China - Second Beijing Environment Project : environmental assessment (Vol. 1 of 4) : Executive summary

E-327 VOL. 1 PEOPLE'S REPUBLIC OF CHINA BEIJING MUNICIPAL GOVERNMENT Second Beijing Environment Project ENVIRONMENTAL ASSESSMENT SUMMARY January 2000 Beijing Municipal Research Institute of Environmental Protection BEIJING PEOPLES' REPUBLIC OF CHINA   i Table of Conitents 1. Project Objectives 11. Project Description 3 III. Policy, Legal, and Administrative Framework 4 IV. Baseline Information 5 V. Environmental Impacts 8 VI. Analysis of Project Alternatives 14 VII. Environmental Management Plan (EMP) 15 VIII. Public Participation 26 IX. Implementation Schedule and Cost Estimates 26 List of Tables Table 1 Project Components 4 Table 2 Surface Water Quality of Liangshuihe River 7 Table 3 Groundwater Quality Along Liangshuihe River 7 Table 4 Surface Water Quality of Qinghe River 8 Table 5 Surface Water Pollutant Loads 9 Table 6 Noise Levels 10 Table 7Positive Impacts of Liangshuihe Sewage Treatment 1 1 Table 8 Positive Impacts of Qinghe Sewerage Network 12 Table 9 Positive Impacts of Fuel Switching from Coal- to-Gas in Boilers 13 Table 10 Summary of Environmental Impact Mitigation Measures (Construction) 17 Table 11 Summary of Environmental Impact Mitigation Measures Sewage Treatment Plant (STP) Operations 18 Table 12 Dust and Noise Monitoring Program 21 Table 13 Treated Effluent Quality Monitoring Program 221 Table 14 Training Program 25 Table 15 Major Milestones in EMP Implementation 27 Appendix 1: Incremental Cost Analysis for Gas Boiler Conversion 2  A I I  1. Project Objectives The proposed project aims at significant and sustained alleviation of the most acute air and water pollution issues in Beijing through: (a) conversion of small coal-fired boilers to use cleaner fuel, particularly natural gas; (b) measures to promote energy conservation in heating systems; (c) building sewage collection network and treatment facilities in the Liangshui and Qinghe River Basins; and (d) strengtheningBeijing Municipality's environmental management policies and institutions. II. Project Description Beijing, -the capital of China, is located in the northeast of North China Plain. Liangshuihe and Qinghe Rivers are the two main receptors of Beijing's municipal waste wateg discharges and both are heavily polluted. In addition, the ambient air pollution from coal-fired industrial boilers in the Metropolis is also very significant. In order to improve environmental quality in Beijing, this project increases the sewage collection and treatmnent capacity and reduces air emissions from coal-fired industrial boilers. The project-wide environmental assessment was conducted by Beijing Municipal Research Institute of Environmental Protection Bureau. The project components (refer to Table 1) are: (1) Liangshuihe wastewater collection and treatment system (including Wujiacun, Lugouqiao, Xiaohongmen treatment plants), sub-project cost of approximately $425 million, managed by the Beijing Municipal Drainage Company; (2) Qinghe wastewater sewerage network, sub-project cost of approximately 35 million, also managed by the Beijing Municipal Drainage Company; (3) Switching to cleaner fuel (in most cases, gas) in industrial boilers, sub-project cost of about, $ 550 million and managed by the Beijing City Package Investment Corporation; and (4) Developing Air Quality Decision Support System for Beijing, sub-project cost of about $550 million, and managed by the Beijing Environmental Protection Bureau. Construction activities are planned to commence in the Year 2000 with commissioning of treatment plants expected by the Year 2005. About 88,000 square meters of residential land will be cleared and the resettlement of about 9,000 residents will occur as per the Resettlement Action Plan (forthcoming) with jobs provided to about 4,100 people, alternative land of about 148,000 square meters will be allocated to the evacuees in addition to the economic compensation. 3  Tabie 1. Project Components ! Component Description Scale_ 1 Liangshuihe Sewerage network Length: 21 km wastewater Sewage treatment plants Area: 82 ha (total) collection and Capacity: 88*104 m31day treatment (total) system Qinghe Sewerage network Length 25 km Drainage Area Boiler Fuel switching from coal to cleaner fuel, Total number: 2,555 rehabilitation gas Total capacity: 6,792MW Coal replacement of 93 million tons per year Gas consumptien: 750 million m3 Decision Air pollution control policy, development System for the whole: supporting of an air quality management system, and Municipality system for air training quality management in Beijing III. Policy, Legal, and Administrative Framework The project is subject to the following Chinese environmental and health & safety requirements: (a) The design and implementation of the project should be consistent with the Master Plan and General Environmental Plan of Beijing; (b) The environmental discharges should meet applicable Chinese and Beijing regulations; (c) Accidental spills in Liangshuihe River and Qinghe River drainage areas; (d) Surface water quality of Liangshuihe and Qinghe Rivers; (e) Odor at the banks of Liangshuihe and Qinghe River banks; and (f) Accidents related to rehabilitation of boilers and air emissions & noise from their operations. Applicable Chinese and Municipal Regulations are: (1) Law of Environmental Protection of the People's Republic of China (2) Law of Air Pollution Prevention of the People's Republic of China (3) Law of the Water Pollution Control of the People's Republic of China (4) Law of the Noise Pollution Prevention of the People's Republic of China (5) Law of the Solid Wastes Pollution Prevention of the People's Republic of China (6) Discharge Standard of Water Pollutants of Beijing (Proposed) 4  (7) Ambient Air Quality Standard (GB 3095-1996) (8) Emission Standard for Odor Pollutants (GB 14554-93) (9) Environmental Quality Standard for Surface Water (GB 3838-88) (10) Water Quality Standard for Scenery and Recreation Area (GB 12941-91) (11) Groundwater Quality Standard (GB/T 14848-93) (12) Integrated Wastewater Discharge Standard (GB 8978-96) (13) Standard of Noise at Boundary of Industrial Enterprises (GB 12348-90) (14) Standard of Environmental Noise in Urban Area (GB 3096-93) (15) Noise Limits for Construction Sites (GB 12523-90) (16) Emission Standards for Air Pollutants from Boilers in Beijing (17) Function Division of Air Quality in Beijing (18) Function Division of Environmental Noise in Beijing (19) Beijing Municipal Urban Master Plan (20) Design Criteria for Boiler Houses (GB 50041-92) (21) Regulation on Environmental Protection Administration of Construction Projects (Order 253) (22) Notice of Strengthening Environmental Impact Assessment Administration about Construction Projects (No. 234, 1993) (23) Regulation on Environmental Impact Assessment Administration by Category for Construction Projects (No. 051, 1999, on trial) (24) Industrial Standard HJ/T 2.1-2.3-93 Technical Guideline to Environmental Impact Assessment (25) Notice on "Basic Standards for Environmental Protection at Construction Sites for Projects in Beijing", No. 126 (91) (26) Notice on Strengthening Environmental Protection Administration for Construction Projects During the Construction Period, No. 188 (1997) WHO Guidelines The most significant guidelines relating to sewage treatment pertains to fecal coliform. which specifies a level of less than 1,000 MPN (most probable number) per 100 ml. Ambient air quality guidelines (1987 WHO Air Quality Guidelines for Europe) specify 24-hour average levels for fine particulates (PMIO) and nitrogen oxides (NOx) of less than 150 ug/m3. IV. Baseline Information This Section presents-baseline conditions including the natural environment, socio-economic environment, air quality, water quality, and noise. Natural Conditions: Mountainous area comprises of about 62 percent of Beijing Municipality, the rest is plain area. The annual average temperature in Beijing is about 12 degree C; the annual average precipitation is about 630 mm; the dominant wind directions are south and northwest; the annual average wind speed is 2 to 3 meters per second; and the maximum depth of snow cover is 0.85 meters. 5  The sewage treatment project of Liangshuhe water system iies in the middle to upstream area of the alluvial plain of Yongdinghe River. Groundwater is 40 meters below the surface in the porous structure of quartemarv unconsolidated sediments with good perneability and storage capacity. Liangshuihe water system includes Xikai Channel, Lianhua River, Shuiyu Trench., Feng Cao River, Macao River, Hanhe River, and Xiaolonghe River. The Qinghe River System include Behanhe River, Wanquanhe River, Xiaoyuehe River, Yangshandagou Trench, Yangfang Reservoir and Shenjia Reservoir. Social and economic situation Total land area of Metropolitan Beijing is 16,800 square kilometers of which about 1,040 square kilometers is considered urban. The total population of the urban area is 6.5 million with the 1997 GDP of $177.78 billion (CHECK?). Air quality , In 1998, the annual daily average concentration of total suspended particles (TSP), sulfur dioxide (SO2), and nitrogen oxide was 78, 120, and 150 pg/M3, respectively, which are: 89%, 100% and 204% higher than the standard value. During the heating period in winter, air pollution is very significant which is made worse by poor dispersion associated with the unfavorable weather conditions. According to the statistics of Beijing Environmental Protection Monitoring Center, the ambient air quality level met the environmental standard only in 8 out of 52 weeks in 1998. Water Quality The total length of 82 rivers is more than 2,160 kilometers out of which 59 rivers do not meet the water quality standard, 28% for Class V, 43% for Class IV, 92% for Class III, and 100% for Class II. Only nine (9) out of 17 reservoirs, about 53%, and five (5) lakes, about 26 percent, meet the water quality standards. The main problems of the groundwater are associated with high hardness and nitrate- nitrogen. Groundwater near the suburban area is heavily polluted, whereas the groundwater quality further away from the city is better. The Liangshuihe River is heavily polluted with high levels of CODcr, BOD5, NH3, phenol and petroleum as shown in Table 2. 6  Table 2 Surface Water.Qualitv of Liangshuihe River Indicators Value Frequency Percentage (mg/i) of Higher than the Exceeding Standard Standard DO ? 37.5-100% CODcr 12.48-78.78 37.5-100% 62 - 394% BOD5 7.83 -59.80 42.9 - 131 - 985% 100% NH3-N 12.08 - 24.30 100% 60 - 122% Volatile phenol ? 0 - 100% Fluoride No value 100% No value Oil 1.52 - 5.24 50 -100% 304 - 10,480% 4 The level of foul odor at the bank of Xikai Channel and at the banks of Liangshuihe River is 218 and 346, respectively, polluting the surrounding environment. Table 3 presents the ground water quality along Liangshuihe River. Table 3 Groundwater Quality Along Liangshuihe River Indicators Percentage Higher than Standard CODcr 18 - 50% S04L 11 . 99% Hardness 1 -48% TDS 16 - 30% NO2-N 95% N03-N 60% Cl 64% The ground water quality is getting worse from west to east. Groundwater quality around Yongdingmen and Dahongmen area, especially near Chengshousi and Madaocun, is the worst. In the Qinghe River system, monitoring data indicates that neither CODCr nor BODs can meet the standard. The DO level can meet the standard only upstream of the Wanquanhe River. Table 4 presents the water quality data on the Qinghe River system. 7  Table 4 Surface Water Quality of Qinghe River Indicators Value Frequency of (mg/I) Exceeding Standard CODcr 230 28 BOD5 76 12 DO 0.24 - 9.4 _ _I The level of foul odor along Qinghe River is 22 m to 55 m. The foul smell can still be noticed at 50 meters distance from the river bank. Except CODMn, which is 17 to 96% higher than standard value in almost all areas, and S042, which is 10% higher than standard in some areas, the other parameters can meet the standards for groundwater and drinking water. However, the groundwater is polluted becausethe detectable rates of NH4+-N and N02-N which are 100% higher than standard. Noise The annual average noise level is Beijing is 54.5 dB (A) in 1998. The annual average noise level in urban areas is 55.4 dB (A), 1.2 dB (A) higher than that in suburban areas. V. Environmental Impacts This Section discusses major .environmental issues and the environmental impacts (both positive and negative) associated with the project. Major Issues The Environmental Impact Assessment study has analyzed and specified both positive and negative impacts on the physical, biological, and human environment which may result from the implementation of the Project which includes the construction of sewerage network, sewage treatment plants, and fuel switching in boilers. The construction of sewerage network and sewage treatment plants will mainly affect the surface and ground water quality and human health. There will be some minor impacts associated with the construction activities and these will be primarily traffic congestion and air pollution from dust & vehicular emissions. The overall impact of the Project will be positive as a result of improved sanitary conditions in Beijing. An effective public awareness plan will provide the impacted residents with the information needed to improve personal hygiene and improve the sanitary conditions. It is important that sewage discharges near the banks of rivers are completely eliminated and all the sewage is diverted to the sewerage networks. In general, the foul odor near the banks will be reduced and a reduction achieved in the incidence of water related diseases. 8  WA_astewater collection and treatmenit will reduce the pollution load on the LiaimshuiLe and Qinghle Rivers. M41inor- noise and air pollution may result from the operation of these wastewater treatment plants. The treatment plants will, however. have to be well designed and operated to realize maximum reduction in pollution loading to the Liangshuihe and Qinghe Rivers. Fuel switching in boilers will reduce the atmospheric loading of particulate matter, sulfur oxides, and nitrogen oxides compared to the baseline, thereby, resulting in improvement of ambient air quality and a reduction in visible smoke. Emissions Although the coal-to-gas component of Beijing Environment II will greatly reduce the air pollution of Beijing city, the gas boilers will emit nitrogen oxides (1,300 tons per year) and carbon monoxide (260 tons per year). The hot water boilers for the newly-built sewage treatment plants will release small quantities of air pollutants (1 ton per year of PM; 6 tons per year of sulfur dioxide; 3 tons per year of nitrogen oxides, and 2 tons per year of carbon monoxide). During construction period, some fugitive dust emissions will result from construction activities. However, these emissions will not cause significant environmental impact because most of these emissions are temporary and can be mitigated by adequate mitigation measures. Water Pollutants The project will collect and treat about 880,000 tons of waste water per day. Table 5 shows the total amount of significant water pollutants released to the environment. Table 5 Surface Water Pollutant Loads Item COD BOD5 SS Water quality, mg/l 96 49 73 Water quantity, 1 04 mP per 34,000 year Total amount of pollutants 32,000 17,000 25,000 (tons/year) __l Noise The noise pollution mainly comes from the fans in gas boiler houses and from blowers and pumps at the sewage treatment plants. Table 6 summarizes the level of noise from major sources. Sludge Management A key area of importance is the safe handling and disposal of sludge generated in the treatment processes. To date, the safest approach which has been used in China is to dispose of it in a landfill and or to make it available to farmers for soil conditioner after a period of 9  sLabiiizatioll. Bo?h the'se app)roaches w\ili bhe U.SeJd i'll CounctiowC'i(0hl \\tis li prOrcoi. Table 6 Noise Levels Major Sources Noise Level: dB (A) Sewage Pump houses 91 treatment One meter away from pump houses 67 plant Outside of sewage lifting pump houses 56,-65 Outside of fan houses 49- 63 Boiler Fans and pumps 95 houses Positive Impacts: The project will, in general, have positive environmental impacts on the ambient aLir and surface water quality in Beijing. Tables 7 through 9 summarize these positive impacts and measures for further improvement. 10  Table 7 Positive Impacts of Liangshuihe Sewi age Treatment Affected area Positive Impact I Measures for Further Improvement Surface Water * Segregation of sewage and | Bring the sewage water in storm water; I Yueyahe River and Fengtai * The treated sewage water River into the sewerage system quantity will be 880,000 tons of this project; per day; 0 Legal framework for sewage * Annual reduction in 40,000, water management; 10,000, and 15,000 tons of * Improved storm water CODcr, BOD5, and SS, management; respectively; * Improve the performance of * The discharge of treated water Fangzhuang Sewage Treatment will reduce the deterioration in Plant. water quality of the recipient river compared to the baseline; the average level of reduction in water pollutant loading will be 76%. Ground water 0 A reduction of 72% of sewage * Good sealing of sewerage pipes leaking to groundwater will be at joints; achieved; 0 The construction of branch * A reduction of 31% - 69% and pipelines under this project are 27% - 57% loading of hardness well managed to collect as and N03 N, respectively, to much sewage as possible; groundwater; * Ensure that there is no leakage * A reduction of 29% - 58% and from seepage pit, leaching well, 31% 0 46% loading of TDS and and from overflow valve; s42-, respectively, to 0 Ensure that no new plant with groundwater; significant pollutant discharges. is built to the west of Dahongmen-Majiabao; 0 The temporary solid waste storage sites are covered to avoid contamination of runoff/leachate. Landscape The landscape of the bank of Liangshuihe River will be greatly improved because of the green belt which will be built along the river. Aesthetics The foul odor along the river will be reduced. The quality of water supplied from No. 4 and No.7 Plants will be improved which will encourage economic development and improve living standards. 11  Table 8 Positive Impacts of Qinghe Sewerage Network i Affected area Positive Impact F Measures for Further ImprovementI Surface Water 0 Segregate storm water from 0 Connect the sewage from sewage; Tsinghua University to the * The improvement in quality of sewerage network; treated water discharged to the 0 Qinghe Sewage Treatment river will improve surface Plant should be modified to water quality of the recipient enable it to manage additional river in the long term; quantity of sewage; * The beneficial population is * Maintain acceptable qualitly 800,000 and beneficial area is level for treated water about 160 square kilometers. discharged to Qinghe River. Ground water 0 A reduction of 5 8.2% in sewage 0 Good sealing of sewerage pipes leakage into groundwater; at joints; * A reduction of 56% and 58% 0 The construction of ranch loading of hardness and N03- pipelines under this project are N, respectively, to groundwater; managed to collect as much * A reduction of 52% and 70% sewage as possible; loading of TDS and S04, * Ensure that there is no leakage respectively, to groundwater. in seepage pit, leaching well, and from overflow valve; * The temporary solid waste storage sites are covered to avoid contamination of runoff/leachate. Landscape The landscape of the bank of Qinghe River will be greatly improved because of the green belt which will be built along the river. Aesthetics The foul odor along the river will be reduced which wil[ help the tourism industry and real estate: 12  Table 9 Positive Impacts of Fuel Switching from Coal-to-Gas in Boilers Affected area j Positive Impact I Measures for Further Improvement I Air quality * Reduction of 27 pg/m' in * Increase the number of boilers annual average S02 using cleaner fuels such as concentrations; gas. * Reduction of 19 pg/m3 in annual average NOx concentrations; * Reduction of 125 pg/M3 in annual average CO concentrations; * Reduction in number of days on which the concentrations of S02, TSP, NOx, and CO are in non-compliance with the ambient standard to 77, 16, 33, and 9, respectively; * Improvement in air quality areas for S02, TSP, NOx, and CO to 165, 273, 285, and 280 square kilometers. Public health 0 The number of beneficial 0 Same as above population for the reduction of S02, TSP, NOx, and CO will be 3.6, 4.7, 4.8, and 4.7 million, respectively, which is about 55 to 74 percent of Beijing citizens. * The incidence of illness caused by air pollution will be reduced. Landscape The ambient air visibility will be 0 Same as above improved and black smoke form stacks, decreased. 13  VI. Analysis of Project Alternatives Alternate site locations and technologies were considered in the design of various project components: Wujiacun, Luguoqiao, Xiaohongmen, and Qinghe Sewage Treatment Plants; and Qinghe, Wanquanhe & Xiaoyuehe Interceptors. Wujiacun Sewage Treatment Plant Alternative site: The project site is 12.8 hectares in size and located south of Shuiyagou, east of Yuquan Road, north of Meisgikou Road. The alternative site is also 12.8 hectares in size and located east of Yuquan south of Meishikou. There are greater environmental issues associated with the alternative site which will also require additional excavation. There may also be impacts on the gas station and two residences nearby. Alternative technologies: a The treatment technology originally proposed was anaerobic/anoxic/aerobic (A/AIO). The alternative technology considered was UNITANK with chemical removal of phosphorus. While in the originally proposed technology, the effluent discharge would have met the requirements for organic matter (BOD), it would not have met the requirement of <0.5 mg/l for total phosphorus (P). However, the alternate technology of UNITANK with chemical removal of P is able to meet both the organic and total P requirements but requires higher investment. A phosphorus removal step has been added to the originally proposed technology to comply with the effluent standard for total phosphorus. Lugouqiao Sewage Treatment Plant Alternate site: The preferred site is about 21.2 ha in size and located south of Yangshuzhuang Village, in Fengtai district. The alternate site is about 22 ha in size and located north of Yonghezhuang Village. The alternate site is not conducive to digging a hole of 3,000 to 4,000 square meters with depth of 10 to 15 meters and may also result in negative environmental impacts. Hence, the site selected is considered appropriate. Alternate technologies: The treatment technology originally proposed was anaerobic/aerobic. The alternate technology considered uses oxidation ditches. The recommended technology and the alternate technology both can be used to meet the organic and phosphorus requirements for effluent discharges and generate acceptable quality of sludge but the alternate technology is more costly and has increased power consumption. Hence, the proposed technology was considered acceptable. Xiaohongmen Sewage Treatment Plant Alternate site: The proposed site is 75.27 ha in size and located between South Sihuan and Yihuan. The alternate site is 53 ha in size and located on the east bank of Liangshiuhe River. The proposed 14  site is preferable from construction point of view and it also complements the municipal sewage treatment plant. The alternate site has a large stock house of hazardous articles on the west side and the route to the site is lengthy therefore, it is not preferred. Alternate technologies: The proposed technology comprises of anaerobic/aerobic (A/0). The alternate technology considered uses oxidation ditches and removes phosphorus from the effluent but results in additional pumping cost. The proposed technology when augmented by chemical treatment for phosphorus and sludge treatment is therefore, considered acceptable. Qinghe River Sewage Interceptor The proposed option is to lay an interceptor sewer from west to east along the north bank of Qinghe River. The alternate to this is to have the interceptor sewer along the south bank and north bank. The proposed option provides greater environmental protection to the Qinghe River but at an increased construction cost and the clearance has to be increased. Qinghe Sewage Treatment Plant The first option is to allocate 29 ha of farm area around Mafangcun Village in the south of Qinghe River for the construction of first and second phase of the sewage treatment plant. The alternate to this is to allocate more farm area so as to be able to meet future land requirements to cover the Qinghe River drainage area and this option is being considered. Sewage Interceptor for Wanquanhe River The originally proposed option was not to absorb sewage from Tsinghua University downstrea.m of the interceptor pipe. The alternate considered was to shift the interceptor eastward to absorb sewage from Tsinghua University. This alternative reduces the downstream pollution of Wanquanhe River but at an increased cost. The original proposal has been modified to ensure that the sewage from Tsinghua University will be treated. Xiaoyuehe River Sewage Intercepto r The original proposed option was to lay the interceptor along the east bank of Xiaoyuehe river. The alternate to this was to lay the interceptor along the west bank of Xiaoyuehe River. The clearance required for the alternate option is less and hence, this alternate was finally recommended. Using Gas to Replace Coal in Steam Boilers No feasible alternative has been proposed. VII. Environmental Management Plan (EMP) The EMP includes measures to mitigate adverse environmental impacts, monitoring and evaluation system for assessing the implementation program, and institutional framework for 15  T-able 10 through 13 present a comprehenIsiVCe summarN of environmental impacts. mitigation measures to reduce negative impacts to acceptable levels, monitoring plan. and institutional framework as components of Environmental Management Plan (EMP). Mitigation of Major Impacts A. Wastewater Collection and Treatment 1. Construction Phase (a) Air Ambient air impacts are mainly associated with dust. Sprinkling of water reduces the emission of dust. It is planned to spray water twice a day, once every four hours before work start. The tyres of trucks will also be washed to reduce dust emissions. Baffles will be provided to serve as wind breakers. All these measures will be evaluated for their effectiveness and corrective actions taken. (b) Solid Waste The management of solid waste is important to ensure cleanliness. It also avoids Ihe release of dust and contamination of runoff. Solid waste piles should be covered and contact with surface run-on minimized. (c) Sludge from Qinghe River The sludge from the Qinghe River contains significant quantity of pollutants besides emitting foul odor. It can also pollute the groundwater. This sludge will be managed in a manner so that it does not contact surface run-on by installing a drainage ditch along its periphery at the disposal site (in a landfill). Clean top soil will be used as a cover to avoid air pollution and odor nuisance. (d) Noise Noise from equipment and vehicles will be minimized by providing mufflers and other noise abatement devices. No noisy activities will be performed from 10 p.m. to 6 a.m. Applicable noise regulations of Beijing will be complied with and these are consistent with the World Bank's Environmental Guidelines. Noise will be monitored as per the applicable laws and corrective actions taken in case of deviations. 2. Operation Phase (a) Sewerage Network (i) Piping The sewerage connections will ensure that there are no leakages. Proper detection devices will be used and corrective actions taken. The connections will be checked for leakage during the installation of pipes. (ii) Liangshuihe and Qinghe Watersheds The draining of wastewater into the River will be minimized and diverted to the sewerage network. The units discharging wastewater will be required to meet the pre-treatment standards. 16  Table 1It. Sumnmar-y of Environmncntal Impact lNiitiomtiIii '*ica,sures (Constr-u ction) Significant Adverse Tar-get N4I\iailaon Nicasures Responsibility l'or Environmental Implemeintation Impact l (Supervisioni) Construction of Sewerage Network and Treatment Plant I Noise generation Noise nuisance is * No noisy construction activities Construction avoided during night Manager (ESO*) 2 Generation of dust Nuisance dust * Water sprays are to be used Construction emissions are Manager (ESO) avoided 3 Traffic congestion Traffic congestion is * Restrict movement of construction Construction minimized. Traffic vehicles to and from the sites to Manager (ESO) hazards are managed daylight hours (unless advised by to minimize risk to traffic police otherwise). road users. 4 Damage to access The condition of * Site access roads will be inspected Construction roads and streets roads used for regularly and repairs made where Manager (ESO) construction is not necessary substantially degraded 5 Soil erosion and The erosion of soil * Vegetation clearance will be kept Construction transport on the construction to a minimum at Sewage Treatment Manager (ESO) site and transport of Plant (STP) site. solids from construction works is minimized 6 Air pollution The ambient air * Wastes are not to be burnt on site Construction quality is not Manager (ESO) substantially degraded by emissions from construction works 7 Public health and Public does not have * Barrier fencing and warning signs Construction site security direct or indirect are to be installed around the work Manager (ESO) contact with the site perimeter, and to control access construction sites of unauthorized personnel. *ESO= Environment and Safety Officer 17  lable 11. Summarv of Environmental Impact NMitigation Measures Sew^age Treatment Plant (STP) Operations Significant Adverse Target Mitigation Measures Responsibility for Environmental Implementation Impact (Supervision) Odor generation Odor is not offensive at * Minimize odor generation; STP Manager nearest residences to the cover tanks; maintain a buffer (ESO*) sewage treatment plant zone; plant trees at the fence. Health of employees The risk of employees at * Maintain hygiene and have STP Manager STP acquiring infections medical surveillance & (ESO) from contact with waste vaccination; manage water is adequately wastewater operations to controlled. minimize contact of personnel with sewage; maintain showers and sanitary facilities; provide first aid and have an emergency response plan in place. Effluent The risk of public * Adequate treatment will be STP Manager acquiring infection from, provided (ESO) contact with effluent is . adequately controlled. Sludge The risk of public * The sludge will be covered STP Manager acquiring infection from with top soil and disposed of (ESO) contact with sludge is in a designated place at the adequately controlled. landfill * ESO = Environment and Safety Officer The practice of depositing solid waste along the banks of the River will be stopped by promulgating appropriate legislation and enforcement action taken against the violators. In order to reduce the foul odor along the River banks, the surface water quality will be improved. Trees will be planted to enhance esthetics. (b) Wastewater Treatment Plants (WWTPs) The environmental management of the WWTPs will be improved by controlling (i) the quality of influent; performance of the treatment system; (ii) the sulfur content of diesel to be used in the boilers to less than 0.3 percent; (iii) odorous emissions by proper aeration; and (iv) noise to acceptable levels at receptor points. The sludge will be properly managed, covered during transportation, and properly disposed of (with a top soil cover of at least 0.5m thickness) at the 18  .~~~nJ B. Rehabilitation of Boilers 1. Desian The design will conform the Beijing's regulations for boiler design and associated environmental management including those related to prevention of accidents and control of stack emissions. Piping of gas will meet the applicable safety requirements. Noise requirements as listed in GB 12348-90 will be complied with. 2. Equipment Installation Installation of boilers and their accessories will comply with the applicable Beijing Safety Regulations. 3. Commissioning The commissioning of boilers after rehabilitation will be checked for proper operational requirements to ensure their safe operation, all mandatory procedures will be followed, and appropriate clearance obtained before operations commence. Wastewater will be properly treated before discharge. 4. Accidents All accident prevention measures will be incorporated into the design, testing, and operation of the boilers. Operating procedures will be established to handle various emergencies and operators properly trained in them. Monitoring and Evaluation The monitoring activities during construction and operational phases of the project are covered in this Section. Tables 12 and 13 summarize the monitoring activities. A. Construction Period 1. Dust TSP will be monitored at all sensitive work areas. Twelve (12) monitoring points have been established. Five (5) measurement points are set along the strand of Liangshuihe River, five (5) along the strand of Qinghe River, I each at of the three sewage treatment plants. At each point, 24-hour average TSP will be measured every 15 days and the wind direction & velocity recorded at the same time. One monitoring (1) point will be established for small boiler house and 2 to 3 points for larger boiler houses. In the Fuel Switching (Coal to Gas) Project for Boilers, measurements will be taken once every month. Corrective action will be taken when needed. 2. Noise Noise will be monitored at eight (8) measurement points around the construction spots in Liangshuihe River drainage area, five (5) along Qinghe River, measured once every week (if construction activities are proceeding at night, then monitoring will be performed at night too). If deviations are noted, the monitoring frequency will be increased to thrice a week. Four (4) measurement points have been set at construction spots near boiler houses, measurements taken 19  once every week. The acceptable daytime noise levei is 7. dBka) and if it exceeds 85 dB(a). then ear plugs will be worn. The World Bankl Environmental Guidelines specifi' a noise level of 70 dB(a) in commercial areas at receptor points. 3. Solid Waste Solid waste will be loaded in enclosed vehicles. Pollution of water bodies will be avoided and monitoring performed to ensure that there is no solid waste near water bodies. 4. Dredging Sludge from Qinghe River Sludge and clean sediments will be loaded separately during dredging and transport vehicles covered to avoid spillage. The sludge disposal site will be such so as not to contaminate groundwater and will have a ditch to collect surface run-on. Leachate will only be discharged after treatment. The sludge will be covered the with clean top soil (with a cover of at least O.5m thickness) to reduce dust emissions and release of foul odor. 20  Table 12 Dust and Noise Monitoring Program (Construction) Parameters to be Location Frequency of Standard Unit Responsibility analysed sampling and analysis l Dust Receptors near Every day 150(?) Og/m3 DOE/ESO* construction sites Noise Receptors near Every day 70(?) dB (A) DOE/ESO construction sites _ * ESO = Environment and Safety Officer Table 13 Treated Effluent Quality Monitoring Program Major Location of Frequency of Standard Unit Responsibility Parameters to be monitoring sampling and analysed points analysis BOD5 Effluent from Every Day 20(?) mg/l DOE/ESO* ___________ ~STPI COD Every Day 60(?) mg/l DOE/ESO* PH 4 Times a Day 6-9 mg/l DOE/ESO* Oil & Grease Every Day 10 (?) mg/l DOE/ESO* TSS Every Day 20 (?) mg/il DOE/ESO* NH4-N Every Month 15 mg/l DOE/ESO* Fecal Coliform Every Day 1000 (?) MPN/100 DOE/ESO* _ _ _ _ _ _ _ _ _ _ _ ~m l Total P Every Day 0.5 mg/l DOE/ESO* 21  B Ooerational Period The folloAsing actix ities x ilI be performed I River and Sewer System Check the operation of the sewerage network and river drainage systems (a) Monitor drainage areas for Liangshuihe and Qinghe Rivers (l) Forbid the discharge of raw sewage into the rivers (n) All raw sewage should be collected by the sewerage network (in) Control the industrial wastewater quality to minimize the influence of industrial wastewater on sewage treatment (iv) Monitor the performance of sewage treatment plants (v) Sewage from Tsinghua University should be included in the sewage interceptor, or Tsinghua University should build their own sewage treatment plant (vi) Develop regulations to control dumping of solid refuse along the banks or river (vii) Morntor the plantmg of trees along both the banks (b) Monitonng Scheme (i)Three (3) measurement points are set at Liangshuihe River strand, four (4) at Qmghe River Momtoring parameters mclude BOD5, COD, suspended solids (TSS), pH, oil & grease, NH3-N, total mtrogen, and total phosphorus The measurements are taken once every month and randomly at least thrice every three months (ii) Momtor foul odor behind the strand at four points, one set each at Liangshuihe River and Qinghe River, once every three months, and if sigmficant, twice a week 2 Sewage Treatment Plants (a) Influent Control The influent quality will be momtored in the same manner as the effluent (refer to T able 13) every day (b) Effluent Control The effluent quality will be monitored every day (refer to Table 13) Any deviations in effluent quality will be investigated into and corrective action taken This may mclude the control of influents and improvement of operations of the treatment plant (c)Air Emissions from Boilers Analyze the sulfur content of each diesel shipment to ensure that it is below 0 3 percent (d)Odor Emissions Momtor foul odor from the treatment plants Four points are set aside at each plant, twelve (12) points in all In case of deviations, operations of the treatment plants will be reviewed Measurements are taken once every three months and more frequently in case of deviations 22  Ct. O;tYOi Mlonitor thle noise ievel at sensitive polints around tihe plant periodicallk. at least once every quarter. (f)Solid Waste Before transporting sludge, ensure that it is properly covered. 3. Boilers Ensure that the environmental requirements are complied with during the design, construction, installation, debugging (commissioning), and operation of the boilers by monitoring for the relevant parameters (NOx and CO). All accidents and spills are to be reported to the appropriate environmental authorities promptly and the surrounding area monitored for any impacts. Ensure that the sewage from boiler houses is disposed of in the sewerage network. Sample points are set at every stack of gas boiler house. Monitoring parameters include: sulfur dioxide & dust (for diesel only), nitrogen oxides, and carbon monoxide, once during start-up and once a day during operations. Noise will be monitored as per the applicable regulations. Institutional Framework An institutional framework has been developed to ensure effective implementation of the EMP through organizational arrangements, assignment of responsibilities, training of staff, information exchange between relevant agencies, and record keeping. A. Organization 1. Construction Period The environmental management unit will be independent of the construction department. In general, there will be one Team Leader, one supervisor for each category (ambient air quality, surface water and groundwater, sludge and solid waste, and noise) and 5 to 8 hotline workers. 2. Operation Period Sewage Sub-Project: The general management group consists of a supervisor and technicians, one for each category (ambient air, surface water & effluent, sludge & solid waste, and noise). Boiler Sub-Project: The General Manager (GM) will have the overall responsibility for effective implementation of EMP and the GM will appoint an Environment & Safety Officer who will be responsible for day to day implementation of EMP. The Supervisor of the boiler house is responsible for executing the operations in the boiler house in an environmentally acceptable manner. B. Responsibilities The Environmental Officer in the PMU will be responsible for the implementation of EMP including updating the EMP, implementation of monitoring plan, and taking corrective actions. 23  C T, w;ang)1( The En\ironrnental Team * ilI be trained to enhance their capabilities to address enxIIonmental issues and a summary of the program is presented in Table 14 The training courses Nvill include information on the objectives and relevant proxisions of the EMP, enxironmental monitoring to be carried out, and responsibilities of various staff members At the end of the training session each environmental staff member and project staff member will know their responsibilities and how to perform their duties in an environmentally acceptable manner The measures to be taken to demonstrate compliance with the applicable environmental regulations and reporting procedures will also be covered The training programs will be regularly updated and each employee will have a refresher course of at least for one day duration every year Records of training provided will also be maintained D Information Exchange There will be regular interagency information exchange every month so as to ensure effective and coordinated implementation of the EMP and corrective actions taken when needed E Record Keeping Records will be maintained to document the effective implementation of the EMP dunng the entire project cycle Momtored data will be reported, at least once in six (6) months, in the required format to the appropriate authornties and copies will also be sent to the Project Management Team to take corrective action Table 14. Training Program 1 Persons to be trained Duration Subject 2 Operation and maintenance (0 1 day / year Occupational health & safety procedures & M) staff 3 Construction staff 1 day / year Occupational health & safety procedures 4 Sewage Treatment Plant 0 & M 8 weeks Environmental management/O&M of staff treatment plant 5 Environmental monitorng staff 1 week Environmental momtorng, QA & QC 6 Laboratory staff 1 week Sampling and analytical procedures, QA & QC 24  V Hil. Public P'articipation A. Objectives of PLublic Participation The objectives of public participation are to solicit comments from the stakeholders on the project design especially on the areas associated with major environmental impacts in addition to building a sense of ownership. B. Consultation with the Experts Ten (10) specialists from different fields, representing the Standing Committee of the City or District People's Congress, participated in public hearings of investigations conducted on environmental assessment. The specialists concur that implementation of the Secondary Environmental Project for Beijing will greatly improve the environmental quality especially ambient air quality and surface water quality of Liangshuihe and Qinghe Rivers. Construction of sewerage network (including interceptors) and sewage treatment plants will reduce the pollution load on the rivers. The specialists agree with the recommendations of the Environmental Assessment report. They place special emphasis on the feasibility study for Qinghe River (i.e., Secondary Environmental Project), proper management of water resources in the rivers, and planting of trees along the banks. They agree that regulating discharges into the rivers and planting trees along the banks can improve the environmental quality of Qinghe and Liangshuihe Rivers for realizing optimal environmental benefits as is proposed in the Secondary Environmental Project for Beijing. C. Public Meetings The public is strongly dissatisfied with the existing ambient air quality and surface water quality. The investigations conducted show that the present environment in Beijing is not protective of human health and sustainable development. They also point out that government should improve on their enforcement capabilities. The public considers in general, that it is urgent to ameliorate the environmental quality and that the sub-projects of gas as alternate fuel for boilers and sewage management (including sewage collection in sewerage network followed by proper treatment) are the most important environmental projects for Beijing. The public has high expectations from the "Secondary Environmental Project for Beijing". The public considers that proper environmental management, training of staff, and establishment of a scientific monitoring system will ensure social, economic, and environmental benefits from the project. D. Conclusions The implementation of Secondary Environmental Project for Beijing is consistent with the Master Plan of Beijing and it is important for the citizens of Beijing that improvements occur in air and surface water quality. Additionally, the impacts during construction are considered acceptable provided the environrmental protection measures are undertaken such as provisions of enclosures and water sprinklers. 25  IX. Implementation Schedule and Cost Lstimatev It is anticipated that the project will be effective in the Year 2000. The construction will start in the Year 2000 and will be completed by the Year 2005. Table 15 presents the implementation schedule and major milestones. The Project Management Unit will prepare six (6) monthly reports compiling all the environmental monitoring data, noting deviations from the EMP. if any. and the corrective actions taken. Baseline monitoring data will be collected before the commissioning of the sewage treatment plants and will be used in the assessment of project impacts. Costs and Benefits The implementation of the EMP is expected to require an investment of about $0.5 million ($0.32 million in analytical equipment and $0.18 in institutional development including training) and an annual budget of $0.25 million associated mostly with the monitoring costs). There will be economic benefits from the reduced incidence of illnesses associated with water borne diseases and breathing polluted air. In addition, the fuel switching component of the Project is expected to result in annual benefits of about 150 million Yuan. Table 15. Major Milestones in EMP Implementation Item Schedule l. Construction Year 2000 2. Baseline monitoring Year 2004 3. Operations Monitoring Year 2005 4. Ambient Air and Surface Water Impacts Monitoring Year 2005 26  Appendix I Incremental Cost Analysis Method: Gas Boiler Conversion I. The incremental cost of achieving the global benefits of this component of the GEF Alternative is based on the cost of converting the target of 5,000 scattered coal boilers from coal to gas during a period of 5 to 10 years, compared to a Baseline case. The former is termed the GEF case, or the With Case, while the latter is referred to as the Base case, or the Without case. 2. Base Case scenario. Without GEF support, barrier removal is not achieved in the short tern and in consequence far fewer than the prograrnied 5,000 boiler conversions will be achieved. It is assumed that only 20 % of the coal boilers, those of the most financially sound operators, would be converted under the Base Case. The remaining boilers would most likely adopt more conventional pollution control measures. For example, some would be consolidated into district heating systems in order to obtain higher system efficiencies, hence reducing emissions. Other old boilers would be retired and be replaced in kind (i.e., with coal-firng). The newer equipment will likely perform at a higher level of energy efficiency and pollution control. The remaining boilers would simply continue operating as per normal. The most likely scenario is a mixture of all these cases, and the following combination is assumed under the Base Case: Consolidation into district heating 20 % (1000 boilers) Continued use of existing boilers 40 % (2000 boilers) Replacement with new coal boilers 20 % (1000 boilers) Conversion to gas boilers 20 % (1000 boilers) Total 100% 3. GEF Case. With the financial support of GEF grants for barrier removal and Beijing municipal government subsidies, 2,500 boiler conversions will be directly supported. It is anticipated that the cost reduction and capacity-building benefits and demonstration effect of this project will result in a total of 5,000 conversions within 5 to 10 years. This represents about 15,000 tons/hour of hot water and steam demand, fulfilled more efficiently by gas and with lower carbon release. 4. Incremental Cost Assumptions. The economic and financial analysis was completed for a period of twenty years, assuming the two alternative scenarios have equivalent economic lives. The analysis examined capital, operating and fuel costs for each of the two cases. It was assumed that the same heat energy was delivered each year, and that the operating revenue-would be the same in both cases. The analysis is done on a pre-tax basis, with tax consequences disregarded based on the assumption that cash- flows are equivalent. A discount rate of 12% was used. Gas boiler efficiency is about 75-80% compared to 68% for consolidated district heating boilers. Moreover, additional losses of 13% associated with the district heating system lowers the net efficiency to about 53%. For the other Base cases, the efficiency of existing coal boilers is about 45% and new coal boilers is 53%. Capital costs vary with each option and include boiler and associated infrastructure for coal or gas. Boilers are assumed to be of an average size of 3 ton/hour capacity. In the Base Case, land acquisition was included for the case of district heating consolidation, since a significant amount of land is required to construct the district heating plant and associated facilities. Land acquisition is not considered in all other cases as this was insignificant, but an annual land rental cost was imputed by estimating the area requirements for 3 ton/hr boilers. Operating costs consist of fixed variable, annual variable and fuel. Costs, with the exception of depreciation and fuel, are escalated at an annual rate of 6% for new and existing coal boilers in the Base Case. Fuel costs are escalated according to the World Bank Commodity price forecast of the annual percentage change in the price of crude oil.  For the financial analNsis. depreciationi and SO' taxes \verc included. F or coai. economlic and finlanlcial prices were used from 2001-2005. after which ii was assumLIed that finanicial and econoC11ic prices Vo uld be similar. Assets. excluding land, were depreciated using 12 year fixed depreciation. The following emission factors were used to estimate carbon emission rates: Table 1: Carbon Emission Factors Coal 26 kg/GJ or 546 kg/ton of coal Gas 15 kg/GJ or 585 kg/thousand cubic meters of gas Incremental Cost Analysis Method: Energy Efficiency 5. Without GEF support, additional district heating energy conservation initiatives would not be pursued. The Baseline is therefore operation and maintenance of coal-fired district heating boilers that are not targeted for conversion to gas in a "business as usual" mode. The GEF Alternative would upgrade and improve the efficiency of these same boilers. It is estimated that the GEF alternative would reduce coal use from its present average of 35 kg/square meter to about 25 kg/square meter of heating area, and result in energy savings of about 30% over existing energy consumption levels. An estimated 14,000 tph of boiler capacity would be targeted over a 20 year period, which is the 'duration of the incremental cost analysis. Economic And Financial Incremental Cost Analysis 6. Economic Incremental Cost. The total economic net present value (NPV) for the Base Case is 17,775 million Yuan, compared to Y 22,914 million for the GEF Alternative Case. The incremental cost of the gas conversion and energy efficiency components' combined is therefore Y 5,139 million, or about US$620 million. The breakdown of these costs between'the two components is shown in the Incremental Cost Matrix. China is seeking GEF grant support of $25 million (about 4%) of the incremental cost. 7. Results of the financial analysis is shown principally to illustrate the impact of asset deprecation on the abatement cost calculation. Under the financial method, the higher capital cost outlay for the Base Case generates greater depreciation (e.g. for expenses), and thus a lower incremental cost for the GEF Case and a lower abatement cost per ton of carbon. Table 2: Summary of the Economic and Financial Analysis NPV NPV NPV Base Case GEF Case Incremental Cost Abatement Cost (Y million) (Y million) (Y million) (US$/ton C) Economic Analysis 17,775 22,914 5,139 11.71 Financial Analysis 18,439 24,380 5,941 13.49 Emissions Analysis 8. Carbon abatement For the gas conversion component, the annual carbon released in the Base Case is 2.5 million tons in year 2001, rising to 9.9 million tons in year 2020. In the GEF Case, it is 2.4 million tons a year in year 2001, up to 5.6 million in 2020. For the conservation component, total carbon abated from 2001 to 2010 is about 4.5 million tons. Over twenty years, a cumulative reduction of about 54.2 million tons of carbon is realized in the GEF Case compared to the Base Case. The project's estimated abatement cost, calculated per GEF guidelines, is therefore US$11.71/ton of carbon. The unit abatement cost to the GEF for its proposed.share of the incremental cost is $0.46 per ton carbon.  Gas Boiler Emissions Standards Applicable standard is Beijing DBI 1/109-1998 for bothi lighit distillate and gas fired boilers: Item Max. Concentration mg/Nm3 TSP 50 S02 50 NOx 300 (as N02) Black Intensity 1 (Opacity Scale) Noise levels are to be below 85dB(A) in the boiler house and no greater than 70dB for the control room and adjacent offices.