Turquía - Proyecto de energías renovables,تركيا- مشروع الطاقة المتجددة

Integrated Safeguards Data Sheet (Updated) Report No: AC608 Section I - Basic Information Date ISDS Prepared/Updated: 02/04/2004 A. Basic Project Data (firom PDS) I.A.1. Project Statistics Country: TURKEY Project ID: P072480 Project: Renewable Energy Project Task Team Leader: Ranjit J. Lamech Authorized to Appraise Date: March 14, 2003 IBRD Amount (Sin): 202.03 Bank Approval: March 25, 2004 IDA Amount ($m): Managing Unit: IEF Sector: Renewable energy (50%); Micro- and SME Lending Instrument: Specific Investment Loan (SIL) finance (50%) Status: Lending Theme: Climate change (P); Other financial and private sector development (P); Water resource management (S) l.A.2. Project Objectives (From PDS): The project objective is to increase privately owned and operated distributed power generation from renewable sources, without the need for government guarantees, within the market-based framework of the new Turkish Electricity Market Law. The project objective will be achieved by: (a) establishing a commercial financing mechanism for renewable energy projects and demonstrating the feasibility of private development of economic and financially viable renewable energy projects within a competitive market framework; (b) implementing the necessary institutional procedures and capacity, and supporting regulations to achieve sustained implementation of renewable projects in the future; and, (c) developing new legislation for renewable resource development that is consistent with the Electricity Market Law. I.A.3. Project Description (From PDS): The project has four main components: 1. The Special Purpose Debt Facility (SPDF) for Renewable Energy Generation Financing Total investment in renewable energy generation financing under the project is expected to be around $500 Million which would include equity financing from the private sponsors, debt financing from export credit agencies, the World Bank Special Purpose Debt Facility ( SPDF) as well as commercial banks. The SPDF is a term lending facility which will be established and will be operated by the two financial intermediaries (Fis). The two Fis selected are: (a) Turkiye Sinai Kalkinma Bankasi (TSKB) -- the Turkish Industrial Development Bank private) (b) Turkiye Kalkinma Bankasi (TKB) -- the Turkish Development Bank ( Government) The World Bank loan for the SPDF will be on-lent from Treasury (the Borrower) to the FIs. The Fls will utilize the SPDF to provide long-term debt financing to private sponsors of renewable energy projects. The SPDF is intended to leverage equity investment from local private developers, export credit financing and other financing for the construction and operation of  2 ISDS qualified renewable generation projects. The two FIs have been selected based on their financial strength, their capacity to appraise and supervise project implementation. In addition, their status as "Development Banks" allows the Turkish Treasury to on-lend public (i.e. World Bank) funds to these organizations. 2. Project Pipeline Development Capacity: For the immediate to medium-term (next 2-3 years) there is a substantial potential pipeline of projects which are at an advanced stage of development by private sponsors. The potential pipeline of projects for the immediate-term are listed in Annex 2. Some were developed originally as autoproducer projects and have been granted resource use rights (i.e. water-use rights), and others are BOT projects with signed implementation agreements which the Government has decided are not going to receive Treasury Guarantees. In order to sustain the pipeline of potential projects into the longer-term, institutional strengthening and capacity building is needed to enable MENR and its supporting agencies (DSI and EIE) to collect, evaluate and disseminate technical data and information about potential sites to prospective private sector developers. This project component will provide project implementation support by: - Improving the methodologies and analytic tools used to survey, investigate and plan renewable energy projects. - Implementing improved river basin modeling approaches that incorporate environmental and social criteria within the context of integrated river basin development plans. - Developing a Wind Energy Atlas to better determine wind sites that are suitable for economic power generation - Undertaking additional feasibility studies on Turkey's renewable energy potential -- particularly geothermal resources. - Assisting with the implementation of improved web-based procedures for project status tracking and public notification. 3. Legislation for Renewable Energy Resource Development: Apart from the Electricity Market Law ( EML) and the MENR-DSI Regulation on Principles and Procedures for Obtaining a Water-Use Rights Agreement, Turkey does not have a specific and comprehensive law for renewable energy resource development. Although the EML and associated secondary regulations do define generation from renewable energy sources and provide for limited market-based incentives for their development, there remains a need for the Government to establish its long-term objectives for renewable energy development and clarify an appropriate legal basis for this purpose. This project component is intended to assist MENR in the preparation of a Renewable Energy Law, as well as define the required changes and modifications to related legislation such as the EML( Law 4628) , Law No. 3154 on the Organization and Duties of the Ministry of Energy and Natural Resources, and Law No. 6200 on the Organization and Duties of the General Directorate of DSI. These changes are needed.because of the changing policy and regulatory roles of MENR and DSI as the private sector begins to play a more significant role in developing and operating renewable energy project. 4. Mechanisms for Public-Private Water Resources Infrastructure Development: The roles and responsibilities of MENR, DSI, and EIE in hydropower generation will change as the Electricity Market Law is implemented and the competitive market structure (with privately owned  3 ISDS generation and distribution entities) emerges. The responsibility for developing new hydropower generation will tend to shift towards the private sector, although given the generally multipurpose nature of Turkey's larger hydropower project, a public private development model is likely to be appropriate for large projects. In addition, Government entities still have a very important role to play in water resource development planning and regulation. Therefore, under the project, assistance would be provided to the government in its consideration of appropriate responsibilities and procedures for: (a) water resource development planning in the context of a particular basin taking into account the intent of the Dublin principles [the ecological principle, which argues for coordinated management of water resources, the river basin becoming the unit of analysis, land and water resources being managed together, and much greater attention to the environment; the institutional principle, which argues that water resources management is best done when all stakeholders participate; the instrument principle, which argues that water is a scarce resource, and that greater use needs to be made of incentives and economic principles in improving allocation and enhancing quality]; (b) allocation of water, contracting of water rights and the supervision of water usage; and (c) regulation of design, construction and operation of hydraulic infrastructure such that a particular resource development responsibly uses the resource and in no way endangers other resource users in the basin, nor the general public. In addition, a study would be undertaken to develop a strategy for overcoming financing constraints primarily applying to large hydropower. The main purpose of the study would be to look at various modes of public private development of hydropower, and based on these develop a strategy for public private development in Turkey. The possibility of using existing hydropower assets to leverage new investment would also be considered. It is expected that this study would interact with those carried out under the Renewable Energy Law. I.A.4. Project Location: (Geographic location, information about the key environmental and social characteristics of the area and population likely to be affected, and proximity to any protected areas, or sites or critical natural habitats, or any other culturally or socially sensitive areas.) Potential subprojects could be located in any area throughout the country where viable sources of renewable energy may be located (e.g. windy coastal areas for wind generators, rivers able to accommodate small scale/run of river hydro etc.). B. Clheck Enviroinmental Classification: F (Financial Intermediary Assessment) Comments: The project is Category Fl. Since it is an Fl loan, specific environmental issues are not known a priori, but are generally believed to be small, as related to small facilities that are built as "run-of-river" facilities or schemes that utilize existing hydraulic facilities (irrigation canals, existing dams). Environmental and Resettlement Review Procedures (ERRP) section of the Operations Manual prepared by each Financial Intermediary were disclosed "in-country" and in the World Bank infoshop before appraisal began.. The subject project has been classified as Fl. In accordance with World Bank procedures the Operations Manual will contain a section on Environmental and Resettlement Review Procedures that would describe documentation, consultation and disclosure requirements. This section has been prepared and agreed upon by the FIs and the World Bank. All sub-loans to be financed under the by the SPDF will be subject to an environmental and resettlement review process. These process and requirements incorporate the Republic of Turkey's regulatory requirements for Environmental Review (Regulation on of Environmental Impact Assessment (EIA) published in Official Gazette No: 24777 and dated June 6th, 2002, as supplemented by Article 10 of Environmental Act No: 2872 dated August 9th, 1983) and World Bank safeguard policies. In particular, the policies on Environmental Assessment (OP 4.01) and Resettlement (OP/BP 4.12).  4 ISDS C. Safeguard Policies Triggered (from PDS) (click on ED for a detailed desciption or click on the policy number for a brief description) Policy Triggered Environmental Asscssmcnt (OP 4.01, BP 4.01, CP 4.01) 0 Yes 0 No Natural Habitats (OP 4.04, BP 4.04, GP 4.04) 0 Yes * No Forestry (OP 4.36, GP 4.36) 0 Yes * No Pest Management (OP 4.09) 0 Yes * No Cultural Property (OPN 11.03) 0 Yes 0 No Indigenous Peoples (OD 4.20) 0 Yes 0 No Involuntary Resettlement (OP/BP 4.12) 0 Yes * No Safety of Dams (OP 4.37, BP 4.37) * Yes 0 No Projects in International Waters (OP 7.50, BP 7.50, GP 7.50) 0 Yes * No Projects in Disputed Areas (OP 7.60, BP 7.60, GP 7.60)* 0 Yes * No Section II - Key Safeguard Issues and Their Management D. Sumtmary of Key Safeguard Issues. Please fill in all relevant questions. If i,iforrnation is not available, describe steps to be taken to obtain necessary data. Il.D. I a. Describe any safeguard issues and impacts associated with the proposed project. Identify and describe any potential large scale, significant and/or irreversible impacts. Safeguard issues and associated potential impacts would be determined by an appropriate project specific environmental study prepared on a case-by-case basis as an element of any potential private sector developers' specific project proposal. The Environmental Management Plan will follow the format adopted by the ECA region, namely a: (a) mitigation plan, (b) monitoring plan, (c) any necessary institutional strengthening, (d) implementation schedule for mitigation and monitoring, (e) institutional arrangements for effective environmental management, and (f) record of public consultation. Stakeholder will be consulted in a manner consistent with World Bank policies and Turkish regulations and is described fully in the environmental section of the Operations Manual. Stakeholders will be consulted during the environmental assessments of the individual projects. The Ministry of Environment is charged with this responsibility. This Environmental Review Procedures Section of the Operations Manual were delivered to the lnfoshop prior by March 1 0th, 2003, prior to the departure of the appraisal mission. There are unlikely to be any potential large scale, significant and/or irreversible impacts. The project will support the enhancement of the integrated river basin planning models currently used in Turkey, with a specific focus on improving the methodology of addressing environmental and social impacts on a river basin wide planning approach. II.D. I b. Describe any potential cumulative impacts due to application of more than one safeguard policy or due to multiple project component. None foreseen, however the improvements that the project will support to the river basin planning approach will help identify where/when they are likely to occur, and prevent/mitigate any such impacts.  5 ISDS lI.D. 1 c Describe any potential long term impacts due to anticipated future activities in the project area. None foreseen, however the issue would be analyzed in depth as part of any environmental study prepared on a case-by-case basis for any specific project proposal. II.D.2. In light of 1, describe the proposed treatment of alternatives (if required) N/A II.D.3. Describe arranigem-ent for thle borrower to address safeguard iSSuies The positive social impacts of the project are the benefits that would accrue to the population in general from the reduction in pollution associated with energy production from these renewable generation projects replacing generation from fossil fuel fired power plants, while cross boundary benefits will result from the reduction in the emission of green house gases. In addition, it is expected that most of these renewable plants will be hydro power plants which tend to be built in the poorer, mountainous parts of Turkey. At the margin it is these regions that would benefit from the employment due to construction activity as well as continuing employment from operating and maintaining the plants once built. Necessary steps would be undertaken to ensure that no negative impacts arise from land acquisition or involutantary resettlement. Specifically, EMRA shall not provide a "Public Benefit Document" for renewable energy generation facilities that would lead to the exercise of eminent domain and acquisition of land for any sub-project. There are two possible conditions under which private sponsors may obtain land title/rights to develop sub-projects: 1. Site where the generation facilities are to be constructed belongs to private persons. In this case, the following requirements will be reflected in the Legal Agreements between the Bank and the Fls and in the Operational Manuals of the Fls. These requirements shall also be included in the legal agreements that the Fls enter into with project sponsors: (a) An agreement by the owner to transfer the title and rights to this land and/or any intangibles related to the land to the private sponsor, will have to be made through an agreement reached freely and certified by a notary public attesting to "willing-buyer", "willing-seller" status of the transaction. (b) All land must be purchased in the open market. Sub-project sponsors will provide title deeds certifying to the transfer of ownership of the land. (c) The Fl will interview landowners to assure that the land transfer is voluntary. The World Bank will review the first two projects prepared to ensure that the land was procured through market mechanisms and that no involuntary resettlement is involved. Subsequently, the Bank would also review yearly with TSKB and TKB the documentation for land acquisition provided by private sponsors and on a random basis would carry out post review. 2. Site where the generation facilities are to be constructed belongs to Government (represented by a Ministry or Public Authority) In this case the following requirements will be reflected in the Legal Agreements between the Bank and the Fis and in the Operational Manuals of the FIs. These requirements shall also be included in the legal agreements that the FIs enter into with project sponsors: (a) Since the EMRA shall not provide a "Public Benefit Document" for renewable energy generation facilities, the exercise of eminent domain and acquisition of land for any sub-project is ruled out. However, transfer of currently held public lands with title/rights to this land and/or any intangibles related to the land, from the government to the sub-project sponsor, may occur under applicable law relating to transfer of public land for projects. (b) Each Fl will conduct an assessment to verify and re-affirm that there are no secondary  6 ISDS claims on the Government land that have been transferred to the sub-project sponsors. The World Bank will review the first two projects to ensure that there are no secondary claims on Government land acquired for the project. Subsequently, the Bank would also review yearly with TSKB and TKB the documentation for land acquisition provided by private sponsors and on a random basis would carry out post review. The other safeguard policy that is relevant is the safety of dams. 1. Dam Safety. All sub-loans to be financed under the project will be subject to the provisions of the World Bank Operational Policy 4.37 Safety of Dams. The Operations Manual will include procedures to be followed in relation to large dams which are summarized as follows: The Fl's will screen all sub-projects to be financed under the loan, to determine whether any contain large dams in accordance with the definitions of OP 4.37: (a) dams greater than 15 m in height; (b) dams greater than 10 m but less than 15 m in height and having a crest length greater than 500m, or a spillway design discharge of more than 2000 m3/s, or having a reservooir volume of greater than 1.0 million m3; or (c) if they present special design complexities for example, location in a zone of high seismicity, foundations that are complex and difficult to prepare, or retention of toxic materials For sub-projects involving large dams the Fls will require the sub-borrower to: a) appoint an independent panel of experts (the Panel) to review the investigation, design, and construction of the dam and the start of operations; b) prepare and implement detailed plans: a plan for construction supervision and quality assurance, an instrumentation plan, an operation and maintenance plan, and an emergency preparedness plan; c) prequalify bidders for civil works involving dams and associated structures; d) carry out periodic safety inspections of the dam after completion. The composition and activities of the independent panel of experts shall not preclude any dam supervision activities of DSI. For sub-projects that will rely on the performance of an existing dam or a dam under construction (DUC) as defined in OP 4.37, the Fls will require the sub-borrower to appoint an independent expert or experts to carry out the due diligence work on the existing dam as defined in Paras 8 and 9 of OP 4.37. The Panel of experts for large dams shall consist of three or more experts, appointed by the sub-borrower and acceptable to the responsible Fl and the World Bank, with expertise in the various technical fields relevant to the safety aspects of the particular dam.. A model Terms of Reference is included in the Operational Manual. For convenience of project sponsors, the FIs will compiled a list of specialists who are acceptable to the World Bank. However, individual sub-borrowers will be responsible for constitution of their own panel and are not confined to the list of specialists compiled by the Fls. All such panel members will, however, be required to receive the no objection of the responsible Fl and theWorld Bank. II.D.4. Identify the key stakeholders and describe the mechanisms for consultation and disclosure on safeguard policies, with an emphasis on potentially affected people. The wind energy association and the hydropower association have already been consulted and will be consulted further. Environmental NGOs were also initially consulted and will be consulted further. Each  7 ISDS sub-project will require consultations with local groups and other potentially affected parties -- such consultation is required under Turkish law. The Operational Manual prepared by the Financial Intermediaries (Fls) details the procedures for consultants and disclosure to followed for each sub-project and would be consistent with both Turkish regulations and World Bank procedures. E. Safeguards Classification (select in SAP). Category is detennined by the highest impact in any policy. Or on basis of cumulative impacts from multiple safeguards. Whenever an individual safeguard policy is triggered the provisions of that policy apply. S I. - Significant, cumulative and/or irreversible impacts; or significant technical and institutional risks in management of one or more safeguard areas S2. - One or more safeguard policies are triggered, but effects are limited in their impact and are technically and institutionally manageable S3. - No safeguard issues [X] SF. - Financial intenmediary projects, social development funds, community driven development or similar projects which require a safeguard framework or programmatic approach to address safeguard issues.  8 ISDS F. Disclosuire Requirements Enivironmental Assessment/Analysis/Managenment Plan: Expected Actual Date of receipt by the Bank 2/7/2003 2/21/2003 Date of "in-country" disclosure 3/7/2003 3/12/2003 Date of submission to InfoShop 3/10/2003 3/13/2003 Date of distributing the Exec. Summary of the EA to the Executive Directors (For category A projects) Resettlemnent Action Plan/Framework: Expected Actuial Date of receipt by the Bank 2/7/2003 2/21/2003 Date of "in-country" disclosure 3/7/2003 3/12/2003 Date of submission to InfoShop 3/10/2003 3/13/2003 In(digenous Peoples Development Plan/Framework. Expected Actual Date of receipt by the Bank Date of "in-country" disclosure Date of submission to InfoShop Pest Management Plan: Expected Actual Date of receipt by the Bank Date of "in-country" disclosure Date of submission to InfoShop Dant Sfety Managenmenit Plan: Expected Actual Date of receipt by the Bank Date of "in-country" disclosure Date of submission to InfoShop If in-country disclosure of any of the above documents is not expected, please explain why. Signed and submitted by Name Date Task Team Leader: Ranjit J. Lamech 02/28/2003 Project Safeguards Specialists 1: Bernard Baratz/Person/World Bank 03/06/2003 Project Safeguards Specialists 2: Stan Peabody/Person/World Bank Project Safeguards Specialists 3: Radhika Srinivasan Approved bv: Name Date Regional Safeguards Coordinator: Jane E. Holt 03/17/2003 Sector Manager/Director Henk Busz 03/06/2003