India - Hazardous Waste Management Project - sectoral environmental assessment (Vol. 1 of 2)

INDIA - The Hazardous Waste Management Project Sectoral Environmental Assessment Report Submitted to The World Bank by Ministry of Environment and Forests New Delhi September 1997  This Draft Report has been prepared by the Environmental Management Centre, Mumbai, for the Ministry ofEnvironment and Forests, Government ofIndia. The co- operation extended by the Ministry ofEnwronrent and Forests, World Bank, State Pollution Control Boards ofAndhra Pradesh, Gujarat, Maharashtra, Tamil Nadu and National Productivity Council is gratefully acknowledged. ,.  TABLE OF CONTENTS LIST OF ANNEXES VIl LIST OF BOXES Vill LIST OF FIGURES Ix LIST OF TABLES Xi ABBREVIATIONS Xii EXECUnVE SUMMARY XIV I INTRODUCTION I 1.1 Problem of Hazardous Wastes 1 1.2 Sectoral Environmental Assessment 2 1.3 Organization of the Report 2 2 POLICY, LEGAL AND ADMINlSTRATnVE FRAMEWORK 7 2.1 Review of Environmental Policies and Programs 7 2.1.1 Policy Statement for Abatement of Pollution - 1992 7 2.1.2 Environmental Action Program, 1994 8 2.1.3 Social and Resettlement and Rehabilitation related Policies 8 2.2 Institutional Framework for Environmental Management 10 2.2.1 Organization Structure for Environmental Management at the Centre 12 2.2.1.1 Ministry of Environment and Forests 12 2.2.1.2 Central Pollution Control Board 13 2.2.1.3 National Envionmental Appellate Authority 13 2.2.2 Organization Structure for Environmental Management at the State 15 2.2.3 Organization Structure for Enviromnental Management at the Local level 16 2.2.4 Operational Agencies in Resettlement and Rehabilitation Plans Implementation 16 2.3 Comments on the Legislation, Guidelines and the Institutional Framework for Environmental Management in India 18 2.3.1 Comments on Programs, Legislation and Guidelines 18 2.3.2 Comments on the Institutional Framework for Environmental Management in India 19 2.4 Legislation and Institutional Framework Related to Hazardous Waste Management 22 Sectoral Environmental Assessment RePort  2.4.1 Hazardous Waste (Management and Handling) Rules 1989 22 2.4.1.1 Responsible Agencies for Implementation of the Rules 22 2.4.1.2 Responsibilities of Generators, Operators and Transporters 23 2.4.2 Deficiencies in the existing Hazardous Waste (Management and Handling) Rules, 1989 24 2.4.2.1 Hazardous Waste Not Covered by the Rules 25' 2.4.2.2 Correspondence between the transport rules and hazardous waste management rules 25 2.4.2.3 Thresholds 26 2.4.3 Proposed Improvements to the Hazardous Waste (Management and Handling) Rules, 1989 26 2.4.3.1 Streamlning of the definitions of Hazardous Waste Streams 26 2.4.3.2 Definition of terms 27 2.4.3.3 Re-allocation of responslities of agencies involved in hazardous waste management 27 2.4.3.4 Rules for Import of Hazardous Wastes 28 2.4.4 Proposed revisions of guidelines for hazardous waste management 28 2.4.4.1 Incorporation of the Manifest system as an integral part of the rules 28 2.4.4.2 Complementing the fist of exclusionary criteria in the site selection process. 28 2.4.4.3 Modernization of the ranking process for site selection 28 2.4.5 The Manufacture, Storage and Import of Hazardous Chemical Rules, 1989 29 2.4.6 The Manufacture, Use, Import, Export and Storage of Hazardous Microorganisms, Genetically Engineered Microorganisms or Cells Rules, 1989 30 2.5 Relevant International Conventions 30 3 STATuS OP HAZARDOUS WASTE MANAGEMENT IN NDIA 33 3.1 Sources of Hazardous Wastes 32 3.2 Industrial Growth in India 33 3.2.1 Assessment of National Hazardous Waste Generation Potential 36 3.3 Hazardous Waste Generation Pattem in the Selected States 48 Sectoral Environmental Assessment Report  3.3.1 Maharashtra 48 3.3,2 Gujarat 50 3.3.3 Tamil Nadu 50 3.3.4 Andhra Pradesh 50 3.4 Status of Implementation of Hazardous Waste (Management and Handling) Rules, 1989 in the four project States 54 3.4.1 Maharashtra 55 * 3.4.1.1 Resources 55 3.4.1.2 Status of Authorization 55 3.4.1.3 Status of CHWTDF 56 3.4.2 Gujarat 57 3.4.2.1 Resources 57 3.4.2.2 Status on Authorization 57 3.4.2.3 Status on CHWTDF 58 3.4.3 Tamil Nadu 58 3.4.3.1 Resources 58 3.4.3.2 Status of Authorization 59 3.4.3.3 Status of CHWTDF 59 3.4.4 Andhra Pradesh 60 3.4.4.1 Resources 60 3.4.4.2 Status of Authorization 61 3.4.4.3 Status on the CHWTDF 62 3.4.5 Status of Implementation of Hazardous Waste (Management and Handling) Rules, 1989 in the two additional states supported by the Project 62 3.5 Current Environmental Situation 3.5.1 Impact on ecosystems 63 3.5.2 Impacts on Public Health 67 3.6 Need for the Project 68 4 SECTOR WIDE STRATEGIC APPROACH 72 4.1 Alternative Approaches to Hazardous Waste Management 72 4.2 Costs of No Intervention 73 4.3 Rationale and Underlying Policies of the Project .73 4.3.1 The Precautionary Principle 74 4.3.2 The Risk Reduction Principle 74 4.3.3 The Polluter Pays Principle 74 4.4 Hazardous Waste Management System 75 4.4.1 Minimization of Hazardous Wastes 77 4.4.2 Technologies for Treatment and Disposal 77 Sectoral Environmental Assessment Report  4.4.3 Transportation of Hazardous Wastes 78 4.5 Project Design Strategy 79 5 THE HAZARDOUS WASTE MANAGEMENT PROJECT 82 5.1 Preamble 82 5.2 Design of the Project Components 83 5.2.1 The Enforcement and Compliance Component 83 5.2.2 The Technical Assistance Component 88 5.2.3 The Infrastructure Development Component 94 5.2.3.1 Analysis of Altermatives for Investments in Infstructure Development 95 5.2.3.2 Sub-Projects under the Infrastructure Development Component 103 5.3 Benefits of the proposed project 107 5.3.1 The Enforcement and Complance Component 107 5.3.2 The Technical Assistance Component 110 5.3.3 The Infrastructure Development Component 113 5.4 Resolution of Issues in Hazardous Waste Management by the Project 114 6 PROCESS GUIDANCE FRAMEWORK AND PUBLIC CONSULTATION PROCESS 116 6.1 Mitigation of Risks and Impacts in the Context of SEA 116 6.2 Mitigation of Riskfflmpacts by Project Design 117 6.2.1 Management of Technical Risks 117 6.2.2 Management of Institutional Risks 118 6.2.3 Management of Financial and Other Risks 120 6.3 Mitigation of Risks/Impacts by The Process Guidance Framework 123 6.3.1 Project Eligibility Level 127 6.3.2 Project Appraisal Level 131 6.3.2.1 Environmental Impact Assessment 131 6.3.2.2 Resettlement and Rehabilitation of Project Affected Persons 132 6.3.3 Project Monitoring Level 138 6.4 Public Information and Consulation 139 6.4.1 Public Information and Consultation (PIC) of this SEAR 139 6.4.2 PCP for the sub- Projects 143 6.4.3 PCP for CHWTDFs 144 Sectoral Environmental Assessment Report iv  7 IMPLEMENTATION ARRANGEMENTS 7.1 Project Management 147 7.1.1 Enforcement and Compliance Component 148 7.1.2 Technical Assistance Component 148 7.1.3 Infrastructure Development Component 147 7.2 Project Coordination and Monitoring 151 7.2.1 Responsibilities of the Project Management Office at MOEF 151 7.2.2 Responsibilities of the Project Implementation Cell at SPCBs 152 7.3 Project Performance Monitoring 152 7.4 Implementation Schedule 154 7.5 Project Costs and Financing 156 7.5.1 Enforcement and Monitoring Component 158 7.5.2 Technical Assistance Component 158 7.5.3 Infrastructure Development Component 158 Sectoral Environmental Assessment Report v  LIST OF ANNEXES Annex 1-1- Correspondence between SEAR and the Environmental Assessment Source Book Update No. 4 159 Annex 2-1- Supportive Legislations 164 Annex 2-2 - Hazardous Waste (Management and Handling) Rules 1989 173 Annex 2-3 - Proposed recommendations to the Hazardous Waste (Management and Handling) Rules, 1989 180 Annex 2-4 - International Conventions relevant to Environmental Protection where GOI has been signatory 226 Annex 5-1 - List of Insruments proposed by the SPCBs during the Planning Workshops 228 Annex 5-2 (a) -Training Programmes proposed by the SPCBs during the Planning Workshops 239 Amnex 5-2 (b) - Training Programmes proposed for the State Intermediaries and FIs 240 Annex 5-2 (c) - Training Programmes proposed for NGOs 242 Annex 5-3 - Technical Assistance Studies proposed by the SPCBs during the Planning Workshops 243 Annex 5-4 - Typical Examples of Waste Minimization Techniques 246 Annex 5-5 - Recommendations from the Workshop on Identification and Management of Risks at CHWTDFs 247 Annex 6-1 - Suggested EIA Process for CHWTDF 249 Annex 6-2 - ModelTORfr EIA of CHWIDFs 251 Aonex 6-3- Resettlement Policy Framework 256 Annex 6-4 - Suggested Tools for Public Information and Consultation 265 Sectoral Environmental Assessment Report Vi  LIST OF BOXES Box 2.1 Policy Statement for Abatement of Pollution (Government of India, 1992) 7 Box 2.2 Key fiuctions of the MOEF (World Bank, 1996) 12 Box 2.3 Key functions of the CPCB (World Bank, 1996) 13 Box 2.4 Key functions of the SPCB (World Bank, 1996) 15 Box 2.5 BASEL Convention on the Control of Transboundary Movement of Hazardous Wastes and their Disposal in March 1989 (BASEL Convention, 1989) 30 Box 3.1 Selected Illustrative cases showing growth of potential hazardous waste generating industries 37 Box 3.2 Case Studies from Gujarat illustrating adverse impact on the ecosystems 65 Box 3.3 Case Studies from Maharashtra illustrating adverse impact on the ecosystems 66 Box 3.4 Case studies from Delhi and Rajasthan ilustrating adverse impact on the ecosystems 66 Box 3.5 Case studies showing impacts on public health 67 Box 5.1 Role of various agencies involved inthe pilot CHWTDFs 106 Box-6. I Eligibility Criteria for Sub-projects under the Infiastructure Development Component 129 Box-6.2 Eligibility Criteria for Demonstration Projects under the Technical Assistance Component 130 Box- 6.3 Checkist for Appraisal of Infiastructure Development Projects: Common Hazardous Waste Treatment and Disposal Facilities 134 Box-6.4 Checklist for Appraisal of Infiastructure Development Projects: Hazardous Waste Minimization, Treatment and Disposal at Individual Facilities 136 Box-6.5 Suggested composition of the Technical Committee at BOB / ICICI 146 Box-6.6 Suggested composition of the Technical Committee at State Intermediaries for setting up of CHW`IDFs 146 Sectoral Environmental Assessment Report vii  LIST OF FIGURES Figure 1.1: Sectoral Environmental Assessment in Program and Project Planning : An iMlustration of its application to a sector investment program 2 Figure 1.2: Activity chart showing the preparation for the SEAR 5 Figure 2.1: interlinkages between the various agencies involved in environmental management m India I Figure 2.2: Organization Structure for Environmental Management at the Central Government Level 15 Figure 2.3 : Organization Structure For Environmental Management at the State Government Level 16 Figure 3.1: Industrial Production Growth Rate [%] 34 Figure 3.2: Gross Domestic Product Growth Rate [%] 34 Figure 3.3: Growth Rate of SSI Production 36 Figure 3.4: Comparison of estimates of hazardous wastes generated in India with the inventorized data reported in the four project states 47 Figure 3.5 : Inventorisation of Hazardous Waste in the State of Maharashtra 49 Figure 3.6: Inventorisation of Hazardous Waste in the State of Gujarat 51 Figure 3.7: Inventorisation of Hazardous Waste in the State of Tamil Nadu 52 Figure 3.8: Iventorisation of Hazardous Waste in the State of Andbra Pradesh 52 Figure 3.9: Physical and biological routes of transport of hazardous substances their release from disposal sites and potential for human exposure 64 Figure 3.10 Key issues in Hazardous waste Management 71 Figure 4.1: Hazardous Waste Management Components 76 Figure 4.2: Interrelationship between Components of the Hazardous Waste Management Project 80 Figure 5.1: Owneship Model for Pilot Projects for CHWTDFs 105 Figure 5.2: Influence of Project Design on Resolution of Key Issues of Hazardous Waste Management 115 Figure 6.1 (a) : Resolution of Technical Risks 119 Figure 6.1 (b) : Resolution of Institutional Risks 121 Figure 6.1 (c) : Resolution of Financial and Other Risks 122 Figure 6.2: The proposed approach for the Process Guidance Framework 128 Figure 7.1: Schematic showing distnbution of responsibilities of Sectoral EnvironmentalAssessment Report vii .~~~~~~~~~i  the various agencies for the sub-projects under Enforcement and Compliance Component 148 Figure 7.2: Schematic showing distrbution of responsibilities of the various agencies for the sub-projects under Technical Assistance Component 149 Figure 7.3: Cost allocations for the Major Project Components 157 Sectoral Environmental Assessment Report ix  LIST OF TABLES Table 2.1 The responsible agencies for implementation of the various legislation 17 Table 2.2 Non-compatible combinations of waste 24 Table 3.1 Sector-wise Distnbution of Major Industries 35 Table 3.2 State-wise Distribution of Hazardous Waste Generating Industries 38 Table 3.3 Hazardous Waste Generation Factors from ASSOCHAM 41 Table 3.4 Select Hazardous Waste Generation Factors Reported by National Productivity Council 45 Table 3.5 Estimation of the Hazardous Waste Generation from Pesticides, Paints and Pigments, Petroleum Products and Caustic Soda industrial Sectors 46 Table 3.6 Status of hazrdous waste generated in Gujarat, Maharashtra, Andhra Pradesh, anid Tamil Nadu 54 Table 3.7 Status of Implementation of Hazardous Waste Management in Maharashtra 56 Table 3.8 Status of Implementation of Hazardous Waste Management in Gujarat 57 Table 3.9 Status of Implementation of Hazardous Waste Management in Tamil Nadu 59 Table 3.10 Status of Implementation of Hazardous Waste Management in Andhra Pradesh 61 Table 5.1 Schedule of the Strategic Planning Workshops 83 Table 5.2 Pros and Cons of each of the Altematives considered for Investments in Infrastructure Development 97 Table 5.3 Analysis of Policy Altematives for the Ifrastructure Development Component - 101 Table 6.1 Impact Assessment Matrix for Hazardous Waste Management Project 123 Table 6.2 Identification of Ris/Impacts and Migation Measures for waste avoidance, minimization, re-use and treatment at hidividual units 124 Table 6.3 Identification of Risks/Impacts and Mitigation Measures for Pilot CHWTDFs 125 Table 7.1 Suggested Responsibility Allocation for Implementing the Infrastructure Development Component 150 Table 7.2 Hazardous Waste Management Project Implementation Schedule 155 Table 7.3 Project Costs 156 Sectoral Environmental Assessment Report x  ABBREVIATIONS APIIC Andhra Pradesh Industrial Infrastructure Corporation AUS-AID Australian Aid APPCB Andhra Pradesh Pollution Control Board APSIDC Andhra Pradesh State Industrial Development Corporation BARC Bhabha Atomic Research Centre BATNEEC Best Available Technologies, Not Entaling Excessive Costs BOB Bank of Baroda BOM Build Operate Manage CETP Common Effluent Treatment Plants CHWIDFs Common Hazardous Waste Treatment and Disposal Facilities ClI Confederation of Indian Industries CPCB Central Pollution Control Board EAP Environment Action. Program EIA Environmental Impact assessment EMP Environmental Management Plan EPTRI Environmental Protection Training and Research Institute ETP Effluent Treatment Plants Fl Financial Institutions GACL Gujarat Alkalies and Chemicals Limited GDP Gross Domestic Product GEAC Genetic Engineering Approval Committee GIDC Gujarat Industrial Development Corporation GIS Geographical Information System GOI Government of India GPCB Gujarat Pollution Control Board GTZ Gesselschafte Technische Zussamenarbeit HWM Hazardous Waste Management HWMP Hazardous Waste Management Project HWTDF Hazardous waste treatment and disposal facility IBSC Institutional Bio-Safety Committee ICICI Industrial Credit and Investment Corporation of India Limited IDA Intenational Development Agency IDC Industrial Development Corporation IL&FS Infrastructure Leasing & Financial Services IPC Industrial Pollution Control project IPP Industrial Pollution Prevention Sectoral Environmental Assessmenf Report xi  IPCL- Indian Petrochemicals Corporation Ltd. 1TF Interim Trust Fund MIDC Maharashtra Industrial Development COrporation MIS Mangement Information Systen MOEF Ministry of Enviromnent and Forests MPCB Maharashtra Pollution Control Board MSW Municipal Solid Wastes NEERI National Environmental Engineering Research Institute NGO Non Govemmental Organization NIMBY Not In My Back Yard NPC National Productivity Council NRC National Research Council NRSA National Remote Sensing Agency NTS Non Technical Summary OECD Organization for European Community Development PAP Project Affected Persons PCB Pollution Control Board PGF Process Guidance Framework PIC Public Information and Consultation RPF Resettlement Policy Framework R&R Resettlement and Rehabilitation RTO Road Transport Officers SPCB State Pollution Control Boards SOE Statement of Expenditures SDOE State Departmn of Enviromnent SMI Smal and Medium Scale Industies SSI Smal Scale lndustry SWOT Strengths Weaknesses Opportunities and Threats TBIA Thane-Belapur Industries Association TOR Terms of reference TNUDF Tamil Nadu Urban Development Finance Corporation TNPCB Tamil-Nadu Pollution Control Board TRI Toxic Release Inventory TRI UNDP United Nations Development Program UNEP United Nations Environment Program WB World Bank WMDBI Waste Minimization Database of India WMC Waste Minimization Circles Sectoral Environmental Assessment Report xii  EXECUTIVE SUMMARY Preface This Sectora1 Environmental Assessment Report (SEAR) has been prepared in response to the requirements of the World Bank. The purpose of an SEAR is to undertake a sector-wide environmental analysis before investment priorities have been determined as a means to support integration of environmental concems into long-term development and investment planning. In the context of the proposed project, the SEAR examines approaches to dealing with hazardous waste, and recommends the environmentally sound management options. This executive Summary is arranged as follows: * 1.0 - Introduction * 2.0 - Policy, Legal and Institutional framework of India. * 3.0 - Status of Hazardous Waste Managemmt m India * 4.0 - Sector-wide Strategic Approach * 5.0 - Project Description * 6.0 - Process Guidance Framework and Public Consultation Process * 7.0 - Implementation Arrangements The SEAR was prepared by the Ministy of Environment and Forests, with the assistance of Environmental Management Centre, Mumbai. The first draft of the SEAR was prepared in February 1997 and reviewed by the World Bank. The revisions recommended were incorporated and a second draft was prepared by August 1997. Public Information and Consultation of the second draft of the SEAR was held in Ahmedabad, ChennaL, Hyderabad, Mumbai and New Delhi by the Gujarat State Pollution Control Board, Tamil Nadu State Pollution Control Board, Andhra Pradesh State Pollution Control Board, Maharashtra State Pollution Control Board and the Ministry of Environment and Forests respectively. The recommendations arising from the PIC were incorporated where appropriate and the final SEAR was prepared in September 1997. Sectoral Environmental Assessment Report xiii  1.0 Introduction 1. Rapid urbanization and industrialization in India has resulted in increased needs for proper disposal of industrial wastes. There has been a significant increase in industrial sectors such as pesticides, drugs and pharmaceuticals, textiles, dyes, fertilizer, tanneries, paint, chlor - alkali etc. which have a major potential for generation of hazardous wastes. Hazardous wastes when not adequately handled and disposed, can cause immediate, short term public health problems as well as long term enviromnental contamiation and degrdation of natural resources. Proper treatment and disposal of such hazardous wastes is much more expensive and complex than dealing with the conventional or non- hazardous wastes / residues. 2. It is therefore essential to improve the monitoring, enforcement and physical infrastructure needed for hazardous waste management while promoting recycling, recovery of materials, and avoidance of generation of hazardous wastes. The proposed Hazardous Waste Management Project (HWMP) addresses this urgent need, in line with the recommendations of' Govemment of India's Environmental Action Programme (EAP). 3. The present study has been undertaken to carry out a Sectoral Environmental Assessment (SEA) of the HWMP. Sector Environmental Assessment (SEA) as defined by the Environmental Assessment Source Book Update No. 4 of the World Bank (World Bank, 1993), offers an opportunity for sector-wide environmental analysis before ivestment pniorities have been determined. In the context of the HWMP, the SEA has been used to develop its design in terms of broad components and supporting projects/sub-projects, and to find solutions, altematives and strategies which are cost-effective, environmentally sound and socially acceptable. 2.0 Policy, Legal and Institutional framework of India. 4. In addition to the commitment to protect the environment enshrined in the Directive Principles of State Policy, the "Policy Statement for Abatement of Pollution" brought out by the GOI in 1992 also emphasizes the government's commitment to prevent further deterioration of the environment and to shif emphasis from identification of solutions for problem areas towards their actual implementation. One of the problem areas identified is hazardous industrial and commercial wastes and their indiscriminate disposai. Sectoral Environmental Assessment Report XiV  5. - India's EAP, 1994, identifies hazardous industrial and commercial waste and their indiscriminate disposal resulting in land, surface and ground water contamination as one of the priority problem areas. These wastes include heavy metals, cyanides and pesticides, complex organic compounds (such as H-acids) and others are toxic to humans, plants or animrals, are flammable, corrosive, or explosive, or have high chemical reactivity. Proper treatment and disposal of these materials is much more expensive and complex when compared to common air and water pollutants. 6. In addition to enacting regulations, and strengthening istiutions at national and state levels in this priority area, financial assistance from bi-lateral and multilateral agencies has been obtained for implementation of effective environment improvement measures. The MOEF has now decided to seek World Bank assistance for a program of sound management of hazardous waste in the country. This Sectoral Environment Assessment Report (SEAR) presents an analysis, sectorwise of the existing situation in Hazardous Waste Management and integrates environmental concerns to support long- term investment plans in this area. 7. Legislation. The relevant unbrella Act is the Environmental Protection Act (1986). Deriving from this Act, in 1989, the Govemment of India issued the Hazardous Waste Management and Handling Rules to govern the generation, collection, treatment, transport, storage, disposal and import of hazardous wastes, with responsibility for enforcement vested with the State Pollution Control Boards. Addiionally, in 1991, MOEF issued Guidelines for Management and Handing of Hazardous Wastes for (a) generators; (b) tnsport of hazardous waste; and (c) owners/operators of hazardous storage, treatment and disposal facility. in 1995, MOEF issued Guidelines for the Safe Road trawsPort of Hazardous Chemicals that established basic rules for Hazardous Goods Transport and provided for the establishment of a Transport Emergency Plan and provisions for the Identification and Assessment of Hads. 8. Institutions. The responsibility for monitoring and enforcement of the hazardous waste rules are vested in the State Polution Contol Boards, which grant authorization for import, collection, treatment, storage, transportation, and disposal, and follow up of any accidents in handling hazardous material. 3.0 Status of Hzardous Waste Management in India 9. Size of the Problem. A comprehensive picture of hazardous waste generation in India is not availabe. Based on intemational and nationa waste generation factors and a sample of state-wide surveys, hazardous waste generation is estimated at 5.0 milion tons/year. As per preimina estimates, there are approximately 8792 hazardous waste Sectoral Environmental AssessmentReport xv  generators in 20 States. The States of Andhra Pradesh, Gujarat, Maharashtra, and Tarail Nadu together comprise 60% of the hazardous waste generated in the country. The main SEA report describes details on the major hazardous waste generating districts/areas in India (Table A). Table A. Status of hazardous waste generated in Gujarat, Maharashtra, Andhra Pradesh, and Tamil Nadu State No. of districts Quantity of Categories in District / Region inventoried Hazardous Waste which showing maximum Generated ( maximum waste generation million tons/ waste Is annum) generated Andbra AU districts 0.10 Cat 12 - 30% Ranga Reddy Pradesh Cat.6 -16% Gujamat Al districts 0.50 Cat 12 - 45% Vadodara district Cat 9 -43% Maharashtra All districts 160 Cat. 12-78% Thane, Raigad, Cat. 17- Pune _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ 12.8% _ _ _ _ _ _ _ _ Tamil Nadu Ai districts 140 Cat. 12 - North Arcot, 41.4% Anna, MGR, Cat 10-28% Coimbatore Note Cat.6 - Halogenated Hydrocarbons including solvents; Cat. 9 - Wastes from Dyes and Dye Intermediates; Cat.10 - Waste Oil and Oil Emulsions; Cat. 12 - ETP Sludge; Cat.17 - Off specification and discarded products 10. As per SPCBs, who are responsible for enforcement of the hazardous waste rules, for the 8800 hazardous waste generator units, 6686 have valid authorizations for handling of the hazardous residues. While some individual units have in-house treatment and disposal facilities, there are no centralized plants that can be accessed by small and medium scale units. 11. Disposal is the last option for dealing with hazardous waste. Prior to disposal, efforts should be encouraged to avoid, minimize, recycle and treat the residues. The major portion of hazardous waste generators require landfills for permanent disposal of waste. In the absence of proper and secure landfills, indisc te dumpi ave disastrous consequences on the environment and health Considering also rapid industrialization and large imports of waste for recycling, specially metallic waste, there is an urgent need to build infrastructure for proper treatment and disposal of hazardous waste. 12. Health Impacts. Exposure to hazardous waste can affect humran health through direct exposure or indirectly through contamination of ecosystems. Direct exposure can Sectoral Environmental Assessment Report xvi  lead to chemical contamination which has a detrimental impact on public health and environment. 13. Environmental Impacts. Adverse effects on ecosystems (terrestrial and aquatic) result from improper disposal or dumping of hazardous waste. When discharged on land, heavy metals and certain organic compounds are phytotoxic and at relatively low levels of concentration can adversely affect soil productivity for extended periods of time. Residues from pesticides and herbicide manufacture as wel as other biocides have been traced to reductions in number of species in areas affected and chronic toxic effects on subsequent generations of birds and other animals. Discharge of acidic and alkaline waste overwhelms the natural buffer capacity of surface waters and soils and may result in the mass reduction of species. Of particular concern is the dispersal into surface waters where widespread contamination may result from a single source. 14. Key Problems. The following are the key problems in hazardous waste management: a) insufficient information on the total quantity and types of waste; b) inadequate compliance with regulations; c) lack of awareness regarding risks to health, safety and environment; and d) lack of proper infiastructure for treatment and safe disposaL 15. Though partial information is available regarding location-specific production of hazardous waste, and the current disposal pattemns, it is difficult to estimate economic cost of improper disposal of hazardous waste for several reasons in India: lack of epidemiological "dose-response" functions linng the level of exposure to various toxms to negative impacts on human health and environment; (b) lack of data on the size of the population actualy exposed to various toxms, by geographic area, and their level of exposure. The exposure can be direct (e.g., through drinkdng water), or indirect (e.g., through the consumption of toxin-laden fish); (c) lack of data on the ecological impact of toxins in water, soiL and air; (d) potential loss of agricultual production and other ecological services due to contamintion; (e) the potential liability posed by toxic contamination of industrial land; and (f). the magnitude of the potential disincentive to new investors, particularly international investors, created by the poor handlng facilities for, and the unattractiveness of, hazardous waste. There is therefor an urgent need to address the problem of hazardous waste at a national level and to formulate a comprehensive plan of actions. The proposed project would support these actions. 4.0 Sector-wide Strategic Approach 16. There are three possible ways of approaching the hazardous waste problem in Sadia: Sctoral Enviionmental Assessment Report xv.ii  Approach A. Do nothing, and simply accept the economic, social, and environmental umpacts of hazardous waste as being an acceptable cost of development into the foreseeable future. However, for an environmentally sensitive and democratic society such as India, this alternative is highly unacceptable. There are several outstanding cases of severe damage to public health and the ecosystem, in India, due to improper management and disposal of hazardous wastes as explained in detail in Chapter 2.0. The cost of inaction will be prohibitive and may jeopardize future industrial growth as well as overall quality of life. Approach B. Do nothing until the problem becomes so severe that crisis remediation (defined as mvestment in hazardous waste treatment, and clean-up contaminated sites) and compensation to those affected is called for. Approach C. Adopt a precautionary strategy, starting with improved hazardous waste management in selected states of high industrial concentrations and/or potentially rapid growth of high hazardous waste generating industries. 17. The proposed project builds on Approach C as being the most consistent with the economic, political, and social reality in India today. India has decided to adopt a more precautionary approach to hazardous waste management. With modern hazardous waste management regulations in place, the next step is to improve the monitoring, enforcement and physical infrastructure needed for their effective implementation, while promoting recycling, recovery of materials, and avoidance of generation of hazardous residues and enabling the development of properly designed infastructure for treatment and disposaL 18. Sectoral Goals. The long-tern objective is to ensure that industrial growth in India is environmentally sustainable. In this context, MOEF has taken a phased approach, first dealing with common pollutants, before moving on to more complex issues such as hazardous wastes. The approach has also focused on the most industrialized states in India to begin with. The approach to new industrial units is to ensure that they incorporate environmental safeguards durmg plant design and operation. 5.0 Project Description 19. The proposed project will (i) assist the MOEF and the participating state governments to strengthen their enforcement and monitoring capacities; (ii) support the development of strategic approaches and application of proven technologies to Indian situation; (iO) provide financial assistance to industrial units to invest im waste avoidance, minimization, and re-use at the plant and process level; and (iv) finance the establishment of Common Hazardous Waste Treatment and Disposal Facilities (CHWrDFs). Sectoral EnvironmentalAssamenr Repon xvi  20. - The Enforcement and Compliance Component. This component will strengthen the monitoring and enforcement capacity of the State Pollution Control Boards in those States where the most serious hazardous waste concerns have arisen These are the States of Andhra Pradesh, Gujarat, Maharashtra and Tamil Nadu. The MOEF has also made provisions in the component to include another 2 State Boards for institutional strengthening for hazardous waste management. The various elements / sub-projects of the institutional component are defined in the main report. 21. The Technical Assistance Component. The Technical Assistance component is directed towards providing assistance to the Boards and the MOEF. This includes training programmes for capacity strengthening of Board personnel in the areas of waste minmrization, analytical methods for hazardous chemicals and residue detection, technologies for treatment, disposal, and storage of hazardous wastes waste as well as for development of the information management systems in the Boards. A detailed description of the activities to be supported are presented in the main report. 22. The Infrastructure Development Component. The component is designed to support priority investments in hazardous waste management. This component will (i) provide financial assistance to industrial units to invest in waste avoidance, minmization, and re-use at the plant and process level, as well as on-site treatment of the hazardous wastes; and (ii) finance a pilot effort for the establishment of CHWTDFs. Eligibility criteria for sub-projects is descnbed below. The project is expected to fiance upto 6-8 CHWrDFs. The main SEAR lists the priority areas where these facilities are likely to be located. 23. Eliibility Criteria for Subprojects under the Investment Component. The mvestments (sub-projects) to be financed will meet the criteria as listed in the main SEAR. The sub-projects will either consist of schemes for hazardous waste prevention, minimizaton, recycling or reuse of otherwise hazardous residues or consist of treatment, storage and/or disposal facilities for proper management of hazardous waste. Amongst other conditions, the subprojects will need to be assessed through an Environmental Impact Assessment that meets the requirements of the MOEF regulations and in conformance with applicable World Bank guidelines. When dealing with thrmal destruction of residues (incmeration), sub-projects wil not bum halogen or mercury containing waste. These residues are excluded. The project wil fund pilot plant studies required for development of a long term containment and disposal strategy for these residues. Medical and nuclear waste are also exclded from the project scope. In terms of location, the centralized facilities may be located to the extent possible in land zoned for industrial use. Sectoral EnvironmentalAsessment Report XLX  24. Status of Site Identification for CHWTDFs. Efforts are underway towards identifying and notifying sites for the CHWTDFs. Of the 24 sites already identified, eight have been notified in the four participating States. Sites selection process follows the MOEF guidelines and the Process Guidance Framework, including public consultation on the draft EIA. 6.0 Process Guidance Framework and the Public Consultation Process 25. Process Guidance Framework(PGF) for Environmental and Social Assessment of Sub-projects under the Investment Component. The process mentioned herein is a composite of the procedures stipulated by the GOI (MOEF, 1989; MOEF 1994) and the World Bank (World Bank, 1990; World Bank, 1991). MOEF oversees the EIA process. The responsibility for review and approval of EIA report lies with the State Department of Environment (DOE) and the State Pollution Control Board (SPCB). The former is also responsible for notifving the acceptable site for the facility following the approval of the EIA report. The EIA studies are conducted by the proponent with the assistance of a team of consultants. For the FIs, the EIA is a tool through which environmental and social risks, from an investment standpoint, could be determined., The EIA provides the community with the means to communicate with the proponent and government on the project design. The World Bank will review all the EIA reports and Resettlement Action Plans. An outline of the process guidance framework is presented below. A seven step process guidance framework, inter-ala, is detailed in the main SEA Report which contains generic TORs for EIAs, RAPs, and some suggested tools for public consultation. 26. Public Consultation Process During site selection, every proponent is required to select sites that will not involve involuntary resettlement or rehabilitation, or impacts adversely on marginal or vulnerable groups. In any case, a credible Public Consultation Process (PCP) is crucial to the successful development of the project, including the preparation of an acceptable Environmental Management Plan (EMP) and Resettlement Action Plan (RAP), if required. The proponent should engage a NGO group as part of the Consultant team to design and facilitate the implementation of a suitable consultation process. The Consultant/NGO should continuously re-assess the PCP strategy as feedback is received from information dissemination and consultation. Tools for information dissemination and consultation for the Consultant/NGO are detailed in the mami SEA Report. 27. Policy Framework for Resettlement In order to meet the resettlement and rehabilitation requirements of the World lank, sub-projects financed under the proposed pr*jct would be required to follow comation provisions established under the Land Sectoral Environmental Assessment Report -X  Acquisition Act of 1894 as amended in 1984 and project specific guidelines described in the main text of the report. A policy guideline cabinet note has been prepared by the Ministry of Urban Affairs and Employment of the policy framework for resettlement. This note has been issued to other departments for comments and MOEF is in favour of this note. This proposed policy, in principle is in agreement with the World Bank's resettlement policy framework. 7.0 Implementation Arrangements 28. Project Management . The Ministry will be responsible for overall monitoring and coordination of all project activities. For the monitoring and coordination function, MOEF will be assisted by a team of consultants who will staff a project coordination and monitoring office. Responsiblities of the office are described in the main text of the report. Project implementation wiUl be the responsibility of: (i) the SPCBs of the participating States, each through a dedicated implementation cell; (ii) the ICICI and the BOB. MOEF will monitor implementation by the different agencies and faciltate the routing of resources to the industries involved in the implemetation of the corresponding activities. 29. Project Monitoring. MOEF will monitor the overal implementation of the Hazardous Waste Project, including the capacity building activities in the SPCBs. The participating SPCBs wiU monitor the performance of in-plant and centralized hazardous waste treatment and disposal facilities through operation, closure and post-closure periods. NGOs and commuity groups wl be associated in monitoring activities. Sectoral EnvironmentalAssewment Report  Chapter 1 INTRODUCTION 1.1 Problem of Hazardous Wastes 1.2 Sectoral Environmental Assessment 1.3 Organization of the Report  Chapter 1 INRODUCTION 1.1 Problem of Hazardous Wastes Rapid urbanization and industrialization in India has resulted in increased needs for proper disposal of industrial wastes. The industrial sector in India has quadrupled in size in the last three decades. There has been a significant increase in industrial sectors such as pesticides, drugs and phannaceuticals, textiles, dyes, fertilizer, tanneries, paint, chlor- alkali etc. which have a major potential for generation of hazardous wastes. Hazardous wastes from these industrial sectors contain heavy metals, cyanides, pesticides, complex aromatic compounds and other chemicals, that are toxic to humans, plants or animals, are flammable, corrosive, or explosive, or have high chemical reactivity. Hazardous waste contnbution from industrial sources is also critical due to the wide geographical spread of industrial units in the country, thereby leading to region wide impacts. Hazardous wastes when not adequately handled and disposed, can cause immediate, short term public health problems as wel as long term environmntal conamiation and degradation of natural resources. Proper treatment and disposal of such hazardous wastes is much more expensive and complex than dealing with the conventional or non- hazardous wastes/residues. Experiences in a number of developed counries suggests that cleanming up of hazardous wastes at a later stage is much more epnsive in the long term as compared to its prevention at source. It is therefore essential for the industrialized states of India to improve the monitoring, enforcement and physical infrastructure needed for their effective implemetation, while promoting recycling, recovery of materials, and avoidance of generation of hazardous wastes. The proposed Hazardous Waste Management Project (HWMP) addresses this urgent need, in line with the recommendations of Government of India's Environmental Action Programme (EAP). The objective of the HWMP is to assist in the implementation of a modern and sustainable hazardous waste management system in the country. The project is expected to assist in modemizing the regulatory framework, strengthening the institutions in charge of enforcement and monitoring, and financing Priority investments in hazardous waste minimization, treatment, and disposaL Sectoral Environmental Assessment Report 1  The present study has been undertaken to carry out a Sectoral Environmental Assessment (SEA) of the HWMP. 1.2 Sectoral Environmental Assessment Sector Environmental Assessment (SEA) as defined by the Environmental Assessment Source Book Update No. 4 of the World Bank (World Bank, 1993), offers an opportunity for sector-wide environmental analysis before investment priorities have been determined. It also supports integration of environmental concerns into long term development and investment planning. SEA is most commonly applied in the context of sector investment programmes involving multiple sub-projects. An illustration of the application of sectoral EA in project planning is shown in Figure 1.0. The figure illustrates the potential role of sectoral EA in the planning of a sectoral investment programme. The SEA analyses a proposed programme and its alternatives thus helping design the final programme including the process of environmental screening and review of sub-projects. m __~~~~~ r -psp r PSP-I r pp-I r p -1 r 7.0 % ~ ~~~~ IbSECuIt.q..EI aInIt A Figure 1.1: Sectoral Environmental Assessment in programme and P'roject Planning : An lustration of Its applcation to a sector Investment programme (World Bank, 1993) SEA makes an inquiry into the fundamental alternative of whether to intervene in a situation by a strategy or leave the situation as it is. If the argumenlts for the intervention are convincing, then alternatives are identified at the broad level of policies and strategies. The policies and strategies at the sector level, in turn, trigger a number of Secioral Environmental Assessment Report2 _~~~~~~~~~~~~~~~  specific sub-projects, which need to be further addressed at the Project level Environmental Assessment. In the context of the HWMP, the SEA has been used to develop its design in terms of broad components and supporting projects/sub-projects, and to find solutions, alternatives and strategies which are cost-effective, environmentally sound and socially acceptable. The development of the SEA Report has been interactive and concurrent consisting of discussions, workshops and public information and consultations. These interactions included various stakeholders such as the State Pollution Control Boards, Financing Institutions, Non Government Organizations, Consultants, Research Institutions etc. As an outcome of the discussions, HWMP with its components and projects/sub-projects has been evolved which reduce/eliminate the project risks and maximize the benefits. In this sense, the development of SEA Report has bee a truly dyamic and participatory exercise. Figure 1.2 depicts the various activities undertaken in the fnalization of the SEAR. 1.3 Organization of the Report The report is organized in seven chapters and follows in spirit the contents recommended by the SourceBook Update No.4 of the World Bank. Annex 1-1 presents a correspondence between the SourceBook Update No.4 of the World Bank and this SEAR. The first Chapter introduces the genesis of environmental management in India. It also identifies the need for a time bound and comprehensive management of hazardous wastes in the country. The second Chapter focuses on the policy, legal and admWistrative framework both at the national and sectoral level. The relevant national environmental policies, e.g. The Policy Statement for Abatement of Pollution, 1992, Programmes e.g. Environmental Action Programme, 1994, laws and regulations e.g. Enviroment (Protection) Act, 1986 etc., have been described in this Chapter. Non-environmental laws e.g. The Central Motor Vehicle Act, 1989, and policies e.g. Forest Policy, Social and Resettlement and Rehabilitation related Policies that have significance for the sector utilization of resources, or pollution have also been described. The national regulatory framework for EA preparation and review viz., the EIA notification (amended January 1997) has also been descnibed. The SEA analyses the institutional capacity of the Ministry of Environment and Forests (MOEF), Govemment of India and regulatory agencies such as the Central and State Pollution Control Boards. Sectoral Environmental Assessment Report 3  The analysis has been done in terms of effectiveness and capacity of these regulatory agencies for providing guidelines, setting and enforcing standards, and reviewing environmental assessments. This Chapter also analyses hazardous waste management sector specific policies, laws and regulations that have environmental implications, e.g. Hazardous Waste (Management and Handling) Rules, 1989. Chapter 3.0 highlights the existng status of hazardous waste management in the four states of Andbra Pradesh, Gujarat, Maharashtra and Tamil Nadu. This Chapter also describes the existing issues and problems specific to hazardous waste management such as impacts on public health and environmental resources. Based on the review of the national and sectoral legal and regulatory framework, as well as the status of hazardous waste management, the need for the project has been identified. The fourth Chapter presents a sector-wide strategic approach for hazardous waste management. The rationale and underlying policies of the project together with the strategy adopted for project design is presented in this Chapter. Chapter 5.0 describes the nature and objectives of the proposed project its components and sub-projects under each component, together with the mnain environmental issues associated with the sector and these programs. The benefits due to the various components are also highlighted in this Chapter. An analysis of alternatives for investment in infrastructure development is also presented. This analysis considers various policy options together with their pros and cons which in turn will help to develop a solution which balances between the costs, risks and acceptance by the public. The sixth Chapter analyses likely environmental impacts due to $he various components and sub-projects. The project design has been done in such a manner so as to mmize the environmental impacts / risks due to the project. This Chapter also recommends broad options for eliminating or reducing to acceptable levels the environmental impacts by following a Process Guidance Framework (PGF). The PGF draws on findings from the analysis of policy, legal and institutional issues as well as the analysis of impacts and alternatives. It serves as a mitigation plan to mnmize the risks that are anticipated due to the project and maximize the objectives of the project. A step wise approach has been suggested in the PGF for selection, appraisal and monitoring of sub-projects in the infrastructure development component. This approach which is suggested at three levels viz., project entry level; project appraisal level and project monitoring level is described in detail in this Chapter. Sectoral Environmental Assessment Report 4  Figure 1.2 Activity chart showing the preparation for the SEAR rime 96 97 Activity Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Planning Workshop at Gujarat State Pollution Control Board (GPCB) __ P1anoing Workshop at Andhra Pradesh State Pollurion Control Board (APPCB) _ _ Planning Workshop at Tamfl Nadu State PoUlution _ Control Board (TNPCB)_ __ Planning Workhop at Maharashtra State Pollution Joint Workshop at Ministry of Environment and Forests____ (MOEF) Procurement Workshop and finalization of procurement Workshop on the Identification and Management of _ _ Risks associated with establishment of CH R.DFs Preparation of Sectoral Environment Assessmnent Report Ist Draft of Sectoral Environment Assessment Report 2nd Drft of Sectoral Environment Assessment Report Public Information and Consultation at GPCB Public Information and Consultation at APPCB Pub.c Information and Consutation at MP_CB Public Information and ConsulWion at TNPCB Public Information and Consultation at Ministry of Environment and Forests Final Sectoral Environment Assessment Report Sectoral Environmental Assessment Report  Chapter 7.0, presents the implementation and associated institutional fiamework for the proposed project monitoring plan. The monitoring plan recommends periodical review and evaluation tbrough quarterly, semi-annual and annual reports. Secroral Environmental Assessment Report 6  Chapter 2 POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK 2.1 Review of Environmental Policies and Programs 2.2 institutional Framework for Environmental Management 2.3 Comments on the Legislation, Guidelines and the Institutional Framework for Environmental Management in India 2.4 Legislations and Institutional Framework Related to Hazardous Waste Management 2.5 Relevant International Conventions  Chapter 2 PoLICY, LEGAL, AND ADMINISTRATIVE FRAMEWORK India is the first country which has provided for the protection and improvement of the environment in its Consitution. Article 51-(g) of the Consfitution states: "It should be the duto of every citizen of India to protect and improve the natural environment including forest, lakes, rivers and uuldlife and to have compassion for living creatures." The "Directive Principles of State Polcy', an integral and significant element of Indias democratic set-up, also contains a specific provision emphasizing the government's commitment to protecting the environment. These constitutional provisions are implemented through various environmental protection policies and laws. 2.1 Review of Environmental Policies and Programs The various landmark policies and programs formulated by the Govermnent of India for protection of the environment are described chronologically below. 2.1.1 Policy Statement for Abatement of Pollution - 1992 A proactive policy framework for pollution abatement has been developed by the Government of India (GOI) and issued in 1992 as the Policy Statement for Abatement of Pollution. The GOI's stated policy is "to prevent pollution at source". The salient features of this policy are described in Box 2.1. Box 2.1 - Policy Statement for Abatement of Pollution (Govemment of India, 1992) The Government of India issued a Policy Statement for Abatement of Pollution in February 1992. The Policy statement affinns the govemment's intention to integrate enviromnental and economic aspects in development planning, uqth stss on the preventative aspects of pollution abatement and the promotion of technological inputs to reduce industrial pollutants. The overall policy objective is to integrate enviromnental considerations into decision making at all levels. Specific steps identified to meet this objective asc: * Prevent Pollution at source * Encourage, develop and apply the best available practicable solutions * Ensure that the polluter pays for the pollution control arrangement * Focus protection on heavily polluted areas * Involve the public in decision ming * Increase the safety of industial opeations Sectoral Environmental Assessment Report 7  To achieve the objectives, maximum use wil be made of a mix of instnunents in the form of legislation and regulation, fiscal incentives, volumtary agreements, educational programs and information campaigns. The emphasis will be an increased use of regulauons and an increase in the development and applicatimo of financial incentives. With specific reference to industries, the Policy emphasizes that 'while large and medium industi units will remam totally responsible for control of their pollution, assistance will be provided to small scale industrial units, paricularly those located in rral areas, to aid the implementation of pollution control measures". The Policy specifies that this will be achieved by promotion of development and adoption of cleaner technologies. 2.1.2 Environmental Action Programme, 1994 The Ministry of Environment and Forests (MOEF), Governent of India (GOI), issued an Environment Action Program (EAP) - India, in January 1994. The EAP prepared by the Govenmment of India is not a policy statement, but provides a focus for environmental programmes to be implemented in the country. In this EAP, MOEF has identified seven priority areas which are: * Conservation and sustainable utilization of biodiversity in selected ecosystems. * Afforestation, wasteland development, conservation of soil and moisture, and prevention of ground and surface water pollution * Control of industrial pollution, with emphasis on the reduction and management of wastes, particularly hazardous wastes. * Access to clean technologies, * Urban environmental issues, * Development of an alternative energy plan, * Scientific understanding of enviromnental issues, training, creation of environmental awareness, and resource assessment. Under the EAP, considerable attention is focused on the management of natural resources (forests, soil and water conservation). Further, the EAP identifies reduction and/or management of wastes, particularly hazardous wastes, as one of the top priorities for action. A strong need for finanzial assistance in this area has been indicated by MOEF and Ministry of Finance (World Bank, 1996). 2.1.3 Social and Resettlement and Rehabilitation related Policies In addition to policies and programs formulated for protection of natural resources, the GOI has also recognized the need for policies relating to protection of social rights. The Indian Constitution provides for the protection of people affected by developmental projects through the provisions of fundamental rights and the directive principles. These guarantees and scheme of governance are as follows: Sectoral Environmental Assessment Report 8  Guarantees: Between the fundamental rights and the directive prnciples in our Constitution, the rights of project affected persons (in particular tribals and other vulnerable groups) are protected. The fundamental rights are enforceable while the directive principles are not. Nevertheless, their importance in guiding State action cannot be denied. Some of the key guarantees covering life, property, equalHty and culture are: Draft National Policy For Resettlement of Persons Displaced as a Consequence of Acquisition of Land (Miistry of Rural Development) To comprehensively deal with all issues of resettlement, applying to all projects within the Public Sector, Government Sector and Private Sector for whom land is acquired under any legislation * Draft Non Govermmental Organisation (NGO) Policy To set right the deficiencies in the above national policy, by including concepts such as avoiding displacement, encouraging participation and alternate means of compensation * The Orissa Resettlement of Project Affected Persons Policy, 1994 To resettle and rehabilitate the affected persons such that they do not suffer from adverse effects and at least their former standard of living is restored - Government of TamilNadu (Resettlement and Rehabilitation) Policy, 1905 This policy, applicable to involuntary resettlement due to development projects, ensures that all project affected persons (PAPs), wil be compensated and rehabilitated to improve or at least restore their living conditions and income earnig capacity at the pre- project level and will share in project benefits. * Government of India's Policy Framework for Resettlement Guidelines for resettlement for developmental projects will draw upon provisions contained in the draft policy on Rehabilitation proposed by the Ministry of Urban Affairs and Employment, GOI. The draft policy is under discussion. This policy, in principle supports the World Bank's Resettlement Policy Framework. Scheme of Governance: No provision in the Constitution is specifically concerned with resettlement and rehabilitation. However various Government agencies and specific Ministries are empowered to deal with adverse social impacts and issues of Resettlement and Sectoral Envitonmental Assessment Report 9  Rehabilitation (R&R). Compared to the more specific legal instruments on enviromental issues, the legislations, notifications, rules and policies on social issues are less defmitive. Some States have resettlement acts or policies which apply to the irrigation sect6r. In addition, some public sector units in the energy sector have resettlement policies. While Constitutional provisions provide several guarantees to project-affected persons, international agreements on social and cultural issues have Emited application. 2.2 Institutional Framework for Environmental Management In keepmg with the scheme of governance as enshrined in the Constitution, the organizational structure for environmental management in India has developed both in the Centre and the State. The involvement of local level bodies is of recent origi and has as yet to be formalized. The structure within both is similar with the Central agencies having overriding powers for policy formulation. The organizational framework of environmental management in India, as wen as the agencies responsible for ennmental management and their key fimctions are shown in Figure 2.1. Sectoral EFnvironmental Assessment Report 10  m lINSR ENIRNEN NDFRET Concered Minis/ Diractor Diredtor Conoemed Deatet\ Regioi \ GerwWa Genwra &blte d \ Cmlsoe Mine Facory nern it Stdu aff Sey Admvice D e wnt and Labour kistitut 'Concemrd Autho Ces I Chief Chief Stte nspeor inspector Factory Cotller Callob S1 Eive Energy Of Of Ospeo Of Pollutin Saety Regulaty Mine Dock Ekporsswe I Board Ocuper IA Mines Ports hndusties k las De ic Hendling Slorages Estlishments Power Figure 2.1 Interlinkages between he various agencies involvd In environmental management In India (Source: Singh A, R.gulaing Hazardous idubles in hdia, Steps Quwtbdy, Vol. 3, No. 1, 1993)  The organizational structure for environmental management in India at Centre, State and Local levels is discussed below. 2.2.1 Organization Structure for Environmental Management at the Centre 2.2.1.1 Ministry of Environment and Forests The MOEF, consituted in 1985, is the prinmay central govenmment agency for planning, promoting and coordinating lndias environmental programs. A number of enforcement agencies assist the MOEF in executing its assigned responsibilities. Other Miisties play a supporting role. Enforcement agencies assist the MOEF in executing assigned responsibilities. The MOEF, is the primy central govemment agency for planning, promoting and coordiatmg India's environmenal programs. A number of enforcement agencies assist the MOEF in executing its assigned responsibities. The key functions of MOEF are shown in Box 2.2. Box 2.2 Key functions of the MOEF (World Bank, 1996) Name of the Key Functions Agency Ministry of * Environmental policy planning Environment * Ensure effective implementation of legislation and Forests * Monitoring and control of pollution (MOEF) * Eco-development * Environmental clearances for industial and development projects * Enviromnental research * Promotion of environmental education, training and awareness * Coordination with concerned agencies at the national and international levels * Forest conservation, development and wildlfe protection * Biosphere Reserve Program Sectoral Environmental Assessment Report 12 -x~ ~~1  2.2.1.2 Central Pollution Control Board The Central Pollution Control Board (CPCB) constituted on September 22, 1974 is responsible for pollution prevention and control. It is a central government body attached to the MOEF. The executive responsibilties for industrial pollution prevention and control are primarily handled by the CPCB. The CPCB was originally established to implement provisions of the Water (Prevention and Control of Polution) Act of 1974. The key functions of CPCB are shown in Box 2.3. Box 2.3 Key functions of the CPCB (World Bank, 1996) Name of the Key Functions Agency Central Pollution * Promote cleanliness of streams and wells Control Board * Advise the centr government on matters concerning prevention, control and abatement of water and air pollution * Co-ordinate and provide technical and research assistance to State Boards * Information dissemination, training and awareness * Lay down, modify, or annul the standards for a stream or well, and for air quality * Planning and execution of nationwide programs for the prevention, control, or abatement of water and air pollution * Ensure compliance with the provisions of the Environment (Protection) Act of 1986 2.2.1.3 National Environmental Appelate Authority In addition to this extensive institutional framework, the GOI has recently strengthened the element of public participation in decision making by introduction of the notification on Public Hearing, January 1997. The supporting institutional set-up is the National Environmental Appellate Authority. The Union Cabinet has approved the setting up of this Authority to deal with complaints against development projects that fall under the Environmental Impact Assessment (EIA) Notification, 1988. The aim of setting up of this authority is to enable people directly affected by developmental and industrial projects to present their point of view. Sectoral Environniental Assessment Report 13  The National Environment Appellate Authorty Act, 1997 The Act, effective from January 1997, provides for the establishment of a National Environment Appellate Authority to hear appeals with respect to complaints against development projects that fall under the EIA Notification, 1988, of the Environment (Protection) Act, 1986. The Authority, to be established by the Govemment of India, will have its headquarters at New Delhi. It will headed by a Chairperson who should have been a Judge of the Supreme Court or a Chief Justice of a High Court. The Authority will comprise a Vice Chairperson who should have been Secretary to Government of lndia for at least two years with expertise in administrative, legal, managerial and tecbnical aspects of environmental problems, and members (not exceeding three) who are professionals in the area of conservation, environmental management, law, planning and development. All the above functionaries shall be appointed by the President of India for a term of office of three years. Appeals to the Authority can be made by, * any person who is likely to be affected by the grant of environmental clearance, * any person who owns or has control over the project with respect to which an application has been submitted for enviroMnental clearance * any association of persons likely to be affected by such order and fimctioning in the field of environment * the Central Goverment, where the environmental clearance is granted by the State Govenment and vice versa * any local authority, any pat of whose loca limits is witbin the neigborhood of the area wherein the project is proposed to be located The appeal must be made in a prescribed form, within thirty days from the date of the project having been granted clearance. The National Environment Appellate Authority must dispose the appeal wihin 90 days from the date of filing of the appeaL Figure 2.2 shows the organizational struCture at the Central Government leveL Sectoral Environmental Assessment Report 14  Figure 2.2 - Organization Structure for Environmental Management at the Central Government Level (1L&FS, 1994) and Forests'SSOCt8tO e.g, Ministry of Hearing notification wRuraDevelopment 1f997. Powerfs tni Doar( Agriculture -Urban Development e.g., Industial Toxicological Research Centre, Lucklow NatonalEinWmmetal )niIft Engineering Research Insitute, - Nagpur Note The figure does not include the National Environmental Appellate Authority 2.2.2 Organization Structure for Environmental Management at the State Policies and regulations set by the CPCB are executed by State Pollution Control Boards (SPCBs). Since the Water Act of 1974, the Central and State Pollution Control Boards have been given the responsiblity to administer and enforce environmental legislation (refer Annex 2-1). The number of technical and scientific personnel in the SPCB vary with the stage of development since constitution, number of polution sources in the State which is related, among others, to geographical area of the State. The key fimctions of SPCBs are shown in Box 2.4. Box 2.4 Key functions of the SPCB (World Bank, 1996) Name of the Key Functions Agency State Pollution * Planning and execution of state wide programs for Control Boards prevention, control, or abatement of water and air pollution * Advise.the state government on prevention, control, and Sertoral Environmental Assessment Report 15  abatement of water and air pollution and siting of industries * Information dissemination, training and awareness * Ensure compliance with the provisions of the relevant Acts * Lay down, modify, or annul the effluent and emission standards * Ensure legal action against defaulters * Evolve techno-economnic methods for treatment, disposal, and utilization of the effluent. A structure similar to the Centre also exists at the State Govemment level and is provided in Figure 2.3 below. Figure 2.3 - Organization Structure For Environmental Management at the State Government Level (IL&FS, 1994) State~~~~~ ~ B.eDapartmett O e.g, Deparbment of Rural Development l ~~Power Pt,llutIn Water Resources Institutes ~~~~ ~ ~ Agriculture Urban Development e.g., Kerala Forest Research Institute, AP. EnvirrmmentalProgecton Training and Reearch Institute State Wastelnd Development Board Mahatrash 2.2.3 Organization Structure for EnVironmental Management at the Local level The local urban and mral bodies (ie. Panchayats) also play a role but this involvement is recent and a formal Organization stuctre has not yet evolved. 2.2.4 Operational Agencies in Resettlement and Rehabilitation Plans Implementation The main agencies involved in R&R planning and implementation vary in each of the Acts and policies. These agencies are involved in: * Acquisition of land * Development of R&R policies (where required) Sectoral Environmental Assessment Report 16  * Preparation of R&R plans * Implementation of R&R plans * Monitoring and evahlion However, the trend is that these activities are no longer the sole purview of the Govemment authorities. Vohmtary organizations and representatives of displaced/ affected persons are also included. The degree of inclusion and participation varies according to the concemed law or policy Table 2.1 shows the various agencies responsible for each act of legislation. Table 2.1 The responsible agencies for implementation of the various legislations. Act Responsible Agency Land Acquisition Act, * Central/State Government 1894 (Amended in 1984) * Collector/District Magistrate/Chief Revenue officer Maharashtra Project * Commissioner Affected Persons * Project Authority Rehabilitation Act, 1986 * Advisory committee Madhya Pradesh (a) Chief Controlling Authority Pariyojana Ke Karan (b) Project Resettlement Officer Visthapit Vyakti (Punh- (c) Advisory Board sthapan) Adhinayam, 1985 Draft National Policy Scheme implemented by the Implementation Committed at For Resettlement of the Project leveL Persons displaced as a . Project functionary consequence of * Collector acquisition of Land * NGOs * Representatives of Displaced Persons * Representative of Govt. Department of Welfare etc. * Subject matter specialists * Personnel Manager of the project * Representative of the Department/Minstry concemed Orissa Resettlement And * Project level Rehabilitation Of * One officer for land Acquisition Project Affected Persons * One officer for R&R along with supporting Policy, 1994 staff of different disciplines ____________ __ * Developing/Construction wing Sectoral Environmental Assessment Report 17  * Resettlement Advisory Committee _ Government level * Separate directorate of Land Acquisition/Resettlement and Rehabilitation * Community Organizations * Voluntary Organization . Volunteers from among the displaced persons The MOEF has also constituted an NGO CeU in 1992. 2.3 Comments on the Legislation, Guidelines and the Institutional Framework for Environmental Management in India 2.3.1 Comments on Programmes, Legislation and Guidelines Implementation of policies require comprehensive legal and regulatory provisions. GOI has enacted comprehensive legislation for environmental protection. Annex 2-1 provides a summary of content and spirit of each of these legislation. A review of the bistory of the environmental programmes and legislation in India shows the following salient trends: * Scope of the legislation has evolved from local, isolated legislations enacted specifically for a state to national level legislations wbich encompass development in the entire country. * This has in its wake created a supporting institutional fraimnework which shows a distinct hierarchy wherein environmental policies are formulated at the national level by the MOEF. The regulatory arm of the MOEF is the CPCB. The acts and laws are enacted at the central government level with adoption and implementation of these laws at the State level by the Departments of Environment (SDOE). The regulatory arms of the SDOE to implement the laws are the SPCBs. * The laws initially were enacted to protect resources in a single medim e.g., separate legislations for protection of air and water ie., a piecemeal approach was adopted. This has in turn evolved into more mature and holistic legislations viz., the Environment (Protection) Act, 1986 which has a multimedia approach. * The greatest evidence of this multimedia approach has been the EIA notification and the recognition of the need to regulate hazardous wastes. This trend in legislation has Sectoral Environimental Assesnent Report 18  impacted industrial and economic growth in the country. The movement from single to multi media approach in pollution control is responsible for the recent change in industry's approach from pollution control to pollution prevention. * Legislation has also evolved from mere end-of-the-pipe controls to a systematic planning approach towards environmental protection. Environmental management tools such as EIA, Environmental Audit Statement have been used through rules enacted as part of the Environmental Protection Act, 1986. The provisions of this act also address issues of resource depletion, and rehabilitation of people affected by developmental projects. Additionally a recent landmark provision of Public Hearing in January 1997 in the EP Act, has strengthened public involvement by making "Public Hearing" mandatory for all developmental projects requiring clearance from MOEF. * Introduction of notifications making environmental audit mandatory for industry and introducing the concept of eco-labelling in legislation shows a gradual move of legislation from being reactive to becoming proactive. - Environmental protection in the Indian context is, through these legislations, moving from mere control of pollution to an attempt at making development sustainable. 2.3.2 Comments on the Institutional Framework for Enviromnental Management in India A review of the existing isiutional fiamework for environmental management in India, leads to following observations, * MOEF is under pressure due to shortage of adequate technical staff. As a result, it is unable to allocate sufficient time for policy making.