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This report does not necessarily reflect the views of ADB or the Government concerned. The ADB and the Government cannot be held liable for its contents.

Bi-annual Environmental Monitoring Report

Project Number: 2727-PAK July 2012 Pakistan (Power Distribution Enhancement Investment Program-Multi-

Tranche Financing Facility-Tranche-2)

For period: January-June 2012 (Financed by the Asian Development Bank)

Prepared By: Assistant Manager (Environment) GEPCO

Gujranwala Electric Power Company (GEPCO) PMU Section 565-A Model Town G.T Road Gujranwala, Pakistan Executing Agency (EA) Pakistan Electric Power Company (PEPCO) Implementing Agency (IA) GEPCO

Table of Contents

Sr. #

Brief Description

Page #

1-

PART-1 INTRODUCTION

2-7

2-

PART-II ENVIRONMENTAL MONITORING

8

3-

PART-III ENVIRONMENTAL MANAGEMENT

8-12

4-

ANNEXURES

A. Organogram of PMU Section

B. NOCs/ Environmental Approval obtained from the Environmental Protection Agency Punjab

C. Environmental Management Plan (Urdu)

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14-19

20-29

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Part I-Introduction

1-GEPCO

Gujranwala Electric Power Company Ltd. GEPCO is a Public Limited Utility Company,

established in 1998 under Companies Ordinance 1984 and is responsible for distribution of

Electric Power within its territorial jurisdiction and presently serving approximately 2.5 Million

Customers (Domestic, Commercial, Agricultural, Industrial and others) in the six districts of

Province Punjab (Gujranwala, Narowal, Gujrat, Hafizabad, Sialkot and Mandi-bahawal-din).

2-Project Management Unit (PMU)

To effectively plan, execute and monitor the Power Distribution Enhancement Investment

Program (Tranche-2), a Project Management Unit (PMU) has been established under Chief

Engineer (Development) comprising of four sections i.e. Planning, Scheduling & Coordination,

Procurement, Finance, Environmental and Social Safeguard along with Project Director (GSC).

Organogram of PMU/Development Directorate is placed at Annexure-A.

Brief Detail of Project

Existing conditions of the GEPCO power distribution and transmission system are

inadequate to meet rapidly growing demand for electrical power. To cope with this situation, the

existing power infrastructure has to be improved and upgraded. The overall contribution of power

infrastructure requires institutional arrangements, capacity building that support strategic

management of the sector, planning and management of investments.

The basic information/ data about the loan is as under:-

Loan Number:-ADB-2727 PAK

Project Title:-Power Distribution Enhancement Investment Program_Multi-tranche

financing facility (PDEP_MFF_Tranche_2 (STG)

Location of the Project:-06 No. of Districts in the service territory of GEPCO i.e.

Gujranwala, Sialkot, Narowal, Gujrat, Hafizabad and Mandi-bahawal-din.

Borrower:-GOP/ GEPCO

Executing Agency:-PEPCO

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Implementing Agency:-GEPCO

Date of Signing Agreement:-28-01-2011

Date of Effectiveness:-29-03-2011(After 60 days of Signing the Agreement)

Date of Loan Closing:-31-03-2015

Date of Last ADB Review Mission:-05-03-2012

Amount of Loan:-48.55 Million US $

3-Objectives of the Project

GEPCO through GOP has undergone a Project Financing agreement with Asian Development

Bank for:

1. Strengthening the capacity of Power Distribution and Transmission networks

2. To meet the increasing electricity demand in the selected areas more efficiently

3. To upgrade the existing power infrastructure.

4-Scope of Work

There are 16 No. GEPCO proposed projects under ADB Tranche-2. Its detail is here as

under:

1. Construction of 05 No. New 132kV Transmission Lines

2. Construction of 04 No. New 132kV Grid Substations

3. Conversion of 02 No. Grid Substations from 66kV to 132kV along with

associated 132kV Transmission Lines

4. 05 No. Extensions/ Augmentations

Overall the proposed MFF has been designed to address both investment and institutional

aspects in electric power sector. Development Objectives/ Project Purpose will be fully achieved

after completion of the proposed Sub-projects.

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5- Estimated Project Cost:

The estimated cost of the sub-projects has been determined. Its detail is here as under:- 5.1 Construction of 132kV Transmission Lines Sr. No

Sub-Projects Estimated Cost

Pak Rs. US $

1- In & Out of existing 132kV Hafizabad Road Gujranwala Therisanci T/Line at 132kV Switchyard of 500kV Nokhar G/S

139.5 Million 1.484 Million

2- 132kV Nokhar-Hafizabad-II T/ Line (Alternate Feed for Hafizabad-II G/S)

250.515 Million 2.665 Million

3- 132kV Sahuwala-Pasrur Transmission Line 383.49 Million 4.079 Million

4- In & Out for Hafizabad-II G/S from the existing Nokhar-Hafizabad T/Line (C.C.T No. 1)

139.428 Million 1.483 Million

5- In & Out for Garhi G/S from the proposed Nokhar-Therisanci T/Line (Feed for Garhi)

139.5 Million 1.484 Million

TOTAL ESTIMATED PROJECT COST 1053 Million 11.195 Million

5.2 Construction of 132kV Grid Stations

Sr. No

Sub-Projects Name Location Estimated Cost

In Pak. Rs. US $

1- Construction of Khiali-Bypass G/S 132kV

GJRW. 244 Million 2.595 M

2- Construction of Sheranwala-Bagh G/S 132kV

GJRW. 302 Million 3.212M

3- Construction of Godhpur G/S 132kV and Sahuwala-Godhpur 132kV TL

Sialkot 341 Million 3.62 M

4- Construction of New Daska G/S 132kV

Sialkot 263 Million Rs. 2.79 M

Total Estimated Cost 1150 Million 12.217 M

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5.3 Conversion of 02 No. Grid Stations (From 66kV to 132kV)

Sr. No

Sub-Projects Name Location Estimated Cost

PAK Rs. US $

1- Conversion of Jalalpur-Nau G/S (from 66kV to 132kV) along with 132kV Hafizabad II_Kolu-Tarrar T/Line

Hafizabad 325.6 M 3.463 M

2- Conversion of Kolu-Tarrar G/S (from 66kV to 132kV) along with 132kV Kolu-Tarrar Jalalpur-Nau T/Line

Hafizabad 393 M 4.180 M

Total Estimated Cost 718.6 M 7.643 M

5.4 05 Nos. of Augmentation/ Extensions

Sr. No.

Sub-Projects Name Estimated Cost

PAK Rs. US $

1- Therisanci 78 Million 0.829

2- Sialkot Cantt 78 Million 0.829

3- Hafizabad Road GRW 78 Million 0.829

4- Gujrat-1 78 Million 0.829

5- Gujranwala Cantt 78 Million 0.829

TOTAL SUB-PROJECT COST 390 Million 4.145 M

TOTAL ESTIMATED PROJECT COST: 3311.6 Million Rs. (35.22 Million US $)

1 US $= 94 PAK. Rs

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Construction Activities and Project Progress (During previous 6 months)

The bidding process for 6 packages (as per ADB guidelines) has already been completed by the GEPCO. Its detail is here as under:-

05 No. Augmentations/ Extensions For ADB-Tranche-II-GEPCO-01 Lot (1) Material Description: 40 MVA P/ Transformers

Bidding documents prepared, approved by the ADB, bidding evaluation reports prepared and submitted to ADB. The contract awarded on 23-12-2011 after getting approval from the BOD (GEPCO). For ADB-Tranche-II-GEPCO-01 Lot (2) Material Description: 11KV Panels Bidding documents prepared, approved by the ADB, bidding evaluation reports prepared and submitted to ADB. The contract awarded on 14-12-2011 after getting approval from the BOD (GEPCO). For ADB-Tranche-II-GEPCO-02 Lot (1) Material Description: Differential Relays Bidding documents prepared, approved by the ADB, bidding evaluation reports prepared and submitted to ADB. The contract awarded on 05-01-2012 after getting approval from the BOD (GEPCO). For ADB-Tranche-II-GEPCO-02 Lot (2) Material Description: Capacitors Bidding documents prepared, approved by the ADB, bidding evaluation reports prepared and submitted to ADB. The contract awarded on 13-01-2012 after getting approval from the BOD (GEPCO).

Construction of 04 No. Grid Stations

For ADB-2727-GEPCO-03 Material Description: New Daska and Godhpur G/S along- with Sahuwala-Godhpur T/line Bidding documents prepared, approved by the ADB, bidding evaluation reports prepared and submitted to ADB. The contract awarded on 29-12-2011 after getting approval from the BOD (GEPCO). For ADB-2727-GEPCO-04 Material Description: Sheranwala Bagh & Khiali Bypass G/S Bidding documents prepared, approved by the ADB, bidding evaluation reports prepared and submitted to ADB. The contract awarded on 29-12-2011 after getting approval from the BOD (GEPCO).

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Conversion of 02 No Grid Stations (From 66kV to 132kV)

For ADB-2727-GEPCO-05 Material Description: Kolu-Tarrar & Jalalpur-Nau G/S Bidding documents prepared, approved by the ADB, bidding evaluation reports prepared and submitted to ADB. ADB has approved the bidding evaluation report and the contract signed on 29-03-2012.

Construction of 05 No. Transmission Lines

For ADB-2727-GEPCO-06 Material Description: 05 No. Transmission lines Bidding documents prepared, approved by the ADB, bidding evaluation reports prepared and submitted to ADB. ADB has approved the bidding evaluation report and the contract signed on 23-05-2012.

The Environmental Monitoring& Management Plan (EM&MP) along with respective EIA/ IEE Reports of sub-projects made part of bidding documents of civil works (turnkey projects). The Environment Management Plan (EMP) has been translated, typed/ edited into Urdu; approval received from the C.E.O (GEPCO) for its implementation at all sub-project sites as well as uploaded/ posted on GEPCO official website (www.GEPCO.com.pk/PMU). The contractors are made bound to quote specified amount (0.1 M US$ that has been allocated) in the BOQs for the implementation of EM&MP.

Construction Activities Construction work/ activities are started/ initiated by the GEPCO. The possession of grid stations will be handed over to contractors within 3 weeks.

Changes in Project Organization and Environmental Management Team Ms. Zunaria Latif has joined GEPCO as Assistant Manager (Social) on Monday Dated:

02-07-2012 in PMU section Relationship with Contractors, owner and lender etc. GEPCO PMU team has excellent relationship with the Contractors, Owner, lender etc.

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Part II-Environmental Monitoring All 04 No. of Environmental Assessment Reports reviewed by GEPCO and submitted to

ADB for approval on 14-06-2011.

Environmental Measurement/ Testing of Noise and Vibration, Water Quality, Air Quality and Flora/ Fauna Monitoring

The Environmental Measurement/ testing of Noise and Vibration, Water Quality, Air Quality and Flora/ Fauna Monitoring will be carried out for all grid stations soon after handing over to contractors.

Recommendations required showing how any exceedences will be prevented in the future. The Environmental Monitoring and Management Plan (EMMP) enlisted in EIA Reports have been made part of the bidding documents of civil works (Turnkey Project) and the contractors are made bound to quote specified amount (0.1 million US$) has been reserved) in the BOQs for implementation of EMMP.

Part-III Environmental Management i. Initial Environmental Examination (IEE) Reports were prepared by PEPCO

Consultant (M/S British Power International (BPI) and submitted to PEPCO. These IEE Reports were received by GEPCO from PEPCO in November 2010.

ii. Under the Pakistan Environmental Protection Agency Review of IEE and EIA Regulations 2000; it categorizes development subprojects into two Schedules (Schedule-1 & 2) according to their potential environmental impacts.

iii. Under (Schedule-I), the proponent of subprojects that have reasonably foreseeable/ non-significant impacts are required to submit an IEE Report for their respective sub-projects. Distribution lines and substations of 11kV and less included under energy subprojects an IEE is required under (Schedule-I). The proponents of subprojects that have more adverse/ significant environmental impacts (Schedule-II) are required to submit an Environmental Impact Assessment (EIA) Report. EIA is required for all subprojects involving sub-transmission/ distribution lines of 11kV above and for DGS substations (Schedule II).

iv. These reports were reviewed, converted from Initial Environmental Examination (IEE) format to Environmental Impact Assessment (EIA) Report format to meet/ comply with the local statutory requirements/ law; Consolidated 03 No. Environmental Impact Assessment (EIA) Reports (project wise) were prepared by GEPCO.

v. Approval of implementation of EIA Reports along with budget amounting Rs. 95,000/- to precede/ process Environmental Approval/NOC fees obtained by PMU

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from the C.E.O (GEPCO). These Reports uploaded/ posted on GEPCO official website (www.gepco.com/PMU).

vi. These EIA Reports in lieu of NOC/ Environmental Approval submitted to Provincial Environmental Protection Agency (Lahore). Its detail is here as under:-

Environmental Approval/ NOC Case for the Construction of 4 Nos. 132kV Grid Stations Namely (Sheranwala Bagh, Khiali bypass, New Daska and Godhpur) along with 01 No. associated T/ Lines submitted to Environment Protection Agency (EPA) Lahore, vide office letter No: 6064-67/CE/Dev. Dated: 04/04/2011

NOC Case for Conversion of 2 Nos. Grid Stations (From 66kV to 132kV) namely (Jalalpur-Nau and Kolu-Tarrar) along with Associated T/Lines submitted to Environment Protection Agency (EPA) Lahore, vide office letter No: 6253-56/CE/Dev Dated: 28/04/2011

NOC Case for 05 Nos. 132kV Transmission lines submitted to Environment Protection Agency (EPA) Lahore, vide office letter No: 6515-18/CE/Dev Dated: 06/06/2011.

vii. Earlier, the EPA, Lahore requested to furnish some additional information and site inspections at these projects. GEPCO provided additional information and conducted site inspections along with concern district officer (Environment) as desired by EPA.

viii. The public hearings on sub-projects have already been conducted as per advice of the EPA. Similarly the proceeding of public hearing (minutes of meeting, attendance sheet and photographs) has already been communicated to EPA, Lahore (Copy of Public Hearings and NOCs/ EA enclosed at Annexure-B &C).

ix. NOC/ Environmental Approval for Construction of 04 Nos. Grid Stations 132kV (Khiali Bypass, Sheranwala Bagh, Godhpur and New-Daska) received from EPA by GEPCO on 16-11-2011.

x. NOCs/ Environmental Approval for Conversion of 2 Nos. Grid Stations and Construction of 5 Nos. of Transmission lines received from EPA by GEPCO on 16-12-2011 and 22-11-2011 respectively.

xi. All 04 Environmental Assessment Reports have been reviewed and already submitted to ADB for Approval via C.E. (Dev) email address dated 13-05-2011 and 14-06-2011.

Site Inspection at Sub-Project Sites

GEPCO PMU has conducted site inspections in Gujranwala, Hafizabad and

Sialkot along with concerned District Officer Environment/ EPA Personnel and

furnished/ provided additional information.

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Findings/ Observations

Findings/ Observations noted during the site visits are detailed as following:-

1 New 132kV Khiali Bypass Grid Station Site

2 New 132kV Daska Grid Station Site

3 New 132kV Godhpur Grid Station Site

4 132kV Sheranwala Bagh Grid Station Site

5 Conversion of Kolu-Tarrar and Jalalpur-Nau G/S from 66kV to 132kV

Land is already acquired/ in GEPCO possession for above sub-projects

Boundary wall is constructed for new G/S Sites.

There are no potential significant environmental impacts associated with

the subprojects.

Suitable control measures will be required in project area to minimize/

mitigate environmental impacts, disruption, contamination of

surroundings arising out due to construction material/ chemicals

handling/ storage and disposal of construction waste.

6 Construction of 05 No. Transmission lines

There are no potential significant environmental impacts associated

with the subprojects.

Neither permanent land acquisition, nor resettlement or property

acquisition will be required.

No potential damages to water channel occur

Land, construction nuisance/ solid waste pollution will occur in project

area.

Damages to R.O.W shall be occur.

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Proper “KHARABA” Compensation on account of loss of agriculture

land/ crops/ trees on actual basis will be paid to the affected persons/

households. Similar procedure will be adopted as already made for

Tranche-1 sub-project 132 KV Fatehpur T/line.

Non-Compliance notices –Summaries the details on the number of notices given out and the issues covered. Summaries the ranking of issues

Corrective Action Plans - Report on timeliness of preparation and Completion

Since construction work/ activities under contractor supervision will likely to be started/ initiated within 3 weeks. So neither any non-compliance has been raised nor followed up by GEPCO.

Consultation and Complaints – Report on any consultation undertaken and list any complaints received

Environmental & Social Complaint Register both in English and Urdu versions have already been communicated and implemented by the Project Director (GSC), XENs TLC/ T&G at respective project sites. So far, No affected person/ household has logged/ filed any Complaint in PMU/ GSC Office.

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Implementation Report on EIA/IEE Mitigation Requirements

Reference Requirement Action to date Action Required/ Comment

Compliance of EIA/ IEE Report during Execution of Project Civil Work

Inclusion of EIA/ IEE Report in Bidding DOC’s

EIA/ IEE Reports along with EM&MP have been included/ made part of the Bidding DOC’s

DONE

Compliance of Environment Monitoring & Management Plan during execution of Project Civil Work Urdu translation, typing /editing of EMP into Urdu and its posting/ uploading at GEPCO official website

Inclusion of EM&MP in Bidding DOC’s Inclusion of EMP in EIA/IEE Reports as well as in Bidding DOC’s

EM&MP draft Docs have been included/ made part of the Bidding DOC’s NOC’s/ Environmental Approval received by GEPCO from EPA, Lahore

DONE

DONE

Budget for EM&MP implementation

Allocation of budget by Contractor

Rs. 0.1 million US $ has been allocated for implementation of aforesaid plan

DONE

Annexure-B NOC’s/ ENVIRONMENTAL APPROVAL

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NOC’s/ Environmental Approval for Construction of 04 No. Gr./ St.

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Annexure-D NOC/ Environmental Approval for Construction of 05 No. T/Lines

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Annexure-D NOC/ Environmental Approval for Conversion of 02 No. G/S

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