CHAPTER 13 ASSESSMENT OF SOCIO-ECONOMIC IMPACTS AND MITIGATION

Transcription

1 CHAPTER 13 ASSESSMENT OF SOCIO-ECONOMIC IMPACTS AND MITIGATION

2 TABLE OF CONTENTS 13 ASSESSMENT OF SOCIO-ECONOMIC IMPACTS AND MITIGATION SOCIO-ECONOMICS AND LIVELIHOODS Increased Income Generation Opportunities from Direct and Indirect Job Creation at a Local, Regional and National Level Reduced Income Generation Opportunities Related to Fishing Loss of Subsistence Crops within the Right of Way SOCIAL AND CULTURAL COHESION Erosion of Traditional Governance Mechanisms Loss of Local Sense of Place and Decreased Social and Cultural Cohesion Potential Increase in Anti-Social Behaviours COMMUNITY HEALTH, SAFETY AND SECURITY Increase in Vector Borne and Communicable Disease Increased Injuries and Mortality from Traffic Accidents PHYSICAL AND SOCIAL INFRASTRUCTURE RESOURCES AND SERVICES Potential Physical Displacement along Pipeline Corridors Reduced Access, Pressure and Overburdening of Physical and Social Infrastructure Improvements Related to Community Development Initiatives Landscape and Visual Environment LABOUR AND WORKING CONDITIONS Exposure of Workforce to Sufficient Health and Safety Standards Quantum Power Ghana Gas Limited 13-i Knight Piésold Consulting

3 13 ASSESSMENT OF SOCIO-ECONOMIC IMPACTS AND MITIGATION This chapter describes and analyses the predicted impacts to the social environment (as described in Chapter 10) as a result of the proposed Tema LNG Project. This includes impacts across the construction, operations and potential decommissioning phases. This section will include a discussion of the key socio-economic and bio-physical changes that will result in impacts to social receptors as a consequence of the proposed Project. Impacts will be assessed across several themes, specifically: Socio-Economics and Livelihoods; Social and Cultural Cohesion; Community Health, Safety and Security; Physical and Social Infrastructure Resources and Services; and Labour and Working Conditions Socio-Economics and Livelihoods Increased Income Generation Opportunities from Direct and Indirect Job Creation at a Local, Regional and National Level Description of the Baseline Environment The socio-economic environment of the social study area is characterised by a low degree of livelihood productivity with some degree of diversity. Levels of educational achievement and capacity are reported to be low within the SSA. From the household survey it is determined that majority of household respondents have only reached 2 nd cycle primary school. Proposed Project Activities Quantum Power will require a sizeable number of skilled, semiskilled and unskilled personnel during the construction phase and operational phase of the project. It is recognised that Ghana has growing oil and gas sector, thus a number of skilled personnel will be able to be sourced from other areas in Ghana. However, given that levels of educational achievement and formal employment experience in relevant sectors at the local level are low, it is assumed that mostly unskilled and semi-skilled labour will come from the communities directly surrounding the proposed Project. In addition to direct benefits from the employment of local residents, the proposed Project may also offer potential economic benefits through the local procurement of goods and services. It is assumed that the majority of this procurement will be at a regional or national level due to shortages in suitable industry and service providers in the social study area. The scale of service providers for basic consumables, such as food and water, within the social study area is such that it is unlikely in the short term that this can be provided within the local area. The combined effect of direct employment and contracting, and the procurement of goods and services may have a multiplier effect 1 on economic growth, where beneficiaries spend the additional income they have generated in their local communities, driving increased economic growth. This multiplier effect will be particularly relevant for any local benefits as it will be concentrated in a smaller area. 1 The multiplier effect refers to the trickle down of economic growth as those who receive additional income spend that income in shops and businesses, driving further economic growth. Quantum Power Ghana Gas Limited 13-1 Knight Piésold Consulting

4 Sensitive Receptors Increased income generating opportunities will be experienced at a national, regional and more local level to varying scales, causing different degrees of economic growth. It is assumed that the majority of beneficiaries will be educated Ghanaians with some experience in the oil and gas sector who can provide a swift response to labour requirements with minimum training. Based on the baseline conditions it is assumed that very few of these types of candidates will be available from within the local area. As a result, this benefit is expected to be experienced mainly by beneficiaries in urban centres such as Accra. Receptors in the Social Area of Influence (AoI) that may be able to make the most of these opportunities are those who have received some experience of formal employment, gained basic education or learned English language skills. Typically this may be youthful males who have received some education, have experience working for the government or other international companies, or who have learnt some English. It should be noted that at the local level the overall lack of education, skills and capacity means that vulnerability is high, meaning a large majority will be ill equipped to maximise benefits. Significance of Impact (Pre-mitigation) Nature of Impact Positive Negative Direct Indirect Cumulative Rating of Impacts Summary of Reasoning The direct and indirect contracting of employees, procurement of goods and services and combined multiplier effect of this economic growth will result in increased income for successful candidates and their local communities; promoting some degree of increases in standards of living. This impact has been assessed as a positive impact with benefits to be received at a national, regional and local level. While it is recognized that the likelihood for this impact is certain, given that employment will be required, a lack of capacity, experience and skills at the local level means that it is assumed that this impact will be reduced in this area. Severity 4 High Reversibility 3 Recoverable Impact Criteria Duration 3 Medium term Spatial Extent 5 Local Probability 4 Definite Significance 60 MODERATE Recommendations and Mitigation/Management Measures In order to enhance this positive impact the following management measures will be required: Due to skills shortages in the SSA, skills training will be provided to residents of the local communities to increase local employment capacity. This training will be designed into Quantum Power Ghana Gas Limited 13-2 Knight Piésold Consulting

5 short and medium term programmes targeted to provide local candidates eligible at the construction and operational phases. Preliminary training programmes will be designed to up-skill local candidates to allow them to attain positions within construction teams, and potentially attain experience helping to gain employment during operations. Quantum Power will develop a Sourcing, Procurement and Recruitment Policy which sets out the objectives and actionable tasks required to suitably manage hiring and procurement of goods and services. This policy will include requirements to engage marginalised groups surrounding employment and procurement to allow the opportunity for benefits to reach a wide range of potential beneficiaries. This policy will be publicly available in relevant languages and will be included within stakeholder engagement activities. It is recognised that the local sourcing and procurement of goods and services from near to the proposed Project will be difficult. The types of equipment required for the proposed Project are specialised in nature and may not be available locally or in Ghana. Nonetheless Quantum Power will seek to encourage and facilitate the sourcing and procurement of goods and services locally. Quantum Power will specifically define and favour local applicants, businesses and service providers ahead of providers from outside the area and stipulate the processes that must be adhered to prior to appointing external staff or service providers. The requirements of this plan will apply to contractors. Quantum Power will develop, publicise and adhere to transparent hiring protocols that ensure no staff is hired in an ad hoc manner. In addition, efforts will be made to identify and train local people prior to hiring from other parts of Ghana, and that the Quantum Power Human Resources Department and recruitment partners are the only groups that can hire staff. Quantum Power will develop a database of locally available human resources detailing skills, proficiency and education levels of potential interested applicants. This database will be a live document controlled by Human Resources and used to record potentially interested candidates (where applications are made without advertised positions). It will be developed in coordination with the formal and traditional governance structures (where possible). The database will continue to be consulted to identify the maximum number of locally available candidates. In addition, this resource can be used to help structure the application or expression of interest process for potential employees. The proposed Project may result in various benefits including direct employment, taxes and royalties, community development initiatives and increased income generation opportunities. Quantum Power will identify, track and record key benefits generated including the recipients of the benefits and the timeframe over which these will occur. This will be important in managing benefits in an equitable and strategic manner. Quantum Power will implement and continue to develop an on-going and continuous Stakeholder Engagement Programme (in line with the Stakeholder Engagement Strategy, SES, refer to Volume III) built on openness, mutual trust and inclusiveness that will seek to actively inform stakeholders of Quantum Power s activities. Engagement will include raising awareness on training, recruitment and capacity development programmes. Residual Impact (Post-mitigation) Quantum Power Ghana Gas Limited 13-3 Knight Piésold Consulting

6 Impact Increased income generation opportunities from direct and indirect job creation at a local, regional and national level (Pre-Mitigation) MODERATE (Post-Mitigation) HIGH Reduced Income Generation Opportunities Related to Fishing Description of the Baseline Environment Fishing is a predominant occupation in the social area of influence. The fishing sector is dominated by a mixture of industrial / commercial fleet made up of trawlers, pair trawlers, shrimpers, tuna bait boats and purse seiners and the semi-industrial (inshore) and artisanal/small scale. Although fish catches have reportedly been declining all along the coast, a large proportion of the population within the SSA (Bankuman, Kpone and local fishing harbour) rely heavily on fishing and fish processing activities. Fish catches and processing make up a significant part of a combined livelihood strategy of household subsistence in these areas. Men are majorly involved in fish catches while women and children are engaged in fish processing activities of smoking, drying and sale. Where residents in the SSA are not engaged directly in the catch and sale of fish, they may be involved in the repair of cast nets and repair of boats. From the social survey, it is determined that for majority of households fishing is a primary occupation for income generation. It is assumed that during project construction, fishing activities will straddle for a while. As fishing activities slow down and potentially becomes restricted to low fish breeding areas, it will directly impact on the income generation of fishermen as they will have less or reduced catches for sale. Fish mongers and fish buyers will suffer direct impacts as they have to travel further distances to buy fish for their trade. Indirect impacts will be borne by boat /canoe repairers. The likelihood of this negative impact occurring is definite and of MODERATE significance to local fishermen. However, it is only expected to last for the medium term period. Proposed Project Activities Quantum Power will develop the Tema LNG project to have both onshore and offshore facilities. The project will be undertaken within the existing marine exclusion zone of the WAGP. The offshore description of the project will see the transport of natural gas by large LNG carriers and delivery of natural gas into a permanently positioned floating storage and re-gasification unit (FSRU). The FSRU will be built by Quantum Power and transported to the coast of Tema. It will be located about 12 km offshore and supported by a mooring jetty. The FSRU will be connected by an 18 inch carbon pipelines which will be buried beneath the seabed. The pipelines will then travel to land (onshore) and connected to a gas metering station which will be located in proximity to the WAGP metering station. Although the project will be developed within the exiting marine exclusion zone, offshore construction activities are expected to last for not more than 12 months. It will involve the use and operation of barges, excavators, digging of trenches and laying of pipelines. The use of Quantum Power Ghana Gas Limited 13-4 Knight Piésold Consulting

7 these equipments will involve the creation of additional safety zones and increased restricted areas. Sensitive Receptors It is recognised from the baseline socio-economic surveys, that fishing is the predominant occupation in the SSA. Key receptors to the impact are located within the social study area and the wider social area of influence. This includes industrial/commercial trawlers, purse seiner and artisanal/canoe operators. Significance of Impact (Pre-mitigation) Nature of Impact Positive Negative Direct Indirect Cumulative Rating of Impacts Summary of Reasoning Direct impacts from reduced income generation will be experienced by fishermen, fish mongers and fish buyers. Persons involved in other fishing activities such as net fixing and repair of boats and canoes will be indirectly impacted during the project construction period. The impact has been assessed as negative across the social area of influence and the social study areas. It is recognized that the likelihood of this impact is DEFINITE, and its significance will be MODERATE. Severity 4 High Reversibility 3 Recoverable Impact Criteria Duration 3 Medium term Spatial Extent 5 Local to Regional Probability 5 Definite Significance 75 MODERATE Recommendations and Mitigation/Management Measures In order to reduce the effect of this impact, the following management measures are suggested: Quantum Power will develop and provide a chart showing the pipeline routes and position of offshore permanent structures. The charts will enable chief fishermen and other heads of fishing associations educate their members on the location of the pipelines and any restrictions areas created. Quantum Power must provide exact construction zones for the project and identify key and critical areas where fishing activities takes place. Quantum must assure local fishermen and fishing association of the construction timelines available to the project and where there will be any delays, this must be communicated. Quantum Power will establish a community liaison office within the project impacted areas. The office will have a community liaison officer who he/she will engage with local fishermen. The community liaison officer will be the designated point of contact for the community. Ensure that the community understands that this person is a point of contact for the project and that they can have access to him/her at all times, that they act as means of Quantum Power Ghana Gas Limited 13-5 Knight Piésold Consulting

8 communication with the project management and are a potential source of conflict resolution with the project as well. This Community Liaison Officer should be integrated into the management of the grievance mechanism process. Develop a grievance mechanism as a part of a wider Stakeholder Engagement Plan enabling community concerns to be documented and resolved in a timely fashion. Quantum Power must establish a community and external relations office which will liaise with fishermen on all complaints received. Community liaison officers will have to constantly engage and update local communities and fishermen on the project construction operations. The community and external relations office must continue educating fishermen on the observed impacts. Where necessary, Quantum Power must provide assistance fishermen through registered fishing associations. These actions must be captured in Quantum Power s Community Development Programme. Residual Impact (Post-mitigation) Impact Reduced income generation related to fishing (Pre-Mitigation) MODERATE (Post-Mitigation) LOW Loss of Subsistence Crops within the Right of Way Description of the Baseline Environment Access to land within Tema is limited and scarce due to the vast industrial development within the region. It was determined from the social survey that portions of lands within the proposed RoW are administered by the Tema Development Corporation (TDC), Tema Metropolitan Assembly (TMA), and Kpone Traditional Council (KTC). Most households within the social study area have high level of dependency and communal use of lands within the RoW where families and individuals are engaged in subsistence farming. It was determined from stakeholder engagement exercise that subsistence cropping in the RoW is not a controlled activity by any authority. Farmers at their freedom use portions of lands within or close to the RoW/servitude for farming. The times of visit of the social survey team did not allow for identifying and engaging with farmers in the RoW. The major food crops grown include; okro, garden eggs, tomatoes, maize and cassava. During construction of the project onshore facilities, lands for farming will be permanently lost through land clearance. This impact to land access is definite and of medium term duration as farmers may return to use the lands once pipelines are buried beneath earth. The loss to access of lands for subsistence farming will also impact on income generation ability by local residents. The impact of loss of income or lowered income generation is definite and will occur in the medium term. The impact significance is recognised as MODERATE as it is recoverable. While there are direct impacts to farmers, the indirect impact to buyers and sellers are also assessed. However indirect impacts on buyers and sellers are low and over a short term period as they can always purchase their produce from other farmers. Proposed Project Activities Quantum Power Ghana Gas Limited 13-6 Knight Piésold Consulting

9 Quantum Power has proposed the use of existing VRA RoW/servitude for the construction and laying of gas pipelines for distribution to various IPPs. The positive significance to using the existing RoW is to prevent the further acquisition of land by the project and disturbances to the natural ecosystem. The project components will include onshore (land based) construction of the metering station and laying of gas pipelines. The metering station will be constructed in proximity to the WAGP metering station. The laying of pipelines will travel in the existing VRA RoW servitude and parallel to VRA constructed gas pipelines. Using the existing RoW is significant to this project so as to avoid further distance to the project area. As much as possible the project development will be restricted to the corridors of the RoW in order not to damage adjacent land uses within the area. Sensitive Receptors Sensitive receptors to this impact are those within the study areas involved in subsistence cropping. These groups are mainly located within Bankuman and Kpone. Significance of Impact (Pre-mitigation) Nature of Impact Positive Negative Direct Indirect Cumulative Rating of Impacts Summary of Reasoning Although lands for farming in the RoW are not administered by any authority, the direct impact from the loss of land and space for subsistence farming is a definite and potentially long term impact. Households will lose their source of livelihood and income generation and would have to potentially find new areas for farming. Where no new areas are found it is assumed that households and subsistence farmers may have to adopt other livelihood strategies or return to farming in the RoW once pipelines are buried. Dependants of local farmers and those involved in the purchase of crops for sale from farmers will have indirect effects; however, this is of MODERATE significance since they can always find new markets to buy from. Impact Criteria Severity 5 Very High Reversibility 3 Recoverable Duration 3 Medium term Spatial Extent 2 Local Probability 5 Definite Significance 65 MODERATE Recommendations and Mitigation/Management Measures Quantum Power must establish a community liaison centre within the project area. The liaison centre must establish participatory learning groups within project affected communities to educate individuals on the project and its impacts to farming activities. Implement grievance mechanism as a part of a wider Stakeholder Engagement Plan enabling community concerns to be documented and resolved in a timely fashion. Quantum Power Ghana Gas Limited 13-7 Knight Piésold Consulting

10 Continuously engage and map out all unidentified stakeholders within the RoW/servitude. Identify all subsistence crop farmers within RoW and provide enough information on the project proposed activities and onshore construction durations. Conducting consultation processes that achieve free, prior and informed participation of affected people and communities in the decision making related to farm displacement. Engage with relevant government departments and authorities to understand their mandated roles and responsibilities for land ownership, land occupation and land use within the project area. Engage with government authorities and other project developers to develop spatial land use maps were the project falls. Carefully monitor land acquisition and administration within the project area. Where appropriate, Quantum Power should provide support to local farmers where relocation of farm crops is required. This should be done in consultation with traditional leaders and authorities. Residual Impact (Post-mitigation) Impact Loss of subsistence crops within Right of Way (Pre-Mitigation) MODERATE (Post-Mitigation) LOW 13.2 Social and Cultural Cohesion Erosion of Traditional Governance Mechanisms Description of the Baseline Environment It is assumed that, even during the relatively limited level of activity during the construction phase associated with the Project, there will be an influx of speculative employment-seekers from other parts of Ghana. This could cause conflict between local communities, who hope to get jobs and those from other parts of Ghana who may be more skilled or experienced from work on other projects. Results of the social survey indicated that, there are three (3) major ethnic groups within the various SSA, i.e. Akans, Ewes, and Gas, with the Akans being dominant. The traditional governance system observed in the SSA is typical of every Ghanaian Traditional set up where community decisions and law making is directed from the Chiefs palace and delivered to the people. The decision makers usually comprises; the Chief, Council of Elders and Clan (family) heads. Any influx of job seekers from other parts of Ghana has the potential to affect the way of life and traditional structures especially with the influx of foreign and expatriate workers. Also the social survey identified traditional shrines and cultural heritages within the project area. There is the Segagonna sacred groove, the Gao Nyankomle and Gao Wolumei shrines. The people of Kpone traditional area conduct festive rituals in the month of August every year to honour the gods. The influx of people to the project may have an impact on these cultural resources as they may not have significance for their use. Quantum Power Ghana Gas Limited 13-8 Knight Piésold Consulting

11 The likelihood of the impact is recognised as MEDIUM with a LOW significant effect over a short term period. It is assumed that foreigners will find it difficult to adjust and adapt to the cultural and traditional settings of the regions during the project period. Proposed Project Activities General project construction and development of facilities will take place. Onshore project development will include the establishment of camp facilities, lying of pipelines, and construction of metering station. The project development will employ a series of human resource procurement strategies which will see the influx of people migrating to the local community and wider social area of influence. Sensitive Receptors Sensitive receptors include populations in the various project affected communities. The people of Kpone have high spiritual attachments to; the Segagonna sacred groove, the Gao Nyankomle and Gao Wolumei. With the influx of people into the area, these traditional sites may be impacted on. Significance of Impact (Pre-mitigation) Nature of Impact Positive Negative Direct Indirect Cumulative Rating of Impacts Summary of Reasoning The influx of foreigners and migrant workers in search of job and the procurement of permanent project workers will potentially have an impact on the traditional set up within the various SSA. The impact may potentially occur, and its significance recognised as LOW and over a short period of time. Severity 3 Moderate Reversibility 3 Recoverable Impact Criteria Duration 3 Medium term Spatial Extent 5 Local to Regional Probability 3 Medium Significance 42 LOW Recommendations and Mitigation/Management Measures Appoint a Community Liaison Officer as a designated point of contact for the community. Ensure that the community understands that this person is a point of contact for the project and that they can have access to him/her at all times, that they act as means of communication with the project management and are a potential source of conflict resolution with the project as well. This Community Liaison Officer should be integrated into the management of the grievance mechanism process. Develop a grievance mechanism as a part of a wider Stakeholder Engagement Plan enabling community concerns to be documented and resolved in a timely fashion. Quantum Power to develop a project site wide cultural awareness and management programme. The schedule of the programme will have to educate workers on existing Quantum Power Ghana Gas Limited 13-9 Knight Piésold Consulting

12 traditional systems within the SSA and observance of traditional rights as part of the project. Develop relationships with and maintain ongoing engagement with directly impacted persons, aligned with stakeholder engagement strategy in a forum consistent with their cultural traditional norms and practices. Constantly engage with the Traditional Council to identify sensitive traditional and cultural assets in the project area. Provide support and community capacity building among traditional leadership to diffuse or resolve tensions within and between local and project migrant communities. Residual Impact (Post-mitigation) Impact Erosion of traditional governance mechanism (Pre-mitigation) LOW (Post-Mitigation) NEGLIGIBLE Loss of Local Sense of Place and Decreased Social and Cultural Cohesion Description of the Baseline Environment The project site is located within the heavy industrial area of Tema. The area is occupied by other similar power plants and high energy demanding factories. The Tema LNG project will be located offshore the coast of Tema and will have pipeline infrastructure across Tema and Kpone. Communities in the SSA are characterised by serene and tranquil atmosphere with less industrial operations. Households within the SSA and wider SAI are very peculiar about their location and have keen interest in preserving the cultural and aesthetic attachments to the area. It was determined from the social survey that, households spend most of their leisure periods in their homes and sitting along the beach. This is a unique characteristic for any community located along a water body. Tourism establishments within the SSA are not a prominent activity except, for the construction of few hotels and rest places. Project construction activities and operations will create restrictions for local residents to access areas close to the beach. Construction activities will impact on the tranquillity and visual aesthetics within the project area. However the impact will be localised but could extend to the wider SAI as people may lose the want and interest to visit such places. The likelihood of the impact occurring is DEFINITE however its significant effect is assessed as MODERATE. It is predicted that the households will get adapted to the changes and the impact will be reduced or negligible over time during the operational phase as there will be less activities. It is not expected that the operation of LNG carriers will have any significant impact on the visual aesthetics of residents within the SSA. The FSRU and LNG carriers will operate about 12 km offshore and will not be visible to residents in close range. Quantum Power Ghana Gas Limited Knight Piésold Consulting

13 Proposed Project Activities Construction activities of the metering station, camping sites and offices will result in the alteration of landscapes, and potential creation of new land forms. The use of night time flood lights for security purposes and construction during the night will create new visual features for residents. Sensitive Receptors Households within the SSA and SAI and potential tourism activities in the future can be considered as sensitive receptors. Significance of Impact (Pre-mitigation) Nature of Impact Positive Negative Direct Indirect Cumulative Rating of Impacts Summary of Reasoning Direct impact on local residents as they will lose the sense of place. With the influx of persons to the project area, it is envisaged the potential mixture and adaptation of new cultures by project workers and community members may take place. The likelihood of the impact occurring is high on the loss of sense of place. Its significance is however MODERATE as it is predicted that over time local residents will adapt and adjust to the new features within the project area. Severity 3 Moderate Reversibility 3 Recoverable Impact Criteria Duration 3 Medium term Spatial Extent 5 Local to Regional Probability 4 High Significance 56 MODERATE Recommendations and Mitigation/Management Measures Community liaison officer for the project must consistently engage with local residents and educate them about the project and all related construction activities. This will be a good platform for collecting grievances to be addressed by the project. As far as possible, construction of project infrastructure must be restricted to designated areas in order to reduce the impact on visual intrusion. Quantum Power must continue engagement with affected local communities. Through the grievance mechanism and further engagement exercise, Quantum Power will implement community development actions to address the issue of reduced social and cultural cohesion. Residual Impact (Post-mitigation) Impact (Pre-mitigation) (Post-Mitigation) Quantum Power Ghana Gas Limited Knight Piésold Consulting

14 Loss of local sense of place and decreased social and cultural cohesion MODERATE LOW Potential Increase in Anti-Social Behaviours Description of the Baseline Environment Tema in general is an area where there has been a significant decline in social vices and crimes over the years. This is attributed to the boost in police and security forces. It is expected that the project development will see an influx of people and prospective job seekers to the project wider social area of influence including host communities of Bankuman, Kpone and local fishing harbour. As populations change and increase over a short period of time, during the project development phases, there is the likelihood for the potential increase in crime rates and other social vices through change behaviours and influence by immigrant project workers. From the results of the social survey, in-migration into the various study areas is uncommon. Residents have lived almost their entire lives within the communities with just a few migrating from some other parts of Ghana. The migration of project workers to the area may potentially increase crime, violence and tensions within the host community and result in breakdown of law and order. It was determined from the social surveys that law/order and security is very unsatisfactory across the SSA. The likelihood of this negative impact occurring is recognised as HIGH and its significance recognised as MODERATE. Proposed Project Activities Project construction and development will see a potential influx of job seekers to the various communities. This group of job seekers will comprise mainly youth. Sensitive Receptors Project migrant workers and household residents within social study areas. Significance of Impact (Pre-mitigation) Nature of Impact Positive Negative Direct Indirect Cumulative Rating of Impacts Summary of Reasoning With the influx of people to the project area, there is the potential direct introduction of antisocial behaviours. The direct impacts will be on the project workers, the community members and may have indirect impact on the entire project development area. Severity 4 High Impact Criteria Reversibility 3 Recoverable Duration 3 Medium term Spatial Extent 5 Local to Regional Probability 4 High Quantum Power Ghana Gas Limited Knight Piésold Consulting

15 Significance 60 MODERATE Recommendations and Mitigation/Management Measures Engage services of security firm to protect construction workers during project development. Engage and foster good relationships with project affected communities through regular provision of project information and disclosure of any information which will negatively affect the community members during project construction. The community engagement process must continue throughout the operation of the project. Development of community training programmes and sensitization awareness campaigns as part of stakeholder engagement strategies (SES). Develop and implement grievance mechanism as a part of a wider Stakeholder Engagement Plan enabling community concerns to be documented and resolved in a timely fashion. Support community capacity building among traditional leadership to diffuse or resolve tensions within and between local and migrant workers into communities using community police services, traditional courts and dispute resolution mechanisms. Work with community leadership, identified NGOs, voluntary groups and civil society organisations to develop capacity and support for vulnerable groups. Residual Impact (Post-mitigation) Impact (Pre-mitigation) (Post-Mitigation) Potential Increase in Anti-Social Behaviours MODERATE LOW 13.3 Community Health, Safety and Security Increase in Vector Borne and Communicable Disease Description of the Baseline Environment The project is located off the coast of Tema in the Greater Accra Region. From the social surveys conducted, the most common illnesses in the SSAs are malaria, cholera, diarrhoea and headaches. A significant number of people reported suffering from one or more of these illnesses. Malaria is spread by the Anopheles mosquito which breeds in water spools and chocked gutters. Cholera is an acute illness caused by the ingestion of food and water contaminated with bacterium. The prevalence of these diseases in the SSA is as a result of poor sanitary conditions within the areas. From the SSA, it was identified that sanitation conditions are poor and in some areas no proper waste management system was identified. With the significant potential influx of workers to the project area, it is expected that communicable diseases will increase among workers through interaction with local communities and vice versa. The project may also experience the influx of night time (sex) workers to the area which may result in the increase in sexually transmitted infections and HIV cases. The likelihood of this impact Quantum Power Ghana Gas Limited Knight Piésold Consulting

16 occurring is HIGH and the significance factor assessed as MODERATE with potential local to regional influence. Proposed Project Activities Project construction activities may create stagnant water which will serve as breeding site for mosquitoes. Generation of solid and liquid waste, if not properly managed will create unsanitary conditions on site. Workers must be provided with appropriate housing, sanitation and living conditions. Sensitive Receptors Sensitive receptors include populations within the SSA (children, women and elderly), however, may spread to populations within the SAI and project construction workers over a long period. Significance of Impact (Pre-mitigation) Nature of Impact Positive Negative Direct Indirect Cumulative Rating of Impacts Summary of Reasoning Direct negative impacts on populations within SSA and workers/visitors. Sexually transmitted diseases are likely to be transferred from local sex workers within the SSA to other populations in the SAI. The higher the number of workers present, the more likely the workforce will contribute to an expanded sex industry within the project affected communities. Key receptors for malaria, cholera and diarrhoea or those likely to be more affected are children and the elderly as they have weaker immune systems. Project workers may contribute to the spread of these diseases, though they are considered less vulnerable. The severity of a vector borne disease or communicable disease to a worker will depend on the ability of the affected person to seek effective health care. Impact Criteria Severity 5 Very High Reversibility 3 Recoverable Duration 4 Long term Spatial Extent 5 Local to Regional Probability 4 High Significance 68 MODERATE Recommendations and Mitigation/Management Measures Engage the services of a medical professional to conduct medical screening of all staff arriving at project start of work. This must be routine and undertaken throughout the construction period for the project. Develop vaccination programme for all employees, contractors and visitors against relevant vaccine-preventable disease based on risk The medical professional must be present on site at all times. The project must develop a health bay which will provide first aid services to construction workers and further arrangements made with a larger hospital where major cases will be referred to. Community liaison and education on potential health issues the project development will attract to the area. This must be routine and included as work function to the community Quantum Power Ghana Gas Limited Knight Piésold Consulting

17 liaison office. Quantum Power may also partner with an NGO or medical voluntary services group to conduct community sensitization on potential diseases and health problems within the project area. This can form part of Quantum Power s initial response to social responsibility for the project. Develop a disease prevention strategy and liaise with municipal and district assemblies as necessary to ensure that it is aligned to national strategy goals on health delivery. Quantum Power may consider upgrading hospitals and health care facilities in the SSA as part of its corporate social responsibility programs. Ensure adequate housing is available to the project workforce so that overcrowding does not occur. Ensure continuous cleaning of camp facilities and waste management practices. Implement a pest management plan as part of this. Backfill pipeline trenches as soon after excavation as possible to avoid stagnant water in trenches that may provide breeding habitat for diseases vectors. Residual Impact (Post-mitigation) Impact Increase in Vector Borne and Communicable Diseases (Pre-mitigation) MODERATE (Post-Mitigation) LOW Increased Injuries and Mortality from Traffic Accidents Description of the Baseline Environment There are few feeder roads, a trunk road and access routes (paths) within the project development environment. Major roads include the Accra-Tema-Aflao road, the TOR-Valco road and the Aluworks-Kpone road networks. The project site/area is planned to be accessed by a slip road at the junction of the Valco road in Tema. The junction will serve as proposed entry/access route to the site while an existing exit to the Aluworks-Kpone road will be used as an exit to the site. From the baseline traffic surveys conducted, it is determined that, a significant number of vehicles and pedestrians use the access routes to and from the project area. Peak travel hours for vehicles on the access routes within project area are between 07:00-07:59 AM and 17:00-17:59 PM. Pedestrian count peak hours were determined to be 06:00-06:59 AM and 17:00-17:59 PM. The access routes are used by pedestrians and vehicles to reach close by communities in Prampram, Michelle camp, and New Town industrial area. Increased levels of alcohol and substance abuse may occur in the area due to a number of factors, and may result in an increase in road traffic accidents should vehicles be operated under the influence of either. The likelihood of the impact occurring is HIGH; its significance during both construction and operation stages of the project is assessed as HIGH. Proposed Project Activities Project development may begin upgrading and repair of access routes for easy use by vehicles to the project construction site. Accidents from the transport of goods and personnel within the project site and surrounding areas are expected. It is also anticipated that the project pipeline infrastructure will cross the Accra-Tema-Aflao road at the Tema free zone enclave to Kpone Quantum Power Ghana Gas Limited Knight Piésold Consulting

18 Thermal Plant. The crossing activity will generate a mass of traffic during the period and potential human and vehicle accident events. Sensitive Receptors Users of the access routes and feeder roads to the project site may be affected. Populations in the SSA especially residents who use the access routes to Bankuman, Tema New Town and Industrial area will notice an increase in traffic. Project construction workers are also vulnerable to accidents by vehicles. Significance of Impact (Pre-mitigation) Nature of Impact Positive Negative Direct Indirect Cumulative Rating of Impacts Summary of Reasoning During project development, vehicles will move in and out of the project construction site. The access routes has other users, mainly persons who commute between Bankuman and close by communities. Accidents may occur from vehicle head-on collision at top speeds and pedestrian knock down by vehicles. The effects of injury and potential death to workers or community members may occur when accidents happen. Severity 5 Very High Reversibility 3 Recoverable Impact Criteria Duration 4 Long term Spatial Extent 5 Local to Regional Probability 4 High Significance 68 HIGH Recommendations and Mitigation/Management Measures Develop and implement a No Drinking No Alcohol policy on site during both construction and operation. Monitor all vehicles and ensure they have a No Alcohol sticker. The same must be done for all construction equipment and machines. Develop traffic management plan to be approved by Ghana Roads Safety Commission for pipelines crossing the road. Develop health and safety management plan for all operating vehicles and machines. Install traffic safety signage at vantage points along project site access routes. Install traffic calming measures (speed bumps and rumble strips) to slow traffic down where heavy vehicles cross or enter busy roads. Install speed control limits for the project and ensure all vehicles comply with the site driving regulations. Improve and enhance community sensitization on road traffic accidents within the project area. Conduct periodic and routine alcohol checks for all site drivers and site workers. Residual Impact (Post-mitigation) Quantum Power Ghana Gas Limited Knight Piésold Consulting

19 Impact Increased injuries and mortalities from traffic accidents (Pre-mitigation) MODERATE (Post-Mitigation) LOW 13.4 Physical and Social Infrastructure Resources and Services This section includes a discussion and analysis of impacts to physical and social infrastructure Potential Physical Displacement along Pipeline Corridors Description of the Baseline Environment Most International Financial Institutions (IFIs) recognise that development projects which displace people or livelihoods involuntarily, generally give rise to severe economic, social and environmental problems and may create liabilities to the Project. Although, Quantum Power plans to construct the entire length of both the terrestrial and marine pipelines within existing RoW/servitudes and exclusion zones, there is the potential for displacement. It was observed from the social survey and transect walk a number of houses and residential homes/dwellings and business along the landfall site, eastern and western segment of the proposed pipeline RoW/servitude. Physical displacement will require residents and business to move to new locations, reestablish livelihoods and establish dwellings and other associated infrastructure.. Quantum Power is still in the feasibility stage of the design and layout of pipelines and construction of ancillary facilities. Where it is determined after final project design works that, the project development will displace residential homes and business along the RoW, Quantum Power will inform the appropriate authority and will be expected to offer displaced households choices for feasible resettlement options including adequate replacement, housing or cash compensation where appropriate and provide relocation assistance suite to the needs of the group of displaced persons. Although predicted, the significance of this impact is assessed as LOW with a LOW likelihood of occurrence. Proposed Project Activities Project construction and development will involve laying of gas pipelines from the offshore facility (FSRU) to a metering station which will be located in proximity to the WAGP metering station. The gas pipelines will then be connected from the metering station to various IPPs across Tema and Kpone. Sensitive Receptors Residential homes and business structures within the landfall area, eastern and western segments of the proposed RoW/servitude. Significance of Impact (Pre-mitigation) Nature of Impact Positive Negative Direct Indirect Cumulative Quantum Power Ghana Gas Limited Knight Piésold Consulting

20 Rating of Impacts Summary of Reasoning Gas pipeline construction activities along RoW and construction of other facilities may potentially cause the displacement of physical structures, however, it is predicted that construction activities will be restricted to the RoW corridors. Construction methods will be designed as best as possible to minimise or prevent this impact from occurring. Where is it established for the relocation or resettlement of households or business structures, the client or project developer will be responsible for this. Severity 5 Very High Reversibility 3 Recoverable Impact Criteria Duration 5 Permanent Spatial Extent 2 Local Probability 2 Low Significance 30 LOW Recommendations and Mitigation/Management Measures Design and ensure that construction activities are limited to the designated corridors of the pipeline routes. Develop and implement grievance mechanism as a part of a wider Stakeholder Engagement Plan enabling community concerns to be documented and resolved in a timely fashion. Continue community consultation and stakeholder engagement to identify potentially displaced residents and households within RoW. Where resettlement becomes necessary, Quantum Power will be advised to develop a Resettlement Action Plan (RAP) to manage the displacement of people and physical assets. Residual Impact (Post-mitigation) Impact Potential displacement of physical structures along pipeline corridors (Pre-mitigation) LOW (Post-Mitigation) NEGLIGIBLE Reduced Access, Pressure and Overburdening of Physical and Social Infrastructure Description of the Baseline Environment From the social household survey conducted, it was determined that currently the majority of social infrastructure is adequate. There is, however, limited access to health care facilities within Bankuman and local fishing harbour with Kpone being the only community within the SSA with a district hospital. The limited access to healthcare facilities poses significant threat to local residents in the likely event of any major disease occurring. Quantum Power Ghana Gas Limited Knight Piésold Consulting

21 Educational facilities and religious infrastructure on the other hand was found to be adequate. There are enough schools in Bankuman and Kpone and the schools in Tema Manheen are accessible by households in the local fishing harbour area. The proliferation of churches attest to Christianity being the dominant religion as determined from the SSA. Infrastructure for water delivery, proper sanitation and waste management is on the other hand inadequate. The project development will attract an influx of people, mainly job seekers. As the number of people within the SSA increase, the dependency on social resources from these communities will also change. The project development through the construction of camping sites and offices will also impact on the existing infrastructure in the project area. This impact is assessed as LOW. Proposed Project Activities Labour procurement during Project development and construction will see potential influx of job seekers into the study areas. As populations increase in the study areas, the dependency on social infrastructure will increase. The short term increase in population across the study areas will potentially influence renting and accommodation cost, as house owners will be tempted to make huge profits within a short period of time. Sensitive Receptors Project migration workers and household residents within the social study areas. Significance of Impact (Pre-mitigation) Nature of Impact Positive Negative Direct Indirect Cumulative Rating of Impacts Summary of Reasoning The impact on physical and social infrastructure during the project development period is recognised as LOW. Although the influx of immigrants to the various communities is expected, the numbers will reduce as procurement of project workers ends. It shall be the project s objective to procure labour for low skilled jobs from the SSA.As workers become permanently resident in the communities; it is assumed that they will increase the dependency on physical resources such as water and electricity. Severity 4 High Reversibility 3 Recoverable Impact Criteria Duration 3 Medium term Spatial Extent 2 Local Probability 3 Medium Significance 36 LOW Recommendations and Mitigation/Management Measures Encourage local workforce to stay within the community and accommodate migrant workers in site camps. Ensure the provision of utilities (water, electricity) and accommodation is adequate. Quantum Power Ghana Gas Limited Knight Piésold Consulting