Document Produced Under Loan

Project Number: 43906-014 February 2016

Visayas Base Load Power Project (Philippines) Second Semi-annual KSPC Stakeholders’ Forum Minutes 2016

Prepared by KEPCO SPC Power Corporation for the Asian Development Bank. This report is a document of the borrower. The views expressed herein do not necessarily represent those of ADB's Board of Directors, Management, or staff, and may be preliminary in nature. Your attention is directed to the “Terms of Use” section of this website. In preparing any country program or strategy, financing any project, or by making any designation of or reference to a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

Minutes of the Semi-Annual Stakeholders' Forum

Date: February 19, 2016 Time: 1000H-1200H Location: People's Hall Naga City Hall

Conducted by: E&C and C&PR Department Semi-Annual Stakeholders' Forum Activity:

Facilitator: Neil LawrenceV. Mira I - E&C/ Klayd del Carmen - C&PR

Facilitating Attendees:

No. KSPC Representatives No. KSPC Representatives

1 Ill Hwa Jeong/ E&C 7 Rena Mae Laput/ Marketing

2 Joanne Claire T. Supnet-Simbajon/ E&C 8 Ian Rubin/ l&C

3 Farra-Jane Asaral/ E&C 9 Ryan Getuaban/ Electrical

4 Gladys S. Auxil io/ E&C 10 Chenny Albero/ Contracts

5 Jasmin Sumaoy/ C&PR 11 Mark Nicholas Badana/ Fuel Management

6 Jenny Alfornon/ C&PR 12 Brian Alesna/ Turbine

The Second Semi-Annual Stakeholder's Forum conducted in coordination with the C&PR Department at the People's Hall

of Naga City Hall generally went well. We have provided the general public an overview and a deeper look into the power

plant's operations as well as an update of the company's efforts to continuously cater the needs and concerns of the

surrounding community. The following items below were discussed:

Agenda TOJJicS

No. Topic Details

- Conduct IEC (Information and Education Campaign) for the stakeholders in compliance with the ECC (Environmental Compliance Cert ificate) conditions and KSPC's commitment to the City of Naga.

1 Rationale - Transparency requirement of KSPC's financing institution.

- To further improve KSPC's environmental performance and develop harmonious relationship with stakeholders.

General Business and - Plant location, Owner, Business Type, major facilities of the plant

2 - Type of Technology used and its Pollution Control Devices Technical Specifications

Annual Power Generation Capacity, fuel daily rate, ash production rate -

- Working in synergy with the MMT, DENR-EMB and the stakeholders in promoting environmentally sound plant operation

- Environmental monitoring (air emission, water efflu ents, social & legal compliance)

KSPCs Drive to Environmental - Impact Preventing M easures (complaints management in coordination with

3 Excellence and OP and C&PR)

Community Synergy - Impact Mitigating M easures (Immediate actions in coordination with

contractor, LGU & community)

- Environmental Programs (Tree planting, coral rehab, coastal dean-up & solid wast e management)

No. Topic Details

- Second Half 2015 Summary of Operation Status

- Air Emission Data (CEMS and 3rd Party); all results are within DENR-EMB standard.

Second Half 2015 - TCLP results for fly and bed ash. Results show that both fly and bed are non-

4 Environmental hazardous.

Performance Review - Water effluent results for second half 2015. All are within standard. - Temperature difference at the mixing zone of the cooling water effluent is

within 3°(.

- Other monitoring activities for ambient air, marine water, groundwater and marine life study.

- Quarterly Third Party Monitoring

- Quarterly Adopt an Estero and Tree Planting Activity 5 Environmental Activities - Quarterly MMTTechnical Committee Meetings

- Quarterly Public Consultation Meeting with the 3 Barangays - Semi-Annual Marine Life Monitoring

- Medical Mission

- Feeding Program - Donation of Toothbrush, toothpaste, vitamins and medicines

6 SDP and CSR Activities - Scholarship Program

- Donation of Food Counters, Computers and Trash Bins - Financia l Assistance - Anak Naga Program

- Donation of ambulance and emergency response vehicle

An open forum followed after the presentation. The following items were discussed:

No. Queries/Comments KSPC's Response Responsible

Entity

Extend medical mission to Brgy. Naalad - Suggestion is noted, will propose to 1 other Barangays like Brgy. and East management for additional budget to KSPC C&PR

Naalad and East Poblacion Poblacion conduct medical mission.

- Submit letter of request with address to: How to avail or request for Mr. Chang Yong Cho - President barangay project Brgy. Naalad, KEPCO SPC Power Corporation

2 sponsorship, fiesta East Poblacion - Request should be thru/endorsed by the KSPC C&PR donation and uniform and Tuyan Barangay sponsorship - Processing for the approval of request is

approximately 3 weeks.

Attachments: A. Photos taken during the meeting

B. Attendance Sheet

C. Presentation Material

Prepared by: Reviewed by: Noted by:

SIMBAJON, J.C.S. MIRAL, N.L.V. SUMAOY, J.G.

Attachment A: Photos taken during the meeting:

. Di!;>coSPC ~POWER CORPORATION

No. Name

1

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ATTENDANCE SHEET SECOND SEMI-ANNUAL STAKEHOLDERS' FORUM February 19, 2016, People's Hall, Naga City Cebu

Agency/Company Contact No. Signature

~CE;>cc>SPC ~POWER CORPORATION

No.

21

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ATTENDANCE SHEET

SECOND SEMI-ANNUAL STAKEHOLDERS' FORUM

February 19, 2016, People's Hall, Naga City Cebu

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ATIENDANCE SHEET SECOND SEMI-ANNUAL STAKEHOLDERS' FORUM

February 19, 2016, People's Hall, Naga City Cebu

No. Name Agency/Company Contact No.

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Signature /\

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Department of Envtronme-nt and Natural Resources ENVIRONMENTAL MANAGEMENT BUREAU Region VII

Date:--------

To:

AU l<SPC-JOIT TeehaJeal Com.mlttee Members;

Marcelino B. Tabuco- EMB 7 OlC-Chief-Environmental Monitoring and Enforcement Di.vision I Chairman Jehan Repollo ~ City Pollution Control Officer- LGU Naga City Antonio Labioa - Department of Energy Rau1 Pa.soc -. CENRO Cebu City Vf!rneil Alinsonorin - Sanitary Inspector- LOU N&gB City Rosctato Repollo- Colon Ban.ngay Captain .Mario Dickson Bartolabac- Tangke Barangay Captain Ray Manabat - North Poblacion Barangay Captain la.e.bclito Rcpunte- Parents Teachers and Comm unity As90eiation (PI'CA) Neil Mil'aJ - KSPC PCO Dt'- Andrea Estopa- Rural Health Unit Representative Lu.is Antonio Monisit - EMB7 Stalf Ariel A. Gill~ra - EMB7 Staff Jason N. Reuyan- SPC PCO Maribel Pantorilla- Colon Efom. School Representative Leonila Miranda- Colon Fishers Folk Association

Dear Sir/ Mad1UUe:

Greetings!

Pleaac Ix informed that there will be a Semi-annual Stakeholders Forum on February 19, 2016, at 9:30 AM at the People's Hall of Naga City.

The following is the proposed agenda for the forum:

1. 2nd Half 2015 Environmental Performance Re-view /Evitluation; 2. 2nd Half 2015 CSR Activities; 3. Environmental and CSR Plan Activities for 2016; and 4. Other matt.era;

For more information of this mattei- you may contact ~iei A. Giller& of EMB Vll- EIAMD at

tel. ~o. 345-3905

Looking forward for poaitive response a.t y~ur end.

Very truly yours~

&NOR.MARC co OIC - Chief - EM!~~ chnical Chairman

e.nHad. M•ndaue City, C.bu, Phlltpplnes, I01' Tel. Noe. (+8332) 3469426.3453905 TelefalC No. 3'461647

Email: embt78yahoo.com

Welcome to the KSPC Semi-Annual Stakeholders' Forum

People's Hall, Naga City Cebu Febmary 19, 2016

2/22/2016

Forum Outline Rationale

2015 Environmental Performance Review

Environmental Activities

CSR Activities

Open Forum

• Philippine Environmental Laws

Requisite • Transparency requirement of KSPC's Financing Institutions

2/22/2016

2

2/22/2016

GEllERAI. BUSINESS AHO TECHNIC41. SPECflCATIOll5 - , ... ... ~"'-"' ----

Semi-Annual 2015 Operation Status

713.369 GWh

462,738 MT

32.97 %

16,407 32 MT

..... ..

3

I I m uunmO'n lJ I l'ro1\rJn1> I *MMl!.IPl '*§i!§MMI llMMiif!.ii!il lh@fi@M1

• AJI Jhrouohout lht: PfOjecl µliase (Cut»ilrucliun. Ope1aJivn. and Ma;n/enanc..-e)

A;J EmtSslon

SOx • 245 ppm ND> 487 ppm TSP 150 mg/Nm Merc11ry- 5 mg1Nm

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SC.1 Jl9) p~m NO• 2l ;~ p ~ i't

CD 1 J5 o~:n TSP i ~o t'rHl'~•r•

l.'~n1Jr( <[I ll[l003 mgiNm

2/22/2016

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Water Effluent (2"" Semi-Annual 2015 Data)

IFC Str.ndrircl I

pH • 6-9 TSS . 50 m91L COD • <200 mg/L Res GI · <0.20 ppm Orl&Grease - I 0 mgll

DF~lR Ef.'8 S1;;nd;;rd

pH • 5.9 TSS . < +30 mgll COD · <200 mg/L BOD - 100 mgll Oil&Grease - 10 mgll

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pH · 7 85 TSS . 4 70 mg IL COD . 93.0 mglL BOD,. 100 mgll 01l&Grease - 2.DD mgll

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pH - 3 25 rss . s.oo mgll COO - 39 00 mg/L BODs· 19 50 mgll Orl&Gre.se - 1 5 mgll

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Cool\n1 Water Olchuse Temperature Difference IMornin1) Coollng Wet~r Olch11rge Temperature Dlffer~@(Afternoonl

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2/22/2016

5

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Other Monitoring Activities

· -m Ambient Arr Samp 1119 al-l Stal1ons (SHI 1 - Tangke STN 2- ··~angk1k1s SHI 2 -1'onh Foblac1on STi'J .; - Colan)

24nr ;.1nb,en1 Air Szmp'1ng al the :iacf or i".2ding's Re, dencc (North Pob ar;:on1

Marine Water S~mphng ~15 St,1t1or> ISTil i - In front ol C1ly Hall STN 2- In front of North Pol:lac on ST/! 3 - In iron! Ji Planl Site Sm.; - In tront of 31110 Cayam

Sm '; In ·ro11I :if 'lrg\' foyan)

l•,;;irme L1f<' Sll1dy (SI~~ ; 111 Iron! DI City H;;ll S fM / - In Iron! 111 cJorll1PntJl<ic1011 s-M 2 · In rronl ul PLmt Silt Srt; 4 - In fJ1J11lof S1tio Caya111: SPI 5 · 111 ri0nl of

Bry1 l1r1d11)

G1ou11dwale' SampLng at : S:a11ons iSTiJ t - Tangke Sm 2 - i'iorth Pob'ac on STiJ 3- Uop2r Cc!on Sii~ ·i -Lol'.er Colon)

2/22/2016

I

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Quarterly Multi·Partite Monitoring Team Technical Committee Meeting

Oc,louer 20

r

2/22/2016

7

Quarterly Environmental Monitonng (Ambient Air, Marine Waler, Groundwater,

TCLP for Ash. Stack Testing, Water Effluent)

December 15-16

2/22/2016

8

2/22/2016

9

2016 Environmental Activities

r,:r.\T TcchCcm ;ind ExeCom r,\eet1ngs

Adopt an Estero Act1•11tres (Co;isl;il Cle;in-Up and Tree Planting)

Barangay Public Consultation (IEC)

Semi Annual Slakeholders· Forum

• ce;xosPc . POWER CORPORATION

Social Development P1an & Colporate Social Raponsibilitiea Program

·- = - -

2/22/2016

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<:: Taxes paid to the Local Government Unit

P164.5M USD in a year (188M USD to be paid after ITH)

~ SOP & CSR Programs, Donations & Other Community Support

P16.4M (Construction Period to December 2015)

ct Financial Benefits to Host Communities under ER 1-94 Program:

P53.7M (September 2010-June 2015)

~ Employment Opportunities:

- 2,000 workers during Construction Period - 200 local personnel during Operation Period

2/22/2016

1 1

Summary of Activities

Medical Mission

Feeding Program

Vitamins Supplementation

Toothbrush & Toothpaste

Skills Training Program

Donation of Medicines

Operation Tuli (Circumcision)

Improvement of Health Centers

Improvement of School Facilities

~ EE;X'O SPC POWER CORPORATION

E"'MJllfllJllFIMJillMEifLl-8 3 4 18

4

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2

4 4

2

3

7

7

6

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6

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2/22/2016

12

2/22/2016

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2/22/2016

14

2/22/2016

LIVELIHOOD & OTHER COMMUNITY RELATION ACTIVITIES

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ER 1-94 Payments/ Remitttances

Period Amount

Sep 2010 - July 2011

July 2011 - Dec 2011

Dec 2011 - Jwie 2012

July 2012 - Dec 2012

Dec 2012 - June 2013

July 2013 - Dec 201 'I

Dec 2013 - lune 2014

July 2014 - Dec 2014

Dec 2014 - June 2015

TOT/\1

Php 5,013,705.43

Php 4,642,547.04

Php 6,590,561.39

L'hp 3,956,661.80

Php 6,812,269.80

Php 6,511, 1 '19.5'1

Php 7,005,742.68

Php 6,486,495.4

Php 6,m,617.2

Php 53,792,740.27

2/22/2016

17

• • =~ f:Jectrlficalion Fun

d

De1 l·lopnll'nl ,'\; Li1

elihood Fund

- -- - -,

- .. Health & [n\·iron

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• Eleftrification Project

lnstalbtion of Strcrtli~hts

·construction or•Rurnl Hcalrli

L' nit & l.~ing-in Building

. \paD • Cl I . I _r, Brg_\. Hall

9 ce;>co SPC . POWER CORPORATION

• 25 Sitios in 6 Citics/\1

unicipalities in the pr

O\incl' of Cebu

Brg~. Colon

- --Cit~· of :\aga

.___B~ Colon --

Social Development Plan & Corporate Socill Re8ponsibilitiee Propm

-- ---~- - ~-------== -

2/22/2016

18