Board (NREB) of Sarawak. 25. SESCO will prepare an EIA of the 275 kv Regional Interconnection HVTL running from Mambong to the Malaysian-Indonesian border so as to pursue government approval to comply with the Natural Resources and Environment (Prescribed Activities) Order, It is understood that this process is ongoing.

19 26. The proposed Project consists of a 275 kv Regional Interconnection High Voltage Transmission Line (HVTL) running from Mambong in Sarawak to Bengkayang in West Kalimantan; two 150 kv HVTLs running from Bengkayang to Ngabang and Ngabang to Tayan in West Kalimantan; additions to an existing substation at Mambong in Sarawak; and in West Kalimantan a new 275/150 kv substation and associated facilities in Bengkayang and new 150/20 kv substations in Ngabang and Tayan. The Project also includes a limited number of access roads, equipment and materials storage and assembly areas, and, facilities for workers. Figure 3.1 presents a schematic of the proposed HVTLs. 27. The Project will connect the power supply systems of Sarawak and West Kalimantan. At present the transmission voltage levels of the two as yet unconnected systems are 132 kv and 275 kv in the Sarawak grid and 150 kv in PLN s West Kalimantan system. The 275 kv Regional Interconnection HVTL will allow for power trading between West Kalimantan and Sarawak. It is envisaged that the sale of power will be mainly from Sarawak to West Kalimantan, but is also expected to be in the other direction at times. The terms of this process will be laid out in a Power Purchasing and Selling Agreement (PPSA). 28. The 150 kv HVTLs will improve the supply of electric power and reliability of the power service in West Kalimantan and adjacent provinces in Kalimantan. It is expected that these transmission lines will create economic development multiplier effects at various scales in West Kalimantan and surrounding regions. 29. The proposed Project is part of the ASEAN Power Grid (APG) Interconnection Development Project, the objective of which is to encourage an economic use of energy resources for mutual benefit, while also enhancing power system security and opening up opportunities for energy trading in an ASEAN electricity market. The Project is a key element of the West Kalimantan Power Grid Strengthening Strategy, under the PLN Electricity Supply Planning Effort (Rencana Usaha Penyediaan Tenaga Listrik RUPTL ), see Figure 3.2. Components of the Project (275 kv HVTL) have also been identified in the 2004 West Kalimantan Rencana Tata Ruang Wilayah (RTRW or Spatial Plan) and in the RTRW of Bengkayang District. The Project is also part of long term power development plans in Sarawak, which includes exporting power to Sabah, Brunei and West Kalimantan (Figure 3.3). 30. The Project proponent in Indonesia is P.T. Perusahaan Listrik Negara (PT PLN (Persero)), the state owned electric utility company responsible for generation, transmission and distribution of electricity in Indonesia. PT PLN (Persero) is an agency of the Ministry of Energy and Mineral Resources, and its head office is located in the Indonesian capital Jakarta. PT PLN (Persero) recently underwent an institutional and administrative reorganization. With respect to infrastructure development, the company s working area is now divided into a Jawa-Bali Region (Wilayah Kerja Jawa-Bali), a Western Indonesia Region (Wilayah Kerja Indonesia Barat) and an Eastern Indonesia Region (Wilayah Kerja Indonesia Timur). Each region is headed by a Director which includes a Power Generation Division, a Transmission Division, and a Distribution Division.

20 Figure 3.1: Schematic diagram of proposed 275 kv Regional Interconnection HVTL, showing connections to proposed 150 kv HVTLs. 31. The Western Indonesia Region covers Sumatera and West Kalimantan. The development of transmission networks in West Kalimantan is carried out by the Sumatera II Network Development Main Unit (UIP Ring Sumatera II), which covers works in provinces of Sumatera Barat, Jambi, Sumatera Selatan, Lampung, Bengkulu, Bangka-Belitung, and West Kalimantan. Each UIP Ring oversees several transmission network construction implementation units (Unit Pelaksana Konstruksi Jaringan or UPKJs) which are managed by a project manager. UPKJs are responsible for all aspects of the development of transmission networks. UIP Ring Sumatera II has 4 units; UPKJ Kalimantan IV is responsible for development of transmission networks in West Kalimantan. Once constructed, management of transmission networks is handed over to a Transmission Management Unit. 32. The Project proponent in Malaysia (Sarawak) is Syarikat SESCo Berhad (SESCO), formerly known as the Sarawak Electricity Supply Corporation. SESCO operate the electric power system of Sarawak, and is a subsidiary of the Sarawak Energy Berhad who owns SESCO, two independent power producers (IPPs) as well as manufacturing and engineering companies. 33. As noted in Chapter 2, the Project has been classified as Environment Category B by the ADB, requiring the preparation of an IEE, the subject of this report. 34. In Indonesia an AMDAL for the 275 kv Regional Interconnection HVTL running from the border to Bengkayang has already been prepared and approved at the provincial level, but as per the requirements of the Ministry of Environment a new AMDAL that considers border security issues is under preparation for review and approval at the national level. In addition, UKL/UPLs have been prepared and approved at the provincial level for the 150 kv HVTLs running from Bengkayang to Ngabang and Ngabang to Tayan in West Kalimantan.

21 Figure 3.2: The 275 and 150 kv HVTLs are a key element of the West Kalimantan Power Grid Strengthening Strategy, under the PLN Electricity Supply Planning Effort (Rencana Usaha Penyediaan Tenaga Listrik RUPTL ) 275 kv HVTL 150 kv HVTLs 35. In Malaysia the 275 kv Regional Interconnection HVTL running from Mambong to the border has been classified as requiring an EIA so as to pursue government approval to comply with the Natural Resources and Environment (Prescribed Activities) Order, It is understood that this process is ongoing. 36. The Project is located in the mid-western portion of the island of Borneo, spanning both Malaysia (Sarawak) and Indonesia (West Kalimantan). 37. The location and route of the 275 kv Regional Interconnection HVTL are shown in Figures 3.4 and 3.5 for the Malaysian and Indonesian sides respectively. The location and route of the 275 kv and the 150 kv HVTLs running from Bengkayang to Ngabang and Ngabang to Tayan in West Kalimantan are shown in Figures 3.6. Table 3.1 summarizes the route lengths and number of towers for both the 275 and 150 kv HVTLs.

22 Figure 3.3: Existing 275/132 kv system in Sarawak with future high demand supply locations, including export to West Kalimantan. Table 3.1: Route length and number of transmission towers, 275 and 150 HVTLs. HVTL Type West Kalimantan (PLN) Sarawak (SESCO) Subtotal 275 kv HVTL Transmission length (km) Number of Towers (#) kv HVTL Transmission length (km) Bengkayang-Ngabang Ngabang-Tayan subtotal Number of Towers (#) Bengkayang-Ngabang Ngabang-Tayan subtotal Total Towers (#) Total Distance (km)

23 38. The total length of the Regional Interconnection HVTL will be km. On the Malaysian side the 275 kv HVTL will run 45.6 km from the Mambong Substation to Serikin at the Malaysian/Indonesian border, passing through the Kuching and Bau districts. On the Indonesian side the 275 kv HVTL will run 82.6 km from the Malaysian/Indonesian border south to Bengkayang in the northern portion of West Kalimantan Province. The route passes through five subdistricts of Bengkayang District: Jagoi Babang, Seluas, Sanggau Ledo, Ledo, and Lumar. Elevations range from 40 to 70 masl. 39. The proposed route is mostly in the vicinity of existing roads. It is envisaged that access to tower sites will be from existing roads and tracks and across land by foot and motor bike. No new access roads will be constructed, other than for some substations. 40. The alignment, placement of towers and routing lengths are subject to change during final siting of the line. 41. The 150 kv HVTL lines will run 90 km from Bengkayang to Ngabang and 55 km from Ngabang to Tayan, in West Kalimantan. The lines will pass through 3 districts (Bengkayang, Landak, and Sanggau) and 8 subdistricts (Bengkayang, Teriak, Banyukehulu, Menyuke, Ngabang, Tayan Hilir, Balai, and Jelimpo), see Table 3.2. Route elevations range from 40 to 70 masl. As with the 275 kv HVTL, the proposed route is mostly in the vicinity of existing roads, and it is envisaged that access to the line will be from existing roads and tracks and across land by foot and motor bike. The alignment, placement of towers and routing lengths are subject to change during final siting of the line.

24 Table 3.2: Location of alignment and transmission towers by District, Subdistrict and Village, 150 HVTLs (West Kalimantan) District Subdistrict Village Tower Bengkayang-Ngabang 150 kv HVTL Bengkayang Lumar Magmagan T01-T05 Bengkayang Melosa T06-T12 Sebalo T13- T28 Teriak Sebetung Menyala T29-T33 Sayong T34 Dharma Bhakti T35-T39 Sebente T40-T47 Bangunsari T48-T52 Teriak T53-T55 Setia Jaya T56-T66 Landak Banyuke Hulu Untang T67-T78 Kampet T79-T85 Padang Pio T86-T96 Tembawang Bale T97-T106 Menyuke Berinang Lesung T107 Songga T108-T110 Angkaras T111-T116 Perabi T117- T118 Angsang T119- T123 Darit T124- T129 Mamek T130- T139 Jabeng T140- T141 Mamek T142- T147 Bagak T148- T155 Anik Dinggir T156- T173 Ngabang Antan Rayan T174- T192 Dangku T193- T208 Amboyo Utara T209- T230 Sungai Kelik T231- T237 Munggu Ambarang T238- T253 T254-T Towers Ngabang-Tayan 150 kv HVTL Sanggau Tayan Hilir Cempedak T01- T13 Tebang Benua T14- T25 Balai Makkawing T26- T35 Tamiang Mali T36- T38 Tae T39-T45 Padekaye T46-T60 Landak Jelimpo Angan Tembawang T61-T79 Kayuara T80-T87 Jelimpo T88-T99 Tumbangraeng T100-T107 Ngabang Tebedak T108-T133/GI Ngabang 133 Towers Source: - PT. PLN (Persero) 2010, Laporan Akhir Survey Jalur dan Penyelidikan Tanah SUTT 150 kv Bengkayang Ngabang. - PT. PLN (Persero) 2009, Deskripsi BM Rencana Tower, 2009

25 Figure 3.4: Location map of the 275 kv Regional Interconnection HVTL from Mambong to the Malaysian-Indonesian border (Sarawak Malaysia)

26 Figure 3.5: Location map of the 275 kv Regional Interconnection HVTL from the Malaysian-Indonesian border to Bengkayang (West Kalimantan)

27 Figure 3.6: Location map of 275 kv Regional Interconnection HVTL from the Malaysian-Indonesian border to Bengkayang, and the 150 kv HVTL from Bengkayang to Ngabang (West Kalimantan) Start 275 kv HVTL End 275 kv HVTL / Start 150 kv HVTLs End 150 kv HVTLs

28 42. The 275 and 150 kv transmission towers will be self supporting steel lattice towers, ranging from 200 to 400 m apart depending on terrain and location. The indicative number of towers for the 275 and 150 kv HVTLs is shown in Table 3.1. The number of towers may be subject to change during detailed design. 43. There will be three types of towers: where the transmission lines are straight or almost straight, tangent towers will be used; angle towers will be used where a line must change direction more than 5 0 ; and dead end towers will be used at the terminus of a line (Table 3.3). Figure 3.7 shows a side-profile of a typical transmission tower. The body length of the towers is adjustable, and towers will be designed to achieve legislated minimum conductor clearances from the ground, trees and structures, as summarized in Table 3.4. On average towers will be 50.4 m high on the West Kalimantan side, depending on terrain and location. In Sarawak the height will be somewhat less as they will be designed to maintain a clearance of 7m to the ground. Table 3.3: Transmission tower types, 275 and 150 kv HVTLs (West Kalimantan) No. Type of Tower Angle Height (m) Function 1 AA ,7 Tangent Tower 2 BB ,9 Angle Tower 3 CC ,3 Angle Tower 4 DD ,4 Angle Tower 5 EE ,7 Angle Tower 6 FF Dead End 50,7 Dead End Tower 44. Each tower base will be approximately 5 x 5 m in size, with each of the four tower legs supported by foundations designed for the soil conditions at the site. The height of each tower leg will also be adjustable. This will allow each leg to conform to the slope of the tower site, and helps prevent excessive land cutting and erosion and land collapse around foundations. Tower sites will be 20 x 20 m (400 m 2 ) for tangent towers and 25 x 25 m (625 m 2 ) for angle towers (Figure 3.8). 45. Conditions at all tower sites have been surveyed to obtain general information on subsoil characteristics. The tests revealed that sub-soil at some sites will require special foundations such as pile or raft type. During construction of the line, subsoil conditions at each tower site will further be examined by the construction contractor to determine the final foundation type to be applied.

29 Figure 3.7: Side-view diagram of typical transmission tower, West Kalimantan. (Source: PLN, 2010). Note: the same design will be used for the 150 kv towers. Table 3.4: Minimum HVTL conductor clearance Minimum Clearance (m) No. Location Indonesia Malaysia (275 and 150 kv) 1) (275 kv) 2) 1. Open space Other area with specific determination 2.1 Building, bridges Plant / vegetation, forest, Plantation Road, Highway Public space Others: HVTL, LVTL, MVTL, 5 4 communication line, antenna, sky lift 2.6 The highest point of ship mast at flood/ 6 highest water level in water traffic 3.1 Other than over road In positions inaccessible to vehicular traffic 6 Source: 1) Indonesian National Standard (SNI) No ) The Electricity Rules, Sarawak Ministry of Public Utilities, 1999.

30 Figure 3.8: Top-down view diagram of typical HVTL tower site showing site dimensions for tangent towers (20 x 20 m) and angle towers (25 x 25 m), as well as site boundary stakes (patok batas tanah), tower center point stake (patok as menara) and transmission line survey stakes (patok as jalur) Source: PLN A Right-of-Way (RoW) with a width of 40m in Sarawak (275 kv HVTL), and 30m and 20m in West Kalimantan for the 275 and 150 kv HVTLs respectively will be established. Tall trees within the RoW will be removed as necessary in order to maintain minimum transmission line conductor clearance (se Table 3.4). The transmission line will be sited during final design so as to avoid production forest land to the maximum extent possible. 47. No houses have been identified as requiring removal in the RoW, and the transmission line will be sited during final design to avoid houses to the maximum extent possible. In Sarawak in practice houses are not allowed in the RoW, while in Indonesia the practice is to allow houses and other structures provided the minimum vertical clearance of 7m is maintained. 48. A total of four substations will either be established or expanded. In Sarawak the existing Mambong substation has adequate space to accommodate the additional equipment required for the Project. The expanded substation will consist of two 275 kv line bays, two 275 kv transformer bays, two 275/150 kv transformers with 250 MVA capacity each, one 150/20 kv transformer bay with a 25 MVA transformer, four 150 kv line bays, capacitor bank, control building with 20 kv indoor switchgear, computer-based substation control system, protection and metering equipment, telecommunication facilities, AC/DC supply and other access (Figure 3.9).

31 Figure 3.9: Layout of Bengkayang substation, showing land units to be acquired from Affected Persons (APs). Source: PLN In West Kalimantan three substations will be constructed. A 275/150/20 kv substation will be constructed at Bengkayang, which will be connected to both the 275 kv Regional Interconnection HVTL running from Mambong in Sarawak and the 150 kv HVTL running from Bengkayang to Ngabang. The Bengkayang substation will be constructed in Magmagan village, Lumar subdistrict. Its location is easily accessible as it is less than 500 meter from the main road and between 300 and 500 meter from the closest village settlement. The substation will require an area of approximately 4 ha. The proposed site consists of flat rice land and a sloping area with rubber trees, and some excavation and filling is anticipated. However, it is not expected that additional fill material will need to be brought from outside the site. An impermeable oil trap will be developed around the transformer area to contain any oil spills. The substation will include four 275 kv bays, five 150 kv bays, auto-transformer, control building with 20 kv indoor switchgear, substation roads and access road. 50. In Ngabang and Tayan 150/120 kv substations will be developed. The Ngabang substation will be connected via the 150 kv HVTL with both the Bengkayang and Tayan substations, while the Tayan substation be connected with the Ngabang substation via the 150 kv HVTL and to substations in Sanggau and Siantan. 51. The proposed locations of the 150/120 kv substations are easily accessible from the main road connecting Bengkayang and Landak. The area needed for each substation will be approximately 4 ha; in addition, 8 m wide access roads 500 to 800 meters long will be constructed. The Ngabang substation will be in Ambawang village, Ngabang district. The proposed site is situated about meters from the headquarters of artillery unit of Tanjung Pura military command. A number of new buildings are found in the same location. The Tayan substation is located in Tebang Benua village, Tayan Hilir district. The village is easily accessible and is undergoing rapid development. Field investigations undertaken for the IEE indicated that there were too many activities already taken place in the area surrounding the proposed substation site,

32 suggesting that the potential site is no longer suitable for a substation. PT PLN (Persero) is in the process of proposing an alternative site within the same general area of Tebang Benua village. 52. Work to be conducted in transmission line and substation detailed design includes field work (e.g. longitudinal profile measurement activity line alignment, siting of towers, survey and site investigation, soil mechanics and office works), as well as activities of data processing, drawing and report preparation. 53. The topographical survey is to determine the best route for the development of the 275 and 150 kv HVTLs technically, economically and environmentally. The soil mechanics survey must be conducted to identify soil conditions, either the surface soil condition or sub-soil condition at the tower site location. The survey includes field work and laboratory works. The result of the soil mechanics survey will be needed to plan the digging and piling, providing the construction design for the sub-structure and the upper structure. 54. Construction of the Project will require the acquisition of land for substations, access roads and transmission tower sites. In addition, as noted above tall trees will be removed as necessary within the RoWs. 55. A separate process is underway to assess the impacts of land acquisition, including preparation of Social Impact Assessments (SIA) and Land Acquisition and Resettlement Action Plans (LARAPs) for each of the Projects major components in Sarawak and West Kalimantan. Land acquisition will only be carried out after the preparation of inventories of land area, status, ownership and land class. Compensation will be implemented by negotiation, based on the standards of land price stipulated by the local government and market price, and in accordance with ADB, Indonesian and Malaysian requirements. 56. In Sarawak land acquisition for the 275 kv HVTL tower sites is estimated at 6.57 ha, with tall trees cleared along the 45.6 km long by 40 m wide RoW. There are no houses or buildings to be removed. An SIA and LARAP covering the Project activities in Sarawak are currently being prepared by SESCO In West Kalimantan an SIA and LARA have been prepared for the Project s 275 kv HVTL and Bengkayang substation in compliance with relevant national regulations activities, and these are currently under review by ADB. 5,6 Data collection in the Project area was undertaken from December 2009 until April 4 Social Impact Assessment, Proposed State Transmission Land Corridor Development for Proposed Sarawak-West Kalimantan 275 kv Tranmission Interconnection for Mambong-Benkayang, April See: i) Social Impact Assessment - Efficiency Improvement and Connectivity Strengthening in Archipelagic Southeast Asia Project (Energy Component), West Kalimantan, Indonesia, prepared by TA 6441-REG, February 2011; and ii) Draft Resettlement Plan West Kalimantan 275 KV Transmission Line Project, Strengthening West Kalimantan Power Grid, Prepared by PT PLN (PERSERO), December In Indonesia Presidential Decrees No. 36 / 2005 and No. 65 / 2006 on Land Acquisition provide the basis permanent land acquisition for development in the public s interest (transmission line and substation development are categorized as a public interest types of development). The Decrees strengthen the state to manage the land use in order to avoid personal accumulation of land and to promote the use of land for public interest through fair and legal processes. In addition, Ministry of Energy and Natural Resources Decree No.975 K/47/MPE/1999 provides procedures for land crops compensation affected by government implemented electricity project developments.

33 2010 through a socioeconomic survey and inventory of losses (IOL). Land acquisition for the 275 kv HVTL tower sites is estimated at 22.1 ha, including 5.8 ha for the substation and 16.3 ha for transmission tower bases. The IOL calculated that a total of 589 affected households (AHs) will be impacted by the Project either permanently or temporarily. Of the 589 AHs, 196 AHs will permanently loose land for the construction of transmission towers and 10 AHs will loose land for the Bengkayang substation. The rest, a total of 393 AHs, will experience a restriction in the use of their land in the RoW; however, none of these AHs will lose a physical structure and/or need to be relocated. Of the 589 AHs, 20 are considered severely affected and vulnerable and will require special assistance from the Project. 58. The Project will also impact indigenous groups. Of those affected, 52% are Dayaks, considered an indigenous group, followed by non-indigenous groups, namely Malayu (39%) and others. 7 Tables 3.5 to 3.6 summarize the 275 kv HVTLs land acquisition impacts in West Kalimantan. Table 3.5: Land acquisition impacts, Bengkayang Substation Items Unit Quantity Land to be acquired for substation m 2 58,122 Percentage of acquired land compared to total land owned by APs % Number of AHs to be affected by substation AH 10 Number of AHs who have trees and crops affected by substation AH 10 Number of AHs headed by women AH 2 Number of AHs losing > 10% of total land ownership AH 6 Number of AHs to be relocated AH None Number of existing building/structures on the site unit None Other losses/effects No. To be determined Source: PT PLN (PERSERO) Draft Resettlement Plan West Kalimantan 275 KV Transmission Line Project Strengthening West Kalimantan Power Grid, December Table 3.6: Land required for tower construction and RoW, 275 kv HVTL No Type of Land Acquisition Number of Towers e. Area of TL / RoW 201 2,037,500 Source: TA 6441-REG Efficiency Improvement and Connectivity Strengthening in Archipelagic Southeast Asia Project (Energy Component), SOFRECO. Social Impact Assessment, West Kalimantan, Indonesia. February Note: Number of towers is subject to change during detailed alignment finalization. Land Affected (m 2 ) 1 Permanent Land Acquisition a. Normal Tower Foundation ,250 b. Angle Tower Foundation 39 62,400 c. Substation , ,772 2 Temporary Land Acquisition d. Track access for stringing angle tower 39 48,750 3 Land Use / Building Restrictions 7 Based on the population census by the West Kalimantan provincial statistics agency in 2003, the ethnic composition of the population in 2000 consisted of West Kalimantan Malays/Melayu (33.75%), Dayaks (33.75%), Chinese (10.01%), Javanese (9.41%), Madurese (5.51%), Bugisee (3.29%), Sundanese (1.21%), Malay Banjarese (0.66%), Batak (0.56%) and others (1.85%).

34 Table 3.7: Existing use of the land to be affected by towers Tower Bases No Category m 2 % No. of Towers 1 Rubber plantation 50, Bamboo trees 6, Empty land 5, Paddy field 1, Swidden agriculture land 23, Bush land 42, Mix garden 22, Mix fruits trees 2, Palm oil trees 3, Mix food crops 5, Prison land Total 163, Table 3.8: Summary of HVTL impacts Items Unit Quantity Total land area to be acquired for tower bases m 2 163,650 Percentage of acquired land compared to total land % 2 owned by APs Total Number of AH AH 589 Number of AH to be affected by Tower bases only AH 196 Number of AH to be affected both by Tower bases AH 589 and RoW Number of AH to be affected by RoW only AH 393 Total Number of AH who will lose their trees and AH 376 crops in the RoW. Total Number of AHs headed by women AH 20 Number of AH losing > 10% of total landownership AH 14 Number of AH to be relocated AH none Total RoW area (crossed by the T/L) m 2 2,037,500 Number of building/structure standing under the T/L unit none Other losses/effects on communally owned assets No. To be validated 59. At the time of preparation of this report a SIA and LARAP are under preparation for the 150 kv HVTLs and associated works in West Kalimantan. It is expected that no houses or buildings will need to be removed, so no compensation for these will be required. 60. It is expected that work will start on the 275 kv HVTL first, closely followed by the 150 kv HVTL. 61. SESCO and PLN will appoint contractors to construct the Project in Sarawak and West Kalimantan, respectively. It is estimated that a workforce of persons per tower will be required. Much of the labor required will be drawn from the local area, especially unskilled labor. Some specialized labor will need to be recruited from outside the area, including civil and electrical engineers. This will depend on arrangements with the appointed contractors.

35 62. It is expected that the contractors will form a series of worker groups which will work simultaneously on the construction of multiple towers and the substations. There will be separate teams for foundation construction, tower erection, and power line stringing. Temporary worker camps will be created at the construction sites and dismantled when no longer needed. 63. Most of the HVTLs will be constructed parallel to the existing road at a distance of about 200 to 600 m. The roads are mostly sealed pavement and in fair condition. In some location construction passage will use existing plantation and village roads. Construction material such as cement, sand, stone and equipment, parts of the tower lattices, insulators, and conductor will be transported using trucks and unloaded in suitable places near the construction activities. Those materials and equipment will then be transported using small vehicles or manually carried along paths. It is anticipated that no new access roads will be constructed, other than for some substations. 64. Land excavation and filling is anticipated for substations, which may include the use of bulldozers, graders, back hoes and trucks. Sand and gravel will only be sourced from licensed aggregate suppliers, who will deliver the product directly to the construction site. 65. The foundations will be designed and constructed based on the detailed soil mechanics survey results. The tower structure materials will be obtained from outside the area, while foundation materials such as aggregates and sand will be obtained from local suppliers. A mobile concrete batching plant will be used to make concrete. The water required for making concrete will be obtained locally. Each suspension tower type needs an area of 20 m 2 for foundation construction and each tension tower type needs 25 m 2 or more. 66. The transmission towers are made of steel lattice, designed to withstand wind, momentum and uplift force. The tower members will be assembled by hand on site and raised in sections. 67. Tree clearing at tower sites and tall vegetation trimming in the RoW will be conducted using hand tools prior to the stringing works. There will be no heavy machinery or chemical herbicides used. 68. Overhead earthwires and power conductors will be strung in a mechanical and tension stringing operation so as to prevent damages to the wires and conductors caused by scrubbing on ground or vegetation. 69. Scaffolding will be provided at crossing points over roads, rivers, traffic/paths, power and telephone lines or dense populated areas for the purpose of public safety. All the stringing works will be operated in radio communications among working groups to ensure safety and smooth work operation. Arrangement of watchmen at the crossing points and other important places will be required. Installation of strong backstay facilities will be provided for strengthening the towers at temporary stringing section terminating points. 70. Tensioning and sagging of wires and conductors will be carried out in accordance with instructions in the sag and tension chart given by the design engineer. A chart will be prepared for every two degrees temperature change, and the works will be carried out according to the temperature measured at the working site. 71. Since the line route includes some hilly areas and provided with long spans, special attention will be paid to safe operation works in order to prevent injury of workers and damage to facilities.

36 72. The contractors in Sarawak and West Kalimantan will each be required to develop and Occupational Health and Safety Plan (OHSP) covering all aspects of worker safety, and a Community Health and Safety (CHSP) covering all aspects of protecting the health of AHs and local communities. 73. Prior to full operation, electrical testing will be conducted involving energizing the line. Then the operation and maintenance phase will start. 74. Monitoring will be conducted to ensure the required clearances are maintained below the line above trees and buildings on a regular basis (see Table 3.4 for required clearances). In addition, monitoring will also be undertaken periodically to ensure compliance with relevant EMF standards. 75. Maintenance work will be conducted as required on towers, insulators, conductors, and accessories. Vegetation clearing during the ongoing operation will be conducted using hand tools, without the use of heavy equipment. 76. Civil and engineering works in both countries to construct the Project will take approximately 2 years to be completed. Construction is expected to commence at the end of Table 3.9 presents a tentative implementation schedule for the works in West Kalimantan. 77. The total cost of the Project is estimated to be million USD (Table 3.10). Funding for the Project on the Indonesian side will include a loan from ADB and potentially a loan from AFD (Agence Française de Développement French Development Agency), while PT PLN (Persero) will provide the remaining necessary funding. Funding for works on the Malaysian side will come from ADB and SESCO. 78. West Kalimantan lacks energy resources. Oil, gas and coal are imported and no significant hydro power resources have been identified. Electricity is generated by large, medium-speed diesel power plants for the main grid and for the isolated regions with small diesel power plants. PT PLN (Persero) cannot satisfy current demand, and about 55,000 potential clients are on a waiting list for a connection to the PT PLN (Persero) main grid. Some industries and commercial entities have installed their own power generation to avoid reliance on PLN. Revenues only cover a small fraction of the operating costs, and PT PLN (Persero) suffers huge operating losses (US$ 259 million in 2008). Within the framework of the Indonesian Government s fast track programme two coal fired power plants with a total capacity of 150 MW are planned to be constructed, however, as of November 2009 the commencement of the construction of the 50 MW plant was already delayed by 17 months, and for the 100 MW power plant the financing is not yet secured. The development of West Kalimantan is severely hampered and operation losses costs the Indonesian Government significantly. The present situation will not improve in the near to mid-term future.

37 Table 3.9: Tentative implementation schedule (275 kv and 150 kv HVTLs, West Kalimantan) TASKS Remarks I II III IV I II III IV I II III IV Signing of PPSA PLN-ADB Loan Negotiations ADB Loan Approval Loan Signing Loan effectiveness Bidding, evaluation, award of contracts (Advance Procurement) Selection of Implementation Consultant Preparation of bidding documents by PLN Review of bidding documents Announcement for bidding Bidding Evaluation of bids Approval of evaluation result by ADB and PLN Contract negotiations Approval of draft contracts by ADB and PLN Preparation of Contract Documents Award of contracts Detailed survey by PLN Land acquisition for substations Construction of substations and transmission line Handing over of sites to contractor Detailed engineering by contractor/manufacturers Manufacturing of equipment Shop inspections, testing of key equipment Civil works construction/construction of tower foundations Shipment of equipment Construction of substation, installation of switchgear Erection of towers Stringing of conductors, earthwire and OPGW Testing, commissioning

38 Table 3.10: Indicative Project budget A. Base Cost 1. Regional Component - Sarawak a. 275 kv Regional Interconnection HVT L Mambong to the Malaysian-Indonesian border (45.6 km) b. Expanded Mambong 275/150/20 kv Substation 2. Regional Component - West Kalimantan a. 275 kv interconnector border to Bengkayang substation (82.6 km) b. New 275/150/20 kv substation at Bengkayang 3. National Component - West Kalimantan a. 150 kv HVTL expansion (Bengkayang-Ngabang and Ngabang-Tayan, 145 km) b. New 150/20 kv substations at Ngabang and Tayan c. ADSS from Pontianak to Singkawang substation (160 km) d. OPGW for 150kV lines (90+55km) 3. Implementation Consultants (not including environmental consultants) USD million T otal Foreign Local Environmental Costs (consultants and permitting) 5. Social Costs (not yet finalised) Subtotal (A) B. Access to Power: Connecting affected people to grid and improve efficiency Subtotal (B) C. Contingencies 1. Physical (for 275 kv interconnector and Bengkayang substation) Price (for 275 interconnector and Bengkayang substation) Subtotal (C) D. Financial Charges During Implementation Subtotal (D) Total (A+B+C+D) Tax Grand Total Source Based on: - Regional Component TA 6441-REG Efficiency Improvement and Connectivity Strengthening in Archipelagic Southeast Asia Project (Energy Component) Final Report, Part A Summary Report, December This is an estimate only. - All other costs: Strengthening West Kalimantan Power Grid Project, Cost estimate February , prepared under 6441-REG Efficiency Improvement and Connectivity Strengthening in Archipelagic Southeast Asia Project (Energy Component).

39 79. The situation in neighboring Sarawak is considerably better. An IPP with a 210 MW thermal power plant (coal fired) has obtained a 25 year take or pay contract to supply electricity to the SESCO grid. At the same time, the Malaysian government has financed the construction of two large hydro power plants (HPP), namely Bakun with an installed capacity of 2,400MW (in service by 2012) and Murum with an installed capacity of 900 MW (in service by 2013). The generation costs of these projects is expected to be significantly lower than those in West Kalimantan. Furthermore, the construction of further HPPs and coal fired power plants are planned in Sarawak making Sarawak the power house of Borneo. SESCO projects to export up to 3,600 MW to Peninsular Malaysia through an HVDC scheme beginning in 2015, to Brunei in 2012 (100 MW, and ultimately 400 MW), to Sabah (300 MW in 2018), and to West-Kalimantan (100 MW in 2012 and 200 MW in 2014). 80. Several studies in the past have assessed the feasibility and benefit of connecting the power systems of Sarawak and - In 1994 the feasibility study of Sargent & Lundy Engineers concluded that initially a 150 kv transmission line should connect the Sarawak system with the Pontianak system, and at a later time a 275 kv transmission line should be run in parallel to the 150 kv line up to Parit Baru/Pontianak. - In 2000 PLN conducted a basic design study for a 275 kv transmission line connecting the Sarawak system from Matang substation to Singkawang. - In 2001 SESCO prepared a preliminary Basic Design Study for a 275 kv transmission line originating from Mambong substation and running to Singkawang. - In 2004 Fichtner prepared the Trans-Borneo Power Grid Development and Energy Trading Study concluding that the construction of a 275 kv double circuit transmission line from Mambong substation to Singkawang is technically and economically the best option for the interconnector. 81. All studies had concluded that cross border trade of electric energy can be realized through the interconnection of the two systems by a transmission line. However, in the meantime the expansion and planning of the PT PLN (Persero) 150 kv system in West Kalimantan has progressed so that the optimum connection points have been identified as Mambong substation in Sarawak and Bengkayang substation in West Kalimantan. 82. The proposed 275 kv Regional Interconnection HVTL will allow for power trading between West Kalimantan and Sarawak. It is envisaged that the sale of power will be mainly from Sarawak to West Kalimantan, but it is also expected to be in the other direction at times. The terms of this process will be laid out in a Power Purchasing and Selling Agreement (PPSA). 83. The importance of the Project is in the improvement in the reliability of electrical supply in West Kalimantan, and reduction in the reliance on existing and proposed power generation based on fossil fuel sources. Electricity imported from Sarawak will be substantially from hydropower and will have lower carbon emissions than the alternative of developing fossil fuel based electricity generation, which is the main alternative in West Kalimantan. Furthermore, the 150 kv HVTLs to Ngabang and Tayan will bring access to electricity for hundreds of thousands of households across West Kalimantan.

40 84. The proposed Project is located in a wet humid tropical environment in the central-western portion of the island of Borneo, covering portions of Sarawak (Malaysia) and West Kalimantan (Indonesia) provinces. Borneo has an equatorial climate; temperatures range from approximately 35 o C down to 21 o C, and humidity from 60% to over 90%. Rainfall is often very intense with localized storms, and can occur throughout the year without a distinct dry season, although there are two wetter monsoon periods. 85. The alignment of the 275 and 150 HVTLs passes through flat to hilly country mainly adjacent to existing roads, with elevations ranging from 25 to 250 meters above sea level (masl). The overall HVTL corridor is characterized by scattered villages and associated small farms; a heavily modified rural landscape dominated by gardens, plantations, and shifting cultivation; a limited number of secondary urban centers; and patchy secondary scrub and forest growth, and a near total absence of primary forest. 86. Geology in the Project area is mainly sandstone and other sedimentary rocks, and volcanic rocks such as granite and basalt. Soils in the Project area are mostly identified as red-yellow podzolic, and some lateritic soil. Red-yellow podzolic soils are generally acidic and low in fertility due to leaching by high rainfall. Thin soils occur on steep slopes where soils are highly eroded, including limestone soils in the nearby limestone hills area south of Bau in Sarawak. Soils in the Project area are highly erodible when the vegetation cover is removed, which is exacerbated by the prevalent heavy rainfall. Soil erosion was observed in areas that have been cleared for other projects and for agriculture. High levels of river siltation were anecdotally reported or observed due to mining and construction activity upstream in local rivers. 87. Annual rainfall in the Project area in West Kalimantan ranges from 2,300 to 3,700 mm. The highest daily rainfalls in Bengkayang District are typically reported in November and December, and the lowest in March and August, though rainfall occurs throughout the year. The northern part of West Kalimantan has average daily temperatures between 26.6 and 27.1 centigrade and humidity s between 85 and 90%, with the highest humidity usually recorded in December and January. In the central and southern parts, average daily temperatures are between 23.7 and 31.9 C, with the highest measured in March and the lowest in August. In general however, there are no significant differences in climatic conditions among areas that will be traversed by the 275 or 150 kv HVTLs. Local variations are most probably associated with different topographic settings. 88. The topography of West Kalimantan is generally flat, with some hilly areas especially in the northern and central parts, and swampy areas in some parts of western and southern areas. The route of the HVTLs generally follows modest topography (see Figure 4.1). The southern end of the 275 kv HVTL route near Mamagan Karya village in Lumar district lies at an elevation of 60 masl. From there going north the route passes through hilly areas of elevation 60 to 90 masl, becoming gently undulating as it approaches Ledo at an elevation of 25 to 30 masl. The area north of Ledo is mostly undulating at an elevation of 30 to 70 masl.

41 The line passes through to Sanggau Ledo subdistrict area with mostly gentle topography in the southern part at an elevation of 30 to 50 masl, rising to 60 to 100 masl in the northern part. At Seluas subdistrict the route passes through about 10 km of hilly area at an elevation of 100 to 150 masl and about 10 km of gentle sloping area at an elevation of 50 to 60 masl. In Jagoi Babang subdistrict, approaching the border with Sarawak, the route is in an undulating area with an elevation 50 to 70 masl. There are a number of rivers crossed by the HVTL but none of these constitutes a major crossing. 89. The Bengkayang-Ngabang 150 kv HVTL will be constructed at elevation typically between masl. Some parts of this line will be in Teriak District at the elevation masl. The majority of the Ngabang- Tayan transmission lines will be in the area with gentle slopes of 0-5%, and the remaining in areas with slopes 5-20% and some with more than 20%. 90. The main soil type in Bengkayang District is yellow-red podzolic soil. In flat areas the soil consists of podzol, organozol, yellow-red podzolic and alluvial soil; in hilly and mountainous areas the soil are latozol and yellow-red podzolic. In Landak and Sanggau regencies, the dominant soil with extensive area is acrizol mixed with ferrazol. 91. On the Malaysian side annual rainfall can reach up to 4,000 mm, though in general climatological conditions are very similar to West Kalimantan. 92. Elevations along the 275 kv HVTL route in Sarawak range from about 50 to 150 masl. Starting from the Mambong substation the route goes about 1.5 km in north-west direction to cross Puncak Borneo Road and then changes direction to the south-west for a distance of about 1.5 km through an area of gentle to undulating topography. The line then turns to the west before crossing the Borneo Heights Road, and traverses the slope of Bewang Mengura Hill at an elevation of 100 to 150 masl. It then passes near Kampung Ngiru in north-west direction and then crosses the Sarawak Kiri River. It will go through a hilly area for about 3.5 km and then turn to the south-west near Kampung Segobang. It will then go through an undulating area of elevation 50 to 100 masl for about 2.5 km, and after Kampung Silo the route is hilly with an elevation of 50 to 100 masl. After crossing Poak Road and Kampung Seromah it passes through an undulating area in a south-west direction at an elevation of 100 to 150 masl. Near the Bau limestone hills area it will pass through a wide flat area between hills at an elevation of 200 to 250 masl over a distance of about 2 km, and then through a hilly area at an elevation of 150 to 200 masl before crossing Krongkong Road. It will the pass through an undulating to hilly area at Panjiru and Pang Jagoi at an elevation of 100 to 150 masl. After Kampung Bogag, it will go through an area of gentle topography at an elevation of 100 masl along the main road to Serikin. It will go through undulating area at an elevation of 100 to 150 masl from Serikin to the border with West Kalimantan. 93. The widest river crossing will be the Sarawak Kiri River in Sarawak which is about 30 to 50 m wide in the vicinity of the expected crossing point. Tower spacing is typically 340 m depending on terrain and location, so this will not pose a problem.

42 Figure 4.1: Topography along 275 kv and 150 kv HVTL routes, West Kalimantan. Source: West Kalimantan Forestry Department, 2011.

43 Borneo is widely identified as having high biodiversity, including tropical rainforests and other ecosystems, and deforestation on the island is recognized as a globally significant issue. The original vegetation in most of the Project area would have been mainly dipterocarp rainforest, which is very rich in plant species diversity and grows on a wide variety of soil types including low fertility soils. However, vegetation cover in the Project area has been highly modified by human activity, and is characterized by extremely high rates of deforestation, shifting and permanent cultivation (including gardens, rice, and tree plantations), and secondary growth vegetation including colonizing grasses, shrubs and secondary forest in some areas. Secondary growth vegetation still has ecological value, but of much less significance than the preexisting primary forest. 94. Consultation with local people indicates that there are relatively few wild animals in the Project area, presumably due to farming and hunting activity and loss of habitat. 95. The HVTL routes have been heavily affected by human activity. Primary forests have been cleared, and the alignment is characterized by wide spread agriculture, plantations, and a patchwork of colonizing bushes, grasses and limited secondary forest. Few old growth trees are found. Species of vegetation found includes: Dillenia suffruticosa, Ploiarium alternifolium, Elateriospermum tapos, Elaeocarpus sp, Buchanania sessilifolia, Macaranga tanarius, Omalantus populneus, Bridelia sp, Melastoma malabathricum, Scleria purpurascens, Mikania cordata and Chromolaena sp. 96. Secondary forests in the HVTL are limited in distribution, and lack the presence of Dipterocarpaceae such as Dipterocarpus spp., Shorea sp., and Dryobalanops spp. Most of the secondary forest shows the effects of permanent disturbance by human activities as indicated by the presence of indicator shrubs or species such as alang-alang (Imperata cylindrica), Melastoma malabathricum, Eupatorium inulifolium, Gleichenia sp., and others. Shrub ecosystems were the most often encountered in the planned HVTL alignment. Shrub species were also found in plantation ecosystems (primarily rubber plantations) belonging to local people. These plantations were not only planted with rubber trees (Hevea brasiliensis) but also with other vegetation to make up mixed-vegetation ecosystems, and it was not always easy to distinguish the rubber plantations from the secondary forests. 97. Although forest cover in the alignment is limited, the HVTLs will at times pass through areas zoned as Production Forest (Hutan Produksi), see Figure 4.2. These area are typically mixed brush, grasses and secondary tree growth, and do not appear to be productive working forests. The 275 kv HVTL passes through Production Forest areas from approximately Bengkayang to north of Bolatik (AP 2 to AP 5, Figure 4.2). The Bengkayang-Ngabang 150 kv HVTLs passes through areas classified as Production Forest near Bengkayang (AP0 to AP2) and near Tembawang Bale (AP 7 and AP 8), and the Ngabang-Tayan HVTL passes through Production Forest north of Tayan (AP5 to AP7, AP8). As per relevant government regulations, PLN will be required to obtain the necessary permits from the Ministry of Forests before constructing towers in these areas Neither the 275 nor 150 kv HVTLs enter into any Protected Forests, Sanctuaries, National Parks, or areas identified as having special ecological significance. The closest the 275 kv HVTL comes to a protected forest is approximately 2000 m, while North of Tayan the 150 kv HVTL passes within 500 to 800 m of a 8 These regulations are: Government Regulation No. 24 Year 2010 on Forest Area Use; and Ministry of Forestry Regulation No. 18/Menhut-II/2011 on Forest Area Land Use Guidelines.

44 protected forest referred to locally as Gunung Condong (Figure 4.2). 9 This protected forest provides water sources for Pade Kaye village and surrounding areas. 99. The final alignment will be fine tuned to minimize entry into Production Forests, and maximize the buffer between the alignment and Gunung Condong Garden and mixed garden are the most common land use affected by the transmission lines. These areas are planted mostly with the perennial crops, and they are considered to still provide ecological functions such as erosion protection and fauna habitat. The most common perennial crops found include durian (Durio zibethinus), mango (Mangifera indica), rubber plant (Hevea braziliensis), caccao (Theobroma cacao), jack fruit (Artocarpus heterophyllus), cempedak (Arthocarpus champeden), lansap/duku, (Lansium domesticum), bamboo (Gigantochloa apus), soursop (Annona muricata), rambutan (Nephelium lappaceum), Asam kandis (Mangifera sp), Jambu bol (Sizygium sp), guava (Psidium guajava), aren (Arenga pinnata), bamboo (Gigantochloa sp), gamal (Gliceridia sp), jambe (Areca Catechu), jengkol (Ptecelobium dulce), kapuk (Ceiba petandra), coconut (Cocos nucifera), kemiri (Aleuritas mollucana), coffee (Coffea robusta and Coffea canephora), pepper (Piper nigrum), laban (Vitex pubescen), petai (Parkia speciosa), Pandan duri (Pandanus sp), Dillenia suffruticosa, Ploiarium alternifolium and tangkil (Gnetum gnemon) The 275 HVTL will pass through an area that has been extensively influenced by human activities. However, primary forest that has undergone selective cutting is found in hill areas at distance of about 2 km in the border area of Jagoibabang (West Kalimantan) and Serikin (Sarawak). Vegetation found includes: Anisophyllea disticha, Barringtonia macrostachya, Bellucia axinanthera, Buchanania sessilifolia, Castanopsis tungurrut, Commersonia batramia, Crotoxylum glaucum, Elaeocarpus mastersii, Elateriospermum tapos, Endospermum diadenum, Eurya acuminate, Ficus grossularoides, Ilex cymos, Lasianthus chryseus, Lepisanthes sp, Licania splendens, Litsea lancifolia, Macaranga trichocarpa, Mallotus paniculatus, Millettia sericea, Omalantus populneus, Palaquium rostratum, Plectronia horrid, Polyalthia lateriflora, Pternandra cogniauxii, Pterospermum javanicum, Saurauia tristyla, Sterculia macrophylla, Syzygium racemosum and Vitex pinnata On the Sarawak side the 275 kv HVTL will pass through the low plain area in the vicinity of an area of limestone hills. Published information in the Sarawak Museum Journal (Vol. LIX, No 80, Special Issue No. 6, 2004) indicates that this area is very rich in terms of diversity of species. Based on consultation with Sarawak Natural Resource and Environment Board, part of this area is being proposed as the Dorek-Krian National Park. Kiew (2004) reported that a number of endemic species are only found in the Bau limestone area, including six species of Begonia, three species of Monophyllaea and one species of Paraboea. Kalu (et al, 2004) investigated the trees in the Bau limestone hills and recorded 139 tree-species in 82 genera and 39 families, and 440 species of understory flora in 189 genera and 74 families. Kalu recorded 54 genera and 132 species of orchids in the Bau Limestone area which represents about 15% of the orchid species of Sarawak. Lee (2004) recorded eight taxa of Nephenthes pitcher plants with one of them only found in Bau Limestone area The 275 kv transmission line will pass within 0.5 to 2 km of some relatively intact forests area in the Bau area. However the alignment in this vicinity is in an area of farming, shifting cultivation and secondary vegetation, and not in the area with intact forest where the park is proposed. Another area identified with high natural values is the Bungo Range, about 6 km south of the HVTL at the closest point. 9 According to the Secretary of the Forestry and Plantation Service, Sanggau District, this protected forest is officially known as the Tiong Kandang protected forest area. However, based on maps published by the West Kalimantan Provincial Forestry Service, Tiong Kandang protected forest is situated to the south of what is locally referred to as the Gunung Condong protected forest area. For the purposes of this report, we have used the same name (Gunung Condong) as is used by local residents.

45 Figure 4.2: Forest Zoning along 275 kv and 150 kv HVTL routes, West Kalimantan. Source: West Kalimantan Forestry Department, Note: Cagar Alum = Nature Sanctuary; Hutan Lindung = Protected Forest; Hutan Produksi Terbatas = Limited Production Forest; Hutan Produksi = Production Forest; Hutan Produksi Konversi = Conversion Production Forest; Areal Penggunaan Lain = Area of Other Use.

46 104. Information about wildlife was collected through interviews with local people, environmental studies carried out by PT PLN (Persero) consultants, and information gathered from West Kalimantan Province s Forestry Service and the West Kalimantan Regional Office of Natural Resource Conservation Wildlife encountered in the area of the 275 kv HVTL as reported by local peoples includes: - Mammals: crab-eating macaque (Macaca fascicularis), sambar deer (Cervus unicolor), common muntjak (Muntiacus muntjak), common palm civet (Paradoxurus hermaphroditus), lesser mouse deer (Tragulus javanicus), wild boar (Sus barbatus), squirrel (Callosciurus notatus). - Reptiles: bornean monitor lizard (Varanus borneensis), striped monitor lizard (Varanus salvadori), python snake (Phyton reticulates), slender brown lizard (Mabuia multifasciata), striped snake (Bungarus fasciatus) Species of birds reported in the AMDAL studies were white heron (Egreta sacra), finch (Pycnonotus aurigaster), spotted dove (Streptopelia chinensis), weaver bird (Ploceus manyar) and barred ground dove (Geopelia striata) According to Government of Indonesia Regulation Number 7 Year 1999 on Preservation of Plant and Animal Species, sambar deer (Cervus unicolor), common muntjak (Muntiacus muntjak), lesser mouse deer (Tragulus javanicus), bornean monitor lizard (Varanus borneensis), and white heron (Egreta sacra), are all protected species. Workers will be strictly prohibited from hunting in the Project area Wildlife encountered in the area of the 150 kv HVTLs as reported by local peoples includes common muntjak, sambar deer, common palm civet, lesser mouse deer, and crab-eating monkey; whereas the reptiles were python snake. During the field survey there were no mammals encountered by the TA team. Birds could not be identified to a species level, but variety seemed to be limited Discussion with staff of West Kalimantan Province s Forestry Service and Regional Office of Natural Resource Conservation strongly suggests that the transmission lines do not cross any area where habitat of Orangutan occurs, either in the Bengkayang-Jagoibabang or Bengkayang-Ngabang and Ngabang-Tayan areas. There are also no reports of avian flyways or migration corridors in the Project vicinity In the Bau limestone hills area of Sarawak, Karin (et al, 2004) recorded 17 families of mammals with 42 species. Kheng et al, 2004, recorded 129 species from 40 families of birds in Bau limestone area. Naming (2004) recorded 34 species of anuran amphibians (representing 20 genera and five families, 18 species of lizards (representing 13 genera and five families), 13 species of snakes (representing 12 genera and four families) and two species of turtles (representing two genera and one family) According Karin (et al, 2004) some mammals found in Bau limestone hills close to the Project area (Pambor hills, Tonga hills and Lanyang hills). According to the IUCN red list 4, among species found there is one lower risk/near thretaned species, namely smoking flying squirrel (Pteromyscus pulverulentus, Sciuridae family), two vulnerable species, slow loris (Nycticebus coucang, Lorisidae family) and Long tailed giant rat (Tarsius bancanus, Tarsidae family) and some least concerned species such as bearded pig (Sus barbatus, Suidae family), Crab-eating macaque (Macaca fascicularis, Cercopitheridae family), Colugo (Cynocephalus variegate, Cynocephalidae family), and long-tailed porcupine (Trichys fasciculate, Hystricidae family). Again, workers will be strictly prohibited from hunting in the Project area The 275 kv transmission line will pass within 0.5 to 2 km of some relatively intact forests area in the Bau area. However as noted previously the alignment in this vicinity is in an area of farming, shifting cultivation and secondary vegetation There are no reports of avian flyways or migration corridors in the Project vicinity. 4 IUCN Red list of threatened species. Version

47 114. Land use in select subdistricts in the 275 kv HVTL Project area is shown in the Table 4.1, while Table 4.2 summarizes the land use and vegetation cover along the 275 kv HVTL route. Table 4.2 shows that low canopy crop/vegetation such as rice, annual dry-land crops and grassland occupy about 30% of the land, while high canopy vegetation such as perennial agriculture, plantation and secondary forest occupy 68% of the area, and other land uses comprising about 2% of the land area. Table 4.3 shows landuse along the 150 kv route, Ngabang-Tayan Shifting cultivation is practiced throughout the Project area. After clearing and planting for 3 to 4 years, farmers abandon the plot of land, allowing bush regrowth over the following years. Most frequently found species of vegetation in the regrowth areas are Imperata cylindrica, Mimosa sp, Starchytarpeta indica, Dillenia suffruticosa, Melastoma malabathricum, Bridellia monoica, Scleria purpurascens, Mikania cordata and Chromolaena sp. Farmers will also plant economic tree species such as durian and rubber on this land which can provide an economic resource over many years. Most of the tower sites for both the 275 and 150 kv HVTLs are located on rubber or mixed rubber plantations Wet season rice is usually planted during the rainy season (September to January), while during the dry season horticulture crops are planted such as Manihot utilisima, corn (Zea mays), long bean (Vigna sinensis) and egg plant (Solanum melongena). Where irrigation is used such as in Lumar and Sanggau ledo subdistricts most farmers plant rice twice a year Agricultural production and area for major crops in each of the subdistricts of Bengkayang District are summarized in Table 4.4., while fruit production is summarized in the Table Portions of the 275 and 150 kv HVTLs will pass through land classified as Production Forest (see Figure 4.2). However, there is no longer any primary forest in these areas, though permits from the Ministry of Forests will still be required. The forest areas that will be passed through are highly affected by human activities, being secondary forest with few big trees, bush, and in some areas, agriculture.

48 Table 4.1: Land use in Project area Subdistricts in West Kalimantan (275 kv HVTL) Land use Area in each subdistrict (ha) Total Lumar Ledo Sanggau ledo Seluas Jagoi babang (ha) % Rice irrigated 1,176 1,428 3, Rice rainfed ,686 12, Wetland rice 5,000 5, Annual dryland crop 270 1,728 5,118 2, , Grassland Abandoned land 14,112 12,521 14,083 2,375 43, Wetland ,956 2, Pond , Home garden , , Perennial tree crop 325 1,145 8,292 3,756 4,398 19, Community owned forest 8,859 6,853 3,613 12, , Stated owned forest 2,191 9,145 20,125 21,875 22,697 76, Plantation 13,754 3,689 8,500 17,000 53, Other , , Total 27,521 48,175 61,350 50,650 65, , Source: Bengkayang District Statistical office: Lumar, Ledo, Sanggauledo, Seluas, Jagoibabang sub districts in Figures, 2008 Table 4.2: Land use and vegetation cover along 275 kv HVTLs No Type of Landuse / Vegetation West Kalimantan (km) Sarawak (km) Total (km) 1 Garden, Mixed garden Ricefield, Annual crop farming Secondary forest / Regrowth vegetation Production/plantation forest Grassland and bush Proposed national park, Reserved forest area * 7 Other (road, river etc) Settlement Total * Near the proposed Dorek-Krian National Park (in Bau, Sarawak), the transmission line will traverse a mixed garden and re-growth vegetation. The distance to intact forest area is approximately km Source: Expert estimation 2009 based on field observation using land use map, satellite map, forestry map and yearly statistical data.

49 Table 4.3: Land use along 150 HVTL alignment, Ngabang-Tayan No. Location Length of Segment (km) 1 AP 1 GI Cumulative Length (km) Land Use Rubber plantation, bamboo, fruit garden Ngabang 2 AP Fruit garden 3 AP Fruit garden 4 AP Palm oil plantation 5 AP Palm oil plantation, rice fields 6 AP Fruit garden, rice fields 7 AP Bush 8 AP Rubber tree plantation 9 AP Rubber tree plantation 10 AP Rubber tree plantation, fruit garden 11 GI Tayan Grasses (Imperata sp) Source: Ngabang-Tayan UKL/UPL, There are four categories of land in relation to types of ownership in (a) Native Area land which can normally only be owned by indigenous people; (b) Mixed Zone land which can be owned by both indigenous and non-indigenous people; (c) Forest Reserve areas which are the property of the Government; and (d) Interior Area land which is land not falling into any of the other three categories A land title search for a portion of the route has been conducted as part of the survey in Sarawak. The first 9.2 km of the route is classified as Mixed Zone land, and there are 64 land holdings crossed by the route. The remaining 36.4 km of the route is classified as Native Area land Land use along the route consists of settlement areas, agriculture and secondary vegetation growth, with production forest in the area close to the border with West Kalimantan Land classified as forest in Sarawak is divided into categories of Permanent Forest Estate, National Park and Wildlife Sanctuary and Stateland Forest. The areas of each of these land classifications in Sarawak as a whole is summarized in Table 4.6.

50 Table 4.4: Agricultural production and area for major crops, Bengkayang District Crop Lumar Ledo Sanggauledo Seluas Jagoibabang Corn 462 1, ,621 19,465 90,062 1,312 5, Cassava , Sweet potato Peanut Soya bean Green bean Yam , Vegetable Wet rice field ,196 4, ,671 Dry rice field - - 1,113 2,192 5,132 14,004 1,369 2, ,422 Rubber plant 1, , ,280 2,240 3,078 1, Coconut Coffee Pepper , Caccao Palm oil - - 5,955 11, ,131 5,985 4,910 2,497 Candle nut Total 2,499 2,641 10,316 17,088 33, ,238 20,540 16,475 7,323 6,848 Source: Bengkayang District Statistical Office: Lumar, Ledo, Sanggauledo, Seluas, Jagoibabang subdistricts in Figures, Table 4.5: Production of fruit, Bengkayang District Fruit Production in each subdistrict (T/a) Lumar Ledo Sanggauledo Seluas Jagoibabang Jack fruit Durian Rambutan Long bean (Petai) Melinjo Avocado Duku Soursop Mango Banana Source: Bengkayang District Statistical office: Lumar, Ledo, Sanggauledo, Seluas, Jagoibabang subdistricts in Figures, 2008.

51 Table 4.6: Classification and area of forest Land in Sarawak Year Total Land Area (km 2 ) Area of Land Classified as Forest (km 2 ) Permanent National Stateland Total Forest Park and Forest Area Estate Wildlife Sanctuary Other Lands (km 2 ) Permanent Forest Estate % of Land Area Other Forest Other Lands ,156 42,372 2,970 38,624 83,906 39, ,156 46,929 5,137 28,580 80,646 42, Source: Yearbook Statistic of Sarawak Department of Statistics, Sarawak The areas of each of the major forest types within the lands classified as Permanent Forest Estate and State Land Forest Area for Sarawak as a whole, are shown in the Table 4.7. Table 4.7: Area of major forest types in Sarawak Area (ha) of Major Forest Types in Sarawak Permanent Forest Estate State Land Forest Year Total Hill Swamp Mangrove Total Hill Swamp Mangrove ,372 35,511 6, ,624 32,957 4, ,929 43,117 3, ,580 22,357 5, Source: Yearbook Statistics of Sarawak Department of Statistics, Sarawak The planted areas of each of the main crops in Sarawak are presented in Table 4.8. Table 4.8: Area of major crops in Sarawak Area (ha) of Major Crops in Sarawak Main crops Rubber 156, , , , ,163 Oil Palm 464, , , , ,884 Coconut 25,416 24,317 24,489 24,201 23,972 Cocoa 4,940 4,891 4,898 4,894 4,640 Rice 127, , , , ,543 Pepper 13,533 12,930 12,673 12,268 11,849 Source: Yearbook Statistics of Sarawak Department of Statistics, Sarawak Based on Statistical Data of Bengkayang District (2008), Gross Regional Domestic Product (GRDP) of Bengkayang District at market prices in 2007 was 1,681 billion rupiahs (approximately $186 million at current exchange rates), which is an increase of 15% from the previous year. Agriculture was the largest sector in Bengkayang District GRDP, followed by trade, hotels, and restaurants. The contribution of the agriculture sector in Bengkayang District GRDP in 2007 was 45%, while the contribution of trade, hotel, and restaurant sectors was 27%. GRDP per capita of Bengkayang District in 2007 was 7.7 million rupiahs (approximately $770 at current exchange rates), an increase of 12.6% over the previous year.

52 126. Table 4.9 lists the number of industrial and commercial enterprises in each subdistrict in Bengkayang District. Table 4.9: Number of enterprises in Bengkayang No Industry Number of enterprises in each subdistrict Lumar Ledo Sangau Ledo Seluas Jagoibabang 1 Wood 2 Plait Food Small shop Restaurant Small restaurant Lodging 2 8 Automotive repair shop Welding 5 10 Equipment rental 9 11 Electronic repair shop Photocopy Barber shop 2 14 Beauty Salon 6 Source: Bengkayang District Statistical office: Lumar, Ledo, Sanggauledo, Seluas, Jagoibabang Subdistricts in Figures, International harbors and airports are located in Kuching and Pontianak The road along the route of the transmission line in West Kalimantan is classified as a District road (Class III), and is managed by Bengkayang District. The road distance between Bengkayang and Jagoibabang at the Sarawak border is 110 km. Most of the road is paved and in fair condition, except close to the Malaysian border where the road is in poor condition presumably due to lack of maintenance. Road travel from Pontianak, the capital of West Kalimantan, to Bengkayang, is comprised initially of 150 km to Singkawang via National Road (Class I), and then 70 km from Singkawang to Bengkayang by Provincial Road (Class II). The roads from Bengkayang to Ngabang, and Ngabang to Tayan are classified as District roads In Sanggau Leggo subdistrict the 275 kv HVTL will be in the general vicinity of a military airport. However, the HVTL will be 6 km away, and to reduce the likelihood of interference the HVTL will be aligned in the same trend as the runway Most of the road along the transmission line in Sarawak, from Kuching to Serikin near the Indonesian border, is well paved with smooth asphalt road. The transmission route between Kampung Ngiru and Kampung Segobang will pass through garden and bush regrowth areas over a distance of about 4 km where access is only by foot or motor cycle. From Serikin to the border over about 3 km the road is rough unpaved plantation road.

53 131. In the Project area in West Kalimantan less than 50% of households are connected to the electricity grid, as shown in the following Table Electricity supply information for Kuching and Bau in Sarawak is shown in the Table The Project generally passes through an area of low population density, ranging from 13 to 35 persons/km 2. The Project area is inhabited by a number of ethnic groups including indigenous Dayak groups, Malay and Chinese Population density in the area of the 275 kv HVTL is relatively low, below 30 persons/km 2 on average outside of urban areas. Compared to other districts Bengkayang has the highest population density - this is because the capital of Bengkayang District is located there (Table 4.12) The Bengkayang-Ngabang-Tayan 150 kv HVTL will cross three districts, Bengkayang, Landak and Sanggau. Total population and density in these areas are higher than those in the Bengkayang-Jagoibabang are, and in one subdistrict of Sanggau District the density reaches over 400 person/km 2 (Table 4.13). The distribution patterns of population in all areas are similar, i.e. mostly small villages distributed sporadically with a few urban centers The distribution of sub-clans in the Project area of West Kalimantan is shown in the table 4.14.

54 Table 4.10: Household connected to the electricity grid in Project Subdistricts in West Kalimantan Connected to Electricity grid No Number Sub district / Number of Not yet of Village persons Non Connected Families PLN Total PLN House hold % 1 LUMAR 5,475 1, a. Magmagan Karya b. Tiga Berkat 1, c. Belimbing 1, d. Lamoda LEDO 14,255 2, , a. Lesabela 3, b. Jesape SANGAU LEDO 21,757 5,428 2, ,969 2, a. Bange 2, b. Lembang 3, c. Sango 1, SILUAS 13,397 2,984 1, ,391 1, a. Sahan 4,084 1, b. Mayak 2, c. Seluas 3, JAGOIBABANG 8,259 1, a. Jagoi 2, TOTAL 82,427 17,566 8, ,640 7, Source: Bengkayang District Statistical office: Lumar, Ledo, Sanggauledo, Seluas, Jagoibabang Subdistricts in Figures, 2008 Table 4.11: Electricity supply in Kuching and Bau Administrative sub district Generating capacity (kwh) Unit Generated (million kwh) Number of Customer Total Consumption (million kwh) Domestic Industrial and Commercial Public and street lighting Sarawak 1,198,034 6, ,757 5, , , Kuching 323,800 1, ,756 1, , Bau - - 9, Source: Yearbook Statistics of Sarawak Department of Statistics, Sarawak

55 Table 4.12: Populations of districts and villages crossed by 275 kv HVTL, West Kalimantan No Districts/Villages Area Population Total Density Regencies (km 2 ) Male Female (Individual) Ind/km 2 1 Bengkayang 167, Bengkayang Setia Budi 29, ,9 2 Lumar 275, Magmagan Karya 31, Tiga Berkat 49, Belimbing 78, Lamolda 39, Ledo 481, Lesabela 66, Jesape 45, Sanggau Ledo 392, Bange 79, Lembang 52, Sango 105, Seluas 506, Sahan 102, Seluas 91, Mayak 85, Jagoibabang Jagoi 51, Source: Kecamatan Dalam Angka, 2010

56 Table 4.13: Populations of districts and villages crossed by the 150 kv HVTLs, West Kalimantan. No Districts/Villages Area Population Total Density Regencies (km 2 ) Male Female Ind/km 2 1 Bengkayang 167, Bengkayang Bani Amas 25, Sebalo 29, Teriak 231, Teriak 4, Sebente 5, Setia Jaya 25, Dharma Bhakti 12, Malo Jelayan 4, Bangun Sari 12, Benyuke Hulu 273, Landak Kampet 35, Tembawang Bale 46, Padang Pio 34, Untang 30, Menyuke Mamek Anik Dangir Bagak Ansang Angkaras Songga Ngabang 1153, Amboyo Utara 99, Munggu 46, Ambarang 52, Tebedak 42, Jelimpo 843, Tubang Raeng 31, Kayu Ara 51, Angan Tembawang 55, Balai 395, Sanggau ilir 7, Tae 15, Padi Kaye 32, Temiang mali 25, Mak Kawing 43, Tayan Hilir 1050, Cempedak 62, Tebang Benua 20,

57 Table 4.14: The distribution of subclans in each subdistrict in the Project area, Bengkayang District Sub Clan Village Subdistrict Jagoi Jagoi Jagoibabang Tadietn Sahan, Sango, Mayak Between Seluas and Sanggauledo Bakati Bange, Lembang, Sango, Lesabela, Jesape, Lamoda, Belimbing, Mamagan Karya Sanggauledo, Ledo and Lumar Melayu Seluas, Ledo Seluas, Ledo Source: Institut Dayakologi. April The distribution of sub-clans in the Project area in Sarawak is shown in the Table Table 4.15: The distribution of subclans in the Project area in Sarawak Sub Clan Village District Bau/Jagoi Seromah, Sekio Segobang, Bogak, Pijiru, Jagoi Bau Gunong, Segabak, Jagoi duyoh, Krokong gunong, Krongkong batu sepit Biatah Mambong, Bawang, Git, Ngiru Kuching Source: Mapping the Peoples of Sarawak Michael Leigh. Institute of East Asian Studies 138. The main livelihood of local people in the Project area (275 and 150 kv HVTLs) is agriculture (Table 4.16), while other production sectors are still limited. One of the obstacles for other sectors to develop is the limited supply of electric power. Besides agriculture, the second important livelihood of local people is trading. However, most of trading activities are carried out by non-locals or immigrants from other areas In addition to limited development of production sector in the area, education level had also hampered local people from successfully developing or entering other production sectors. The education level of productive working-age (15 to 55 years), in general, is elementary to junior high school. People with better education levels tend to depart to urban areas for better jobs and educational opportunities (see Table 4.17).

58 Table 4.16: Labor force involved in Bengkayang District Industry Number of Labor force involved Male Female Total Percentage Agriculture, Forestry, and Fishery 42,408 26,442 67, Manufacturing Industry 1,626 1,133 2, Trade, Hotel, and Restaurant 5,448 7,382 8, Personal and Social Services 3,860 2,264 4, Others 7, , Total 60,516 37,433 89, Source: Bengkayang District Statistical office: Bengkayang District in Figures Table 4.17: Employment status in Bengkayang District Employment status Number of people Male Female Total Labor Force 64,157 39, ,058 Working 60,516 37,433 97,949 Unemployment 3,641 2,468 6,109 Ever Worked 1, ,478 Never Worked 2,595 2,036 4,631 Non Labor Force 8,061 22,797 30,858 School 5,683 6,061 11,744 Household ,436 16,013 Others 1,801 1,300 3,101 Source: Bengkayang District Statistical office: Bengkayang District in Figures 140. Percentage distribution of employed persons by industry in Sarawak is presented in Table The alignment of the 275 HVTL has been designed such that no buildings will require acquisition or demolition; this has been confirmed by the Inventory of Losses (IOL) undertaken for the 275 kv HVTL LARAP The IOL has not yet been completed for the 150 kv line; this is being undertaken through a separate LARAP process. However, it is expected that impacts on existing structures will be minimal.

59 Table 4.18: Percentage employment by industry, Sarawak Industry Agriculture, hunting and forestry Wholesale and Retail trade, Repair Manufacturing Construction Public administration and defense; compulsory social security Education Hotel and restaurant Transport, storage and communication Real estate, renting and business Other social and personal service activities Fishing Health and social work Financial intermediation Private household with employed person Mining and quarrying Electricity, Gas and water supply Source: Yearbook Statistic of Sarawak Department of Statistic Malaysia, Sarawak 143. On the Sarawak side, field surveys in 2009 found that there is one building close to the HVTL route in each of the following villages: Kampung Mambong and Kampung Bawang in Kuching district, and Kampung Krokong in Bau district. The HVTL route will be adjusted during detailed design to avoid these buildings, and any compensation required will be addressed in the LARAP for Project activities in Sarawak Health facilities in West Kalimantan in each subdistrict through which the 275 HVTL passes and totals for Bengkayang District as a whole are shown in Table 4.19 (district total includes other subdistricts). The situation is similar for subdistricts through which the 150 kv HVTLs pass.

60 Table 4.19: Health facilities in Bengkayang District Health facilities Lumar Ledo Sanggau ledo Seluas Jagoi babang Hospital 1 Total Community Health Center Associate Community Health Center Source: Bengkayang District Statistical office: Lumar, Ledo, Sanggauledo, Seluas, Jagoibabang Subdistricts in Figures, The number of Government hospitals and clinics by type and administrative district in Kuching and Bau and Sarawak as a whole are shown in the Table 4.20 (district total includes other subdistricts). Table 4.20: Health facilities in Kuching and Bau Districts Health Facilities District Kuching Bau Sarawak Hospital General outpatient department Health clinic Maternal & Child health service in rural setting 4-14 Maternal & Child health service in Urban setting Mobile clinic Dental clinic Public 5-32 Dental clinic School Source: Yearbook statistic of Sarawak Department of Statistic Malaysia, Sarawak 146. Education facilities in West Kalimantan in each subdistrict through which the 275 kv HVTL line passes, and totals for Bengkayang District as a whole are shown in the following table (district totals includes other subdistricts). The situation is similar for districts through which the 150 kv HVTLs pass. Table 4.21: Education facilities in Bengkayang District Education Facilities Lumar Ledo Sanggau ledo Seluas Jagoi babang Total Bengkayang District Kindergarten Elementary school Junior High School Senior High School Vocational school 2 College/University 2

61 Source: Bengkayang District Statistical office: Lumar, Ledo, Sanggauledo, Seluas, Jagoibabang sub districts in Figures, Education facilities in Bau and Sarawak are presented in the Table 4.22 (district total includes other subdistricts). Table 4.22: Education facilities in Bau and Sarawak Education Facilities Administrative district Sarawak Kuching Bau Total Primary School Total Government & Gov't aided Private Secondary School Total Government & Gov't aided Private Technical Secondary School Source: Yearbook statistic of Sarawak Department of Statistic Malaysia, Sarawak 148. Religion facilities in Bengkayang District of West Kalimantan (district total includes other subdistricts) are presented in the Table Table 4.23: Religious facilities in Bengkayang District Public Building Lumar Ledo Sanggau Ledo Seluas Jagoi Babang Total Mosque Small mosque Church Pura (Buddhist) 1 1 Vihara (Khong Hu Chu) 1 8 Source: Bengkayang District Statistical office: Jagoibabang subdistricts in Figures, 2008 Lumar, Ledo, Sanggauledo, Seluas, 149. Consultation with the office of Historical Conservation and Traditional Culture of Kalimantan Indonesia revealed that no historical sites have been found in the Project area. The nearest historical site found is a building known as Rumah Balug at Leboi village in Siding subdistrict located more than 10 km from the Project area.

62 150. Consultation with Dr Charles Leh Moi Ung, Deputy Head of Sarawak Museum, indicates that there is a low probability that the HVTL line will pass through any historical sites in Sarawak. At closest the transmission line route is about 3 km from Fairy Cave and 5 km from Jambusan Cave in Bau district, places recognized as ancient historical sites.

63 151. This Chapter identifies potential environmental impacts and presents appropriate mitigation measures. Potential impacts are identified related to the preconstruction (project location), construction and operation phases Preconstruction phase impacts are primarily related to the Project siting, including alignment of the HVTLs and siting of the substations The HVTL alignments (275 and 150 kv) and substation locations are characterized by a patchwork of farmland, including shifting cultivation, plantations and permanent agriculture; secondary brush and forest, frequently interspersed with rubber and fruit trees; scattered houses and villages with a few small secondary urban centers; and low population density. Unavoidable impacts which will result from Project siting include: (i) permanent alienation of land and vegetation for HVTL tower bases, substations (West Kalimantan only) and substation access roads; and, (ii) cutting of tall trees, including economic trees, within the RoW so as to establish and maintain required conductor clearances There is also the potential for the HVTL alignment to: (i) disturb houses and infrastructure and sensitive ecosystems in both Kalimantan and Sarawak, including impacts from electric and magnetic fields (EMF); (ii) lead to site specific erosion problems as a result of the inappropriate location of towers on steep or unsuitable slopes; (iii) impact rivers at crossings; (iv) have visual impacts for local residents; and, (v) have impacts on aircraft safety Overall, environmental impacts related to the Project siting are small scale and localized, and can be mitigated by: (i) Careful routing of the HVTL to ensure that final alignment avoids to the maximum extent possible sensitive ecosystems such as parks and protected forests; other sensitive locations such as houses and schools; and areas with high concentrations of high values economic trees, such as palm oil plantations. (ii) Restricting cutting of vegetation to within the RoW, and only to the extent necessary to achieve required conductor clearances. This is discussed further in Sections 5.2 for the construction phase, and 5.3 for the operational phase.

64 (iii) Providing appropriate land acquisition and compensation for tower sites, substations and RoW in accordance with relevant ADB and national requirements. (iv) Avoiding locating towers on slopes steeper than 30 degrees where practical, and use of hill extensions on towers on slopes and other international good construction practices. 10 Erosion control is discussed further in Section Careful routing of the HVTLs as far as practicable from houses, settlements and skylines will help reduce visual impacts, as will tall vegetation adjacent to the RoW. Visual impacts have not been identified as a significant issue in the local context of the Project There are some river crossings with a width of about 30 to 50 m. Impacts on river banks and vegetation will be mitigated by locating the towers and other works at least 40 m from the top of river banks. As towers are typically spaced over 300 m apart, this is expected to be readily achievable. Towers will be located so as to avoid affecting flood flows through any narrow off-stream channels Part of the line is in the vicinity of a military air base in West Kalimantan. This is discussed below in section The siting of the substation near Bengkayang will require the acquisition of 5.8 ha of land, and will result in the permanent conversion of approximately 0.5 ha of rice field and 3.5 ha of rubber plantation. Reducing the impact by changing the location has proven impossible. Alternative sites were sought using criteria including: (i) location along the road on the north side, and within a few kilometers, of Bengkayang; (ii) sufficient area (approximately 4ha); (iii) ready access to the main road, relatively flat; (iv) minimal impact on people and the environment; and, (v) site availability There were found to be a limited number of sites available due to the high levels of new development in the hinterland north of Bengkayang. One site initially identified on high land adjacent to the road was found to be of insufficient area and would have also required large amount of earthworks. Other potentially suitable sites identified were unavailable for acquisition. To mitigate this land acquisition impact compensation will be carried out through a separate IOL and LARAP in accordance with ADB and Indonesian requirements Construction of the 218 HVTL towers will require the acquisition of between 9.32 and ha depending on the final tower types. 11 As noted above, final alignment will be fine tuned to avoid to the maximum extent possible sensitive ecosystems such as parks and protected forests; other sensitive locations such as houses and schools; areas with high concentrations of high values economic trees, such as palm oil plantations; and unacceptably steep sites with the potential for erosion problems. Again, compensation for land acquired will be carried out through a separate 275 kv IOL and LARAP in accordance with ADB and Indonesian requirements There are no protected areas, primary forest, wetlands, peatlands, swamp forest, mangroves, estuarine areas, areas identified as having special ecological significance, or identified cultural heritage sites affected by the 275 kv HVTL alignment. The closest the 275 kv HVTL comes to a Protected Forest is approximately 2000 m, on which the Project should have no discernible impact. Permits will be required from 10 International good practice is the exercise of professional skill, diligence, prudence and foresight that would reasonably be expected from skilled and experienced professionals engaged in the same type of undertaking under the same or similar circumstances globally. International good practice for mitigation selection is reflected in various internationally recognized sources, including the World Bank Groups Environmental, Health and Safety Guidelines (the EHS Guidelines), technical reference documents which contain the performance levels and measures that are normally acceptable to ADB and are generally considered to be achievable at reasonable costs by existing technology. 11 Tower sites will be 20 x 20 m (400 m 2 or.04 ha) for tangent towers and 25 x 25 m (625 m 2 or.06 ha) for angle towers.

65 the Department of Forestry for the portion of the HVTLs in West Kalimantan that go through Production Forests Part of the 275 kv HVTL is within 6 km of a military air base. Preliminary consultations have been undertaken with the Indonesian Air Force regarding aircraft safety, and further consultation will be held with the Air Force during design, and if necessary line markers will be installed to minimize the risk. The HVTL alignment has also been designed to be parallel to the air strip, which will mitigate hazards to aircraft The 392 HVTL towers (Bengkayang-Ngabang and Ngabang-Tayan) will require the acquisition of between 15.6 and 24.5 ha depending on the final tower types. Again, final alignment will be fine tuned to avoid to the maximum extent possible sensitive ecosystems such as parks and protected forests; other sensitive locations such as houses and schools; areas with high concentrations of high values economic trees, such as palm oil plantations; and unacceptably steep sites with the potential for erosion problems. Substations in Ngabang and Tayan will require about 4 ha each, as well as 8 m wide access roads 500 to 800 meters long. Compensation for land acquired will be carried out through a separate 150 kv LARAP in accordance with ADB and Indonesian requirements (LARAP is under preparation) The 150 kv HVTL does not enter into any Protected Forests, Sanctuaries, National Parks, or areas identified as having special ecological significance. North of Tayan the 150 kv HVTL passes within 500 to 800 m of a protected forest referred to locally as Gunung Condong. This will be identified as a no go area, as described in Section 5.2. As noted above, permits will be required from the Department of Forestry for the portion of the HVTLs in West Kalimantan that goes through Production Forests No additional land acquisition is required for the expansion of the existing Mambong substation Construction of the 137 HVTL towers will require the acquisition of between 5.48 and 8.56 ha depending on the final tower types. Final alignment will be fine tuned to avoid to the maximum extent possible sensitive ecosystems such as parks and protected forests; other sensitive locations such as houses and schools; areas with high concentrations of high values economic trees, such as palm oil plantations; and unacceptably steep sites with the potential for erosion problems. Compensation for land acquired will be carried out through a separate 275 kv LARAP in accordance with ADB and Malaysian requirements The 275 kv HVTL will pass within 0.5 to 2 km of some relatively intact forests area in the Bau area and the Natural Resources Department Sarawak Malaysia raised a concern that the transmission line will possibly cross the proposed Dorek Krian National Park. However, the location of the HVTL in this area has been checked in the field with the designers and environmental consultants, and the proposed alignment is in an area of farming, shifting cultivation and secondary vegetation and not through the intact forest where the park might be established. Thus, the Project is not expected to have a significant negative impact on these intact forests or the proposed Dorek Krian National Park. Nonetheless, SESCO will develop good communication with the Natural Resources Department during the detailed design of the HVTL route to ensure there is no potential for impact upon the proposed Park. In addition, these forest areas will be identified as no go areas, as described in Section There are a number of potential impacts at the Project construction stage; the following discussion applies equally to construction activities in both Sarawak and West Kalimantan Construction of the Project will require permanent removal of vegetation for transmission towers, substations, and substation access roads; and cutting of tall vegetation (trees, bamboo) in the RoW to maintain necessary conductor clearances (see Table 3.3). There will also be disturbance or removal of vegetation for activities such as transmission line stringing and steel assembly and temporary facilities such as storage and assembly areas, worker camp/s and concrete batching plants.

66 171. Mitigation measures for vegetation loss include ensuring that: i) the RoW is sited so as to avoid high value plantation trees and mature secondary forest trees as much as practical (see Section 5.1); ii) vegetation removal will only be allowed within the designated width of the RoW and the minimum area required for other infrastructure and activities; iii) vegetation cutting within the RoW will only be undertaken to achieve the required clearances; iv) tree removal and trimming will only be undertaken by hand tools, including chain saws; v) the use of herbicides will be strictly prohibited Burning of cleared vegetation is a common practice in areas used for shifting cultivation. However, this will not be allowed within the RoW, and instead this material will be used to protect the soil from erosion, particularly in steeper slope areas, until more permanent soil protection measures are in place. Local people will also be allowed access to cleared vegetation for the collection of building materials and firewood. Finer remaining vegetative material will break down naturally in a relatively short time due to the tropical conditions. However, large piles of coarse remaining vegetation shall be removed for off site disposal so as to avoid the risk of accumulated vegetation which may promote forest fires Soil types present in the Project area are highly erodible, which is exacerbated by high rainfall levels. Vulnerability to increased soil erosion due to land disturbance is indicated by the data gathered from Malaysia, which can also be applied to West Kalimantan. 12 Erosion rates in undisturbed lowland rainforest are typically 20 to 300 T/km 2 /yr. Erosion rates in shifting cultivation is between 18 to 34 T/km 2 /yr on sandstone and shale soils, (the relatively low rate is assumed to be based on the wider area in which shifting cultivation occurs, with a mosaic of cleared, regrowth and uncleared areas); in traditional pepper cultivation erosion is reported as 8,000T/km 2 /yr; and for construction sites it is up to 50,000 T/km 2 /yr. However, this is mainly a risk in the relatively small areas of ground disturbance and earthworks at the tower bases and substation sites Soil erosion control measures have been incorporated into the engineering design, including the use of adjustable height tower legs which allow the tower to conform to the slope of the site, thereby reducing land cutting and erosion. In addition, mitigations, designed in accordance with relevant guidelines 13 and good construction practices adapted to suit the requirements at each site will include: i) minimizing the extent and duration of land disturbance on steep slopes; ii) using sandbags, banks or channels to divert water flows from upslope around the disturbed area; iii) using vegetation cut during the establishment of the RoW to protect disturbed ground on a temporary basis; and, iv) covering the disturbed ground with geotextile erosion control matting and seeding The soil erosion control measures will be regularly inspected and maintained during construction and until the area is stabilized and revegetated There may be interruptions to drainage flows in the area of the substations. A site drainage plan will be developed in accordance with good international practices for each substation, including constructing above flood levels and ensuring drainage around the site is provided for high storm flows. 12 Jabatan Alam Sekitar, Department of Environment, Ministry of Science, Technology and Environment, Malaysia, October Guidelines for Prevention and Control of Soil Erosion and Siltation in Malaysia, or equivalent for Indonesia. 13 ibid.

67 177. Acid sulphate soils are typically associated with swamp forest or peat soils, which have not been found in the Project area. These are usually soils with a high concentration of sulphide material such as from organic matter, remnant sea salt or mineral sulphide which has been kept in a chemically reduced condition due to not being exposed to air, such as by being buried in wet conditions. When exposed to the air due to drainage or excavation, such soils can oxidize and become acidic, generating runoff or seepage with a high content of aluminum and other metals that can be toxic in waterways No areas of potentially acid forming soil have been identified in the Project alignment. Although no such areas have been found, if such conditions are encountered during construction the following mitigations will apply: i) If possible, excavation (such as for tower bases) should be avoided in areas with permanently saturated soil, peat and swamp. ii) Where it is not possible to avoid these areas, then care should be taken to minimize the exposure to air and drying of saturated soil, in order to minimize oxidation, as follows: a. minimize the time in which the excavation is left open; b. if possible, soil which is saturated at the time of excavation should be returned to the excavation on completion, so that it remains saturated thus preventing oxidation; c. excavated soil which is saturated at the time of excavation should be mixed with lime to neutralize acidity, especially in the surface layers; d. excess soil should be mixed with lime and buried Water quality can be affected during construction by runoff of soil particles, organic matter and other material during rainfall as a result of vegetation removal and subsequent soil erosion. Mitigation measures to protect water quality from erosion are the same as for vegetation clearing and soil erosion, above. Given the generally existing high sediment loads in rivers in the area and the limited construction areas, it is not considered that this will have a major impact on river water quality Another potential impact on water quality arises from spillage of oil, fuel and other hazardous materials, causing contamination of water and soil. To address this good international practices will be adopted, including: i) Fuel, oil and hazardous materials will be stored in designated areas with temporary impermeable bunds at distance of at least 100 m from any water course. ii) iii) Refueling of machinery, equipment and vehicles will be undertaken at distance of at least 100 m from any water course. Any major work including oil changing and engine maintenance with the potential for oil to be spilled will be done in designated areas at distance of at least 100 m from any water course and with containment to prevent any oil spills washing away. iv) Waste oil shall be collected and taken away for recycling. v) Oil contaminated material shall be disposed off at designated waste disposal facilities. vi) Herbicides will not be used in the Project Construction activities including land clearing and access road construction, materials transport and storage, and operation of concrete batching plants may generate dust that reduces air quality, though given the scale and dispersed nature of the Project construction, these impacts will be localized and small scale in nature To mitigate potential impacts: i) Substation construction sites and access roads should be sprayed with water as necessary to suppress dust.

68 ii) iii) iv) Accumulated soil and debris should be cleaned from adjacent tarmac roads as required. Trucks should pass through a water pit when leaving the site, and excessively muddy trucks should be washed prior to departure from site. Truckloads should be covered, with the exception of on-site or local trips. v) Cut and fill should be balanced to the maximum extent possible at each site in order to minimize the need for fill and for spoil disposal. vi) Soil and temporary spoil piles should be covered or sprayed if generating dust. Piles that are not going to be used in the short-term should be allowed to develop vegetation cover Solid wastes generated from construction activities should not be haphazardly left around construction sites. i) Construction waste will be contained in a designated area on each site (tower site, substation or substation access road). ii) Wastes will be routinely collected and disposed of at licensed waste disposal facilities Solid and liquid wastes generated from worker facilities have the potential to pollute water sources. To mitigate against this: i) Temporary worker camps will be required to be provided with appropriate sanitation facilities, including water supply and washing facilities, temporary toilets, and waste containers. ii) iii) iv) Toilets should either by of a pit type that are at least 20 m from any water body, or porta-potty type. If the latter, toilets should be emptied on a regular or as needed basis, and the effluent disposed of at an approved waste disposal facility. Worker camp sanitation facilities should developed in consultation with relevant local authorities and have all required local, province and national approvals. All worker camps should be decommissioned when no longer required and restored to their natural condition Construction activities and the transport of materials including aggregate may cause damage to roads and other local infrastructure. Any damaged infrastructure will be repaired to at least the same standard and condition on completion of the Project. A survey will be done at the commencement of the Project to determine the initial condition of such assets and infrastructure The influx of workers from outside the area may create additional hunting pressure on wildlife. As a mitigation measure, hunting, extraction by workers of forest products such as firewood, and keeping of firearms and/or hunting will be prohibited In addition, Protection Forests and other sensitive areas (e.g. Gunung Condong, West Kalimantan, and the limestone hills area south of Bau, near the proposed Dorek Krian National Park, Sarawak) will be designated no go areas, and will be strictly off limit for all workers The construction of civil works such as transmission towers and substations poses an inherent risk of injury to workers from accidents and hazardous working environments. To mitigate these potential impacts, prior to the commencement of civil works the contractors will be required to develop an

69 Occupational Health and Safety Plan (OHSP) that is consistent with the relevant requirements of Indonesian or Malaysian law (as relevant) and with good international practice as reflected in internationally recognized standards such as the World Bank Group s Environment, Health and Safety Guidelines. The OHSP should: i) identify and minimize, so far as reasonably practicable, the causes of potential hazards to workers, including communicable diseases such as HIV/AIDs and vector borne diseases; ii) iii) iv) provide preventive and protective measures, including modification, substitution, or elimination of hazardous conditions, with particular attention to live power lines, working at height, EMFs, and exposure to chemicals; provide measures for the management and appropriate disposal of hazardous wastes to ensure protection of the workforce and the prevention and control of releases and accidents; provide for the provision of appropriate personal protective equipment (PPE) to minimize risks; v) provide training for workers, and establish appropriate incentives to use and comply with health and safety procedures and utilize PPE; vi) vii) include procedures for documenting and reporting occupational accidents, diseases, and incidents; and include emergency prevention, preparedness, and response arrangements in place With the development of an effective OHSP, occupational health and safety risks can be minimized The construction of transmission towers and substations also poses a modest risk to local communities from emergency events such as fires or spills, and encroachment by the public into dangerous working environments, and construction traffic. To mitigate these potential impacts, prior to the commencement of civil works the contractor will be required to develop a Community Health and Safety Plan (CHSP) that is consistent with the relevant requirements of Indonesian or Malaysian law and with good international practice as reflected in internationally recognized standards such as the World Bank Group s Environment, Health and Safety Guidelines. The CHSP should include emergency response procedures developed in close collaboration and consultation with potentially affected communities and local authorities, and should address the following aspects of emergency response and preparedness: i) procedures to identify and minimize, so far as reasonably practicable, the causes of potential Project related hazards to local communities, including communicable diseases such as HIV/AIDs and vector borne diseases; ii) specific emergency response procedures; iii) emergency contacts and communication systems / protocols; iv) procedures for interaction with local and regional emergency and health authorities; v) relevant emergency equipment and facilities (e.g. substation first aid stations, fire extinguishers/hoses, sprinkler systems); vi) protocols for fire truck, ambulance and other emergency vehicle services; vii) evacuation routes and meeting points; and, viii) drills The CHSP should also include procedures for posting warning signs and fences as required to protect local community members from dangerous work areas In order to minimize risks from construction traffic, all delivery vehicles will be required to confirm with Indonesian and Malaysian traffic regulations 193. In addition, as noted above, water, sanitation and waste management facilities will be provided for workers to mitigate public health risks associated with these issues Non-transparent allocation of employment opportunities may cause concerns among local communities. To mitigate against this, it will be necessary to:

70 i) Communicate about employment opportunities on a regular basis and demonstrate the efforts being made to accommodate as many people as possible. ii) iii) iv) Be clear about the limited scale and communicate this limitation during the meetings Ensure transparent process of giving jobs. Give priority to APs as identified in the LARAPs. Design a social investment strategy for developing skill level to increase employability of the Project impacted families 195. Based on consultations with heritage resource specialist and authorities in both Sarawak and West Kalimantan, there is a low probability that the substations or HVTLs will pass through any historical or cultural sites. However, in case previously unknown physical cultural resources are encountered during construction a chance-find procedure will be put in place: i) If physical cultural resources are encountered during the construction phase, all works at the find site should be immediately halted. ii) iii) iv) The find should be assessed by a competent expert, and procedures to avoid, minimize or mitigate impacts to the physical cultural resources should be developed by the expert in cooperation with the relevant local heritage authority, proportionate to the value of the resource in question and the nature and scale of the Project s potential adverse impacts on it. Work should not begin until the procedures to avoid, minimize or mitigate impacts to the physical cultural resources have been implemented. Where avoidance is not feasible, no alternatives to removal exist, and the Project benefits outweigh the anticipated cultural heritage loss from removal, the physical cultural resource should be removed and preserved according to the best available technique. v) Any removal should be conducted in accordance with relevant provisions of national and/or local laws. vi) vii) Records should be maintained of all finds, including chain of custody instructions for movable finds. All Project workers and staff should be made aware of the chance-find procedure Electric and magnetic fields (EMF) are invisible lines of force emitted by and surrounding any electrical device (e.g. power lines and electrical equipment). Exposure to EMF depends on the strength of the field which is related to the voltage level, the distance of the person from the source, and the duration of exposure Although there is public and scientific concern over the potential health effects associated with exposure to EMF (not only high voltage power lines and substations, but also from everyday household uses of electricity), there is no empirical data demonstrating adverse health effects from exposure to typical EMF levels from power transmissions lines and equipment. However, while the evidence of adverse health risks is weak, it is still sufficient to warrant limited concern The mitigation measure to address EMF exposure is to follow international good practice by adhering to the principle of prudent avoidance, in which the HVTLs are sited as far as practicable from any sensitive locations, such as houses, schools, hospitals and offices (this mitigation is applied during the preconstruction Project siting, see Section 5.1). This will minimize exposure time. Farming will continue to be carried out within the RoW, but the time of exposure will be short term and periodic, and no mitigation 14 IFC Environmental, Health, and Safety Guidelines for Electric Power Transmission and Distribution

71 measures are considered necessary or practicable for this. In addition, monitoring will be undertaken periodically to ensure EMF levels are within national and international standards/guidelines Substation operation is generally not a significant problem from a noise point of view Substation operation has the potential to contaminate soil and water as the result of leakage of oil from transformers and other electrical equipment, and leakage or spills of other hazardous materials used within substations To mitigate potential contamination of water and soil, the design of the substations will incorporate international standard for the containment of oil spills and hazardous materials: i) Transformers and equipment selected will meet international standards, and will be routinely maiantained. 6 ii) iii) iv) PCBs will not be used in transformers and other electrical equipment. Areas around substation transformers and areas where oils, fuels and hazardous wastes are stored will be encased in an impervious bund capable of holding 150% of oils, fuels and hazardous wastes in that area. Discharge from these bunds and other areas with the potential to be oil contaminated will be directed to oil-water separators. v) Any oil contaminated material will be disposed of at a proper waste disposal site approved as required by local, state and national authorities. vi) An emergency spill response plan will be established and staff will be trained on spill response procedures (see Section 5.3.8) There will need to be ongoing maintenance of trees and tall vegetation within the RoW to maintain the necessary conductor clearance. Mitigation measures to minimize associated disturbances include: i) vegetation removal will only be allowed within the designated width of the RoW; ii) vegetation cutting within the RoW will be undertaken only to achieve the required clearances; iii) tree removal and trimming will only be undertaken by hand tools, including chain saws; and iv) the use of herbicides will be strictly prohibited With appropriate mitigations operational phase vegetation management within the RoW is anticipated to only have minimal impacts Maintenance activities may cause some minor disturbance or concern to local peoples. This will be mitigated by limiting use to already existing roads or tracks to reach the HVTLs and informing locals in advance via community leaders as to the time and location of maintenance activities and any requirement to access adjacent lands. 6 For example: - Australian Standard The Storage and Handling of Flammable and Combustible Liquids. Amendment Appendix H. Power Station and Grid Transformers. - IFC Environmental, Health, and Safety Guidelines for Electric Power Transmission and Distribution

72 205. There will be an ongoing restriction on development during operation of the line in order to maintain the RoW free of structures. This may have a negative economic impact on land owners and users. This will be mitigated by the payment of compensation to affected people during the LARAP processes (see Section 5.1) The presence of the RoW, with its accompanying restrictions on development, creates an ongoing fragmentation of land use. This is mitigated during the Project siting, whereby the HVTL alignment is sited so as to avoid, as far as practicable, such fragmentation by following existing roads and boundaries and avoiding cutting across individual land use plots The presence of the RoW and increased access may open up the area to increased hunting, tree cutting and farming plots. This effect is expected to be minor as the HVTLs will be mainly in the vicinity of existing roads. In addition, other than for substations, no permanent access roads will be built to tower sites. Any temporary access roads will be decommissioned and restored to natural conditions once construction has been completed Prior to the commencement of operation the contractor should prepare operation phase OHS and CHS plans in accordance with relevant requirements of Indonesian and Malaysian law, and with good international practice as reflected in internationally recognized standards such as the World Bank Group s Environment, Health and Safety Guidelines. It is anticipated that the plans would include, but not be limited to OHS and CHS aspects covering: - live power lines; - working at height; - electric and magnetic fields; - exposure to chemicals; - emergency procedures for spills, fire, evacuation, and natural disaster; and - community safety Community safety risks with power lines and substations include unauthorized access. As mitigation measures, towers will be fitted with anti-climbing devices and substations will have a security fence and fulltime security personnel on site To mitigate against the risk of fire, substations will be equipped with fire suppression systems and, as noted above, emergency response plans will be developed The risk of bird collision is considered to be low as the field work indicated that there are relatively few birds in the Project area, and the HVTLs are not within daily flyways or migration corridors. No special mitigation measures are proposed but monitoring will include asking local people and maintenance personnel to report occurrences of dead birds or other dead animals under the line. If a location is to be identified with a frequent occurrence, then action will be taken which could include installing line markers to reduce the incidence.

73 212. Not proceeding with the proposed Project is considered not acceptable for the following reasons: i) It would significantly restrict the development of West Kalimantan due to the lack of a reliable power supply. West Kalimantan lacks energy resources - oil, gas and coal are imported, and no significant hydro power resources have been identified. Electricity is generated by diesel power and PT PLN (Persero) cannot satisfy current or projected demand. The present situation will not improve in the near to mid-term future without the proposed Project; the 275 kv Regional Interconnection HVTL and 150 kv HVTLs will improve the reliability of electrical supply throughout West Kalimantan, and bring access to electricity to hundreds of thousands of households. ii) iii) It would lead to ongoing operating losses for power generation in West Kalimantan. Electricity is generated by diesel power plants either owned or leased by PLN, which leads to huge operating losses which costs the Indonesian Government significantly. Again, the present situation will not improve in the near to mid-term future without the proposed Project. It would lead to ongoing and increased future reliance on thermal power. Without power trading between Sarawak and West Kalimantan, it is likely that additional thermal power capacity will be developed in West Kalimantan, leading to increased emissions of GHGs, particulate matter, NOx and SOx. Electricity imported from Sarawak will be substantially from hydropower and will have lower carbon emissions than the alternative of developing fossil fuel based electricity generation As noted above, West Kalimantan lacks energy resources, and it is most likely that future power sources developed within West Kalimantan will be thermal, either from coal or oil. Electricity imported from Sarawak will be substantially from hydropower and will have lower costs and lower carbon and other emissions than the alternative of developing fossil fuel based electricity generation. Thus, developing alternative power options within West Kalimantan is not the preferred option The Project will connect the power supply systems of Sarawak and West Kalimantan, allowing for power trading across the international border between the two provinces. The cost of bringing power to West Kalimantan from any other region in Malaysia (e.g. peninsula Malaysia) or Indonesia would be significantly more expensive, and would have considerable environmental costs As noted in Section 3.9, several studies in the past have assessed the feasibility and benefit of connecting the power systems of Sarawak and West Kalimantan. All studies have concluded that cross border trade of electric energy can be realized through the interconnection of the two systems by a transmission line. However, in the meantime the expansion and planning of the PLN 150 kv system in West

74 Kalimantan has progressed so that the optimum connection points have been identified as Mambong substation in Sarawak and Bengkayang substation in West Kalimantan The selection of the alignment for the 275 kv Regional Interconnection HVTL from Mambong Sarawak to Bengkayang West Kalimantan was based on published data such as geological maps, land use and topographic maps and other related documents, supported by detailed topographic alignment surveys and assessments of environmental and social impacts A number of alternative alignments for the 275 kv HVTL alignment were studied to varying degrees, and a comparison of criteria used to assess the two top ranked routes and determine the preferred alignment is presented in Table 6-1. The Option I route was the first alignment that was proposed, and has proven to be the most preferable route of all alternatives. Table 6.1: Assessment of top ranked alignment options, 275 kv Regional Interconnection HVTL Item Option I Option II Transmission interconnection name Length Terrain Project cost Mambong Bengkayang 45.6 km 82.6 km Total: km Most areas are undulating and flat, with some hilly areas. Land compensation and construction costs are more reasonable compared to other alternatives. Mambong Ngabang 45.6 km West Kalimantan 149 km Total:194.6 km Most areas are undulating and flat, with more hilly areas. Land compensation and construction costs are higher due to the transmission line length and passing many hilly and inaccessible areas. Construction problem No major problems anticipated. Hilly and inaccessible areas will be significant obstacles. Land use Fauna and flora Operation and Maintenance (O&M) Most of the Project area is agriculture land with a small forest area. No areas of ecological importance are anticipated. No major problem is anticipated. Although most of the area is agriculture land, there is a forest reserve area to be passed through. An area of ecological importance is anticipated in passing through Niut Nature Reserve area. Access is anticipated to be restricted or prevented in Niut Nature Reserve area. Overall remarks Route is the preferred option. Route is less feasible due to ecological and economical concerns Within West Kalimantan PT PLN (Persero) undertook considerable effort to fine tune the alignment so as to avoid to the maximum extent possible sensitive areas (e.g. protected areas, protected forests), production forests, settlements, physical cultural heritage sites (e.g. cemeteries), and to avoid social conflict. The route will not require relocation of settlements, intrude into protected areas or protected forests,

75 endanger protected flora and fauna, or disturb ecological services, and only small portions enter into production forests There are no practical alternative alignments for the Bengkayang-Ngabang and Ngabang-Tayan 150 kv HVTLs. However, as with the 275 kv HVTL, PT PLN (Persero) undertook considerable effort to fine tune the alignment so as avoid to the maximum extent possible sensitive areas, production forests, settlements, and physical cultural heritage sites. The route will not require relocation of settlements, intrude into protected areas or protected forests, endanger protected flora and fauna, or disturb ecological services, and only small portions enter into production forests Tower type design options include wood, concrete pylon, tubular steel, aluminum and steel lattice. Because of the limited height of available trees, the maximum height of wooden pylons is limited to approximately 30 meters, which is insufficient to provide the necessary ground clearance. Concrete pylon towers are typically for voltages below 30 kv, and are also frequently prefabricated and placed on the RoW afterward, which is not practical. Poles made of tubular steel are also prefabricated. Aluminum towers are prohibitively expensive. Of all available options, only the preferred design option, self supporting steel lattice towers, is economically viable, able to carry the necessary voltage and achieve the required heights, and can be assembled on site without the use of access roads or helicopters.

76 221. The TA 6441-REG team in cooperation with PLN and SESCO have carried out Project consultations and information disclosure with a range of organizations and affected persons, particularly through the environmental and social assessment processes. Environment related consultations were first undertaken in February to May 2009 during initial preparation of the 275 kv HVTL IEE, and were supported by additional consultations in March and April 2011 in relation to the revision of the IEE to include the 150 kv HVTLs in West Kalimantan Environment related consultations for the 275 kv HVTL conducted in February to May 2009 during initial preparation of IEE included potentially affected persons (about 75 people in local communities), government agencies (14 people in various agencies), and several civil society organizations (CSOs) and non government organizations (NGOs). These consultations were conducted both in West Kalimantan and Sarawak. - Local communities Meetings with six official village heads (Kepala Desa) and two customary heads (Temenggung) and Head of Indigenous People Movement of West Kalimantan. Organization of focus group discussions with potentially affected community members. Meetings with Indigenous People Network Alliance of West Kalimantan. - Government agencies West Kalimantan Forestry Agency and Sarawak Forestry Agency collected information on existing environment and forestry land status. History and Traditional Value Conservation Agency, Kalimantan Region, Pontianak Office - established that no historical sites will be affected. Planning Agency of Bengkayang District no issues were raised. Energy and Mineral Resources Agency of Bengkayang District established that no mining activities will be affected. Forestry and Plantation Agency of Bengkayang District received guidelines for compensation for loss of plantation trees. Agrarian Affairs, Bengkayang identified that most Project affected people in forest land do not have legal title (ADB requirement was noted that this does not rule them out for compensation). - Environmental NGOs WWF, Pontianak advised that the line should not go through areas of concern in West Kalimantan. Concerned also about social benefits to local people, and damage to roads.

77 WALHI, Pontianak emphasized need for good communication with local people. - Local communities Dayak Bidayau National Association (DBNA) of Sarawak. National Indigenous People Network Alliance. - Government agencies Sarawak Natural Resources and Environment Board (NREB), Kuching discussed Project environmental study. Natural Resources Department Sarawak Malaysia - raised a concern that the transmission line could potentially cross the proposed Dorek Krian National Park (limestone forest area) in Bau District. Sarawak Museum - identified that no historical sites affected. - Environmental NGOs WWF, Kuching identified Bungo Range to the south of the Project area in Sarawak as a sensitive area. Discussion confirmed that this will not be affected by the Project. Malaysian Nature Society, Kuching Branch - also identified Bungo Range as a sensitive area. Identified the limestone hills south of Bau as relatively intact forest with high biodiversity value. This was supported by written sources Appendix E, Table E-1 presents a summary of the consultation meetings held, and the issues raised. In addition, a one day social and environment workshop was held in Pontianak on 10 June 2009, which was attended by PLN, SESCO and Indonesian government agencies. The list of attendees and issues raises presented in Appendix E, Table E The concerns raised during these consultations have been addressed in Chapter 9, Environmental Management Plan (EMP), and other relevant documents prepared for the 275 kv HVTL, such as the SIA and LARAP. In brief, the response to these concerns are as follows: - Damage to roads: PLN and SESCO will facilitate the repair of roads damaged by the Project by the relevant contractors. - Good communication with local people: Ongoing public hearings and disclosure will be conducted by PLN and SESCO during Project preparation and implementation. - Possibility that the Project will traverse the proposed Dorek-Krian National Park: Close to the proposed park, the transmission line will mostly traverse through mixed garden and perennial crop (durian, rubber trees, etc), and it will not enter the Park. During detailed Project design, SESCO will closely communicate with Natural Resources Department Sarawak. - Project affected people in forest land do not have a legal land title: Compensation will be given to the affected people as detailed in the relevant LARAPs Consultations and disclosure activities related to the revision of this IEE to include the 150 kv HVTLs in West Kalimantan focused on: i) Direct consultation meetings with key government agencies and NGOs, as summarized in Appendix E, Table E-3. ii) A one day social and environmental workshop with key government agencies and NGOs held in Pontianak on 20 April, 2011, as summarized in Appendix E, Table E-4.

78 iii) A detailed questionnaire that was distributed to 75 APs as part of the land acquisition and resettlement process, and which included several environment related questions, as summarized in Appendix E, Table E In addition, consultation was held as part of the UKL/UPL process for the two HVTLs. A stakeholder meeting was held on February 10 th, 2010 for the Bengkayang-Ngabang 150 kv, and consultation meetings were held with local officials along the Ngabang-Tayan 150 kv HVTL alignment, also in Issues raised in these consultations have been incorporated into the Project EMP Further consultations will be carried out by the implementing agencies in each country as part of the detailed design including refinement of the HVTL alignment, land acquisition and compensation processes, and public information disclosure during implementation.

79 229. In this Chapter the term affected person (AP) is used to indicate any person who may wish to lodge a complaint with respect to the Project s activities at any stage in Project implementation Both PLN and SESCO practice their own corporate grievances procedures, and these will be adopted by the proposed Project in compliance with relevant national regulations. In addition, in each country the Project s grievance procedures will comply with the requirements of the ADB SPS, including addressing affected people's concerns and complaints promptly and using an understandable and transparent process that is readily accessible to all segments of APs at no costs and without retribution During the preconstruction stages grievances are most likely to be encountered in relation to land acquisition and compensation. Separate LARAPs for both Sarawak and Kalimantan have or will be prepared that describe these land acquisition and compensation processes in detail During the construction stages grievances are most likely to be encountered in relation to physical works, such as construction of towers and substations and RoW clearing APs may submit complaints via government or Project channels (Figure 8.1). If following the government channel, the AP may submit their complaint to the relevant kampong (village) leader, who will attempt to resolve the problem or forward it to the Camat (subdistrict leader), and subsequently to the Bupati (District Leader) and ultimately to the Governor if necessary or desired by the AP. At each stage the officials have 30 days to respond, and will engage with PLN at various levels as they attempt to resolve the problem. If after the process has reached the Office of the Governor and the AP is unsatisfied with the decision at that level, they may lodge the complaint to a court of law for adjudication The AP may also submit the complaint along Project lines, either to the construction contractor, who will address the problem at their local level within 2 weeks if possible, and if not possible will convey the complaint to the PLN focal point in Pontianak, the Project Manager of UPK Kalimantan IV. The AP may also submit the complaint directly to UPK Kalimantan IV. If it cannot be resolved at this level in Pontianak, it will be conveyed to the General Manager, UIP Ring Sumatera II in Palembang, South Sumatera. If it cannot be resolved at this level the complaint may be directed to the Governor, and if the AP is unsatisfied with the decision at the Governor s level, they may lodge the complaint to a court of law for adjudication The above is generic grievance response system. With respect to land related complaints, the grievance process is explained in more detail in the 275 kv and 150 kv LARAPs.

80 236. In Sarawak, the Manager of Land and Wayleave will be the focal point, and will responsible for addressing any complaints and grievances. Affected persons (APs) may submit complaints directly to him or indirectly through the head of kampong/village and or the contractor, who will address the problem informally at their local level if possible, and if not possible will convey the complaint to SESCO. At each stage a response will be provided within two weeks If the AP is not satisfied with the result, they may then lodge a complaint to a court of law for adjudication. The grievance procedure is summarized in Figure With respect to land related complaints, the grievance process is explained in more detail in the SIA covering the Project s 275 kv HVTL activities in Sarawak Operation stage complaints are frequently related to ongoing maintenance activities. The practice for both PT PLN (Persero) and SESCO for public complaints during operation and maintenance is that they are first handled by the maintenance staff and/or contractor, and only escalated to PT PLN (Persero) and SESCO if the contractor or maintenance staff cannot resolve the issue. In Sarawak any complaints and grievances solving will be facilitated by General Manager of Regional Office (Western) Kuching. In West Kalimantan this will be facilitated by the Manager of Operations, West Kalimantan Regional Office (Transmission Unit), PT PLN (Persero) Figures 8.3 and 8.4 summarize the operation phase grievance redress mechanism for Project activities in West Kalimantan and Sarawak, respectively.

81 Figure 8.1 Generalized grievance redress mechanism, preconstruction and construction stages, covering 275 kv Regional Interconnection HVTL from Malaysian-Indonesian border to Bengkayang, and 150 kv HVTLs from Bengkayang to Ngabang, and Ngabang to Tayan (West Kalimantan section) Complaint resolved Office of Governor (Governor has 30 days to respond) Complaint not resolved AP may take legal action Complaint resolved Complaint resolved Bupati/District Leader (30 days to respond) Camat/Subdistrict Leader (30 days to respond) Complaint not resolved General Manager, UIP Ring Sumatera II, PLN (Persero) (2 weeks to respond) Complaint not resolved Project Manager, UPKJ Kalimantan IV, PLN (Persero) (2 weeks to respond) Complaint resolved Kampong/Village Leader (30 days to respond) Complaint not resolved Contractor (2 weeks to respond) Complaint resolved AP Submits Complaint through government or Project channels Formal complaint channel Informal complaint channel Response channel Communication between local government and PLN

82 Figure 8.2 Grievance redress mechanism, preconstruction and construction stages, covering 275 kv Regional Interconnection HVTL from Mambong to the Malaysian-Indonesian border (Sarawak Malaysia section) AP may take legal action Complaint resolved Complaint not resolved Complaint not resolved Manager, Land and Wayleave Department, SESCO (2 weeks to respond) Complaint not resolved Formal complaint channel Informal complaint channel Formal response channel Complaint resolved Kampong / Village Leader Contractor (2 weeks to respond) AP Submits Complaint

83 Figure 8.3: Grievance redress mechanism, operation stage, covering 275 kv Regional Interconnection HVTL from Malaysian-Indonesian border to Bengkayang, and 150 kv HVTLs from Bengkayang to Ngabang, and Ngabang to Tayan (West Kalimantan section) Complaint resolved Complaint may be elevated to Government Levels (Camat, Bupati and or Governor) Complaint not resolved AP may take legal action Complaint resolved Manager of Operations, PLN West Kalimantan Regional Office (2 weeks to respond) Complaint not resolved Formal complaint channel Informal complaint channel Complaint resolved Maintenance Staff or Contractor Formal response channel AP Submits Complaint Informally or Formally

84 Figure 8.4 Grievance redress mechanism, operation stage, covering 275 kv Regional Interconnection HVTL from Mambong to the Malaysian-Indonesian border (Sarawak Malaysia section) Complaint not resolved AP may take legal action Complaint resolved General Manager, Regional Office (Kuching), SESCO (2 weeks to respond?) Complaint not resolved Formal complaint channel Informal complaint channel Complaint resolved Maintenance Contractor (2 weeks to respond?) Formal response channel AP Submits Complaint Informally or Formally

85 241. This chapter presents the Project environmental management plan (EMP), including mitigation measures, environmental monitoring plan (EMoP), reporting, capacity building, and implementation roles and responsibilities The construction and operation phase mitigation measures identified in Chapter 5 are summarized in Table 9.1, along with location to be applied and lead responsibility for implementation The construction and operation phase environmental monitoring plan (EMoP) is presented in Table 9.2. The EMoP focuses on mitigation implementation compliance monitoring, undertaken by national environmental monitoring consultants. The monitoring consultants will be full time during the construction period (2 years in West Kalimantan and 12 months in Sarawak), with some additional inputs during the preconstruction and operation phases During the construction phase semiannual environmental monitoring reports will be submitted to ADB and the relevant environmental authorities. In West Kalimantan PLN UIP Ring Sumatera will have overall responsibility for reporting in accordance with the SPS and Article 32 of Government Regulation No. 27 Year 1999 on Environmental Impact Assessment. In Sarawak SESCO will have overall responsibility for the reporting in accordance with the SPS and the 1974 Environmental Quality Act and other relevant legislation. During the operation phase ADB will require annual reporting during the first two years of operation In West Kalimantan an environmental monitoring consultant recruited by the PT PLN (Persero) Head Office will be responsible for undertaking environmental monitoring and preparing monitoring reports. For ADB, semiannual monitoring reports will be prepared based on the EMoP; monitoring reports will first be submitted to UIP Ring Sumatera II, which will review and finalize the reports and then convey them to the ADB. If the monitoring has identified a weakness or deficiency in the implementation of the EMP that has already been addressed, the report should explain the manner by which the issue was resolved. If the monitoring has identified a weakness or deficiency in the implementation of the EMP that has not yet been addressed, a corrective action plan (CAP) should be developed. The CAP should describe actions necessary to address each area of concern; prioritize these actions; identify responsibilities for implementation of each corrective action; identify a time-line for their implementation; and, present a schedule for communicating the results of plan implementation to affected communities, the ADB, the Ministry of Environment (for the 275 kv HVTL), and Bapedalda West Kalimantan (for the 150 kv HVTL).

86 246. In addition, monitoring reports will be prepared by the environmental monitoring consultant for submission to the Ministry of Environment based on the monitoring requirements presented in the RKL/RPL (for the 275 kv HVTL) and Bapedalda West Kalimantan (for the 150 kv HVTL). A separate reporting process is required as the RKL/RPL and UKL/UPL have different (and less rigorous) reporting requirements than the EMoP. As these reports will be prepared by the same consultants, the process should be efficient and can be based on the same mitigation implementation compliance monitoring In Sarawak the environmental monitoring consultant recruited by SESCO will be responsible for implementing the EMoP and preparing the semiannual monitoring reports. Environmental monitoring reports will first be submitted to SESCO, who will then convey them to the ADB and the Natural Resources and Environment Board (NREB). Again, if the monitoring has identified a weakness or deficiency in the implementation of the EMP that has already been addressed, the report should explain the manner by which the issue was resolved. If the monitoring has identified a weakness or deficiency in the implementation of the EMP that has not yet been addressed, a corrective action plan (CAP) should be developed. The CAP should describe actions necessary to address each area of concern; prioritize these actions; identify responsibilities for implementation of each corrective action; identify a time-line for their implementation; and, present a schedule for communicating the results of plan implementation to affected communities, the ADB, and the NREB The EMP budget is presented in Tables 9.3 and 9.4 for West Kalimantan and Sarawak, respectively. The costs of most mitigations are already incorporated into the Project engineering, procurement and construction (EPC) costs. EMP costs presented in Tables 9.3 and 9.4 are primarily associated with i) environmental monitoring consultants; ii) environmental and health and safety training and capacity building consultants; and iii) obtaining necessary permits.

87 Table 9.1: Environmental Management Plan (EMP) Project Phase / Potential Environmental Impacts Proposed Mitigation Measures Location Estimated Responsibility Cost Implementation Supervision 1. Preconstruction Phase / Siting - Permanent alienation of land and vegetation for HVTL tower bases - Permanent alienation of land and vegetation for substations and substation access roads - Cutting of tall trees, including economic trees, within the RoW so as to establish and maintain required conductor clearances. - Disturbance of houses and infrastructure and sensitive ecosystems, including impacts from electric and magnetic fields (EMF). - Site specific erosion problems as a result of the inappropriate location of - Careful routing of the HVTLs to ensure that final alignment avoids to the maximum extent possible sensitive ecosystems such as parks and protected forests; other sensitive locations such as houses and schools; and areas with high concentrations of high values economic trees, such as palm oil plantations. - Providing appropriate land acquisition and compensation through the relevant LARAP in accordance with relevant ADB and national requirements. - All necessary permits to be required associated with HVTL routing (e.g. for Protection Forests). - Careful siting of substations to avoid to the maximum extent possible sensitive ecosystems such as parks and protected forests; other sensitive locations such as houses and schools; and areas with high concentrations of high values economic trees, such as palm oil plantations. - Providing appropriate land acquisition and compensation through the relevant LARAP in accordance with relevant ADB and national requirements. - Restricting cutting of vegetation to within the RoW, and only to the extent necessary to achieve required conductor clearances. - Careful routing of the HVTLs and siting of substations to ensure that final alignment avoids to the maximum extent possible sensitive ecosystems such as parks and protected forests; and other sensitive locations such as houses and schools. - Avoiding locating towers on slopes steeper than 30 degrees where practical, and use of hill extensions on towers on slopes and other international good construction practices. HVTL Alignments Substations HVTL Alignments HVTL Alignments, substations HVTL Alignments Included in EPC cost estimate. Included in EPC cost estimate. Included in EPC cost estimate. Included in EPC cost estimate. Included in EPC cost estimate. Detailed design contractor Detailed design contractor Detailed design contractor Detailed design contractor Detailed design contractor Detailed design contractor Detailed design contractor Detailed design contractor Detailed design contractor SESCO UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN SESCO

88 Project Phase / Potential Environmental Impacts towers on steep or unsuitable slopes. - Impact on rivers at crossings. - Visual impacts for local residents. Proposed Mitigation Measures - Locating the towers and other works at least 40 m from the top of river banks. - Towers will also be located so as to avoid affecting flood flows through any narrow off-stream channels. - Careful routing of the HVTLs to ensure that final alignment avoids skylines and sensitive locations such as houses and schools. Location River crossings, HVTL Alignments HVTL Alignments Estimated Responsibility Cost Implementation Supervision Included in EPC cost estimate. Included in EPC cost estimate. Detailed design contractor Detailed design contractor Detailed design contractor Detailed design contractor UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN SESCO - Impacts on protected areas, primary forest, wetlands, peatlands, swamp forest, mangroves, estuarine areas - Impacts on cultural heritage sites - No protected areas, primary forest, wetlands, peatlands, swamp forest, mangroves, and estuarine areas are within the Project area. - Areas classified as Protection Forest, National Park or proposed Park, and primary forest will be classified as no go areas for workers. - No cultural heritage sites identified within the Project area. - Chance find procedure will be in place during construction (see below) HVTL Alignments, and: - Gunung Condong, West Kalimantan - Limestone hills area south of Bau (proposed Dorek Krian National Park), Sarawak HVTL Alignments, substations Included in EPC cost estimate. Included in EPC cost estimate. Detailed design contractor Detailed design contractor Detailed design contractor Detailed design contractor UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN SESCO Detailed design contractor UIP Ring Sumatera II, PLN

89 Project Phase / Potential Environmental Impacts Proposed Mitigation Measures - Impacts on aircraft safety - Part of the 275 kv HVTL is within 6 km of a military air base. Preliminary consultations have been undertaken with the Indonesian Air Force regarding aircraft safety, and further consultation will be held with the Air Force during design, and if necessary line markers will be installed to minimize the risk. - The HVTL alignment has also been designed to be parallel to the air strip, which will mitigate hazards to aircraft. 2. Construction Phase Location Estimated Responsibility Cost Implementation Supervision West Kalimantan Included in EPC cost Detailed design UIP Ring Sumatera estimate. contractor II, PLN - Vegetation Clearing - The RoW is sited so as to avoid high value plantation trees and mature secondary forest trees as much as practical. - Vegetation removal will only be allowed within the designated width of the RoW and the minimum area required for other infrastructure and activities. - Vegetation cutting within the RoW will be undertaken to achieve the required clearances. - Tree removal and trimming will only be undertaken by hand tools, including chain saws. - The use of herbicides will be strictly prohibited. - Local people will be allowed access to cleared vegetation for the collection of building materials and firewood. - Burning of cleared vegetation will not be allowed; instead this material will be used to protect the soil from erosion, particularly in steeper slope areas, until more permanent soil protection measures are in place. - Soil Erosion - Soil erosion control measures have been incorporated into the engineering design, including the use of adjustable height tower legs which allow the tower to conform to the slope of the site, thereby reducing land cutting and erosion. - In addition, mitigations, designed in accordance with relevant guidelines and good construction practices adapted to suit the requirements at each site will include: o o o o minimizing the extent and duration of land disturbance on steep slopes; using sandbags, banks or channels to divert water flows from upslope around the disturbed area; using vegetation cut during the establishment of the RoW to protect disturbed ground on a temporary basis; and, covering the disturbed ground with geotextile erosion control matting and seeding. HVTL Alignments HVTL Alignments Included in EPC cost estimate. Included in EPC cost estimate. Construction contractor Construction contractor Construction contractor Construction contractor SESCO UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN

90 Project Phase / Potential Environmental Impacts Proposed Mitigation Measures - The soil erosion control measures will be regularly inspected and maintained during construction and until the area is stabilized and revegetated. - Drainage - Site drainage plans will be developed in accordance with good international practices for each substation, including constructing above flood levels and ensuring drainage around the site is provided for high storm flows. - Acid Sulphate Soils No areas of potentially acid forming soil have been identified in the Project alignment. However, if such conditions are encountered the following mitigations will apply: - If possible, excavation (such as for tower bases) should be avoided in areas with permanently saturated soil, peat and swamp (if such are encountered). - Where it is not possible to avoid these areas, then care should be taken to minimize the exposure to air and drying of saturated soil, in order to minimize oxidation, as follows: o o o minimize the time in which the excavation is left open; if possible, soil which is saturated at the time of excavation should if possible be returned to the excavation on completion, so that it remains saturated thus preventing oxidation; excavated soil which is saturated at the time of excavation should be mixed with lime to neutralize acidity, especially in the surface layers; o excess soil should be mixed with lime and buried. - Water Quality Impacts Mitigation measures to protect water quality from erosion are the same as Vegetation Clearing and Soil Erosion, above. To protect against impacts on water quality arising from spillage of oil, fuel and other hazardous materials, good international practices will be adopted, including: - Fuel, oil and hazardous materials will be stored in designated areas with temporary impermeable bunds in accordance with international standards and at distance of at least 100 m from any water course. - Refueling of machinery, equipment and vehicles will be undertaken at distance of at least 100 m from any water course. - Any major work including oil changing and engine maintenance with the potential for oil to be spilled will be done in designated areas at distance of at least 100 m from any water course with containment to prevent any oil spills washing away. Location Substations HVTL Alignments, substations HVTL Alignments, substations Estimated Responsibility Cost Implementation Supervision Included in EPC cost estimate. Included in EPC cost estimate. Construction contractor Construction contractor Construction contractor Construction contractor SESCO UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN

91 Project Phase / Potential Environmental Impacts Proposed Mitigation Measures - Waste oil shall be collected and taken away for recycling. - Oil contaminated material shall be disposed off at designated waste disposal facilities. - Herbicides will not be used in the Project. - Air Quality Impacts - Substation construction sites and access roads should be sprayed with water as necessary to suppress dust. - Accumulated soil and debris should be cleaned from adjacent tarmac roads as required. - Trucks should pass through a water pit when leaving the site, and excessively muddy trucks should be washed prior to departure from site. - Truckloads should be covered, with the exception of on-site or local trips. - Cut and fill should be balanced to the maximum extent possible at each site in order to minimize the need for fill and for spoil disposal. - Soil and temporary spoil piles should be covered or sprayed if generating dust. Piles that are not going to be used in the shortterm should be allowed to develop vegetation cover. - Construction Waste Management - Domestic Waste Management - Roads and Infrastructure Impacts Solid wastes generated from construction activities should not be haphazardly left around construction sites: - Construction waste will be contained in a designated area on each site (tower site, substation or substation access road). - Wastes will be routinely collected and disposed of at licensed waste disposal facilities. - Temporary worker camps will be required to be provided with appropriate sanitation facilities, including water supply, and washing facilities, temporary toilets, and waste containers. - Toilets should either by of a pit type that are at least 20 m from any water body, or porta-potty type. If the latter, toilets should be emptied on a regular or as needed basis, and the effluent disposed of at an approved waste disposal facility. - Worker camp sanitation facilities should developed in consultation with relevant local authorities and has all required local, province and national approvals. - All worker camps should be decommissioned when no longer required and restored to their natural condition. - A survey will be done at the commencement of the Project to determine the initial condition of such assets and infrastructure. - Any damaged infrastructure will be repaired to at least the same Location HVTL Alignments, substations HVTL Alignments, substations Worker Camps Roads adjacent to HVTL Alignments, Estimated Responsibility Cost Implementation Supervision Included in EPC cost estimate. Included in EPC cost estimate. Included in EPC cost estimate. Included in EPC cost estimate. Construction contractor Construction contractor Construction contractor Construction contractor Construction contractor Construction contractor Construction contractor SESCO UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN SESCO

92 Project Phase / Potential Environmental Impacts - Encroachment into Protected Forests, Hunting, Wood Collection - Occupational Health and Safety Proposed Mitigation Measures Location standard and condition on completion of the Project. substations - Hunting, extraction by workers of forest products such as firewood, and keeping of firearms on the Project, will be prohibited. - In addition, Protection Forests and other sensitive areas will be designated no go areas, and will be strictly off limit for all workers. Prior to the commencement of civil works a construction phase Occupational Health and Safety Plan (OHSP) will be developed. The OHSP should: - identify and minimize, so far as reasonably practicable, the causes of potential hazards to workers, including communicable diseases such as HIV/AIDs and vector borne diseases; - provide preventive and protective measures, including modification, substitution, or elimination of hazardous conditions, with particular attention to live power lines, working at height, EMFs, and exposure to chemicals; - provide measures for the management and appropriate disposal of hazardous wastes to ensure protection of the workforce and the prevention and control of releases and accidents; - provide for the provision of appropriate personal protective equipment (PPE) to minimize risks; - provide training for workers, and establish appropriate incentives to use and comply with health and safety procedures and utilize PPE; - include procedures for documenting and reporting occupational accidents, diseases, and incidents; and - include emergency prevention, preparedness, and response arrangements in place. HVTL Alignments, and: - Gunung Condong, West Kalimantan - Limestone hills area south of Bau (proposed Dorek Krian National Park), Sarawak HVTL Alignments, substations Estimated Responsibility Cost Implementation Supervision Included in EPC cost estimate. Included in EPC cost estimate. Construction contractor Construction contractor Construction contractor Construction contractor Construction contractor UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN

93 Project Phase / Potential Environmental Impacts - Community Health and Safety Proposed Mitigation Measures Prior to the commencement of civil works a construction phase Community Health and Safety Plan (CHSP) will be developed. The CHSP should include: - procedures to identify and minimize, so far as reasonably practicable, the causes of potential Project related hazards to local communities, including communicable diseases such as HIV/AIDs and vector borne diseases; - specific emergency response procedures; - emergency contacts and communication systems / protocols; - procedures for interaction with local and regional emergency and health authorities; - emergency equipment and facilities (e.g. first aid stations, fire extinguishers/hoses, sprinkler systems); - protocols for fire truck, ambulance and other emergency vehicle services; - evacuation routes and meeting points; and, - drills. - Employment Opportunities - Communicate about employment opportunities on a regular basis and demonstrate the efforts being made to accommodate as many people as possible. - Be clear about the limited scale and communicate this limitation during the meetings - Ensure transparent process of giving jobs. Give priority to people with cumulative impacts as well as vulnerable families (with small land holdings) - Design a social investment strategy for developing skill level to increase employability of the Project impacted families - Physical Cultural Resources A chance find procedure will be in place: - If physical cultural resources are encountered during the construction phase, all works at the find site should be immediately halted. - The find should be assessed by a competent expert, and procedures to avoid, minimize or mitigate impacts to the physical cultural resources should be developed by the expert in cooperation with the relevant local heritage authority, proportionate to the value of the resource in question and the nature and scale of the Project s potential adverse impacts on it. - Work should not begin until the procedures to avoid, minimize or mitigate impacts to the physical cultural resources have been implemented. - Where avoidance is not feasible, no alternatives to removal exist, Location HVTL Alignments, substations HVTL Alignments, substations HVTL Alignments, substations Estimated Responsibility Cost Implementation Supervision Included in EPC cost Construction SESCO estimate. contractor Included in EPC cost estimate. Included in EPC cost estimate. Construction contractor Construction contractor Construction contractor Construction contractor Construction contractor UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN

94 Project Phase / Potential Environmental Impacts Proposed Mitigation Measures and the Project benefits outweigh the anticipated cultural heritage loss from removal, the physical cultural resource should be removed and preserved according to the best available technique. - Any removal should be conducted in accordance with relevant provisions of national and/or local laws. - Records should be maintained of all finds, including chain of custody instructions for movable finds. - All Project workers and staff should be made aware of the chancefind procedure. Location Estimated Responsibility Cost Implementation Supervision 3. Operation Phase Impacts and Mitigation Measures - Electrical and Magnetic Fields - Monitor to ensure EMFs are within national and international standards/guidelines (see EMoP) - Noise - High noise operations enclosed in noise-proofed buildings that effectively contain the noise. HVTL Alignments, substations Substations Included in EPC cost estimate. Included in EPC cost estimate. See EMoP Construction contractor See EMoP SESCO - Contamination of Soil and Water The design of the substations will incorporate international standard for Substations the containment of oil spills and hazardous materials: - Transformers and equipment selected will meet international standards, and will be routinely maintained. - PCBs will not be used in transformers and other electrical equipment. - Areas around substation transformers and areas where oils, fuels and hazardous wastes are stored will be encased in an impervious bund capable of holding 150% of oils, fuels and hazardous wastes in that area. - Discharge from these bunds and other areas with the potential to be oil contaminated will be directed to oil-water separators. - Any oil contaminated material will be disposed of at a proper waste disposal site approved as required by local, state and national authorities. - An emergency spill response plan will be established and staff will be trained on spill response procedures. Included in EPC cost estimate. Construction contractor Construction contractor Construction contractor UIP Ring Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN

95 Project Phase / Potential Environmental Impacts Proposed Mitigation Measures - Vegetation Management - Vegetation removal will only be allowed within the designated width of the RoW; - vegetation cutting within the RoW will be undertaken only to achieve the required clearances; - tree removal and trimming will only be undertaken by hand tools, including chain saws; and - the use of herbicides will be strictly prohibited. - Restriction on Development in RoW - Fragmentation of Land Use - Payment of compensation to affected people during the LARAP processes - Siting HVTL alignment is sited so as to avoid, as far as practicable, such fragmentation by following existing roads and boundaries and avoiding cutting across individual land use plots. - Increased Access - No permanent access roads to RoW. - Any temporary access roads to be decommissioned and restored to natural; conditions once construction has been completed. Location HVTL Alignment RoW HVTL Alignment RoW Estimated Responsibility Cost Implementation Supervision Included in EPC cost SESCO estimate. Included in EPC cost estimate. HVTL Alignment Included in EPC cost estimate. HVTL Alignment Included in EPC cost estimate. SESCO maintenance contractor and/or staff Maintenance contractor and/or staff SESCO maintenance contractor and/or staff Maintenance contractor and/or staff SESCO maintenance contractor and/or staff Maintenance contractor and/or staff SESCO maintenance contractor and/or staff Maintenance contractor and/or staff PLN Regional Office, Pontianak SESCO PLN Regional Office, Pontianak SESCO PLN Regional Office, Pontianak SESCO PLN Regional Office, Pontianak

96 Project Phase / Potential Environmental Impacts Proposed Mitigation Measures - Health and Safety - Operation phase OHS and CHS plans developed, including, but not be limited to: o Live power lines o Working at height o Electric and magnetic fields o Exposure to chemicals o Emergency procedures for spills, fire, evacuation, and natural disaster; and o Community safety. - Towers to be fitted with anti-climbing devices and substations will have a security fence and full-time security personnel on site. - Substations to be equipped with fire suppression systems and, as noted above, emergency response plans to be developed. - Avian Collisions - Monitoring will include asking local people and maintenance personnel to report occurrences of dead birds or other dead animals under the line. - If a location is to be identified with a frequent occurrence, then action will be taken which following investigation could include installing line markers to reduce the incidence. Location HVTL Alignments, substations HVTL Alignments Estimated Responsibility Cost Implementation Supervision Included in EPC cost SESCO estimate. Included in EPC cost estimate. SESCO maintenance contractor and/or staff Maintenance contractor and/or staff SESCO maintenance contractor and/or staff Maintenance contractor and/or staff PLN Regional Office, Pontianak SESCO PLN Regional Office, Pontianak

97 Table 9.2: Environmental Monitoring Plan (EMoP) Aspects to be Monitored Responsibilities Location Means of Monitoring Frequency Mitigation Implementation Compliance Monitoring 1. Preconstruction Phase / Siting EMP incorporation into detailed Project design - Detailed substation design - Detailed tower design - Ensure design detailed incorporates required mitigations and good international practice. - Once, during preconstruction phase SESCO / Detailed design contractor Environmental Consultants Overall Project siting - Gunung Condong, West Kalimantan - Limestone hills area south of Bau (proposed Dorek Krian National Park), Sarawak - Houses and schools along RoW - Ensure that final alignment avoids sensitive locations to maximum extent possible Tower siting - RoW - Ensure towers not located on slopes > 30 o where practical, - Ensure design on slopes < 30 o Permitting - Substations, towers, RoW the use of hill extensions and other good construction practices. - Ensure that all necessary environmental permits have been obtained. - Once, during preconstruction phase - Once, during preconstruction phase - Once, during preconstruction phase UIP Ring Sumatera II, PLN / Detailed design contractor SESCO / Detailed design contractor UIP Ring Sumatera II, PLN / Detailed design contractor Sumatera II, PLN SESCO / Detailed design contractor UIP Ring Sumatera II, PLN / Detailed design contractor Sumatera II, PLN SESCO UIP Ring Sumatera II, PLN Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants

98 Aspects to be Monitored 2. Construction Phase Responsibilities Location Means of Monitoring Frequency Mitigation Implementation Compliance Monitoring Vegetation Clearing - RoW - Ensure that vegetation removal mitigations are implemented - Monthly during vegetation clearing period Construction Contractors Environmental Consultants Drainage - Substation sites - Ensure drainage plans implemented - Monthly during substation construction Construction Contractors Construction Contractors Environmental Consultants Environmental Consultants Soil erosion - Tower sites - Substation sites Acid Sulphate Soils - Tower sites, - Substation sites Water Quality - Construction sites, storage areas Air Quality - Construction sites, storage areas Waste Management - Construction sites and worker camps - Ensure soil erosion control measures applied - Monitor effectiveness of soil erosion control measures Construction Contractors - Monthly during construction Construction Contractors Construction Contractors - Check for presence of potentially acid forming soils at construction sites - Monthly during construction Construction Contractors - If encountered, ensure mitigations are implemented Construction Contractors - Ensure mitigation measures are in place with respect to oil, fuel and other hazardous materials storage, handling, disposal; and fueling and maintenance of equipment - Ensure mitigation measures with respect to dust control, truck cleaning, load covering, and soil and spoil pile management are in place - Ensure construction and domestic waste management collection, storage and disposal mitigations - Monthly during construction Construction Contractors Construction Contractors - Monthly during construction Construction Contractors Construction Contractors - Monthly during construction Construction Contractors Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants

99 Aspects to be Monitored Roads and Infrastructure Responsibilities Location Means of Monitoring Frequency Mitigation Implementation Compliance Monitoring are in place. Construction Contractors Environmental Consultants - Construction site, site - Ensure any damage does is access roads, relevant documented and repaired district roads Encroachment - Gunung Condong, West Kalimantan - Limestone hills area south of Bau (proposed Dorek Krian National Park), Sarawak - Areas adjacent to RoW Occupational and Community Heath and Safety Employment Opportunities Physical Cultural Resources - Construction sites and worker camps - Ensure no hunting or firewood collection is undertaken by workers, and that Protection Forests and other sensitive areas are no go for workers - Ensure construction phase OHS and CHS have been develop and are being implemented - Construction sites - Ensure good communication and transparent process with local people regarding employment opportunities - Construction sites - Ensure chance find procedure is in place, and being applied if required - Monthly during construction Construction Contractors Construction Contractors - Monthly during construction Construction Contractors Construction Contractors - Monthly during construction Construction Contractors Construction Contractors - Monthly during construction Construction Contractors Construction Contractors - Monthly during construction Construction Contractors Construction Contractors Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants Environmental Consultants

100 Aspects to be Monitored 3. Operation Phase Responsibilities Location Means of Monitoring Frequency Mitigation Implementation Compliance Monitoring Electrical and magnetic fields (EMFs) - RoW - Monitoring to determine if EMFs within national and international standards/guidelines - Once every 5 years SESCO Maintenance contractor and/or staff PLN Regional Office, Pontianak, maintenance contractor and/or staff Environmental consultants in first year of operation phase Environmental consultants in first year of operation phase Vegetation management - RoW - Ensure that vegetation removal mitigations are implemented - Quarterly during operation phase SESCO Maintenance contractor and/or staff PLN Regional Office, Pontianak, maintenance contractor and/or staff Environmental consultants in first year of operation phase Environmental consultants in first year of operation phase Oil, fuel and hazardous materials management - Substation - Ensure mitigation measures are in place with respect to oil, fuel and other hazardous materials storage, handling, disposal; and fueling and maintenance of equipment - Quarterly during operation phase SESCO Maintenance contractor and/or staff PLN Regional Office, Pontianak, maintenance contractor and/or staff Environmental consultants in first year of operation phase Environmental consultants in first year of operation phase Health and Safety - RoW - Ensure operation phase OHS and CHS have been develop and are being implemented - Ensure towers fitted with anticlimbing devices, and substations - Quarterly during operation phase SESCO Maintenance contractor and/or staff Environmental consultants in first year of operation phase

101 Aspects to be Monitored Responsibilities Location Means of Monitoring Frequency Mitigation Implementation Compliance Monitoring fitted with security fences PLN Regional Office, Pontianak, maintenance Environmental consultants contractor and/or staff in first year of operation phase Bird collision RoW - Monitor bird collision occurrences - Quarterly during operation phase SESCO Maintenance contractor and/or staff PLN Regional Office, Pontianak, maintenance contractor and/or staff Environmental consultants in first year of operation phase Environmental consultants in first year of operation phase Notes: 1. Monitoring of land acquisition and compensation will be undertaken through the LARAP processes. 2. EMoP cost is under Environmental Monitoring (National Consultants) in Tables 9.3 and 9.4.

102 Table 9.3: Estimated Environmental Budget Sarawak. Based on 12 month construction period, and one ½ month of monitoring activities in both preconstruction and operation phases. Item (based on 12 month construction period) Unit Rate $ No $ Capacity Building and Training (National Consultants) Good international environmental construction practices PM $ 5, $ 8,250 Construction phase occupational and community health and safety PM $ 5, $ 8,250 Occupational phase occupational and community health and safety PM $ 5, $ 8,250 Per diems - assumes 50% in field PM $ 1, $ 5,400 Environmental Monitoring (National Consultants) Environmental monitoring specialist PM $ 5, $ 71,500 Per diems - assumes 50% in field PM $ 1, $ 7,800 Vehicle hire - assumes 50% in the field Month $ 1, $ 9,750 Equipment GPS, EMF Monitor lump sum $ 2,000 $ 2,000 Permitting Obtaining local permits in each country lump sum $ 15,000 $ 15,000 Sub-total $ 136,200 Contingencies & escalation 15% $ 20,430 TOTAL $ 156,630

103 Table 9.4: Estimated Environmental Budget West Kalimantan. Based on 24 month construction period, and one month of monitoring activities in both preconstruction and operation phases. Item Unit Rate $ No $ Capacity Building and Training (National Consultants) Good international environmental construction practices PM $ 3,500 2 $ 7,000 Construction phase occupational and community health and safety PM $ 3,500 2 $ 7,000 Occupational phase occupational and community health and safety PM $ 3,500 2 $ 7,000 Per Diems PM $ 1,500 6 $ 9,000 Environmental Monitoring (National Consultants) Environmental monitoring specialist PM $ 3, $ 91,000 Per diems - assumes 50% in field PM $ 1, $ 15,600 Vehicle hire - assumes 50% in the field Month $ 1, $ 19,500 Equipment GPS, EMF Monitor lump sum $ 2,000 $ 2,000 Permitting Obtaining local permits in each country lump sum $ 30,000 $ 30,000 Sub-total $ 188,100 Contingencies & escalation 15% $ 28,215 TOTAL $ 216,315 Other Land acquisition and compensation - see LARAPs

104 249. National environmental management capacity building consultants will be recruited in both locations to provide training to IAs and contractors on good international environmental construction practices, implementation of the EMP, and environmental monitoring. Two person-months of consulting time are allocated to this in West Kalimantan, and 1.5 person-months in Sarawak National health and safety consultants will also be recruited in both locations to develop, and provide training on construction and operation phase occupational and community health and safety plans. These inputs will be delivered initially prior to the start of construction, and subsequently prior to the start of operation. A total of 4.0 person-months of consulting time are allocated to this in West Kalimantan, and 3.0 person-months in Sarawak The IA in each country, PT PLN (Persero) in Indonesia and SESCO in Sarawak, will have overall responsibility for the implementation of the Project including planning, design, construction and operation, and for the implementation of environmental management, mitigation and monitoring measures contained within the EMP Each IA will recruit a construction contractor who will be responsible for detailed design and construction. The IAs will ensure that the EMP requirements are incorporated into the contracts. Each contactor will be responsible for preparing a Construction Environmental Management Plan (CEMP), which lays out the means by which the contactor will implement and comply with the EMP A Project Implementation Consultant (PIC) will be recruited in each location to assist the IAs in overall Project management and to ensure construction quality. Environmental capacity building consultants will be recruited as part of the PIC, and will be responsible for providing training on good international environmental construction practices and implementation of the EMP. Health and safety consultants will also be recruited in both locations to develop, and provide training on, construction and operation phase occupational and community health and safety plans In addition, separate environmental monitoring consultants independent from the PIC will be recruited by each EA, and will be responsible for implementing the EMoP and assisting the IAs in environmental reporting UIP Ring Sumatra II, located in Palembang South Sumatera, will have overall responsibility for management of the HVTL construction activities within West Kalimantan. Within UIP Ring Sumatera II, UPK Kalimantan IV, located in Pontianak, West Kalimantan, and specifically the UPK Kalimantan IV Project Manager, will have day to day responsibility for Project construction and overseeing environmental monitoring and management PT PLN (Persero) Head Office will recruit a construction contractor who will be responsible for detailed design and construction. UIP Ring Sumatra II will ensure that the EMP requirements are incorporated into the construction contracts. The contactor will be responsible for preparing a CEMP PT PLN (Persero) Head Office will also recruit the PIC consultants. The PIC consultants will assist UPK Kalimantan IV with day to day project management, and will provide the environment and health and safety training and capacity building consultants. Environmental monitoring consultants will be recruited by UIP Ring Sumatra II independently of the PIC, and will implement the EMoP and assist UIP Ring Sumatera II with environmental reporting (Figure 9.1) 258. Once construction is completed the responsibility for operation of the Project including operation phase mitigation implementation and monitoring will be handed over to the PLN (Persero) West Kalimantan Regional Office (Figure 9.2).

105 Figure 9.1: Environmental Management and Reporting, Construction Phase, West Kalimantan Figure 9.2: Environmental Management and Reporting, Operation Phase, West Kalimantan

106 259. The detailed design of the Project and exact alignment of the transmission line will be undertaken by the SESCO Transmission Projects Department together with contract surveyors. This will include responsibility for adjusting the line to avoid houses, which the manager of the transmission engineering department advises is standard practice for SESCO (it is expected that there will be no houses directly affected by the Project) SESCO will recruit a construction contractor who will be responsible for any remaining detailed design, and the Project construction. SESCO will ensure that the EMP requirements are incorporated into the construction contracts. The contactor will be responsible for preparing a CEMP SESCO will also recruit the PIC consultants. The PIC consultants will assist SESCO with day to day project management, and will provide the environment and health and safety training and capacity building consultants. Environmental monitoring consultants will be recruited by SESCO independently of the PIC, and will implement the EMoP and assist SESCO s environment division with environmental reporting. SESCO has an Environment Division, within which there are three departments with a total of 14 staff. These are: EIA (two staff); Environmental Operations (four staff in headquarters, plus three based on site at Batang Ai hydropower project); and Dam Safety Surveillance (two staff in headquarters, plus three based on site at Batang Ai hydropower project). SESCO has an environmental management system accredited under ISO14001, mainly for managing activities in power stations. It is expected that the environmental monitoring consultants will establish a close working relationship with the Environment Division of SESCO Once construction is completed SESCO will assume responsibility for operation of the Project including operation phase mitigation implementation and monitoring..

107 263. This report has been prepared based on field work; agency consultations; alignment, geotechnical and other surveys; data collected from a variety of government and academic sources; public and stakeholder consultations; a Rapid Environmental Assessment (REA) checklist used for environmental categorization; a draft AMDAL report for the 275 kv HVTL in West Kalimantan; and approved UKL/UPL reports for the 150 kv HVTLs. As a result of this process a thorough assessment has been undertaken of the key potential impacts attributable to the construction and operation of the proposed Project. Alternatives to the Project and to key design aspects were also examined The Project was initially classified by ADB as Category B, requiring the preparation of an IEE, the subject of this report. This IEE confirms the environmental categorization, and is considered adequate to meet ADB environmental assessment requirements; no further environmental assessment is required The proposed Project will connect the power supply systems of Sarawak and West Kalimantan, improving the reliability of the electrical supply in West Kalimantan and reducing the reliance on existing and proposed power generation based on fossil fuel sources. Electricity imported from Sarawak will be substantially from hydropower and will have lower carbon emissions than the alternative of developing fossil fuel based electricity generation, which is the main alternative in West Kalimantan. The 150kV HVTLs to Ngabang and Tayan will also bring access to electricity for hundreds of thousands of households across West Kalimantan The overall HVTL corridor (275 and 150 HVTLs) is characterized by flat to moderately hilly topography; scattered villages and associated small farms; a heavily modified rural landscape dominated by gardens, plantations, and shifting cultivation; a limited number of secondary urban centers; and patchy secondary scrub and forest growth and a near total absence of primary forest. Impacts will be limited to areas of cultivation and secondary growth already affected by human presence. The HVTL alignment has been planned adjacent to existing roads as much as possible so as to further limit potential effects on the limited remaining natural primary environments in the broader Project area Preconstruction phase impacts are primarily related to the Project siting, including alignment of the HVTLs and siting of the substations. Careful routing of the HVTL will ensure that the final alignment avoids to the maximum extent possible sensitive ecosystems such as parks and protected forests; other sensitive locations such as houses and schools; and areas with high concentrations of high values economic trees, such as palm oil plantations. As a result of the routing there will be no requirement to relocate houses or other significant structures. Separate processes are underway to assess the impacts of land acquisition, including preparation of Social Impact Assessments (SIA) and Land Acquisition and Resettlement Action Plans (LARAPs) for each of the Projects major components in Sarawak and West Kalimantan. Land acquisition will only be carried out after the preparation of inventories of land area, status, ownership, land class and expected losses. Compensation will be implemented by negotiation, based on the standards of land price stipulated by the local government and market price, and in accordance with ADB, Indonesian and Malaysian requirements Construction phase impact are associated with vegetation clearing, soil erosion, drainage, impacts on water and air quality, management of wastes, impacts on infrastructure, hunting and fuel wood collection by workers, and occupational and community health and safety. Most impacts can be mitigated through the use of good international construction practices such as limiting vegetation removal, erosion control, provision of site drainage, appropriate management of fuels, oils and hazardous materials, dust control, waste management, and the development and implementation of occupational and community health and safety plans.

108 269. In West Kalimantan the main issue will be associated with procurement of land for the Bengkayang, Ngabang and Tayan substations and for tower sites. Agriculture is the principal occupation of the region s inhabitants; however, impacts from the HVTLs and substations should be minimal, and will be compensated through the above noted SIA and LARAP processes. There are no protected areas, primary forest, wetlands, peatlands, swamp forest, mangroves, estuarine areas, areas identified as having special ecological significance, or identified cultural heritage sites affected by the HVTL alignment. The route passes at closet approximately 500 m from the Gunung Condong Protection Forests; however it will be designated a no go areas, and will be strictly off limit for all workers In Sarawak land will also be acquired for tower sites, but not for the substation as the existing Mambong station has area available for expansion. The 275 kv HVTL will pass within 0.5 to 2 km of some relatively intact forests area in the Bau area. However, the location of the HVTL in this area is in an area of farming, shifting cultivation and secondary vegetation and not through the intact forest where the park might be established. Thus, the Project is not expected to have a significant negative impact on these intact forests or the proposed Dorek Krian National Park. Nonetheless, SESCO will develop good communication with the Natural Resources Department during the detailed design of the HVTL route to ensure there is no potential for impact upon the proposed Park. In addition, these forest areas will be identified as no go areas Issues related to Project operation include EMFs and management of hazardous wastes at substations. Again, with the implementation of good international practices impacts can be effectively mitigated A comprehensive EMP has been developed which includes good international construction and operation phase mitigation measures; a rigorous environmental monitoring and reporting plan with corrective actions if required; development and implementation of occupational and community health and safety plans; and training and capacity building. With a 15% contingency the total EMP budget is $156,630 in Sarawak and $216,315 in West Kalimantan. It should be noted that costs for many of the EMP mitigation measures are included in the EPC contract cost estimates, and are thus not included in the EMP budget. A Project Grievance Redress Mechanism has also been developed Based on the analysis conducted in this assessment it is concluded that overall the Project will result in significant positive socioeconomic benefits, and those potential negative environmental impacts that have been identified are small-scale and localized, and can be minimized adequately through good design and the appropriate application of mitigation measures. It is therefore recommended that the Project be supported by ADB, subject to the implementation of the commitments contained in the EMP and allocation of appropriate technical, financial and human resources by IAs to ensure these commitments are effectively and expediently implemented.

109 INDONESIA West Kalimantan 1. Badan Nasional Penanggulangan Bencana, 2010a. Peta Zonasi Ancaman Bencana Gempabumi di Indonesia Badan Nasional Penanggulangan Bencana, 2010b. Peta Zonasi Ancaman Bencana Banjir di Indonesia update tahun Badan Nasional Penanggulangan Bencana, 2010c. Peta Zonasi Ancaman Bencana Gunungapi di Indonesia, Lokasi Gunungapi di Indonesia 4. Bengkayang District Statistical office Jagoibabang sub districts in Figures. 5. Bengkayang District Statistical office Ledo sub districts in Figures. 6. Bengkayang District Statistical office Lumar sub districts in Figures. 7. Bengkayang District Statistical office Sangauledo sub districts in Figures. 8. Bengkayang District Statistical office Seluas sub districts in Figures. 9. Bengkayang Regency In Figures Statistical Agency of Bengkayang Regency 10. Bupati Bengkayang Decree No The regulation of compensation of vegetation in Bengkayang District. 11. Climatological data of Paloh, Sambas Regency Record data from Pontianak Meteorological and Geophysic agency. 12. Decree of State Minister of Environment No 40 year 2000 concerning Guidelines of Examiner Commission of Environmental Impact Assessment. 13. Decree of the Head of Environmental Impact Management Agency (Bapedal) No: 08 year 2000 concerning Public Involvement and disclose of information on Environmental Impact Assessment. 14. Digital Forestry Map (Partial for Bengkayang area). West Kalimantan Forestry Agency. 15. Government of Indonesia Regulation Number 7 Year 1999 on Preservation of Plant and Animal Species. 16. Government of Indonesia Regulation No 27 Year 1999 concerning Environmental Impact Assessment. 17. Kecamatan Balai Dalam Angka 2009, Badan Pusat Statistik Kabupaten Sanggau. 18. Kecamatan Bengkayang Dalam Angka Tahun 2010 Badan Pusat Statistik Kabupaten Bengkayang. 19. Kecamatan Jelimpo Dalam Angka 2010, Badan Pusat Statistik Kabupaten Landak. 20. Kecamatan Ngabang Dalam Angka 2010, Badan Pusat Statistik Kabupaten Landak. 21. Kecamatan Tayan Hilir Dalam Angka 2009, Badan Pusat Statistik Kabupaten Sanggau. 22. Law Number 32, Year 2009, on Protection and Management of the Environment. 23. Peraturan Presiden Nomor 36 Tahun 2005 tentang Pengadaan Tanah Bagi Pelaksanaan Pembangunan untuk Kepentingan Umum.

110 24. Peraturan Presiden Nomor 65 Tahun 2006 tentang Perubahan Atas Peraturan Presiden Nomor 36 Tahun 2005 tentang Pengadaan Tanah Bagi Pelaksanaan Pembangunan untuk Kepentingan Umum. 25. PT. PLN (Persero) 2009, Deskripsi BM Rencana Tower, PT. PLN (Persero) 2010, Laporan Akhir Survey Jalur dan Penyelidikan Tanah SUTT 150 kv Bengkayang Ngabang. 27. PT.PLN Persero Studi Analisis Mengenai Dampak Lingkungan Saluran Udara Tegangan Ekstra Tinggi 275kV Bengkayang-Perbatasan Serawak. 28. PT.PLN Persero Upaya Pengelolaan Lingkungan dan Upaya Pemantauan Lingkungan Saluran Udara Tegangan Tinggi 150kV Bengkayang-Ngabang. 29. PT.PLN Persero Upaya Pengelolaan Lingkungan dan Upaya Pemantauan Lingkungan Saluran Udara Tegangan Tinggi 150kV Ngabang-Tayan. 30. Regulation State Minister of Environment No 11 year 2006 concerning Planned activities and or activities obligated to have Environmental Impact Assessment. 31. Rusmana, E. Sutrisno, Langford. R.P, de Keyser, F and Trail D.S Geology of Sambas/Siluas sheet area, Kalimantan. Scale 1: Department of Mines and Energy, Directorate General of Geology and Mineral Resources, Geological Research and Development. 32. SNI Clearance of Transmission High Voltage. 33. SNI Threshold value of Magnetic Field of Transmission High Voltage. 34. SOFRECO, TA 6441-REG Efficiency Improvement and Connectivity Strengthening in Archipelagic Southeast Asia Project (Energy Component), SOFRECO. Social Impact Assessment, West Kalimantan, Indonesia. 35. Supriatna, S. Margono, U, Sutrisno, de Keyser, F and Langford. R.P Geology of Sanggau sheet area, Kalimantan. Scale 1: Department of Mines and Energy, Directorate General of Geology and Mineral Resources, Geological Research and Development. 36. Survey and National Mapping Agency Geographical map of Indonesia. Scale 1: Sheet , Sheet , Sheet , Sheet , Sheet and 1: Survey and National Mapping Agency Geographical map of Indonesia. Scale 1: Sheet 1417, Sheet 1416, Sheet Sutrisno, N Suarna, de Keyser, F, Langford. R.P and Trail D.S Geology of Singkawang sheet area, Kalimantan. Scale 1: Department of Mines and Energy, Directorate General of Geology and Mineral Resources, Geological Research and Development. 39. The AMDAL Process and the Equator Principles: Common themes and apparent differences 1. Dr. Karlheinz Spitz 2 and Dr. Yahya Husin 3 Paper presented in Mining Indonesia 2009 Conference: Unlocking Mineral Potential, Jakarta October Topography Agency of Indonesian Army Scale 1: West Kalimantan. Sheet 10/VI-f and 10/VI-f. 41. TRAFFIC SOUTHEAST ASIA Buku Saku Pedoman Jenis-Jenis Satwa Liar Yang Dilindungi Di Kalimantan (Pocket Book of Protected Wild Animals in Kalimantan). 42. West Kalimantan Forest Department, Forest Zoning along 275 kv and 150 kv HVTL routes, West Kalimantan. 43. West Kalimantan Forest Department, Map of Topography along 275 kv and 150 kv HVTL routes, West Kalimantan. MALAYSIA - Sarawak Endemic Trees: Issue and Chalenges. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 2. Agricultural Statistics of Sarawak Department of Agriculture Sarawak, Malaysia.

111 3. Andriesee, J.P The Soil of West Sarawak (East Malaysia). Soils Survey Division Research Branch. Epartment of Agriculture, Sarawak. 4. Briffett, Clive, Obbard, Jeff and Mackee, Jamie Environmental assessment in Malaysia: a means to an end or a new beginning?. Impact Assessment and Project Appraisal, volume 22, number 3, September 2004, pages , Beech Tree Publishing, 10 Watford Close, Guildford, Surrey GU1 2EP, UK. 5. Cranbrook, Earl of A History of Animal Diversity of the Bau Limestone area. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 6. Department of Statistics Malaysia, Sarawak Yearbook of Statistic Sarawak. 7. Environmental Impact Assessment (EIA) ( Official website of the Department of Environment of the Ministry of Natural Resources and Environment, Malaysia Environmental Quality Act 1974 (Act 127). 9. Hazebroek, HP and Abang Kashim bin Abang Morshidi National Parks of Sarawak. Natural History Publications (Borneo). (Ch 2: Sarawak s Physical Environment: Climate, Geology and Soils). 10. Jabatan Alam Sekitar, Department of Environment, Ministry of Science, Technology and Environment, Malaysia. October Guidelines for Prevention and Control of Soil Erosion and Siltation in Malaysia. 11. Kalu, Meekiong, Tan.S, Lai. J Trees of The Limestone Summits. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 12. Kalu, Meekiong Orchids. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 13. Karin, Catherine, Tuen, A.A and Abdullah, M.T Mammals. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 14. Kheng, Sim Lee, Kong. D Avifauna. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 15. Kiew, Ruth, Geri. C, Sang, J. and Boyce. P.C. The Understorey Flora. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 16. Laws of Sarawak. Chapter 59. Sarawak Electricity Supply Corporation (Successor Company) Ordinance Incorporating all amendment up to 30 th November Prepared and published by the Commissioner of Law Revision, Sarawak. 17. Lee, Eileen Yen Ee Inventory of Flora and fauna at the Bau Limestone Area, Sarawak. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 18. Lee. Ch ien C Nephenthes. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 19. Malaysia Department of Environment Environmental Impact Assessment Guidelines for Thermal Power Generation and Transmission Projects. 20. Michael Leigh Mapping the peoples of Sarawak. Institute of East Asian Studies. Unit Penerbitan University Malaysia, Sarawak. 21. Naming, Margarita, Das Indraneil Herpefauna. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 22. Natural Resources and Environment Board A Handbook of the Policy and Basic Procedure of Environmental Impact Assessment (EIA) in Sarawak. Wisma Sumber Alam Petrajaya Kuching, Sarawak, Malaysia. 23. Ng. Francis. S.P Endemic Trees: Issue and Chalenges. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 24. NREB A Handbook of the Policy and Basic Procedure for Environmental Impact Assessment (EIA) in Sarawak. Natural Resources and Environment Board. 27 January Poulsen, Axel Dalberg, Geri, C, Kalu, M, Roos, M Zingiberaceae and Maranthaceae. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department.

112 26. Rahman, M.A., Fong, D.P.H, Jowsip, J.B, Pandong, J.J.G, Hazali, R. and Marni, W Diversity and abundance of understorey Avifauna. The Sarawak Museum Journal. Vol. LIX No. 80 New series. Sarawak Museum Department. 27. Said, Sanib The History of Where do we begin?. Culture in the new reality. Sarawak Museum Journal. Vol. LIV No. 75 New series. Sarawak Museum Department. 28. Sarawak Energy, Social Impact Assessment, Proposed State Transmission Land Corridor Development for Proposed Sarawak-West Kalimantan 275 kv Tranmission Interconnection for Mambong-Benkayang, April Sarawak L.N The Electricity Ordinance, The Electricity (State grid code) Rules, The Sarawak Government Gazette Part II. Vo.LVIII 12 th Dec, 2003 No Sarawak L.N. 84. The Electricity Ordinance, The Electricity Rules, The Sarawak Government Gazette Part II. Vo.LIV 11 th Nov, 1999 No The Natural Resources And Environment Ordinance (Cap Laws Of Sarawak, 1958 Ed.) The Natural Resources And Environment incorporating all amendments up to 31 st August Ung CLM, Personal communication with Dr Charles Leh Moi Ung, Deputy Head of Sarawak Museum, 25 May Vermeulen, J, Whitten.T Biodiversity and cultural property in the management of limestone resources.the World bank. Washington DC. 34. Wilford, G.E The Geology and Mineral Resources of the Kuching-Lundu Area, West Sarawak including Bau Mining District. F.W. Lane, Government Printer. ADB 1. Environmental Assessment Guidelines. Asian Development Bank Safeguard Policy Statement. Policy Paper. Asian Development Bank. June OTHER 1. IUCN Guidelines for using the IUCN Red List Categories and Criteria. Version 7.0 (August 2008). 2. IUCN IUCN Red list of threatened species. Version

113 Rapid Environmental Assessment (REA) Checklist - Power Instructions: (i) The project team completes this checklist to support the environmental classification of a project. It is to be attached to the environmental categorization form and submitted to Environment and Safeguards Division (RSES) for endorsement by Director, RSES and for approval by the Chief Compliance Officer. (ii) This checklist focuses on environmental issues and concerns. To ensure that social dimensions are adequately considered, refer also to ADB's (a) checklists on involuntary resettlement and Indigenous Peoples; (b) poverty reduction handbook; (c) staff guide to consultation and participation; and (d) gender checklists. (iii) Answer the questions assuming the without mitigation case. The purpose is to identify potential impacts. Use the remarks section to discuss any anticipated mitigation measures. Country/Project Title: RETA: Efficiency Improvement and Connectivity Strengthening in Archipelagic Southeast Asia Project (Energy Component): West Kalimantan Sarawak 275 kv Interconnection Project Sector Division: Energy Division, Southeast Asia Department (SEEN) Screening Questions Yes No Remarks A. Project siting Is the project area adjacent to or within any of the following environmentally sensitive areas? Cultural heritage site There are no cultural heritage sites within or close to the RoW. The nearest cultural heritage site to the RoW is more than 10 km away in West Kalimantan and 3 km in Sarawak.

114 Screening Questions Yes No Remarks Protected area The Project is not expected to have a negative impact on protected areas. HVTL alignment has been fine tuned to avoid to the maximum extent possible sensitive ecosystems. There are no protected areas, primary forest, wetlands, peatlands, swamp forest, mangroves, estuarine areas, areas identified as having special ecological significance within the HVTL alignment. Wetland Mangrove Estuarine Buffer zone of protected area Special area for protecting biodiversity B. Potential environmental impacts Will the project cause The closest protected forest to the 275 kv HVTL in Kalimantan is 2 km, while a small protected forest is at closest 500 to 800 m from the 150 kv HVTL alignment. In Sarawak the 275 kv HVTL will pass within 0.5 to 2 km of some relatively intact forests area in the Bau area. However, the RoW in that area is in an area of farming, shifting cultivation and secondary vegetation and not through the intact forest. There are some scattered and insignificant (less than 200 m 2 in acreage) wetlands in the general project area, but they will not be affected. None present (30-80 km away) None present (30-80 km away) The Project is not expected to have a negative impact on protected areas, including buffer. HVTL alignment has been fine tuned to avoid to the maximum extent possible sensitive ecosystems. There are no protected areas, primary forest, wetlands, peatlands, swamp forest, mangroves, estuarine areas, areas identified as having special ecological significance within the HVTL alignment. The closest protected forest to the 275 kv HVTL in Kalimantan is 2 km, while a small protected forest is at closest 500 to 800 m from the 150 kv HVTL alignment. In Sarawak the 275 kv HVTL will pass within 0.5 to 2 km of some relatively intact forests area in the Bau area. However, the RoW in that area in an area of farming, shifting cultivation and secondary vegetation. There are no protected areas, primary forest, wetlands, peatlands, swamp forest, mangroves, estuarine areas, areas identified as having special ecological significance within the HVTL alignment. Where the alignment does come within 0.5 to 10 km of protected forests (see above), these areas will be no-entry zones for workers.

115 Screening Questions Yes No Remarks encroachment on historical/cultural areas, disfiguration of landscape and increased waste generation? encroachment on precious ecosystem (e.g. sensitive or protected areas)? alteration of surface water hydrology of waterways crossed by roads and resulting in increased sediment in streams affected by increased soil erosion at the construction site? damage to sensitive coastal/marine habitats by construction of submarine cables? There are no cultural heritage sites within or close to the RoW. The nearest cultural heritage site to the RoW is more than 10 km away in West Kalimantan and 3 km in Sarawak. However, the HVTL will be visible. It has been carefully routed to ensure that final alignment avoids skylines and sensitive locations such as houses and schools. Waste generated during construction and maintenance period is mainly inert construction waste and domestic waste from worker facilities. Solid waste will be disposed of at designated waste disposal areas agreed with local authorities. HVTL alignment has been fine tuned to avoid to the maximum extent possible sensitive ecosystems. There are no protected areas, primary forest, wetlands, peatlands, swamp forest, mangroves, estuarine areas, or areas identified as having special ecological significance within the HVTL alignment. The project generally involves small construction sites (e.g. tower bases) that are widely scattered. Soil erosion mitigation measures in accordance with good international construction practices will be incorporated in project design and construction. For example, avoiding locating towers on slopes steeper than 30 degrees where practical, and use of hill extensions on towers on slopes. Very few roads will be created, and these will be very short to access substations. No hydrological impacts are anticipated. With respect to river crossings, to avoid hydrological impacts, erosion, etc, towers and other works will be located at least 40 m from the top of river banks. Towers will also be located so as to avoid affecting flood flows through any narrow off-stream channels. Not applicable, no construction in or near coastal/marine habitats deterioration of surface water quality due to silt runoff, sanitary wastes from worker-based camps and chemicals used in construction? Soil erosion mitigation measures designed in accordance with good international construction practices will be incorporated in project design and construction. To protect against impacts on water quality arising from spillage of oil, fuel and other hazardous materials, good international practices will be adopted relating to fuel, oil and hazardous materials storage; machinery fueling and maintenance; and storage and off site disposal. Herbicides will not be used in the Project. Domestic and construction wastes will be routinely collected and disposed of at licensed waste disposal facilities.

116 Screening Questions Yes No Remarks increased local air pollution due to rock crushing, cutting and filling? Not significant. Only small scale scattered activities. risks and vulnerabilities related to occupational health and safety due to physical, chemical, biological, and radiological hazards during project construction and operation? chemical pollution resulting from chemical clearing of vegetation for construction site? To minimize potential risks an Occupational Health and Safety Plan (OHSP) will be developed and implemented. No chemicals will be used for clearing of vegetation for the construction site or the RoW. noise and vibration due to blasting and other civil works? There will be little such vibration and noise as civil works are limited and scattered, and no blasting activities are anticipated. dislocation or involuntary resettlement of people? disproportionate impacts on the poor, women and children, Indigenous Peoples or other vulnerable groups? The HVTL will be aligned so as to avoid houses and buildings. There will be no requirement to relocate people, houses or other significant structures. Unlikely, though this will be assessed through a separate social impact assessment process. social conflicts relating to inconveniences in living conditions where construction interferes with preexisting roads? hazardous driving conditions where construction interferes with pre-existing roads? creation of temporary breeding habitats for vectors of disease such as mosquitoes and rodents? dislocation and compulsory resettlement of people living in right-of-way of the power transmission lines? environmental disturbances associated with the maintenance of lines (e.g. routine control of vegetative height under the lines)? Road closures are not anticipated to be necessary. Construction activities and the transport of materials including aggregate may cause some damage to roads and other local infrastructure. Any damaged infrastructure will be repaired to at least the same standard and condition on completion of the Project. A survey will be done at the commencement of the Project to determine the initial condition of such infrastructure. Existing access roads are suitable for construction activities, and no hazardous driving conditions are anticipated. All delivery vehicles will be required to confirm with Indonesian and Malaysian traffic regulations International good construction practices will be implemented. Areas of ground disturbance will be restored to prevent creation of ponds and mosquito breeding areas. The HVTL will be aligned so as to avoid houses and buildings. There will be no requirement to relocate people, houses or other significant structures. There will need to be ongoing maintenance of trees and tall vegetation within the RoW to maintain the necessary conductor clearance. Mitigation measures to minimize associated disturbances include: vegetation removal will only be allowed within the designated width of the RoW; vegetation cutting within the RoW will be undertaken only to achieve the required clearances; tree removal and trimming will only be undertaken by hand tools, including chain saws; and the use of herbicides will be strictly prohibited.

117 Screening Questions Yes No Remarks facilitation of access to protected areas in case corridors traverse protected areas? disturbances (e.g. noise and chemical pollutants) if herbicides are used to control vegetative height? The HVTL has been carefully aligned such that Project does not traverse any proteced areas. Herbicides will not be used. large population influx during project construction and operation that cause increased burden on social infrastructure and services (such as water supply and sanitation systems)? social conflicts if workers from other regions or countries are hired? poor sanitation and solid waste disposal in construction camps and work sites, and possible transmission of communicable diseases from workers to local populations? Temporary worker camps will be small, and will be required to be provided with appropriate sanitation facilities, including water supply, and washing facilities, temporary toilets, and waste containers. Worker camp sanitation facilities should developed in consultation with relevant local authorities and has all required local, province and national approvals. Non-transparent allocation of employment opportunities may cause concerns among local communities. To mitigate against this, it will be necessary to i) communicate about employment opportunities on a regular basis and demonstrate the efforts being made to accommodate as many people as possible; ii) be clear about the limited scale and communicate this limitation during the meetings; iii) ensure transparent process of giving jobs, give priority to APs as identified in the LARAPs; and iv) design a social investment strategy for developing skill level to increase employability of the Project impacted families. Temporary worker camps will be required to be provided with appropriate sanitation facilities in accordance with good international practice, including water supply, and washing facilities, temporary toilets, and waste containers. risks to community safety associated with maintenance of lines and related facilities? Risk from HVTL maintenance is very low. Nonetheless, a Community Health and Safety Plan (CHSP) will be developed so as to minmise any potential threats. community health hazards due to electromagnetic fields, land subsidence, lowered groundwater table, and salinization? HVTLS have been carefully routed and substations carefully sited to ensure that final alignment avoids to the maximum extent possible sensitive ecosystems such as parks and protected forests; and other sensitive locations such as houses and schools. The HVTL design follows WHO and IRPA guidelines. In addition, during operation monitoring will be undertaken to ensure EMFs are within national and international standards/guidelines. Land subsidence and lowered groundwater table is not anticipated. No salinization is anticipated.

118 Screening Questions Yes No Remarks risks to community health and safety due to the transport, storage, and use and/or disposal of materials such as explosives, fuel and other chemicals during construction and operation? community safety risks due to both accidental and natural hazards, especially where the structural elements or components of the project (e.g., high voltage wires, and transmission towers and lines ) are accessible to members of the affected community or where their failure could result in injury to the community throughout project construction, operation and decommissioning? Good international practices will be adopted regarding the storage and handling of fuel, oil and hazardous materials, and occupational and community health and safety plans will be developed and implemented. Community safety risks with power lines and substations include unauthorized access. As mitigation measures, towers will be fitted with anti-climbing devices and substations will have a security fence and full-time security personnel on site. Climate Change and Disaster Risk Questions The following questions are not for environmental categorization. They are included in this checklist to help identify potential climate and disaster risks. Yes No Remarks Is the Project area subject to hazards such as earthquakes, floods, landslides, tropical cyclone winds, storm surges, tsunami or volcanic eruptions and climate changes (see Appendix I)? Could changes in precipitation, temperature, salinity, or extreme events over the Project lifespan affect its sustainability or cost? No significant natural hazards have been identified that will affect the Project. Potential erosion will be controlled through the adoption of good international construction practice erosion control measures. Unlikely. Are there any demographic or socio-economic aspects of the Project area that are already vulnerable (e.g. high incidence of marginalized populations, rural-urban migrants, illegal settlements, ethnic minorities, women or children)? Unlikely, though this will be assessed through a separate social impact assessment process. Could the Project potentially increase the climate or disaster vulnerability of the surrounding area (e.g., increasing traffic or housing in areas that will be more prone to flooding, by encouraging settlement in earthquake zones)? No.

119 Appendix I: Environments, Hazards and Climate Changes Environment Arid/Semi-arid and desert environments Humid and subhumid plains, foothills and hill country River valleys/ deltas and estuaries and other low-lying coastal areas Natural Hazards and Climate Change Low erratic rainfall of up to 500 mm rainfall per annum with periodic droughts and high rainfall variability. Low vegetative cover. Resilient ecosystems & complex pastoral and systems, but medium certainty that 10 20% of drylands degraded; 10-30% projected decrease in water availability in next 40 years; projected increase in drought duration and severity under climate change. Increased mobilization of sand dunes and other soils as vegetation cover declines; likely overall decrease in agricultural productivity, with rain-fed agriculture yield reduced by 30% or more by Earthquakes and other geophysical hazards may also occur in these environments. More than 500 mm precipitation/yr. Resilient ecosystems & complex human pastoral and cropping systems % projected decrease in water availability in next 40 years; projected increase in droughts, heatwaves and floods; increased erosion of loess-mantled landscapes by wind and water; increased gully erosion; landslides likely on steeper slopes. Likely overall decrease in agricultural productivity & compromised food production from variability, with rain-fed agriculture yield reduced by 30% or more by Increased incidence of forest and agriculturebased insect infestations. Earthquakes and other geophysical hazards may also occur in these environments. River basins, deltas and estuaries in low-lying areas are vulnerable to riverine floods, storm surges associated with tropical cyclones/typhoons and sea level rise; natural (and humaninduced) subsidence resulting from sediment compaction and ground water extraction; liquefaction of soft sediments as result of earthquake ground shaking. Tsunami possible/likely on some coasts. Lowland agri-business and subsistence farming in these regions at significant risk. Small islands Mountain ecosystems Small islands generally have land areas of less than 10,000km 2 in area, though Papua New Guinea and Timor with much larger land areas are commonly included in lists of small island developing states. Low-lying islands are especially vulnerable to storm surge, tsunami and sealevel rise and, frequently, coastal erosion, with coral reefs threatened by ocean warming in some areas. Sea level rise is likely to threaten the limited ground water resources. High islands often experience high rainfall intensities, frequent landslides and tectonic environments in which landslides and earthquakes are not uncommon with (occasional) volcanic eruptions. Small islands may have low adaptive capacity and high adaptation costs relative to GDP. Accelerated glacial melting, rockfalls/landslides and glacial lake outburst floods, leading to increased debris flows, river bank erosion and floods and more extensive outwash plains and, possibly, more frequent wind erosion in intermontane valleys. Enhanced snow melt and fluctuating stream flows may produce seasonal floods and droughts. Melting of permafrost in some environments. Faunal and floral species migration. Earthquakes, landslides and other geophysical hazards may also occur in these environments. Volcanic environments Recently active volcanoes (erupted in last 10,000 years see Often fertile soils with intensive agriculture and landslides on steep slopes. Subject to earthquakes and volcanic eruptions including pyroclastic flows and mudflows/lahars and/or gas emissions and occasionally widespread ashfall.

120 Appendix D.1: Route Map, 150 kv HVTL Bengkayang Ngabang Appendix D.2: Route Map, 150 kv HVTL Ngabang Tayan

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129 EFFICIENCY IMPROVEMENT AND CONNECTIVITY STRENGTHENING IN ARCHIPELAGIC SOUTHEAST ASIA PROJECT (ENERGY COMPONENT) - (TA 6441-REG) PART G: ENVIRONMENTAL STUDY 117

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138 1. Introduction From March 2011 various site visits and field surveys were undertaken by the PPTA environment specialists, Ashley Bansgrove and Erwin Amin: - Rapid Field Survey, 17 March 2011, Pontianak Bengkayang Ngabang Tayan Pontianak. - Detailed Field Surveys March 2011, Pontianak Bengkayang Ngabang Tayan Pontianak. 29 March, Pontianak Tayan Sinto Pontianak. The objectives of the surveys were to: - understand the site conditions at the substations, tower locations and along the route; and, - confirm the findings of the detailed surveys undertaken by PLN s consultant. Site locations were obtained from maps and report results of the 150 kv line survey undertaken by PLN s consultant Pt. Geo Sarana Guna in 2009, and located using a combination of survey maps, GPS navigation and consultations with local residents. The general route and survey GPS waypoints are presented in Figure Survey Findings The findings of the Rapid and Detailed Surveys are summarized in Table 1, presented in geographic order from North (Bengkayang) to South (Tayan). Waypoints and observations not directly along the route have been omitted from this summary.

139 Table 1: Summary of Rapid and Detailed Survey, 150 kv Transmission Line Site GPS WP # Site Conditions PLN Survey Findings Confirmed? Mambong-Bengkayang 275 kv Regional Interconnection Transmission Line Tower 215 (last tower on 275 kv Regional Interconnection Transmission Line) 76 Privately owned rubber plantation (Hevea brasilliensis), bamboo. Bengkayang-Ngabang 150 kv Transmission Line Bengkayang Substation (end of 275 kv line, start of 150 kv line) Access road to Bengkayang Substation and new urban development 48 Privately owned rubber plantation (Hevea brasilliensis), secondary growth trees and shrubs. 49 Privately owned rubber plantation (Hevea brasilliensis), secondary growth trees and shrubs. Tension Tower 1 77 Privately owned rubber plantation (Hevea brasilliensis). Tension Tower 9 / AP1 78 Mixed agriculture, bamboo, nearby settlement and stream. Tower 24A 79, 80 Cleared field overgrown with shrubs, grasses and ferns. Tower 33 81, 82, 83 Privately owned rubber plantation (Hevea brasilliensis). Tower Privately owned rubber plantation (Hevea brasilliensis), mixed agriculture. Tower Privately owned rubber plantation (Hevea brasilliensis), mixed agriculture, bamboo, and secondary tree growth. Tower 81 89, 90, 91 Shrubs, privately owned rubber plantation (Hevea brasilliensis) and other plantation trees. Tension Tower Mixed agriculture, fruit trees, low shrubs, secondary tree growth. NA Yes (location, owner and site conditions) NA Yes, location, owner and site conditions Yes, location, owner. Site conditions only partially described. No description provided Yes, location, owner and site conditions Yes, location, owner. Site conditions only partially described. Yes, location, owner. Site conditions only partially described. Yes, location, owner. Site conditions only partially described. Yes, location, owner. Site conditions only partially described. Comments Detailed Field Survey Rapid Field Survey Rapid Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey

140 Site Between Between Towers Towers GPS WP # Site Conditions 93 Towers located on privately owned rubber plantations (Hevea brasilliensis). Other land use in area includes rice. Area also has shrubs and secondary tree growth. PLN Survey Findings Confirmed? NA Comments Detailed Field Survey 94 Mostly rice fields. NA Detailed Field Survey Tower Privately owned rubber plantation (Hevea brasilliensis), bamboo, and secondary tree growth. Yes, location, owner. Site conditions only partially described. Tower Mixed tree plantation. Yes, location, owner. Site conditions only partially described. Tower Rice fields, fields and surrounding area are flooded. Tower Privately owned rubber plantation (Hevea brasilliensis), shrubs and grasses, bamboo. Towers Privately owned rubber plantations (Hevea brasilliensis), slash and burn agriculture, and secondary tree growth. Tower ( in general area of Tower) Ngabang-Tayan Privately owned rubber plantations (Hevea brasilliensis). Ngabang Substation 63 Site covered in grass (Alang alang), approximately 3 ha, some sensitive resources in vicinity (e.g. school). Towers , 105 Privately owned rubber plantations (Hevea brasilliensis). Tower Privately owned rubber plantations (Hevea brasilliensis). Towers Mixed agriculture, including rubber plantations, fruit trees, Sago palm, and secondary tree growth. Yes, location, owner. Site conditions only partially described. Yes, location, owner. Site conditions only partially described. Yes, location, owner. Site conditions only partially described. Yes, location, owner and site conditions Yes, location, owner and site conditions. Yes, location, owner and site conditions. Yes, location, owner and site conditions. Yes, location, owner. Site conditions only partially described. Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Rapid Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey

141 Site GPS WP # Site Conditions PLN Survey Findings Confirmed? Comments Towers , 109 Mixed agriculture, including rubber and palm plantations. Near Tower Privately owned rubber plantations (Hevea brasilliensis). Approximately 500 m to Conservation Forest. Boundaries of Conservation Forest are not marked, and encroachment is clearly visible. Tower Privately owned rubber plantations (Hevea brasilliensis), overgrown with grasses and shrubs. Tower Rice fields, rubber plantation, cassava (Manihot esculenta), secondary tree growth. Tower Privately owned rubber plantations (Hevea brasilliensis). Towers Privately owned rubber plantations (Hevea brasilliensis). Tayan Substation 65 Two potential locations on either side of road, one is wetland and should be avoided. Yes, location, owner. Site conditions only partially described. Yes, location, owner and site conditions. Yes, location, owner and site conditions. Yes, location, owner. Site conditions only partially described. Yes, location, owner and site conditions. Yes, location, owner and site conditions. NA Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Detailed Field Survey Rapid Field Survey

142 Figure 1: Rapid Field Survey, 17 March 2011 (GPS waypoints 48 65) and Detailed Field Survey, March 2011 (GPS waypoints ), 150 kv Transmission Line. Overlaid on Google Earth Image.

143 3. Selected Field Survey Photos Photo 1: Location of Tower 215 of the 275 kv Regional Interconnection Transmission Line, near Bengkayang. This is the site of the final 275 kv tower. Photo 2: Location of the Bengkayang Substation, start of the 150 kv Bengkayang Ngabang Transmission Line.

144 Photo 3: Location of Tower 24A, Bengkayang-Ngabang 150 kv Transmission Line. Photo 4: Land use, Tower 24A, Bengkayang-Ngabang 150 kv Transmission Line.

145 Photo 5: Location of Tower 72, Bengkayang-Ngabang 150 kv Transmission Line. Photo 6: Location of Tower 170, Bengkayang-Ngabang 150 kv Transmission Line.

146 Photo 7: Location of Ngabang Substation, Ngabang-Tayan 150 kv Transmission Line Photo 8: Near the location of Tower 55 and looking towards a protected forest (Hutan Lindung), Ngabang-Tayan 150 kv Transmission Line.

147 Photo 9: Location of Tower 51, Ngabang-Tayan 150 kv Transmission Line. Photo 10: One of two potential locations for the Tayan Substation.