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1.0 INTRODUCTION NTPC Ltd is proposing to setup Khargone Super Thermal Power Project (2x660 MW) in Khargone district of Madhya Pradesh. The project is being implemented as regional Mega power project for meeting the power demand of Western Region Beneficiaries. The exact allocation of power from the project amongst the beneficiaries of the region or other states outside the region shall be subject to the approval of Ministry of Power, Govt. of India. The project is expected to start yielding benefits during the end of XII Plan Period. The Terms of Reference (TOR) for EIA study for Khargone STPP (2x660 MW) was accorded by MOEF on 09.12.2010. In accordance with the Term s of Reference (TOR) the draft EIA report is prepared by M/s Kirloskar Consultants Limited, Pune based on three months baseline data monitored during April 2011 to June 2011. 1.1 PROJECT DESCRIPTION 1.1.1 SITE AND SURROUNDINGS The proposed site is located at latitude 22 0 03 25 N to 22 0 04 01 N and longitude 75 0 50 02 E to 75 0 50 38 E near villages Selda & Dalchi in Khargone district, Madhya Pradesh. The site is about 30 Km away from Sanawad and is approachable from Sanawad on Indore Khandwa State Highway through PWD road. Nearest Railway Station is Sanawad on Northern Central Railway and is about 30 Km away from proposed site and the nearest commercial airport Indore is about 105 Km from the proposed site. The project site with study area within 7 Km radius is shown in Figure - 1. 2.0 PROJECT FEATURES 2.1 Land About 1334 acres of land is being acquired for power plant and its associated facilities. Govt. of Madhya Pradesh vide letter dated 02.02.10 have accorded in-principle land commitment of 1750 acres for the project. 2.2 WATER SOURCE AND REQUIREMENT Make up water requirement for the project would be about 46 cusecs which is proposed to be drawn from Omkareshwar dam on river Narmada at a distance of about 45 Km from proposed site. Govt. of Madhya Pradesh vide letter dated 02.02.10 have accorded commitment for 55 Cusecs of water from Narmada river for the project.

Executive summary of Draft Environmental Impact Assessment Report for Khargone Super Thermal Power Project (2 X 660 MW) Doc No. 9578/999/GEG/S/002 Rev No. 0 Issue Date : 15.09.2011 Page 2 of 11 Figure 1

Power Project (2 X 660 MW) Page 3 of 11 2.3 COAL AVAILABILITY AND TRANSPORTATION The coal requirement for 2 x 660 MW units shall be about 6.51 MTPA based on average gross calorific value of 3500 kcal/ kg. Coal from SECL to be transported through railway network (about 890 km) has been considered. 2.4 POWER EVACUATION SYSTEM Based on the beneficiary states/regions of the project, the Associated Transmission System (ATS) would be finalised by Power Grid Corporation of India Limited (PGCIL) \ CEA. 2.5 ENVIRONMENTAL IMPACT ASSESSMENT STUDY The draft EIA report has been prepared for submission to M.P Pollution Control Board for conducting Public Consultation process and obtaining Consent to Establishment. After Public hearing, Ministry of Environment & Forests shall be approached for obtaining Environmental Clearance (EC). This will be in accordance with the procedure laid down in the EIA Notification dated 14 th September, 2006 and further amendments dated 01.12.2009. 3.0 BASELINE ENVIRONMENTAL STATUS 3.1 Meteorology Site specific meteorological data is analysed and presented for monthly maximum, minimum and average values for Temperature, Relative humidity, Solar radiation, Rainfall and Atmospheric pressure along with Wind speed and direction in TABLE 1.1. TABLE - 1.1 SITE SPECIFIC METEOROLOGICAL DATA SR. NO. PARAMETERS UNIT April May June 1 Wind speed Max m/s 4.2 6.4 9.4 2 Wind Direction 3 Temperature 4 Relative Humidity 5 Atmospheric Pressure 6. Solar radiation Avg m/s 0.61 1.66 3.2 Predominant W W WSW Max Min Avg 0 C 0 C 0 C 42.4 42.4 49.3 18.2 25.5 23.3 29.8 34.0 32.9 Max % 76.0 85.1 92 Min % 44.6 55.2 20 hpa Max 1015.6 1011.6 974.1 Max 935 978.2 980.2 Wm -2

Power Project (2 X 660 MW) Page 4 of 11 3.2 Air Quality Ambient air quality was monitored at four monitoring locations during the months of April to June 2011 in the study area. The results of ambient air quality monitoring are given in TABLE - 1.2. The results indicate that the background levels of all the parameters in the study area are within the permissible limit of National Ambient Air Quality Standards 2009 for Industrial, Rural, Residential and Other areas. DISCIPLINE TABLE - 1.2 BASELINE AIR QUALITY IN THE STUDY AREA MAIN PARAMETER RANGE MEASURED DURING THE STUDY PERIOD (µg/m 3 ) NAAQ STANDARDS (2009)* Ambient Air SPM 72.84-137.1 - Quality RPM (PM10) 28.40-60.49 100 µg/m 3 PM2.5 13.20-31.98 60 µg/m 3 SO 2 4.30-13.18 80 µg/m 3 NO X 4.28-12.14 80 µg/m 3 OZONE 21-24 100 µg/m 3 Hg BDL --- * 24 hourly average for Industrial, Rural, Residential and Other areas 3.3 Water Quality To assess the background water quality, Three (3) surface water locations and three (3) ground water locations were selected and samples were drawn and analysed on monthly basis during the study period. Analysis of all ground water samples reveal that the water quality conforms the IS: 10500. None of these samples contain heavy metals. Water quality of some of the important parameters are shown in TABLE- 1.3 TABLE -1.3 WATER QUALITY S.NO MAIN UNITS MIN-MAX LEVEL PARAMETERS IS:10500 OBSERVED DURING THE STUDY PERIOD Surface water quality IS-2296 1 ph 6.5-8.5 7.28-7.52 2. Total Dissolved 500 83-309 solids mg/l 3. Total Hardness mg/l 300 56-156 4. B.O.D mg/l - BDL - 5 Ground water Quality IS-10500 1 ph 6.5-8.5 6.93-7.65 2. Total Dissolved 500 430-602 solids mg/l 3. Total Hardness mg/l 300 184-364 4. B.O.D mg/l - 2.0-3.2

Power Project (2 X 660 MW) Page 5 of 11 3.4 Noise Noise levels were measured in and around the proposed site at ten (10) locations. The noise level in the residential area during daytime were in the range of 42.1 to 52.1 db(a) while during night time it was 38.2 to 43.2 db(a). The noise levels at all the monitoring locations in the study area during the day time and night time were found to be within the permissible limits as per ambient air quality standards with respect to noise. 3.5 Soil To assess the soil quality, soil samples from ten (10) different locations were collected and analysed in the laboratory. The soil in the study area is grey and brown in colour with ph varying from 7.37 to 8.12. The EC is observed in the range of 83.8 to 284.39 µs/cm. Nitrogen content and phosphorous content in the soil is found to be in the range of 293.0 to 381.72 kg / ha and 4.12 to 36.1 kg/ha respectively. 3.6 Ecology The study area has sparse vegetation mainly open scrub type. The land proposed for the project does not have densely vegetation cover. The area near project site is surrounded by various kinds of trees, herbs, shrubs, climbers and grasses. The study area was dominated by tree species like ficus bengalesis, Mangifera indica, ficus religiosa, Buchanania lanzan, Diospyrus melanoxylon, Termilania bellarica, Albizzia procera, Acacia catechu and Mangifera Indica. The number of herbivorous animals is definitely much less in the study area. However, some indirect evidence in some confined areas suggests the presence of some animals like Langur (Presbytis entellus), Jackal (Canis aurcus), Rhesus monkey mongoose etc., There are no ecologically sensitive areas like National Parks or Wildlife Sanctuaries, Tiger Reserves, Elephant Reserves, Turtle Nesting Ground and Core Zone Biosphere Reserve within the 10 km radius of proposed site. 3.7 Land Use The study area has varied land use pattern ranging from human settlements, agricultural fields to forest areas. As per census 2001, majority of the land is unirrigated land (36.36%) followed by irrigated land (27.04%) and forest land (17.26%). 3.8 Demography and Socio-Economic Status The demography and socio-economic profile of population in the study area has been studied based on Census Book, 2001. The salient features of the demography and socioeconomic profile are as follows: Number of villages and households are 43 and 8093 respectively Total population is 44158 The Sex Ratio (Female per 1000 Male) is 925 The Scheduled Castes (SC) is 16.56% and Scheduled Tribes (ST) is 21.05 % Overall literacy rate in the study area according to 2001 Census is 55.27 %., out of which male literacy is 34.6 % while female literacy is 20.66 %. The percentage of main workers and marginal workers are 40.1% and 7.0% respectively.

Power Project (2 X 660 MW) Page 6 of 11 4.0 ANTICIPATED ENVIRONMENTAL IMPACTS The impact of the project during construction and operation phase is described below: 4.1 Land Use The main power plant, ash disposal area, township, greenbelt and other facilities is proposed to be located within an area of 1334 acres. This will lead to changes in land-use pattern in and around the proposed project. The construction activity would bring immediate changes in the land use pattern of the proposed plant area as well as in the vicinity. The land required for the project will undergo a change due to cutting, stripping, excavation, levelling, landscaping, loss of vegetative cover and erection of structures of the proposed project. Greenbelt development and afforestation programmes shall be taken up to mitigate these impacts and overall improvement in the area with green cover. 4.2 Soil The impacts on soil during construction phase shall be mainly due to loss of top soil in the construction areas and contamination of the soil of surrounding area due to construction materials such as cement, sand, oils etc. Such disturbances will remain confined to the area of activity and will be temporary in nature. Appropriate soil conservation measures associated with improved construction techniques would minimize such impacts. The impact on the soil during operation of the project could result due to deposition of residual particulate matter and gaseous emissions. The impact on the soil due to operation of the power plant and gaseous emissions would be negligible. However, periodic monitoring of soil will be undertaken at the maximum impact zone of the pollutants mentioned above. 4.3 Hydrology and Water Use The water for the project will be drawn from Omkareshwar dam on river Narmada which is located at a distance of about 45kms. The entire water requirement for the project would be about 4735 m3/hr. The Narmada river is the largest west flowing river in India and hence drawal of water for the project may not have significant impact on water potential of the reservoir. 4.4 Air Quality 4.4.1 Impact during Construction Phase The main sources of emission during the construction period are the movement of equipment at site and dust emitted during the levelling, grading, earthworks, foundation works and other construction related activities. The impact of construction activities would be temporary and restricted to the construction site. The impact will be confined within the project boundary and is expected to be negligible outside the plant boundaries.

Power Project (2 X 660 MW) Page 7 of 11 4.4.2 Impact during Operation Phase Prediction of impacts on air environment has been carried out employing mathematical model based on a steady state Gaussian Plume Dispersion Model designed for multiple point sources for short term. In the present case, Industrial Source Complex (ISC-3) 1983 dispersion model based on Gaussian Plume dispersion, designed for multiple point sources for short term and developed by United States Environmental Protection Agency (USEPA). The maximum GLCs for SPM, SO 2 and NOx after implementation of the proposed project are likely to be within the prescribed standards for industrial areas. The maximum incremental GLCs due to the proposed project are superimposed on the 98 percentile of the baseline SPM, SO2 and NOx concentrations recorded at the monitoring locations during the study period. The cumulative concentrations after implementation of the project are given in TABLE 1.4 POLLUTANT TABLE - 1.4 RESULTANT CONCENTRATIONS FOR KHARGONE STPP 98%le AAQ Concentration recorded during study period Maximum incremental concentration due to the proposed project Resultant concentration (µg/m 3 ) SO2 12.72 17.42 30.14 NOx 11.62 4.43 16.05 SPM 133.82 0.43 134.25 4.5 Water Quality The impact on water quality during construction phase will be mainly due to run off from the construction area. Adequate arrangements for proper drainage and disposal of waste water and routing of the effluents from construction area through sedimentation basins and provision of proper sanitary facilities with treatment will eliminate problems of water pollution during construction phase. The impacts of the project during operation phase could result from discharge of hot cooling water, discharge of main plant effluents and sanitary effluents and discharge of ash pond overflow. These effluents will be treated adequately to conform to the regulatory standards to minimize the impacts. 4.6 Noise The resultant noise was predicted at 500 m and 1 km from the centre of the proposed site respectively. The maximum predicted noise level at 500 m from the centre of the proposed plant is 48.65 db(a) & minimum predicted noise level 27.5 db(a). At 1km the minimum and maximum predicted noise levels are 21.4 db(a) and 41.4 db(a) respectively. As the ambient noise levels are higher than the predicted noise levels, due to masking effect no increase in ambient noise levels during construction and operation phase is envisaged.

4.7 Terrestrial Ecology Executive summary of Draft Doc No. 9578/999/GEG/S/002 Power Project (2 X 660 MW) Page 8 of 11 The initial construction works at the project site involving land clearance, cutting, filling and levelling will cause loss of potential agricultural productive land and loss of vegetation to some extent. The removal of herbaceous vegetation from the soil and loosening of the top soil generally causes fugitive emission. Control measures such as paving and surface treatment, water sprinkling and plantation would minimize these impacts. The increase in vehicular traffic due to construction coupled with higher noise level due to various constructional activities may drive away the local fauna from project site to neighbouring area. However, project site / area do not harbour fauna of significant importance. Hence, the impact on fauna is expected to be minimal. Combustion of coal produces gaseous and particulate pollutants. The gaseous pollutants like SO2 and NOx, at a very low dose act as atmospheric fertiliser for the vegetation. However, at higher doses, they are injurious to both vegetation as well as animals. However, since the predicted ambient ground level concentrations of pollutants are within the prescribed AAQ standard for industrial area, the impact during operation would be negligible. 4.8 Aquatic Ecology The treated effluents conforming to regulatory standards shall be discharged into natural drains. However, as the quantity is small and the effluents shall be fully treated, the water quality of the receiving water body may not change significantly. Therefore, no significant impact on the aquatic eco-system is expected. 5.0 ENVIRONMENTAL MANAGEMENT & MONITORING PLAN NTPC is already operating various coal based thermal power projects of various capacities all over India. Based on its vast experience, NTPC has envisaged various pollution control / environmental mitigative measures for the project. Following measures are recommended for implementation during construction and operation phases of the project. 5.1 Construction Phase During construction phase, water shall be sprinkled in the vulnerable areas to suppress the dust generated during excavation, levelling and other operations. The effluents from construction area shall be channelled through sedimentation tanks to remove suspended solids. Suitable water supply and sanitation facilities shall be provided to the labour colonies housing the construction work force. The sanitary waste from these areas shall be accorded suitable treatment measures such as septic tanks. Safety equipment such as earplugs and earmuffs, helmets, face shields, safety goggles etc shall be provided to workers engaged in high risk area. A first aid centre shall be established to provide immediate medical aid to the workers and their family members. An ambulance shall also be made available at site to transport injured workers to nearby hospitals.

5.2 Operation Phase 5.2.1 Air Pollution Control System Executive summary of Draft Doc No. 9578/999/GEG/S/002 Power Project (2 X 660 MW) Page 9 of 11 High efficiency electrostatic precipitators (ESPs) will be installed to limit the particulate emission to 100 mg/nm 3. To facilitate wider dispersion of pollutants one stack with twin flue of height 275 m above plant grade level shall be provided. Space provision should be kept in the layout for retrofitting Flue Gas Desulphurisation (FGD) system, if required in future. For control of fugitive dust emissions within and around the coal handling plant and coal / stockyard dust extraction / suppression systems shall be provided. 5.2.2 Water Pollution Control System An effluent management scheme, consisting of collection, treatment, recirculation and disposal of effluents shall be implemented in order to optimize the make up water requirement as well as liquid effluent generation. The detail of water system for the project is described as follows: The liquid effluents shall be collected and treated/ recycled as per the following design philosophy: The filter backwash water of PT Plant shall be collected and recycled back to the inlet of clarifiers. The sludge from clarifiers of Water PT Plant shall be collected in a sump / pit and shall be pumped to bottom ash slurry sump for disposal to bottom ash dyke. The waste effluents from neutralization pits of DM Plant and Condensate Polishing Plant shall be collected in the respective neutralization pits and neutralized before pumping to the Central Monitoring Basin before final disposal. Re-Circulating type Cooling Water (C.W) system with cooling towers shall be provided. The C. W. blow down shall be from cold water side to ensure no thermal pollution CW system blow down would be used for service water system, fly ash handling, bottom ash handling and coal dust suppression. The unused blow down shall be led to Central Monitoring Basin after treating through clarifiers / tube settlers. A coal settling pond shall be provided to remove coal particles from coal handling plant waste. Decanted water shall be pumped back to the coal dust suppression system. Service water effluent collected from plant drains shall be led to a sump. From the sump the service water shall be pumped through tube settler / clarifier for treatment of suspended solids. Treated service water shall be sent back to service water tank to the extent possible for re-use. The sludge from clarifier/ tube settler shall be disposed off in bottom ash dyke along with bottom ash slurry.

Power Project (2 X 660 MW) Page 10 of 11 An independent plant effluent drainage system would be created so as to ensure that plant effluents do not mix with storm water drainage. Efficient operation of various treatment schemes shall be ensured so that the quality of treated effluent from CMB conforms to relevant standards, prescribed by regulatory agencies. The sewage from plant and township shall be treated in a sewage treatment plant. The treated effluent conforming to prescribed standards shall be utilized for plantation. 5.2.3 Noise Pollution The major noise generating sources are the turbines, turbo-generators, compressors, pumps, fans, coal handling plant etc. from where noise is continuously generated. Acoustic treatment shall be provided to control the noise level below 90 db (A). Wherever required, the workers shall be provided with protective equipment such as ear plugs/ ear muffs. 6.0 ASH UTILIZATION An ash utilization plan has been developed to utilize ash as per Ministry of Environment & Forests Notification on Ash Utilization dated 03.11.2009 Khargone STPP shall produce about 8,000 tonne of ash per day. The potential of ash utilization are in various areas including mine filling, cement plants, cement and concrete, bricks manufacturing, agriculture, wasteland development, road construction, low lying area filling etc. NTPC shall provide Dry Ash Extraction System (DAES) system for 100% extraction of dry fly ash along with suitable storage facilities. Provision shall also be kept for segregation of coarse and fine ash, loading this ash into closed / open trucks and also for loading rail wagons. 7.0 AFFORESTATION AND GREEN BELT DEVELOPMENT A green belt of 100 m width has been planned all around the main plant area except the switchyard side. In addition, large scale afforestation and green belt development activities shall be implemented in all available spaces within the main plant and township areas. Further, avenue plantation will be undertaken along road in Plant and Township area. 8.0 REHABILITATION & RESETTLEMENT Rehabilitation and Resettlement (R&R) plan will be framed in consultation with State Govt. and PAPs based upon R&R Policy, 2007 of Govt. of India, NTPC s R&R policy and State Govt s R& R policy. Further, Community Development will be undertaken during operation phase of the project as a part of Corporate Social Responsibility. SOCIO ECONOMIC SURVEY The socio economic study was awarded to Indian Institute of Social Welfare and Business Management (IISWMB) Calcutta in May 2011. the Socio Economic Survey is under progress.

Power Project (2 X 660 MW) Page 11 of 11 9.0 POST OPERATIONAL MONITORING PROGRAMME Regular monitoring of pollutants in different environmental disciplines like ambient air, stack emission, treated waste water, etc. shall be conducted and the data shall be submitted to State Pollution Control Board regularly. The monitoring locations will be finalized in consultation with State Pollution Control Board. The plant will be equipped with all necessary equipment and manpower for ensuring effective monitoring. 10.0 INSTITUTIONAL SET- UP The post operational monitoring programme will be under the supervision of the Environmental Management Group (EMG) at the project site. The station will be equipped with all necessary instrumentation / equipment and manpower required for ensuring effective monitoring. The EMG at site will interact with State Pollution Control Board on all environmental issues during operation of the station. 11.0 CLEAN DEVELOPMENT MECHANISM (CDM) Sustainable power generation has been one of the prime objectives of NTPC since inception. Towards achieving this objective, various measures have been introduced to ensure minimum degradation of the environment due to the operation of the power stations. As a part of agreement under Kyoto Protocol the CDM has been introduced to enable trading of Certified Emission Reduction (CER) between the developed countries and the developing countries. It is envisaged to take up NTPC proposed 2x660 MW, coal based Khargone STPP having higher steam cycle supercritical parameters as a CDM project. Adoption of higher cycle parameters will improve power plant efficiency and thereby reduce coal consumption per unit of electricity generation with consequent reduction in CO2 emissions. CDM revenue is one of the prime considerations for the project. The project is an ideal case for CDM benefits, being environmentally benign with less emission of Green House Gases (GHG). 12.0 ENVIRONMENTAL COST A cost provision of Rs 1421.14 Crores has been kept towards providing environmental measures.