الصين – صندوق الكربون مشروع استعادة الغاز بمصنع الصلب في نانجينج,China - Proyecto del Fondo de Carbono de recuperación de gas convertidor de acero en Nanjing,China - Carbon Fund Nanjing Steel Gas Recovery Project (Chine - Projet de récupération du gaz à Nanjig du Fonds de carbone)

35006 INTEGRATED SAFEGUARDS DATA SHEET CONCEPT STAGE Rep666o3555rt N35o.: Date ISDS Prepared/Updated: August 16, 2004 I. BASIC INFORMATION A. Basic Project Data P088106 Country: China Project ID: Leader: Naoya Tsukamoto Project Name: Carbon Fund Nanjing Steel Task Team Gas Recovery Project Estimated Appraisal Date: December 10, Estimated Board Date: NA 2004 Managing Unit: EASES Lending Instrument: Italian Carbon Fund and environmental Sector: Other Industry (100%) Theme: Pollution management change (S) _______________________________________ health (P); Climate (EASES) Safeguard Policies Specialists in the task team: Naoya Tsukamoto and Fang Ke Fund (ICF) will Loan/Credit amount ($m.): No Bank financing is involved. The Italian Carbon which will be purchase $2.37 million worth ofERs (Emission Reductions) over 10 years, (coil) produced by utilizing converter gas as an energy source to operate the wide plate production line. Project" (1.5 million Other financing amounts by source: The entire project, "Wide Plate (coil) debt (domestic tons of steelper year) needs $41.25 million investment, ofwhich 60 % will be and Steel Co., banks) and 40 % will be equity from the project owner, NISCO (Nanjing Iron Ltd). B. Project Objectives Project) is to (i) The objective ofthe proposed ICF Nanjing Steel Gas Recovery Project (the as support development ofthe international market mechanism for the new commodity know will be "Emission Reductions (ER)", developed in the framework ofthe Kyoto Protocol; this (CO2) equivalent achieved through a transaction arrangement for purchase of Carbon Dioxide ERs for a ten-year period and (ii) to support the client's effortson addressing energy conservation and pollution prevention. C. Project Description for a period of The Project will aim to purchase about 79,000 tons ofCO2 ER assets annually, (CGRC), which will 10 years, to be created by the Converter Gas Recovery and Cleaning System The exact amount recover the Carbon Monoxide (CO)-rich converter gas for power generation. ofenergy ofERs generated by CGRC will be subject to a Baseline Study and verification Emission Reduction conservation, and the purchase amount and price will be defined in an  NISCO commissioned Nanjing Land Development Center (NLDC) of Nanjing Land Bureau to carry out land acquisition and resettlement for the project. NLDC is assigned by the land bureau to specifically address all land acquisition issues caused by government-financed projects and it is very experienced in implementing resettlement programs in compliance with national and local laws and regulations. Land acquisition and resettlement were commenced in December 2001 and completed it in three months. No major outstanding issue has been found during Bank's May mission. Nonetheless, since both NISCO and NLDC had no experience with World Bank-assisted projects before, their institutional capacity for managing resettlement programs in compliance with World Bank resettlement policy is limited. II. SAFEGUARD POLICIES THAT MIGHT APPLY Applicable? Safeguard Policy Applicable?_ IfApplicable, How Might It Apply? [X] Environmental Assessment (OP/BP 4.01) [ ] Natural Habitats (OP/BP 4.04) [ ] Pest Management (OP 4.09) [TBDI Involuntary Resettlement (OP/BP 4.12 Construction ofWide Plate Project acquires about 49 ha (750 mu) ofrural land in Feng Qiang Viallage, Pu Kou district ( a peri-urban area), which affects 160 rural households (748 persons). However, land acquisition and resettlement were started in December 2001 and completed it in February 2002, two years before this CF project started. The TT has requested NISCO to conduct a post- resettlement evaluation, but the TT is seeking guidance from EAP Safeguard Review Team regarding whether OP4.12 is triggered and whether TT's current approach is necessary and sufficient. [ ] Indigenous Peoples (OD 4.20) [1] Forests (OP/BP 4.36) [ ] Safety of Dams (QP/BP 4.37) [] Cultural Property (draft OP 4.11 - OPN 11.03) [ ] Projects in Disputed Areas (PB /