Environmental Monitoring Report. VIE: Song Bung 4 Hydropower Project. Semiannual Report July to December 2014

Transcription

1 Environmental Monitoring Report Semiannual Report July to December 2014 VIE: Song Bung 4 Hydropower Project Prepared by Song Bung 4 Hydropower Project Management Board (SB4HPB) for Vietnam Electricity and the Asian Development Bank.

2 Environmental Monitoring Report Semiannual Report July to December 2014 VIE: Song Bung 4 Hydropower Project Prepared by Song Bung 4 Hydropower Project Management Board (SB4HPB) for Vietnam Electricity and the Asian Development Bank.

3 SONG BUNG 4 HYDROPOWER PROJECT Loan No.: VIE 2429 Project head office: Song Bung 4 Hydropower Project Management Board No. 539 Nguyen Huu Tho, Da Nang City Tel: Fax:

4 CURRENCY EQUIVALENTS (as of 27 December 2014) Currency unit dong (D) $1.00 = 21,380 VND ABBREVIATIONS ADB Asian Development Bank EVN Electricity of Viet Nam BYT Ministry of Health MONRE/BTNMT Ministry of Natural Resources and Environment EVN Electricity of Vietnam PMU Project Management Unit NR Nature Reserve IMA Independent Monitoring Agency EMP Environmental Management Plan KK Air sampling location NM Surface Water sampling location SH Domestic wáter sampling location NT Waste Water monitoring location NG Underground water monitoring location QCVN Vietnam Regulation TCVN Vietnam Standard PMB Project Management Board SB4 Song Bung 4 PPC People s Committee DPC District People committee NOTES In this report, $ refers to US dollars, VND refers to Vietnam Dong unless otherwise stated. This environmental monitoring report 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.

5 TABLE OF CONTENTS 1. INTRODUCTION Project background Project owner, consultants and contractors, stakeholders Objectives of EMP Monitoring PROJECT IMPLEMENTATION COMPLIANCE WITH EMP Mitigation measures in compliance with EMP Wastes Non-conformance reports (NCR) MONITORING PROGRAM Introduction Water quality monitoring Wastewater quality monitoring Air quality monitoring Underground water quality CONSERVATION OFFSET PROGRAMS Rehabilitation program Reservoir clearance Capacity building in Environmental management FUND FOR ENVIRONMENTAL PROGRAMS ENVIRONMENTAL PROGRAMS IN NEXT 6 MONTHS OF CONCLUSION ANNEX I. Reservoir clearance: Acceptance by MONRE Mission II. Reforestation for protection forest areas III. Program Memorial tree planting IV. Program Cleaning day V. Replanting tree in camps, auxiliary, disposal areas to give back the landscape at site VI. Hazardous wastes in 2014 were collected, transported and treated... 32

6 3 1. INTRODUCTION 1.1. Project background 1. Song Bung 4 Hydropower Project is part of the Vu Gia Thu Bon hydropower cascade approved by the Ministry of Industry by Decision No.875/QD-KHDT dated 02/05/2003 and given priority for construction after A Vuong and Song Tranh 2 project. The project is partially funded locally from within Vietnam and partially by a loan from the Asian Development Bank (ADB). 2. Song Bung 4 Hydropower Project is located on Song Bung in the upper part of the Vu Gia River in Nam Giang District, Quang Nam Province. The basin area to the dam of Song Bung 4 is 1,477 km 2, length of the main river is about 107km. 3. The headwork is located in the area of the Ta BHing (now Ta Poo) and ZuoiH communes, Nam Giang district, Quang Nam province. The coordinate of the proposed dam is at 15 o of the Northern latitude and 107 o of the Eastern longitude. The powerhouse is located at Ta BHing (now Ta Poo) commune with the coordinate at 15 o of the Northern latitude and 107 o of the Eastern longitude. Figure 1. Project location

7 4 The Project consists of the following salient figures: - Full supply level : 222.5m - Minimum operating level : 205m - Gross storage : million m3 - Active storage : million m3 - Reservoir area : 15.65km2 - Installed capacity : 156MW - Firm capacity : 35.93MW - Mean annual Energy : million kwh - Gross investment (approved): 4, billion VND The overall progress of Project construction: - Ground breaking : June 2010; - River closure : January 2012; - Impounding : August 2014; - Unit 1 Commissioning : September 2014; - Unit 2 Commissioning : October Project owner, consultants and contractors, stakeholders - Project Owner: EVN - Project Executing Agency: Song Bung 4 Hydro Power Project Management Board (that represents for EVN to implement) - Site Supervision Consultant: Mott Macdonald in association with PECC4 - Contractors: Sinohydro is the main contractor appointed for both of the two civil engineering contracts: XL01 Design and construction of the Headworks, XL02 Design and Construction of the Waterways - Independent Monitoring Agency: Social Consultant The Table 1 below shows the overall progress of environmental programs in accordance with EIA, EMP. Table 1. Progress of environmental program Program Time to implement Status 1.Environmental protection From 2009 to Ongoing Quarter 1/ Monitoring program From 2009 to Finished Capacity building program Note Only a final report will be prepared by Socio in Quarter 1/2015

8 5 Program - For STNR ( building guard post, purchasing boat) Time to implement From 2011 to 2012 Status Finished 4. Rehabilitation program - For protective forest Ongoing with taking care/ protection activities from For special-use forest Site clearance was completed, replanting trees are ongoing. Note 5. Community - based Finished forest management 6. Reservoir clearance /2014 Finished MONRE accept clearance results in July/2014 and allow to impound the reservoir in 1 st August Objectives of EMP Monitoring 4. EMP monitoring is based on (i) approved EIA by MONRE in 2007, (ii) approved EMP by ADB in 2010, (iii) Civil works contract of packages, (iv) Vietnam Technical regulations and Law on Environment, (v) ADB s environmental safeguards. Objectives of EMP monitoring are as follows: (i) Monitor the Project compliance with Vietnam Technical regulations and Law on Environment, ADB s Environmental safeguards, EMP, EIA; (ii) Monitor the compliance of Contractors during construction phase; (iii) Suggest measures to increase efficiency of minimizing negative impacts on environment during construction phase; (iv) Determine and control new or potential environmental impacts (if any). 2. PROJECT IMPLEMENTATION 5. There are 4 main packages in Song Bung 4 Project:

9 6 (i) (ii) (iii) (iv) Package XL-01: Preparation of Engineering and Construction Drawings and Civil Works Construction of Headworks. This contract has been awarded to Sinohydro Corp (Sino); Package XL-02: Preparation of Engineering and Construction Drawings and Civil Works Construction of Waterways. This contract has been awarded to Sinohydro Corp (Sino); Package TB-04: Supply, transportation, storage and preservation, installation, pre-commissioning and commissioning of electromechanical equipment. This contract has been awarded to Hydrochina Huadong Alstom Consortium (HHAC) of China; Package TB-05: Package 5 (TB-05) Supply, transportation, storage and preservation, installation, pre-commissioning and commissioning of Hydro-mechanical equipment. This contract has been awarded to Hydraulic Equipment Joint Stock Company (HESCO). 6. The main works in the last six month of 2014, construction activities at site were almost finished. At the end of this year, contractors have concentrated on removing all the structures at auxiliary areas, remove their equipment and complete the remaining works. 3. COMPLIANCE WITH EMP 3.1. Mitigation measures in compliance with EMP 7. The compliance of contractors with EMP has been evaluated through their mitigation measures applied during their construction activities in accordance with requirements in EMP. Table 2. Mitigation measures in compliance with EMP Potential Environmental Impacts/Proposed Mitigation Measures mentioned in EMP Impacts on air quality from dust, noise, gas Implemented activities - Contractor brought three water trucks to spray the roads on the site. - Contractor hired local people to clean access road by hand tools.- Workers are equipped with PPE, air quality in tunnel is monitored every week to Action required/ Recommendations - Cover trucks during transportation; - Water spraying daily at least 2 times/day; - Build wash station; - Pave, asphalt the road; - Ensure workers health; - Ensure safety during blasting activities.

10 7 Potential Environmental Impacts/Proposed Mitigation Measures mentioned in EMP Wastes from domestic use, hazardous wastes generated into the environment Implemented activities conditions, air ventilation is open during working hours; - Quantity of dynamite, time of blasting, warning signs are under control to ensure safety. - Dustbins are installed in camps, construction areas; - The domestic solid waste from camps: The garbage is collected and transported to the Disposal areas for landfill. Refuse from food is collected by the local people for animal feeds. - Contractor covered the domestic wastes by a layer of soil every day; - Construction solid wastes consist of waste materials from soil, rock excavation activities, broken wooden tools, vegetation from the ground cleaning operation. The waste materials from soil, rock excavation activities are transported and dumped at the disposal site. The vegetation from the ground cleaning operation are dried and burnt. - Contractor built stable areas to store oil. A part of waste oil is reused for lubricate the formwork of concrete works. The cloth stained oil, battery have been stored in separate areas with concrete floor, roof, water drainage with oil Action required/ Recommendations For the domestic wastes: - Dustbins, toilets will be installed in camps and construction areas; - Landfill will be constructed for domestic waste and daily covered by soil to reduce bad smell and insect breeding; Construction wastes: Set up disposal areas for construction wastes; Hazardous wastes: Collect, store as required and recruit an accredited firm by government to handle.

11 8 Potential Environmental Impacts/Proposed Mitigation Measures mentioned in EMP Wastewater generating from construction activities Reduction of Bung water quality, water courses nearby Safety on site Impact on soil environment and vegetation Implemented activities trap and will be treated per regulation. - Contractors have arranged settling tank for construction wastewater at concrete mixing area, adit 1 & 2 for water from the tunnel, at crushing plant; oil traps to separate oil in rainwater that flow over the rock quarry; - Contractors have built toilets at camps. - Monitoring water quality of Bung river to determine the trend of quality change; There was no accident related to site safety during the last six months of Storage area, repairing area, parking area have roof, concrete floor, drainage surrounding to collect oil leakage; - Grass covering on the slopes of the explosive store to prevent erosion; - The waste soil and rock by landslide overflowed into Action required/ Recommendations Construction wastewater - Arranging mud-deposit tank at the rock crush station areas, concrete batching areas; - Arranging oil traps; Domestic waste water Domestic wastewater of workers will be collected and treated by septic tanks. - River pollution caused by waste, harmful waste and solid erosion will be minimized; - Mining for mineral at upstream will be monitored and controlled by forest guard; - Monitoring the quality of the river regularly. - Supervise and remind site workers to use the personal protection equipment; - Contractors regular train safety for workers, remind drivers about driving safety. - Erosion and loss of top soil: removing the soil before construction activities and restoring after construction; - Solid pollution: collecting oil at oil storage, repairing area, parking area. These areas will be contained by waterproof and drainage;

12 9 Potential Environmental Impacts/Proposed Mitigation Measures mentioned in EMP Implemented activities the access roads due to heavy rains in the rainy season which were cleared and collected. Action required/ Recommendations - Restore dam site and other roadwork zones: Much of the area in the vicinity is grass and vulnerable to erosion and slippage due to construction activities of vegetation clearing, scaling, driving of heavy vehicles, blasting; - Form the Disposal No.2 and Disposal No.4 in accordance with technical design to prevent erosion. Biological impacts - The guard post at the Vinh stream has been put in operation to limit the access into the forest/ STNR. Also, a police guard at the entrance of SB4 project site (constructed in 2011) helps to prevent illegal logging into the project site and ensure security for the site; - Site workers have been trained not to use products from wild animals, not cutting down tree outside of project boundary, not using wood for fuel but using gas for cooking. These issues have been inspected frequently, continuously by MM/PECC4. According to report from Independent Environmental Monitoring Agency, the local forest control does not include any - Construction activities will require removal of trees; Building (access roads) and improvement (highway) of roads, and transmission lines in relation to the Song Bung 4 HPP will increase access to the forested areas in the vicinity and potentially increase illegal logging, - The temporary increase in workers to the construction site will increase the potential for illegal fuel wood and non-timber forest product collection and hunting. Mitigation measures will include (a) Disseminating widely the regulation of forest protection and hunting prohibition; (b) provision of environmental training on

13 10 Potential Environmental Impacts/Proposed Mitigation Measures mentioned in EMP Implemented activities findings on illegal hunting from SB4 site workers; - The Community-based forest management program finished in 2011, has complied with EMP. This program helps affected people to access and profit from non-timber forest products; - Capacity building for Song Thanh Nature Reserve, including building a guard post and supplying a boat to increase the patrolling of STNR staff to prevent illegal hunting and access to forest when there are construction activities and reservoir; - Rehabilitation plan for the areas affected by construction activities has been implemented. Action required/ Recommendations environmental management issues, (c) environmental protection by guards, capacity building of forest rangers, and imposing fines for illegal activities, and (d) community awareness campaign. - Vegetation will also be lost in the STNR, other areas and might affect local people. Instead of paying for each tree lost, the Project will support a conservation off-set program, including: community based forest management plan, rehabilitation plan, and capacity building program. 3.2 Wastes (i) Solid wastes from construction activities 8. Construction solid waste generated in the construction site includes: building materials, rubble and soil, etc. They were collected and transported to disposal sites along construction roads. 9. At the disposal areas, mitigation measures are applied to prevent land slide, soil erosion, such as rock layers were laid on the bottom of the disposal areas and on the slopes of disposal areas, water drainage system was built around the disposal area to collect the rainwater. (ii) Domestic solid wastes 10. Domestic solid waste of the offices, camps and kitchen was collected into 15 mobile waste bins (150 liters/each) which were placed around the main camp area and 01 large mental bin-about 12 m 3 was used to collect waste before buried in the waste disposal. (iii) Hazardous solid wastes

14 Hazardous waste is generated from material storage areas, waste disposal sites and vehicle gathering and repair area. 12. In December 2014, Sinohydro contractor signed contract with URENCO Limited Company of Ho Chi Minh to Xanh Environmental collected and treated the hazardous waste with the amount of 120kg including: waste oil, cloth stained by oil, waste battery. 3.3 Non-conformance reports (NCR) 13. In the last six months of 2014, 06/06 NCRs were closed, no new NCR has been issued. 14. There are 11 NCRs that were closed with one NCR pending. 15. The main content of the NCR as follows: - The toilet of the HESCO s camp at the left bank is not connected to a septic tank. The waste from this toilet has been discharged directly to environment. This action does not comply with the requirement of the approved Environmental Management Plan (Table No.5: Measure for mitigating the negative impacts in construction phase (refer to page 35) and the approved drawing (NCR No.143). Then HESCO had connected this toilet to septic tank. - Currently, this toilet was dismantled but document to close this NCR is not submitted by HESCO. 16. Contractors payment of 70,000 USD was withheld due to their noncompliance with EMP during the last six months of 2014, especially hazardous wastes treatment although they were reminded many times. This money will be released once the contractors complete treating all hazardous wastes. 4. MONITORING PROGRAM 4.1. Introduction 17. There are many parties involved to carry out monitoring weekly, monthly, and quarterly: (i) The Mott MacDonald/PECC4 acting as supervising consultantcarry out regular inspection at site and generate report on the EMP compliance to Contractor, SB4 PMB; including toxic gas, noise, dust, sanitation condition, erosion, siltation; (ii) The Contractor carry out monitoring monthly as mentioned in EMP and apply mitigation measures;

15 12 (iii) The Socio Consultant- acting as Independent monitoring agencyconduct monitoring programs every 3 months on surface water, wastewater, ecology, air, domestic water, safety in accordance with EMP/EIA; (iv) SB4 PMB- acting as Project owner - receives all the relevant information, conduct inspection at least once a month with McDonald/PECC4, Contractors. 18. All the retained money due to the non-conformance on EMP has been released. Contractor is required to keep applying the mitigation measures and follow-up activities to ensure the compliance on environment Water quality monitoring 19. These are the results from random samples at the monitoring period. 20. This water source is not used for domestic use in construction site and for local people in radius of 15 km downstream of the powerhouse. The site workers and local people use the upper streams for their domestic use.

16 13 Figure 2. Sampling station for surface water quality Note: NM2: sampling location at upstream of dam (on Bung river) NM1: sampling location at downstream of power house (on Bung river)

17 Table 3. Surface water quality 14 Parameters ph DO TSS BOD5 COD N- NO3- N-NH4+ Total oil Turbidity PO4 3- Coliforms Upstream of dam (NM2) Quarter 3/2014 7,1 6, ,2 0, , Quarter 4/ , ,1 0, , Downstream of power house (NM1) Quarter 3/2014 5,55 6, ,5 0, , Quarter 4/2014 6,2 3,6 6, ,4 0, , Allowed limit (1) > Note: Allowed limit (1) is based on Vietnam standards for surface water quality named QCVN 08:2008/BTNMT, column A2 ( water is used for domestic water supply but apply to suitable water treatment technology, to preserve aquatic fauna and flora). Figure 3. Flowchart of surface water quality % (Source: Environmental monitoring report No.16, No.17 conducted by Socio in July, December/2014)

18 21. Among the above parameters, dissolved oxygen at downstream of power house in Quarter 4/2014 is not satisfied with standard. This is due to the increased uptake of oxygen in reservoir to decompose the residual biomass. This is a normal case for hydropower reservoir during the first stage after impounding. However, DO in water at the downstream of power house will be improved after a short time. 22. The Total suspended solids (TSS) were reduced from Quarter 3 to quarter 4 due to the reservoir impounding that contains and settle the TSS in the reservoir. 23. Conclusion. Surface water of Bung river has been polluted by the impounding the SB4 reservoir as expected during early stage Wastewater quality monitoring 24. The sampling locations are at worker camps areas where domestic activities generate wastewater. All the wastewater has been treated by septic tank before discharging into environment. 25. The monitoring results are compared with Vietnam standard for wastewater quality, namely QCVN 14:2008/BTNMT, column B (pollution parameters as a basis for calculating the regulated maximum value in the wastewater when being discharge into the water that is not used for domestic water supply). Figure 4. Sampling station for wastewater quality Note: NT1a: Main camps of contractor NT2a: Camp at the rock quarry NT3c: Camp No.45 (Source: Environmental monitoring reports conducted by Socio in July, December/2014)

19 Table 4. Wastewater quality monitoring results Parameters ph TSS BOD5 N-NO3- N-NH4+ P-PO43- Total oil Coliform Standard Quarter 3/2014 NT1 7, ,7 2,6 0,86 0, NT2 7, ,5 7,5 0,86 0, NT3 7, ,6 3,2 0,09 0, Quarter 4/2014 NT1 7, ,4 4,4 0,4 0, NT2 7, ,3 0,2 0, NT3 7, ,9 1,1 0,04 0, Figure 5. Flowchart of wastewater quality %

20 26. The values of parameters in wastewater reduced from Quarter 3 to Quarter 4 and are under the allowable limits. In Quarter 4, the domestic activities that generated wastewater was decreased because the reduction of site workers, cooking activities for workers. 27. Conclusion: The wastewater before discharging into environment has met requirements (under the allowable limits of QCVN 14:2008/BTNMT) before discharging into the environment Air quality monitoring 28. Noise, dust, vibration, gas generate from vehicles traveling on road, blasting cause distributed dust. Mitigation measures are spraying water onto the road, at least 4 times/ day and cover the trucks transporting materials. Figure 6. Sampling locations for air quality 17 Note: KK1a: Area near power house KK2: On access road to dam site (near the intake) KK3c: Power house KK4: In Vinh village Ta Poo commune KK5b: On access road (near explosive storage) (Source: Environmental monitoring reports conducted by Socio in July, December/2014)

21 Table 5. Air monitoring results Noise L 50 (db) Noise L 90 (db) Noise L eq (db) Vibration (m/s2) TSP (mg/m3) CO (mg/m3) Nox (mg/m3) Parameters (mg/m3) Standard (QCVN 05:2009/BTNMT) ,055 0,3 30 0,2 0,35 Quarter 3/2014 Quarter 4/2014 KK1a(Q1) 68,3 62,8 73,4 0,0082 0,04 2 0,06 0,022 KK2(Q1) 68,6 64,6 76,7 0,009 0,08 4 0,09 0,047 KK3c(Q1) 75,6 74,2 79,8 0,0047 0,04 4 0,08 0,044 KK4(Q1) 53,8 48,7 62,8 0, KK5b(Q1) 61,4 59,2 67,2 0, KK1a(Q2) 68,7 67,1 71,6 0,0021 0,05 2 0,09 0,047 KK2(Q2) 65,5 63,6 69,4 0,0012 0,08 3 0,12 0,052 KK3c(Q2) 76,4 75,1 78,7 0,0086 0,04 2 0,07 0,048 KK4(Q2) 62,1 59,5 67,9 0, KK5b(Q2) 66 64,2 70,3 0, Figure 7. Flowchart of air quality SO 2 18 %

22 29. Parameters of air quality are within limits in the Quarter 3 and Quarter 4. Only the noise surrounding the powerhouse is a little higher than limits, due to the operation of the turbine. This is a normal case in most of hydropower plant. Hence, site workers have been requested to use personal protection equipment to avoid the noise during working time. 30. Conclusion: The remaining construction activities are insignificant and activities hardly impacts on air quality. Air quality in the construction site and village around Song Bung 4 HPP has not been affected by Song Bung 4 HPP Underground water quality 31. Site workers have not used the underground water for domestic use. Some households in some villages (in Ta Poo commune, Chaval commune) that might be impacted by Project construction. Hence, underground water samples are taken to evaluate the quality. The sampling stations for underground water and monitoring results are shown in the Figure below. The analysis results are compared with Vietnam standard on the underground water quality (QCVN 09:2008/BTNMT, Standard (QCVN 02:2009/BYT).

23 20 Figure 8. Sampling station for underground water Note: - NG1a, NG2, NG3a: monitoring positions in Vinh village, Ta Poo commune, Nam Giang District - NG4a, NG5b, NG6a: monitoring position in Chaval commune, Nam Giang District

24 Table 6. Monitoring results of underground water quality Parameters ph Turbidity CL- Hardness TDS TSS COD N-NH4+ N-NO2 P-PO4 Fe SO4 Coliform Standard (QCVN 09:2008/BTNMT) Standard (QCVN 02:2009/BYT Quarter 3/2014 Quarter 4/2014 5,5-8, , NG1 (Q3) 6,9 2 42,0 68,0 181, ,06 0,003 0,12 0,08 6,5 40 NG2 (Q3) ,0 60,0 122, ,06 0,003 0,03 0,04 1,6 0 NG3 (Q3) 6,9 2 27,0 43,0 47, ,07 0,003 0,02 0,07 1,6 0 NG4 (Q3) 6,8 3 40,0 63,0 175, ,09 0,004 0,13 0,05 5,1 0 NG5 (Q3) 7,1 6 32,0 51,0 81, ,12 0,003 0,02 0,04 2,4 230 NG6 (Q3) 6,9 1 33,0 58,0 91, ,06 0,003 0,12 0,04 1,6 110 NG1 (Q4) 6, ,0 68,0 268, ,06 0,003 0,02 0, NG2 (Q4) 6, ,06 0,003 0,02 0,04 1,6 36 NG3 (Q4) 6, ,06 0,003 0,02 0,03 1,6 0 NG4 (Q4) 6, ,06 0,003 0,03 0,03 6,1 43 NG5 (Q4) 6, ,1 0,003 0,02 0,04 1,6 120 NG6 (Q4) 6, ,09 0,003 0,02 0, Figure 9. Flowchart of underground water quality % 21

25 The value of TDS varies and depends on the monitoring period and increases from dry season to rainy season. Because the rainfall increase the solubility of minerals in the soil and leaching into groundwater. The monitoring period of Quarter 3 is in the dry season (July/2014) while the monitoring of Quarter 4 is in December (rainy season). However, the value of TDS is within the allowable limits and and can be used for domestic use. 33. In general, the analysis results of the underground water are within the limits. The underground water is used for bathing, washing and also boiled before drinking and cooking the meals. 34. Conclusion: Quality of underground water meets the requirements for domestic water quality and can be used for domestic usage. (Source: Environmental monitoring reports conducted by Socio in July, December/2014) Objective 5. CONSERVATION OFFSET PROGRAMS 5.1. Rehabilitation program 35. The implementation of rehabilitation plan will enhance forest quality and soil conservation through plant and enriching forests, and thus increase watershed protection. 36. The rehabilitation plan for STNR is a part of the afforestation and rehabilitation for areas that are affected by Song Bung 4 HPP. Some of these total areas will be planted in areas that have been transferred to affected communities in the Community based forest management so that they can have benefits from forest (non-timber forest products such as rattan, bamboos). (i) (ii) General afforestation Plan replacement for Forest areas to be transferred by purpose serving for Song Bung 4 hydropower project was approved by Decision No of Quang Nam PPC dated 26 July 2010 on. Quang Nam PPC issued a Decion No.4030/QD-UBND dated December 18 th 2014 on revised the Decision No above due to the changes in forest status, planning 03 types of forest planning. Based on this, the affected forest areas are as follows: - The affected protection areas: 141.5ha; - The special-use forest areas: affected areas have reduced from 128.5ha down to 65.05ha; (iii) Progress of forestation up to the end of 2014: - The protection areas (141.5ha): 141.5ha/ 141.5ha were replanted at site with two kinds of local plants Lat hoa (scientific name is Chukrasia velutina), sao den (scientific name is Hopea odorata), RM has been conducting the taking care activities. - The special-use forest areas (65.05ha): STNR have conducted site clearance for about 61 ha. Three kinds of local tree will be replanted: lat hoa, sao den, lim xanh( scientific name is Erythrophleum fordii). (iv) Fund/ source

26 SB4 transferred fund of protection forest areas replantation to RMB (5.2 billion VND) and to STNR (01 billion VND) to conduct the reforestation at sites the total cost to RMB/STNR based on the implementation progress. 37. Conclusion: The implementation progress of reforestation activities meets approved progress of Quang Nam PPC Reservoir clearance 38. The project will create a reservoir with an area of about 16 km2 and store a total volume of water of 493 million m3 at the Normal Water Level (NWL) of El m. Thus, the vegetation cover will be inundated by the reservoir. Before reservoir inundation, the reservoir must be cleared; trees must be cut down in order to mitigate eutrophication and water pollution. 39. SB4 PMB signed contracts with A Vuong Protection Management Board to conduct reservoir clearance from April 17 th 2013 to July 7 th The MONRE mission inspected and accepted the reservoir clearance results in July 27 th 2014 an issued a letter for this. 41. Conclusion: Reservoir clearance activities have been completed and complied with EMP and SB4 HPP to fill the reservoir in 01 st August 2014, in accordance with Project progress Capacity building in Environmental management 42. In September 2014, Environmental staff joined in training course held by Quang Nam DONRE about new in Environmental Law (that will be applied from beginning of 2015), Decree 179/2013/NĐ-CP dated Nov 14th 2013 on environmental penalty. 43. SB4 PMB have launched environmental programs to all staff, construction contractors, site supervising consultant, including: - Program Cleaning day every Wednesday to collect rubbish and waste in Project areas and have implemented from July 2014 up to date; - Program Memorial tree planting in Song Bung 4 HPP as a message to increase awareness on environment. 6. FUND FOR ENVIRONMENTAL PROGRAMS Fund for the environmental programs are presented in the Table 9 below: Table 9. Fund for environmental management activities No Content Total Fund (VND) Disbursement until end of Dec 2014 (VND) 1 Conservation off-set program 15,677,381,647 6,200,000,000 (~39.7%) 2 Environmental monitoring (IMA) 1,500,000,000 1,055,000,000 (~ 71%) 3 Capacity building for STNR 1,104,000,000 1,104,000,000 ( ~ (100%) 4 Reservoir clearance 4.1 Consultant package prepare the plan 412,000, ,000,000 (100%) Note 23 Implement from 2009 to Q1/2015

27 Conduct the reservoir clearance 18,397,796,000 16,397,796,000 (90%) 7. ENVIRONMENTAL PROGRAMS IN NEXT 6 MONTHS OF Environmental monitoring as required in EMP, EIA with main content: surface water quality, air quality, wastewater quality, soil environment, ecological environment; 45. Cooperate with RMB, STNR to implement the reforestation program; 46. Comply with environmental requirements mentioned in EMP, EIA in operation phase. 8. CONCLUSION 47. Environmental programs being conducted in the last six month of 2014 have been compliant with EMP schedule basically. In general, SB4 PMB has been trying to implement all the committed environmental programs catching up with the Project progress, in accordance with EMP and EIA.

28 Annex ANNEX 25 I. Reservoir clearance: Acceptance by MONRE Mission

29 26 Annex II. Reforestation for protection forest areas:

30 Annex III. Program Memorial tree planting 27

31 28 Annex

32 Annex IV. Program Cleaning day 29

33 30 Annex V. Replanting tree in camps, auxiliary, disposal areas to give back the landscape at site

34 Annex 31

35 32 Annex VI. Hazardous wastes in 2014 were collected, transported and treated