10 December 2007

Summary of Environmental and Social Consideration in Development Study

(Preparatory Study)

1. Project Title: The Study on Bheramara 450MW Combined Cycle Power Station in Bangladesh

2. Type of the study: Feasibility Study

3. Environmental and social considerations category: A

The project is classified as ‘Category A’ because of the following reasons:
(1) The project may cause negative environmental and social impacts including involuntary
resettlement, water usage or water rights and rights of common, hydrological situation, air pollution,
water pollution.
(2) The project requires a full-scale environmental impact assessment according to the
Bangladesh laws and regulations.

4. Responsible agencies which implement the project

Bangladesh Power Development Board/ Ministry of Power, Energy and Mineral Resources

5. Outline of the Project

(1) Objective
The objectives of the Study are to:
1) Conduct feasibility study on Bheramara 450MW combined cycle power station with
transferring technology to Bangladesh counterpart personnel concerning the construction of power
station,
2) Design the Business Plan for Bheramara power station in addition to institutional
framework of the NWPGCL.

(2) Location
Bheramara power station where JICA is planning to implement the F/S, located in Kushtia
District, Kulna Division. The project site is adjacent to Ganges, and located in a place near
West Bengal.

(3) Scope of the study

The scope of the study includes;
1)Feasibility Study for Bheramara 450MW combined cycle power station
(1) Analyze the Necessity of the Project
(2) Site Investigation Works
a) Preparation of Site Investigation Works
b) Land Survey
c) Soil Foundation Investigation
d) Hydrological Investigation
e) Others as required to implement the proposed Bheramara project.
(3) Preliminary Design of Bheramara Power Station
a) Selection of Development Scale
b) Determination of Technical Specifications
c) Basic Design
(4) Planning Implementation Schedule
(5) Cost Estimation Analysis
(6) Procurement Analysis
(7) Planning Operation and Maintenance System
(8) Economic and Financial Analyses
(9)Operation and Effect Indicators Preparation
2) Environmental and Social Considerations
3) Design of Corporate Rules for NWPGCL
a) Corporate management organization rule setting out corporate organization under the
 Board of NWPGCL and duties and powers authorized to each organization
b)Personnel management, HRD/carrier development activities and employees service rules
c) Job description
d) Pay and remuneration structure rules
e) Provident fund rules
f) Financial rules
4) Business Plan of Bheramara Power Station
The Business Plan includes, but not limited to, such rules as mentioned as below;
a) Organization as a part of NWPGCL to ensure completion of the power plant in time and
in performance as planned
b) Design of work program and time schedule for completion of the power plant
c) Financial projection during design, engineering and construction
d) Organization as a part of NWPGCL to ensure operation of the power plant as planned
e) Personnel employment plan
f) Subsidiary loan agreement, PPA, FSA, maintenance agreement and other core
agreements and contracts
g) Financial projection after completion during operation
h) Bheramara Power Station rules under the Corporate Rules, if necessary

6. Description of the project site

For the last few years the country is facing serious load shedding due to shortage of
generation capacity. The peak demand is expected as approximately 4,700MW as of 2006 while
actual supplied capacity (maximum) has been 3,782MW dated on 30 October 2005, in which it is
recognized that approximately 20% load shedding against the peak demand has been consistently
existed in the power system.
The demand in the country is increasing at the rate of about 8% per annum. As per
PSMP 1 , the anticipated demand in 2012, 2017 and 2025 will be 7,732 MW, 11,291 MW and
19,312 MW respectively. It can be understood that more than 5,000MW of capacity should be
urgently built within next coming 5 years, and around 20,000 MW of new power plants should be
necessitated by 2025 in order to meet the future demand, taking account of 25% of reserve margin
for achieving appropriate reliability in the system operation.
The project site, Bheramara Powe Station, currently runs 3x20MW single combustion
gas-turbines (SCGTs), while these units are planned to be retired by 2009. Including the land for
the existing plants, BPDB possesses 70 acres of land in Bheramara station. BPDP, the main counter
part of the project, could be easily acquired additional land, owned by Water Development Board,
where is adjacent to exciting power plant for the new plants if needed. Further, current water,
railway and road communication systems are workable to carry heavy machineries and to manage
the new power plants.
Moreover, Bheramara is connected with national grid through Kustia, Faridpur and
Ishurdi 132 KV transmission system. Moreover, 230 KV backbone transmission line from
Barapukuria – Bogra – Sirajgonj – Baghabari – Ishurdi – Bheramara – Khulna South is under
implementation by PGCB, financed by ADB, which is scheduled to be completed by 2010. This
backbone transmission line in the west part of the country will connect all the power generating
stations and load centres.
However, there are some uncertain issues concerning the project. Ganges river, one of the
biggest river in the world, has seemingly plenty of water in order to operate the new power plants.
Nonetheless, data say that there is a big gap between rainy and dry season in terms of quantity of
water so that JICA should investigate the feasibility whether runoff from the plants might impact to
the river environment because combined cycle gas turbine utilize huge amount of water,
approximately 15-20m3 per second, to cool down the machine.
Bangladesh has already had several environmental laws and regulations. However,
capability for law enforcement and environmental management stay low because weak awareness
and motivation against environment do not allow organizations and people to pay attention to
environmental and social negative impacts. Environmental and social issues are still low priority in
implementation of development activities so far. Thus, JICA has to make support to the

1 PSMP: Power System Master Plan Update (Power Cell, ADB TA No. 4379-BAN, June 2006)
Government of Bangladesh, especially counterpart organizations in terms of environmental and
social considerations while implementing the project.

7. Legal Framework of environmental and social considerations

(1) Relative laws, regulations and standards:
㋪Environmental Conservation Act. 1995
㋪Environmental Conservation Rules 1995
㋪EIA Guidelines for Industries 1997
㋪Environmental Pollution Control Ordinance 1997
㋪Local Government Ordinance 1982
㋪Land Reforms Ordinance 1984
㋪Wildlife (Preservation )Act. 1973

(2) Relative agencies and institutions:

Ministry of Power, Energy and Mineral Resources
Bangladesh Power Development Board
Economic Relations Division, Ministry of Finance
North West Power Generating Company Ltd (NWPGCL)
Ministry of Environment and Forest (MOEF)
Ministry of Agriculture
Ministry of Land
Ministry of Water Resources
Ministry of Local Government, Rural Development, and Co-operatives
Ministry of Cultural Affair

Department of Environment, MOEF will be responsible organization for EIA Procedure. The
following chart explain the structure in Department of Environment, MEF.

Chart.1: Organizational Structure in DOE, MOEF

Director General

Director (Admin., Dev.& Plan) Director (Technical)

Deputy Deputy Deputy Programme Deputy Deputy Deputy Deputy Deputy

Director Director Director Coordinator Director Director Directo Director Director
(Admin. & (Dev. & (Publicity) (Enf.) (Research) r (EIA) (Nat. Res. (Intl
Fin.) Pin) Mgt.) Conv)

AD/Accts AD/RO AD/ AD/ AD/RO AD/RO AD/RO AD/RO AD/RO

Officer Librarian Analyst

Director
(Ctg./ Khulna Div.)
Deputy/Director
Project Director (Dhaka/ Rajashahilhet/ Barisal)
(Deputy Director)

AD (Tech)/ Asstt. Director

Sr.Chemist (Admin.)
AD (Tech) AD (Tech)

8. Provisional Scoping
Major environmental impacts anticipated at this stage are; air pollution, water usage or
water rights and rights of common, hydrological situation, noise and vibration, involuntary
resettlement. The following Table explains negative impacts details.

Table 1. List of possible environmental and social impacts

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Involuntary Resettlement B! B! ! ! ! C! ! ! ! !
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3! Local economy such as employment and

C! C! C! ! ! D! C! ! ! !
livelihood, etc.
4! Land use and utilization of local resources ! ! ! ! ! ! ! ! ! !
5! Social institutions such as social infrastructure
Tpdjbm!Fowjsponfou/!

! C! C! ! ! ! ! ! ! !
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and local decision-making institutions

6! Existing social infrastructures and services ! ! D! ! ! ! ! ! D! D!
7! The poor, indigenous and ethnic people ! ! ! ! ! ! ! ! ! !
8! Misdistribution of benefit and damage C! ! ! ! C! ! C! ! ! C!
9! Cultural heritage ! ! ! ! ! ! ! ! ! D!
:! Local conflict of interests ! D! ! ! ! ! ! ! ! !
21! Water Usage or Water Rights and Rights of
B! C! B! ! ! B! C! ! ! !
Common
22! Sanitation D! ! ! ! ! ! ! ! ! !
23! Hazards (Risk)
C! ! C! ! ! ! ! ! ! !
Infectious diseases such as HIV/AIDS
24! Topography and Geographical features D! D! ! C! ! C! ! ! ! !
Obuvsbm!Fowjsponfou!

25! Soil Erosion ! D! ! ! ! ! ! ! ! !

26! Groundwater D! D! ! ! C! ! D! ! ! !
27! Hydrological Situation B! C! B! ! ! C! D! ! ! !
28! River zone D! ! C! ! ! C! ! ! ! C!
29! Flora, Fauna and Biodiversity D! ! ! ! D! ! ! C! ! C!
2:! Meteorology D! ! D! ! ! ! ! ! ! !
31! Landscape ! ! ! ! C! ! ! ! ! !
32! Global Warming D! ! ! ! C! ! ! D! ! D!
33! Air Pollution B! ! D! ! ! ! ! C! D! C!
34! Water Pollution C! C! C! ! ! ! B! ! ! C!
35! Soil Contamination ! D! ! ! ! ! ! ! ! C!
Qpmmvujpo!

36! Waste C! ! ! ! ! ! ! ! ! C!
37! Noise and Vibration B! C! D! C! B! ! ! ! D! D!
38! Ground Subsidence C! ! C! ! ! ! C! ! ! !
39! Offensive Odor ! ! ! ! ! ! ! ! ! C!
3:! Bottom sediment ! ! ! ! ! ! ! ! ! !
41! Accidents D! ! ! ! ! ! ! ! D! !
Rating:
A: Serious impact is expected.
B: Some impact is expected.
C: Extent of impact is unknown (Examination is needed. Impacts may become clear as study progresses)
No mark: No impact is expected. IEE/EIA is not necessary.

9. Analysis of alternatives
Cooling system of the plant would be important issue to analyze the alternatives. There
are several options such as Cooling tower, intake from Ganges or Irrigation river. The best option
should be selected with taking into account environment and social cost.
Some other alternatives also could be compared options including the “without project”
10. Public participation
Public participation is not required in the EIA process as shown the following chart.
However, JICA study team could conduct sampling survey such as direct interview in order to
grasp the social awareness, and enhance the public participation. In addition to the this survey,
Government of Bangladesh will implement the public consultation and explanation concerning the
result of scoping, outline of the EIA study, and project outline.

Chart.2: EIA Flow in Bangladesh

APPLICATION TO DOE

GREEN AMBER-A AMBER-B RED

The application should The application should The application should The application should
enclose: enclose: enclose: enclose:
1. General information; 1. General information 1. Feasibility Study 1. Feasibility Study
2. Description of raw 2. Description of raw Report (for proposed Report (for proposed
Material & finished Material & industry/project); industry/project);
Products; finished Products; 2. Initial Environmental 2. Initial Environmental
3. An NOC. 3. An NOC. Examination (IEE) (for Examination (IEE) (for
4. Process flow proposed) proposed)
Diagram, Layout plan, 3. Environmental 3. Environmental
effluent disposal Management Plan Management Plan
system, etc (EMP) Report (for (EMP) Report (for
existing existing
Obtaining Environment industry/project); industry/project);
Clearance 4. An NOC; 4. An NOC;
Obtaining Site 5. Pollution! 5. Pollution
Clearance minimization minimization
6. Outline of relocation 6. Outline of relocation
Such a Clearance will be plan; etc plan; etc
subject to renewal after
Applying
each one year period
Environmental
Clearance Obtaining Site Clearance Obtaining Site
Clearance

Obtaining Applying Environmental Applying

Environmental Clearance Environmental
Clearance Clearance

Obtaining
Such a Clearance will Environmental Obtaining
be subject to renewal Clearance Environmental
after each one year Clearance
period
Such a Clearance will be
subject to renewal after Such a Clearance will
each one year period be subject to renewal
after each one year
period
Source: “EIA Flow Chart”, EIA Guidelines for Industries, Department of Environment, 1997

11. Provisional Terms of Reference for Environmental and Social Considerations

Environmental and social considerations study should be included, but not limited to, as follows

(1) Review of the previous studies from the viewpoint of environmental and social
considerations.
(2) Review and revision of the provisional scoping done in the preliminary study,
(3) Identify environmental and social impacts,
(4) Come up with mitigation measures,
(5) Technical support for BPDP in order to conduct effective implementation of EIA.
(6) Technical support for BPDP in order to realize and enhance appropriate public participation.