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Project Management Consultant's Emergency Services for the North -South Gas Pipeline RehabilitationSite-Specific Environmental Managemenl Ptan for Reiabililation Woris at IKPI93E Corrosion Site

North-South Gas Pipeline Emergency Rehabilitation

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DRAFT Site-SpecificEnvironmental Management Plan

for the Rehabilitation Works at theKPI93E Corrosion Site

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ELECTRONIC FILE REFERENCE NSGPOOI RS03 ES PLN-00013 ENG AOI of 31

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Site-Specific Environmental Management Plan for Rehabilitation Works at Gidanula River Crossing Site

DRAFTSite-Specific

Environmental Management Planfor the Rehabilitation Works at the

KP193E Corrosion Site(Category B)

GEORGIA

North-South Gas Pipeline Rehabilitation Project

December 2006

Prepared for:

GEORGIAN OIL AND GAS CORPORATIONand MILLENNIUM CHALLENGE GEORGIA FUND

GeoEngineering Ltd. North-South Gas Pipeline Rehabilitation Project of 31

Site-Specific Environmental Management Plan for Rehabilitation Works at Gldanula River Crossing Site

Table of Contents

Section Page

1. Introduction ................................... 41. I Background .......................................................... 41.2 Need for and Objectives of this Site-Specific EMP ....................................... 61.3 Consideration of Resettlement Issues .......................... 6

2. Description of the Proposed Rehabilitation Work ....... 82.1 Need for the Proposed Rehabilitation Work .................................................. 82.2 Nature of the Proposed Rehabilitation Work ..................... 82.3 Location .............................................. 9

3. Nature of the Existing Environment ................ I 13.1 Topography, Geology, and Soils ............................. I 13.2 Surface and Ground Water ................................. 113.3 Wildlife and Vegetation ................................... 113.4 Land Use and Socioeconomic Conditions ....................... 113.5 Cultural Heritage ...................................... 11

4. Environmental and Social Impacts ................. 124.1 Environmental Impacts .......................................................... 124.2 Social Impacts ......................................... 12

5. Mitigation and Monitoring Plan .................... 145.1 Key Provisions for Environmental Management .................. 145.2 Activities, Impacts, Mitigation and Monitoring Matrix ............................... 16

6. Implementation Schedule and Institutional Organization..226.1 Implementation Schedule and Costs ...................................................... 226.2 Institutional Arrangements ................................. 22

7. Public Consultations ........................... 24

8. Points of Contact .............................. 25

A. Site Photographs .............................. 28

B. Site Drawings .............. ................................. 30



1. Introduction1.1 Background

Georgia is heavily dependent upon gas imports to generate electricity, supply critical industrieswith gas, and heat homes'. The imported gas is conveyed into Georgia from Russia via highpressure gas pipelines. Georgia has two main gas pipeline corridors: (i) the north-south corridor,which allows import of gas from Russia and transit of gas to Armenia, and (ii) the east-westcorridor, which historically supplied the western regions of Georgia and was also used for transitof Russian gas to Azerbaijan. The pipelines are operated by the state-owned JSC Georgian Oiland Gas Corporation (GOGC, legal heir of former Georgian Gas International Corporation,GGIC).

The north-south section of pipeline system (NSGPS), comprised of two parallel pipelines, isconnected to the gas pipeline system of the Russian Federation in the north (thus taking all gasdeliveries from Russia) and to the Armenian gas pipeline system in the south (see Figure I -1). A700-millimeter (mm) diameter pipeline was constructed in the 1960s and a 1,200-mm diameterpipeline in the mid- to later 1980s. A number of crossover connections were also constructed andsome sections replaced and abandoned during the 1990s to address integrity issues due tolandslides or erosion at river crossings. The technical stability of the gas sector in Georgiadepends on the reliability of these pipelines. The pipelines have received little maintenance sincethe time of Georgia's independence from the former Soviet Union and have deterioratedsignificantly since then.

The pipeline system is currently the subject of hazards that make required maintenance eitherimpossible or very dangerous to execute. The NSGPS requires an immediate and comprehensiverehabilitation program to (i) bring the infrastructure back to an acceptable level of technicalintegrity, (ii) secure the safe and reliable supply of gas to Georgia, and (iii) improve GOGC'scapacity to sustain and further develop the operational and financial performance of the pipeline.Without rehabilitation of the NSGPS, one of two things may occur: catastrophic failure of thesystem, most likely from a rupture of the pipeline due to landslide in the mountainous regions ofthe country, or the continued degradation of the pipeline through upland and river erosion orscour, corrosion, valve leakage, and related factors.

In recognition of the urgent need for pipeline rehabilitation, in 2005, the Government of Georgiaasked the Millennium Challenge Corporation (MCC), a United States government corporation, toprovide financial support for the rehabilitation of the NSGPS under the "Millennium ChallengeAccount" program. Shortly thereafter, a compact was signed between the Government ofGeorgia and MCC, under which certain funds were allocated to finance the rehabilitation workon the NSGPS. The Government of Georgia established the Millennium Challenge Georgia Fund(MCG), a legal entity of public law, to respond to the opportunities offered by MCC funding.MCG is responsible for the implementation of the rehabilitation work on the NSGPS.

The proposed rehabilitation work will reduce gas leaks, and hence methane leaks, from theNSGPS. Methane emissions contribute to global warming by helping to trap heat in the earth'satmosphere. Consequently, as part of the international effort to forestall global warming, atrading system, called the Clean Development Mechanism, has been created whereby developed

Gardabani power station, which is gas-fired, currently supplies roughly 300 megawatts (MW) of electricity,approximately 35% of Georgia's total electricity supply during winter.



countries are able to buy the "carbon credits" (i.e., each credit is equivalent to an emissionsreduction of one ton of carbon dioxide) generated by projects undertaken in developingcountries, such as Georgia. The World Bank (WB) is playing a major role in helping to facilitatethe trading of carbon credits between developing and developed countries. As part of this role,the WB's Carbon Finance Business and GGIC/GOGC have launched negotiations on the sale byGOGC and purchase by the WB of the carbon credits generated by the rehabilitation work. In2005, after receiving no objection from the Government of Georgia, the WB signed a Letter ofIntent with GGIC/GOGC regarding the sale of carbon credits. The revenue earned by GOGCfrom the sale of carbon credits would be used to support its future operations and maintenanceactivities, thus helping to sustain the operation of the NSGPS.

As a condition of their participation in the rehabilitation work, the MCC requires that the workconforms to their environmental guidelines (http:'/Nxww.rnca.iov/1zuidancc/FY()6/Environniciltal Quidelines.Ddf)

and the World Bank requires that the work conforms to their "Safeguard Policies"(hutp://Inwcblx.worldbank.orz/ESSD/sdvcxt.nsfs52BvDocNamc/SafeiLiardPolicics). The environmental and socialrequirements of the MCC and the WB are largely identical.

To guide the implementation of the work in accordance with the environmental and socialrequirements of the MCC and the WB, and to take into account the Government of Georgia'sapproaches to safeguards protection and best international practice, in early August 2006GOGC/GGIC published (http://www.ggic.ge/news.htm), as well as disclosed through WBInfoShop, the following three key inter-related safeguards documents:

• Environmental Review, which presents a general overview of environmental issues andpotential impacts associated with the projects.

* Environmental Management Framework, which defines the approach to be taken to theassessment of environmental and social issues and their management and the process ofconsultation with stakeholders and disclosure of related information.

• Resettlement Policy Framework, which covers involuntary resettlement and land acquisitionissues.

The MCG/MCC and the World Bank cleared these safeguard documents as condition offinancing rehabilitation works from their sources of funds and in turn committed to cause anyselected contractors to adhere in implementation of projects to full compliance with GOGCsafeguard policies and procedures. Relevant provision of these documents are, therefore, deemedto form part of any contract established for the purposes of NSGPS rehabilitationworks/activities.

As the first phase in the rehabilitation work, it was decided that work would take place in 2006 atsix "emergency sites" where there was an urgent need for immediate action, namely:

• The Meneso landslide site;* The Zotikiantkari erosion control site.* The Arkala River crossing site;* The Naniani landslide site; andn The Gldanula River crossing site;n The KPI 93E corrosion site.

The proposed rehabilitation work at the KP193 (E) corrosion site is intended to rehabilitate asection of the pipeline that is heavily corroded as a result of years of inadequate corrosionprotection measures. This section of the pipeline is failing and is a constant source of gas leaks.



1.2 Need for and Objectives of this Site-Specific EMPIn accordance with MCC's Environmental Guidelines and the WB's Safeguard Policies,environmental screening was undertaken in mid-2006 to determine the potential adverseenvironmental and social impacts of the proposed rehabilitation works at the KPl93E corrosionsite and thereby to determine the appropriate extent and type of environmental assessment forthese works.

Based on that screening it was determined that the potential adverse impacts of the proposedrehabilitation work at the KPI93E corrosion site were site-specific and short-term, that few, ifany, of the impacts are irreversible, and that mitigatory measures can be designed to deal withthe adverse impacts. Overall, the proposed work would result in net positive impacts withimplementation of the proposed mitigation measures. Accordingly, the rehabilitation work at theKPI93E corrosion site was accorded a Category B designation under MCC's and the WB'senvironmental assessment categorization.

Projects in Category B require the preparation of an environmental and social impact assessment,including an Environmental Management Plan (EMP) that provides both a Mitigation Plan and aMonitoring Plan. An environmental and social impact assessment for Category B projectsexamines the project's potential environmental and social impacts and recommends measures toprevent, minimize, mitigate, or compensate for adverse impacts and to improve environmentalperformance. However, the assessment is less detailed than that for Category A projects (i.e.,projects that have significant adverse environmental and social impacts that are sensitive,diverse, or unprecedented), is more focused on the relevant, localized impacts, and often servesas the introduction and general framework to the EMP (as is the case here).

The objective of the environmental assessment (EA) is to describe the potential environmentaland social impacts of the rehabilitation work and to provide project-specific mitigationrequirements, and monitoring and institutional measures to be taken during projectimplementation to eliminate, offset, or reduce adverse impacts to acceptable levels. Such an EAwas developed for KP193E corrosion site by GOGC and cleared with both the MCG/MCC andthe World Bank (GOGC Document Control Center reference number NSGP0OI-RS03-ES-REP-00009-ENG-COI and NSGPOO I -RS03-ES-REP-00009-GEO-C01).

The approved EA was included in the bidding documents by MCG, against which constructionbids were received, evaluated and contract awarded to successful bidder (consortium lead byGeoEngineering Ltd., Georgia). As the condition of bidding and established contract, beforestarting construction work, the construction contractor is required to prepared and submit full,site-specific EMPs (with mitigation and monitoring plans) for GOGC approval that fulfill therequirements contained in the EA and that include relevant information such as the contractor'spoints of contact for the responsibilities outlined in the EMP. During construction, the contractorwill be responsible for implementing the site-specific EMP and for self-monitoring ofenvironmental compliance. Compliance will also be monitored by the supervising manager forspecific sites designated by GOGC and MCG.

1.3 Consideration of Resettlement IssuesIn compliance with the Resettlement Policy Framework and to cover involuntary resettlementand land acquisition issues, GOGC has developed and cleared with donors the DraftResettlement Action Plan for NANIANI Landslide Rerouting and Other EmergencyRehabilitation Sites (Draft RAP, GOGC DCC reference number NSGPOO1-RN02-ES-PLN-0001 1-GEO-COI and NSGPOOI-RN02-ES-PLN-0001 1-ENG-COI). This document is subject to



negotiations with project affected people and compensation payments for social impactsdocumented there.

The conclusion of the cleared Draft RAP in relation to KPI93E corrosion was that project willreplace the existing damaged pipeline with a new one and fill the trench with soil to protect thepipeline from erosion. There will be no shifting of centerline outside ROW, the works will notresult in land acquisition, permanent loss of income, permanent damage to property, or loss ofaccess / income.

The Draft RAP specifies the compensation arrangements which are to be covered by GOGCand/or its donor partners, but at the same time, it also clearly delineates those compensationswhich are the responsibility of the contractor as part of the implementation of the rehabilitationworks and provisions of the relevant site-specific EMP. The contractor is committed to fullycover compensations beyond the commitments of GOGC and its donor partners, such as MCG,expressed in the approved Draft RAP. The compensation treatment of project affected persons,when and if determined appropriate, should fully comply with the policies, procedures andrequirements of the GOGC's Resettlement Policy Framework and the Draft RAP. Anycompensation measures, including agreements reached, compensation amounts established andpaid, as well as the results of the relevant socio-economic surveys, falling under these policiesand requirements, should be adhered to, implemented and reported by the contractor and resultsreflected in the Final RAP, which are then to be cleared by GOGC with its donors.

As of the date of preparation of this site specific EMP, GeoEngineering has achieved formalagreement with the owner (Georgian National Gulf Association) of the land near the KPI93Esite on trespassing of equipment along the selected access road. According to the document, theowner grants permission to GeoEngineering to use the road temporarily for the execution ofconstruction work, and to reinstate it into initial or better condition. The copies of thedocumentation, which demonstrates the above agreement, as well as the permissions for use ofaccess roads and any other temporary lands, will be made available to GOGC.



2. Description of the ProposedRehabilitation Work2.1 Need for the Proposed Rehabilitation WorkThe proposed rehabilitation work at the KP193 (E) corrosion site involves replacing a section ofthe pipeline that is heavily corroded, as a result of years of inadequate corrosion protectionmeasures, and which is a constant source of gas leaks.

Photographs A-I and A-2 in Appendix A show the KP193E corrosion site and the inspection pitof the corroded pipe. Photographs A-3 and A-4 show signs of soil erosion over the corrodedpipeline and the resultant exposure of the pipe.

2.2 Nature of the Proposed Rehabilitation WorkThe proposed rehabilitation work consists of removing the existing 700 mm pipe and placingnew pipe into the reopened trench. Access roads to the work site are in the rather poor conditionsand need significant rehabilitation (leveling of road and gravelling). Therefore, prior tocommencement of pipeline construction GeoEngineering will undertake respective works toprovide guaranteed and safe access to the ROW from the pipe yard and workforceaccommodation areas and other supply points.

Transportation of the equipment from storage area in Digomi to KPI93E corrosion site will beimplemented through the following route:

1. Central highway - Tbilisi by-pass road (4.5 km);2. Thilisi bypass road - turning on KPI93E of gas pipeline (4.1 km);3. Turning on KPI93E site of gas pipeline - construction yard (0.9 km).

The Contractor will maintain also temporary roads along the route of pipeline to be able tocommence and complete construction of the pipeline section. Mobilization works envisageputting construction equipment in order and transferring it from the Company's workshop/yardto the construction site, cleaning and leveling the construction site, clearing of various refuse.

Arranging a store on the construction site is not compulsory as the subcontractor's main base islocated on the adjacent area in Digomi. Preparatory and mobilization works also envisageexecution of contracts with suppliers (if required). Soft soil will be supplied, from the stock of"Didgori" Ltd (GeoEngineering's subcontractor). Timber and bitumen will be purchased atTbilisi construction material marketplace (preliminary agreements were reached with suppliers).Site will also be prepared to accommodate line pipes and materials as well as machinery andequipment to ensure safe operation throughout construction works.

During mobilization phase, prior to commencement of any activities, pipeline route will bedelineated to identify the pipeline centerline and ROW boundaries. There is no necessity forpipeline route changes - all repairs and installations will be conducted within existing ROWboundaries and data recorded for subsequent handover to GOGC.

As per Tender Documentation pipes (720 mm X 10 mm) will be provided by the MCG from theGOGC's storage facility - Saguramo pipeyard. Subcontractor of GeoEngineering will providetransportation of pipes from Saguramo pipeyard to the ROW and string it. The pipe shall beinstalled in lieu of the string of damaged pipe section. Manual welding (tie-in) will be utilized to



replace a pipe at the whole length of the section. The welding of the replacement pipes will beexecuted along the ROW. GeoEngineering will perform field joint coating of the pipeline sectionfollowing NDT acceptance of the weld joints. Pipe coating will be inspected and repairs will bemade in case of necessity. The pipeline section will be hydrotested 4 hours minimum at 68 bars.Connection (welding) of renovated section to existing main line will be performed in accordancewith HSE standards and quality requirements.

Backfilling will be performed using of excavator and/or bulldozer in accordance with ProjectConstruction Specification and with strict adherence to Project HSE standards and qualityrequirements. Separately stored topsoil will be replaced at the top layer of backfilled trench.

As for the reinstatement and landscaping, GeoEngineering has already developed appropriatemanagement plan and will implement it during the work execution, before final demobilization.GeoEngineering will be responsible for the reinstatement of any buried cable trenches, or otherengineering communications disturbed during the course of the works, all in accordance withcontract requirements.

2.3 LocationThe KP193E corrosion site is located at KP193+850 - KP194+120 of the NSGPS, close to theGldanula River crossing site, in the Gldani area - a relatively heavily populated suburban area innorthem Tbilisi. Figure 2-1 shows the aerial image of the site and extent of rehabilitation section.Figure 2-2 depicts the location of the KPI 93E corrosion site and the other five emergency sites.

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Figure 2-1 Project aerial photo (arrows indicate extent of the rehabilitation section)



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Figure 2-2 Location of the Six Emergency Sites



3. Nature of the Existing Environment3.1 Topography, Geology, and SoilsThe topography in the vicinity of the proposed rehabilitation site is mountainous in nature andcharacterized by steep to gently rolling hills in upland areas and nearly flat terrain in the valleys.The hills in the uplands are dissected by numerous deep ravines formed by surface waterdrainage and streams. The elevation in the area ranges from 700 to 1,000 meters above sea level.

The 270 meter section of ROW at KP 193 (E) is in moderately sloping terrain, with the steepestsection on the south, and surface water from this area drains by way of a small tributary to theGldanula River.

The geology of the area is primarily characterized by deposits from the Lower Cretaceousincluding shales, sand stones and limestones, interbedded with clays. The lower terraces andfloodplain along the Gldanula River are comprised of more recent Quatemary deposits ofalluvial sand, clays and gravels.

The soils along this segment of the ROW are generally well drained sandy and clay loams andare brown in color.

3.2 Surface and Ground WaterThe ROW along this segment crosses no streams, though the general area is drained by a smalltributary to the Gldanula River to the south. The depth to groundwater and groundwater qualityalong the ROW has not been determined, but the groundwater is inferred to lie well below thedepth required for trenching.

3.3 Wildlife and VegetationThe vegetation communities in the vicinity of the ROW are comprised mainly of arable lands,meadows, and pasturelands interspersed with forest and shrubs.

The wildlife includes birds and smaller mammals more associated with disturbed pasturelands inthe vicinity of settled areas - such as the sparrow, crows and various rodents. More notablespecies associated with the more remote mountain habitat such as the lynx, Caucasian brownbear and marten are not expected to be encountered on the site. No other threatened andendangered species are known to occur in the site area.

3.4 Land Use and Socioeconomic ConditionsCurrent land use at the KP 193(E) corrosion site is primarily pasture and rangeland in proximityto the Tbilisi urban area, with some herding and production of hay. Structures, farms and acemetery all lay near, or along, the ROW.

3.5 Cultural HeritageA cemetery lies along the ROW, approximately 300 meters from the pipeline.



4. Environmental and Social ImpactsThis section describes the potential environmental and social impacts associated with therehabilitation work.

This section describes the potential environmental and social impacts associated with therehabilitation work.

4.1 Environmental ImpactsThe following potential negative environmental impacts were identified during environmentaland social screening:

* Loss of vegetation and disturbance of wildlife: The rehabilitation work (e.g., accessimprovements, re-grading the ROW, digging up and replacing the pipeline, and constructinga staging area) will have minor impacts on existing vegetation, which is predominantlygrasslands used for pasture and hay production. The construction activities may disturb birdsand smaller mammals on site. The ROW in this section of the pipeline has limited naturalhabitat due to the existing land use.

* Increased erosion and sedimentation: Construction activities, particularly construction andaccess roads, may disturb the soil and lead to additional soil erosion and sedimentation,especially on the steeper southern portion of this segment during storm events.

* Damage caused by temporary access roads, staging areas, and extra workspaces:Access to the site is relatively good; though equipment access to the site will requireplanning. A staging area will be required.

* Contamination from spills/hydrostatic testing: Accidental spills (e.g., fuel, lubricants, etc)from liquid condensates in the old pipeline section and from hydrostatic testing canpotentially contaminate soils and (through run off) the tributary to the Gldanula River and theriver itself.

* Air pollution and noise: Potential impacts may occur from air pollution, dust and noiseproduced by heavy construction equipment and other vehicular movement into and out of theproject site. However, these potential impacts are expected to be minor and short-term.

* Contamination from inappropriate waste disposal: Construction debris and wastes couldcause potential harm if not disposed of in an adequate manner. Sections of removed pipe,excess tape and coatings, and welding materials, including cribbing of the pipe, sandbags,and other support materials will be removed and disposed of at approved locations afterconstruction.

Overall, the short-term mitigatable impacts of the work will be more than offset by its long-termpositive effects, resulting in a strongly positive net impact.

4.2 Social ImpactsThe following potential negative social impacts were identified during environmental and socialscreening:



* Temporary land use: During the implementation of the rehabilitation works, land that isnow used for pasture and haymaking will temporarily be unavailable. Also, the ROW hasbeen encroached upon and there is a cemetery near the ROW.

* Increased traffic on local roads: There will be increased vehicular traffic in the area duringconstruction which is anticipated to take up to three months.

* Influx of workers and increased demands on local infrastructure: Construction workersmay be housed in the Gldani and in the Tbilisi area. The workers will place increaseddemands on the available infrastructure. The effects are expected to be minimal.

* Worker and public health and safety: There are potential concems regarding worker safetyon-site, safety risks to the public associated with machinery traffic, and public health risksassociated with an influx of workers.

Positive, but short-lived, social impacts identified during screening include employmentopportunities for unskilled local laborers during construction primarily in site preparation, suchas clearing, traffic control, waste cleanup, and other reinstatement works.

Longer term positive impacts include the reduction in gas leaks and the enhanced safety andsecurity of the pipeline.



5. Mitigation and Monitoring PlanThis section provides, first in the form of the plain text, the key provisions for environmentalmanagement for the site, and then compiles into the form of a table a description of themitigation measures that will be implemented to avoid or minimize the potential negativeenvironmental and social impacts of the rehabilitation work. This table lists site specificconstruction activities correlated with potential environmental and social impacts identified inthe EA, documents the mitigation measures identified at the assessment stage (when full detailsof the project engineering were not available), separately provides also the specific mitigationarrangements with additional details regarding impacts and mitigation measures developed bythe contractor as site-specific methods. Table further contains columns dealing with themonitoring arrangements to ensure, that construction and operation of the project conforms tothe laws and regulations of Georgia, MCC's Environmental Guidelines, the WB's SafeguardPolicies, and international best practice, collating respective monitoring actions, indicatingparties with implementation, supervision and regulatory responsibilities, as well as the timing ofthe application of monitoring actions.

5.1 Key Provisions for Environmental ManagementEnvironmental and social impact mitigation measures has to be further developed upon Pre-Construction Survey before proceeding with initial stages of construction i.e., topsoil stripping,grading, vehicles crossing, stringing and bending. The common measures and the key mitigationprovisions specific to this site are listed below (these measures are also integrated into activities,impacts, mitigations, monitoring, responsibilities and timing matrix, see table in subsection 5.2).

General:An adequate signage will be installed to ensure that areas delimited by the projects are respected.It will comprise in particular, but not limited to, the following:

* Project related safeguard policies, documents, plans and assessments (ER, EMF, RPF, EA,RAP, tender document, including Generic EMPs);

* presence of oil spill response equipment;* refueling and parking areas;* delimitation of the buffer zone;* Safety warning sign, authorizing only project personnel.

Access to the area will be done only through approved access roads and through the RoW (see.Drawings B-I and B-2 in Annex B).

Environmental resources:* oil spill response equipment and materials (see hereafter);* silt control materials, including hay bales, silt fences. etc. (see below);* an environmental officer permanently on site supervising and monitoring the works;* environmental helper in charge of collecting the waste on a daily basis and implementing

environmental measures on site;* personnel on-site who are trained in the use of the oil spill response equipment and materials,

which will be, if necessary, reinforced by additional personnel;* toolbox talks will be conducted to ensure that all workers are aware of the environmental and

social requirements during the crossing;



* all supervisors working on the river crossing will be provided with a special foldercontaining all necessary environmental Plans, Procedures and MS, and will keep them onsite.

Prevention of water pollution/oil spill response:* specific refueling area (for the duration of the works), geo-textile and plastic lined, filled up

with sand, will be installed in appropriate location;* all equipment working on site will be inspected for potential leaks, etc. prior to starting the

work and then on a weekly basis;* adequate oil spill kit with absorbent materials, shovels, plastic and sand bags, gloves will be

available on site during the works and personnel trained in the use of the materials;• Incident reporting will be done as per relevant reporting forms;* oil spill response trainings will be done on a monthly basis to relevant personnel;

Sediment/silt control and erosion control:n minimization of turbidity and of sediments accumulation downstream;* using various flume pipes of sufficient capacity to direct/collect streams across access roads

and ROW* sandbags barriers/silt fences will be installed around topsoil, subsoil and spoil storage

wherever a potential washout into the river could occur;* final soil erosion control works will be carried out in accordance with the Reinstatement

Management Plan (provided in the tender documents).

Waste management:* Collection, handling and transportation of wastes generated at the site will be done as per the

Waste Management Plan (provided in the tender documents);* Waste bins will be placed for proper collection and segregation in a marked/signed and

dedicated area;* Their collection will be organized on a daily basis on the construction site;n The waste will then be transported to the approved disposal site;* A designated and marked hazardous waste area will also be installed, and equipped with

secondary containment.

Reinstatement:• the runoff berms shall be stabilized after construction completion;n the watercourse banks shall be restored to their original conditions and contours and all

necessary precautions should be taken to ensure that the natural drainage patterns arereinstated during restoration; this involves recording accurately the original conditions;

* a pre-condition photographical survey will be done commonly between GOGC andGeoEngineering prior to starting the work, that will be used as a reference for reinstatementworks;

* permanent reinstatement of the riverbanks and the riverbed will be done according toengineering drawings approved GOGC (schematic Drawings B- I and B-2 are provided inAnnex B, provisions of the Reinstatement Management Plan from the tender documents alsoapply);

* Well protected stored topsoil and riverbed top layer material will be reinstated as providedfor in the Reinstatement Management Plan.



5.2 Activities, Impacts, Assessed and Specific Mitigation Measures and Monitoring Matrix

Activities Impacts Assessed Mitigation Specific Mitigation Monitoring Implementation TimingMeasures for Gldanula Site Measures Action Supervision

Regulation

ENVIRONMENTALSite preparation Loss of Minimize clearance of undisturbed Limit ROW to 22 meters (see Inspection during Contractor Continuous duringworks vegetation areas. Confine activities to the Drawings B-I and B-2): implement construction, stop any GOGC/MCG construction, final

approved, staked ROW and other bending appropriate for minimal use of unapproved Ministry of inspection onTop soil striping approved staging areas, segregate disturbance outside ROW buffer. areas or access roads Environmental completion ofand grading and stockpile topsoil during and restore Protection and restoration work.

construction. Limit ROW width to Topsoil segregation and storage disturbances Natural ResourcesTrenching 30 meters. Use only approved (ROW, access roads and any (MEPNR),

access locations. Save vegetation additional land used including including itsStaging area, pipe on the upslope side of the current pipeyard). Isolation from any extra central andstorage and other ROW for erosion control. During material mix. No mixing of topsoil regionaltemporary facilities construction install temporary and subsoil. authorities

erosion control structures, such asdiversion berms to control runoff Install either silt fences or sandbagand avoid erosion of stockpiled barriers at the lower end of eachtopsoil. Upon completion of pipe topsoil and subsoil stockpile.installation, implement permanenterosion control and revegetation Allocate dedicate storage areas formeasures (reinstatement). extra subsoil excavated as a result

of trenching (see Drawings)

If topsoil not reinstatedimmediately after the completion ofconstruction activities - implementtemporary erosion control measuressuch as diversion berms to controlrunoff and avoid erosion ofstockpiled topsoil;

No access road gravelling of greengrass areas (after topsoil stripping).



Trenchinig Disturbance of Maintain activities within approved Arrange simple fencing to isolate Monitoring during Contractor Continuousdomestic ROW and access; prohibit trenches from domestic animals. construction, stop any GOGC/MCG monitoring during

Site movement of animals and disturbing and taking domestic use of unauthorized MEPNR initial ROWequipment and wildlife animals and wildlife in project area. Install signage with relevant areas and harassment preparation andpersonnel prohibitions of wildlife in area. establishing

access, weeklyInform local herders on appropriate surveillance asbypassing routes needed during

construction.Training of personnel to be aware

of animal care.Site preparation Potential Avoid and minimize off-site Install either silt fences or sandbag Inspect construction Daily or severalworks (access erosion and erosion and sedimentation into barriers at the lower end of each activities to supervise times per week,roads, staging area, sedimentation streams through the use of topsoil and/or subsoil stockpile. implementation of best prioritize before,etc) caused by diversion berms. Complete cleanup practices for erosion during and

construction and finish grading as above to Allocate dedicate storage areas for and sediment control, immediatelyTop soil striping activities approximate original contours, add extra subsoil excavated as a result especially prior to and following stormand grading permanent diversion berms (slope of trenching (see Drawings) during storm events. runoff, inspect and

breakers) on steeper portions of the supervise duringTrenching south slope to divert runoff to stable If topsoil not reinstated Inspect that settlement restoration.

vegetated areas. Site and maintain immediately after the completion of pond is cleanedHydrotesting the staging area in a stable area. construction activities - implement regularly

Complete reinstatement work along temporary erosion control measuresthe ROW and in the staging area. such as diversion berms to control

runoff and avoid erosion ofstockpiled topsoil;

Install collecting channel along theROW with energy breakers with atleast 20m periodicity and withsettling pond et the lower end

Fully restore temporary pipeyardarea (see Drawings)

Access road Damage Identify access route(s), through Proper signage installation and final Continuous Contractor Completion ofconstruction and caused by and in the vicinity of Gldani and the return of the area to the initial or monitoring. GOGC/MCG in Contractor Accesspreparation of temporary northem suburbs of Tbilisi, and the better condition. Installation of coordination with Road and Risktemporary facilities access roads staging area, emphasizing safety; plume pipes where necessary or Community Assessment prior



and staging provide warning signs and other requested. No shoofly and no officials. to construction.areas traffic controls; repair existing damage to third party or Local Authorities

roads as necessary following unapproved land. No accumulation (Central, /District) Continuous duringconstruction. Improve storm water of stagnant water on access roads. construction, finalmanagement on the access roads to inspection onprevent uncontrolled erosion and Apply gravel grading only where completion ofdrainage into residential and other absolutely necessary for technical restoration work.areas. Restore new temporary feasibility of safe access. Noaccess route and staging areas gravelling of green grass areasfollowing construction. (only after topsoil stripping). Prior

approval is needed for accessimprovement sections.

Equipment Contamination Exercise controls for inspecting No equipment maintenance, Inspect during Contractor (ini Continuousrefueling & from spills equipment and refueling, and refueling and movement activities construction and addition to GOGC monitoring andmaintenance implement Spill Prevention, on green areas. supervise SPCC supervisors). Spill inspection

Containment and Countermeasures implementation prevention is a throughoutAll construction (SPCC) Plan in the event of spills. Oil spill response equipment and common construction.activities (The SPCC, Plan describes well trained personnel mobilization. responsibility of

measures to be implemented by the Timely reaction in case of spill. all workers.construction contractor to prevent, Emergency plan development. All GOGC/MCGand if necessary, contain and site equipment inspection. MEPNRcontrol the inadvertent spill ofhazardous materials such as fuels, No placement of fuel or oil drums,lubricants, and solvents using tanks, bowsers, etc. on the ground,sorbent pads, oil booms, and/or especially the green areas.other measures.) In particular,inspect equipment to be used in the Refuel as much as is practical in theriver chanmel and the active yard. All fuel bowsers to carryfloodplain and repair any leaks, adequately spill kit withsuch as to hydraulic fluid lines and environmental equipment.pumps; and do not refuel vehicles Refueling only to be carried out byin river channel area. Install designated person. Plantsecondary containment for any Maintenance system of regulartemporary fuel storage tanks in checks (rather than fixing whenstaging areas. broken). Carry out Plant

Maintenance in yard as far aspossible. Care in use of hydraulicoils. Adequate supply of spill kitswith environmental equipment on



fuel tanks. Designated personnelonly.

All machinery should be in goodcondition, and inspected byenvironmental officer regularly(using checklist).

All equipment fuel operated to besafely deployed with well arrangedand maintained secondarycontainment

Hydrostatic testing. Contamination Provide for a controlled release of Statutory permits for water Inspect during water Contractor & Continuouswater abstraction, from hydrotest discharge water through a discharge/use will be provided. withdrawal and GOGC monitoring andwater discharge hydrostatic secondary containment basin to discharge. Sample and GOGC/MCG inspection during

testing and control erosion and allow test water Prior approval of hydrotest report discharge where MEPNR test waterwater to disperse and infiltrate into the procedure and mitigation measures. required by MEPNR withdrawal andwithdrawal / soil. Monitor test water as required Permit. discharge. Reportdischarge by MEPNR. Identify a suitable to MEPNR as

water source and have that source required.and the layout of fill lines approvedby MEPNR. Use a containmentbasin and control the rate of waterrelease; seek approval fromMEPNR for these arrangements.

Equipment and Air pollution Regularly spray water on disturbed Regular plant. inspection and Visually monitor dust Contractor & Continuous visualvehicle movement areas with exposed soils to control maintenance levels. GOGC monitoring during

blowing dust on access roads in GOGC/MCG construction,vicinity of residences and Spraying of water at least 2 times a Check vehicle MEPNR prioritize dustbusinesses, and the outskirts of day when required due to weather maintenance records. monitoring duringGldani and Tbilisi. conditions (dry, windy) dry, windy

weather.Use vehicles that comply withapplicable air pollution standards. Initial vehicleMaintain and operate equipment in maintenanceaccordance with manufacturer's check.specifications.



Machinery Noise Maintain and operate equipment in Regular plant inspection and Check vehicle Contractor Initial vehiclemovement. accordance with manufacturer's maintenance. maintenance records. GOGC/MCG maintenanceNoisy construction specifications, provide hearing MEPNR checkactivities, protection as needed to heavy Monitor duringgenerators etc. equipment operators, limit construction. Continuous

construction to daytime hours. monitoring ofhearing protection.

Waste disposal Contamination Implement solid waste and Waste segregation area should be Check that the waste is Contractor Continuousfrom hazardous waste management plans arranged. Hazardous waste stored disposed of in GOGC/MCG monitoring andinappropriate to minimize and handle waste. In in safe, designated areas with accordance with the MEPNR inspectionwaste disposal particular remove old pipe section isolating shelters. Located away waste management throughout

and solid waste from Gldanula from watercourses and drains tanks plan. construction.River including saddle wastes and with secondary containment.excess excavated material not used Submit third parties waste disposalas backfill or for re-contouring. Put agreements and documentationinto containers and remove any (waste transfer notes in format priorcondensates from the old pipe, and agreed with GOGC).cap the old pipe prior to its Staging area will be completelyremoval. dismantled and removed from site.



Activities Impacts Assessed Mitigation Specific Mitigation Monitoring Implementation Timing

Measures for Gidanula Site Measures Action SupervisionRegulation

SOCIALAccess road Temporary Consult with local people engaged Temporary land use in accordance Contractor & Prior to beginningconstruction and land use in herding or hay making. with agreement owner (legal or de GOGC use of ROW andtemporarily facility facto). GOGC/MCG work areas.preparation Erect temporary fencing to protect MOJ, WB

livestock from the trench area as No shoofly and no damage to third Meetings withneeded. party or unapproved land. local people

before, during andBefore beginning the rehabilitation Restoration of temporary access after construction.work, provide abbreviated input roads (Gulf Association) or staginginto the Resettlement Action Plan areas to initial or better condition(RAP). If more than 10 percent ofany land user's land is permanentlytaken, conduct a socioeconomicsurvey and develop incomerestoration measures.

Assure that contractors EMPs areconsistent with approved plans andspecifications.

All personnel and Cultural Avoid any activity in the nearby No access road from the side of Monitoring and visual Contractor and Periodicconstruction heritage and cemetery. Look out for, and report cemetery inspection GOGC monitoring andactivities unanticipated to GOGC and MEPNR, any GOGC/MCG visual inspection.

finds unanticipated archaeological or Incorporate mentioning chancehistorical finds. finds in toolbox talks MEPNR



6. Implementation Schedule andInstitutional Organization6.1 Implementation Schedule and CostsThe rehabilitation work will be undertaken in the period December 2006 - February 2007. Theactual schedule will have to be presented in the contractor's work plan and agreed upon withGOGC before the work begins. The mitigation, monitoring, and institutional measures outlinedin the EA and is presented in detail in this site-specific EMP, as developed by the constructioncontractor, for implementation during the rehabilitation work.

The costs for the measures identified in the approved EA and in this site-specific EMP developedby the construction contractor, is deemed fully incorporated and included in the bid provided bythe successful construction contractor.

6.2 Institutional ArrangementsAs noted in Section I above, the purpose of this document is to provide project with site-specificrequirements for the EMP developed by the construction contractor. Construction contractors bybidding and signing contract to undertake the work essentially agreed (requirement of thebidding documents prepared by GOGC/GGIC) that it was their responsibility to develop a site-specific EMP and to carry out the rehabilitation work in accordance with the site-specific EMP,subject to clearance with GOGC and MCG.

In this regard, GGIC/GOGC specified that bidders must in their proposals:* Provide information on their experience with similar projects, sites, etc.;* Describe their staffing, roles and responsibilities, and management structure for

implementing the environmental and social impact mitigation measures;* Provide a detailed description of their approach to managing environmental and social

impacts; and* Provide one reference regarding their development of effective EMPs and their successful

implementation of environmental and social mitigation measures.

For use by the construction contractor, GGIC/GOGC provided the following environmental andsocial mitigation plans in the bidding documents:* Reinstatement Management Plan;* Cultural Heritage Management Plan;* Pollution Prevention Management Plan;* Emergency Response Management Plan;* Waste Management Plan; and* Community Liaison Management Plan.

The successful construction contractor is responsible for tailoring the plans to the specific site,integrating the requirements of these plans into their work plan, and implementing these planseffectively. All relevant provisions of above listed generic plans are mandatory prescription forimplementation by selected contractor in addition to this site-specific EMP.

The bidding documents also included GGIC/GOGC's health and safety procedure; with whichthe construction contractor must comply when implementing the rehabilitation work.



GOGC Corporate and Individual ResponsibilitiesSince GOGC in coordination with the MCG (the local accountable entity for the present MCC-financed work) will be responsible for ensuring the implementation of the EMP, both entitiesreview and approve the project-specific EMP and associated plans developed by the constructioncontractor before the start of the rehabilitation work. They also maintain a strong audit andoverview role during the conduct of the work to ensure that the construction contractorimplements the requirements of the plans appropriately and effectively.

According to GOGC/GGIC's "Project Execution Plan," GOGC's Environment and SocialImpact Manager (function designated to the Head of the GOGC Environmental Department) isresponsible, among other things, for monitoring and verifying construction contractorcompliance with the EMPs, the RAPs, and any other binding environmental and socialrequirement, and for liaising with businesses and communities affected by the work. GOGC'sConstruction Manager also is responsible, among other things, for monitoring and verifyingcompliance with the EMPs and the RAPs and for monitoring and verifying compliance with theHealth and Safety Management Plan, for monitoring and verifying that all resettlement activitiesare completed in accordance with the Resettlement Policy Framework before commencing workon the site, and for monitoring and verifying that consultation and disclosure of the EAs/EMPs isundertaken before commencing work at the site. Overall oversight is to be provided by GOGCProject Manager.

In the Project Execution Plan, GOGC has committed to maintaining a sufficient number ofpersonnel on-site to supervise the construction contractor's work. Most of the members ofGOGC field teams will report to the site manager for their day-to-day task allocation. They willalso coordinate with the specialist manager in the office to ensure consistency of approach andquality and to provide feedback on the progress. The office managers will, in tum, ensure thatthe field teams are consistent in their approach, check the quality of their work, and report to theGOGC Project Manager on progress.

Before the start of the construction, GOGC will develop and implement a comprehensive sitesupervision plan. This plan will detail the way in which GOGC will oversee the constructioncontractor's compliance with the EMP. The plan will also identify the roles and responsibilitiesof the various Georgian governmental agencies, including MEPNR and other agencies in thefield of agriculture, forestry, water, economic development, and cultural heritage. The plan willinclude details on how such governmental agencies will monitor the site and be informed of anycompliance issues.

MCG Corporate and Individual ResponsibilitiesMCG's Energy Rehabilitation Project Director and Environmental and Social Impact Directorwill, in coordination with GOGC, ensure the timely and effective implementation by theconstruction contractor of the site-specific EMP.

Contractor Corporate and Individual ResponsibilitiesThe contractor is responsible for enacting due diligence and best practices during therehabilitation work, in contractual compliance with the requirements contained in the safeguardsdocuments and the site-specific EMP. Although the GOGC is responsible for obtaining overallconstruction and environmental permit (when warranted by Georgian legislation), neverthelessthe contractor is responsible and liable implement conditions of the overall permits (conclusionsof ecological expertise) and also to obtain all required permits prescribed by site-specificactivities (such as water abstraction and discharge, hydrotest, tree and forest cutting, extra lands,camp site, access roads, works in the riverbed, etc). GOGC will provide its complete advisorysupport and institutional leverage to help but also to monitor Contractor obtain required permits.



7. Public ConsultationsSeven public consultation meetings have been conducted by GOGC with regard to rehabilitationplans and associated documentation pertinent to the six emergency sites. The locations, dates andpurposes of the meetings are shown in the table below:

Locations Dates PurposeTbilisi 23-26-2006 Safeguards, EIA-s

06-07-2006 Safeguards, ETA-s07-08-2006 EfA-s

Dusheti 26-06-2006 Safeguards, EIA-s07-07-2006 Safeguards, ETA-s08-08-2006 ElA-s28-10-2006 Draft RAP

Minutes of the Meetings for public consultations are issued as standalone GOGC/GGIC reportswith the following Document Control Center reference numbers (discussion themes are indicatedin brackets):

NSGPOO 1 -RE0O-ES-MOM-0000 I -ENG-A01 (Tbilisi/Dusheti 23/26 June 2006) (Safeguards, EIA-s)NSGPOO I -REOO-ES-MOM-00001 -GEO-A0O1 (minutes in Georgian language)

NSGPOO 1 -REOO-ES-MOM-00002-ENG-AO I (Tbilisi/Dusheti 06/07 July 2006) (Safeguards, EIA-s)NSGPOOI-REOO-ES-MOM-00002-GEO-A01 (minutes in Georgian language)

NSGPOOI-REOO-ES-MOM-00003-ENG-A0I (Tbilisi/Dusheti 07/08 August 2006) (EIA-s)NSGPOOI-REOO-ES-MOM-00003-GEO-A01 (minutes in Georgian language)

NSGPOOI-REOO-ES-MOM-00004-ENG-AOI (Dusheti 28 October 2006) (Draft RAP)

It is the responsibility of the contractor to undertake public consultations to review and agreesite-specific EMP with relevant stakeholders. Prior agreement with GOGC on consultationmeeting arrangements and discussion materials is needed. GOGC will provide full organizationalsupport, advise and presence when conducting such public consultation meetings.



8. Points of ContactIf you have any questions concerning this document, the rehabilitation work described in thisdocument or the roles of any of the entities involved in the rehabilitation work, you may contactthe following persons:

ContractorGuram Thsuleiskiri, HSE Manager, +995 (99) 71-23-08Lasha Lapachi, Project E&S Manager, +995 (93) 15-37-27Guram Gogichaishvili, HSE Officer, +995 (99) 27-52-70Shota Bodaveli, HSE Officer, +995 (55) 11-39-00

Soso Mamulashvili, Transport Manager, +995 (99) 58-43-41Anzor Beriashvili, Project Manager, +995 (77) 75-53-48Leri Mikaberize, Project Coordinator, +995 (99) 50-39-45

GeoEngineering Ltd.15A, Tamarashvili St.Tbilisi, 0177, GeorgiaTel: +995 (32) 311-784Fax: +995 (32) 311-787Email: contact(&geoengineering.ge

dcc(Awgeoengineering.ge

GOGCEnvironment and Social Impact Manager: Mr. Mamuka Gvilava, Head of GOGC EnvironmentDepartment (MGvilavaCiGGIC.ge, 899-54-66-16)

Construction Manager: Mr. Jemal Khujadze (JKhuiadze(wGGIC.ge, 877-76-76-76)

Project Manager: Ms. Tamar Lalazashvili, GOGC Deputy General Director (Tamarll(a.GGIC.ge,899-9-444-22)

Georgian Gas International Corporation24, 300 Aragveli Street., Tbilisi 0144, GeorgiaTel: (+995 32) 748518 or 748216; Fax: (+995 32) 748067www.GGIC.ge

MCGEnvironmental and Social Impact Director: Ms. Sophie Berishvili (s.berishvili(JCmcg.ge)

Energy Rehabilitation Project Director: Mr. Ilia Eloshvili (i.eloshvihi(armcg.ge)

Millennium Challenge Georgia4 Sanapiro Street, I" Floor, Tbilisi, Georgia (premises of Ministry of Culture)Tel: (+995 32) 507770; Fax: (+995 32) 939144www.MCG .ge



Ministry of Environmental Protection and Natural Resources of GeorgiaGeneral point of contact:

Ministry of Environmental Protectionand Natural Resources of Georgia6, Gulua StreetTbilisi, 0144, GeorgiaTel: +995 (32) 27-57-00, 27-57-20

Department of Licenses and Permits

Head of Department: Irakli Kvashilava (irakli(Lwmoe. gov.ge)Head of Division of Permits, Department of Licenses and Permits: Nick ChakhnakiaTel/Fax: +995 (32) 27-57-60

MCCGeorgiaResident Country Director: Mr. Colin Buckley (bucklevch(armcc.gov)

United State Embassy11 George Balanchine Street, 0131 TbilisiTel: (+995 77) 500104

HeadquartersDirector of Infrastructure: Ms. Ellen Moran (moranek( )mcc.gov)

Director of Environmental Assessment: Ms. Margaret Kuhlow (KuhlowML(a)rmcc.gov)

Director, Environment and Social Assessment: Mr. Tom Schebl (schehltp(&wrmcc.gov).

Millennium Challenge Corporation875 Fifteenth Street N.W.Washington, DC 20005United States of AmericaTel: (+1 202) 5213600www.MCC. ge

The World BankGeorgia

Project Officer, World Bank Country Office - Georgia: Darejan Kapanadze(Dkapanadze(&worldbank.org)

Operations Officer, Infrastructure & Energy Department, World Bank Country Office - Georgia:Joseph Melitauri (Jmelitauri(c)iworldbank.org)

SA, First Drive, Chavchavadze Avenue, Tbilisi, GeorgiaTel: (995 32) 913096 / 912371 / 91 23 56; Fax: (995 32) 913478



www.worldbank.ori.ge

HeadquartersEnergy Specialist, Europe and Central Asia, Infrastructure and Environment: Jane Ebinger(iebinger Lwworldbank.org)

Senior Environmental Specialist: Wolfhart Pohl (wpohl(aworldbank.org)

Senior Safeguard Specialist: Philip W. Moeller (pmoeller(aLworldbank.org)

The World Bank1818 H Street, NWWashington, DC 20433United States of AmericaTel: (+ 1 202) 4730204www. worldbank.org



A. Site Photographs

~ ,,.

;--- Ai iA

N$

Photograph A-1 KP 193E site and section of inspected pipeline. Photograph A-2 Exposing corrosion at KP193E (inspection pit)Tbilisi city in the background (view towards SE)



r - a

- F-

- :-.5

.....

Photograph A-3 Runoff berms and sediment control needed Photograph A-4 Pipeline is very close to the eroding surface



B. Site Drawings

.. N,

Legend

m Access roadsOther roads

-Aerial

TopsoilO=Staging areaEm Pipeyard

Isolines I

0 50 tO 30Drawing B-1 s 10 D SAccess roads, staging ae 6p4yodi, so etb lavtr hoyfailhies(NB: true engineering 4alls frt cO pftvided elsewhe in approved-dsgn documnetation)



Site Drawings;Old pipe Legend

- New pipe

Collecting chanal & Energy breakers' D Settling pondt- IsolinesNW' Topsoil storageBEI Running trackl Trench

Subsoil storage

0 1O0 AC W0 O

Drawing B-2 mBasic engineertng design of KP-1 93 corrozlon site with overlay of relevant environmental mitigation arrangement(NB: true engineering details for construction purposes are provided elsewhere in approved design documentation)


north-south gas pipeline emergency...

Documents