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E521 Volume 1 SOCIALIST REPUBLIC OF VIETNAM MINISTRY OF INDUSTRY EDFI CONSORTIUM PHU MY 2-2 BOT PROJECT ENVIRONMENTAL IMPACT EVALUATION PROJECT SUMMARY REPORT Managing Agency: Implementing Agencies. EDFI Consortium Vietnam Association for the Conservation of Environment Power Engineering and Consulting Company No2 APRIL 2001 EDVI Consortium LIA Phu -Mv 2.2 1301I 'Pv ;cr 1roject 1. LEGAL BACKGROUND AND TECHNICAL DOCUNIENTS UISED IN TllS EIA STUDY This EIA study is based on Government of Vietnam (GOV) legal documents and \\'orld Ban.k (WB) environment assessment guidelines. The technical aspects of the EIA are based on the Feasibility Study Report of the P\12-2 power project prepared by EDFI Consortium and various scientific data obtained from the survey programs of VESDEC, and the Vietnam Association for the Conservation of iNature and Environment (VACNE), the Vietnamese agency, which carried out the EIA. It is the basis of this Project Summary Report, which follows international standard methods In order to clarify potential impacts of the project the following items are assessed in the EIA - Collection and evaluation of existing data on the natural environment and socio-economv of the project area. - Surveillance and investigation of present environmental conditions (water, soil, sediment quality, air quality, noise, biological resource and socio-economy) at the project site and in the surrounding area - Computation and assessment of potential environmental pollution conceivably created by the project (dispersion of cooling water, oil spills and emission). - Proposal of an Environmental Management Plan (END), including mitigation measures for negative impacts, measures for pollution control and environmental monitoring 2. BRIEF PROJECT DESCRIPTION 2.1 The Project Objectives The main objectives of the project are as follows: - To provide 715 MW of electrical generating capacity. - To strengthen the regional power supply system, upgrade the general physical infrastructure, stimulate industrial development, improve the living standard of local residents and associated stakeholders and general enhancement of the other economic sectors in the Southern Economic Focal Zone (SEFZ) - To efficiently use the indigenous natural gas from the Nam Con Son resource area f()l operation of the plant. The Phu My 2-2 project is an integral part of the natural (as consumption chain of projects that enable the development of the Nam Con Son natuLral gas resource area - The creation of long term, stable, high quality direct employment for approximately 45 people, who will operate the plant, temporary jobs for approximately 1000 skilled and Project Summary Report April 20()01 1/24 EDVI Consortium EIA Phu -Mv' 2 2 BOT Power Project unskilled workers during the construction phase, and numerous indirect jobs in the supporting local service and supply industry - The project will promote industrialisation and urbanisation in the Southern Economic Focal Zone (SEFZ). - The project will enhance the capital flow and stimulate additional direct foreign investment into Vietnam. As the first successful major infrastructure project in Vietnam to be structured under BOT commercial terms, legal and commercial precedents set during the development of the Phu My 2-2 project will help Vietnam to attract additional foreign investment. - To promote the transfer of technology and management technique and expertise, through the implementation of long term advanced level multi-disciplinary skill training. This is expected to result in the transfer of complete and functional operational control and administration supported by local management and human resources to Vietnam by the end of the BOT period. 2.2 Project Location The Phu My 2-2 Power Plant project is located in the Phu My Power Generation Complex in the town of Phu My, Tan Thanh district, Ba Ria - Vung Tau province in the SEFZ. The area stretches between the Vina Kyoei Steel Company in the East and the Thi Vai River in the West. It is located 75 km from Ho Chi Minh City and 40km from Vung Tau. 2.3 Construction The Project will include the following: - 2 Gas Turbines. - I Steam turbine. - 3 Step-up transformers. - 2 Heat Recovery Steam Generators - 500kV switchyard. - Natural Gas fuel system - Distillate Oil system. - Cooling Water pumping station - Raw water treatment area. - Water demineralisation plant. - Waste water treatment area. - Administration and control building. - Fire fighting station. Project Summary Report April 2001 2124 EDII Consorti um EfA Phu -My 2.2 BOT Power Project - Warehouse. - Workshop. - Parking area,. 2.4 Main Technical Characteristics, Related With Environmental Assessment * Gas Turbine - Generators Type. PG93 5 1 FA Outdoor Number: 2 Capacity: 226MW (gas fired) Exhaust system: 30m high, 6,9m Diameter bypass stacks with silencers and blanking plates. Emissions control: Natural Gas Dry Low NOx (25ppm @15%02) c Distillate Oil Water injection (58ppm @ 15%02) Each gas turbine generator shall directly be coupled with the applicable gas turbine. It shall be a horizontal, three phase, synchronous, hydrogen cooled, totally enclosed type machine. * Steam Turbine - Generators The steam turbine including dual (2) casings, combined HPIIP and double-flow LP and reheat is designed to operate in combined-cycle mode with the gas turbine. Type. Axial flow, impulse-reaction Number: I Capacity: 275MW Exhaust system: Stack height 60 m Emissions control: Natural Gas (at CT) Dry Low NOx (25ppm @15%02) Distillate Oil (at CT) Water injection (58ppm @I15%02) The steam turbine generator shall directly be coupled with the steam turbine. It shall be a horizontal, three phase, synchronous, hydrogen cooled, totally enclosed type machine. * Ftel Supply - Natural Gas Fuel Natural gas for the project will be supplied from the Nam Con Son basin offshore gas fields by PetroVietnam. Petro Vietnam will install and operate a gas pre-treatment facility near the Phu My Power Generation Complex to ensure that the fuel gas supplied meets the agreed physical and composition standards. Project Summarv Report April 2001 3/24 E,DT! Consortium E14 Plhu-Mv 2. 2 B07' Poer Project - Distillate Oil (DO) Standby fuel for plant is distillate oil N°2 The quality complies with criterion of GEI 41047 specification. The Gas Turbine systems will be designed to switch automatically from firing natural gas fuel to firing distillate oil fuel Distillate Oil will be transported to the plant by tanker or barge via local waterways and will be stored in tanks with a sufficient capacity to meet contractual oblintations The Phu My 2-2 Plant ilff not operate on distillate oil for more than 5 days in any year * Water Supply - Fresh Water Supply Raw water to meet plant make-up requirements and the associated utility demands of the power plant will be supplied by the Ba Ria Vung Tau Water Company. The required raw water supply for the plant is estimated to be approximately 0.045 m 3 /s. Potable water systems for the power station site and administration building shall be designed to support a staff of up to 100 people. The water treatment systems will consist of a demineralisation system and a chemical waste neutralization system. - Cooling Water Supply Cooling water will be taken from the Sao River and discharged to the Thi Vai River, the design will ensure proper diffusion of warm water and is based on current environmental regulations. Cooling water demand is about 17m 3 /s. * Main Project Technical Parameters - Main Structures and Characteristics Station type: Combined Cycle Station capacity; 71 5MW Stack height: 60 m (Nlain stacks) 30 m (By-pass stacks) Elevation of the project site: 4.0 meters above mean sea level NO,, emission control. DIy Low NO, combustion in gas mode operation Water injection in DO mode operation Cooling water system: Once through using brackish river water Road to be widened and improved about 1.8 km from National Road N51 to the plant Project Summary Report April 2001 4/24 EDF7 Consorlium lI/A Phu-Mv 2.2 B1()1 lo\ er l'rojuct Oil storage area: Permeability and run off is controlled by earth- supported walls sealed with concrete grout Solid waste disposal area: Off-site location to be identified On-site oil storage: 20,200 tonnes Schedule Milestones and Duration Duration of active on-site construction: 24 months from the contractual Financial Closin;, assuming preliminary activities to be carried out in advance of the Financial Closing. Duration of the operation phase 20 years or term of the BOT Contract Labour force: - During the construction phase about 1000 persons (peak-) - During the operation phase about 45 persons (average) 3. PRESENT STATE OF THE ENVIRONMENT AT THE PROJECT SITE 3.1 Physical Environment * Topography The town of Phu My (formerly Phu My commune) of Tan Thanh district (Ba Ria-Vung Tau province) is located in a flat area with an altitude sloping from the East (near the foot of Thi Vai Mountain) 50-60m to the West (the riverside of the Thi Vai River). Although Thi Vai Mountain is about 470 m high, it does not obstruct or impact the dispersion of the flue gas from the power plant because it is approximately 5 km from the project site and occupies a very small area. * Climate - Ba Ria-Vung Tau province has a relatively high and generally stable atmospheric temperature range. The average annual temperature varies between 24 8 0 C (January) and 29.1 0 C (May). In the hottest months (April, May), the monthly average temperature is about 29 0 C and in the coldest month (December in mainland, January offshore) the monithly average temperature is about 25"C The annual amplitude of temperature is narrow, about 3"C' - 4' C as for both the sea and mainland. - Atmospheric pressure is relatively consistent throughout the year. The average barometric pressure is between 1008 and 1012 mbar in the dry season and between 1008 and 1010 mbar in the rainy season The maximum can reach 1016 mbar and the minimum 1003 mbar Project Summary Report April 2()01 5/24 EDFI Consortiium EIA Ph-A-Mv 2.2 BOTPower Project - Because of the significant disparity in solar radiation between the dry season and the rainy season, difference in humidity between the two seasons is large During the rainy season, the monthly average relative humidity varies between 79% and 86% During the dry season the relative humidity varies between 75% and 84%. - The evaporation rate in Ba Ria-Vung Tau can be the highest in Vietnam. This is an indication that the area is rich in radiant heat, energy and wind. The highest evaporation (140 - 160 mm) occurs in March, and the lowest (49 - 62 mm) in September. The annual total of evaporation pan rate is over 1,100 mm. - In Ba Ria - Vung Tau province, there is an intensive differentiation between the rainy season and the dry season. Rainfall during the 6 months of the rainy season generally accounts for 85%-90% of the total rainfall in any year. In the period from May to October, the monthly average of rainfall at Phu My averages 230 to 319 mm and during the dry season period from December to April it ranges from9-35 mm. - The project site is influenced by two types of monsoon The Southwest, West - Southwest wind primarily appears during the rainy season (NMay - October) with an average speed of 2.0 to 3.2 m/s. It usually brings rain. The East, East - Northeast wind primarily appears during the period from November to April w ith an average speed of 2.4- 4.7 m/s. This is not an area characterised by a high frequency of typhoons or tropical storms but low intensity tempests are common. Storms with wind having a grade velocity of 9 - 10 are very rare. Storms and tropical low pressures occasionally occur in the September to December period, mostly in November. The major storms are moving from West or West - Southwest. Most storms appear in offshore areas. * Hydrology - The Sao River The Sao River including the Muong stream runs across the project site. The Sao River originates from Trinh Mountain at the Northeast of the project site It runs across National Road 5 1 at the Ngoc Ha Bridge then joins the Thi Vai River, Northeast of the site. The Sao River provides the Phu My Power Generation Complex with cooling water - The Thi Vai River The Thi Vai River is the domestic waterway that will be utilised for transportation of liquid fuel to the Phu My Power Generation Complex. It also receives the heated water from the cooling system of the plants. With a length of about 40 km, the River originates from Long Thanh (Dong Nai province), running across districts of Tan Thanh and Chau Thanh of Ba Ria - Vung Tau province and discharges water into the East Sea through the Ganh Rai gulf In its Proiect Summary Report April 2001 6/24 EDFI Consortium EJA Phu-Mv 2.2 BOT Power Project downstream, the River has tributaries linking with the system of the Saigon - Dong Nai Rivers The river basin is small and its length is short. The width of the river reaches 700 to 800m at the estuary. The riverbed is deep with a U-shape cross-section The depth of the river near the power plant complex is approximately 10 - 15 meters The hydrological regime of the Thi Vai River significantly depends on a semi-diurnal tidal regime. Water Quality Water salinity is moderate and the flow is considered brackish with a TDS of 4000-12000 mg/L and significant seasonal turbidity. The river is significantly contaminated by organic matter, particularly in the regions located near the districts of Long Thanh, Nhon Trach (Dong Nai province) and Phu My town where Biologic Oxygen Demand (BOD 20 ) varies in the range of 3-13 mg/L. It is also significantly polluted by nutrients with high concentrations of NO3 and NI4- and total P of 0.1-0.7 mg/I; 0.1-0.4 mg/I and 0.02-0.10 mg/l respectively. The concentration of bacteria (coliform, E.coli) varies from 15000 MPN/100ml, to 43000 MPN/IOOml which is higher than the Vietnamese Standard (TCVN 5942-1995: maximum allowable concentration of bacteria in surface water is 10,000 MPN/IOml for water source). Although the pollution due to heavy metal and pesticides is detectable, concentrations are within the allowable standards of Vietnam for water source of grade A. However, pollution due to oil is already significant * Bottom Sediment Contents of Pb, Cr and Hg in the bottom mud at Phu My are significant. However, compared to the US EPA Guideline for Dredged Material Use and Disposal, they are still low. Sediment in the Thi Vai River is not polluted by organochloride pesticides * Air Quality - Dust Pollution Concentration of dust (TSP) is 0 26 to 1 45 mg/m 3 . Four of the monitoring sites have recorded dust concentration lower than 0 30 nl&M3, meeting the Vietnamese Environmental Standards (TCVN 5937-1995) while 6 sites exceed the Vietnamese standard with a maximum of 1.45 mg/nu 3 . Dust is.generated from various sources, mainly from construction and transportation. - SO 2 Pollution At the 10 monitoring sites (sampling for i-hour average) concentrations of SO 2 vary between 0.056 and 0.303 mg/n 3 , meeting the Vietnamese Standard (TCVN 5937- 1995). Project Summary Report April 2001 7/24 EDFI Consortium EMI Mh-A'iv 2.2 BOT Power Project - NO 2 Pollution Oxides of nitrogen can be one of the primary air pollutants emitted from a natural gas-fired power plant. It can also result from combustion (flaring) of the tail gas at the Phu My gas station. The readings in this area varied from 0.033 to 0.297mg/m 3 . All monitoring sites meet the Vietnamese Standard (TCVN 5937- 1995, permissible concentration of NO 2 is 0.4 mg/m 3). However, the concentration of NO 2 has increased significantly in the past three years According to monitoring results in 1996-1997, the average concentration of NO 2 in Tan Thanh was 0.026 mg/m 3 . - THC Pollution The concentration of total hydrocarbon (THC) at the monitoring sites varies from 1.1 to 8.6 mg/m 3 . This is much lower than the permissible concentration in the Vietnamese Standard (TCVN-5937- 1995). - Noise Pollution Background readings of daytime noise level (6 a.m - 6 p.m) were from 44.1 to 67.3 dB(A) and all monitoring sites meet the allowable level given in the Vietnamese Standard (TCVN 5949- 1995) for residential area in daytime. 3.2 Present Biological Environment In the project area there are no valuable natural biological resources because almost all vegetation was removed to construct the industrial park. The following information indicates the biological resources at the areas along the Thi Vai River, located out-side of the project area but which may be impacted by the project operation. * Vegetation A major part of the Eastern bank of the river belongs to an agricultural ecosystem The basic characteristic of this agricultural ecosystem is the interference of fresh water and brackish water in the whole Thi Vai basin. In arable land the dominant trees are cashew (Anacardium) and eucalyptus (Eucaliptus) upland crops (tapioca, corn, green beans, soy beans etc) and fruit trees (longan, orange, banana, coconut) planted on higher elevation fields. In the flat lower elevation fields rice is more common Other kinds of wild vegetation are grass and mangrove trees (Rhizophora, Phoenix fruiticans, Avicennia etc.). The flora broadly distributed in the area is not very rich in terms of species composition or variety and quantity of individuals. In the Western part of the Thi Vai River belonging to Can Gio district, a dense mangrove forest is found. The main mangrove trees are Nipa palm, Rhizophora, Sonneratia, Avicennia etc. Project Summary Report April 2001 8(24 EDEF Consortium EIA Phu-My 2.2 BOJ Th eXr ierujc&r * Terrestrial Fauna Bird Thirty six bird species have been observed at the mangrove forest in Can Gio district (West Bank of the Thi Vai River) - Mammals So far, I I mammal species have been observed in the mangrove forest in the W est Bank of the Thi Vai, including wild boar, squirrel, wild cat, rabbit, monkey, otter, etc They mostly aggregate under the canopy of Rhizophora and Phoenix Paludosa on mounds inside the mangrove forest. There are many sounders of wild boars developing in the mangrove forest The species belonging to the list of wild animals to be strictly conserved required by the GOV are Lutra lutra (otter), Felis spp. - Amphibian and Reptile Eight species of amphibian and reptile have been observed They are common in wetland areas. So far, the animal species mentioned above have been observed in the mangrove forest on the West Bank of the Thi Vai River. They were not found in the Project area. * Aquatic Ecosystem of the Thi Vai and Sao Rivers - Phytoplankton Ninety phytoplankton species were identified in the Dry Season 2000. The quantity of phytoplankton is very high in the main flow and tributaries (Sao River), from 153,000,000 to 684,450,000 cells/m 3 . Oscillatoria geitleriana is absolutely dominant in the whole system. The quantity of phytoplankton is increased from the estuary to the middle of the River section (Phu My port, Go Dau port, Muong canal) and reduced in the upstream. - Zooplankton In December 1999, 21 Zooplankton species were identified in the Thi Vai River Within the range from 7,000 to 115,300 individuals/m 3 , quantities of zooplanktorn sarv considerably from a sampling point to another. It is low in the estuary and it is increased fromn Phu My port to the gate of the Sao River, then decreased in Go Dau port and again increased in Long Tho. - Zoobenthos In December 1999, 32 species were identified. Project Summary Report April 20i) 1 9/24 [...]... Alternative One: Without Phu My 2.2 TPP As Well As Any Other Power Plant Project in the Proposed Site In the case without the Phu My 2.2 TPP or any other Power Plant Project in the planned Phu My Energy Complex, the following environmental and socio-economic impacts can be expected * Limitation of The Impacts on The Natural Environment Without the Phu My 2.2 Project or any other Power Plant Project the... Report April 2001 13/24 EDEF Consortnm 5.1 Ph/r-Mlv 2 2 BOTJPowerProject E1.4 Alternatives To Be Considered In this EIA study 3 alternatives were analyzed * Alternative One: without the Phu NMy 2.2 TPP and without replacement of the Phu Nly 2 2 TPP by any other power plant project * Alternative Two Replacement of the Phu My 2.2 TPP Project by other power plant projects * Alternative Three with the project... Basically, local people and leaders of Phu My town strongly support the projects of industrial developmenit, particularly the Thermal Power Plant projects in Phu My with high expectation for jobs and improvements of their life 4 ASSESSMENT OF THE POTENTIAL ENVIRONMIENTAL INIPACTS OF THE PHU MY 2.2 The Project, including the construction and the operation of a combined cycle power plant of 715MW will play a very... a Coal Power Plant) In the case of replacement of the Phu My 2.2 TPP by a coal power plant project with a similar generated capacity, the natural and socio-economic environment at Phu My town and surrounding areas will be seriously damaged, if a suitable Environmental Management Plan (EMP) is not properly implemented April 2001 Project Summary Report 17/24 EDFI Consornzni EIA 'hu-Mify 2.2 BOTPower Project... (Replacement By a FO Power Plant) In the case of construction and operation of another energy project utilizing FO as fuel in replacement of the Phu My 2.2 TPP, the negative impacts of the new project on air quality will be more significant than with the Phu My 2.2 TPP Concentrations of dust, SO 2 , NO in flue gas from a FO power plant are much higher than that from a natural gas combine cycle power plant Transportation... site This means that further development of large scale energy projects in the Phu My Energy Complex is irreversible In this alternative two cases may be planned: * Case 1: Replacement of the Phu My 2.2 TPP by Fuel Oil Power Plant with a similar generation capacity * Case 2: Replacement of the Phu My 2.2 TPP by a Coal Power Plant with a similar generation capacity Expected potential environment impacts... Project At the occasion of Pha Lai and Quang Ninh Projects, both coal power stations, Environmental Impact Studies were carried out The important negative impacts of the Coal power stations were clearly analyzed in Chapter 5 of the EIA Report 5.4 Analysis of Alternative Three (With the Phu Mly 2.2 TPP) The potential impacts of the Phu My 2.2 TPP are assessed in the section 4 of the EIA report 5.5 Conclusions... pipelines Regular repair of gas station, tanks, pipe line, so that gas and oil leaks do not occur 6.4 Environmental Monitoring and Management of the Phu My 2.2 Thermal Power Plant In order to properly assess environmental impacts of the Phu My 2.2 Thermal Power Plant as well as evaluate effectiveness of mitigation measures applied for abatement of environmental pollution, a program of monitoring and oversight... Phu My 2.2 Power Plant - Two meetings with local People Committee, social organisation, environmental management agency and representatives of local people will be organised by the PMU of the investor The first meeting will be in the EIA study period The second meeting will be organised after completion of EIA study Project Summary Report April 2001 22124 EDFI Consortium - - EIA Phu -My 2.2 BOT PowerProject... and the associated transfer of technology and education little progress is expected, and the educational resources can be expected to decline and opportunities for women to progress in the industrial workplace may not be realized Adequate physical April 2001 Project Summary Report 14/24 EM EDEI Consortium Phu-Mv 2.2 BOT Power Project infrastructure including a sufficient supply of electrical power is . the end of the BOT period. 2.2 Project Location The Phu My 2-2 Power Plant project is located in the Phu My Power Generation Complex in the town of Phu My, Tan Thanh. Consorti um EfA Phu -My 2.2 BOT Power Project - Warehouse. - Workshop. - Parking area,. 2.4 Main Technical Characteristics, Related With Environmental Assessment * Gas Turbine. the overall growth. * Fishery of Phu My Town - Aquaculture Project Summary Report April 2001 10/24 EDEl Consortium E IA Phu -My 2.2 BOT Power Project Under the influence of brackish

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