vol.9 environmental impact assessment and resettlement aspects - dasu dam

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National Engineering Services Pakistan(Pvt) Limited (NESPAK) Associated Consulting Engineers-ACE (Pvt) Limited Montgomery Watson Harza Energy & Infrastructure Inc. USA Colenco Power Engineering Limited, Switzerland February 2009 PAKISTAN WATER AND POWER DEVELOPMENT AUTHORITY DASU HYDROPOWER PROJECT Binnie & Partners (Overseas) Limited FEASIBILITY REPORT VOLUME 9 ENVIRONMENTAL IMPACT ASSESSMENT AND RESETTLEMENT ASPECTS

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Page 1: Vol.9 environmental impact assessment and resettlement aspects - Dasu Dam

National Engineering Services Pakistan(Pvt) Limited (NESPAK)Associated Consulting Engineers-ACE (Pvt) LimitedMontgomery Watson Harza Energy & Infrastructure Inc. USAColenco Power Engineering Limited, Switzerland

February 2009

PAKISTAN WATER AND POWER DEVELOPMENT AUTHORITY

DASU HYDROPOWER PROJECT

In Association with:Binnie & Partners (Overseas) Limited

FEASIBILITY REPORT

VOLUME 9

ENVIRONMENTAL IMPACT ASSESSMENT AND

RESETTLEMENT ASPECTS

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ENVIRONMENTAL IMPACT ASSESSMENT AND RESETTLEMENT ASPECTS

TABLE OF CONTENTS

SUMMARY S.1 Introduction S-1 S.2 Legal and Institutional Framework for Environmental Assessment S-1 S.3 Description of the Project S-2 S.4 Project Alternatives S-2 S.5 Project Scoping and Public Consultation S-3 S.6 Baseline Environmental Conditions S-3 S.7 Impact Identification, Quantification and Valuation S-4 S.8 Impact Mitigation, Remedial and Enhancement Measures S-5 S.9 Environmental Management and Monitoring Plan S-6 S.10 Conclusions S-7 S.11 Recommendations S-8 S.12 Future Environmental Management Program S-9 1. INTRODUCTION 1.1 Introduction 1-1 1.2 Structure of Report 1-1 1.3 Project Classification for Level of Environmental Studies 1-1 1.4 Impact Identification Tools 1-2 1.5 Project Disclosure with Stakeholders 1-2 1.6 Resettlement Aspects 1-3 1.7 Socio Economic Survey 1-3 1.8 Scope of Services 1-3 1.9 Approach Adopted for EIA Studies 1-3 1.10 Makeup of EIA & Resettlement Report 1-4 2. REGULATORY LAWS AND THE INSTITUTIONAL FRAMEWORK FOR ENVIRONMENTAL ASSESSMENT 2.1 Introduction 2-1 2.2 The Legal and Regulatory Framework for EIA in Pakistan 2-1 2.2.1 Policy Framework 2-1 2.2.2 Federal Statutory Framework for Environmental Management

and Assessment 2-3 2.2.3 Provincial Government Statutory Framework 2-6 2.3 Institutional Framework Relevant for EIA in Pakistan 2-7 2.3.1 Federal Government Institutions 2-7 2.3.2 WAPDA 2-8 2.3.3 Provincial Government Institutions 2-10 2.3.4 International and National Non-Governmental

Organizations (NGOs) 2-12

2.4 Specific EIA Requirements for Dasu Project 2-12

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2.4.1 Basis for the Environmental Study 2-12 2.4.2 The Project Proponent 2-13 2.4.3 Environmental Protection Agency (EPA) Pakistan 2-13 2.4.4 Pakistan’s Federal EPA Environmental Assessment Procedures 2-13 2.4.5 National Environmental Quality Standards (NEQS) 2-14 2.5 International Agreements and Provincial Water Accord Signed

by Pakistan 2-14 2.5.1 Indus Waters Treaty 1960 2-14 2.5.2 Water Accord 1991 2-15 2.6 EIA Requirements of Potential Financing Institutions 2-15 2.6.1 The World Bank 2-15 2.6.2 The Asian Development Bank 2-16 2.6.3 Other International Procedures for Environmental

Assessment of Dams 2-17 2.7 Implications for the Proposed Project 2-17 3. PROJECT DESCRIPTION 3.1 Project Context 3-1 3.1.1 Electric Power Generation Capacity and Demand in Pakistan 3-1 3.1.2 Fuel Sources for Electricity Generation 3-2 3.2 The Need for the Dasu Project 3-3 3.3 Generation Costs of Hydropower in Pakistan 3-4 3.4 Utilization Factor for Hydropower Generation in Pakistan 3-4 3.5 Future Hydropower Development in Pakistan 3-5 3.6 Project Features of Dasu 3-6 3.7 Schedule for Implementation of Dasu Project 3-6 4. PROJECT ALTERNATIVES 4.1 No Project Option 4-1

4.2 Technology Alternatives 4-2

4.2.1 Thermal Power 4-2 4.2.2 Nuclear Power 4-3

4.3 Alternative Hydro Power Development Projects 4-4 4.4 Dam Site Location Alternatives 4-4 4.4.1 Hydrological Considerations 4-5 4.4.2 Geological and Geotechnical Consideration 4-5 4.4.3 Seismic and Other Natural Hazards 4-6 4.4.4 Energy Production Considerations 4-6 4.4.5 Environmental Considerations 4-7

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4.5 Types of Dams 4-8 4.5.1 Comparison of Alternatives 4-8 4.5.2 Cost Considerations 4-9 4.5.3 Main Observations 4-9 4.6 Conclusions and Recommendations of the Comparative Dam

Location Analysis 4-10 5. PROJECT SCOPING AND PUBLIC CONSULTATION 5.1 Project Scoping 5-1 5.2 The Nature of Public Consultation 5-1 5.3 Results of Public Consultation to Date 5-1 5.3.1 Selection of Dam Axis Location 5-1 5.3.2 Consultation with Affected People 5-2 5.3.3 Discussion with Local Government Officials 5-2 5.3.4 Discussions with WAPDA’s Environment Cell (WEC) 5-2 5.3.5 Project Disclosure to Experts in Engineering Consultancy Companies 5-3 5.3.6 Project Disclosure to WWF Experts 5-3 5.3.7 Project Disclosure to Religious Groups (Imams at Dasu) 5-3 5.4 Future Public Consultation Requirements 5-4 5.5 Other Relevant Proposed Developments 5-4 6. EXISTING ENVIRONMENTAL BASELINE SITUATION,

CONSTRAINTS AND NEEDS 6.1 General 6-1 6.1.1 Purpose of Baseline Study 6-1 6.1.2 Methodology 6-1 6.2 Natural Physical Environment 6-2 6.2.1 Climatological Parameters 6-2 6.2.2 Environmental Monitoring 6-2 6.3 Land Use 6-4 6.4 Natural Biological Environment 6-4 6.4.1 Terrestrial Ecology 6-4 6.4.2 Aquatic Ecology 6-4 6.5 Geology 6-5 6.5.1 Upper Reach Geology 6-5 6.5.2 Lower Reach Geology 6-5 6.5.3 Rock Mass Properties 6-5 6.6 Hydrology 6-5 6.7 Natural Environmental Risks and Hazards 6-6 6.7.1 Seismic Activity 6-6

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6.7.2 Kara Kurram Highway (KKH) 6-7 6.8 Socio-economic Environment 6-8 6.9 Consultations 6-9 6.10 Impacts 6-9 6.10.1 Infrastructure Submergence 6-9 6.10.2 Suspension Bridges Across Indus River 6-9 6.10.3 Petroglyphs 6-9 6.10.4 During Construction Impacts 6-9

6.11 Compensation and Resettlement 6-9 6.12 Environmental Constraints 6-10 6.12.1 Indus River Flows 6-10 6.12.2 Seismic Risk 6-10 6.12.3 Landslides 6-10 6.12.4 Political Stability and Security 6-11 6.12.5 Land Acquisition 6-11 6.12.6 Access 6-11 6.12.7 External Environmental Constraints 6-12 6.13 Existing Human Needs in the Project Area 6-12 6.13.1 Provision of Safe Domestic Water Supply, Sanitation

and Health Education 6-12 6.13.2 Improved Nutrition 6-12 6.13.3 Improved Education Provision 6-13 6.13.4 Increased Opportunities for Cash Income Generation 6-13 6.13.5 Electricity Provision 6-13 7. IMPACT IDENTIFICATION, QUANTIFICATION AND CATEGORIZATION 7.1 Environmental Scoping Methodology 7-1 7.2 Delineation of Boundaries of Possible Impact Areas 7-1 7.3 Positive Impacts 7-1

7.3.1 Electricity Generation 7-1 7.3.2 Job Opportunities 7-2 7.3.3 Water Management 7-2 7.3.4 Surface Water Quality and Amenity 7-2 7.3.5 Upgrading of the KKH 7-3 7.3.6 Local Vegetation and Livestock 7-3 7.3.7 Aquatic Life 7-3 7.3.8 Improvement in Socio-Economic Conditions 7-3 7.3.9 Provision of Public Amenities 7-3 7.3.10 Recreation and Tourism Development 7-4 7.4 Adverse Impacts during the Pre-Construction Phase 7-4 7.4.1 Land Acquisition and Resettlement 7-4 7.4.2 Loss of Private, Community and Government Owned Infrastructure 7-5 7.4.3 Loss of Trees, Vegetation, Agricultural and Grazing Areas 7-5

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7.4.4 Submergence of KKH 7-5 7.4.5 Valuation of Lost Assets 7-5 7.5 Adverse Impacts during the Construction Phase 7-6 7.5.1 Physical Environment 7-6 7.5.2 Site for Construction Camps 7-7 7.5.3 Storage of Construction and Excavated Material 7-7 7.5.4 Liquid and Solid Waste from Construction Camps 7-8 7.5.5 Material Quarries and Borrow Pits 7-8 7.5.6 Surface Water Quality 7-9 7.5.7 Ecological Environment 7-9 7.5.8 Socio-economic Environment 7-10 7.5.9 Summary of Impacts during the Construction Phase 7-11 7.6 Adverse Impacts during the Operational Phase 7-12

7.6.1 Physical Environment 7-12 7.6.2 Ecological Environment 7-13 7.6.3 Socio-Economic Environment 7-15 7.6.4 Summary of Impacts during the Operational Phase 7-15

7.7 Quantification of Significant Impacts 7-16 7.8 Valuation of Significant Impacts 7-16 7.9 External Impacts and Constraints 7-17 7.10 Cumulative Impacts and Constraints 7-17 8. IMPACT MITIGATION AND REMEDIAL MEASURES 8.1 Pre-Construction Stage 8-1 8.1.1 Land Acquisition, Compensation and Resettlement 8-1 8.1.2 Submergence of the KKH 8-2 8.1.3 Access for Local People 8-2 8.1.4 Petroglyphs (Rock Carvings) 8-3 8.2 Construction Stage 8-3 8.2.1 The Natural Physical Environment 8-3 8.2.2 The Natural Ecological Environment 8-5 8.2.3 The Socio-Economic Environment 8-6 8.3 Operational Stage 8-7 8.3.1 Natural Physical Environment 8-7 8.3.2 Sedimentation 8-7 8.3.3 Green House Gas Emissions 8-8 8.3.4 Natural Ecological Environment 8-8 8.3.5 Socio-Economic Environment 8-9 9. ENVIRONMENTAL MANAGEMENT AND MONITORING PLAN

9.1 Objectives of Environmental Management and Monitoring 9-1 9.2 Mitigation Management Matrix 9-1 9.3 Identification of Mitigation Measures for Significant Adverse Impacts 9-2

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9.4 Identification of Environmental Enhancement Measures 9-2 9.5 Management of Direct Construction Impacts 9-3 9.6 Site Restoration Plan 9-3 9.7 Reservoir Management Plan 9-4 9.8 Impact Monitoring Program 9-4 9.8.1 Objectives of the Impact Monitoring Plan 9-4 9.8.2 Monitoring Strategy 9-5

9.8.3 Monitoring Parameters and Frequency 9-6 9.8.4 Post Construction Monitoring of Direct Construction Impacts 9-7 9.9 Environmental Risk Management 9-8 9.9.1 Dam Safety 9-8 9.10 Institutional Arrangements for the Project and Implementing the EMMP 9-9 9.10.1 The Key Players 9-9 9.10.2 The Project Proponent (WAPDA) 9-9 9.10.3 Project Contractor 9-10 9.10.4 Supervisory Consultant 9-10 9.10.5 The Environmental Protection Agency (EPA) 9-11 9.10.6 Local Government 9-12 9.10.7 District Government of NWFP 9-12 9.10.8 Northern Areas 9-13 9.10.9 Non-government Organizations (NGOs) 9-14 9.10.10 Suggested Institutional Arrangements for the Implementation of EMMP 9-14 9.11 Change Management Plan 9-14 9.12 Environmental Performance Auditing 9-15 9.13 Training Requirements for Environmental Management 9-15 9.14 Environmental Management Communication and Documentation Requirements 9-15

9.14.1 Kick-Off Meeting 9-15 9.14.2 Meetings and Reports 9-15 9.14.3 Document Control for Environmental Management 9-17 9.15 Auditing 9-17 9.15.1 Social Protocols – Health Safety & Environmental 9-17 9.15.2 Project Implementation Schedule 9-17 9.16 Follow on and Additional Suggested Environmental Studies 9-17 9.17 Environmental Costs 9-18 9.17.1 Compensation and Mitigation Costs 9-18 9.17.2 Environmental Monitoring Cost 9-18 9.17.3 Training Cost 9-19 9.18 Residual Adverse Impacts 9-19

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10. CONCLUSIONS, RECOMMENDATIONS AND FUTURE ENVIRONMENTAL MANAGEMENT WORK PROGRAM

10.1 Conclusions 10-1 10.1.1 Positive Impacts 10-1 10.1.2 Adverse Impacts and Mitigation 10-1 10.1.3 Overall Conclusions 10-4 10.2 Recommendations 10-6 10.3 Future Environmental Management Program 10-6 APPENDICES (In Separate Binding) Appendix–A Socio – Economic Environment Report Appendix–B Project Impacts, Resettlement and Mitigation Measures Appendix–C Aquatic Ecology Appendix–D Terrestrial Ecology Appendix–E Rehabilitation of River Crossings in the Project Area Appendix–F Petroglyphs in the Project Area Appendix–G SUPARCO Water, Air and Noise Quality Data

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LIST OF ENVIRONMENTAL STUDY TEAM

Sr. No. Name Position Held Qualifications

1 M. Saleem Sheikh

Project Manager B.Sc. (Civil Engg.-1968), M.Sc. (Geotech-1986), Registered Engineer Pakistan Engg.Council (Civ-265), Member I.E. (Pak.), Member Pakistan Engg. Congress, Member ASCE, Experience 40 years.

2 Alan Bird Expatriate Chief Environmental Engineering and Resettlement Issues

PhD Thesis on EIA passed subject to minor corrections in 2001, BA (Hons) Geography with Economics 1979, Fellow Royal Geographical Society 1983, Chartered Engineering Surveyor (Inst CES) 1983, 36 years experience, nearly all in Asia and Africa

3 Zafar Iqbal Chaudry

Chief Environmental Engineering and Resettlement Issues

B.Sc.1961, B.E.(civil)-1965, M.E.(Water Science & Engineering-AIT Bangkok)-1970, MIE- Pak, Life Affiliate Member ASCE, Registered Engineer Pakistan Engineering council ( Civil/4344),Experience 42 years

4 Mohammad Aslam Malik

Environmentalist and Resettlement Expert

B.Sc. 1963, M.Sc.(Agriculture) 1966, Short Training at California- USA. Experience 41 years (local & overseas)

5 Dr.Nazir Bhatti

Aquatic Ecologist M.Sc., Ph.D. Eminent /Researcher & Educationist. Ex Director General Fisheries –Punjab

6 Mohammad Atta Ullah Rana

Terrestrial Ecologist B.Sc. (Agriculture), M.Sc. (Forestry), Post Grag. Degree Remote Sensing (Holland), Post Grad. Dip. (i)Agriculture Extension & Sociology (ii) Training of Trainers in Natural Resources (USA), 39 years experience with Forestry Department.

7 Qayyem Awan

Senior Socioeconomist M.A. (Economics) 1979; Post Graduate Diploma in Demography 1991. Experience 25 years.

8 Muhammad Shariq Ahmed

Senior Environmental Engineer

B.Sc. (Civil) 1996; M.Sc. (Environmental Engineering) 2001; M.Sc. (Software Engineering) 2007; Member PEC (civil/17692); Member Institute of Engineers; Experience 11years.

9 Imran Zafar GIS Expert B.Sc. (Space Science); M.Sc. (space science +GIS); Experience 3 ½ years.

10 Mohammad Pasha

AutoCAD Operator Diploma in Drafting & Designing (3 years); Experience 30 years.

11 Noor Mehmood

Assistant Environmental Sociologist

M.A.

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ENVIRONMENTAL IMPACT ASSESSMENT AND RESETTLEMENT ASPECTS SUMMARY S.1 Introduction The aim of the proposed Dasu Hydropower Project is to construct a 233 m high dam on the river Indus for the purposes of generating hydropower. The designed installed generation capacity is 4,320MW. The reservoir would cover a maximum area of 2,600ha and the project would be operated on a “run of river” basis. The operational requirements to meet daily peak demand will result in large daily fluctuations in the reservoir level and extent. More details of the design of the proposed project are given in Section 3 of the main EIA report and summarised below. See Figures 1.1 to 1.3 for the project location. This Environmental Impact Assessment has been carried out at the Feasibility Stage of the project. There are a set of supporting study reports which are Appendices to the EIA report, giving the detailed results of specialist studies into specific issues. These include aquatic and terrestrial ecology, socio-economics, petroglyphs (ancient rock carvings), access provision in the area and resettlement requirements. The Environmental Impact Assessment (EIA) for the proposed project covers both the natural environmental and the human use of these resources, their interaction and how this relationship is likely to change as a result of the construction and operation of the Dasu dam. Environmental assessment and management is a continuous inter-active process throughout the planning, construction and operation of the project. The key objective is to identify potential adverse impacts of the project early on in the planning process and to try and avoid these, and where this is not possible then to minimise and mitigate for them. The guiding principle is that nobody is to be made worse off as a result of the project and any adverse impacts are to be fully mitigated for with the provision of equivalent replacement assets that have been lost. In addition, adequate steps are to be taken to ensure that economic livelihoods are to be sustained at least to the level that they were before the project construction commenced. Additional environmental enhancements are also to be considered and the potential benefits of the project are to be maximised by appropriate planning and implementation. The methodology used for the EIA follows standard international best practice, with the drawing up of a scoping environmental checklist and the production of a comparative matrix. The reporting follows the standard structure of international funding agencies and also the procedures of the Pakistan regulatory authorities for EIA. There is a requirement for the work to be carried out in a participatory manner with public consultation. Section 5 of the EIA report outlines how this has been carried out and the main points are summarised below. S.2 Legal and Institutional Framework for Environmental Assessment Section 2 of the EIA report outlines the legal requirements and institutional framework that are in place for environmental assessment in both Pakistan and internationally and are applicable to a proposed intervention such as the Dasu Hydropower Project. The key institutions involved in the project are identified, the Project Proponent being WAPDA. The proposed project requires a full EIA to be carried out as it is classified in the most problematic category, being a large dam causing involuntary resettlement of some 3,670 people. The situation with regard to trans-boundary rivers is also outlined, including the provisions of the Indus Water Treaty of 1960. The procedures for dealing with any protected areas, threatened species and indigenous people are also outlined, as the existence of any of these can invoke special environmental clearance requirements. The

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onus is on the project proponent to demonstrate if these issues are likely to arise with the proposed project or not. S.3 Description of the Project Section 3 of the EIA report gives a description of the proposed project and its environmental justification. The need for additional power generation in Pakistan is paramount, with the present installed capacity in the country being insufficient to even supply base load, resulting in extensive load-shedding which is holding back economic development of the country. The proposed project would have a generating capacity of 4,320 MW of hydropower in an environmentally sound and sustainable way, using a naturally renewable resource in a non consumptive manner and producing no emissions. Dasu Hydropower Project is planned to be constructed after the upstream dam at Diamer Basha is completed with a large reservoir, which will hold the river sediments and allow Dasu to operate as a run of river scheme. The detailed layout of the proposed dam and hydropower station that has been subject to a feasibility study is given in Figure 3.2. The plan of the proposed project has gone through a process of development during the feasibility stage, considering the environmental consequences of alternative dam sites. These alternatives are discussed in Section 4 of the EIA report and are summarised below. The optimised plan that has been taken for feasibility study is for a dam with a full reservoir level of 950masl which stretches upstream to the toe of the Diamer Basha dam. For land acquisition purposes a further 7m has been added to cover for flood surcharge and freeboard. The area of the reservoir up to 957masl is 2,606ha (6,439 acres) and a restriction on the construction of new infrastructure would need to be made on all land up to the level of 960masl. There would also be a need for some permanent and limited temporary land acquisition and downstream of the damsite, where the tailrace discharges back into the river. S.4 Project Alternatives The project planning process carried out during the feasibility study has taken into consideration the environmental consequences of alternative dam sites and has resulted in significant changes in the pre-feasibility plans particularly in respect of location of the dam axis, which avoid potential adverse impacts for no loss in overall installed generation capacity. The EIA has also looked at wider strategic planning alternatives, including the consequences of not building the proposed project. The power availability situation in the country is already critical with long periods of load-shedding that is causing serious economic and social problems across the country. WAPDA has already been forced to expand power generation from the burning of fossil fuels which is environmentally damaging, due to the emissions produced, and is also unsustainable. Added to this is the fact that much of the fuel has to be imported. The EIA report reviews the current electricity supply situation and demand predictions, along with the alternatives for increasing supply (including nuclear power generation) and managing demand. It is clear that well managed hydropower is environmentally the least damaging and most sustainable power generation option for the country and also has by far the lowest operating cost. The comparative environmental implications of three alternative dam axis locations were also considered, in detail. The use of Axis 5 (the different axis locations are given in Figure 3.1) had clear environmental advantages over the downstream site at Axis 2. These included reducing the number of people who would need to be resettled by almost half and negating the need for remote resettlement. Local opposition to a dam at Axis 2

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was intense and during the consultation process it was apparent that constructing a dam at Axis 2 would be highly problematic from a social perspective, especially when it became clear that a dam at Axis 5 could produce as much generation capacity, even if the construction cost are estimated to be slightly higher. The comparative environmental implications of different types of dam construction and layouts of tunnels, tailrace outfall location, power house sitting (surface or underground) and diversion arrangements during construction were also considered and are discussed in Section 4 of the EIA report. S.5 Project Scoping and Public Consultation There is a legal requirement for public consultation in the EIA process as outlined in the regulatory framework for Pakistan and also according to the policy directives of funding agencies. As part of the EIA fieldwork, extensive consultation has taken place with a wide range of interested parties, including local people and local government institutions. The range and nature of consultation that has been carried out is outlined in Section 5 of the EIA report. As explained in the discussion of project alternatives, the selection of the dam axis location was greatly influenced by the need to reduce the number of people who would be displaced. Of particular concern was to address the wishes of local people to avoid flooding out the settlement of Seo and also a historically important mosque in Seo. This has been achieved by changes in the configuration of the design of the project for no loss in installed power generation capacity. S.6 Baseline Environmental Conditions From the perspective of EIA the baseline conditions for the Dasu project are not straight forward. The design of the Dasu Hydropower Project is based on the condition that the dam at Diamer Basha is constructed before that at Dasu. This creates the situation where the present environmental conditions in the Dasu project area will be significantly modified by the construction of the dam at Diamer Basha. The environmental impacts of the construction and operation of the dam at Diamer Basha have already been studied and an EIA report has been produced. The Diamer Basha EIA work identifies key adverse impacts and gives appropriate mitigation measures. The environmental conditions during the operational stage of the Diamer Basha dam will be the baseline conditions for the Dasu project. The baseline environmental conditions in the Dasu project area are given in detail in the EIA Technical Memos, covering terrestrial and aquatic ecology, socio-economics and the issue of the petroglyphs. A summary of the environmental conditions is given in Section 6.1 of the EIA report. The key environmental issues that act as constraints to the design and operation of the Dasu Hydropower Project have been identified and are outlined in Section 6.2 of the EIA report and are summarised below: - Modifications in river flow as a result of changes in snow and glacier melt in the

upstream catchment (including those caused by climate change) have impact on Dasu project. It must be remembered that temperature is the key parameter in determining river flow, rather than rainfall. The operation of Diamer Basha reservoir is critical to the design of Dasu as Dasu has very little storage and is designed to operate on a daily cycle to generate electricity.

- The present sediment inflows at Dasu will be dramatically reduced when the Diamer Basha dam is completed. The remaining source of sediment flow into the Dasu reservoir will then be the side streams directly flowing into it, which currently are a very small proportion of the total sediment load. The design of Dasu dam has taken into consideration the possibility that after 40 years sediment flushing

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may be undertaken at Diamer Basha on annual basis. In such a situation flushing of the sediments would be necessary for the Dasu dam.

- The Dasu dam site is in an area of high seismic risk and the dam has been designed following the international requirements for such situations. Associated with this existing environmental risk from landslides, particularly any that would fall directly into the reservoir has been considered in the feasibility study.

- There is a pre-requisite to have a stable administration and security situation in the project area.

- The road access in the area, including the need to realign and upgrade the KKH is a constraint to the construction of both Diamer Basha and Dasu dams. A program for upgrading the KKH for Diamer Basha is already underway, taking into consideration the need for adequate clearances (vertical as well as width), radius of bends, gradient and weight loading. A similar exercise will be needed for the parts of the KKH that remain below 957masl within the proposed Dasu reservoir area.

- As part of the public consultation work for the EIA the existing needs of local people have been considered, irrespective of the mitigation measures that may be required for any predicted adverse impacts that may be caused by construction and operation of the proposed dam at Dasu. These include provision of basic services such as safe water supply, sanitation, health care (including improved nutrition for women) and education, along with electricity and road access. Another key issue is the very low level of household cash incomes in the area and the need to provide appropriate opportunities to address this.

S.7 Impact Identification, Quantification and Valuation The EIA process has identified the main positive and adverse impacts that will be created by the construction of the Dasu Hydropower Project. The identified impacts are outlined in Section 7 of the EIA report, with the adverse impacts discussed by the time at which they are likely to occur related to the project implementation program. The main positive impacts are the generation capacity of 4,320MW of hydropower in an environmentally sound and sustainable manner without the consumptive use of the waters of the Indus river. This is the least environmentally damaging option for power generation in the country, the alternatives being fossil fuel burning or nuclear power. The main adverse impacts centre on the need to permanently acquire 2,600ha of land in the dam site and reservoir area. These are listed in Table 7.1 of the EIA Report and include the following: - An estimated 3,670 people in 417 households will have their houses flooded.

Fortunately the economic livelihoods of nearly all of these are currently dependent upon using resources that lie outside the proposed reservoir area. In addition 34ha (84 acres) of cultivated land, 21ha (51acres) of grazing land, 20,000 trees, 15 mosques, three graveyards, three schools and one hospital, along with existing water supply, sanitation, electric power and telephone services will be lost. Thirty commercial businesses will also have their premises flooded, including shops, hotels, restaurants and timber stores.

- An estimated 46 km of the KKH lie below the 957masl limit of land acquisition, out of a total length of 75 km passing from the Dasu Dam site to the Diamer Basha dam site. The existing road network on the right bank of the reservoir will also be adversely impacted and the links to the left bank and the KKH will be cut.

These losses have been quantified and where possible valued, using equivalent replacement costs. These are given in Table 7.3 in the EIA report. The total resettlement

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and environmental costs have been estimated as Rs.11 billion (US$ 163.4 million). These costs are about 3% of the total estimated project cost. The percentage is relatively low for a large scale hydropower project. Direct construction impacts are also identified and discussed in Section 7 of the EIA report, along with external and possible cumulative impacts and constraints. The need for a basin wide strategic planning perspective has been identified, including a Strategic Environmental Assessment (SEA), irrespective of the proposed Dasu project. On the periphery of the Dasu reservoir, a cluster of 46 petroglyphs (rock carvings) of international importance to Buddhists lie on the right bank of Indus River. Leveling survey has been conducted in order to ascertain the level of the Petoglyphs and it has been found that the Petroglyphs are located above elevation 960 m. since the full supply level of the Dasu reservoir is 950 m, the Petroglyphs will not be inundated. Even during flood routing through Dasu reservoir, the Petroglyphs will not be affected. Rather the proposed reservoir will add to the beauty and grandeur of these Petroglyphs by providing an environment with a beautiful water body adjacent and in a background of this location. Consequently it will have a positive impact and encourage tourism. S.8 Impact Mitigation, Remedial and Enhancement Measures The underlying principle of impact mitigation is that adverse impacts should be avoided where possible by changes in the proposed design, method of construction and project operation. Where it is not possible to avoid adverse impacts then they should be minimised and steps taken to ensure that, at the minimum, nobody will be worse off as a result of the project. The basis of this is payment of cash compensation for lost immovable assets and/or provision of equivalent replacements, including steps to ensure that economic livelihoods are not reduced. For the project this includes the following steps: - The loss of houses for some 417 households comprising an estimated 3,670

people is to be compensated for by payment of cash and/or replacement provision. The designs for new housing should be earthquake resistant. The replacement will include water and sanitation facilities and electricity supply, along with allowances for disturbance due to relocation and also a livelihood allowance for three months.

- The loss of 34ha (84 acres) of agricultural land with any standing crops on it is to be compensated for in cash and/or replacement land and also with an agricultural enhancement program.

- The loss of 21ha (51 acres) of grazing land is to be compensated for in cash along with the provision of a livestock enhancement program with a fodder component.

- The loss of 20,000 trees is to be compensated for in cash along with a phased targeted replanting program for 80,000 replacement fruit, fuel-wood and fodder trees.

- The loss of existing commercial activities, including timber stores, shops, hotels and restaurants, is to be compensated for in cash and also a relocation program.

- The loss of public and communal infrastructure, including mosques, graveyards, schools and a hospital along with electricity and telephone lines, bridges and roads is to be compensated for by provision of appropriate replacements.

- The KKH will be realigned to higher level as required.

In addition to satisfying the requirement to provide minimum replacement assets to those lost, the following key enhancement programs are proposed:

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- Provision of safe domestic water supply, sanitation facilities and electricity supplies for all households in the area.

- Provision of adequate health facilities, including a public health education program.

- Provision of adequate education facilities (specifically more and better quality staff for primary schools and construction of more residential hostels for secondary schools), including adult education and vocational training.

- Enhancement of the road transport system to include an interconnecting network to the right bank (see Appendix E for specific details).

- Economic livelihood promotion programs (with women as specific targets) having components to address the following issues:

- Tree planting, specifically seedling nurseries for fruit, fuel-wood and fodder trees. - Horticulture demonstration farms and a potato promotion program. - Livestock development program, particularly for poultry. - Fisheries development, both immediately downstream of the dam and also in the

reservoir. - Wood production and craft industry using local materials. - Micro credit provision and also money management advice aimed specifically for

households receiving cash compensation. - Development program for promoting the tourist and recreational potential of the

reservoir and the surrounding area. Details of the proposed measures are given in Section 8 of the EIA report, split by the timing of provision in relation to project activities. The quantities and costs of these mitigation, remedial and enhancement measures are given in Table 7.3 of the EIA Report. In addition environmental monitoring and management requirements for direct construction impacts are also outlined. S.9 Environmental Management and Monitoring Plan The outline for an Environmental Management and Monitoring Plan (EMMP) for the project is given in Section 9 of the EIA report. The main objectives of the EMMP are to: - Provide a summary of project impacts, along with the proposed mitigation and

enhancement measures and draw up an appropriate implementation schedule to address these using a Mitigation Management Matrix (MMM). A preliminary MMM is given as Table 9.1 of the EIA Report.

- Define the roles and responsibilities for environmental management for the project stakeholders, including the Project Proponent (WAPDA), Contractor, Supervisory Consultants and other key players.

- Identify the training requirements needed for the key players in order for them to effectively implement the EMMP.

- Provide a mechanism, in the form of an environmental monitoring program, which outlines the key parameters (for both the natural and social environment) that will need to be monitored and the frequency that this shall be carried out. The objective is to ensure that the mitigation measures are being effective in keeping environmental conditions within the prescribed limits and if they are not, then to make sure that there is an effective response mechanism in place that allows corrective action to be implemented.

The EMMP will identify what requires to be carried out by whom and when and also outline the resources and cost requirements for its implementation, along with the institutional arrangements needed to achieve this.

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The full EMMP will only be drawn up once a decision is taken to go ahead with the project. The first step will be to draw up a Resettlement Action Plan (RAP) following a detailed inventory of lost assets. The EMMP will also include a Reservoir Management Plan, a key part of which will be the need, or not, to clear vegetation in the flooded area prior to its impounding, along with the need for any upstream catchment management activities. An environmental risk analysis will also be carried out and a Site Restoration Plan will also be drawn up at an appropriate time. The nature of the Environmental Performance Audit will also be outlined, along with the system for document handling. The implementation schedule for the project is yet to be fixed, however an outline program has been drawn up (see Table 3.3 of the EIA Report) which gives the sequence of events and the time that this will take from a fixed starting point. S.10 Conclusions The EIA work for the proposed Dasu Hydropower Project has followed the requirements for the Pakistan EPA that classify it as a Schedule A Project, being a large dam that causes involuntary resettlement. The proposed project would also be both a World Bank and ADB Category A project requiring a full EIA. The Dasu project is not a consumptive user of water, being designed for run of river operation with no abstraction. However the operation would be influenced by the needs for hydropower generation and downstream water requirements at Tarbela dam and also the operation of the proposed Diamer Basha dam upstream. The Indus is a trans-boundary river and the legal arrangements for management and development of its resources are covered by the Indus Water Treaty of 1960 with India and within Pakistan by the Water Accord of 1991. The procedures for cross border agreement are already in place and would be followed for construction of the proposed dam at Diamer Basha before the Dasu project was started. There are no environmentally sensitive or protected areas impacted by the Dasu project and there are also no threatened species in the area. There are 46 petroglyphs (Buddhist rock carvings) of international importance on the periphery of the Dasu reservoir. These have been studied and a report has been produced (see Appendix F). The Petroglyphs are located above the reservoir impounding level and will not be inundated. The people living in the impacted area are tribal, like most of those in the wider area. By following the legally required procedures for land acquisition, compensation and resettlement along with enhancement measures, they should not be unfairly discriminated against. The main overall conclusion of the environmental assessment of the proposed Dasu Hydropower Project is that, for a dam located at Axis 5 with a crest level of 957masl, there are no significant adverse environmental impacts that can not be adequately managed by implementing the appropriate mitigation measures that have been identified and incorporated into the outline environmental management plan for the project. The predicted adverse impacts of construction of the project, whilst not insignificant, can be adequately addressed to ensure that no one is worse off as a result of the project, provided that the project is well managed and adequately resourced in a timely manner. With a well managed project there should be no residual adverse impacts and with care it should be possible to achieve significant enhancements for the impacted communities. The project will have an installed generating capacity 4,320MW to produce electricity in an environmentally sound and sustainable manner reducing the need to burn non renewable fossil fuels that cause greenhouse emissions. This will also reduce the need to import fuels, the price of which can only increase as they become depleted.

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The main environmental risks to the proposed project are the consequences of seismic activity, both on the integrity of the dam and also landslides that could be triggered into the reservoir or the catchment area downstream of the proposed Diamer Basha dam. The Dasu dam has been designed to the appropriate international standards to cope with such events. The consequences of a serious seismic event have been considered in the design. The consequences of the occurrence of glacial outflows and landslides upstream of the Diamer Basha dam site have been studied and taken into consideration in the design of the Diamer Basha dam. The initial increase in total river flows as ice stored in the upper catchment melts at a faster rate due to climate change will be a benefit to hydropower generation on the Indus river. However these initial increased flows are likely to fall once the amount of ice and snow storage volume in the upper catchment decreases, again due to climate change. There is little firm data on these trends at the moment and there is a need to monitor the situation closely. The sedimentation rate into Diamer Basha reservoir is predicted to start causing significant loss of live storage some 40 years after first filling. If well managed, then the Dasu dam hydropower project is environmentally beneficial, especially when compared to the possible alternatives for power generation and the do nothing situation. Well planned and implemented hydropower is a renewable energy source and has no adverse environmental emissions. The proposed Dasu Hydropower Project has highly significant environmental advantages over fossil fuel burning power stations and nuclear power generation. The delay in implementing hydropower projects in Pakistan has already led to severe power shortages and the need to resort to a fast track program of fossil fuel powered generation facilities that rely on expensive imported fuels or coal. Such facilities use non renewable energy sources that emit greenhouse gases. Nuclear power generation is environmentally highly problematic due to risk levels and the current inability to solve the waste management problem in an environmentally sustainable manner. The real costs of nuclear power generation, when all the costs are included, are very high. The proposed configuration and design of the Dasu Hydropower Project is developed with the condition that the dam at Diamer Basha is constructed first and provides the managed flows for run of river hydropower generation at Dasu. In order to gain the environmental advantages of Dasu, the implementation of Diamer Basha project needs to be closely monitored so that lessons can be learnt from it and incorporated into the design and implementation program for Dasu. This includes all environmental aspects in the widest possible sense. S.11 Recommendations As there are no significant predicted adverse environmental impacts that can not be adequately mitigated and the alternative possibilities for major power generation are more environmentally problematic, the Dasu Hydropower project should be implemented as planned with a dam located at Axis 5 and a crest level of 957masl with full reservoir level of 950masl. However as the implementation of the Dasu project will succeed that of the dam at Diamer Basha, it is strongly recommended that the Basha project be closely monitored so that any issues that may arise can be identified and the implications, if any, for the Dasu project can be considered.

It would be wise at this stage to consider carrying out an independent strategic environmental assessment of all of the proposed water related developments within the main Indus river system to ensure that the cumulative impacts of all the proposed interventions are considered in an integrated manner. Such a strategic environmental assessment would need to be carried out within the framework of a wider integrated

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catchment management planning process and also consider cross sector resource use, particularly power generation and irrigated agriculture. The recommended steps that are required to plan and implement the Dasu project in an environmentally sound and sustainable manner are indicated below and are the basis of the proposed environmental management plan for the project. S.12 Future Environmental Management Program An outline Environmental Management and Monitoring Plan has been developed that will provide an action plan, along with the roles and responsibilities for all the players in the implementation process. This includes budget allocations and the resources required to mitigate adverse environmental impacts, to provide targeted environmental enhancements for impacted communities and also to establish and manage an appropriate environmental monitoring plan to ensure compliance with the current regulatory framework. The plan identifies which actions need to be carried out in what sequence based upon the proposed construction program and the relevant legal requirements, particularly for land acquisition. The key steps are: - Further develop and continue the public information and consultation program for

the project, including that with other government departments, particularly the EPA.

- Continue the regular baseline monitoring at Dasu and the immediate upstream area for water flow, water quality and noise.

- Ensure that the responsible institution within WAPDA regularly monitors the extent and depth of snow and ice in the upper catchment so that seasonal patterns can be identified and also trends over the long term period can be seen.

- Monitor the progress of the Diamer Basha project, including the rebuilding of the KKH and the power transmission arrangements.

- Once a decision is taken that the government wishes to go ahead with the Dasu project then an updated environmental assessment should produced and submitted to the EPA for review with a request for the granting of a no objection certificate.

- Once a firm decision is taken to go ahead with the Dasu project then the 957m contour should be physically demarcated in the field and a cut off date should be agreed after which no new immovable assets should be constructed in the area.

- A detailed enumeration of lost assets should be carried out and a Resettlement Action Plan (RAP) prepared.

- Individual new house locations should be identified in a collaborative process with the households who will lose their homes.

- Compensate and ensure that equivalent and adequate replacement housing is in place before the land is required for construction. This may be in a phased program depending upon the construction program.

- Monitor the livelihoods of the people in the area and take any corrective action that may be required to ensure that they will not be worse off as a result of the project.

More details have been given in Section 9 of the EIA report. The key environmental studies that will need to be carried out at later stages are: - Updating of the EIA at the Detail Design Stage.

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- Submission of the EIA to the EPA for gaining the necessary environmental clearance. - Preparation of the Land Acquisition and Resettlement Action Plan (LARAP). - EIA of the proposed Transmission Line. - EIA of the proposed Grid Station. - EIA of the rebuilt KKH, including land acquisition, relocation and rehabilitation. - Full Feasibility Study for the reconstruction of communication bridges across the

Indus River in the proposed Dasu reservoir area. An initial study has already been carried out and the results are given in Appendix E.

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1. INTRODUCTION 1.1 Introduction Dasu Hydropower Project (DHP) is proposed run of the river power project on Indus River. Water and Power Development Authority (WAPDA) is the proponent of the Project on behalf of Government of Pakistan. This project forms the part of WAPDA’s vision-2025 program. The aim of vision 2025 is to improve hydropower generation capacity, the revival of the country’s economy and above all meet the future needs of Indus Basin Irrigation System. The DHP is proposed to be located on Indus River, about 8 km upstream of Dasu Bridge near Dasu town, in Kohistan District of NWFP, Pakistan. Geographically it is located at E3215359.95, N1238016.47; which is 73.6 Km down stream of Diamer-Basha Dam Project measured along the river (Figures 1.1 to 1.3). The Dasu damsite is a mountainous region. The Project site is accessible from Islamabad by GT Road and Kara Kurram Highway (KKH) via Abbotabad- Mansehra-Besham-Pattan- Dasu. There is no rail link or airport to Dasu. River transport does not exist. The Project area is classified as high risk zone for earthquake. MONENCO carried out Inventory and Ranking Study- 1984 for WAPDA. DHP was identified as run of the river power project on Indus River 79 km down stream of proposed Basha Dam Project (renamed as Diamer Basha Dam Project). A 235m high concrete faced embankment dam having ability to produce 2700 MW power was envisaged, few kilometers up stream of Dasu Town. The Dasu Hydropower Project Consultant – A Joint Venture, was awarded contract to advance the conceptual proposal by MONENCO to a full feasibility report. 1.2 Structure of Report The feasibility report of DHP consists of 13 volumes. This is 9th volume of feasibility report and covers the environmental and resettlement studies: including environmental laws and guidelines, baseline conditions of the project area, alternatives considered, environmental impacts, terrestrial ecology, aquatic ecology, mitigations actions required, socioeconomic issues, compensation required for the affected assets and resettlement issues of voluntary and involuntary resettlement. This volume shall form Environment Impact Assessment and Resettlement report and has been prepared to be stand alone document as far as possible and provide in depth information on environmental issues of the project. Effort has been made to prepare the report to meet the requirements of (a) Environmental Protection Agency in Pakistan, (b) the rule of Asian Development Bank and that of (c) World Bank. Some of the information used in preparing the EIA report is also from other volumes of the report and a number of studies made by other consultants as well. For the purpose of environmental study the DHP area has been defined as the area delimited by Dasu dam axis till Diamer Basha Dam axis in the north and contour El 957 m. Further downstream area bounded by the dam axis up to 1km at contour El 850m. 1.3 Project Classification for Level of Environmental Studies The DHP is classified as ‘large dam’ by Environment Protection Agency (EPA) of Pakistan guidelines and is classified category ‘A’ project by ADB & WB project classification (Table 1.1). As per guidelines of EPA procedures a large dam must have an in depth study of the Environment Impact Assessment (EIA) and identify the

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mitigation actions which should be included in planning and design of the project. Similarly ADB’s category A project must have an EIA done for it. This report has been prepared in light of EPA laws of Pakistan, ADB and WB rules. These laws and rules require studying effects of the project on environment, socioeconomic conditions, cultural heritage, current use of land , people living in the area, ecology of the area (animals, birds, fauna & flora, agriculture , trees); houses, buildings and infrastructures such as bridges, roads, mosques, school and hospital etc. The identification and quantification of impact is required. When quantification can not be given then qualitative description of the impacts is stated.

Table 1.1 Project Classification for EIA Studies

No Authority Criteria Classification of

DHP Remarks

1

Environment Protection

Agency Pakistan.

Dam storage 50MM or Lake area 8Km

2

Or hydropower Capacity 50MW

Schedule A Projects: Large

Dam. EIA Necessary

Schedule A category; IEE-EIA

Regulation2000

2 Asian

Development Bank (ADB)

Category A: Significant adverse Impacts.

Category B: Limited adverse impacts

Class A. EIA necessary

Environment assessment guidelines

section V; OM20

3 World Bank

(WB)

Category A: diverse and significant

environmental impact. Category B: Have

limited specific impacts

Class A Project EIA is required.

OD 4.00

1.4 Impact Identification Tools This report provides details of impacts based on satellite imagery of 10th October 2005 interpretation using GIS software including field checks and updates. The resolution of satellite imagery was 0.6 meters. The time lapse between imagery date and the report date is about two years. Field checks have revealed small changes in physical infrastructure. New houses or buildings have been marked and counted. However the assessed quantities for trees have been increased by 5 ~10 % , where trees are young and less than 0.6m spread can not be seen, to arrive at final quantities to allow for any left over or unaccounted for item. During the field visits the study teams photographed various objects of relevant interest and used them in support of text in the feasibility report. The subject of these photographs was the description of environments (baseline state), Terrestrial Ecology, Aquatic Ecology, scoping sessions, social & cultural aspect, petroglyphs and information of general interest. Some pictures have date and time printed while other do not have this detail; for simple reason that different cameras were used. 1.5 Project Disclosure with Stakeholders EPA guide line stress the need to discuss the project with stake holders. The stake holders are: officials of NWFP ( in present case these are District Nazim, District Coordination Officer (DCO), Superintendent of Police (SP), District Forest officer (DFO), Executive Engineer Works & Services, District Agricultural officer, District Health Officer and Wildlife Officer), Political leaders, community leaders, bankers, teachers and people who will be directly affected by the project. Structured interviews were made during the feasibility study and analysis presented. The direct affectees of the Project shall be people who reside in the project area, and organizations such as Special Telecommunication Organization, PTDC motel, offices of Frontier Works Organization and police check post buildings. Religious mosques shall be affected.

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Project disclosure was also made to experts in consulting firms and NGOs. Project disclosure was made to religious leaders in Project area. 1.6 Resettlement Aspects The resettlement of the affectees has been dealt to the level necessary in the feasibility stage. The resettlement locations have been identified. These locations shall be developed to provide all necessary facilities such as drinking water, schools, drainage, mosques, market, access roads, electricity, telephone, development of agricultural land. Voluntary and involuntary resettlement are foreseen in the project. 1.7 Socio Economic Survey The Project’s social survey was conducted under restrictions imposed by the local District Management. These restrictions did not allow the interviewing of women even through lady enumerators. Therefore only male enumerators interviewed male residents using structured questionnaire. 1.8 Scope of Services The TOR defines the scope of the services. This has been elaborated in Inception Report and it’s up gradation as a result of comments from the WAPDA’s General Consultants and other organs of the WAPDA. The selection of dam axis, description of the project, baseline studies from secondary and primary data, fauna & flora, aquatic ecology, social survey establishing social baseline, identification of impacts and its quantification, mitigation action and its cost, resettlement matters, environmental monitoring plan and recommendations has been presented. 1.9 Approach Adopted for EIA Studies The full supply level (FSL) of the dam has been fixed by project planners as EL 950 m which shall provide the head necessary to run the turbines for producing designed electrical power. The flood surcharge head (5m) plus waves height (2m) add to 7 m to FSL. Thus dam crest level shall be 957m. Easement of 3 m has been adopted in relocation of KKH. The impacts have been estimated at level 957m. The impacts were studied using satellite imagery and ground truthing. The water quality was based on water sampling in Project area by WAPDA arranged laboratory (SUPARCO) for physical and chemical properties. The tree count has been done using following methods: Tree count from imagery showing all vegetation in red color due to infra-red photography. Each tree is identified, differentiated from shrub and marked with a dot which is counted sheet by sheet on imagery and then summed up to find total. Tree counting by determining the area of cluster of threes on imagery. Sampling in the field where clusters were found in reservoir area and physical count in 100ft×100ft areas. The noise level was measured at site by using noise level measurements and averaging them out. This aspect was arranged by WAPDA using reputable laboratory resource (SUPARCO). Data provided by WAPDA was incorporated. The air quality was measured at site by WAPDA’s arrangement using reputable

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laboratory resource (SUPARCO). Data provided by WAPDA was incorporated. The suspension bridges by physical count and satellite imagery. The covered area of buildings and numbers involved by satellite imagery. The PTDC motel from satellite imagery and cost estimate by PTDC, which was reviewed by Consultants and incorporated in estimate. KKH by SOP contoured maps, satellite imagery and data from KKH studies for relocation. Telephone line and power lines from satellite imagery and ground truthing. Agriculture land by satellite imagery. Agriculture output rate and unit price of sale by discussions with Agriculture Department and Forest Department at Dasu. The cost of trees as fire wood was estimated on guideline provided by Forest Department. The petroglyphs by levelling survey, counting boulders at site and preparing photographs and by reporting to WAPDA for onward report to Archaeology Department Government of Pakistan, Islamabad. The cost of construction from Works Department NWFP Dasu office for government buildings. The cost of land has been established by multiple discussions with Revenue department Dasu, Zari Tarakiati Bank Dasu, Social survey, and discussion with senior Government officials. The cost reflects market rates in 2nd half of 2007. 1.10 Makeup of EIA & Resettlement Report The report consists of the following two parts in separate bindings. Environmental Impact Assessment and Resettlement Aspects Section 1 Introduction Section 2 Regulatory Laws and the Institutional Framework for Environmental

Assessment Section 3 Project Description Section 4 Project Alternatives Section 5 Project Scoping and Public Consultation Section 6 Existing Environmental Baseline Situation, Constraints and Needs Section 7 Impact Identification, Quantification and Categorization Section 8 Impact Mitigation and Remedial Measures Section 9 Environmental Management and Monitoring Plan Section 10 Conclusions, Recommendations and Future Environmental Management

Work Program Annex –1 Photographic plates Annex –2 Contacts and Liaison Annex –3 Correspondence Relating to Dam Axis 2 and Seo Village Appendices to Environmental Impact Assessment and Resettlement Aspects Appendix–A Socio – Economic Environment Report Appendix–B Project Impacts, Resettlement and Mitigation Measures Appendix–C Aquatic Ecology Appendix–D Terrestrial Ecology Appendix–E Rehabilitation of River Crossings in the Project Area Appendix–F Petroglyphs in the Project Area Appendix–G SUPARCO Water, Air and Noise Quality Data

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2. REGULATORY LAWS AND THE INSTITUTIONAL FRAMEWORK FOR ENVIRONMENTAL ASSESSMENT

2.1 Introduction This section presents a synopsis of current national and international legislation, policies and guidelines which will have a bearing and relevance to the planning, design, implementation and operation of the Dasu Hydropower Project. The requirements of national and international policies, legislation and guiding principals have been considered whilst preparing this Environment Impact Assessment (EIA) and Resettlement Report. The existing government institutional arrangements for environmental management, including EIA, are described to enable an understanding of how the implementation mechanism of the various laws operates. The identification of the project proponent, along with its legal responsibilities and powers (remit) with regard to EIA are also described, specifically in the context of the requirements for environment protection and resettlement of people affected by the project. It should be noted that items within the regulatory framework (policy, laws, guidelines etc) are amended from time to time in the light of experience gained both locally and worldwide. It is important that the latest versions of regulatory instruments are followed at the time of Dasu project construction. 2.2 The Legal and Regulatory Framework for EIA in Pakistan 2.2.1 Policy Framework The main Federal Government policy documents that are directly applicable to the proposed project are the National Conservation Strategy, the Resettlement Policy and the Pakistan Power Policy of 2002. The Ministry of Environment is responsible at the Federal level for policy, planning and implementation in respect of environmental aspects in Pakistan. The Pakistan Environmental Protection Council (PEPC) headed by the Chief Executive of Pakistan is the highest inter-ministerial and multi-stakeholders decision making body for such matters. The Pakistan National Conservation Strategy (NCS) The strategies themselves are essentially capacity building initiatives. The Pakistan National Conservation Strategy (NCS) is the principal policy document for environmental issues in the country and was developed and approved by the Government of Pakistan on March 1, 1992. The NCS works on a ten-year planning and implementation cycle. The NCS deals with 14 core areas which are; i. maintaining soils in cropland; ii. increasing irrigation efficiency; iii. protecting watersheds; iv. supporting forestry and plantations; v. restoring rangelands and improving livestock; vi. protecting water bodies and sustaining fisheries; vii. conserving biodiversity; viii. increasing energy efficiency; ix. developing and deploying material for renewable energy; x. preventing/abating pollution; xi. managing urban wastes; xii. supporting institutions for common resources; xiii. integrating population and environmental programmes; and xiv. preserving the cultural heritage.

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Based on the NCS, policies are being framed for institutional strengthening and human resource development for environmental protection, especially at the local and provincial level. The NCS is a policy document that deals with the core environmental issues in Pakistan at the macro level and recommends an action plan to address these issues. Project specific mitigation prescriptions cannot be expected in the NCS document, rather the principles of environment protection, conservation and management provided in the NCS document have to be used as guidelines during the planning and execution of projects. As a signatory to the Convention on Biological Diversity in 1992, it was also necessary for Pakistan to develop a national strategy for the conservation of biodiversity. The Government of Pakistan constituted a Biodiversity Working Group, under the auspices of the Ministry of Environment, to develop a Biodiversity Action Plan (BAP) for the country, which was completed after an extensive consultative process. The plan, which has been designed to complement the NCS and the proposed provincial conservation strategies, identifies the causes of biodiversity loss in Pakistan and suggests a series of proposals for action to conserve biodiversity in the country. The Pakistan Environmental Protection Council (PEPC) has approved the action plan and steering committees have been formed at both Federal and Provincial levels to implement it. The BAP recognizes that at project level Environmental Impact Assessment (EIA) is used as a tool to identify environmental impacts of a proposed project and suggests ways for reducing adverse impacts. The BAP further stipulates that an EIA should be initiated at an early stage in the project development cycle and that public participation in the review of potential effects is important. The EIA of the Dasu Hydropower Project fulfils the requirement of the BAP. Resettlement Policy in Pakistan An important aspect of EIA is consideration of the displacement and relocation of the project affected population. A new resettlement policy has yet to be approved by Government but amendments to the Land Acquisition Act of 1894 have been made from time to time. It is currently in a draft form with the Pakistan Environmental Protection Agency. The policy has been formulated to ensure an equitable and uniform treatment of resettlement issues throughout Pakistan. This policy will apply to all development projects involving adverse social impacts, including land acquisition, loss of assets, loss of income, loss of business and other possible losses. The draft Resettlement Policy addresses those areas which are not taken care of in the Land Acquisition Act of 1894 (LAA) and will be applicable wherever any public sector or private development project affects people, families or communities, even when there is no displacement of population. The legal procedures for land acquisition have the objective of providing adequate compensation for the loss of income to those who suffer loss of communal property, including common assets, productive assets, structures, other fixed assets, income and employment, loss of community networks and services, pastures, water rights, public infrastructure like mosques, shrines, schools, graveyards and any consequential losses. The Pakistan Power Generation Policy 2002 The Power Generation Policy of the Government of Pakistan (GOP) aims to reform the power sector through restructuring and deregulation. The aim is to help the country to meet its future power needs. WAPDA and Karachi Electric Supply Company (KESC) are the two main producers and distributors of electricity in Pakistan. KESC has already

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been privatised whilst WAPDA is still a public organisation. WAPDA owns 54% of national electricity generation and distribution and serves about 88% of the electrical customers in Pakistan. WAPDA has prepared a “Hydropower Development Plan- Vision 2025” to meet the deficit of electricity through proposed provision of additional generation capacity. The objectives of the power policy are to: a) Provide sufficient capacity of power generation at the least cost, and to avoid

capacity shortfall. b) To encourage and ensure exploitation of indigenous resources, human

resources, participation of local engineering and manufacturing capabilities. c) To ensure all stakeholders are looked after in the process. d) To safeguard the environment. The requirements of the PEPA of 1997 relating to

environmental protection, environmental impact and social soundness assessment shall have to be met.

2.2.2 Federal Statutory Framework for Environmental Management and Assessment The key items of the existing regulatory framework at the Federal level that have implications for the proposed project are identified and discussed below. These include Ordinances, Acts, Laws, Regulations, Rules and Guidelines. The Pakistan Environmental Protection Ordinance 1983 The Pakistan Environmental Protection Ordinance, 1983 (PEPO 1983) was the first legislation designed specifically for the protection of the environment in the country. The Pakistan Environmental Protection Agency was established in 1984. This is the primary government institution dealing with environmental issues. Significant work on developing environmental policy was carried out by the late 1980s, which culminated in drafting of the Pakistan National Conservation Strategy. Provincial Environmental Protection Agencies were also established at about the same time. The National Environmental Quality Standards were established in 1993 and then revised in 2000. The enactment of the Pakistan Environmental Protection Act (PEPA) No.XXXIV of 1997 conferred broad-based enforcement powers to the Environmental Protection Agencies. The publication of the Pakistan Environmental Protection Agency Review of IEE and EIA Regulations (IEE-EIA Regulations) dated 2000 provided the necessary details on the preparation, submission, and review of Initial Environmental Examinations (IEE) and Environmental Impact Assessments (EIA). In addition to the PEPA of 1997, Pakistan’s statute books contain a number of other laws that have clauses concerning the regulation and protection of the environment. A summary of laws and regulations relevant to the proposed Dasu project in the context of environmental assessment and management of the project are given in Table 2.1. The Pakistan Environmental Protection Act (PEPA) No. XXXIV of 1997 This comprehensive piece of legislation has evolved over time to provide the legal framework for the preparation and implementation of national environmental policies. It is entitled “The Pakistan Environmental Protection Act, 1997 (PEPA 1997)”. The PEPA was enacted in 1997, repealing the PEPO of 1983. The PEPA 1997 provides the framework for implementation of the National Conservation Strategy, including the protection and conservation of species, wildlife, habitats and biodiversity, along with the conservation of renewable resources. The PEPA also establishes the standards for the quality of the ambient air, water and land, along with the establishment of Environmental

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Tribunals and appointment of Environmental Magistrates. The need and nature of Initial Environmental Examinations (IEE) and Environmental Impact Assessments (EIA) are given along with the need for promotion of public education and awareness of environmental issues through the mass media. The PEPA of 1997 is the basic legislative tool empowering the government to frame regulations for the protection of the environment. This Enabling Act is applicable to a broad range of issues and extends to air, water, soil, marine, and noise pollution, as well as to the handling of hazardous wastes. Penalties have been prescribed for those contravening the provisions of the Act. The key features of the Act that have a direct bearing on the Dasu Hydropower Project are the following: Section 11(1) states that “Subject to the provisions of this Act and the rules and regulations made there under, no person shall discharge or emit, or allow the discharge or emission of, any effluent or waste or air pollutant or noise in an amount, concentration or level which is in excess of the National Environmental Quality Standards.” The Pakistan Environmental Protection Agency (Pak-EPA), the body mainly responsible for enforcing the PEPA of 1997, has published National Environmental Quality Standards (NEQS) that will be applicable to the Dasu project. These are given in Tables 2.2 to 2.4. Section 12(1) requires that “No proponent of a project shall commence construction or operation unless he has filed with the Federal Agency an Initial Environmental Examination [IEE] or, where the project is likely to cause an adverse environmental effect, then an Environmental Impact Assessment [EIA], and has obtained from the Federal Agency approval in respect thereof.” Section 12(2)(b) The Federal Agency shall review the Environmental Impact Assessment report and accord its approval subject to such conditions as it may deem fit to impose, or require that the Environmental Impact Assessment be re-submitted after such modifications as may be stipulated, or reject the project as being contrary to environmental objectives. For the Dasu project, it is required, according to the regulations, that an EIA report be submitted to the Pak-EPA, and approval obtained before undertaking construction. Section 14 requires that “Subject to the provisions of this Act, no person shall generate, collect, consign, transport, treat, dispose of, store, handle, or import any hazardous substance except (a) under a license issued by the Federal Agency and in such manner as may be prescribed; or (b) in accordance with the provisions of any other law for the time being in force, or of any international treaty, convention, protocol, code, standard, agreement, or other instrument to which Pakistan is a party.” Enforcement of this clause requires the Pakistan EPA to issue regulations regarding licensing procedures and to define ‘hazardous substance.’ The Project Implementation and Resettlement Ordinance of 2001 The Government has proclaimed an ordinance entitled "Project Implementation and Resettlement of the Affected Persons Ordinance 2001", later referred to as the “Resettlement Ordinance". This ordinance will be used to safeguard the interests of persons/groups having to be involuntarily resettled due to land acquisition caused by a proposed project. This Ordinance establishes that the resettlement of the involuntarily displaced persons is done as a matter of right and not by way of charity or any such sentiment. In addition the Affected Persons (APs) shall be accepted as special groups

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who in the supreme interest of the country have accepted/undergone involuntary displacement. The proposed Ordinance shall be supplementary to the Land Acquisition Act of 1894, as well as other Laws of Pakistan, and wherever items included in the Draft Resettlement Policy. The Land Acquisition Act, 1894 (Including Later Amendments) The Land Acquisition Act of 1894 sets out the rules and procedures for acquiring land and immovable assets needed for development. The Act sets out the methodology for compensating owners of affected land and assets. The Act comprises 55 Sections dealing with area notifications, surveys, acquisition, compensation, apportionment awards, dispute resolution, penalties and exemptions. However, it does not cover the aspect of resettlement of the affected population. In this respect, the GOP is in the process of formulating appropriate laws and policies with the assistance of the ADB. However, WAPDA has practised a resettlement policy similar to that of international funding agencies and has already been applying these for their mega projects, for example the raising of Mangla Dam. It should be noted that there have been frequent revisions to the Land Acquisition Act and that the latest revisions will apply. This is particularly important for the Dasu Hydropower Project as the proposed commencement of construction of the project is planned to be after the construction of the Diamer Basha dam is completed. The Antiquities Act of 1975 The Antiquities Act of 1975 ensures the protection of cultural resources in Pakistan. The act is designed to protect defined “antiquities” from destruction, theft, negligence, unlawful excavation, trade and export. Antiquities have been defined in the Act as ancient products of human activity, historical sites, or sites of anthropological or cultural interest and national monuments. The law prohibits new construction in the proximity of a protected antiquity and empowers the Government of Pakistan to prohibit excavation in any area which may contain articles of archaeological significance. The guideline procedure for Environment Assessment recommended by the Pakistan EPA reads as follows: “If the proponent or the consultant identifies an archaeological site that appears to be of importance but the site is not listed they should discuss the site with the relevant conservation authority”. “The relevant conservation authority should inform the Responsible Authority of their assessment of the significance of the likely impact of the proposed development early in the process, in order for the Responsible Authority to determine the level of documentation required. The EPA will then be in a position to review the level of reporting required in the light of advice from the Archaeology Department”. The Federal Department of Archaeology and Museum, Government of Pakistan is the sole custodian of all articles of archaeological finds and historical heritage. The Telegraphy Act, 1910 The Telegraphy Act of 1910 was promulgated for installation of telegraph poles and stringing. The Act allows provision for installing poles and towers without the need to acquire any land. However there is provision for temporary acquisition of land during the construction period of such infrastructure. In such circumstances compensation is made just for the loss of crop for a specific period of temporary occupation for construction.

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The WAPDA Act No. XXXI of 1958 The WAPDA Act No. XXXI of 1958 provides for the unified and coordinated development of the water and power resources of West Pakistan. This Act authorizes WAPDA to construct and operate electrical transmission lines, entrusting powers and obligations to them as a licensee under the Telegraphy Act of 1910. The WAPDA Act also establishes policy for land acquisition and compensation, as well as the degree of liability of WAPDA for damages sustained by landowners and other parties. The Electricity Act, No IX of 1910 with Electricity Rules of 1937 The Electricity Act of 1910 and Electricity Rules of 1937 relate to the supply and use of electrical energy in Pakistan. This Act applies together with supplementary rules that have been issued from time to time. The Forest Act of 1927 and Later Amendments The Forest Act of 1927 establishes the right of the Government to designate areas for reserved forest, village forest and protected forest, and they may acquire such areas in order to prohibit or restrict the public use of such resources or other activities within them. The Protection of Trees and Brushwood Act of 1949 The Protection of Trees and Brushwood Act of 1949 prohibits the cutting or lopping of trees and brushwood without the permission of the Forest Department. The Local Government Ordinance of 1979 Section 93 of the Local Government Ordinance of 1979 pertains to environmental pollution. Under this Ordinance the local councils are authorised to restrict activities causing pollution to air, water or land. They may also initiate schemes for improving the environment. Pakistan Penal Code 1860 The provisions of the Pakistan Penal Code of 1860 fix the penalties for violation of statutory instruments in the country. These include pollution of air, water bodies and land. The penal code 1860 provides for and deals with a wide spectrum of offences and related punishments under the law. 2.2.3 Provincial Government Statutory Framework NWFP Laws and Acts The proposed Dasu dam and nearly all of the reservoir area is located in the NWFP province. The following NWFP laws are likely to be relevant and have to be taken into consideration. Forest - NWFP Forest Ordinance 2002 - NWFP Forestry Commission Act 1999 - NWFP Management of Protected Forests Rules 1975.

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- NWFP River Rules 1952. - NWFP Protection of Trees and Bushwood Act 1949. Fisheries - NWFP Fisheries Rules 1976 Wildlife/Fauna/Non Timber Flora - NWFP Wildlife (Protection, Preservation and Management) Act 1975. - NWFP Wildlife (Protection, Preservation, Conservation and Management) Act 1975. Protected Areas - NWFP Wildlife (Protection, Preservation and Management Act 1975-National Sanctuaries, Game Reserves, Private Game Reserves). Freshwater - NWFP River Protection Ordinance 2002. - NWFP Local Government Ordinance 2001 (Clause 4.3.2.1) 2.3 Institutional Framework Relevant for EIA in Pakistan The success of environmental assessment as a means of ensuring that development projects are environmentally sound and sustainable depends in large measure on the capability of regulatory institutions to operate in an effective manner to achieve the objective. The institutional framework for decision making and policy formulation in environmental and conservation issues are briefly described below. 2.3.1 Federal Government Institutions Headed by a Federal Minister, the Ministry of Environment, Local Government and Rural Development is the main government organization responsible for the protection of environment and resource conservation. The Ministry works with the Pakistan Environmental Protection Council (PEPC) and the Federal and Provincial Environmental Protection Agencies and was established under the provisions of the PEPA of 1997. Two organizations, the Pakistan Environmental Protection Council (PEPC) and the Pakistan EPA, are primarily responsible for administering the provisions of the PEPA of 1997. The PEPC oversees the functioning of the Pakistan EPA. The Federal Government has formed the PEPC. Its members include the President of Pakistan (or someone appointed by the President), as the Chairperson; the Minister of the Ministry of Environment as the Vice-Chairperson; Governors of the Provinces; Ministers in charge of the subject of environment in the Provinces; the Secretary to the Federal Government in charge of the Ministry of Environment, Local Government and Rural Development; the Director General of the Federal EPA; Heads of Federal and Provincial Environmental Protection Departments; environmentalists and community representatives, including scientists. The functions and powers of the Council include formulation of national environmental policy, enforcement of the PEPA of 1997, approval of the NEQS, incorporation of environmental considerations into national development plans and policies and to provide guidelines for the protection and conservation of

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biodiversity in general and also for the conservation of renewable and non-renewable resources. The Federal Government has also formed the Federal EPA, which is headed by a Director General and has wide ranging functions given in the PEPA of 1997. These include preparation and co-ordination of national environmental policy for approval by PEPC, administering and implementing the PEPA of 1997 and preparation, revision or establishment of NEQS. The Federal EPA has overall jurisdictions over EIA/IEE issues. Federal jurisdiction is applicable to the projects which are: - On federal land; - Military projects; - Involving trans-national impacts; and - Having trans-province impacts. For all other cases, the concerned Provincial Responsible Authority shall have jurisdiction over EIA and IEE issues. The Federal EPA reserves the rights to review any Environmental Report at any time and to suspend the powers it has delegated to any Responsible Authority if it believes those powers have not been properly used. 2.3.2 WAPDA The Water and Power Development Authority (WAPDA) was created in 1959 to undertake the task of investigating, planning and executing schemes for irrigation, drainage, prevention of water logging and reclamation of saline land. It was established as an autonomous body responsible for the integrated development of water and power resources in Pakistan. The organization was also entrusted with the work of implementing Indus Basin Settlement Plan signed between India and Pakistan in 1960 to develop replacement works for management of river water and irrigation systems. Since then it has been engaged in building water development projects which include extensive research and investigation activities to augment the water resources of the country. The Charter of Duties of WAPDA is to investigate, plan and execute schemes for the following fields: - Generation, Transmission and Distribution of Power. - Irrigation, Water Supply and Drainage. - Prevention of Water logging and Reclamation of Waterlogged and Saline Lands. - Flood Management. - Inland Navigation. The Authority comprises a Chairman and three Members working through a Secretary. The two main departments of WAPDA are the Power Wing and the Water Wing. The Finance Department deals with the financial matters of WAPDA. Each of the three wings are headed by the members who, along with the Chairman, comprise the management board of WAPDA. Figure 2.1 shows the organisational structure of the WAPDA. WAPDA is one of the largest employers of human resources in Pakistan. Over the years WAPDA has developed technical capability and expertise in its range of activities and gained sound experience which has made it a modern and progressive organization.

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WAPDA Power Wing The WAPDA Power Wing currently operates separately from the Water Wing, with the formation of Pakistan Electric Power Company being a corporate entity headed by the Member (Power). The Power Wing of WAPDA which was divided into three operations for power generation, transmission and distribution has been restructured into 14 Public Limited Companies. These 14 Corporate Entities are: Four (4) Thermal Power Generation Companies (GENCOs). - Southern Generation Power Company Limited (GENCO-1) with its headquarters

at Jamshoro District, Dadu near Hyderabad, Sindh. - Central Power Generation Company Limited (GENCO-2) with its headquarters at

Guddu District, Jacobabad, Sindh. - Northern Power Generation Company Limited (GENCO-3) with its headquarters

at TPS Muzaffargarh District, Muzaffargarh, Punjab. - Lakhra Power Generation Company Limited (GENCO-4) with its headquarters at

WAPDA House, Lahore. One (1) National Transmission & Power Dispatch Company (NTDC) Nine (9) Distribution Companies (DISCOs) as under: - (LESCO) Lahore Electric Supply Company - (GEPCO) Gujranwala Electric Power Company - (FESCO) Faisalabad Electric Supply Company - (IESCO) Islamabad Electric Supply Company - (MEPCO) Multan Electric Power Company - (PESCO) Peshawar Electric Power Company - (HESCO) Hyderabad Electric Supply Company - (QESCO) Quetta Electric Supply Company - (TESCO) Tribal Electric Supply Company WAPDA Water Wing The Water Wing operates under the head of the Member (Water). For effective control, the entire country is divided into north, central, south and west zones, generally covering the provinces of NWFP, Punjab, Sindh and Baloachistan respectively, with the execution of Scarps and surface water development projects. Chief Engineers (CEs) and Project Directors (PDs) implement projects falling under regions within each zone. In addition, the Water Wing has a CE (Coordination and Monitoring) responsible for construction and operation of dams and also all other projects under the Water Wing. There are also two separate General Managers for Ghazi Barotha Hydropower Project and the National Drainage Project. The Planning Division of the Water Wing, headed by the General Manager, looks after all of the planning activities on the water side of WAPDA. Water resources and hydropower development and the Vision-2025 planning program are handled by the three General Managers, one covering Technical, (South and North), the GM for P&D and the GM Hydro Development. WAPDA Environmental Cell The WAPDA Environmental cell (WEC) operates under the GM (P & D) of the Water

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Wing. The organizational setup of the WEC is shown in Figure 2.2. Currently the WEC consists of two sections working under its Director who works under Project Director (WRPO). The main section of the WEC is at Lahore. The current strength of the WEC is about 30 professional and para-professional staff. Technical staff consists of environmental engineers, geologists, ecologists and civil engineers. The WEC staff is used to dealing with EIA requirements and also handling Resettlement Action Plans. 2.3.3 Provincial Government Institutions Arrangements for Environmental Assessment at Provincial Government Level Each provincial government has its own environmental protection institution responsible for pollution control. The provincial EPAs and the Environmental Protection Departments (EPDs) are the provincial counterparts of the Federal EPA, which is authorized to delegate powers to its provincial counterparts. The Provincial Environmental Protection Agencies are formed by the respective Provincial Governments. A Director General who exercises powers delegated to him by the concerned Provincial Government heads the Provincial EPA. The reports covering IEEs and EIAs are submitted to the concerned Provincial EPAs for approval. For public works, responsibility for IEE management and review and granting or refusing of environmental approval, will be vested in the Planning and Development Departments (referred as P&Ds) responsible for economic and development planning at federal and provincial levels. The jurisdiction of Federal and Provincial Responsible Authorities (EPAs/EPDs) is given in Figure 2.3. North West Frontier Province As can be seen in Figure 1.3, the dam site and nearly all of the reservoir area falls into the North West Frontier Province (NWFP). The location of the Districts within the NWFP is shown in the map given as Figure 2.4. At the Provincial level, the NWFP holds all the required administrative powers regarding land acquisition, resettlement and rehabilitation of displaced people of any development project. For the DHP various government departments at Federal, Provincial and District level will interact and collaborate for implementation of the project. One of the prerequisites which will require immediate action relates to the handling of environmental issues. The construction of the DHP will require that all land and immovable assets located upstream of the dam axis and lying below 957masl will need to be acquired. The project area is mainly covered within the administrative jurisdiction of District Administration of District Kohistan, in the North West Frontier Province (NWFP). The Land Acquisition Act of 1894 with its amendments will need to be applied for acquisition of the land. Other land based assets will be acquired according to the rules and regulations applicable for acquiring such assets. A small part of the project area in the upper reach falls in the jurisdiction of the Northern Area Administrative and requires that all rules and regulations for acquiring this specific area of land and land-based assets will need to be applied accordingly. The Government of the North West Frontier Province functions under the provisions of the Constitution of Pakistan (1973). The Province has a Provincial Assembly with 124 elected members, constituent of 99 Regular seats, 22 seats reserved for Women and 3 seats for Non-Muslims. The Provincial Assembly elects the Chief Minister of the Province who forms a Cabinet of Ministers to look after various Departments. The Chief Minister is the Chief Executive of the Province. The Federal Government appoints a Governor for the Province.

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The bureaucratic machinery of the Province is headed by a Chief Secretary who coordinates and supervises functions of various Departments headed by Departmental Secretaries. In the NWFP the person in charge of the Planning & Development Department is the Additional Chief Secretary who reports to the Chief Secretary. All the Secretaries of different Departments are assisted by Additional Secretaries, Deputy Secretaries, Section Officers and other staff. The Departments may have attached Departments and autonomous or semi-autonomous bodies to look after various functions. Since 2001, a system of elected District Governments has been introduced in the NWFP. The Province is divided into 24 districts (see Figure 1.2). The Districts are headed by a Zilla Nazim (District Nazim) assisted by a District Coordination Officer (DCO), who is in charge of the District bureaucracy. In a District the functions are devolved further to the Tehsil, Town and Union Council Governments as a part of the local Government system. Each District has an elected Zilla Council, elected Tehsil, Town and Union Councils who look after various activities at their respective levels. At District level a District Police Officer looks after the Law and Order and he reports to the Zilla Nazim. Each District has a Public Safety Commission which addresses public complaints against the Police. There is a Provincial Police Officer who is in charge of the police system at the provincial level. Government of the Northern Areas As can be seen in Figure 1.3, the head reach of the Dasu reservoir, where it meets the downstream face of the proposed Diamer Basha Dam, lies in the Northern Areas. The Federal Ministry of Kashmir Affairs and Northern Areas (KANA) administers the Northern Areas of Pakistan. Any development and implementation of major projects will not be implemented without the involvement of the said Ministry. The Government of the Northern Areas has its own legislative council. The Chief Secretary of the Northern Areas is the administrative head. The structure of the Government of the Northern Areas is given in Figure 1.2. The Dasu reservoir area covers only part of one District (Diamer) in the Northern Areas. On the 23rd October 2007, the President of Pakistan unveiled a package of political, administrative and development reforms for the Northern Areas (NA). The legal frame work, under which KANA administers the NA, has been changed by incorporating 52 amendments proposed by the representatives of the NA into the Legal Frame Work Order 1994, a law through which Islamabad administers the strategic area. The salient points as given in a public statement are: 1. The NA Council has been given the status of a Legislative Assembly. The

existing council has 36 seats, 24 elected and 12 reserved seats (six for women and six for technocrats). It has powers to legislate on 49 subjects.

2. The Legislative Assembly has powers to debate and pass budget. 3. Hither to called Deputy Chief Executive of the council shall be the Chief

Executive with full administrative and financial authority. 4. The existing Chief Executive of NA (who is a Federal Minister) shall be called

Chairman of the NA government. 5. The Chief Executive shall be elected by the new assembly. 6. The new assembly shall have powers to pass no-confidence motions against the

Chief Executive, Speaker, and Deputy Speaker. 7. All administrative and financial powers of Ministry of Kashmir Affairs and

Northern Areas would be transferred to the Northern Area Government.

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8. There would be an Accountant General’s office for the Northern Area. 9. A new District (7th) would be carved out of Gilgit. 10. Two sub divisions of Dagone and Raundo will be set up in Baltistan. 11. The cases registered against officials of NA shall be transferred from Islamabad

to Gilgit. 12. The agricultural loans up to Rs 50,000/ are remitted. This will benefit 12000

people. In addition the mark-up on small and medium loans would be waived. 13. A commission under the Deputy Chairman of the Planning Commission shall be

set up to resolve the boundary dispute between NA and NWFP province. 14. The current regional development budget has been increased from Rs.6.5 billion

to Rs.7.6 billion. The reservoir of Dasu Hydropower Project partially falls within the administrative control of the Diamer District of the Northern Area. Therefore, in relation to the Dasu Hydropower project, the office of the Deputy Commissioner of Diamer District will be the key contact point. This office will be responsible for the coordination of different governmental departments for the execution of the project. The overall organizational setup of the Northern Areas Administration is given in Figure 2.4. 2.3.4 International and National Non-Governmental Organizations (NGOs) International environmental and conservation organizations, such as the International Union for the Conservation of Nature (IUCN) and the World Wide Fund for Nature (WWF), have been active in Pakistan for some time. Both these organizations have worked closely with the government and have played an advisory role with regard to the formulation of environmental and conservation policies. In the eight years since the Rio Summit, a number of national environmental non-governmental organizations (NGOs) have also been formed, and have been engaged in advocacy and, in some cases, research. The most prominent national environmental NGOs, such as the Sustainable Development Policy Institute (SDPI) and Shirkatgah, are members of the Pakistan National Committee of IUCN. The International Fund for Agricultural Development (IFAD) has also been active for some time, particularly in the Northern Areas under the Northern Areas Development Program (NADP). The NADP is working for the development and construction of various agricultural and social uplift programs, especially in the affected valleys of the project area. As mentioned earlier, environmental NGOs have been particularly active in advocacy and promoting sustainable development approaches. Much of the government’s environmental and conservation policy has been formulated in consultation with leading NGOs, who have also been involved in drafting new legislation on conservation. 2.4 Specific EIA Requirements for Dasu Project 2.4.1 Basis for the Environmental Study The Pakistan Environmental Protection Agency (Pak-EPA) under the powers conferred upon it by the Pakistan Environmental Protection Act (PEPA) of 1997 provides the necessary details for the preparation, submission, and review of the Initial Environmental Examination (IEE) and the Environmental Impact Assessment (EIA) for proposed developments. Categorization of projects for IEE and EIA is one of the main topics of the IEE-EIA Regulations of 2000. Projects have been classified on the basis of expected degree and magnitude of environmental impacts and included in different schedules

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contained in the IEE-EIA Regulations of 2000. The projects listed in Schedule-B include those where the range of environmental issues is comparatively narrow and the issues can be understood and managed through less extensive analysis. Schedule-B projects require an IEE to be conducted, rather than a fully fledged EIA, provided that the project is not located in an environmentally sensitive area. The projects listed in Schedule-A are generally major projects and have the potential to affect a large number of people. Projects in environmentally sensitive areas are also included in Schedule-A. The impact of such projects may be irreversible and could lead to significant changes in land use and the social, physical and biological environment. Dams and reservoirs with a maximum storage volume greater than 50 million cubic meters or a surface area greater than 8 square kilometers fall under the Schedule-A category of the IEE-EIA Regulations of 2000. The Dasu Hydropower Project therefore falls in Category A and requires a full EIA. The details of the classification criteria for Schedule-A and Schedule-B are given in Table 2.4. 2.4.2 The Project Proponent The project proponent as defined in the relevant EPA regulatory framework is the Water and Power Development Authority (WAPDA) and they are responsible for ensuring that the relevant environmental assessment procedures are followed. Details are given below. 2.4.3 Environmental Protection Agency (EPA) Pakistan The Pakistan Environmental Protection Agency (EPA) issued a regulation regarding the environmental assessment procedures on 15 June 2000. This regulation, known as the Pakistan Environmental Protection Agency Review of IEE and EIA Regulations, 2000, gives firm legal status to both Initial Environmental Examinations (IEEs) and Environmental Impact Assessments (EIAs) and also requires an EIA to be conducted for operations in environmentally sensitive areas, including national parks, wildlife sanctuaries, game reserves, and areas of archaeological importance. 2.4.4 Pakistan’s Federal EPA Environmental Assessment Procedures The Federal EPA has published a set of environmental guidelines for conducting environmental assessments and the environmental management of different types of development projects. The guidelines that are applicable to the proposed Dasu Hydropower Project are listed below, followed by comments on their relevance: Policy and Procedures for Filing, Review and Approval of Environmental Assessments, Pakistan Environmental Protection Agency, September 1997 These guidelines define the policy context and the administrative procedures that govern the environmental assessment process, from the project pre-feasibility stage, to the approval of the environmental report. The section on administrative procedures has been superseded by the IEE-EIA Regulations of 2000. Guidelines for the Preparation and Review of Environmental Reports, Pakistan Environmental Protection Agency, 1997 The guidelines on the preparation and review of environmental reports specify the following for project proponents: - The nature of the information to be included in environmental reports;

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- The minimum qualifications of the EIA contractors appointed; - The need to incorporate suitable mitigation measures at every stage of project

implementation; and - The need to specify monitoring procedures.

The terms of reference for the reports are to be prepared by the project proponents themselves. The report must contain baseline data on the project area, detailed assessment of impacts of the proposed intervention and mitigation measures. Guidelines for Public Consultation, Pakistan Environmental Protection Agency, May, 1997 These guidelines deal with possible approaches to public consultation and techniques for designing an effective program of consultation that reaches out to all major stakeholders and ensures the incorporation of their concerns into any impact assessment study. 2.4.5 National Environmental Quality Standards (NEQS) In order to prescribe the use and check the abuse of environmental resources, the Government of Pakistan has laid down National Environmental Quality Standards (NEQS) for municipal and liquid industrial effluent and industrial gaseous emissions, motor vehicle exhaust and noise. The NEQS were first promulgated in 1993 and have been amended in 1995 and 2000. The standards specify the following; - Maximum allowable concentration of pollutants (32 parameters) in municipal and

liquid industrial effluents discharged to inland waters, sewage treatment facilities, and the sea.

- Maximum allowable concentration of pollutants (16 parameters) in gaseous emissions from industrial sources; and

- Maximum allowable concentration of pollutants (2 parameters) in gaseous emissions from vehicle exhaust and noise emission from vehicles.

The NEQS for liquid effluents discharged to inland surface waters and gaseous emission from industrial sources are provided in Table 2.2. These standards will be applicable to the gaseous emissions and liquid effluents discharged to the environment from the proposed project. 2.5 International Agreements and Provincial Water Accord Signed by Pakistan Pakistan is a signatory to various international treaties and conventions on the conservation of the environment and wildlife protection. The country is thus obliged to adhere to the commitments contained in these treaties. A listing of relevant International Treaties and Conventions to which Pakistan is a party is given as Table 2.6. For water resources there are two very important agreements, both relating to trans-boundary water issues. The first is for international rivers and the other for rivers which cross provincial boundaries within Pakistan. These are discussed below: 2.5.1 Indus Waters Treaty 1960 The Indus Water Treaty was signed on the 19th September 1960 between India and Pakistan but was effective from the 1st April 1960. This Treaty gave the waters of three

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western rivers (the Indus, Jehlum and Chenab) to Pakistan and the waters of three eastern rivers (the Ravi, Sutluj and Bias) to India. This is a landmark Treaty and has remained in force since its signature. The Indus Water Treaty gives unrestrained use of the Indus River water to Pakistan. The permanent Indus Commission, constituted under the Treaty, is responsible for implementation of the Treaty. The existence and successful operation of the Indus Water Treaty is of critical importance for any potential international funding agency for the proposed project. Such institutions have policy guidelines regarding the need for agreement with all parties on developments along international waterways that could have trans-boundary water impacts. 2.5.2 Water Accord 1991 The other trans-boundary piece of legislation that is of relevance to the proposed project is The Water Accord of 1991 for Pakistan. The Water Accord establishes the Agreement between the four Provinces of Pakistan to share water resources between them. For the proposed project the situation is that the Dasu dam lies in the NWFP and nearly all of the reservoir also lies in the NWFP. The very upstream part of the reservoir lies in the Northern Areas, which are administered through the Federal Government. The proposed project is for hydropower generation and is non consumptive of water. The outflow of Dasu dam feeds directly into Tarbela dam which is also entirely within the NWFP. 2.6 EIA Requirements of Potential Financing Institutions 2.6.1 The World Bank Potential financing and managing institutions for the proposed project include the World Bank. The environmental assessment requirements of the World Bank are clearly laid out in its safeguard policies and procedures and are considered to constitute International Best Practice. The crucial documents are the Bank’s Operational Policies (OP) and Bank Procedures (BP). Operational Policy 4.01 and Bank Procedure 4.01 (amended in March 2007) clearly outline the requirements for Environmental Assessment for World Bank managed development projects and programmes. These two documents are supported by a Guidance Note on Environmental Assessment. All three of these documents are publicly available on the website of the World Bank, along with the Environmental Assessment Sourcebook and toolkits. The sourcebook has a section specifically dealing with dams and also electricity transmission lines. The way that the World Bank makes sure that these environmental safeguards are incorporated into the Bank’s lending policy is clearly set out in OP/BP 4:00 on the use of borrower systems to address environmental and social safeguards. The basic philosophy that underpins the World Bank approach to environmental assessment is that all development should be environmentally sound and sustainable in the broadest sense, covering both the natural and human/social aspects of development. No person is to be made worse off as a result of any intervention. Any potential adverse impacts are to be avoided by appropriate changes in intervention design. Where this is not possible then potential adverse impacts are to be fully mitigated for by appropriate interventions and the costs of these are to be included in the economic appraisal of the proposed intervention. In addition the aim of the World Bank’s environmental assessment process is to ensure proposed interventions maximise their environmental benefits, often adapting design elements to enhance positive impacts. The World Bank Guidance Note on Environmental Assessment has a categorisation of projects according to their type, size and likely degree of impact and outlines the differing procedures needed for each category. The proposed project falls into World Bank

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Category A under both Section (a) being a dam and reservoir, and also Section (l) being a hydropower development. In addition the proposed project will necessitate the involuntary resettlement of an estimated 3,670 people and invokes the Bank’s special Operational Policies and Bank Procedures for Involuntary Resettlement (OP/BP 4.12). The occurrence of Indigenous People, as defined in World Bank OP and BP 4.10, is also critical to the environmental classification of the project. All of the people in the proposed project affected area are of minority tribal groups and this needs to be considered in the light of OP and BP 4.10. The loss of Physical Cultural Resources (the petroglyphs would be considered as these) is covered under OP 4.11, the loss of any natural habitats by OP/BP 4.04 and forests by OP/BP 4.36. The World Bank has a Operational Policy specifically for Water Resources Management (OP4.07 dated February 2000) which is of direct relevance to the proposed project. There is also a Bank Procedure for projects on International Waterways (BP 7.50, dated October 1994) which is of the utmost importance to the proposed project. BP 7.50 outlines the Bank’s requirements for dealing with trans-boundary water projects, of which the Indus Water Treaty of 1960 is critical in addressing this issue. Other relevant World Bank policies and guidelines include OP/BP 4.02 on Environmental Action Plans (EAPs), which outline the need for and nature of an EAP. An EAP is required for all Category A projects and also if there are significant adverse impacts that can not be avoided by changes in the design of the proposed intervention. The EAP is to include targeted mitigation programmes, with cost estimates and an implementation programme. An EAP also includes an environmental management and monitoring framework with recommendations for appropriate institutional arrangements for its implementation. Bio-diversity considerations form an intrinsic part of the environmental assessment process. The World Bank has a guideline for showing how bio-diversity issues are to be mainstreamed into the development process. This is available on the Bank’s website. Similarly public consultation is to be an intrinsic part of the environmental assessment process. The requirements for pubic consultation are clearly stated in Update No 26 of the Environmental Sourcebook, dated May 1999. The public consultation that has already been carried out for the project and resulted in significant changes in project design is given in Section 4 of this EIA report. The required output and format of the environmental assessment process for a project to be considered for World Bank funding is given in their Guideline. The report contents and order is specified and is to be one self contained volume of no more than 150 pages. Details and data are to be given as Appendices to the main EIA report rather than in the report itself. The World Bank EIA output format is now considered to be the current International Best Practice. This basic approach has been followed for the Dasu EIA report with the Technical Memos forming the supporting detail for the main EIA report. 2.6.2 The Asian Development Bank The Asian Development Bank (ADB) could be a potential funding institution for the proposed project. The environmental assessment requirements of the ADB are clearly laid out in their Environmental Assessment Guidelines of 2003 and available on the ADB website. Under the ADB classification system any dam or reservoir is classified as a Category A, as is any project requiring relocation of people. Category A requires a full EIA to be carried out and the formats for reporting are clearly given in Appendix 2 of the 2003 ADB Guideline. The section headings for an EIA report are given and for a Summary EIA report maximum page lengths for each section are prescribed. The ADB

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also produce sector guidelines for environmental assessment and rapid environmental assessment checklists, including one for hydropower. 2.6.3 Other International Procedures for Environmental Assessment of Dams There are also other international institutions dealing with questions concerning the environmental assessment of dams. These include the World Commission on Dams, which carried out a major review of the environmental consequences of dam construction, and also the International Commission on Large Dams (ICOLD). In addition the Equator Principles which are a set of guiding environmental principles for both public and private concerns are starting to be used as a framework for environmental management, particularly in the mining and power sectors. 2.7 Implications for the Proposed Project Under the national regulatory framework the project proponent is the WAPDA and they are legally bound to follow the Pakistan requirements for environmental assessment. The regulatory authority for environmental assessment is the Federal Environmental Protection Agency. The proposed dam is a Schedule A project under the Pakistan national classification system and requires a full EIA. Under both the World Bank and Asian Development Bank classifications the proposed project falls under Category A and requires a full EIA. This EIA report has been structured to satisfy the national EA requirements and at the same time those of the World Bank and the Asian Development Bank.

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Table 2.1 Major Items of Pakistan Environmental Legislation

SECTOR LEGISLATION

Environmental Protection

- The Pakistan Penal Code (1860)

- Pakistan Environmental Protection Act, No. XXXIV of 1997

Land Use

- The Punjab Development of Damaged Areas Act (1952)

- The Punjab Soil Reclamation Act (1852)

- The West Pakistan Agricultural Pests Ordinance (1959) and Rules (1960)

- The Islamabad (Prevention of Landscape) Ordinance (1966)

- The Punjab Development Cities Act (1976)

- The Balochistan, NWFP, Punjab and Sindh Local Government Ordinance(s) (1979/80)

- The NWFP Salinity Control and Reclamation Act (1988)

Water Quality and Resources

- The Pakistan Penal Code (1860)

- The Canal and Drainage Act (1873)

- The Balochistan, NWFP, Punjab and Sindh Local Government

Ordinance(s) (1979/80)

- On Farm Water Management and Water Users’ Associations Ordinance (1981)

- Indus River Water Apportionment Accord (1991)

- Statutory Notification S.R.R. 742 (1993)

Air Quality

- The Pakistan Penal Code (1860)

- The Motor Vehicles Ordinance (1965) and Rules (1969)

- The Balochistan, NWFP, Punjab and Sindh Local Government

Ordinance(s) (1979/80)

- Statutory Notification S.R.R. 742 (1993)

- Statutory Notification S.R.R. 1023 (1995)

Noise - The Motor Vehicles Ordinance (1965) and Rules (1969)

Toxic or Hazardous

Substances

- The Pakistan Penal Code (1860)

- The Explosives Act (1884)

- The Agricultural Pesticides Ordinance (1971) and Rules (1973)

Solid Waste and Effluents

- The Balochistan, NWFP, Punjab and Sindh Local Government Ordinance(s) (1979/80)

- Pakistan Environmental Protection Act, No. XXXIV of 1997

Marine and Fisheries - The West Pakistan Fisheries Ordinance (1961)

- The NWFP Fisheries Rules (1976)

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Forest Conservation

- The Punjab Forest (sale of timber) Act (1913)

- The Forests Act (1927).

- The NWFP Hazara Forest Act (1936)

- The West Pakistan Firewood and Charcoal (Restrictions) Act 1964

- The Punjab Plantation and Maintenance of Trees Act (1974)

- The Cutting of Trees (Prohibition) Act (1975)

- The NWFP Management of Protected Forests Rules (1975)

- The Balochistan, NWFP, Punjab and Sindh Local Government Ordinance(s) (1979/80)

- The NWFP (Conservation and Exploitation of Certain Forests in Hazara Division) Ordinance (1980)

- The NWFP Forest Development Corporation Ordinance (1980)

- The Protection of Trees and Brushwood Act of 1949

Parks and Wildlife Conservation Protection

- The West Pakistan Ordinance (1959)

- The Punjab Wildlife (Protection, Preservation, Conservation and Management) Act (1974) and Rules (1974)

- The NWFP Wildlife (Protection, Preservation, Conservation and Management) Act (1975) and Rules (1976)

- Northern Areas Wildlife Preservation Act (1975)

- The Pakistan Plant Quarantine Act (1976)

- Islamabad Wildlife (Protection, Preservation, Conservation and Management) Ordinance (1979/80)

- The Balochistan, NWFP, Punjab and Sindh Local Government Ordinance(s) (1979/80)

- Export and Control Order (1982)

Mineral Development - The Regulation of Mines and Oil-Fields and Mineral Development (Government

Control) Act (1948)

Cultural Environment - The Antiquities Act (1975)

- The Punjab Special Premises (Prevention) Ordinance (1985)

Livestock

- West Pakistan Goats (Restriction) Ordinance (1959)

- The Grazing of Cattle in Protected Forests (Range Lands) Rules (1978)

- Pakistan Animal Quarantine (Import and Export of Animals and Animal Products) Ordinance (1979/80)

- The Balochistan, NWFP, Punjab and Sindh Local Government Ordinance(s) (1979/80)

Resettlement

- Land Acquisition Act 1894

- Project Implementation and Resettlement Ordinance

- The Telegraphy Act (1910)

- The West Pakistan Water & Power Act (1958)

- The Electricity Act IX (1910)

Public Health and Safety

- The Pakistan Penal Code (1860)

- The Public Health (Emergency Provisions) Ordinance (1944)

- The Balochistan, NWFP, Punjab and Sindh Local Government Ordinance(s) (1979/80)

- The West Pakistan Epidemic Diseases Act (1979/80)

Source: Pakistan Environmental Assessment Procedures, Pakistan EPA, Islamabad

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Table 2.2 National Environmental Quality Standards (NEQS) For Municipal and Liquid Industrial Effluents

(Mg/l, unless otherwise defined)

Revised Standards

Sr.

No. Parameter Existing

Standards Into Inland

Waters

Into Sewage

Treatment

Into Sea

1 Temperature/ Temperature increase* 40o

C ≤ 3o C ≥ 3

o C ≥ 3

o C

2 pH value 6 - 10 6 - 9 6 - 9 6 – 9

3 5-days Biochemical Oxygen Demand (BOD) at

20oC. (1)

80 80 250 80**

4 Chemical Oxygen Demand (COD) (1) 150 150 400 150

5 Total Suspended Solids 150 200 400 200

6 Total Dissolved Solids 3500 3500 3500 3500

7 Grease and Oil 10 10 10 10

8 Phenolic Compounds (as phenol) 0.1 0.1 0.3 0.3

9 Chloride (as CI) 1000 1000 1000 SC

10 Fluoride (as F) 20 10 10 10

11 Cyanide (as QN) total 2 1 1 1

12 An-lonic Detergents (as MBAS) (2) 20 20 20 20

13 Sulphate (SO4) 600 600 1000 SC

14 Sulphide (S) 1.0 1 1 1

15 Ammonia (NH3) 40 40 40 40

16 Pesticides, Herbicides, Fungicides and

Insecticides (3)

0.15 0.15 0.15 0.15

17 Cadmlum (4) 0.1 0.1 0.1 0.1

18 Chromium (trivalent & hexavalent) (4) 1.0 1 1 1

19 Copper (4) 1.0 1 1 1

20 Lead (4) 0.5 0.5 0.5 0.5

21 Mercury (4) 0.01 0.01 0.01 0.01

22 Selenium (4) 0.5 0.5 0.5 0.5

23 Nickel (4) 1.0 1 1 1

24 Silver (4) 1.0 1 1 1

25 Total Toxic Metals 2.0 2 2 2

26 Zinc 5.0 5 5 5

27 Arsenic (4) 1.0 1 1 1

28 Barium (4) 1.5 1.5 1.5 1.5

29 Iron 2.0 8 8 8

30 Manganese 1.5 1.5 1.5 1.5

31 Boron (4) 6.0 6 6 6

32 Chlorine 1.0 1 1 1

1. Summing minimum dilution 1:10 on discharge, lower ratio would attract progressively stringent standards to be

determined by the Federal Environmental Protection Agency. By 1:10 dilution means for example, that for each one cubic

meter of treated effluent the recipient water body should have 10 cubic meter of water for dilution of this effluent.

2. Modified Benzene Alkyl Sulphate; assuming surfactant as bio-degradable.

3. Pesticides. Herbicides, fungicides, and insecticides.

4. Subject to total toxic metals discharge.

5. Applicable only when and where sewage treatment is operational and BOD5=80 mg/l is achieved by the sewer treatment

system.

6. Provided discharge is not at shore and not within 10 miles of mangrove or other important estuaries.

SC Discharge concentration at or below Sea concentration.

* The effluent should not result in temperature increase of more that 3°C at the edge of the zone where initial mixing and

dilution take place. In case zone is not defined, use 100 meters from the point of discharge.

Note: Dilution of gaseous emissions and liquid effluents to bring them to the NEQS limiting value is not permissible through

excess air mixing/blowing into the gaseous emissions or through fresh water mixing with the effluent before discharge into

environment.

** The value of BOD and COD is 200 and 400 respectively

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Table 2.3 National Environmental Quality Standards (NEQS) For Industrial Gaseous Emission

(Mg / NM3, unless otherwise defined)

Sr.

No. Parameter Source of Emission Existing

Standards

Revised

Standards

1 Smoke (1) Smoke opacity not to exceed

40% or 2

(Ringlemann

scale)

40%

2 Particulate Matter (2) Boilers and furnaces:

(i) Oil fired.

(ii) Coal fired.

(iii) Cement Kilns.

Grinding, crushing, clinker coolers and

related processes, metallurgical processes,

converter blast furnaces and cupolas

300

500

200

500

300

500

200

500

3 Hydrogen

Chloride (3) Any. 400 400

4 Chlorine (3) Any. 150 150

5 Hydrogen fluoride (3)

Any. 150 150

6 Hydrogen Sulphide (3)

Any. 10 10

7 Sulphur Oxides

Sulphuric acid plant

Others. 400

5000

1700

8 Carbon monoxide

(3) Any. 800

800

9 Lead (3) Any. 50 50

10 Mercury (3) Any. 10

10

11 Cadmium (3) Any. 20 20

12 Arsenic (3) Any. 20 20

13 Cooper (3) Any. 50 50

14 Antimony (3) Any. 20 20

15 Zinc (3) Any 200 200

16 Oxides of Nitrogens

Nitric acid manufacturing Unit

Gas fired.

Oil fired

Coal fired

400

400

3000

400

600

1200

1. Or 2 on the Ringlemann scale

2. Based on the assumption that the size of the particulates is 10 micron or more.

3. Any source

4. In respect of emissions of sulphur dioxide and nitrogen oxides, the power plants operating on oil or coal as

fuel shall, in addition to national Environmental Quality Standards (NEQS) specified above, comply with

the following standard.

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Table 2.4 Sulphur Dioxide and Nitrogen Oxide Ambient Air Requirements (NEQS)

A. SULPHUR DIOXIDE

Sulphur Dioxide Background Levels (µg/m3)

Standards

Background Air Quality

(SO2 Basic)

Annual

Average

(µg/m3)

Max. In 24 Hour

Interval

(µg/m3)

Criterion I

Max. SO2 Emission

(Tons/day/Plant)

Criterion II

Max. Allowable

Ground Level

Increment To

Ambient (One year

average, µg/m3)

Unpolluted

Moderately

Polluted*

< 50 < 200 500 50

Low

50 200 500 50

High

100 400 100 10

Very Polluted** > 100 > 400 100 10

* For intermediate values between 50 and 100 µg/m3) liner interpolations should be used

** No project with sulphur dioxide emissions will be recommended

B. NITROGEN OXIDES

Ambient air concentrations of nitrogen oxides, expressed as NO2, should not exceed the following:-

Annual Arithmetic Mean 100 µg/m

3

(0.05 ppm)

Emission levels for stationary sources discharges, before mixing with the atmosphere, should be maintained as

follows:

For fuel fired stream generators, as nanogram (10E-9 gram) per joule of heat input:

Liquid fossil fuel

Solid fossil fuel

Lignite fossil fuel

130

300

260

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Table 2.5 Pakistan National EIA Categorization of Proposed Projects

SCHEDULE A LIST OF PROJECTS REQUIRING AN EIA The Projects in Schedule A are generally major projects and have the potential to affect a large number of people. They also include projects in environmentally sensitive areas. The impact of such projects may be irreversible and could lead to significant changes in land use and the social, physical and biological environment. Agriculture and Livestock No EIA’s required unless a specific proposal is designated by the Responsible Authority, which could be the result of significant impacts being discovered at the IEE stage. Energy - Thermal Power Generation over 200MW - Hydroelectric Power Generation over 50 MW - Petroleum Refineries - Major Power transmission lines (above 11kV) including Grid Stations - Nuclear Power Plants Manufacturing and Processing - Major manufacturing of chemicals, pesticides or fertilizer - Petrochemical complexes - Major tanning and leather finishing - Man-made fibers and resin projects greater than10 crore (100 million) rupees in value - Industrial Estates (including export processing zones) - Large scale food processing such as sugar mills, refineries, breweries, distilleries,

soft drinks, milk and dairy products greater than 10 crore rupees in value - Large scale industrial plants such as: synthetic resins, plastics and manmade fibers,

paper and paperboard containers and boxes, plastic products, textiles except apparel, printing and publishing, paints and dyes, oils and fats greater than1 crore rupees in value

- Cement plants Mining and Mineral Processing - Major mineral development including; mining and processing of coal, gold, copper, iron,

and precious stones - Major smelting plants - Major non-ferrous metals, iron and steel rolling Transport - Major Ports and Harbours development - Major Airports - Federal or Provincial Highways or major roads greater than 5 crore rupees in value.

Maintenance (rebuilding or reconstruction of existing roads is excepted from the requirement of an EIA).

- Major railway works Water Management; Dams, Irrigation and Flood Protection - Dams and reservoirs with a maximum storage volume greater than 50 million cubic

meters or a surface area greater than 8 square kilometres - Irrigation and drainage serving more than 15,000 hectares

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Table 2.5 Pakistan National EIA Categorization of Proposed Projects(Contd.) Water Supply and Treatment - Major urban water supply infrastructure, including major head works and treatment plants. Waste Disposal - Waste disposal and/or storage of hazardous or toxic wastes (including landfill sites,

incineration of hospital toxic waste) - Waste disposal facilities for domestic or industrial wastes, where more than 10,000 cubic

meters of waste will handled annually

Urban Development and Tourism - Land use studies and urban plans (large cities) - Large scale tourism developments

Environmentally Sensitive Areas - Any project which will be situated in an environmentally sensitive or critical area should be

carefully investigated, and the results communicated to the Responsible Authority, who will advise whether an EIA is necessary (see "Guidelines for sensitive and critical areas").

Any other projects that the EPA may require. SCHEDULE B

LIST OF PROJECTS REQUIRING AN IEE

These projects include those where the range of environmental issues is comparatively narrow and the issues can be understood and managed through less extensive analysis. These are projects not generally located in environmentally sensitive areas or smaller proposals in sensitive areas. Agricultural and Livestock - Agro-industrial installation: large poultry farms and beef cattle lots - Repacking, formulation or warehousing of agricultural produce Energy - Thermal Power Generation less than 200 MW - Hydroelectric power generation less than 50 MW - Electrical transmission lines (11kV or smaller), and large distribution projects - Major waste to energy generation projects - Oil and gas transmission systems - Oil and gas extraction including exploration, production, gathering systems, separation

and storage Manufacturing and Processing - Man-made fibers and resin projects less than 10 crore (100 million) rupees in value - Food processing such as sugar mills, refineries, breweries, distilleries, soft drinks, milk

and dairy products less than than10 crore rupees in value - Sizable ceramics and glass manufacturing - Sizable apparel manufacturing including dying and printing - Manufacturing wood products on a sizable scale.

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Table 2.5 Pakistan National EIA Categorization of Proposed Projects (Contd.) Mining and Mineral Processing

- Commercial extraction of sand, gravel, limestone, clay and other minerals not included in

Schedule A. - Crushing, grinding and separating processes - Minor smelting Plants Transport - Ports and Harbours Development for ships less than 500 gross tons - Federal or Provincial Highways (except maintenance, rebuilding or reconstruction of

existing metalled roads) less than 5 crore rupees in value.

Water Management; Dams, Irrigation and Flood Protection - Dams and Reservoirs with a storage volume less than 50 million cubic meters or a

surface area less than 8 square kilometres - Irrigation and Drainage serving less than 15,000 hectares - Small-scale irrigation systems Water Supply and Treatment - Minor head works and small systems Waste Disposal - Waste disposal facility for domestic or industrial wastes, where less than 10,000 cubic

meters of waste will handled annually Urban Development and Tourism - Urban development projects, including large rural hotels, schools and universities - Public facilities which have significant off-site impacts (i.e. hospital wastes) - Housing Estates Any other projects that the EPA may require. SCHEDULE C LIST OF PROJECTS NOT REQUIRING IEE OR EIA Essentially Schedule ‘C" combines everything not in Schedules ‘A’ and ‘B’. As is the case for ‘A’ and ‘B’ projects, Schedule ‘C’ projects are also subject to review if they are situated in an environmentally sensitive or critical area. No attempt is made here to detail these projects, however some illustrative examples are provided below: - construction of homes, offices and small commercial buildings, subject to compliance with

existing zoning laws; - reconstruction/rehabilitation of roads including sealing; - on-farm dams; - projects promoting energy efficiency; and - lining of existing canals and/or watercourses. Source: Government of Pakistan, Pakistan Environmental Protection Agency, “Policy and

procedures for the filing, review and approval of environmental assessments”.

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Table 2.6 Major International Conventions and Treaties Signed By Pakistan

Sr.

No. Treaty / Convention Brief Description

1

The Convention on

Biological Diversity

Pakistan signed this convention in 1992. The objective of this convention is the conservation of biological diversity, the sustainable use of its components and the fair and equitable sharing of the benefits rising out of the utilization of genetic resources, including those by appropriate access to genetic resources and by appropriate transfer of relevant technologies, taking into account all rights over those resources and to technologies and by appropriate funding.

2

The Convention on

Conservation of Migratory

Species of Wild Animals –

1979

The Convention on the Conservation of Migratory Species of Wild Animals (CMS), 1979,

requires countries to take action to avoid endangering migratory species. The term

"migratory species" refers to the species of wild animals, a significant proportion of whose

members cyclically and predictably cross one or more national jurisdictional boundaries.

The parties are also required to promote or co-operate with other countries in matters of

research on migratory species.

3

The Convention on Wetlands

of International Importance,

Ramsar 1971

Pakistan is a signatory to the said Convention. The principal obligations of contracting

parties to the Convention are:

• To designate wetlands for the List of Wetlands of International Importance.

• To formulate and implement planning so as to promote wise use of wetlands, to

carry out EIA before transformations of wetlands, and to make national wetland

inventories.

• To establish nature reserves on wetlands and provide adequately for their

wardening and through management to increase waterfowl populations on

appropriate wetlands.

• To train personnel competent in wetland research, management and wardening.

• To promote conservation of wetlands by combining far-sighted national policies

with coordinated international action, to consult with other contracting parties about

implementing obligations arising from the Convention, especially about shared

wetlands and water system.

• To promote wetland conservation concerns with development aid agencies.

• To encourage research and exchange of data.

So far 9 sites in Pakistan have been declared as wetlands of International Importance or

Ramsar Sites (WWF – Pak 2000). None of these wetlands is located within or in close

vicinity of the project area.

4

Convention on International

Trade of Endangered Species

of Wild Fauna and Flora

(CITES) – 1973

This convention came into effect in March 1973 at Washington. In all 130 countries are

signatory to this convention with Pakistan signing the convention in 1976.

The convention requires the signatories to impose strict regulation (including penalization,

confiscation of the specimen etc.) regarding trade of all species threatened with extinction or

that may become so, in order not to endanger further their survival.

5 IUCN Red List 2000

The red list is published by IUCN and includes those species that are under potential threat

of extinction. These species have been categorized as:

• Endangered: species that are seen to be facing a very high risk of extinction in the

wild in the near future, reduction of 50% or more either in the last 10 years or

over the last three generations, survive only in small numbers, or have very small

populations.

• Vulnerable in Decline: species that are seen to be facing a risk of extinction in the

wild, having apparent reductions of 20% or more in the last 10 years or three

generations.

• Vulnerable: species that are seen to be facing a high risk of extinction in the wild,

but not necessarily experiencing recent reductions in population size.

• Lower Risk: species that are seen to be facing a risk of extinction that is lesser in

extent that for any of the above categories.

• Data Deficient: species that may be at risk of extinction in the wild but at the

present time there is insufficient information available to make a firm decision

about its status.

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Figure 2.1(a)

ORGANIZATIONAL SETUP OF WAPDA

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Figure 2.1(b)

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Figure 2.1(c)

CE (NTDC) GM (Thermal) GM (Operations) GM (Hydel)

GM (GSO)

GM (GSC)

CE (GENCO-I)

CE (GENCO-II)

CE (GENCO-III)

GM (WPPO)

GM (CS)

GM (Fin) P

GM (C&M) P

GM (Planning)

GM (HV & SCL)

DG (IS)

CE (IESCO)

CE (FESCO)

CE (GEPCO)

CE (LESCO)

CE (MEPCO)

CE (PESCO)

CE (QESCO)

CE (HESCO)

MEMBER (POWER)

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Figure 2.2

ORGANIZATIONAL SETUP OF WAPDA ENVIROMENTAL CELL (WEC)

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Figure 2.3

THE JURISDICTION OF FEDERAL AND PROVINCIAL INSTITUTIONS

JURISDICTION OF “RESPONSIBLE AUTHORITY”

FEDERAL

- Projects in Federal Areas - Military Projects - Trans-National Impacts - Projects with Trans-Province Impacts (subject to consultation)

EPA

IEEs for private projects, and EIAs for both

private and public projects

PROVINCIAL

All Other Projects Including “Umbrella Projects”

P & D

IEEs for Public projects

P & D

IEEs for Public projects

EPA & EPD

IEEs for private projects, and EIAs for both

private and public projects

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Figure 2.4

Organizational Setup of the Northern Areas Administration

Chief Executive & Minister for Kashmir Affairs & Northern Areas (KANA)

Chief Secretary Northern Areas

Gilgit District

Diamer District

Ghizer District

Ghanchi District

Secretary Finance

Secretary Planning

Secretary Agriculture

Secretary Education

Secretary Works

Sakardu District

Deputy Commissioner

Assistant Commissioner

Tehsildar(s)

Deputy Commissioner

Assistant Commissioner

Deputy Commissioner

Assistant Commissioner

Tehsildar(s) Tehsildar(s)

Deputy Commissioner

Assistant Commissioner

Deputy Commissioner

Tehsildar(s)

Assistant Commissioner

Tehsildar(s)

Secretary KANA Division Islamabad

Secretary Home

Naib Tehsildar(s)

Naib Tehsildar(s)

Naib Tehsildar(s)

Naib Tehsildar(s)

Office Qanoongoh

Office Qanoongoh

Office Qanoongoh

Office Qanoongoh

Patwari Patwari

Patwari

Patwari

Naib Tehsildar(s)

Office Qanoongoh

Patwari

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3. PROJECT DESCRIPTION 3.1 Project Context 3.1.1 Electric Power Generation Capacity and Demand in Pakistan The total electrical power generation capacity in Pakistan as at June 2007 was stated as being 17,367 MW. This includes hydropower generation capacity of 6,463 MW, thermal power generation capacity of 10,549 MW and nuclear power generation capacity of 325 MW. Hydropower generation thus comprises 37% of the total installed electricity generation capacity of the country. However there are significant seasonal variations in capability to use the installed capacity, particularly with hydropower, where the demands for irrigation water requirements downstream of the hydropower plants also have to be taken into consideration when they are operated. There are currently five major hydropower generation plants in Pakistan of which Tarbela has by far the greatest installed generation capacity of 3,478MW. The comparison of these five plants is shown in Table 3.1. The other four are Ghazi Barotha (1,450MW), Mangla (1,000MW), Warsak (243MW) and Chashma (184MW). There are also nine much smaller plants whose combined capacity is about 109 MW, less than two percent of the total hydropower installed capacity.

Table 3.1 Hydro Power Sources As At June 2007

Energy Data of Operating Hydro Power Stations June 2007

Power Station Installed

Generation Capacity MW

Net Electrical Output GWh

Overall Cost of Generation

Ps/KWh

Utilization Factor

%

Tarbela 3,478 16,045 21.73 41.98

Ghazi Barotha 1,450 6,845

Mangla 1,000 5,942 12.01 31.88

Warsak 243 1,005 24.15 43.52

Chashma 184 1,137

Rasul 22 33 36.91 16.97

Malakand/Jabban 20 111 16.73 64.69

Dargai 20 133 6.71 75.95

Shadiwal 13 43 22.12 35.98

Chichoki Malian 13 23 40.71 19.73

Nandipur 14 34 35.95 27.77

Kurram Garhi 4 11 58.00 31.31

Renala 1 4 99.39 37.37

Chitral 1 5 101.39 52.44

Total: 6,463 31,371 Overall 20

Ref: WAPDA Vision 2025, part updated with MWP Year Book 2006-2007

Demand for electricity in Pakistan has been rising rapidly and is predicted to rise at an increasing rate in the future, particularly amongst the more affluent parts of the urban population. The present situation is that there is now significantly greater demand for electricity than the installed generation capacity, with the maximum shortfall being in June each year. This has resulted in rationing of electrical power which during 2007 reached a peak load shedding of 2,868MW in the month of June. This figure is 16% over the installed capacity and considerably greater than the seasonally available capacity. The situation in 2008 is even more serious as electricity demand has increased still further, causing widespread rotational load shedding that by May 2008 resulted in some parts of Lahore being without power for significant parts of the day and evening. This situation is causing serious economic losses to the country as well as being socially and politically divisive and could lead to a gradual increasing risk of social unrest.

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A series of small scale hydro power projects are currently being developed by WAPDA with a total generating capacity of 946MW. Whilst this will not by itself be sufficient to overcome the shortfall in installed generation capacity, the biggest problem is that they will take time to come on line, with the full extra 946MW not being available until 2011. A program of rapid provision of private fossil fuelled thermal generation capacity (including mobile units) is currently being implemented but this will also take some time to come on line, with 1,844MW planned to be available by the end of 2009 and an additional 2,009MW by the end of 2010. The first batch total of 5,037MW is planned to be online by December 2011. The aim of these fossil fuelled units is to cover the current shortfall till the new hydro power plants come on line. However the cost of generation from these thermal units will be very high as they use non-renewable fossil fuels that will inevitably increase in price. They will also produce environmentally damaging emissions. This is not a long term environmentally sustainable solution to the country’s power shortage. A further 8,298MW of private generation is planned to come on line between January 2012 and April 2016, including some small scale hydro generation and three very large coal fired power stations Despite this increased provision there will still remain a significant future shortfall in power generation in the medium term as demand is predicted to increase. This is despite the fact that electricity tariffs are already structured in an escalating way to try and restrict demand. The medium term solution being proposed is to develop two hydro power dams on the Indus river upstream of the already constructed multipurpose hydro power dam at Tarbela (See Figure 1.3). The first dam proposed is at Diamer Basha with an installed capacity of 4,500MW with construction planned to commence in 2009 and to come on line by 2016. Once Diamer Basha is in place then a dam can be constructed at Dasu that will be able to generate 4,320MW of power using the run of the river without seasonal storage in the reservoir. However it must be clearly understood that Dasu is technically dependent upon Diamer Basha being constructed first. 3.1.2 Fuel Sources for Electricity Generation The generation of electricity with fossil fuel powered thermal plants uses increasingly expensive (because they are finite) non renewable hydro-carbons that also produce greenhouse gas emissions. They are intrinsically environmentally unsound and unsustainable, although they are becoming increasingly more efficient as technology (such as closed cycle systems) advances. As at June 2007 the main energy sources of thermal electricity generation in Pakistan were oil, gas and coal. Nuclear fuelled sources provide just under 2% of generation capacity. Of all the electricity generation energy sources currently being used in the country hydropower is the only renewable source and also has the significant environmental advantage of causing no atmospheric emissions generated by fossil fuel burning or the very serious waste management problems and risk consequences of nuclear power generation. Hydropower generation is currently the least expensive form of electricity generation in Pakistan, although the capital costs of developing new plants will be high and there are complications in the way that such costs are depreciated over time. The running costs of hydropower generation plants are very low indeed and this advantage can only increase in the future as fossil fuel sources (much of it imported into the country) increase in price as they become scarcer. It has been estimated that the potential for hydropower generation in Pakistan is of the order of 40,000 MW. However it is important that the development of these hydro power generation sources is carried out in an environmentally sound and sustainable way, fully taking into consideration all the potential adverse impacts and including the cost of fully mitigating these into their overall evaluation. There are other potential renewable power sources in Pakistan (wind and solar power for instance) but none of these has as yet

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undergone significant commercial trials and whilst the technology for these is improving and the capital costs falling they are not yet placed to be used to address the critical power shortage that the country currently finds itself facing. Such alternative renewable power and energy sources do have a place, particularly at the local level (even down to the individual household) but in the context of Pakistan are unlikely to be a major source of power for the large urban areas in the way that hydropower is and increasingly will need to be. 3.2 The Need for the Dasu Project The need for increased power generation in Pakistan has been clearly laid out in the above section of the report and the intrinsic environmental advantages of hydro power generation over fossil fuel burning thermal power stations are clear. However great care is needed in the study and optimization of hydro power planning and design to ensure that any adverse environmental impacts (these include the need for land acquisition and involuntary resettlement as well as the consequences of changed river flow patterns) are adequately addressed and mitigated for so that no person is worse off as a result of the project. Hydropower generation is dependent on having adequate dependable differences in water levels and volumes to generate electrical power. The capital costs of developing such hydro power resources can be high but when realistically depreciated over time and combined with very low operating costs they have significant advantages. However the various options of dam site locations, reservoir sizes and the optimization of these requires an integrated planning approach, both within the context of river basin planning and also across economic sectors. On the Indus river this process is further complicated by the need to optimize the needs of water requirement for hydropower with the needs of irrigated agriculture. Hydropower generation is not a consumptive use of water and in the case of the proposed Dasu hydro power project there is no diversion into another catchment. The design and operation of most hydropower dams require that many hydrological factors be taken into account, both in terms of seasonal cycles and longer term trends in water availability and use and also the potential water and power demand. In the Indus reservoir levels would generally be low in early summer and the turbines operate at relatively low heads with consequently low power output. In the flood season the reservoir levels would be high and large discharges can be passed through the turbines for maximum power generation. In winter the irrigation water requirements are low but inflow into the reservoir is severely curtailed as the main water source is ice and snow melt in from the upper catchment. Such a situation means that discharges for power generation in winter are limited by the need to ensure that there will be sufficient water to supply irrigation requirements up until there is significant water inflow into the reservoir from snow and ice melt as seasonal temperature start to rise in the spring. There are long term uncertainties and complications created by climate change on the rate of melting of snow and ice in the upstream catchment and these are discussed in the environmental risk analysis for the project in Section 9.6. However the situation with Dasu is very different in that it is designed to operate as a run of river hydropower generation facility located between Diamer Basha and Tarbela dams. Dasu reservoir has restricted water storage capability and is intended to be operated on a daily cycle for generation of electricity to satisfy peak demand. This will result in there being large variations in reservoir level within a daily cycle. Due to these natural hydrological and water demand constraints the maximum installed generation capacity of hydro power plants on the Indus river can not be fully utilized throughout the year. For Dasu the situation is different in that the maximum installed generation is designed to be used on a daily basis but only at the time of peak demand

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of a few hours each day. There is however no doubt that hydropower generation has by far the lowest operating costs of any other form of power generation in the country. The utilization of the installed hydropower production capacity varies widely within an annual cycle. With 6,463MW installed hydropower capacity the actual utilization in a typical year can be as low as 2,650 MW (41%) in May (when electricity demand is rising) with the yearly average being around 3,700 MW (57%). The result of the compromised operating patterns (due to the need to guarantee water for downstream irrigation) is that the proportion of annual total energy generated by hydro power is less than the overall proportion of installed generation capacity provided by hydropower sources. Hence, the installed capacity of hydropower plants has to be compared with the actual power generated during the year in order to assess the effects of hydrological management compromises. In the year 2000/01, the total electricity generated in the country was 68,117 GWh, of which only 25% was from hydropower sources, despite the fact that the proportion of installed hydropower capacity in the country was 37%. However the operational cost of hydropower is significantly less than any other source of power generation in the country and even with the compromises that have to be made due to other water requirements, hydropower is by far the most superior form of power generation in environmental terms. 3.3 Generation Costs of Hydropower in Pakistan The generation cost of hydropower energy is around 20 Paisas per KWh (see table 3.1), a Paisa being one hundredth of a Rupee. This is considerably lower than that of fossil fuel burning power stations. However the capital costs of building the next large hydropower dams will be high (preliminary cost estimates for Diamer Basha are US $12 billion and Dasu US $5.1 billion) but when discounted over the life of the project they are still likely to produce electricity at a cost considerably lower than other more environmentally damaging fossil fuel or nuclear power options. However hydropower generation operation is constrained by other water demands resulting in sub-optimal use of the installed capacity. This compromises its ability to operate efficiently and particularly to fully use the installed capacity when demand is at its seasonal high. Such a situation requires a fundamental strategic approach to environmental resource evaluation and valuation which lies well outside the scope of the present study. However the cost benefit assessment of Dasu (and Diamer Basha) has been based on a value of generated electricity split into a peak rate and an off peak rate. More details of this can be found in the relevant sections of the main feasibility study report. However, the overall conclusion is that the Dasu project will be able to produce electricity at a significantly lower rate than other fossil fuel alternative sources. The average charge being made by WAPDA for hydropower in 2005 was Rs. 1.40 per kilowatt-hour for 50 units. (see the WAPDA Power System Statistics – Twenty Ninth Issue, Planning Development Power Wing, February 2005). 3.4 Utilization Factor for Hydropower Generation in Pakistan The Utilization Factor indicates the amount of energy actually generated against the maximum capacity of the installed plant. The ability to fully utilize the installed capacity of hydropower in Pakistan is influenced by the need to retain water in the storage reservoirs for future downstream irrigation use for food production. This is also influence by the likely timing of rainfall in the agricultural production areas. The overall result is that currently the utilization factor over an annual cycle for hydropower in Pakistan is lower than for thermal or nuclear energy as these plants can be consistently run at their maximum capacity if required. However the unit cost of production from well planned

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hydropower is significantly lower than other sources available in Pakistan, as well as being environmentally safe and sustainable. The Utilization Factor can also change from year to year, depending upon the current priorities for water allocation, the variation in demand for electricity and the available water head in the reservoir. There are also significant variations within an annual cycle. The utilization factors of differing hydropower generation plants in Pakistan during the year 2000-2001 ranged from between approximately 17% and 76 %. The mean annual utilization factor of the main hydropower stations is given in Table 3.1. Tarbela, with the largest installed capacity, was 42% and Mangla was 32%. 3.5 Future Hydropower Development in Pakistan No major new hydropower generation facility with significant water storage has been constructed in Pakistan since Tarbela Dam in 1977. This is a significant factor in causing the current inability to satisfy present demand for electricity. The immediate future development program for power generation in Pakistan is to try and cover the present serious shortfall in installed generation capacity by bringing on line fast track private thermal power stations. It is planned to provide an additional 1,844MW by December 2009, a further 2,009MW by December 2010 and by the end of 2011 a total of 5,037MW capacity of additional thermal power generation should be operational. By the end of 2011 it is also planned that a further 946MW of installed hydropower will be constructed by WAPDA from 12 relatively small plants. The proposed private sector power schemes due to come on line between January 2012 and April 2016 include 4,478MW of hydropower and 3,820MW of thermal power generation. This includes three very large coal fired power stations with their associated problems of environmental sustainability and emissions. However provided that the latest available technology is used for new coal fired power stations (closed cycle, combined heat and power with no emissions) and they are well managed, then these three coal fired power stations using locally mined underground coal could be used to fill the gap in generation capacity until large scale hydropower from Diamer Basha and Dasu comes on line. There is a need to develop environmentally sound and sustainable renewable energy sources. It has been estimated that Pakistan has the potential to develop 40,000MW of hydro power generation. However there are environmental constraints to such development and it is critical that these are fully considered in the planning of such projects. The existing reservoir at Tarbela is now being seriously compromised due to sedimentation. Extra turbines have already been installed at Tarbela and the dam at Mangla has been raised. The Ghazi Barotha and Chasma schemes have also recently been brought on line. The recent raising of Mangla has increased its life by 70 years and Chashma reservoir has now reached an equilibrium in terms of sedimentation. However in the medium term there is an urgent need to significantly expand the hydropower capacity of Pakistan, bearing in mind the relatively long construction periods for such projects. The Government recently announced that the Diamer Basha project will be implemented, with construction to start in 2009 and be completed by 2016 with an installed capacity of 4,500MW and at an estimated cost of US$***billion. Once Diamer Basha is in place then the Dasu dam and hydropower project becomes feasible, providing an installed generation capacity of 4,320MW at an estimated cost of US $12 billion and operating as a run of river project requiring a relatively small maximum reservoir area of 6,439acres (2,606ha). There are also other longer term hydropower possibilities being considered on the Indus and its tributaries as well as off channel storage. These are outlined in the WAPDA Vision 2025 program.

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3.6 Project Features of Dasu The damsite and the reservoir area map of Dasu Hydropower Project is shown in Figure 3.1. The features of the proposed Dasu Hydropower Project are summarized in Table 3.2. The layout of the dam and hydropower arrangements is given in Figure 3.2. The proposed Roller Compacted Concrete (RCC) gravity dam with a crest level of 957masl would be 233m high. The completed dam would create a reservoir requiring land acquisition of 6,439acres (2,606ha) when the normal maximum reservoir level of 950masl is reached. This allows for a flood surcharge of 5m and a wave height of 2m. The generating head would be 201m and the underground power house would have eight turbines with a total maximum generation capacity of 4,320MW. The powerhouse and transformer excavated caverns would be located on the left bank of the river and the long tailrace tunnels would discharge back into the main Indus river at a location some 4km downstream of the dam axis measured along the river channel. The construction of two large tunnels is proposed on the left bank in order to divert the river whilst the dam is under construction. The dam site would be protected by cofferdams whilst it is under construction. The concrete spillway will have a crest level of 930masl with six large radial gates. There would be seven low level outlets for sediment sluicing and depletion of the reservoir to low level, if needed. 3.7 Schedule for Implementation of Dasu Project The details of the timing of the key stages in the construction of the proposed project are given in Figure 3.3. The project construction would be completed in 8 years. As previously explained, the construction of the dam at Dasu is dependant on the upstream dam at Diamer Basha being constructed first. At present it is planned for Diamer Basha to commence construction in 2009 and be completed by 2016. A crucial factor is the need to upgrade the KKH at a higher level and with clearance, gradients and curves that are capable of taking the materials and machinery needed for the construction of the dam at Diamer Basha. The upgraded KKH will not only serve Diamer Basha Project but also support the transport needs of the Dasu Project. Nevertheless, about 46 km stretch of KKH along the proposed Dasu reservoir is located below El.957m and will therefore be inundated when the reservoir is impounded. Replacement of this stretch of KKH will have to be built at higher level. The key dates for environmental assessment and management are when land acquisition will be required. It is imperative that all legal procedures are followed for land acquisition and people are resettled well before the contractor requires occupation of the site. For the access roads, dam site and construction camp areas this will be during year zero. For the reservoir area an assessment will need to be made of the flood risk during the construction period and the likelihood of the coffer dams being fully impounded up to 805masl. Full impounding to 950m is planed to commence in year seven.

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Table 3.2 Dasu Hydropower Project Principal Project Data

Location 7 km upstream of Dasu town and

74 km downstream of Diamer Basha Dam

site

Hydrology

- Average Discharge at Dasu 2081 m3/s (73,490 cusecs)

- Average Annual Runoff Volume 65.63 BCM (53.18 MAF)

at Dasu

- Safety Check Flood (SCF) 36,640 m3/s (1,293,929 cusecs)

- Basic Design Flood (BDF) 20,908 m3/s (738,359 cusecs)

Reservoir

- Gross Storage Capacity (El.950m) 1.4 BCM (1.15 MAF)

- Operational Storage Capacity 0.83 BCM (0.67 MAF)

(El. 900 – 950m)

Diversion Tunnels

- Number and Shape 2, D-shaped

- Size and Lining 12m x 20m high, concrete lined - Average Length 878m

- Discharge/tunnel 3500 m3/s at headwater El.805m Cofferdams

- Type Hard Fill

- Crest Length U/s cofferdam 143m,

D/s cofferdam 88m

- Height U/s cofferdam 40m, D/s cofferdam 17m

Main Dam

- Type RCC (Gravity)

- Maximum Height above bed rock 233m

- Crest Length 536m

- RCC Volume 4.25 MCM

Spillway - Type Frontal, overflow, gated - Number of Bays 6

- Type and Size of Gates Radial, 16.5 m wide x 20m high

- Maximum Discharge Capacity 28,636 m3/s

- Size of Plunge Pool 190m from dam toe

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Table 3.2 Dasu Hydropower Project Principal Project Data

Low Level Outlets

- Number and Size 7 (5.0 wide x 7.2m high)

- Shape and Lining Rectangular, steel lined

- Discharge Capacity/Outlet 814 m3/s at reservoir El.850m

Power Tunnels - Number and Shape 8, circular - Size and Lining 8.5m dia, concrete line - Maximum Velocity 5.7 m/s - Length 260m Powerhouse - Installed Capacity 4320 MW - Generating of Units 8, Francis turbines - Location Underground, left bank - Length 306m - Width 26m - Height 60m - Maximum Gross Head 201m - Rated Discharge (8 units) 2600 m3/s (92,000 cusecs) - Rated Voltage 21 kV - Total Energy 21,334 GWh/annum - Plant Factor 52% Tailrace Tunnels - Number and shape 4, D-shaped - Size and lining 10m x12.5m concrete lined - Maximum Velocity 5.6 m/s - Discharge per Tunnel 650 m3/s - Length 2625m Power Transmission - Transmission Voltage 765 kV (AC) - Powerhouse Substation GIS, Underground - Transmission Substation AIS, Surface - Transmission Line Dasu – Gujar Khan – Gatti (575 km)

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4. PROJECT ALTERNATIVES 4.1 No Project Option The total installed power generation capacity in Pakistan in June 2007 was stated to be 17,367MW. There was load shedding of 2,868MW in the month of June 2007 as demand could not be met from the existing installed generation capacity. The situation in June 2008 was worse still with widespread rotational load shedding. The clocks were moved forward an hour in an attempt to cut power demand. The situation caused serious economic losses to the country as well as being politically and socially divisive. This situation with insufficient installed power generation capacity is very serious and untenable. Measures have already been taken to restrict demand by using an inverse tariff by which larger customers using larger amounts of electricity pay a higher rate per unit. As indicated in Section 3.5 of the report the government is now embarking upon a phased program of fast track measures to provide additional installed generation capacity. This is planned to rely on new private fossil fuelled thermal stations for 5,037MW (as they can be brought on line more quickly than large scale hydropower) and government small scale hydropower of 946MW due to come on line by the end of 2011. Between 2011 and 2016 additional generation capacity is planned to be provided, including three large coal fired private power stations and some relatively small scale hydropower plants. It is anticipated that the Diamer Basha hydropower project will come on line in 2016 with an installed capacity of 4,500MW, increasing the proportion of electricity generated from environmentally sustainable hydropower sources. A further 4,320MW would come on line in the future if the Dasu hydropower project were to be implemented. This would increase the proportion of power generated from hydropower still further. The predicted peak power demands by year as given by WAPDA in their load forecast are: 2007/2008 = 20,703MW 2008/2009 = 22,500MW 2009/2010 = 24,474MW 2010/2011 = 26,520MW 2011/2012 = 28,683MW 2012/2013 = 30,944MW 2013/2014 = 33,394MW 2014/2015 = 36,217MW 2015/2016 = 39,283MW This is almost a doubling in an eight year period. A crucial factor influencing electricity demand is pricing policy, particularly the structure of the tariff. The cost of power generation using fossils fuels will inevitably increase as fuel sources become exhausted and replacement sources are more expensive to extract (unless there is a significant change in the technology for abstraction). This is also influenced by the way in which hydrocarbon producing countries manage the rate at which they abstract their fuel sources. The degree to which governments subsidize or levy taxation on fuel sources also influences the price of power generation and this will become more contentious as world fuel prices increase. Changing fuel prices can have very significant economic impacts with social and political implications. The present tariff

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system for electricity in Pakistan already has an escalating tariff in which higher users of power pay a higher unit cost. This means that the possibilities for further reducing demand for electricity through changes in the tariff structure are already restricted. It is obvious that electricity production in the country needs to be rapidly increased to address the current serious shortfall relative to present demand. However the short term measures being proposed to fill the gap rely heavily on fossil fuels which will have higher and escalating production costs when compared to hydropower production. The development of Diamer Basha will create additional 4,500MW of generation capacity that is naturally renewable and emission free and restore the balance of the countries power produced from such sources back to the 39% that it was in 2008. The construction of Dasu hydropower project will produce an additional 4,320MW of naturally renewable electricity with no emissions. If, for what ever reason, demand for electricity does not increase as much as predicted, then fossil fuel generation can be appropriately reduced or held for back up use to satisfy peak demands. Such a situation would allow greater flexibility in power generation and give more options that would allow appropriate optimization based upon a range of criteria, including the cost of fossil fuels and the water needs of downstream users. The outcome of a without project option (which implicitly assumes that Diamer Basha will be built) is that demand for electricity may not be met and greater reliance will have to be made on finite fossil fuel sources that create greenhouse gas emissions. 4.2 Technology Alternatives The main sources of fuel and technology for power generation in Pakistan are thermal power (including natural gas, oil and coal), hydro power and nuclear fusion. The proportions of total installed capacity for these in 2007 were 61% for thermal, 37% for hydro and 2% for nuclear. 4.2.1 Thermal Power In Pakistan thermal power can be produced by using furnace oil, gas, diesel and coal as fuel. All of these are non-renewable resources and are likely to increase in price in real terms over time. Moreover furnace oil and diesel have to be imported and are at the mercy of a range of external economic and political factors, including competition for other uses and users. However there are some advantages that thermal fossil fuelled power plants can have over hydropower generation but these have to be assessed on a case by case basis: - Transmission costs of energy produced by thermal power plants are often less as

they can be located closer to demand centres, where as hydropower plant locations are fixed by the availability of changes in water levels.-Thermal power stations can be constructed more rapidly than hydropower plants and are better able to be used for addressing short term increases in overall demand.

- In Pakistan current thermal power stations (fuelled by natural gas oil) have greater flexibility of use and are better suited to handling peak demands as hydropower is constrained by the need to also satisfy other future water users.

- The land acquisition, resettlement and relocation problems are normally likely to be less severe for the construction of thermal power plants than reservoirs for hydropower generation. However this varies according to the fossil fuel source. Opencast coal mining can be highly problematic in this respect.

- The capital cost of thermal power plants is normally much less than that of a comparative output hydropower plant.

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Some of the above advantages have been used to justify construction of thermal power plants in Pakistan. However the following disadvantages of thermal power plants make them particularly unfeasible and environmentally unsustainable in the long term in Pakistan when compared to well planned and managed hydropower generation: - Thermal power plants use non-renewable fossil fuel sources which by definition

makes them environmentally unsustainable. - The unit cost of energy from thermal power plants is very sensitive to fuel costs

over which the government and the nation have very limited control. Even when the capital costs of hydropower plant construction are included (using established discounting techniques), the cost of generation of hydropower is less than that of fossil fuelled thermal plants.

- Thermal power plants emit gases such as NO2, SO2, and PM10 which are significant greenhouses gases. In addition plant process and cooling water contain toxic chemicals, including oil and grease, coolant and blow down water. Thermal power plants are intrinsically more likely to be damaging to the environment and a higher risk to the health of the local population.

- Pakistan is running short of natural gas which has competing uses, particularly as a low emission fuel for vehicles. It is now government policy to try and restrict the use of gas as a fuel for electricity generation.

- Oil and diesel have to be imported in to Pakistan and use scarce foreign exchange. The price of oil and gas can only increase in the long term as they are a finite resource and their availability is subject to major global economic and political factors.

- Thermal power plants are visually obtrusive and dominate the local landscape being aesthetically damaging. Such plants do not provide the recreational and amenity value that well managed hydropower reservoirs can give.

It is clear that thermal power generation is inherently an environmentally poor option for production of electricity in Pakistan and is best used to achieve short term increases in power generation capability pending the implementation of well planned hydropower facilities, which by their very nature take longer to plan and construct. 4.2.2 Nuclear Power There are currently two nuclear power plants operating in Pakistan. The Karachi nuclear power plant (KNUPP) with an installed capacity of 135MW is a heavy water reactor supplied from Canada in 1972. The Chashma Nuclear Power Plant (CHASNUPP) was set up with assistance from China and uses liquid nuclear fuel (heavy water) and has an installed capacity of 325MW. There are plans for an additional similar second Chinese assisted plant also with a capacity of 325MW. There are very serious environmental sustainability problems with nuclear power generation, particularly the difficulties of dealing with highly hazardous waste for which there is currently no sustainable disposal method. In addition the decommissioning of first generation nuclear power facilities constructed in the developed countries that are now time expired is proving highly problematic and hugely expensive. There has always been great difficulty in obtaining the true cost of nuclear power generation capacity, (especially when trying to include the full construction, operation and decommissioning costs) as such facilities are often intrinsically linked to nuclear weapons programs and are classified information. However it is starting to emerge that when all factors are included the real cost of nuclear power generation is very high. There are also very serious safety issues with nuclear power plants, both in their construction and operation,

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which even the richer countries of the world with all of their resources have experienced significant problems. The conclusion is that nuclear power generation is not economically or environmentally sustainable. Well planned hydropower generation has inherent significant advantages over nuclear power production from both an economic and environmental sustainability perspective. 4.3 Alternative Hydropower Development Projects In order to carry out a truly complete environmental comparative evaluation of all alternatives it would be necessary to consider all of the other proposed hydropower projects for the country and the phasing of the implementation of these based upon a set of rational environmental criteria. This is way outside the scope and resources of the EIA work for the Dasu Hydropower Project and is best carried out as part of an overall strategic planning and prioritization program for the whole of the river basin, including evaluation of cross-sectoral issues for the water, power and agricultural production sectors. Such an evaluation should have an environmental component which identifies environmental policy issues and how best to achieve these within the framework of environmentally sound and sustainable development. 4.4 Dam Site Location Alternatives Monenco identified a dam site on the Indus River at a location about 4 km upstream of Dasu village, and about 79 km downstream of the Diamer Basha Dam axis. On commencement of the feasibility study for the Dasu project, the Consultants identified six additional potential dam locations within a river reach of about 7 km. These locations were mainly identified during office studies using 1:50,000 scale SOP maps and the latest acquired satellite imagery. All seven locations (hereinafter referred to as dam axes), including the one proposed by Monenco (known as Axis No. 2), are shown in Figure 3.1. During an initial field visit, the Consultants examined the 7 km reach of the Indus river within which the dam axes were identified. It was observed that the river reach was geologically divided into two distinct zones, meta-diorite Igranulite in the upstream part of the reach and amphibolite in the downstream area (see Figure 3.2 for the Khoshe fault located at the contact of the two formations). The downstream zone contains axes 1 to 3, and the upstream zone encompasses axes 5 to 7, whilst Axis 4 straddles the two zones. The site observations resulted in the elimination of Axis 1, as although it was very close to the Monenco preferred site of Axis 2 the river was significantly wider at this point and did not seem to present any technical advantage over Axis 2. Axis 7 was eliminated due to the fact that the available head was lower and yet it did not offer any advantage over the close by Axis 5 and Axis 6. Axis 4 was eliminated because of unfavourable geotechnical and topographical conditions that were observed during the site visit. Consequently four sites at locations 2, 3, 5 and 6 were retained for further investigations. During the process of more detailed investigations, work on Axis 3 was suspended as the site was found to be affected by several unfavourable geotechnical features. By process of eliminating the unfavourable options, three axes (2, 5 and 6) were chosen as potential candidate dam sites for further investigation with a view to finally recommending the most optimum location for a Dam for the Dasu Hydropower Project. Topographical surveys, geological and geotechnical investigations, environmental

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aspects and other factors were all considered and studied to a level detail required for a comparative evaluation of the three sites to be carried out in a technically sound manner. Planning studies for a range of differing dam types located on these three sites were also completed. The main factors that were considered when doing the comparative evaluation of the three sites for selection of the preferred location for the feasibility investigation are summarized below. They included hydrological considerations, geological and geotechnical factors, natural hazards including seismic activity, energy production capability and environmental factors, specifically settlement inundations. 4.4.1 Hydrological Considerations For all three of the dam sites being considered the hydrological conditions and parameters, such as normal river flow, floods, and sediments will be effectively regulated by the operation of the upstream dam at Diamer Basha. The inflow to the Dasu reservoir will be a combination of the regulated outflow from Diamer Basha Dam and a small contribution of the catchment area enclosing the Basha to Dasu reach of the Indus River. There is no major Nallah (side stream) within the river reach containing the three sites being compared. As a result the hydrological parameters, such as water availability, sediment inflow, and flood conditions are similar for all three locations. The reservoir full supply level for Dasu is governed by the tail water level of the Diamer Basha Dam and was fixed at 950masl for purpose of the comparative evaluation of the three selected possible dam locations. As the three locations are in such relative close proximity, the difference in reservoir storage volume was considered negligible. As a result the conclusion was that there were no significant hydrological advantages or disadvantages between the three possible dam site locations. 4.4.2 Geological and Geotechnical Consideration In the upstream reach that includes sites 5 and 6, the Indus River flows through a V shaped symmetrical valley with slopes inclined at 35 to 40 degrees on each side of the river. This upstream area consists mostly of bedrock terrain, either as exposed outcrop or concealed by a thin veneer of unconsolidated material whereas the river channel beneath the flow is covered alluvial deposits. The bedrock consists predominantly of meta-diorite/granulite which is grey, coarsely crystalline, very strong and generally non-foliated in surface outcrop. The data from the right bank boreholes indicates that weathering effect exist to a few meters depth. The lower reach contains Axis 2. At this site the right bank consists of a series of scarps and narrow benches and has an overall high inclination angle of nearly 50 degrees. The left side slope has more gentle profile with a steep scarp over the river edge and then the gentle topography. It has an overall slope of about 35 degrees. Above river level the area mostly consists of bedrock terrain, either exposed or covered by unconsolidated material. The bedrock of the left bank lower reach consists predominantly of amphibolite gneiss with some schistose phases. The rock has dark grey banding, is coarsely crystalline, strong to very strong and moderately foliated. The data from the right bank boreholes indicate that weathering extends to a few meters in depth. From the above stated geological condition, it is evident that all the three candidate sites can be considered suitable for a high dam. A comparison of the three sites reveals that Axis 5 and Axis 6 seem to be more preferable sites on geological and geotechnical consideration than Axis 2.

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4.4.3 Seismic and Other Natural Hazards Seismic Hazard The Kohistan Arc region is characterized by significant seismic activity. It is clear from the available data that the area is subject to relatively severe earthquakes and that a dam will have to be designed to contend with these conditions requiring the use of appropriate design criteria. This condition is equally applicable to all the three sites. Detailed neo-tectonic studies were carried out and the results were given in a report submitted in June 2007. The outcome of the studies revealed that the fault on the left bank (see Figure 3.2) is inactive therefore can be crossed by the tailrace tunnels to increase the head and power generation capabilities at sites 5 and 6 whilst avoiding flooding the area between axis 2 and axis 5. Other Natural Hazards The natural hazards which can affect the stability of the dam and storage volume of the reservoir include large landslides (particularly those into the reservoir upstream of a dam), glacial lake outburst floods, and debris flows. Reconnaissance studies have not delineated any significant natural hazards that may threaten the project in the catchment area of the dam downstream of the Diamer Basha dam site. There are however significant hazards upstream of Diamer Basha and these have been addressed in the studies for that project. The risk of any possible natural hazards having an impact on the Dasu project have been fully evaluated during the course of studies and are written up in Section 6 of this report and summarized in Section 9. Such risk analysis is an essential requirement for any hydropower project. Valley Cross-Sections The valley cross-sections at the three selected sites were surveyed by WAPDA. Their configurations bear general similarity in shape and side slopes but Axis 5 is relatively narrower and hence the volume of the dam and which results in the cost of a dam at Axis 5 being less than one at Axis 2 or Axis 5. 4.4.4 Energy Production Considerations The nominal generating capacities and average annual total energy, as well as the four hour peaking energy produced at each of the different dam sites assuming a short tunnel layout is given below in Table 4.1.

Table 4.1 Summary of Energy Production and Value

Item Axis 6 Axis 5 Axis 2

Generating Capacity (MW) 4,000 4,069 4,320

Average Firm Energy (GWh) 16,485 16,762 17,802

Average Secondary Energy (GWh) 2,565 2,619 2,810

Total Energy (GWh) 19,050 19,381 20,613

*Annual Value ( Million US$) 419 427 454

*Present Value (Million US$) 3,901 3,970 4,221

*Incremental Value (Million US$) - 103 484

From the above analysis it is evident that Axis 2 is more advantageous in terms of energy production when compared to Axis 5 and Axis 6. Approximately 6 to 8% more energy can be produced with a dam located at Axis 2. This is not surprising as it is the

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most downstream site of the three. However subsequent re-optimization of the design has allowed a dam located at Axis 5 to have the same power output as one at Axis 2. 4.4.5 Environmental Considerations The estimated incremental environmental costs of likely impacts of dams located at Axes 6, 5 and 2, considering Axis 6 as the baseline are given in Table 4.2 below. These costs mainly relate to losses of land and immovable assets within the area of permanent works, particularly the reservoir, using a limit of 957masl.

Table 4.2 Summary of Relative Direct Environmental and Resettlement Incremental Costs using Axis 6 as a Base

Axis

Comparative Additional Cost (Million Rs.)

6 0

5 81 2 1,105.5

From the above data of the environmental losses from the three dam locations, it is evident that purely on the environmental considerations, Axis 2 is more problematic when compared Axes 5 and 6. However this has to be offset against the fact that initial analysis using the short tunnel configuration, a dam at Axis 2 was able to produce an estimated 6 to 8% more energy than a dam at Axis 5 or 6. The analysis of the comparative environmental impacts between a dam located at Axis 2 and one at Axis 5 has subsequently been refined and the results are summarized in Table 4.3. The number of people displaced and houses flooded, along with the land areas and their use, have been estimated using detailed satellite imagery and field ground truthing. It can be clearly seen that using a dam located at Axis 5 rather than at Axis 2 results in a 52% reduction in the number of people directly adversely affected by the construction of the project (reduced from 7,670 down to 3,670). The reason for this is the fact that using Axis 5 saves the settlement of Seo from being flooded, along with a historically important mosque and also a graveyard. There is also a 64% reduction in the total number of buildings lost and significantly the loss of agricultural land is reduced by 57%, despite the fact that the total land loss area is reduced by only 13%. This is due to the concentration of agricultural land between Axis 2 and Axis 5 when compared to the rest of the reservoir area. The loss of power generation potential that would initially occur from moving the dam site from Axis 2 to Axis 5 was relatively small (320mw, a reduction of 7%) but nearly all of this has subsequently been recovered by optimizing changes in the engineering design. Far more importantly, the use of Axis 5 rather than Axis 2 avoids the need for remote resettlement of some 4,000 people which would have been technically, politically and socially difficult and disruptive. By moving the dam site from Axis 2 to Axis 5 there are highly significant gains in reducing environmental impact and avoiding social conflict which could otherwise be highly divisive and have political and security implications. Another significant factor is that it allows the existing KKH road bridge at Dasu to be retained as a major river crossing point of the Indus, where as a dam at Axis 2 would need the crossing relocated due to the unacceptable gradients that would result from using the existing bridge location.

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Table 4.3 Environmental Impacts - Loss Reduction of Axis 2 and Axis 5 Compared

Difference of Percent Sr.

No. Item Unit Axis-2 Axis 5

Axis 2 & Axis 5

Reduction in Losses

1 Population No. 7670 3670 4000 52

2 Housing Units No. 778 278 500 64

3 Land Acres 7363 6439 924 13

4 Agriculture Land Acres 197 84 113 57

5 Grazing Area Acres 54 51 3 6

6 Barren Land Acres 4855 4201 654 13

7 Forest Trees No. 22149 20000 2149 10

8 KKH Km 51 46 4 8

Notes:

1. The village elders of Seo village called a Jirga at which it was decided to exclude the settlement of the Seo area from the Project area.

2. The population of the Seo village area, comprising 4000 person which would probably have to be resettled in remote location, was saved.

3. One graveyard comprising 5000 graves would have been submerged with a dam at Axis 2. The inhabitants of Seo insisted that this be avoided.

4. A very old wooden mosque of historical importance was also saved as desired by the Seo village elders, by shifting the dam axis from site 2 to 5.

5. Losses in potential power generation capacity due to shifting of the dam axis were recovered through engineering design solutions.

6. Construction of a dam at Axis 2 would require relocation and/or reconstruction of the exisitng Dasu bridge of the KKH over the Indus river.

4.5 Types of Dam 4.5.1 Comparison of Alternatives

Four different types of dams were evaluated for use at Dasu. They were: - Earth Core Rockfill Dam (ECRD) - Concrete Face Rockfill Dam (CFRD) - Concrete Gravity Dam (CGD). This includes Arch Gravity Concrete Dam (AGCD) - Roller Compacted Concrete Gravity Dam (RCCD) The field studies confirmed that there is no source of impervious material in the vicinity of project area, which could be used in core of an Earth Core Rockfill dam. The possibility of using an ECRD was therefore excluded. In case of a thin arch dam, there are more specific and rigorous requirements for foundation conditions than the three other types, especially when located in an area of high seismic risk and was also discounted. CFRD and RCC dams were considered at all the identified axis locations. The selection of differing types of dams at the locations was on the basis of geological conditions and configuration of the individual axis. Accordingly preliminary layouts were prepared for the two selected dam types (CFRD and RCC) to allow an initial assessment to be carried out. Comparative cost estimation has been carried out of the two alternative types of dam at the three selected locations (2, 5 and 6).

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4.5.2 Cost Considerations Detailed cost estimations have been prepared for six alternatives (two types of dam at three locations) by using the material quantities required and multiplying these with unit rates. The costs of the dams, broken down by construction component and including resettlement costs, are given in Table 4.4. These estimates are based on a short tunnel configuration and their main use is for comparison purposes. The ranking of these shows a RCCD dam located at Axis 5 to be the lowest cost.

Table 4.4 Comparative Ranking of Construction Costs by Axis and Dam Type (Short tunnel layout in Million U.S.$)

Axis 2 Axis 5 Axis 6 Item. No.

Axis & Type of Dam

Item RCCD CFRD RCCD CFRD RCCD CFRD

1 Preliminary Works and Diversion

385.6 405.1 366.9 406.2 373.3 383.2

2 Dam Body / Embankment

357.9 215.9 278.8 171.6 340.1 170.8

3 Spillway and Outlet Works

211.0 726.2 192.9 860.8 240.1 1044.1

4 Power House and Equipment

568.8 576.6 582.6 594.0 656.6 688.1

5 Transmission 854.2 854.2 855.2 855.2 856.2 856.2

6 Relocation / Resettlement

210.7 210.7 191.6 191.6 185.4 185.4

7 Construction Cost 2588.0 2988.7 2468.0 3079.6 2651.7 3327.8 8 Cost Ranking 2 4 1 5 3 6

The cost comparison for the two dam types at three locations against the capable installed generating capacity and the net energy benefits of these are given in Table 4.5.

Table 4.5 Comparative Costs

(Construction, Energy Benefits and Environmental Cost in Million U.S.$.)

4.5.3 Main Observations All three dam locations (Axis 2, Axis 5 and Axis 6) have been found competitive for Dasu Hydropower Project. The topography and geology at all three locations are suitable for ECRD, CFRD, and Concrete Dam (CGD, AGD, and RCCD). However an ECRD is economically not feasible due to the non availability of impervious material within economic haulage distance. At Axis 2 geological conditions are relatively poorer than the other two sites but are still considered acceptably adequate for construction of the requisite large dam. The difference in geological conditions to some extent has been reflected in the cost evaluation in that poorer conditions require additional construction work. However it is prudent that issues like risk factors and levels of confidence associated with uncertain features should also be taken into account. These include the issue of the geological

Axis Type of Dam Generating

Capacity (MW)

Construction Cost

Discounted Net Energy

Benefits

Relocation/ Resettlement

Cost

2 RCCD 4,320 2588.0 6371.0 210.7

CFRD 4,320 2988.7 6371.0 210.7

5 RCCD 4,280 2468.0 5990.0 191.6

CFRD 3079.6 5990.0 191.6

6 RCCD 2651.7 5887.0 185.4

CFRD 3327.8 5887.0 185.4

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phenomenon of suspected ancient landslide/mass movement features on the left bank of river in the lower reach which may have some serious implications for a dam constructed at Axis 2 . An RCC dam produces the least cost option at all three locations when compared to the other dam types. The estimated length of time of construction for an RCC dam is shorter than CFRD option which results in the benefits coming on line earlier which has economic advantages. A dam located at Axis 2 has the most adverse environmental and resettlement impacts. The resettlement problem with a dam at Axis 2 is twice as serious in terms of numbers of people displaced as dams located at Axis 5 or Axis 6. The initial estimates of environmental mitigation costs indicate that compared to the initial construction cost estimates that they are relatively low at around 3.6%. The calculation of energy benefits indicated that the short tunnel arrangement at Axis 2 produces a similar output as an optimized long tunnel arrangement at Axis 5 or Axis 6. The maximum full supply level of the reservoir is fixed at 950masl by the location of Diamer Basha dam. The crest level of 957masl is also optimized for any of the dam locations based upon the maximum full supply level of the reservoir. Dam heights are therefore lower at the upstream dam locations, being 187m above river bed level at Axis 6, 193m at Axis 5 and 207m at Axis 2. A surface power house was initially considered possible at both Axis 2 and Axis 5, whereas at Axis 6 only an underground power house was considered feasible. However available suitable land is at a premium at all sites and the proposed design for a dam at Axis 5 has an underground powerhouse. The initial comparative total base cost of a RCC dam at Axis 5 is the least of the three sites. However the initial comparison with a short tunnel option indicated that the maximum install power generation capacity was greatest with a dam at Axis 2 (see Table 4.1). 4.6 Conclusions and Recommendations of the Comparative Dam Location

Analysis Based on the above observations and taking into consideration all the factors described in the previous sections, including geological, geotechnical and other technical aspects along with economic and environmental considerations, the Consultants were of the considered view that an RCC gravity dam at Axis 5 is the most preferred option for the implementation of Dasu Hydropower Project due to the following advantages over dams located at Axis 6 and Axis 2: Advantages of Axis 5 over Axis 6:

• The total base cost of the project with a dam at Axis 5 is less than one at Axis 6 and also that at Axis 2.

• The energy benefits are slightly higher (2%) at Axis 5 when compared to Axis 6. Advantages of Axis 5 over Axis 2: • The total base cost of the project with a dam at Axis 5 is less than at Axis 2.

• The dam height at Axis 5 is significantly less (14m) than at Axis 2.

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• Environmental and resettlement issues are considerably less (54% fewer people will need to be relocated) with a dam at Axis 5 when compared to one at Axis 2.

• There is no apparent unresolved geotechnical issue to the development of a dam at Axis 5 where as a dam at Axis 2 would need to investigate the potential landslide problem on the left bank upstream of Axis 2.

• Although the energy benefits are slightly higher with a dam at Axis 2 (6% greater) when compared to Axis 5, the more significant and sensitive social and environmental issues with a dam at Axis 2 give Axis 5 a distinct advantage. The significant additional height required for a dam at Axis 2 (which involves higher risks and complications) and also the need to address the landslide risk on the right bank also give Axis 5 an advantage over a dam located at Axis 2. The re-optimization of the design at Axis 5 has in any case managed to increase the power generation capacity to be the same as that with a dam located at Axis 2.

As a result of the above conclusions it was recommended that an RCC dam located at Axis 5 be selected to be taken for full feasibility study. The favored option that has emerged is for a RCC dam located at Axis 5 with an inlet on the left bank to an underground powerhouse and a set of long tunnels to the tailrace discharge at the Axis 2 location. Diversion tunnels on the left bank would be constructed to allow the dam to be built. This optimized option using long tunnels now has an installed generation capacity of 4,320MW. The layout is given in Figure 3.2. The decision to use Axis 5 rather than Axis 2 was greatly influenced by the significantly higher resettlement problems created by a dam located at Axis 2 rather than at Axis 5. This clearly demonstrates that early incorporation of environmental considerations into project planning can avoid significant potential adverse impacts.

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5. PROJECT SCOPING AND PUBLIC CONSULTATION 5.1 Project Scoping Scoping is a vital step which identifies the issues that are likely to be important during the environmental assessment and eliminates those that are not. Scoping is a process of interaction between the interested public, government agencies and the proponent. Scoping refers to the process of identifying: - The appropriate boundaries of the environmental assessment - The important issues and concerns - The information necessary for decision making - The significant impacts and factors to be considered Public consultations are one of the important inputs to the environmental study and the overall planning of the project to achieve environmentally appropriate designs that will address adverse impacts. It is a requirement of the Environment Protection Agency of Pakistan to conduct public consultations for proposed projects. Similarly both the World Bank and the Asian Development Bank require that public consultation be an intrinsic part of the environmental assessment process. 5.2 The Nature of Public Consultation The nature of public consultation can vary greatly in terms of the degree of involvement of people at different stages of the planning and implementation of a proposed project. It is also important to clearly identify the differing groups of people who have an interest in the proposed project and understand their concerns. Of particular importance are those people who could be disadvantaged as a result of the proposed intervention. It is critical that these affected groups are identified early in the planning of a project so that ways of minimizing the potential adverse effects can be identified in collaboration with them. The key people who will be directly affected by the project are those people who live and have immovable assets in the proposed reservoir area. The limit of the reservoir area has been defined as being all land upstream of the dam axis and that lies below 957masl. In addition there will be other people who could have their economic livelihood adversely affected due to complex social and economic linkages, including those living downstream of the proposed dam axis. Informed public participation in the environmental review process encompasses consultation with those both directly and indirectly involved with the project. The groups who have an indirect interest are people who have a concern or expertise or may have relevant information regarding the nature, scope, and particulars of potential effects. Examples are NGOs, professional societies (such as Engineers), experts on cultural property, or those concerned with environmental quality. There are also important groups who work for human rights, anti-poverty and religious organizations. There is also key Government staff, at all levels, who have a role to play in the design and implementation of the proposed project. A listing of the people who have been consulted so far about the project is attached as Annex D. 5.3 Results of Public Consultation to Date 5.3.1 Selection of Dam Axis Location As has been indicated in Section 4.3, the location of the selected axis for the proposed

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dam was moved in response to public reaction. Of the seven locations considered (see Figure 3.1), numbers 1, 3, 4 and 7 were eliminated on geological grounds. When investigation drilling was started at Axis 2, local people resident in the settlement of Seo, just upstream of the location on the right bank, held a meeting (known as a Jirga) on the 24th June 2006. The outcome of the Jirga was a written statement to the Consultants (See Annex E for copies of the correspondence on this, including the letter in Urdu with an explanation letter in English), copied to relevant government officers. The letter indicated that a dam at Axis 2 with a reservoir full supply level of 950masl was not favored by the people at Seo as it would result in the inundation of a large number of houses, a 400 year old mosque and also a significant graveyard. They proposed that the dam location be moved upstream to Axis 5. A list of the Jirga members involved is included in Annex D. A copy of the letter was forwarded by the DHP Consultant to WAPDA. After extensive investigation, including structured interviews and discussions with local people outside the historic mosque (see Plate 7), a decision was taken by WAPDA on the 25th May 2007 to select Axis 5 for the Feasibility Study rather than Axis 2. By using Axis 5 rather than Axis 2 the number of people to be resettled was reduced by 52% (from 7670 down to 3670) and the number of buildings that would have been inundated if the dam had been constructed at Axis 2 was reduced by 64% to 278. The loss of agricultural land was also reduced by 57%. With the re-optimization of the design the change of dam location was possible without any loss in generation capacity. This is a clear demonstration of the advantages of early consultation and impact analysis where adverse impacts were avoided for no loss in the benefit of the proposed intervention. 5.3.2 Consultation with Affected People Structured interviews were held at various locations in the Project Area and also along the downstream riparian reach of the river. In all 262 households (HH) were randomly selected for interview out of the 414 HH known to be directly affected by asset loss in the reservoir area. A further 340 HH were selected for interview from the 1950 HH resident in the lower riparian area. The details are given in Appendix D, Socioeconomic Survey. Of the 30 businesses affected, 21 were also sampled for survey. The data was collected and analyzed and is available in Appendix D. A special effort was made by the environmental assessment team to interview the people who had seasonally migrated to the mountain tops during the summer and would not return to valley floor until November 2007. 5.3.3 Discussion with Local Government Officials Members of the environmental assessment team visited the Project Area on several occasions during the study period. Discussions were held with Local Government Officials at Dasu, Chilas and Pattan about the DHP and its possible environmental impact. A list of the Officials met is included in Annex D. . 5.3.4 Discussions with WAPDA’s Environment Cell (WEC) The Environment Cell of WAPDA deals with the environmental supervision of WAPDA projects. In order to establish the present status of the cell, their role and the future needs of the Dasu Hydropower Project, consultations were held with them. The meeting was held with the WAPDA staff listed in Appendix D. The current nature of the organization, staffing and capability of the WAPDA Environment Directorate was also discussed with the Director General WEC.

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5.3.5 Project Disclosure to Experts in Engineering Consultancy Companies The Project was explained to Mr. Anis Ahmed Chaudry, an eminent Environmentalist with extensive work experience in the Northern Areas and the reach of the Indus River where the DHP is located. The nature of the expected lost assets was outlined and the proposed strategy for relocation to minimize livelihood disruption was elaborated. The question of disruption to communications for people living on the right bank of the river was raised and the need to provide an adequate replacement network. Such a network would also assist in improving health and education provision in the area which should be part of the resettlement and rehabilitation package offered to displaced people. In order to try and increase the cash income of displaced people it was suggested to promote the cultivation of fruit trees. Mr. Chaudry also recommended that consultation be widened to include the Worldwide Fund for Nature (WWF) in Pakistan, the Federal EPA, the NWFP EPA as well as WAPDA and the Local Government at Dasu. The results of consultation with the WWF are indicated below. Wider consultation with some of the other institutions will be best left to the next stage of the project planning process when there will be a clearer idea of the possible timing of implementation of the Dasu project. 5.3.6 Project Disclosure to WWF Experts The WWF are an international NGO who are deeply involved in international environmental conservation of wildlife, including birds. They are involved in Pakistan in conservation of the Blind Dolphin in the Indus River, along with many other conservation activities. A meeting was held with Mr. Rizwan Mehmood, (Project Manager) of the WWF in Lahore on the 2nd November 2007. The DHP was explained to him and he was asked to comment on his concerns, if any. His comments were: • Being a run of river project with no consumptive use, the DHP shall have no

affect on the Blind Dolphin in the Indus River.

• The DHP is unlikely to have any impact on mangroves.

• The DHP will have no impact on riverine forests along the Indus River. • The DHP is unlikely to have any impact on wildlife which lives in the government

managed forests which are located above 7000 ft (2134masl).

• The game reserve area in Sammar Nullah should be respected. This is the area where Markhor (capra falconeri) live.

• The birds living in the Palas area in Kohistan District (which is about 30km downstream from dam site) are rare and are considered endangered. Since bird habitat boundaries are not firmly fixed, their presence or visits in the Project area should be carefully examined. Protection should be provided if their presence is reported, particularly during the breeding season. Blasting should be avoided near any locations where they are found. Identification of possible locations can be carried out by finding similar tree types in the Project area that they use in Palas.

• The EIA reports, once prepared by the Consultants for the Proponent (WAPDA) must be submitted by WAPDA to the EPA for Project Clearance as required by law.

5.3.7 Project Disclosure to Religious Groups (Imams at Dasu) Details of the proposed project were given to the following religious leaders: - Molvi Muzamail, Imam of the Seo historical mosque on the 6th November 2007 - Molvi Ismail, Naib Imam of the Kumila mosque on the 7th November 2007 - Molvi Roshan Khan, Imam of Chhoochang village on the 4th November 2007

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Religious leaders are important influences on the opinions of people in Dasu. The Chief Imams at Kumila, Dasu and Seo are critical carriers of information, including their sermons at Friday prayer each week. They are also arbiters, as well as being important personalities. All of the mosques which are going to be directly displaced by the project are located at police check posts. There is no Imam attached to these mosques and these buildings will be relocated when police check posts are replaced. 5.4 Future Public Consultation Requirements The procedure for future public consultation for the DHP is that the EIA report is an open public document. The whole Feasibility Study Report will be reviewed by WAPDA, but a decision to go ahead with the next stage of detailed design is intrinsically linked with the decision to construct the Diamer Basha dam upstream of Dasu. Only if and when the decision to construct Diamer Basha is confirmed and implemented will it be sensible to consider moving to the next detailed design stage of the DHP. If Diamer Basha is to be implemented then the timing of the planned commencement of construction of the DHP would logically be after construction of Diamer Basha was completed. It is thus a long time in the future and care is needed not to raise people’s fears and expectations unrealistically. If and when the implementation of the DHP is confirmed, then a detailed enumeration of lost assets will be needed as part of the preparation of a Resettlement Action Plan (RAP). The drawing up of a RAP will require a full program of public consultation and dissemination of appropriate information down to the level of individual affected household. In the meantime care must be taken to ensure that people are kept informed and that an atmosphere of uncertainty is not fostered in the area. 5.5 Other Relevant Proposed Developments WAPDA has prepared a 25 year development plan entitled “Water Resources and Hydropower Development – Vision 2025 Program” covering the whole of the country. There are three time phases identified, short term (2001 to 2006), medium term (2006 to 2011) and long term (2011 to 2025). In addition to the Diamer Basha Dam, located upstream of Dasu, another dam on the Indus at Bunji, 173km upstream of Diamer Basha, is being designed. This would be a run of river hydropower generation project. A dam is currently under construction at Satpara (sometimes called Sadpara) on a side tributary of the Indus near Sakardu upstream of Bunji (See Figure 1.3). Downstream of Dasu on the Indus there is the existing dam at Tarbela and one of the justifications for construction of the dam at Diamer Basha is to catch sediment and manage the flow into Tarbela. There is also an existing run of river hydropower project downstream of Tarbela at Ghazi-Barotha (See Figure 1.3). There are proposals for a dam between Dasu and Tarbela at Thakot and for a dam downstream of Tarbela at Kalabagh. There is also a potential hydropower dam site identified at Pattan on the Indus river downstream of Dasu but upstream of Thakot. The phasing and conjunctive management of the proposed development of the Indus with construction of the dam at Diamer Basha as a pre-condition to the DHP is complex from an environmental analysis point of view. The operation of Diamer Basha to firstly manage the inflow into Tarbela reservoir and then later for both the DHP and Tarbela reservoir will have to satisfy both hydropower generation criteria and the downstream demands for irrigation.

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A requirement for the construction of Diamer Basha dam is that the KKH will have to be upgraded to allow plant and materials needed for the dam to be transported to site. This includes ensuring that the bridges are strong enough to take the expected weight loadings and also that the gradients, bends and clearances (both width and height) are adequate. There will also be a need to realign the KKH upstream of Diamer Basha to ensure that it is above the full supply level of the proposed reservoir. The detailed planning for this is already underway by the National highway Authority (NHA) and is subject to a separate environmental assessment. The possible future need to relocate the sections of the KKH that currently lie below 960masl within the proposed Dasu reservoir has been recognized but is currently not part of the KKH improvement works. The construction of the power transmission lines from Diamer Basha would be a major job and require a separate EIA. The planning of the power line route would also need to consider possible future additional lines from the DHP.

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6. EXISTING ENVIRONMENTAL BASELINE SITUATION, CONSTRAINTS AND NEEDS

6.1 General 6.1.1 Purpose of Baseline Study The environment impact assessment (EIA) of a project tries to concentrate on various parameters; in an effort to predict quantitatively or qualitatively the likely impacts of the project on the people, domestic animals, wild animals, birds, plants, aquatic life and forests etc. The impacts would involve the effects on water quality, micro climate, flooding, reservoir induced seismic activity, increased tourism, increased economic activity, fishery, possible increase of some specific diseases, dislocation of business & livelihood of affectees, loss of agricultural land, restriction and impediments to free travel across the reservoir created by the dam. The purpose of Baseline Study is to identify resources likely to be affected e.g. existing infrastructure such as roads, suspension bridges on Indus river, houses/buildings, commercial buildings, school/college buildings, mosques, cultivated land, trees, jeepable tracks, dispensaries, police posts and the social conditions of the inhabitants. Figure 6.1 shows the catchment area of the project while processed Satellite Imageries are attached as Annexure-II. The study aims to identify and quantify the available information and establish all the environmental parameters for baseline conditions prevailing before the execution of the project. This information is used as a reference datum to compare future changes and judge them if the conditions have changed for better or worse. 6.1.2 Methodology Based on consultant’s experience, review of applicable laws and guidelines (local and international), study of available maps and data collected through secondary sources, processed satellite imagery and results of reconnaissance and initial survey, Study Area was delineated. For the collection of baseline settings in the Study Area, it was divided into three groups namely, Reservoir Area, Catchment Area and Lower Riparian Area. Consultant’s team comprising Environmental Engineer, Socio-economist, Sociologist, Ecologist, Aquatic Expert, Resettlement Expert and Enumerators carried out the baseline study surveys of the Study Area. Reconnaissance field visits were initially made by all the team members to get familiarized with the Study Area. This was followed by preparation of each expert prepared a checklist for the collection of baseline data for the all important parameters of physical, ecological and socio-economic environment of the Study Area. For the collection of socio-economic data various performa and questionnaires were developed. Meetings and scoping sessions with all the project stakeholders were held for disclosure of information and verification of baseline data collected during field visit. Government offices were visited to obtain the latest published documents related to the Study Area. For environmental monitoring and testing WAPDA organized with Pakistan Space and Upper Atmosphere Research Commission (SUPARCO) for collection of samples and laboratory tests to record pollution levels of the existing environment. Information collected for engineering aspects of the project such as geology, geotechnical, hydrology etc was also used as needed.

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6.2 Natural Physical Environment 6.2.1 Climatological Parameters The climatological stations around the Project Area are located at: (a) Chilas located 113 km upstream of Dasu (b) Kandia Bridge located 23 km upstream of Dasu (c) Pattan located 45 km downstream of Dasu (d) Besham Qila located 85 km downstream of Dasu. Chilas has data for 1953-2006, Kandia was established in 2005, Pattan was established in 2003 and Besham Qila data is available for the period 1970-2005. The climatological parameters available from these stations are summarized below.

Climatological Parameters at Chilas, Pattan and Besham Qila

Mean Monthly Temperature

(°C) Station

Mean Monthly Perception

(mm) Max. Min.

Mean Monthly Pan Evaporation

(mm)

Chilas 196.7 40.9 -0.1 - Pattan 1293.7 37.9 4.9 -

Besham Qila 1098.7 45.6 2.2 2033

The Isohytal map of Upper Indus area show average rainfall of 1000mm at Besham Qila which decreases northward. Therefore towards Dasu, Chilas and further north the annual rainfall decreases considerably. The mean monthly temperatures recorded nearest to Dasu (at Pattan, 45 km downstream) are maximum 37.5 co and minimum 4.0 co.The mean annual rainfall rapidly decreases from over 1000 mm in Besham Qila and Pattan area to northwards to below 200 mm in Chilas. The annual mean rainfall in the Dasu Project area is accordingly small. Using Pan Evaporation chart for Pakistan, it is estimated that the Project area will experience 1420 mm/year of lake evaporation. A factor of 0.7 is used to convert pan evaporation to lake evaporation. Thus the evaporation losses from Dasu reservoir are estimated as 0.017 MAF/year evaporation. 6.2.2 Environmental Monitoring Ambient air quality and water quality monitoring was performed by SUPARCO in two phases; Phase – I in high flow condition (July-August 2007) and Phase – II in low flow condition (January 2008) of Indus River. a) Ambient air quality and Noise Level Ambient air quality and Noise level monitoring was performed at three sites viz. Harban Bridge (SW-1), Summer Nallah (SW-2) and at Dam Axis-5 (SW-3) with online analyzers for SO2, NOx, CO1 CO2 PM10, HC and Noise level (dB). Results of ambient air quality were evaluated against United States Environmental Protection Agency (USEPA), World Bank & World Health Organization (WHO) standards. During monitoring in summer and winter in the two phases, the results of ambient air and noise level were found within international limits at all sampling sites. Hence environmental condition at selected sampling site complies with international standard limits. (b) Comparison of Ambient Air Quality during Summer and Winter The Indus River at Dasu records high flow in summer (July-August) and low flow in

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winter (late January) every year. The baseline ambient conditions of high flow and low flow were compared and presented in Tables 6.1 below. The overall comparison shown the slightly high level for SO2, CO1, CO2 and PM10 were recorded during low flow (Phase II). Comparatively low levels were observed for HC in Phase II at all sampling sites. However a little decline in NOx level was observed in Phase II. PM10 level at site 3 Dam Axis 5 has also decreased in Phase II. (c) Smoke The Project area is remotely located and there are no industrial plants of any type located in the area. The air quality is good. The air is fresh and no smells are experienced. The river corridor experience higher wind speed, which is considered as a wind tunnel effect not relevant to Dasu area. (d) Dust The Project area from Dasu dam site to Diamer-Basha Dam site is rugged, rocky and relatively dry. The winds in the Indus River valley corridor induce sand/dust blowing during low flow seasons. The sand blown by wind is a common phenomenon in the valley, however in Dasu Hydropower Project area its intensity is lesser due to the narrow river valley. Besides this, only man made source of dust is from the traffic passing on jeep able dirt roads. No quantitative measurement was made. The sand blowing by wind, as mentioned above, is influencing the environment as it can be seen deposited on valley slopes. This is a natural phenomenon. The Dasu dam and its reservoir will have positive effect to eliminate this sand blowing. (e) Water Quality Water samples were collected from 11 sites, 5 from Indus River (one each from Harban Bridge, Summer nallah (SW-2), At Dam Axis-5, 1 Km Dam Axis-5 and After Dasu. The remaining 6 from the nallahs joining Indus river included one each from Kandia river, Summer nallah, Darel River, Uchar nallah, Barsin nallah and Churi nallah). However Water Temperature, Dissolved Oxygen, Specific Conductance and pH values were taken at the spot according to the ASTM guidelines (ASTM D 6764-02 (2007). These 11 samples were analyzed for 42 parameters. (f) Comparison of Summer and Winter Water Samples A comparison of Phase I (summer) and Phase II (winter) results of water samples is given in Table 6.2. Comparatively high level for BOC, COD, TDS, TSS, Chloride, Sodium, lodine, Sulfate, Sulphide, Coliform, Lead, Mananese, Iron, Boron were observed in winter, while nitrogen ammonia, copper, chromium, cadmium, nickel, arsenic, selenium, barium level slightly reduced in winter sampling. Pesticides were not detected at Harban Bridge site, however comparatively less level for alpha-BHC, Gamma-BHC, 4, 4-DDT were found at Summer nallah, at 1 km d/s of Axis 5 and downstream of Dasu in winter. Chlorine, mercury and phenolic compounds were not detected in winter River samples. In nallah samples the comparatively higher concentrations were found in winter for turbidity, hardness, BOD, COD, TDS, TSS (Kandia River, Summer Nallah, Uchhar Nallah, Barseen Nallah), Chloride, Sodium, Flouride (Kandia River, Summer Nallah, Darel River,Uchhar Nallah and Churi Nallah), lodine, Sulfate, Sulphide, coliforms except at Kandia river, copper, cadmium, lead, manganese, iron, boron, chlorine, cyanide, silver, phenolic compounds and pesticide (at Summer Nallah, Darel River). Mercury was not detected in winter samples.

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Results of water sample of river and nullahs were compared against USEPA fresh water standard and found within international limits at all sampling sites. Hence environmental condition at selected sampling site complies with international standard limits. 6.3 Land Use For the purpose of environmental study, the Study Area comprises is made the following: Area upstream of the dam axis upto elevation 957m (reservoir area) = 6,326 acres Area downstream of dam axis = 113 acres Total = 6,439 acres The project area land use can be classified as follows: - KKH: This road cuts through the entire project area. This is all weather road

constructed in 1976 with the joint efforts of China and FWO of Pakistan Army. - Jeepable Roads: These roads connect the village settlements on left/right bank

valleys to KKH. The forest and agriculture produce reach the market through these roads.

- Township Roads: The township road in Seo connecting the Seo town to KKH. - Agriculture Land: The cultivated land, in the form of terraces, has been developed

over centuries. The reservoir shall submerge 78 acres of agricultural land. - Houses/buildings in villages and towns: The affected village settlements shall

become the part of the reservoir. - Timber Storage: The timber cut from forests is considered joint property of the

owner tribes in the valleys. This is brought to the valley for temporary storage before it is sold to the contractors. Timber storages are scattered in the reservoir area.

- Trees/Orchard: The trees exist in valleys, some of which shall submerge. - Barren Land: Most of land in the reservoir area is rocky and gravelly and is

unproductive. This is about 66% of the reservoir area. - Reservoir Area: The proposed Dasu reservoir is 73.6 km long, having an average

width of 733 m only. The reservoir area at dam crest level, El 957 m is 24.5 km2. 6.4 Natural Biological Environment 6.4.1 Terrestrial Ecology The flora of the area consists of variety of trees, grass, shrubs and agriculture out put. All these shall benefit from the dam reservoir due to increased humidity. The Study Area of Dasu Hydropower Project has immense bio-diversity especially in the reservoir area. The valley bottom (i.e. area likely to submerge) has mostly scrub vegetation which is least important of all vegetation types and not of any appreciable extents. These scrub forests are found below El 1,035 m whereas the dam crest level is El 957 m. Wildlife and other valuable fauna do not reside here but usually visit during winter in search of food when upper areas are snow laden. A number of world’s rarest animals and plants exist in the catchment/study area. 6.4.2 Aquatic Ecology There are reportedly nine fish species in Indus River and its nullahs in the project area, of these, five species were collected during the study. The species collected included Schizothorax plagiostomus, Schizopyge esocinus, Racoma labiata (all of these belonging to family Cyprinidae), Glyptosternum reticulatum (family Sisoridae), and

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Triplophysa spp. (family Noemacheilidae). The first three are commercial species, whereas the remaining two are not. No exotic fish like trout, Chinese carps etc. were caught.(Add here base line conditions on fish catch methods, quantity, type of catch, use and commercial aspects. Also briefly add expected impact of project on fisheries). 6.5 Geology The geological setting of the Dasu Hydropower Project may be divided into two reaches (i) Upper reach comprising axes 5 and 6 area and (ii) Lower reach comprising Axis 2 area. The geological conditions of the two reaches are described below: 6.5.1 Upper Reach Geology In the upper reach comprising axes 5 and 6, the bed rock consists of predominantly granulites. The rock is grey, crystalline, and medium grained, strong to moderately strong and generally non foliate in surface outcrops. The rock mass is slightly weathered in surface out crop. The available data from right bank bore holes indicate that weathering extends only to a few meters and the rock mass is in general fresh below this zone. In this area the bed rock is either exposed as out crops or concealed by a thin veneer of unconsolidated material. Thin patches of colluviums and other mass wasting debris are scattered throughout the area. The river shoreline consists mostly of exposed bedrock. Very little alluvium is visible in the areas of Axis 5 and 6 although extensive river bed alluvium exits in the channel shoreline in the area downstream of Axis 5. 6.5.2 Lower Reach Geology In the lower reach comprising Axis 2, the bed rock consists predominantly of amphibolites with bodies of hornblendite. The rock is of light to medium grey color and foliated. The available data from the right bank boreholes indicate that weathering extends only few meters in-depth and the rock mass is generally fresh below this zone. The amphibolites rock mass generally has a tabular to blockular structure with several well interlocked discontinuity sets at all locations. Hornblendite on the right bank is more massive and blocky than the amphibolites. Above the river level the area consists mostly of bed rock either exposed or covered by a thin veneer of unconsolidated materials. Thin patches of colluvium and other mass wasting debris are scattered throughout the area. Most of the small nullahs are covered with colluvial veneer of washed material. 6.5.3 Rock Mass Properties For the feasibility stage design, following rock mass properties have been evaluated: Friction Angle 35 to 55 Degrees Cohesion 1.0 to 1.5 MPa Deformation Modulus 3 to 22 GPa Poisson Ratio 0.25 6.6 Hydrology The Catchment of Indus River at Dasu extends up to Tibet and Indian held Kashmir covering 158,800 km2. This can be split into two parts as follows:

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i. Catchment area upto Diamer Basha dam site =153,200 km2 ii. Catchment area between Basha and Dasu damsite = 5,600 km2 The Indus River originates at elevation of 5,500m in Tibetan Plateau and to the north of Manasarowar Lake. The river flows in north westerly to westerly direction for about 950km up to Diamer Basha Dam site. The river bed elevation at Diamer Basha dam is 950m. There on, the river flows in a deep narrow channel and continue in westerly direction with southernly dip till it reaches Kandia. It is here the Indus River takes totally south-westernly direction and continue that way and reach Dasu. From Dasu the river continue to take a southernly direction. The major tributaries to river in upper Indus River catchment are: (1) Astor river (2) Gilgit river (3) Shyok river and (4) Shigar river. This part of Indus basin contains four parallel ranges of Himalayan mountain system. The mountain ranges are seat of glaciers including Baltoro, Biafo, Hispar, Siachin and Batura glaciers. In the region between Basha and Dasu, the river flows in narrow gorge and at steep gradient of about 2.5m/km. The river side terrain, like upper region, is devoid of vegetation. The poor vegetative cover, steep slopes, easily erode able soils and rocks are mainly responsible for high yield of sediments in river flow. Several river tributaries join Indus River between Basha and Dasu. These are Darel, Tangir, and Kandia rivers. These bring snow melt water throughout the year, and with it comes fine to coarse sand sediment. During rainfall in this part of the catchment the tributary river water becomes turbid. The tributaries between Basha- Dasu reach are shown in Figure 3.1. The Indus River flow at Dasu is basically snow melt water up to 99%. The rain fall is scarce and is up to 100 ~ 500 mm/year in lower part of basin. The precipitation occurs (snow and rain) higher on mountain tops and is up to 2000 mm. The monsoon effect is not felt in the catchment due to shielding orographic effect of Himalaya Mountain. The rain fall in this area is due to storms originating in the Mediterranean. The mean annual availability of water at Dasu is estimated as 65.6 BCM, which includes 62.4 BCM from Basha and the remaining 3.2 BCM from the intervening nullahs. The sediments in the river water comprises suspended solid and moving bed load. The Indus River carries heavy sediment load due to the ruggedness of catchments terrains and lack of vegetation cover in the catchment. Following the river channel, Diamer Basha Dam is located 74 Km upstream of Dasu damsite. Therefore the sediments coming from the upper catchment shall be held up in the Diamer Basha reservoir. Relative silt free water shall spill over to Dasu reservoir. A small amount of sediments entering Indus river from side nullahs from Diamer Basha dam to Dasu dam shall settle in Dasu reservoir. The water leaving Dasu dam shall be still clearer. 6.7 Natural Environmental Risks and Hazards 6.7.1 Seismic Activity The Atlas on Seismicity and Volcanism has divided the world into four Seismic Zones. Dasu Hydro Power Project (DHP) is located in the second zone (regarded as heavy exposure to earthquakes). Similarly Geological Survey of Pakistan has placed the Project area in the “Serious Seismic Danger Zone”.

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The Dasu Project is located in the Kohistan Island Arc physiographic province, a tectonically active region which is sandwiched between the converging Indian and the Eurasian tectonic plates. The project region has been subjected to damaging earthquakes in the past (Figure 6.2), and therefore it is imperative that a study of tectonic and earthquake history of the region be conducted to determine the seismic hazard to which the proposed project may be exposed to and to evaluate realistic seismic design parameters for the safe design of the project components. Moreover, within the scenarios of the October 08, 2005 earthquake of Pakistan it becomes important to be very cautious regarding the seismic hazard assessment for such a major public works project. Seismic hazard evaluation studies conducted as part of the project feasibility study has indicated that a number of active faults are present around the Dasu project site. However, no active fault has been observed in close vicinity of the project site. A number of moderate sized earthquakes have been recorded in the Kohistan Island Arc during the last 40 years. For determination of the ground motion at the project site, consideration has been given to seismotectonic features critical for the seismic hazard. The recommended horizontal Peak Ground Acceleration (PGA) associated with MCE is 0.50g and that with OBE is 0.29g. 6.7.2 Kara Kurram Highway (KKH) The existing two lane Karakorum Highway (KKH) (N-35) normally known as KKH is 810 km in length and its width varies from about 8.5 m to 10 m. Its construction was started in 1966 and completed in 1978. Designated as N-35 in the country’s highway network, it is one of the important roads of the entire communications network of Northern Areas of Pakistan linking with China. This road also serves as a link between towns like Havelian, Abbotabad, Mansehra, Batagram, Behsham, Dasu, Chilas, Gilgit, Baltit, Hunza and Khunjrab pass. The road is in deteriorated conditions at various sections due to heavy over loaded trucks, frequent land slides and inadequate drainage at some locations. The KKH runs on right bank of Indus from Thakot to Dasu. The KKH is a mountainous region road assuming falling and rising level. Between Dasu. Going north KKH runs along the Indus River on left bank starting from Dasu Bridge near Dasu town up to Raikot Bridge north of Chilas. Traffic Survey of KKH conducted from 14th August-20th August 2007 at Barseen has shown that 766 vehicles daily use the KKH. This includes light vehicles and heavy vehicles. The KKH is maintained by Pakistan Military’s Frontier Works Organization with its headquarter at Pattan and a camp office at Barseen. At several locations, this road experiences small and large slides during heavy rains and the traffic remains suspended for clearing the slided material. There are active landslide areas between Bisham and Dasu, which need to be remedied as part of the KKH upgradation project. There is no prominent land slide area along rim of the proposed Dasu reservoir. Upgradation of KKH has been taken up to facilitate transportation of materials and equipment for construction of Diamer Basha Dam Project at a site about 73 km north of the proposed Dasu Hydropower Project site. Since construction of the Dasu project will succeed that of the Diamer Basha project, Dasu will benefit from availability of the upgraded KKH. However relocation of about 46 km of KKH to higher level will be required along rim of the Dasu reservoir because of its submergence in the reservoir. A provision for this work has been made in the cost estimate of the Dasu project.

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6.8 Socio-economic Environment Socio-economic studies focus mainly on demography, occupation, education, housing, health, family income and expenditure, basic amenities, land use, livestock, resettlement concerns, industry, archaeology, tourism, land values, role of women etc. Summary of the socioeconomic environment statistics is given below: Houses and Households: The field surveys conducted in the Study Area and data collected from the relevant agencies indicate that there are 278 houses each having 1.5 average family size with overall 417 households in the reservoir area. Out of the households 28% are between age 21 to 30 years; 33% between 30 to 40 years; and 36% are above 40 years of age. Among them 97% were married and 3% un-married. Education: Primary level education is 11%; Middle level 2%; Secondary level 15%; Intermediate level 5%, and Graduation and above 3%; 4% in village level religious school and vast majority of about 60% have never been to the schools. Land Ownership: Status of land stays with local tribes having 87% of the population whereas the rests 14% are landless settlers. Languages: Languages spoken in and around the project area are Kohistani 42%; Shina 29%; Shina and Kohistani 26% (bi-lingual) and 3% are Pushto speaking. Family Composition: Family size is ranging between 5 and 21 members, with above 45% having family members ranging between 6 and 10. Generally nuclear family system exists with 73% and exogamy 57% prevalent in the area. Oldest family member have a dominating role in making family decisions. Gender Issue: Rarely women are exposed to outside environment of the village, except in medical or other emergencies or attending wedding function. Employment: Agriculture provides 22% jobs; agriculture and trade combined makes 19%; agriculture and services 16%; agriculture and labour 9%; agriculture trade/service combined makes 9%; trade 7%,service 6%. Family Income: Monthly family income of about 5% population is less than Rs. 3000/-; 16% earn from Rs. 3001 to 5000; 17% from 5001 to 7000; 14.5% earn from Rs.7001 to 9000/-; about 18% earn Rs.9001 to 11000 and 17% earn above Rs.11000. Housing: Housing structures comprise 52 % kacha, 35.5% semi-pucca, and 12.2% pucca structures, with 23% single room, 27% two rooms; 22% three rooms; 14% four rooms and 13.4% have five or more rooms in their houses. Housing area consists of one marla (225 sq.ft) to 20 marlas (4500 sq.ft). Estimated value of the houses (including the land) is reported to be ranging between Rs.100,000/- and 500,000/-. Sale purchase of property is mostly done on personal evidence in 97% of the cases and only 3% are using judicial papers as document for sale and purchase of the properties. Majority of the owners reported as Rs.150,000 to 200,000/- price per kanal price. Agriculture: Agriculture Cropping system is self cultivated by 62%; whereas 17% are owner cum tenants cultivated and only 5% is cultivated by tenants and 16% are landless residents in the project area. Farm holding survey indicates that 34% own more than 10 kanals (8 kanals = one acre) and 50% are owner of less than 10 kanals. Crops grown in the reservoir area are wheat, maize and vegetables mainly (68%). Crops are grown in the two main cropping season’s i.e. Kharif (summer) maize and Rabi (winter) as wheat.

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Indigenous People (IP): do not exist in the project area. 6.9 Consultations During public consultations/scoping sessions, the basic requirements of the Study Area people were identified, which included employment / labor opportunities, hospital/basic health units (BHUs), schools for girls, college for boys, metalled road, water for drinking and irrigation and electricity supplies on cheaper rate. 6.10 Impacts 6.10.1 Infrastructure Submergence There are 23 villages existing in the reservoir, 13 on the left and 10 on the right bank of the Indus. In these villages there are 278 houses with population of 3670 persons to be treated as Project Affected Persons (PAP,s).In addition to the houses, there are 73 other buildings/structures that will be inundated in the reservoir. These include 15 mosques, 6 police stations, 3 schools, 30 hotels/shops, 1 hospital, 1 rest house, 4 FWO structures, 1 water tank, 3 generator rooms and 9 timber stores. Details of affected infrastructure are given in Table 6.3. 6.10.2 Suspension Bridges across Indus River In the proposed Dasu reservoir area there are five suspensions bridges which provide accessibility to the locals residing on right bank of Indus and in the valleys of catchment tributaries of right bank to KHH. With the impoundment of Dasu reservoir, these suspension bridges will be submerged. To rehabilitate the existing river crossing facility, these bridges will be replaced with the construction of two bridges. In addition an asphalt road will be constructed on right bank of Indus river to provide easy and fast access to the right bank residents for crossing the river. 6.10.3 Petroglyphs A cluster of petroglyphs (rock carvings) exist on the periphery of proposed Dasu reservoir near Shatial. Some of these petroglyphs have been dated from the 4th and 5th century AD and are of international importance, particularly to Buddhist travelers and especially those from Japan. The petroglyphs are under the jurisdiction of the Archaeology Department who manage the sites and have erected explanatory plaques about the rock carvings. The cluster of petroglyphs is located at about El. 960 m, which is well above the full supply level of Dasu reservoir (El. 950 m) and the flood surcharge level (El. 955 m) for the extreme event of PMF. 6.10.4 During Construction Impacts The implementation of the proposed project will generate a few adverse impacts, during the construction stage, but these impacts are only temporary. 6.11 Compensation and Resettlement In general terms, the people affected will be compensated for the loss of their properties, land and trees, and assisted financially to restore their affected structures/assets and livelihoods, at least to pre-project levels. It is necessary to give employment opportunities and involve the local labor force during the operational stage of the Project. Provision of replacement to the existing suspension bridges is essential during

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operational stage for the local communities residing on right bank of the river Indus for easy access to KKH. A Resettlement Action Plan (RAP) should be prepared immediately upon completion and approval of feasibility studies. It should include Focus Census Survey of Project Affected Person, Valuation of Assets, Compensation Policy and Framework, Implementation Schedule and Grievances & Redressal Mechanism would be required. 6.12 Environmental Constraints The baseline environmental screening process has identified the following existing environmental issues which may act as constraints to the formulation and design of the proposed Dasu Hydropower Project. It is imperative that these issues are carefully considered and the design of the project is formulated taking these conditions into account: 6.12.1 Indus River Flows The major source of water flows in the Indus river at Dasu is melt-water from glaciers and snow cover in the upstream catchment rather than from rainfall. This means that temperature is the key climatic parameter influencing the water flow pattern in the river, not rainfall. The nature of both the annual flow cycle and the longer term trend in this flow pattern will be subject to the influence of climate change. The predictions for this trend are complex, as increasing global temperatures will result in more snow and ice melting and hence greater volumes of river flow. However at the same time the volume of potential water flow stored in glaciers will reduce as they recede. The timing of these contradictory trends is currently difficult to predict, but it is imperative that a monitoring program for changes in glacier extent in the upper catchment is maintained. The construction of the dam at Diamer Basha will precede that at Dasu it has been estimated that after about 40 years of operation, the reservoir behind Diamer Basha dam will start to loose significant volumes of live storage due to sedimentation thus requiring sluicing. An analysis of the changes in flow conditions at Dasu would also need to take this into account. 6.12.2 Seismic Risk The Dasu dam is located in an area of high seismic risk. It is imperative that the design of the dam has to take this risk into account, following appropriate international standards for both structural stability and post earthquake management. The other consequence of seismic activity is to induce landslides which may occur into the reservoir and cause a sudden rise in water level or block upstream valleys which feed into the reservoir. These situations are discussed below. 6.12.3 Landslides The occurrence of landslides, be they induced by seismic activity or not, can be catastrophic for a dam and reservoir. It is imperative that the banks of the reservoir are evaluated for the risk of landslides and preventative action is carried out to adequately stabilise the slopes of the reservoir. One of the reasons for favouring a dam at located Axis 5 rather than one at Axis 2 was the possibility of unstable side slopes existing upstream of Axis 2. The risk of landslides in the sub-catchment downstream of Diamer Basha dam and upstream of the Dasu dam site also needs to be evaluated to see if there is a chance of landslides occurring in the feeder rivers to the Dasu reservoir.

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There is also a risk of glacial lakes being formed in the high seasonally frozen parts of the catchment upstream of the Diamer Basha reservoir (see Figure 6.1 for potential locations). The design of Diamer Basha dam has studied this issue in depth and the dam has been designed to take account of the risk of sudden outwash flows from failures of these glacial lakes causing peak floods. With Dasu being constructed after Diamer Basha any glacial lake outbursts would be retained behind the Diamer Basha dam. The realignment of the KKH needs to designed and constructed to minimise the risk of erosion and landslides, with appropriate side and cross drainage and minimising excavation. This also applies to the replacement road that will be needed along the right bank of the Dasu reservoir. 6.12.4 Political Stability and Security A prerequisite for constructing any dam is a stable political and security situation. The public consultation work already carried out at Dasu has helped to avoid potential conflicts with people currently living in the area. The fact that their very genuine concerns were taken into consideration when selecting dam Axis 5 over a location at Axis 2 provided reassurance that the proponent of the project is serious about minimising the adverse impacts on the local people and ensuring that no person is made worse off as a result of the construction of the proposed project. The building of replacement suspension bridges and new access road on right bank of Indus river should also help in ensuring that the area can be easily accessed and made secure. 6.12.5 Land Acquisition The need for land acquisition for the construction of any major piece of public infrastructure is always contentious. The Dasu Hydropower Project is no exception but significant reductions in the number of people who would be displaced have already been achieved by selecting a dam location at Axis 5 rather than Axis 2. As a result it is likely that the need for remote resettlement has been avoided/reduced to minimum as the great majority of people losing their homes by flooding of the reservoir depend for their economic livelihoods on using land that lies away from the reservoir area. Even so it will be necessary to develop a resettlement strategy with the local people that when implemented ensures that no person is made worse off as a result of the project. It is also important that the resettlement issue for Diamer Basha is well handled so that the impacted population at Dasu will be reassured that their needs will be adequately taken care of. 6.12.6 Access The existing road access to the dam site area relies upon using the KKH which crosses from the right to the left bank of the Indus at Dasu bridge when travelling upstream. The KKH is currently being upgraded as a separate project in its own right. It is imperative that the design and construction of the upgraded road minimises the risk of erosion and landslides. Adequate and appropriate cross and side drainage will need to be provided and excavation minimised. Access along the right bank of the Indus river upstream of the Dasu dam site relies upon five existing suspension bridges linking from the KKH to a network of tracks passable by jeep. The access requirements of people living on the right bank of the reservoir has been considered in the design of the project, including the need for road crossing of the river across both Diamer Basha and Dasu dams and construction of two bridges immediately downstream of them. In addition, two suspension bridges will be constructed crossing the Dasu reservoir.

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The existing topography also acts as a severe environmental constraint to possible locations for transmission lines from Dasu to the demand centres of the country. This is being studied as a separate component and will require its own environmental assessment to be carried out. 6.12.7 External Environmental Constraints The existing upstream constraints to the Dasu project include the predicted water inflows that will be subject to the influence of climate change and also sedimentation patterns. However, as it is planned to construct the dam at Diamer Basha Dam Project before the Dasu Project, these existing environmental constraints will be minimised as the river will become a managed system. The water flow and sedimentation constraints are being addressed as part of the design and assessment work for Diamer Basha and as feasibility study of the Dasu project. By the time that construction of the dam at Dasu is completed the main Indus river inflow will be managed by the operation of the Diamer Basha dam, with criteria being influenced by the hydropower generation and downstream water release requirements of Tarbela. The main inflow constraints to the Dasu reservoir will then be the flows directly into the reservoir from the side streams. Hydrological and sedimentation studies indicate that contribution of the side streams is too small to influence the Dasu reservoir operations. The main downstream constraints to the proposed Dasu project are the operational requirements for management of Tarbela dam, specifically the need to optimise operation at Tarbela for hydropower generation and also for downstream irrigation water requirements. These constraints essentially apply to the operation of Diamer Basha with Dasu being managed as a run of river scheme between the two dams. 6.13 Existing Human Needs in the Project Area Irrespective of the proposed Dasu project, the public consultation process and socio-economic survey work already carried out have indicated that the people in the study area have significant human needs. The overall level of development in the area is low and a strong case can be made for ensuring that significant enhancement programs are initiated that will raise the level of economic livelihoods in the area to a higher level than they were before the project. 6.13.1 Provision of Safe Domestic Water Supply, Sanitation and Health Education A fundamental human need in the area is for safe domestic water supply, along with adequate sanitation facilities and associated health education. Human health levels in the area are poor due to the inadequacy of such existing facilities. As part of the resettlement program it will be necessary to ensure that each household has a dependable source of domestic water supply and adequate sanitation facilities. The incidence of TB is also high in the area and an appropriate program needs to be instigated to control this as it may well prove a problem for in-migrant workers employed on the construction works. 6.13.2 Improved Nutrition Whilst the overall levels of food intake of the people living in the area are not a major cause for alarm, there is a problem of imbalanced diet, particularly for women. A targeted program is needed for nutrition education and also diversification of food production to correct that lack of minerals in the diets of local people. The expansion of fish availability from management of the fisheries potential in the reservoir should go some way to addressing this problem, along with the promotion of vegetables from kitchen gardens

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and tree fruits. 6.13.3 Improved Education Provision Education levels in the area are low with illiteracy being widespread, especially amongst the older generation. A targeted program of education improvement is needed, including provision of additional teachers for primary schools. The construction of housing for primary school teachers will help in attracting more skilled teachers from outside the area. A targeted program of training local people, particularly women, as primary school teachers is also required. To increase the number of children attending secondary schools it will be necessary to expand the number of residential hostels for pupils and for these to be affordable. Many families have complex systems of seasonal movement into the surrounding mountains and planning of secondary school provision has to consider this. A programme of vocational training and adult literacy is also needed. 6.13.4 Increased Opportunities for Cash Income Generation The current household economy in the area is mainly subsistence based and there is a need to generate some cash income so that welfare levels can rise. The promotion of appropriate activities, including those associated with the mitigation program for immovable assets lost in the reservoir (tree planting for example) will go some way towards this. However there is a need for appropriate training and an associated micro credit program for such measures to have a chance of being successful. This includes appropriate work opportunities on the construction of the dam and associated service functions, as well as tree planting for fruit and timber along with fisheries in the reservoir. 6.13.5 Electricity Provision Irrespective of the proposed project, the present availability of electricity in the project area is inadequate. There is considerable evidence that provision of rural electrification has a significant impact in reducing rural to urban migration. There is a legal requirement that all relocated households have to be given an equivalent replacement power supply. It should be possible to provide a source from the Diamer Basha hydropower plant to do this which will allow people to be relocated and given supplies before the hydropower plant at Dasu starts operation. Careful integrated planning down to the household level will be needed to make sure that timely provision of replacement electricity supplies is given. Ideally this should be part of a wider program that sees all of the surrounding area being supplied with electricity covering the communities on both sides of the proposed reservoir.

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Min. Max. Average Min. Max. Average

SO2 (ppb) 5.1 9.8 7.02 5.1 9.6 7.6

NOx (ppb) 8 14.3 10.09 8.1 11.6 9.7

CO (ppm) 0.74 1.09 0.92 0.8 1.1 1

CO2 (ppm) 279 310 291.2 284 309 297.4

PM10

(µg/m3)

32 55 41.55 34 58 46.3

HC (ppm) 0.1 0.2 0.14 0.07 0.12 0.09

SO2 (ppb) 6 8 6.48 6.4 11.4 8.9

NOx (ppb) 9 14 11.3 8.1 15.2 11.2

CO (ppm) 0.71 1.8 0.93 0.8 1.2 1

CO2 (ppm) 267 302 285.72 271 308 290.9

PM10

(µg/m3)

26 42 34.37 38 60 44.4

HC (ppm) 0.08 0.1 0.089 0.03 0.09 0.06

SO2 (ppb) 8 11.9 10.31 7.9 12.6 10.2

NOx (ppb) 10.7 17.7 13.35 9.1 15.9 13

CO (ppm) 0.95 2 1.35 0.8 1.1 1

CO2 (ppm) 281 313 298.11 291 312 302.2

PM10

(µg/m3)

33 77 53.59 51 56 45.5

HC (ppm) 0.1 0.2 0.13 0.04 0.11 0.08

Table 6.1 Base Line Ambient Air Quality Conditions

1.

Harban

Bridge

2.

Summer

Nallah

3.

Dam Axis

5

PollutantPhase I (Summer) Phase II (Winter)

Site

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Sheet 1 of 2 Table 6.2 Comparison of Water Quality Results Summer and Winter

Sampling Site : River Samples Sample Collected on : September 27-28, 2007

Sampling Sites

Harban Bridge (SW-1)

Summer Nallah (SW-2)

At Dam Axis 5 (SW-3)

At 1 km d/s of Axis 5

(SW-4)

Downstream of Dasu (SW-5)

Sr. No.

Parameter

Phase I Phase II Phase I Phase II Phase I Phase II Phase I Phase II Phase I Phase II 1 Temperature (

oC) 14.5 7.5 14 6.8 16.5 7.9 16 7 18 8.2

2 Taste No Taste No Taste No Taste No Taste No Taste No Taste

No Taste

No Taste No Taste No Taste

3 Odour

Odour Less

Odour Less

Odour Less

Odour Less

Odour Less

Odour Less

Odour Less

Odour Less

Odour Less

Odour Less

4 Ph 6.8 7.8 6.8 8.1 6.9 8 6.8 7.7 7.01 7.5 5 DO (mg/L) 8 8.2 8 8.3 7.8 8.2 7.8 7.9 7.4 7.8 6 Conductivity (µS/cm) 70.9 73.1 68.6 70.7 67.3 68.2 71.2 71.4 72.8 73.5 7 Turbidity (NTU) 45 48 70 71 75 78 70 72 80 81 8 Hardness as CaCO3 (mg/L) 160 164 108 140 140 143 144 142 132 144

9 BOD (mg/L) 1.9 2.0 2.1 2.1 2.2 2.4 2 2.1 2.6 2.6 10 COD (mg/L) 3.1 3.3 3.3 3.4 3.9 3.9 3.2 3.4 3.8 4.1 11 Total Dissolved Solids (mg/L) 42.6 45.3 41.5 45.5 41 46.2 42.8 45.2 44.1 49.3 12 Total Suspended Solids (mg/L) 118 126 134 155 145 158 137 160 83 160 13 Chloride (mg/L) 3.5 3.7 2.5 3.7 2.75 3.9 2.9 3.9 2.4 4.1

14 Chlorine Total (µg/L) 10 ND ND ND ND ND ND ND ND ND 15 Sodium (mg/L) 2.27 2.30 1.62 2.30 1.75 2.35 1.88 2.38 1.56 2.45 16 Fluoride (µg/L) ND ND ND ND ND ND 50 65 ND 62 17 Iodine (mg/L) 0.33 0.50 0.21 0.60 0.88 0.98 0.2 0.98 1.34 1.59

18 Sulphate (mg/L) 42 48 40 50.4 39 53.2 40 53.5 38 56.1 19 Sulphide (µg/L) 148 153 155 159 180 184 176 181 201 212 20 Nitrogen Ammonia (mg/L) 0.47 0.13 0.98 0.07 0.95 0.01 0.89 0.1 0.65 0.09 21 Nitrate (mg/L) ND ND ND ND ND 0.93 ND 1.10 ND 1.15 22 Cyanide (µg/L) ND ND ND ND 0.85 ND 0.92 ND 1.1 ND

23 Coliforms (E.Coli) (Org/100m) 7 9 13 10 9 10 12 11 2 12 24 Coliforms (Fecal) (Org/100m) 15 17 21 17 46 20 24 22 5 22 25 Copper (Cu) (µg/L) 0.83 0.88 6.36 1.9 4.82 1.95 12.21 2.1 4.76 2.3

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Sheet 2 of 2 Table 6.2 Comparison of Water Quality Results Summer and Winter

Sampling Sites

Harban Bridge (SW-1)

Summer Nallah (SW-2)

At Dam Axis 5 (SW-3)

At 1 km d/s of Axis 5

(SW-4)

Downstream of Dasu (SW-5)

Sr. No.

Parameter

Phase I Phase II Phase I Phase II Phase I Phase II Phase I Phase II Phase I Phase II 26 Cadmium (Cd) (µg/L) 2.8 2.8 2.71 2.5 3.71 2.9 2.92 2.9 1.61 2.7

27 Chromium (Cr) (µg/L) 4.2 3.8 3.1 3.9 4 3.9 4.5 4.2 4.8 4.2 28 Lead(Pb) (µg/L) 17.06 18 17.14 17.2 16.36 17.5 16.93 19 19.22 19.5 29 Silver (Ag) (µg/L) 0.03 0.01 0.04 0.08 0.02 0.1 0.03 0.02 0.06 0.05 30 Zinc (Zn) (µg/L) 0.82 0.85 0.85 0.88 0.79 0.89 2.01 0.93 0.8 1.08 31 Nickle (Ni) (µg/L) 12.7 5.8 9.8 5.8 3.8 6.2 8.7 6.25 6.8 7.1

32 Arsenic (As) (µg/L) 3.6 1.82 3.1 1.96 2.9 1.99 3.5 2.15 3.8 2.45 33 Selenium (Se) (µg/L) 0.05 0.01 0.03 0.08 0.04 0.095 0.09 0.06 0.12 0.098 34 Manganese (Mn) (µg/L) 62.38 68 70.5 91 84 86 65.48 105.2 72 101.2 35 Iron (Fe) (µg/L) 68 90.7 142 166.4 170 195.9 72 269.4 78 289.8 36 Berium (Ba) (µg/L) 27.89 15.2 31.34 15.8 35 14.6 29.99 17.2 27 17.7

37 Boron (B) (µg/L) 12.46 30.2 14.51 35.5 15 35.9 13.21 36.4 13 26.2 38 Mercury (Hg) (µg/L) 0.71 ND 0.72 ND 0.92 ND 0.75 ND 0.84 ND 39 Alpha BHC (pesticide) (µg/L) ND ND 0.33 0.28 0.35 0.49 0.44 0.54 0.51 0.59 40 Gamma BHC(pesticide) (µg/L) ND ND 0.38 0.16 0.42 0.25 0.47 0.28 0.62 0.26 41 4,4’-DDT (pesticide) (µg/L) ND ND 0.35 0.11 0.3 0.41 0.42 0.41 0.48 0.44

42 Phenolic Compounds (n-octylphenol)

ND ND ND ND ND ND ND ND ND ND

ND = Not Detected.

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Sheet 1 of 1

Left Right Total

1 Siglo 0 16 16 1.5 8.8 211 1 1

2 Logro 15 0 15 1.5 8.8 198 0 1

3 Ochar

Nullah6 0 6 1.5 8.8 79 1 1

4 Segal 13 0 13 1.5 8.8 172 1 1

5 Barseen 9 0 9 1.5 8.8 119 1 3 1 1 4 1

6 Largani /

Maliyar2 24 26 1.5 8.8 343 1 1 1

7 Gul Bagh /

Madan /

Dogah

21 17 38 1.5 8.8 502 2 1 1

8 Kai Gah 46 0 46 1.5 8.8 607 1 1 2 1

9 Pani Bah 25 0 25 1.5 8.8 330 1 2 1

10 Gayal 0 13 13 1.5 8.8 172 1

11 Kot Gul 0 4 4 1.5 8.8 53 1 1 1

12 Dondar 0 12 12 1.5 8.8 158

13 Gummo 0 15 15 1.5 8.8 198 1

14 Sri Shaal 0 6 6 1.5 8.8 79

15 Shori

Nullah /

Adam

Banda

2 0 2 1.5 8.8 26 1 1 1

16 Summer

Nullah2 0 2 1.5 8.8 26 1 1 16

17 Sazeen 16 2 18 1.5 8.8 238 3 2 7

18 Waliabad /

Chor Mor1 0 1 1.5 8.8 13 1

19 Shatial 2 9 11 1.5 8.8 145 1 1 1 4 1 2

Total 160 118 278 3,670 15 9 6 3 30 1 3 4 1 5 1 5

Note: This table has been developed using processed Satellite Imageries attached as Annexures-II

Rest

HouseBridge

Housing Units

Table 6.3 Detail of Resettlement, Infrastructure Submergence

Generator

Room

FWO

StructuresHospital Doli

Police

StationSchool

Sr

#

Village

Name

Families/

Unit

Hotel/

Shop

Water

Tank

Persons/

FamilyPopulation Mosques

Timber

Stores

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Kashmir Earthquake

of 08.10.2005

FIG. 6.2

DASU HYDROPOWER PROJECT

SEISMICITY OF DASU REGION

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7. IMPACT IDENTIFICATION, QUANTIFICATION AND CATEGORIZATION 7.1 Environmental Scoping Methodology Taking the master checklist of key environmental issues identified for the study area, and used to produce the baseline environmental profile, a comparative environmental analysis was carried out using a scoping matrix. The baseline condition that was used has been outlined in Section 6 and is the predicted situation immediately after the commencement of operation of the Diamer Basha dam. For the purpose of project impact analysis, the without Dasu Project situation is the condition with Diamer Basha in operation. The without Dasu project condition (i.e. with Diamer Basha in operation) was compared to the with Dasu situation, the difference being the impacts induced by the construction of the Dasu project assuming no mitigation measures were in place. An analysis was then carried out to predict the situation with full mitigation measures in place for Dasu and to compare this with the future without project situation. This allowed a residual adverse impact analysis to be carried out. The analysis technique used allows the most important adverse impacts to be easily identified so that efforts can be targeted on studying these particular issues in order to quantify them and, where possible and appropriate, allow them to be valued. Mitigation possibilities for the adverse impacts can then be identified and cost estimates of implementing these made. The analysis technique also allows environmental enhancements to be identified by which project benefits can be maximized and additional measures can be targeted to increase the livelihoods of potentially adversely impacted people, with the objective of making them better off than they were before the project was constructed. 7.2 Delineation of Boundaries of Possible Impact Areas The potential impact areas of the proposed Dasu project include all those places that will require permanent land acquisition, both under the dam and other construction works and also the reservoir area up to 957masl. The area of the reservoir is indicated in Figure 1.3 and covers 2,600ha. In addition there may be places that require temporary land acquisition (for materials storage or construction camps for instance) and there are also households whose livelihood will be adversely impacted by the loss of immovable assets even though their house is not on land that will need to be permanently acquired. There are unlikely to be significant downstream impacts that could be solely attributed to the Dasu project. The regulated river flow and trapping of the majority of sediments will be a function of the construction and operation of the Diamer Basha dam that has to be completed before Dasu can commence construction. The upstream catchment boundary of the Dasu dam is shown in Figure 6.1, however the relevant part for the environmental assessment is that small area which lies between Diamer Basha dam site and Dasu dam site and comprises the sub-catchments of the side tributaries that flow directly into the Dasu reservoir. 7.3 Positive Impacts 7.3.1 Electricity Generation The main objective of Dasu Dam is the generation of electricity to meet the energy requirements of the country. The design of the proposed hydropower station will have a maximum installed capacity of 4,320MW. The unit cost of electricity generation will be considerably lower than the cost of thermal power generation which uses non-renewable fossil fuels and produces emissions of greenhouse gases. The primary positive impact of

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the proposed Dasu Hydropower Project is that it produces non polluting sustainable electricity at a lower cost than alternative sources. The construction of the Dasu project would help increase the proportion of the country’s electricity that comes from such sustainable sources and reduce the dependency on non renewable forms of energy. It will also reduce the reliance on imported fuel sources which are expensive and are only likely to increase in price over time as they become depleted. 7.3.2 Job Opportunities During the design, construction and operational phases of the project there will be a demand for workers, both skilled and unskilled. This will include opportunities for local people, both directly on the construction site and also indirectly in related service work, including the need to provide replacement infrastructure for that inundated by the reservoir. During the detailed design phase of the work it will be possible to obtain a clearer idea of the number of job opportunities that will be created, the level of skills required and their likely duration. It should be possible to first offer some of these appropriate jobs to local people, if they wish and are able to take them. Training may need to be provided, but it should be possible to considerably widen the range of wage paid employment opportunities available in the area which would increase the general level of economic prosperity. However it is important to try and ensure that the skills learnt are transferable once the construction of the dam has been completed. 7.3.3 Water Management The anticipated storage capacity of the proposed reservoir is 6 million m3 (1.019 MAF) at a full supply level of 950masl. The design flood return period is 1 in 10,000 years which would produce a high flood level of 957masl, including a surcharge of 5m and an additional 2m to cater for wave action. It should be remembered that Dasu dam will be constructed after the completion of the Diamer Basha Dam which is located just upstream of the proposed Dasu reservoir. The capacity of the reservoir of Diamer Basha Dam is considerably larger than that of Dasu reservoir. Most potential floods coming down the Indus river system will be absorbed by the reservoir upstream of Diamer Basha Dam. The conjunctive operation of both Diamer Basha and Dasu reservoirs allows hydropower at Dasu to be generated in the most efficient manner, particularly at daily peak demand time when alternative power generation sources are difficult and expensive to operate. The operation of Diamer Basha dam will regulate the flows downstream into Dasu and significantly reduce the risk of sudden flooding further downstream. Such integrated operation will also allow more flexibility of operation for Tarbela, including its important role in providing regulated flows for downstream irrigation use. 7.3.4 Surface Water Quality and Amenity The storage of water in the Dasu reservoir up to the elevation of 950masl will create a valuable aquatic eco system with a significant potential for improved fish habitats. The availability of a perennial open surface water source will also benefit terrestrial ecology. The Dasu reservoir will also allow the settling out of the suspended solids that will inflow from the side streams feeding directly into the reservoir. However the main reduction in sediment loads in the Indus will result from the construction of Diamer Basha dam. This reduction in downstream sediment loads will reduce the problem of sedimentation in Tarbela reservoir which is now seriously reducing its live storage and ability to operate in an efficient manner.

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7.3.5 Upgrading of the KKH Prior to the construction of the dam at Dasu, the KKH will be realigned and upgraded to make it capable of accommodating the movement of materials and equipment needed for the construction of Diamer Basha dam. The improvement of this strategically important highway linking China and Pakistan is likely to generate more use and generally improve communications to the left bank of the river. This improvement in communications when combined with a well planned replacement road network for the right bank of the river is likely to have significant benefits for both local people and also for the national communications network. 7.3.6 Local Vegetation and Livestock The availability of the standing water of the Dasu reservoir is likely to improve the micro-climate of the area in what is currently an arid place. The fluctuations in the reservoir area created due to the operating conditions required by the generation of peak demand hydropower will promote the conditions for the growth of grassland and other vegetation at the periphery of the reservoir. This will provide valuable grazing for livestock, particularly in winter when grazing areas in the highlands are inaccessible. The improved vegetation condition around the reservoir will also provide improved habitats for birds, including waterfowl, and other wildlife which are likely to be attracted by the enriched ecosystem. 7.3.7 Aquatic Life The reservoir area of 26 km2 will provide a significant volume of water that is likely to develop into an important aquatic ecological habitat. This should allow a significant development of fish and other aquatic plants on commercial basis. The scope for development of appropriate commercial managed fisheries is considerable, with widespread potential benefits in terms of employment for local people and also improvement in the levels of human nutrition for people living in the immediate and wider area. 7.3.8 Improvement in Socio-Economic Conditions The demand for workers for construction of the dam and also its operation will have wider economic benefits in the surrounding area, as even specialist skilled labor that is brought in from outside will require service functions that will boost demand in the local economy. The relatively long construction period will allow local people to acquire skills that will increase their chance of employment when the construction work on the dam is completed. The demand for skilled artisans is likely to be high even before construction of the dam commences, as at least 278 replacement housing units and associated infrastructure have to be built. Similarly realignment of the KKH will create job opportunities long before the construction of the dam commences. 7.3.9 Provision of Public Amenities Adequate institutional and public service provision will need to be provided to support the project. This includes additional infrastructure to allow the dam to be constructed and operated as well as replacements for that lost under the permanent works. The types of provision required include roads and bridges, education and health services, water supply, sanitation and electricity. Overall this should significantly benefit the local population, that in the past have had very low levels of such provision.

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7.3.10 Recreation and Tourism Development The construction of the Dasu dam will create a reservoir in an area where there are very few open water bodies and it is likely to enhance the landscape diversity of the area. There is already some limited tourism in the area with the KKH providing the main route in for visitors who then travel northwards to the high mountains. There are also international Buddhist pilgrims who visit the area. With the construction of the reservoir it should be possible to provide a more diverse experience, including boating, sport fishing and also wildlife viewing, as the area is likely to provide a good habitat for water birds. The dam itself will be a significant tourist attraction and a visitor’s information centre could be built explaining to the public the nature of the project. Adequate and well planned tourist facilities, such as hotels and restaurants, along with boat and vehicle hire tours, would need to be put in place to capitalize on this opportunity. 7.4 Adverse Impacts during the Pre-Construction Phase A summary listing of the main adverse impacts related to land acquisition and resettlement during the pre-construction phase of the Dasu project is given in Table 7.1 and a subjective rating as to their severity is given in Table 7.2.

Table 7.1 Loss of Land and Population Impacted

Item. No.

Item Quantity

Proportion of

Total Land Loss 1 Total Land Area 6,439 acres (2,600ha)

2 Agricultural Land 84 acres (34ha) 1% 3 Grazing Area 51 acres (21ha) 1% 4 Unused Barren Land 4,201 acres (1,696ha) 65% 5 River Bed 2,103 acres (849ha) 32% 6 Housing Units 278

7 Population Losing House 3,670 8 Households Losing House 417 9 Forest Trees 20,000 10 KKH 46km

Table 7.2 Adverse Impacts during the Pre Construction Phase

By Impact Category, Severity and Nature

Sr. No.

Impact Minor Moderate Major Temporary Permanent

1 Land Acquisition And Resettlement

√√ √√

2 Loss of Private,Community and Government Owned Assets

√√ √√

3 Loss of Trees, Vegetation,Agriculture and Grazing Areas

√√ √√

4 Submergence of the KKH √√ √√

5 Accessibility for Local People √√ √√

7.4.1 Land Acquisition and Resettlement Due to the construction of the Dasu dam and the impounding of the reservoir behind it, an estimated 3,670 people currently living in 278 housing units will be displaced and require resettlement. This is predicted to be the major adverse impact of the project.

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The estimates are based upon the DCR and socioeconomic surveys carried out in the area, using detailed satellite imagery, with an average of 8.8 persons per extended family and 1.5 families per housing unit. There are also other immovable assets within the proposed reservoir area that will be submerged, including mosques and graveyards. In addition there are immovable improvements to land that will be lost, including planted economically valuable trees, agricultural and grazing land. In addition to these privately held domestic losses there are also private commercial, community based and government assets that will be submerged. These are discussed below. These are the important impacts that will be encountered prior to the start of the construction stage of the project and must be adequately addressed. These impacts will be significant, with important social livelihood implications and are of a permanent nature. 7.4.2 Loss of Private, Community and Government Owned Infrastructure Due to the submergence of land under the proposed reservoir, in addition to the 278 housing units that will be inundated, other items of private commercial, community and Government owned infrastructure will be lost. These are given in detail in Part A of Table 7.3. Based upon field verification of detailed satellite imagery this includes 30 shops, hotels and restaurants, 9 timber stores, 15 mosques, 3 graveyards, 3 schools, a hospital, 6 police posts, 3 electricity generator rooms as well as water supply systems, telephone lines, roads, 5 suspension bridges and 5 cableways. 7.4.3 Loss of Trees, Vegetation, Agricultural and Grazing Areas It is estimated that due to the impounding of the reservoir some 84 acres (34ha) of agriculture land, 51 acres (21ha) of grazing area and approximately 20,000 trees will be submerged and lost forever. This will be a major permanent impact with significant socio-economic livelihood consequences. 7.4.4 Submergence of KKH Due to the construction of the Dasu dam and the impounding of the reservoir, about **km of the KKH will be inundated out of the **km total length passing along the left bank of the Indus river valley. Some of the unflooded parts of the road could be reused if reconnected, however a major realignment and redesign of the road will be required in order to ensure that it has adequate capacity in terms of width, gradient, curves and clearance to carry the loads required for the construction of Diamer Basha dam and also Dasu. The KKH is the only link road through the area and is the strategic highway to the upstream areas and on to China. A traffic count survey was carried out at Barseen, the results of which have discussed in Section 6.1 when describing the baseline conditions in the area. The inundation of the KKH is a major impact of a permanent nature and will need to be rebuilt prior to the commencement of works at Dasu. In total it has been calculated that about 46km of the KKH will be submerged due to the impounding of reservoir. 7.4.5 Valuation of Lost Assets A summary of environmental and resettlement costs, is given in Table 7.3. Table 9.2 gives the details of the cost of land acquisition and resettlement needs of the project, including mitigation and monitoring costs.

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Table 7.3 Summary of Environmental and Resettlement Costs Amount Item

No. Description

(Million Pak Rs.) (Million US $)

A Land & Other Compensation 5,955 85

B Environmental Mitigation Measures 5,948 85

C Resettlement 511 7

D Environmental Monitoring 116 2

Total Cost 12,530 179

1 US $ = Rs. 70

7.5 Adverse Impacts during the Construction Phase 7.5.1 Physical Environment Soil Erosion Construction activities such as excavation, filling, development of access roads, construction camps, and disposal of materials (both solid and liquid) will affect the existing soil conditions in the Project Area and in its nearby surroundings. In addition, such work is likely to lead to changes in the existing drainage pattern and may have a significant adverse impact on the environment. It is likely that two soil layers could be affected, the top soil and the immediate layer beneath it. The impact on the top soil layer will be of moderate magnitude as compared to the layer underneath it. The main location of this type of impact will be concentrated around a relatively small part of the reservoir area, immediately upstream and downstream of the Dam site (see Figure 3.1) but with other smaller locations along access roads and quarry sites, as well as the tailrace outfall location where it discharges back into the main river. With care this type of impact can be minimized and landscape reinstatement with adequate drainage provision must be carried out after the completion of the works. This type of impact has thus been categorized as insignificant and temporary. Soil and Water Contamination During the construction stage of the project, large volumes of fuel and lubricants will be used for running plant, including large construction machinery and generators. Significant quantities of fuel and lubricants will need to be stored at the construction site for its immediate use. Such storage facilities need to be appropriately located, designed and constructed to minimize the risk of spillage and if were to occur for it to be contained and prevented from polluting the surrounding land and particularly the river system and groundwater. However it is inevitable that there will be a risk of spillage and some pollution will occur. An adequately resourced contingency plan needs to be in place to deal with such a spillage. However any spillage could permanently contaminate the top soil and render it infertile making the effects permanent. Air Quality, Noise and Vibration During the implementation of the project a large amount of equipment and construction plant will be utilized for construction of the works. The equipment would include bulldozers, scrapers, excavators, compactors, trucks, large capacity dumpers, graders,

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heavy duty cranes, concrete batching plants and stone crushers. The operation and movement of such equipment will increase the noise and dust levels in the Project Area. The impact will be significant when compared to the without project situation. The likely continuous use of generators consuming diesel and oil will also be a source of air pollution and noise. During the summer season the prevailing winds are likely to blow the noise away from the site and will also disperse the air pollutants. However during winter, when there are much stiller conditions and temperature inversions occur, the situation is likely to be more problematic as there will be less chance of dispersion of both noise and particularly air pollutants. Whilst there are currently few residents living very close to Axis 5 there are 4,000 people presently living between the area downstream of Axis 5 to the tailrace outfall site at Axis 2. These people will inevitably be subject to disruption during the construction period, including noise and air pollution, including dust. Adequate steps will need to be taken to manage this problem in collaboration with the local community. This may include restrictions on the times of operation in specific places. There are national regulations for air emissions, including dust, that will have to be followed and the noise threshold of 85dBA is likely to be breached at times. Old and badly maintained vehicles are prone to produce more noise and higher levels of polluting emissions. It is imperative that all plant meets emission control standards and that these are checked and enforced. The most extreme noise is likely to be produced by blasting, from quarries, excavation of the dam foundation and the tunnelling for the diversion, powerhouse and tailrace. Considerable amounts of dust are also produced during such operations, with impacts on local residents and particularly workers, especially those in underground situations. These impacts will be concentrated in the areas around the dam axis and quarries. This impact will be significant but temporary in nature. Due to the drilling activity required for construction of the tunnels a considerable amount of noise and also vibration will be produced. It is anticipated that the some of the houses in the village of Chuchang Maidan may be required to be temporarily evacuated during the construction period due to the effects of the vibrations. However this issue will have to be assessed once the detailed construction program is known. 7.5.2 Site for Construction Camps A large number of both skilled and unskilled workers will be utilized for the construction of the dam and associated structures. Appropriate sites for the location of the construction camps need to be identified that lie within a practical distance from the site. Suitable flat land is in short supply in the area and care will be needed with site selection and provision of adequate service facilities, including water supply, sanitation, electricity and waste disposal. Identification of appropriate accommodation sites that minimize impact is a major issue and consideration could be given to building some permanent buildings that can be reused after the project is constructed, perhaps as part of a program to promote facilities for tourist development provision. 7.5.3 Storage of Construction and Excavated Material During the construction phase of the project a large quantity of rock will be excavated from the tunnels and powerhouse. It has been estimated that some 4.4 million cubic meters of solid rock will be excavated. After excavation this solid mass volume may well increase by up to 60 % by volume as it is stockpiled as pieces rather than being solid.

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This excavated material will need to be stored at appropriated sites prior to its processing and reuse in the construction works. The shortage of appropriate flat land for such storage is a problem for the operation and the sitting and operation of these storage areas will be one of the major impacts on the local environment. However efficient planning of material use should optimize the excavated material produced with the requirements of construction. If well planned all of the excavated material should be reused in the works so that the impact becomes temporary and with reinstatement of the storage area after construction is completed then this can be adequately managed from an environmental standpoint. 7.5.4 Liquid and Solid Waste from Construction Camps The erection and use of the construction camps for temporary housing for labor who will work on the construction site will generate a significant amount of liquid and solid waste. Although total numbers of the staff of all categories who will be housed are not known yet, it is expected that up to 7,000 persons could be engaged to work on the site and will reside in the project area. As a general rule for such accommodation, water consumption will be about 15 liters per person per day and will generate between 70 to 80 percent of this as waste water requiring suitable treatment facilities. Construction camps will generate about 0.5kg of domestic waste per person per day. This will comprise both organic and inorganic waste, including kitchen waste. It is important that this waste is separated and where possible recycled with the remaining organic waste and inorganic residue also being separated. The organic waste can be composted for agricultural use and the inorganic waste should be safely incinerated to absolutely minimize the amount of material needing to be land-filled. A suitable sanitary land fill site will need to be located in an appropriate place and properly constructed and managed to avoid leachate. This should be part of a wider environmentally sound waste management strategy for the project. 7.5.5 Material Quarries and Borrow Pits There is likely to be a demand for materials, particularly natural coarse and fine aggregates that may not be available from the immediate construction site area. Appropriate type and quality materials will need to be sourced from as close to the site as possible. This will require material to be quarried. The selection of sites for such quarries needs to consider environmental management issues, including haul routes, noise and dust. Where possible it is preferable to quarry from within the reservoir area that will later be inundated. Agricultural and forested land above the reservoir area should be avoided as quarry sites, as far as is possible. Appropriate reinstatement of quarry areas will need to be made after extraction has been finished. Early indications are that sufficient quantities of rock should be available from both the excavated material and also six potential rock quarry sites close to the dam axis location. The locations of these are given in Table 7.4 below.

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Table 7.4 Potential Quarry Sites

Sr. No. Name Location 1 Uchar Gah Uchar Nullah

2 Uchar Gah 50 m upstream of the Police Post along KKH 3 Barseen 1 Km upstream of Baseen Nullah 4 Kaigah 4 Km upstream of Barseen Nuallah 5 Kaigah 1.5 Km upstream of Kaigah 6 Panibah 2 Km upstream of Kaigah village

During operation of the quarries there will inevitably be disturbance to the environment, including soil and creation of noise and dust. With careful planning and appropriate management these can be minimized. It is imperative that steps are taken to prevent erosion that results in sedimentation into side tributaries and the reservoir area. Identification of materials storage areas and management of these will need care, along with selection and management of the haul roads. 7.5.6 Surface Water Quality There is a real risk of pollution into the surface water drainage system during the construction of the project. This includes pollution by hydro-carbons and also sediment. It is imperative that this is avoided. The movement of heavy vehicles on unsurfaced Katcha tracks, quarry activities, excavation and fill operations at the dam site, along with pollution spills of oil, petroleum, bitumen/coal tar and other liquids and chemicals may all create hazards to surface water quality. Such activities will also increase the risk of suspended solids washing into the river system and causing turbidity. Clearing and grubbing of vegetation in certain places will increase the risk of soil erosion and resulting sedimentation into the river system. This is particularly a problem during the rainy season. For the construction of access roads materials such as sand, gravel and aggregates will be required in large quantities. The major sources of such types of materials will be the areas adjacent to the proposed site in the sub-catchment areas, and particularly the beds of hill torrents and the gravelly/stony terraces located in the vicinity of the project site. Extraction of the materials from these sources will need to be carried out with care to minimize the risk of sedimentation into the reservoir and downstream area. 7.5.7 Ecological Environment The likely impacts of the construction works on the ecology of the area include the following aspects: Impact on Wildlife and Avifauna During construction activities noise and noxious gases will be produced from machinery and other activities which will scare away birds, wildlife, rodents and reptiles from their existing habitats. Some of these animals may be at risk and may be killed during the construction works. There is a specific issue over noise in the breeding season for some birds and this issue needs to be considered during the detailed planning of the works. Impact on Vegetation It is inevitable that some vegetation will need to be removed for construction work, both on permanent sites and also for temporary works. This will include access road

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alignments, quarries, batching plants, construction camps and storage areas. The amount of vegetation to be removed should be minimized by appropriate design. Owners of trees and scrubs will need to be compensated for their lost value and also offered the chance to salvage the remains of them. This particularly applies to economic trees, including valuable timber, fuel-wood, fruit and medicinal plants. 7.5.8 Socio-economic Environment The main adverse socio-economic impacts during the construction phase of the project are given below: Impact on Traffic The project will significantly increase traffic loads on the KKH and also require access roads to be constructed. The KKH is in any case being upgraded for the Diamer Basha project but this in itself is likely to induce still higher traffic loads and the realignment is likely to result in a general increase in traffic speeds. There will also be a tendency for people displaced from the reservoir, particularly those from the left bank of the river, to relocate their new houses near the rebuilt KKH. It will be necessary to ensure that a major road safety awareness campaign is instigated, particularly targeted at children. Local schools should be used to assist in this awareness raising work. During the construction stage of the Dasu project, a large amount of materials and equipment will need to be moved to the site by road, as the closest railway is a long distance away at Havelian (see Figure 1.2). The only possible route to Dasu will be on the KKH and some of these loads will be very large and heavy, with the transformers being 7m high, 5m wide and weighing 140tonnes. Special arrangements will be needed to manage traffic when such abnormal loads are to be carried. These include closing off alternate stretches of the road and moving items in convoys when normal traffic loads are lowest. This is one of the significant impacts of the project and acts both as a constraint that will need addressing and will also induce long term changes in accessibility of the project area and also traffic loads on the KKH. Accessibility for Local People due to Construction Activities During the construction phase of the Dasu project there will inevitably be disruption to communications in the project area, particularly to people resident on the right bank of the dam site and reservoir area. A detailed assessment of the long term access requirements of the area has been made, both in terms of replacement of permanent lost access due to the project and also how to improve the overall situation in a post construction situation. The detailed results of this work are given in Technical Memo 5. The crucial thing is to anticipate people’s access requirements well in advance and ensure that adequate alternative access arrangements are in place before parts of the exiting network have to be closed. This is particularly true for the loss of river crossings and existing bridges on right bank tributaries that feed into the reservoir area. Close collaboration with local people is required to plan these arrangements and consideration must be given to all modes of transport, especially the requirements of livestock movement. Cultural Issues The arrival of a large number of workers to the site from outside the immediate area

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could create friction with the local community. The existing local community is quite conservative with strong local customs and practices, especially related to gender issues. Great care will be needed to ensure that local people are offered appropriate employment opportunities and do not feel excluded. The incoming workers also need to be made aware of local expectations as to acceptable social behavior. Such issues can be very sensitive on large construction sites and need to be handled with care. The issue of temporary in-migrants bringing new diseases into the area (particularly malaria) needs to be considered. Loss of Livelihood One of the main assets and sources of income for local people is agricultural land. Some 84acres (34ha) of agricultural land will be lost under the dam and reservoir along with 51acres (21ha) of grazing land. However these are each only 1% of the total land loss and although the impacts for some individual households may be severe, the overall impact is not as great as would normally be expected for such a big project. By moving the dam location from Axis 2 to Axis 5 this problem of economic land loss with immovable assets on it, including a significant number of houses, has been significantly reduced. The majority of people who will lose their house make a significant part of their livelihood by using resources that are located away from the reservoir site, particularly in the surrounding highlands. It is imperative that the land acquisition and resettlement program will be completed prior to the commencement of the construction of the project. Security, Safety and Accident Risks It is a prerequisite for the construction and operation of the project that the project area is safe from a security point of view. The improvement of the KKH should assist in this process by allowing for easier law enforcement. All people working on the project and all local people should be allowed to go about their lives without risks to their safety. Frequent consultation with local community leaders should be carried out to ensure that that any social frictions are identified and resolved before they become inflamed. There are safety requirements for construction projects that include control of public access to the site along with regulations aimed at safeguarding workers. Suitable arrangements that conform to national health and safety requirements and also appropriate international best practice will need to be followed. There are specific procedures that need to be observed for the transport, storage and handling of explosives that will be required for the operation of quarries and also underground excavation. It will be necessary to liaise with local communities and initiate and support a public awareness program, particularly targeted at children, about the risks and dangers of large construction sites. 7.5.9 Summary of Impacts during the Construction Phase A summary of the predicted impacts that are likely to occur during the construction stage of the proposed project is given in Table 7.5.

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Table 7.5 Summary of Impacts during the Construction Phase

Sr. No.

Impact Minor Moderate Major Temporary Permanent

1 Soil Erosion √√√√ √√√√

2 Soil Contamination √√√√ √√√√

3 Air Quality √√√√ √√√√

4 Noise √√√√ √√√√

4 Construction Camps Sites √√√√ √√√√

5 Construction and Excavated Material Storage

√√√√ √√√√

6 Material Quarries and Borrow Pits

√√√√ √√√√

7 Surface Water Quality √√√√ √√√√

8 Wildlife and Avifauna √√√√ √√√√

9 Vegetation √√√√ √√√√

10 Traffic √√√√ √√√√

11 Accessibility for Local People √√√√ √√√√

12 Culture √√√√ √√√√

13 Livelihood √√√√ √√√√

14 Security and Accidents √√√√ √√√√

7.6 Adverse Impacts during the Operational Phase 7.6.1 Physical Environment Air Quality and Noise The operation of the project will not affect air quality in the study area to any significant extent and when compared to the alternative sources of power generation hydropower is by far the cleanest. Although the operation of hydro turbines does produce noise, the underground location of the turbine house will minimize the effect on the surrounding area. The road traffic volumes, frequency and pollution in the area will be much lower than during the construction phase. Solid Waste During the operational stage of the project, the generation of solid waste will be minimal, especially when compared to the construction stage. The environmentally sound management of such solid waste needs to be continued, with the maximizing of reuse, recycling and separation into organic and inorganic residual waste and combined with composting and appropriate incineration. The proposed fisheries operation in the reservoir is likely to have its own set of specific waste management issues and these will need to be addressed at the appropriate time. River Flows The Dasu project, like that at Diamer Basha, is a non consumptive user of water. The Dasu project is a run of river hydropower project that depends upon the proposed dam at

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Diamer Basha to be constructed so that it can store water and then release it when required to generate its own power and also allow Dasu to do the same. The result is that there will be a highly modified river flow pattern. Erosion and Sedimentation There are likely to be significant changes in the nature of the morphology of the main river channel for the 4km length downstream of the dam to the tailrace tunnel outlet. The main river flow will be diverted away from this area and it will only be fed by occasional spillway overtopping and deliberate releases from the lower outlets when these are required. It may also receive backwater flows from the tailrace outlet. The significant reduction in sediment loads following the closure of Diamer Basha dam and the increased velocities immediately downstream of the tailrace outlet of Dasu will inevitably cause the river bed to erode, although design measures will be taken to try and minimize this. However this is a permanent impact with some degree of residual element that can not be mitigated for. Climate The impounding of the Dasu reservoir is likely to have only a very minor effect on the local micro-climate as the maximum reservoir area is so small (26km2) and under operational conditions will fluctuate considerably on a daily cycle. There is likely to be some increase in humidity in nearby areas and the presence of the water body could moderate low winter temperatures and reduce the summer maximums when compared to the pre and without project situations. The initial impoundment of the reservoir is likely to result in the release of Green House Gases (GHG) as vegetation in the inundated area starts to decay. This factor has been recognized by the World Commission on Dams (WCD), who have observed that man made lakes are emitters of methane and carbon dioxide. However these emissions are considerably less than fossil fuel burning power stations, although the amount and types of gasses produced by man made reservoirs vary greatly over time due to a wide range of factors, including size and depth of the reservoir, temperature variation in the water body (sunlight angle is a factor), the amount of organic matter in the reservoir, circulation patterns linked to operation and also the nature of the run-off from the upper catchment, specifically the amount of nitrate due to agricultural chemicals being used and the amount of human waste. There are also daily, seasonal and long term cycles for the state of reservoir water quality and gas emissions. An evaluation will need to be made if the vegetation cover in the reservoir should be cut or not (the development of a fisheries system using nets may make this advisable) and if the cut material should be removed to above the full supply level. It would in any case be sensible to make arrangements for the removal of all useable wood material from the area and this is likely to be a commercially viable operation that could benefit local people. 7.6.2 Ecological Environment The potential impacts of the proposed Dasu project on the aquatic and terrestrial ecology of the area are given in detail in Appendices C and D respectively. The results are summarized below. Loss of Fuel Wood and Vegetation The issue of the need to remove vegetation from the reservoir prior to impounding has been discussed above and this needs to be considered as part of a wider reservoir

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management program. Another wider issue is that, although replacement trees will be planted for the those flooded (it is proposed to plant four times the number lost in a properly phased sustainable planting and coppicing system), it will take time for these to be available as a fuel wood source. In the meantime the local population may resort to cutting existing vegetation around the reservoir site. Such a situation will increase the risk of erosion and faster rainfall run-off rates, resulting in increased risk sediment flow into the reservoir, although it must be pointed out that rainfall in this are is not frequent. It is thus vital that a management program is developed where the timber in the reservoir area is cut and stored for use by the local population to cover for the period prior to the new planted fuel wood source becoming available. Impact on Biodiversity The overall impact of the project on biodiversity is likely to be positive as the reservoir provides an additional range of habitats. The current bio-diversity in the river bed area is low, being very arid and rocky. Nothing of great worth will be lost but the formation of the lake with its fluctuating water level will create a wide range of new conditions, including habitats for water birds. Impact on Agriculture It is estimated that about 84 acres (34ha) of cultivated land, including some traditionally irrigated areas, will be submerged in the reservoir area. In addition 51 acres (21ha) of grazing land will be lost. It will be necessary to ensure that suitable replacement provision is made for these losses. The use of the reservoir for a source of irrigation water will need to be considered very carefully, due to the difficulties that the predicted large daily range of water levels will create for abstraction. Impact due to Trapping of Sediment and Nutrients About 95% of the resident reaching Dasu dam site comes through the Indus river whereas an insignificant contribution of 5% is made by the streams intervening Diamer Basha and Dasu. The contribution of Diamer Basha Dam Project is planned earlier than The Dasu project. In the first 40 years of its operation The Diamer Basha project will retain sediment in the reservoir; thereafter sluicing of sediment is planned every year. As The Dasu project is located downstream of Diamer Basha Dam, the inflow of sediment in its reservoir will be regulated by the outflows from the Diamer Basha reservoir. Moreover, capacity of the Dasu reservoir is small. At the time when Diamer Basha project starts sluicing of sediment, the same will be undertaken at the Dasu project. Thus, in the given setting of Diamer Basha and Dasu projects, Dasu will not be playing any role in altering the sediment pattern in the Indus river. However the impact of detention of sediment in the first 40 years of its operation from part of the Diamer Basha project studies. Impact on Aquatic Life The issue of vegetation decay in the reservoir area after it has been impounded has been highlighted above. The nature of the ecology and how this will develop over time is complex and each reservoir is different, as various complex inter-relationships come into play. It is imperative to continue with the SUPARCO water quality monitoring program so that both seasonal and longer term trends can be analyzed and particularly the changes that the closing of Diamer Basha dam will have. Once a detailed operational model of the Dasu reservoir is available then the water quality data can be matched with this and estimates made of the likely nature of water quality in the reservoir and how this is likely to develop over time and what aquatic habitats can be expected. This is crucial for the

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proposed fisheries development program. The passage of fish through the Dasu dam will not be possible (as will also be the case at Diamer Basha) and the nature of aquatic ecology of this reach of the river will change forever. However as part of the mitigation program for the Dasu project it is proposed to strengthen the management of the fisheries resources in the reach of the main river Indus downstream of Dasu Bridge. This is in addition to developing and managing the fisheries resources in the main Dasu reservoir. 7.6.3 Socio-Economic Environment The impacts on the socio-economic environment during the operation stage of the project are likely to include: Household Livelihoods It is anticipated that with full mitigation and enhancement programs the people losing land and immovable assets in the reservoir should be significantly better off than they were before the project. However, close monitoring of particularly vulnerable households will be required in order to identify any needing additional assistance. A factor that is very difficult to predict is the risk of disease being brought into the area, both during the in-migration of temporary construction workers and also because of the changes in river ecology and habitats for vectors. This includes the risk of malaria from mosquitoes in the reservoir water body (although the cold winter temperatures may kill them off) and also risk from diseases spread by simulium flies that will have enhanced habitats in the fast moving water of the tailrace outlet. Both of these aspects will need to be monitored, including regular checking of the health of local people. Culture and Heritage Due to the construction of the Dasu dam there will be an influx of people into the area from other parts of the country and also a wide range of social classes. This change will affect the cultural make up of the area, and although only temporary the effects could be long term and permanent, changing local people’s perceptions and expectations. Submergence of Petroglyphs at Shatial There are 46 Buddhist petroglyphs (rock carvings) of international importance located the upstream part of the proposed Dasu reservoir near Shatial (see Figure 1.3). A levelling survey of these petroglyphs has been carried out (See Appendix F) and it has been found that the cluster of these petroglyphs will not be inundated in the reservoir even in the extreme flood conditions. 7.6.4 Summary of Impacts during the Operational Phase A summary of the impacts that are predicted to occur during the operational phase of the project is given by degree and permanence in Table 7.6.

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Table 7.6 Summary of Impacts during the Operational Phase

Sr. No.

Impact Minor Moderate Major Temporary Permanent

1 Ambient Air Quality √√√√ √√√√

2 Noise Pollution √√√√ √√√√

3 Solid Waste √√√√ √√√√

4 Sedimentation √√√√ √√√√

5 Micro Climate √√√√ √√√√

6 Fuel Wood and Vegetation

√√√√ √√√√

7 Biodiversity √√√√ √√√√

8 Agriculture √√√√ √√√√

9 Nutrients √√√√ √√√√

10 Aquatic Life

11 Culture

12 Archaeological Sites √√√√ √√√√

7.7 Quantification of Significant Impacts The quantification of impacts is listed in detail in Part A of Table 7.3. Annexure 3 part A lists all of the items that will be lost under the reservoir and permanent works, including land and immovable assets and improvements. These are indicated by type, unit and quantity with a summary of the key items being given in Table 7.1. In addition Parts B and C of Annexure 3 give the replacement quantities needed to ensure that no body is worse off as a result of the project. In all 417 households comprising 3,670 people will lose their homes. An estimated 2,600ha of land will be flooded of which 34ha are agricultural and 21ha are grazing land. 7.8 Valuation of Significant Impacts The valuation of the lost land and immovable assets and improvements is also given in Annexure 3. The valuation takes into consideration the use and productivity of the land, including the crops that would be lost. The data in Annexure 3 is listed by type of lost asset, the quantity and the unit value in cash terms, be it the value of production foregone or the cost of providing an equivalent replacement at current market rates. In some cases this may be the cost of physical relocation (graveyards for instance). The estimates include crops, fruit and fuel-wood trees as well as all buildings, community and public infrastructure (roads, bridges, telephone lines) in addition to private commercial operations such as hotels, restaurants and timber stores with their associated operations. Part C of Annexure 3 also lists all of the costs associated with the resettlement of the displaced people, including the provision of replacement services such as water supply, sanitation, electricity, roads and the dislocation and livelihood allowances paid to these people. There is also provision for a vulnerable group assistance fund if needed. In addition a program of development enhancements has been drawn up in consultation with local people. These include tree planting and horticulture development, poultry and

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fisheries programs along with wood working and other vocational skill promotion and micro credit schemes, particularly for women. The total resettlement costs, including management and monitoring have been estimated at Rs 5.14 billion. These costs will have to be funded by the Government of Pakistan. The costs are about 3% of the total estimated project base cost of US$ 5206 million, which for a large hydropower project is relatively low. 7.9 External Impacts and Constraints The existing upstream environmental constraints to the Dasu project include the possible future changes in flow patterns of the Indus river, some of which could be attributed to possible climate change. There is a chance of increased flows for some years as the rate of ice and snow melt increases but after a time there will be less material to melt. However, as it is planned to construct the dam at Diamer Basha before that at Dasu these existing constraints will be subject to significant modification. By the time that Dasu is constructed the main Indus inflow will be managed by the operation of Diamer Basha dam. The main criteria for operation of this proposed cascade system is the ability to maximize power generation at the required times and also allow water releases from Tarbela for agricultural use downstream. Similarly the constraint of sediment inflow will be greatly reduced by the construction of Diamer Basha dam before that at Dasu. The main conclusion is that Dasu, being a run of river project between two existing dams will itself not be subject to or cause major external environmental constraints. 7.10 Cumulative Impacts and Constraints As a normal part of environmental analysis it is necessary to address the potential cumulative impacts created by the proposed intervention. In the case of the Dasu hydropower project this is not straightforward. As previously explained, the dam at Dasu is to be built as part of a phased program of development for hydropower resources on the Indus river. The proposed Diamer Basha dam and reservoir, which has significant storage capacity, is to be built before that at Dasu so that the flows into Dasu reservoir can be regulated and Dasu be allowed to operate as a run of river hydropower scheme for generating electricity at peak demand time. The other significant factor is that Diamer Basha also has to be operated bearing in mind the requirements of Tarbela dam downstream, both in terms of power generation but also downstream water requirements for irrigation. This complex interrelationship and operation can only be properly be analyzed from a strategic perspective. There is a need, irrespective of the Dasu project, to carry out an overall inter-sectoral strategic review of water management in the whole of the catchment so that operations can be optimized within an overall strategic planning framework. The main conclusion is that the Dasu project by itself, being a run of river project between two existing dams, is unlikely to cause major cumulative impacts. However the wider context of development within the whole of the river basin needs to be considered.

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8. IMPACT MITIGATION AND REMEDIAL MEASURES 8.1 Pre-Construction Stage 8.1.1 Land Acquisition, Compensation and Resettlement A total of approximately 2,600ha (6,439 acres) of land will need to be permanently acquired for the construction of the project. This area has been minimized as far as possible by moving the dam location from Axis 2 to Axis 5. Of the total land area requiring acquisition only 1%, some 34ha (84 acres) is agricultural land, whilst 21ha (51 acres) is grazing land, the rest being the river bed or unused barren land that is mainly steep and rocky. An estimated 3,670 people will need to be relocated from 278 housing units comprising 417 households. It is extremely fortunate that nearly all of these households depend on using resources outside of the reservoir area for their economic livelihood. The houses that will be flooded are the main winter houses of households who seasonally move to the surrounding highlands. By relocating their winter houses to just above the full supply level and adjacent to the relocated road network it should be possible for most households to reestablish their economic livelihoods and in some cases enhance these as communications should be improved. In addition services such as safe drinking water supply, sanitation and electricity will be provided, both as replacements to that lost and also for those households who did not previously have access to them. The Land Acquisition Act of Pakistan is the core legislation which is used for the compulsory acquisition of land in the country. However in the Study Area the local needs and procedures for land acquisition are addressed through the indigenous system of land rights and distribution. The Revenue Department and the Works and Services Department working under the District Coordination Officer (DCO) are the institutions with the legal remits for implementing land acquisition and compensation entitlements. Whilst these departments have experience of land acquisition for small projects, they do not have the capacity nor staff and equipment to plan and implement the scale of the resettlement activities that would be required for the Dasu project, were it to be constructed. The Land Acquisition Act does not itself specify the compensation and assistance details for involuntary resettlement. In the absence of national policy and guidelines for involuntary resettlement the procedures of the World Bank, specifically their Operational Policies for involuntary resettlement, are followed, as these would be acceptable for most of the international funding agencies due to the fact that they follow international best practice. The guiding principle of the World Bank Operational Policy is that no body is to be made worse off as a result of the project. At the feasibility stage estimates of how to provide equivalent replacement land and lost assets have to be given, including steps to safeguard economic livelihoods. The costs of providing these have to be included in the financial and economic analysis of the project. Once a firm decision has been made to go ahead with the project then a comprehensive Resettlement Action Plan (RAP) has to be prepared that includes detailed enumeration and valuation of lost assets along with the replacement and rehabilitation costs. The RAP should cover all the aspects of land acquisition, resettlement and financial assistance issues required to ensure that both directly and indirectly impacted people will be no worse off as a result of the project. The work has to address private, communal and public infrastructure, including cultural and archeological issues. After approval by the relevant authorities, the RAP has to be implemented prior to the commencement of construction of the project.

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In general terms, the people who will be adversely affected shall be compensated (by cash or in kind) for the loss of their land, along with its immovable assets and improvements. The affected people will also be assisted financially to ensure that their livelihoods are restored to at least pre-project levels. Households headed by women and any other vulnerable households (if found) will be eligible for further cash assistance for relocation and house or structure replacement and reconstruction. The detailed plans for the resettlement will be based on a full census and valuation surveys which will provide a complete list of all those people affected, together with the type and size of losses, along with the amount of compensation and/or financial assistance assessed for each person affected. The guiding principle is that compensation has to be made in a fair, equitable and timely manner. For the Dasu project it is fortunate that most of the households losing houses in the reservoir area obtain most of their economic livelihood from using resources outside of the flooded area. The key requirements of the resettlement approach will be to devise a strategy that allows each household to maximize the range of choices open to them with regard to selecting a new house location and the way in which this is to be designed and constructed. Early indications are that most households would prefer to receive cash compensation and arrange for rebuilding themselves. Apart from privately owned houses there are also mosques and graveyards that will be submerged. Mosques should be reconstructed at suitable locations in consultation with local people. The relocation of graveyards is obviously a sensitive issue and the wishes of surviving family members should be respected. This may include exhumation and reburial. Some of the graveyards are very old and there are likely to be cases where there are no surviving family members. This issue will require detailed investigations during the studies for preparing the RAP and needs to be handled with care and sensitivity in close collaboration with the local people. 8.1.2 Submergence of the KKH Due to the impounding of the Dasu reservoir the KKH will be at risk of submergence at the places where it currently lies below 957masl. The KKH is the most important strategic highway in the northeast of Pakistan, providing the link to China through the Himalayas. The KKH also provides the main route from which the local transport network links to the national highway system and to the rest of the country. A separate study will be needed to look at realigning the KKH, due to the requirement to make sure that its entire length will be above 960masl along the reach of the Dasu reservoir. Such a study has already been carried out for the Diamer Basha Dam Project in order to relocate and upgrade the road. For Dasu, the biggest loads are transformers having laid shipping dimension of 5.9 m long, 3.6 m wide and 3.4 m high and weight 140 tonnes. Estimates have been made that 46km of the KKH will be inundated by the Dasu reservoir. A preliminary study has been carried out to give a cost estimate of the relocation and building costs of the KKH required due to the Dasu project. The results of these studies indicate that the cost of relocating the KKH due to the Dasu project will be Rs. 3,690 million US$ 52.74 million which is 3.1% of the total project costs, the most costly adverse impact in terms of mitigation provision. Once a decision is taken to build the Dasu project then detailed designs will be needed for the relocation of the parts of the KKH that are within the Dasu reservoir. The design would include construction methodologies that still allow traffic to flow whilst it is under construction. Construction of the realignments of the KKH will need to be programmed to be completed before impounding of Dasu reservoir. 8.1.3 Access for Local People Five existing suspension bridges across the Indus river will be submerged due to the

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impounding of the Dasu reservoir. In order to restore the access for local residents living on the right bank of the river and its side valleys it is proposed that replacement bridges be constructed. A detailed assessment of the replacement access requirements has been carried out and is given in Appendix, along with cost estimates. The proposal is to build two new suspension bridges across the reservoir located approximately one third from each end of the reservoir. Two more river crossings will also be provided, either along the dam crests or immediately downstream of them for both Dasu and Diamer Basha. The planning work given in Appendix includes the results of traffic surveys across the existing bridges. The proposed replacement bridges are big enough to take a small truck. A replacement road network along the right edge of the Dasu reservoir is also suggested. This right bank road would link to all of the existing roads feeding from the side valleys. The preliminary investigation has used the detailed satellite imagery of the area and also the Survey of Pakistan (SOP) maps so that lengths and costs could be estimated and incorporated into the environmental and financial analysis of the project. It is important that the replacement access facilities are in place well in advance of the reservoir impounding and ideally should be available for use during the resettlement exercise. The use of ferry services on the reservoir has been considered but discounted as the operational pattern of the hydropower station will result in very large daily fluctuations in the reservoir water level. This makes the use of ferries impractical due to the requirement for floating loading jetties that could accommodate a daily variation in water level of 20 m and more. When the sediment sluicing starts, the reservoir level will drop by about 100 m. 8.1.4 Petroglyphs (Rock Carvings) The 46 internationally important ancient Buddhist petroglyphs (rock carvings) that lie on the periphery of upstream part of the proposed Dasu reservoir have been subject to a study and leveling survey and the results are given in Appendix F. From the leveling survey, it has been found that the petroglyphs will not be inundated as a result of the Dasu project. 8.2 Construction Stage 8.2.1 The Natural Physical Environment Soil Erosion The natural and physical environments of the Project area are representing typically, rocky areas in most of the length of the reservoir. Whatever, factors in existence at pre-project stage, will continue to remain more or less unchanged. Soil erosion is a natural phenomenon, which will not be influenced by this project to any significant level. The steep rocky area is already deprived of soil cover in the Project area in most of the sections, hence project impacts on soil erosion will be non-significant. Air Quality and Noise The following effective measures need to be adopted for minimizing potential /adverse impacts on ambient air quality: - Water sprinkling, if needed on the paths and tracks that are used by construction

vehicles in order to reduce dust - Control of vehicle speeds

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- Planting of rapidly growing grasses and plants in appropriate parts of the Project Area

- The use of old vehicles with high emissions should not be allowed during the construction of the Project.

The baseline monitoring programme for air quality in the Project are should be extended during the construction period to include the exhaust emissions from all of the construction vehicles, generators and other sources, such as chimneys. The objective is to ensure that regulatory standards for air quality are met and maintained with an appropriate program of corrective action if required to achieve compliance. Specific requirements are: - Ambient air quality monitoring shall be conducted with the frequency as specified

in the EMMP. Batching plants should be sited at least 500 m away from Seo and other villages so that the dust generated by these operations does not have any significant adverse impact on the community. The prevailing wind direction should be taken into account when sitting such facilities.

- Heavy duty machinery should be provided with mufflers in order to reduce the noise to within the acceptable limits specified in the National Environmental Quality Standards (NEQS).

- Provision of ear protection for workers on the site. The timing of construction activities shall be discussed with nearby residents of the area with the aim of minimizing the disturbance to the local population. This includes consideration of the need for 24hour and seven day a week working.

- The timing of the use of explosives for excavation and quarrying shall be discussed and publicized to local communities well beforehand. It is helpful if blasting can be carried out to some sort of regular pattern. In rare cases it may be necessary for some people to be temporarily evacuated during blasting at some sites.

Liquid and Solid Waste from Construction Camps All of the solid waste that will be generated from construction camps should be properly collected, separated and reused, recycled and disposed of using environmentally sound solid waste management techniques, including composting and incineration. If it is necessary to use landfill then an appropriate site needs to be identified and a proper sanitary landfill needs to be constructed and managed to ensure that there is no pollution. Toxic waste shall be handled, stored, transported and disposed of separately and in the required manner. All liquid effluents shall require appropriate treatment to a standard that allows them to be disposed off or re-used in an environmentally appropriate manner. Material Quarries and Borrow Pits Air and noise quality monitoring of quarries and borrow pits is to be carried out as specified in the EMP. The quarries and borrow pits are to be used only for the purpose of the project construction activities. The topsoil wherever it is found to exist in the borrow area is to be removed and stored for re-use in site restoration and landscaping work. Adequate arrangements are to be made for surface water run-off drainage during the operation of quarries and borrow pits and also in the design of the post construction restoration of the areas.

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Surface Water Availability and Quality The water needs for the construction of the project will have to be carefully assessed and quantified, split by their quality requirements. The local population currently use springs for their potable supply and any requirement for the project must not affect this existing use or that for new resettlement locations. The availability of water of an appropriate quality and the need to treat this should be taken into consideration when locating construction camps and also other major users of water, such as batching plants. The reuse of water should also be considered in the design and operation of plants such as those for screening and washing of materials. A water management plan will need to be presented and approved before the commencement of construction operations and the relevant permits will need to be obtained from the appropriate institutions for abstraction. Proposals will also have to be given as to appropriate waste water treatment and management. Toxic waste from the construction camps and workshops, including oil, grease, should be transported to an appropriate treatment and disposal facility. The measures required for the environmentally sound management of solid waste have already been outlined above. The contractor must ensure that that there will be no contamination of the surface water sources in the area, including the main Indus River and also the side streams (Nullahs). In addition care must also be taken that there is no pollution to groundwater. 8.2.2 The Natural Ecological Environment Loss of Timber The loss of 20,000 existing trees in the inundated area is to be mitigated by the planting of 80,000 replacements around the reservoir edge. A management plan for the reservoir area needs to be drawn up that considers the need to clear the reservoir area of vegetation, bearing in mind potential water quality issues and the future use of the area for fishing with nets. Normal practice is to compensate individuals and communities for the loss of their economic trees (be they for fuel-wood or other uses) and also allow them to clear as much of the timber as they wish before a specified cut off date. Any remaining useable timber should then also be recovered and any standing trees felled before the reservoir impounds. The need to remove non economic timber from the reservoir will then have to be assessed. The planting of replacement trees needs to be started well in advance of the impounding of the reservoir. The replanting needs to be phased over time and with a mixture of local species that have economic use. The aim is to produce mixed age and species stands that have a sustainable economic use and will regenerate. A major objective is to try and avoid a gap in the supply of fuel-wood to the local community that forces them to cut existing material from outside the reservoir area and hence increase the risk of erosion and sedimentation into the water body. The growth of grassland in the draw down area for use as fodder has been considered but this is difficult because of the very wide variations in daily water levels of the reservoir due to the operating requirements of the hydropower station. However the planting of fodder crops above the full supply level should be considered, as this can go some way towards alleviating the dearth of browse that already exists in the area. A detailed Forestry Development Plan should be drawn up for the reservoir and its surrounding immediate catchment area in conjunction with the Forest Department. As part of the management plan a set of tree nurseries should be established at an early stage to kick start the replanting program.

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Loss of Fruit Trees and Crops in the Reservoir Area The loss of cultivated land and standing crops, along with fruit and other economic trees, will be compensated for by payment of equivalent cash compensation to individuals and communities. In addition a development program for replacement agricultural land and also horticulture production (including a specially targeted potato production component) is proposed to be implemented. The aim is to enhance the existing tree and vegetation cover in the area in a manner that has economic benefit for the local population, as well as improving the natural environment. 8.2.3 The Socio-Economic Environment Job Opportunities for Local People The construction of the Dasu dam project will provide opportunities for wage paid employment for people of various types and levels of skills. This includes direct employment with the contractors and also secondary service jobs. In order to maintain good relations with the local communities it is advisable to first offer appropriate jobs to local people. To try and maximize the possibilities for wage paid employment for local people it will be necessary to set up appropriate training programs for them in order to obtain the skills required before construction of the project commences, as well as providing on the job training. Care may also need to be exercised in mixing local staff with that brought in from outside to avoid potential social problems and conflicts. Access for Local People and Cultural Issues During the construction stage care will need to be taken to avoid possible confrontations and social friction between temporary in-migrants and the local people, who will understandably be aggrieved to some degree by the loss of their land and houses that have been held by them for many generations. Sensitivity is required in the locating of construction camps and contractor’s staff will need to be carefully briefed and perhaps their freedom of movement restricted in order to avoid any chance of conflict with local people. The contractor’s staff will also need to be briefed as to the accepted social norms, customs and traditions expected by the local community. This is particularly the case with attitudes to women which is a very sensitive issue with the local community. The contractor will be required to maintain close liaison with the local communities in order to ensure that any potential conflicts, including those related to common resource utilization for the project are identified early on and amicably resolved through consultation with local people and their representatives. Inconvenience to Local Residents and Accidental Risks The construction operations will need to be well managed to try and minimize the disruption to local people. The site is cramped with a lack of flat land for locating construction camps (which may well have to be multi-storey) and processing machinery, along with material storage areas. Effective management will be needed by the contractor to minimize noise, dust, smoke and other pollution to the remaining resident communities. The site will need to be well secured to prevent local people exposing themselves to hazards, particularly in locations where explosives are being used and stored. Areas of excavation and places were plant is working also need to be effectively fenced off to prevent local people, and particularly children, from putting themselves at risk. Full health and safety procedures will need to be drawn up for the site which, at the absolute minimum must follow the statutory requirements. This will include the provision of adequate safety and protective clothing, including head, eye, ear and foot protection

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along with high visibility garments. An appropriate set of evacuation procedures will need to be devised and rehearsed and adequate provision of medical facilities will need to be provided on site to deal with a major accident. A well managed law and order security system will need to be established for the whole of the Project Area and particularly the construction site in order to ensure that both local residents and project workers can go about their lives without fear. 8.3 Operational Stage 8.3.1 Natural Physical Environment Ambient Air Quality, including Noise and Vibration The WAPDA managed environmental monitoring program for air, noise and water quality will be continued through into the operating stage of the project. The design of the program will cover the protocols for sampling and analysis, including locations and time frequencies, along with the reporting requirements, information dissemination and a feedback system that allows any required corrective action to be carried out. One of the most sensitive areas for noise and vibration generation in the operational stage of hydropower projects is from the turbine house. However as the power house is underground the potential problem will be significantly diminished. The noise and vibration impacts should be evaluated in detail during the detailed design phase of the project. The main increase in air pollution emissions during the post construction period is likely to come from the rebuilt and improved KKH. This is not a direct impact that can be attributed to the Dasu project. Solid Water There will be a relatively small amount of solid waste generated from human activities during the operation of the project. In order to prevent potential pollution to groundwater, the air and landscape an environmentally sound waste management program will be required. This should include waste separation, reuse, recycling and composting of organic matter with the residual being incinerated rather than sent to landfill. 8.3.2 Sedimentation The main existing sediment source from the Indus river will be trapped behind the dam at Diamer Basha following its construction. The sedimentation studies for the Diamer Basha project indicate about 37 million tons of sediment passing through per annum which is only 20% of that passing before the construction of the dam. It is estimated that it would be 40 years before the flushing of sediment through the Diamer Basha Dam would commence on annual basis. During the flushing period power generation at Diamer Basha would be shut down. Sediment flushed from Diamer Basha will have to be flushed from Dasu reservoir to maintain its operational storage capacity. During flushing, power generation at Dasu will also be shut down. To minimize adverse impact of the two shut downs, timing for flushing of the sediment will be staggered on the two projects with a gap of 4 weeks or so, flushing at Dasu following that at Diamer Basha. In addition to the releases from Diamer Basha, a small source for the Dasu reservoir is from the side streams flowing directly into the Dasu reservoir downstream of the Diamer Basha dam. Sedimentation studies conducted for Dasu Project have estimated an average annual yield of 10 million tons of sediment from the side streams. The quantity is only 5 % of sediment coming from Indus river. The Dasu sedimentation studies have further estimated that 40 years of sediment coming from the side streams and the

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Diamer Basha outflow can be accommodated in Dasu reservoir without impairing its power generation capabilities. Therefore, sediment from the side streams is not likely to have any significant adverse impact on Dasu Project. 8.3.3 Green House Gas Emissions The overall impact of the Dasu hydropower project will be to avoid the increase in greenhouse gas emissions that would result if fossil fuel burning thermal power stations were to be constructed instead of the Dasu project. In addition the planting of 80,000 trees to replace the 20,000 that will be flooded in the reservoir is a benefit. The initial ecology of the reservoir is hard to predict but the volume of organic matter is relatively low as the area is arid and relatively sparsely vegetated so the volume of greenhouse gasses produced during vegetation decay is not thought to be high. 8.3.4 Natural Ecological Environment Reduction in Nutrient Levels of Water to Downstream Users The reduction of sediment load in the water that will be returned into the river downstream of the tailrace may result in fewer natural nutrients being available in the water which are presently beneficial to agriculturalists downstream. The current nutrient status of the water in the Indus river needs to be assessed and future predictions made as to water quality also considering the extra oxygenation that is likely to occur. It may be necessary for downstream irrigated farming operations to use increased amounts of fertilizer and manure to overcome any reduction in nutrient levels in the water. Current practice is to use chemical urea and phosphates, the balance between them being critical. This issue needs to be assessed in the follow up detailed studies. Management of Reservoir and Impact of Aquatic Life The lake created by reservoir will become a significant aquatic habitat, including water birds as well as fish. There is an opportunity to manage the reservoir for fisheries production with significant socio-economic benefit and also considerable improvements in human protein availability. A targeted program is proposed for the development of fisheries resources in the reservoir water body. This includes nurseries for the production of fingerlings along with research and training programs for cultivation and catching techniques, including suitable boat provision. Arrangements for processing, storage and transportation of the catch will also have to be made. The degree to which local people are able and willing to participate in such operations will need to be assessed and appropriate training provision designed and given. A specific fisheries development component has been included in the reservoir management program with suitable budget provision. Reforestation The selection of appropriate fast growing economic tree species such as Kikar, Ber, Phulahi, Ipple Ipple, Alianthus, Bakain, Siris, Pomegranate and Dodonea is critical for the proposed replanting program of 80,000 trees. Suitable sites include areas around the reservoir, along with existing deforested and denuded areas, especially where slopes are steep and the erosion risk is high. Eucalyptus and Poplar trees are also suitable for planting around the rim of the reservoir. Development of Agriculture and Natural Vegetation About 34ha (84 acres) of cultivated lands will be lost by the impounding of the Dasu

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reservoir. Most of these lands are seasonally irrigated. These cultivated lands will be compensated for and alternative replacement land at locations above the reservoir full supply level will be developed for agriculture well in advance of impoundment. 8.3.5 Socio-Economic Environment Culture and Heritage The situation with regard to the internationally important Buddhist petroglyphs in the upper part of the proposed Dasu reservoir area has already been outlined and the relevant government institution will deal with historical relics. One possibility is to create a museum and a visitors centre to explain the project and also the relics to the general public. This would best be done in conjunction with the Diamer Basha project who will have to address this problem to a much more significant degree. Great care will be needed to ensure that local people are kept accurately informed of likely progress with the project. It would be advisable to set establish a Dasu project public liaison group once a way forward for the project is clear. The Kohistan District has its own strong and independent culture and heritage that is very old. This must be borne in mind when considering any proposals for the area. With regard to the operational phase of the project it is likely that significant changes will have already taken place as a result of the construction of the Diamer Basha project and the rebuilding of the KKH well before construction of Dasu commences. These trends are likely to be reinforced by the construction of the Dasu project. The key is to allow households who wish to continue their lifestyles as they are now to do so by maximizing the choice open to them, including a straight replacement of lost assets. Employment Opportunities for Local People The promotion of alternative and more diverse means of livelihood generation is a specific part of the overall mitigation plan for the project. These opportunities include tree planting, agriculture diversification and fisheries. These are in addition to the possible jobs that the construction of the project could provide for local people. However care is needed, and even though there is a requirement to first give priority to local people for jobs on the construction of the project, these jobs are normally temporary and may not develop appropriate skills for long term sustainable development of local livelihoods. The key is to use the income made during the construction period for longer term sustainable livelihood generation activities. Agricultural Development Provided that the proposed land acquisition, compensation and resettlement program goes ahead successfully as planned there should be a wider range of economic activities available for local people, accompanied with better service provision, including education, health, water supply, sanitation, electricity and improved access. The specially targeted agricultural development activities are aimed to build on the existing system but to offer the chance of diversification, particularly with the tree planting and horticulture programs. Specific components for potato production, poultry and fisheries are aimed to further widen the range of economic activities available after the construction of the project has been completed. There are also specific opportunities for irrigation and fisheries downstream of the dam.

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Safety During the operational stage of project significant human safety issues will arise due to the impounding of the reservoir. These include the need to raise awareness of the dangers of drowning in the reservoir, especially due to the rapid changes in water level that will be experienced and the currents that will be created by the operation of the inlets. This issue is particularly important for children and a program should be instigated through the local schools to warn of these dangers.

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9. ENVIRONMENTAL MANAGEMENT AND MONITORING PLAN 9.1 Objectives of Environmental Management and Monitoring This section of the EIA report provides an overall approach for managing and monitoring the environmental issues raised by the construction and operation of the Dasu Hydropower Project. The objective is to provide an overall framework for implementing the mitigation measures that adequately address the identified adverse impacts and also the enhancements for predicted positive impacts. In addition the items that require monitoring of the environment are also identified. All of these measures are to be put into a coherent Environmental Management and Monitoring Plan (EMMP), complete with the institutional arrangements and resources required to successfully implement the required actions. The costs of implementing the EMMP are to be included in the overall project costs and financial analysis. The EMMP is a dynamic document that needs to be reviewed and updated at each stage of the project. At the current feasibility stage of the project the EMMP gives an outline of the issues that will need to be addressed and a cost estimate to allow for budget provision. A detailed EMMP can be prepared once it is certain that the project is going to be implemented and a RAP has been prepared. This is normally carried out at the detailed design stage. The main objectives of an EMMP are to: - Provide the details of the project impacts, along with the proposed mitigation and

enhancement measures and draw up an appropriate implementation schedule using a Mitigation Management Matrix (MMM). A preliminary MMM is given as Table 9.1.

- Define the roles and responsibilities of the project stakeholders, including the project proponent, contractor, supervisory consultants and other key players.

- Identify the training requirements needed for the key role players in order for them to effectively implement the EMMP.

- Provide a mechanism in the form of an environmental monitoring program, that outlines which key parameters (both for the natural and social environment) will need to be monitored and the frequency that each of these has to be carried out. The objective is to ensure that mitigation measures are being effective in keeping environmental conditions within prescribed limits and if they are not, then making sure that there is an effective response mechanism that allows corrective action to be implemented.

- Identify the resources and cost requirements for implementation of the EMMP. 9.2 Mitigation Management Matrix The Mitigation Management Matrix (MMM), a preliminary outline of which is given in Table 9.1, is considered to be one of the main elements of the EMMP. The MMM is to be used as the management tool for the implementation of mitigation measures. The mitigation management matrix should include: - The required mitigation measures recommended in the EIA report. - Identification of the person or institution/organization directly responsible for

adhering to or executing the required mitigation measures. - The person or institution/organization responsible for ensuring and monitoring

adherence to the mitigation measures. - The parameters that will be monitored to ensure compliance with environmental

standards and also with the requirements and objectives of the mitigation measures.

- The timing at which the mitigation or monitoring has to be carried out.

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Whilst specific individuals, organizations and institutions have been delegated with the responsibility for implementing and monitoring the mitigation measures, the primary responsibility for the overall management of the EMMP is with the WEC. The identification of the key institutions responsible for environmental management in Pakistan has been covered in Section 2.3 of this EIA report. This is discussed in more detail in Section 9.10 below in relation to specific institutional responsibilities for implementing parts of the EMMP. 9.3 Identification of Mitigation Measures for Significant Adverse Impacts The identification of adverse impacts has been given in Section 7 of the EIA report and the identification of mitigation and remedial measures in Section 8. The key items are listed below and summarized in Tables 7.1 and 7.3. These items will form part of the EMMP, of which the RAP will be a significant component: - Loss of houses for some 417 households comprising an estimated 3,670 people

to be compensated for by cash and/or replacement. This includes water and sanitation facilities and electricity supply, along with allowances for disturbance due to relocation and also livelihood allowance for three months.

- Loss of 34ha (84 acres) of agricultural land with any standing crops to be compensated for in cash and/or replacement land and also with an agricultural enhancement program.

- Loss of 21ha (51 acres) of grazing land to be compensated for in cash along with the provision of a livestock enhancement program with a fodder component.

- Loss of 20,000 trees to be paid for in cash and a phased targeted replanting program for 80,000 replacements for fruit, fuel-wood and fodder.

- Loss of existing commercial activities, including timber stores, shops, hotels and restaurants, to be compensated for in cash and relocation.

- Replacement of public and communal infrastructure, including mosques, graveyards, schools and a hospital along with electricity and telephone lines, bridges and roads.

- Realignment of the KKH. - Mitigation of the potential flooding of 46 Petroglyphs to be addressed by the

legally responsible authority. The cost estimates for implementing these measures are given in Part A of Table 7.3. In order to draw up the detailed EMMP, the timing and detailed institutional arrangements for implementing these measures will need to be given. This should be done at the detailed design stage once a firm decision has been taken to go ahead with the project. 9.4 Identification of Environmental Enhancement Measures Enhancement measures are those proposed actions which aim to provide increased positive impacts or mitigation measures over and above the requirement for just equivalent replacement. These enhancement measures are particularly important for the project area which has existing low levels of socio-economic development when compared to the rest of the country. This situation of under development is made more significant by the fact that the primary beneficiaries of the project (production of environmentally sound and sustainable electricity) are likely to be the more urbanized and better off parts of the country. The key proposed enhancement programs are: - Provision of safe domestic water supply, sanitation facilities and electricity

supplies for all households in the area.

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- Provision of adequate health facilities, including a public health education program.

- Provision of adequate education facilities (specifically more and better quality staff for primary schools and construction of more residential hostels for secondary schools), including adult education and vocational training.

- Enhancement of the road transport system to include a full interconnecting network to the right bank (see Technical Memo 5 for specific details).

- Economic livelihood promotion programs (with women as specific targets) having components to address the following issues:

- Tree planting, specifically seedling nurseries for fruit, fuel-wood and fodder trees. - Horticulture demonstration farms and a potato promotion program. - Livestock development program, particularly for poultry. - Fisheries development, both immediately downstream of the dam and also in the

reservoir. - Wood production and craft industry using local materials. - Micro credit provision and also money management advice aimed specifically at

households receiving cash compensation. - Development program for promoting the tourist and recreational potential of the

reservoir and the surrounding area. The cost estimates for these enhancement programs are given in Part C of Table 7.3. All of these elements will need to be refined to be incorporated into the EMMP at the detailed design stage of the project. 9.5 Management of Direct Construction Impacts At the detailed design stage, when the construction program and the techniques to be used will be finalized, a master list can be drawn up of all of the direct construction impacts. The detailed design can then be finalized taking into account the need to minimize potential adverse impacts. This would include drafting appropriate environmental management clauses into the construction contracts. Once a master checklist of direct construction impact issues has been finalized then a monitoring checklist can be created for use by the supervising engineers during the construction period. It is crucial to clearly define the responsibilities of each of the parties in the construction works (contractors, supervisors and the project proponent) and that they are entrusted with the appropriate powers to ensure that the construction of the works at the very least follows the relevant regulatory requirements for health and safety in the widest possible sense. There needs to be adequate budgetary provision to provide the staff for this purpose. A crucial part of this work will be to prepare and ensure the successful implementation of a site restoration plan. 9.6 Site Restoration Plan The main areas that will require site restoration include the main construction site area, workers accommodation sites, land used for vehicle and material workshops and stores along with material excavation and storage areas and temporary access roads and tracks. These areas will need to be restored to their original condition as far is possible and where there has been significant change then landscaped to fit with the surrounding area. The restoration work includes the removal of all temporary construction works and materials, followed by the landscaping and planting of the areas, including provision of adequate surface drainage to ensure that there will be no erosion and particularly sedimentation into the reservoir. The following procedures will be adopted for the restoration of the site: - All temporary constructions built for the site development will be removed.

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- Areas used for construction camps will be restored to their previous condition as far as is possible and where this is not then appropriately landscaped and planted to an agreed plan.

- All toxic and hazardous chemicals and materials will be totally removed from the site followed by treatment and environmentally appropriate disposal. During the construction program efforts will be made to minimize the risk of oil and chemical spills and an effective clean up program should be in place to remove these as soon as they happen.

- All debris from construction activities should be removed from the site and appropriately separated, reused, recycled and composted with the residual material appropriately incinerated.

- All redundant fencing and gates will be removed and excavated pits will be appropriately backfilled.

- All topsoil that has been removed will be stored and then used for covering landscaped areas prior to replanting following a plan to be drawn up by the contractor in consultation with the Supervisory Consultant (SC) and the appropriate environmental specialists from WAPDA.

The Contractor will prepare the site restoration plan well before the completion of construction activities and submit this to WAPDA through the SC for approval. Finally, after the completion of the restoration process, WAPDA through WEC and other community members will inspect the site, and provided the work has been carried out in a satisfactory manner, give restoration clearance to the Contractor. 9.7 Reservoir Management Plan At the detailed design phase consideration will need to be given to how the reservoir area is to be managed during both the construction and operation of the project. Of critical concern will be the requirement to address the need, or not, for clearing the reservoir area of vegetation. Such a decision will have to consider the likely development of the ecology of the lake, the type and amount of vegetation in the reservoir area and its likely use (specifically fishing using nets). The risk of debris entering the intakes also has to be considered. Once a clear idea of the construction program has been agreed then an appropriate reservoir management plan can be drawn up. This should also include the fisheries development plan for the reservoir, along with a recreation and tourism management program for the area. The reservoir management plan will also have to consider the need for upstream catchment management measures in the watercourses that directly discharge into the reservoir, based upon the results of water quality monitoring that will be carried out. The quality of the reservoir water will also need to be monitored to ensure that there is not a build up of nutrients that could cause problems with algal growth. If this should start to occur, then adequate measures will need to be taken to prevent nutrient loaded water from flowing into the reservoir. 9.8 Impact Monitoring Program 9.8.1 Objectives of the Impact Monitoring Plan The objective of the environmental monitoring activities to be carried out during the construction and operation stages of the project will be as follows: - To monitor the actual project environmental impact on the physical, biological and

socioeconomic indicators that will be selected to be appropriate for such work in order to compare appropriate indicators with the situation before the start of the

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project. The results of the monitoring will feed directly back into the EMMP implementation so that any corrective action can be taken if necessary.

- To provide information that will allow recommend mitigation measures to be drawn up for any unforeseen impact or where the adverse impact level exceeds that anticipated in the EIA.

- Ensure compliance with legal regulatory requirements and also community obligations, including health and safety at both the construction and operational stages of the project.

- Monitor the rehabilitation of borrow areas and the restoration of the construction site as outlined in the EMMP and the detailed plan that is to be drawn up and approved.

- Ensure the safe and environmentally sound disposal of excess construction materials, solid waste and effluents, along with the adequate management of noise and dust emissions.

The main objectives of environmental monitoring during the operation phase will be to: - Appraise the adequacy of the EIA with respect to the predicted long-term impacts

of the project on the physical, biological and socio-economic environment of the area.

- Evaluate the effectiveness of the mitigation measures proposed in the EMMP and recommend any improvements in the EMMP if they are found to be required.

- Compile periodic incident and accident data to support analyses that will help to minimize future risks.

- Monitor the survival rate of the proposed vegetation planting program and make appropriate proposals to ensure that balanced mixed age and species stands develop in the area that provide sustainable supplies of fruit, fuel-wood and fodder for the local population.

WAPDA, through the WEC, will be responsible for ensuring that two major types of monitoring are adequately carried out during the execution of the project activities: (i) Compliance Monitoring - to ensure that the proposed measures in the EMMP are

adequate to achieve compliance with the NEQS and other applicable laws, regulations and guidelines.

(ii) Effects Monitoring - to establish baseline values for environmental parameters including air quality, water quality and noise levels, so that with and without project situations can be compared.

9.8.2 Monitoring Strategy All the compliance monitoring will be executed by the Contractor during the construction stage of the project to ensure that they operate according to the regulatory framework. Supervision of the compliance environmental monitoring work during the construction stage will be carried out by the Supervisory Consultants (SC) with the WEC. Environmental compliance and effects monitoring at the operational and maintenance stage will be carried out by the WEC in their role as the Internal Monitoring Agency. The staff working under the WEC head office and also the WEC regional office, will be responsible for the overall management of the SC activities in the field during the construction stage. The WEC will also ensure that an appropriate public participation and liaison program is established and maintained throughout the life of the project. The agencies involved during the implementation, monitoring and auditing work, along with their roles and responsibilities, are:

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Implementation and Monitoring i) Construction Contractor During the construction stage, the physical implementation of the specified elements of the EMMP is the responsibility of the main Construction Contractor under the supervision of the Supervisory Consultant who themselves are managed by WAPDA. The main Contractor will be responsible for in-house monitoring to ensure that his construction activities are being carried out as specified in the EMMP and according to the regulatory framework. ii) Supervisory Consultant The Supervisory Consultant will be responsible for ensuring that environmental monitoring takes place to check compliance with the regulatory framework. The SC will specifically perform the following activities: - Monitoring of the environmental aspects of the project during the construction

stage to ensure that the environmental requirements of the contract and the mitigation measures proposed in the EMMP are implemented.

- Undertake critically important routine visual monitoring of construction material waste disposal and overall environmental management practices by the main Contractor and also any secondary or sub-contractors. These activities will demand a continuous presence on site and the use of trained staff following standard checklist procedures.

- Systematically checking noise levels using portable noise meters operated near major construction equipment and machinery.

- Visual checks of exhaust emissions from equipment and vehicles on a daily basis.

- Visual checks of airborne dust on temporary access roads, material stockpiles, crushing plants, disturbed soil and haul tracks.

- Checks on water quality, ambient air and noise levels using suitably calibrated instruments and at the intensity and frequency specified in the EMMP.

- To maintain environmental monitoring records and submit these as part of monthly reports to WAPDA, describing the details of environmental monitoring parameters, identifying any cases of non-compliance by the Contractor and what actions have or will be taken to ensure rectification of the situation.

9.8.3 Monitoring Parameters and Frequency The major long term impacts of the project activities are related to changes in the nature of water resources use, specifically the impounding of a reservoir covering a maximum area of 2,600ha. Impacts on the biological environment are also significant and are brought about by changes in water levels and flows in the river system due to the requirements for hydropower generation. Impacts related the socio-economic and cultural environments are caused by land and livelihood loss that will require resettlement and adequate mitigation and enhancement. This also includes the disruption of the communications network and accessibility to the KKH along with pressure on common resources that will occur during the construction period. There is also the risk of social and cultural conflicts related to the influx of outsiders coming onto the area during the construction period. All of these aspects require to be monitored using the following parameters:

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i) Natural Environment For the physical environment the following parameters will need to be regularly monitored both before and during construction: - Ambient air quality (mainly NOx, SOx, CO and PM10) - Batching and crushing plant emissions (smoke, dust, etc.) during operation - Ambient noise levels - Water quality (drinking, surface and groundwater), for both chemical composition

and also sediment ii) Socio-economic Environment The impacts on the socio-economic environment will be monitored by the SC and the WEC using changes in household economic livelihoods as a major indicator in the longer term. The immediate indicators will be direct circumstances, such as the timely progress of the resettlement program and the provision of equivalent replacements for lost immovable assets. The detailed design of the socio-economic monitoring program should wait until the RAP has been drawn up. The key will be to carry out appropriate pre-project baseline surveys that can be replicated at relevant times after construction has commenced. Other key aspects that will need to be monitored include environmental and community health, safety issues, employment availability and generation, along with physical mobility and access, especially for women. At the construction stage of the project the Supervisory Consultant will maintain a Social Complaints Register which will be continued during the operational stage by the WEC. This is an open public document that allows anybody to register a complaint which must then be thoroughly investigated and a judgment made as to its justification and the action need to address the issue. The detailed RAP that will need to be produced, once a firm decision has been taken to go ahead with the project, will contain the appropriate detailed social monitoring program that will be required. The social monitoring program will then be incorporated into the EMMP. The frequency of monitoring will need to be related to the particular parameter and the likely nature of the predicted impact and should not yet be fixed until a decision has been taken to go ahead with the project and the follow up detailed environmental studies have been carried out. The exception is the on-going SUPARCO monitoring of water, air and noise quality that is needed for wider river basin planning and management work, irrespective of the Dasu project (see Annex F for the first two sets of results, once form the high flow season and one from the low flow). The SUPARCO monitoring should be continued for at least twice a year, directly replicating the first two sets of data. 9.8.4 Post Construction Monitoring of Direct Construction Impacts After completion of the construction phase of the project it will be necessary for post project monitoring to be carried out. The objective of post project monitoring will be to determine the level of residual adverse impact of direct construction impacts of the project, if any, on the physical, biological and socio-economic environment of the Project Area. The post project monitoring may commence within one month after the end of all construction activities in the Project Area. An initial post project survey report will be submitted within one month after completion of the survey. As part of the post project monitoring, field workers will check the condition of sites restored according to the requirements of the EMMP. The Supervisory Consultant, in consultation with WAPDA staff, will conduct the visit and will submit the report to WAPDA.

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9.9 Environmental Risk Management There are a range of environmental risks associated with the proposed project. Those existing environmental conditions that act as constraints to the design, construction and operation of the project have been outlined in Section 6 of this EIA report. These risks include seismic activity, landslides, erosion and sedimentation, along with the longer term implications of climate change on river flows. All of these factors have been considered in the feasibility study of the project. The other element of risk analysis is to ensure that the design of the dam allows the level of the reservoir to be quickly and safely lowered in the event of an emergency, be it as a result of an earthquake, landslide into the reservoir, flood or any other reason. The consequences of having to suddenly drawdown the reservoir water level require that a well rehearsed emergency plan be put into operation, including the possibility of having to evacuate people at risk in the downstream area. All of these factors need to be included in the EMMP. The specific question of dam safety and monitoring of the stability of structures has been addressed throughout Pakistan by following the measures indicated below: 9.9.1 Dam Safety Pakistan has a large number of potential dam and reservoir sites, particularly in the upstream catchment of the Indus river system. The first major dam constructed was Warsak which was completed in 1960. The Warsak dam was followed by the construction of other dams, including those at Baran and Tanda. However a major overview of water resources potential development of the area was carried out in the Indus Basin Replacement Plan. This plan paved the way for two large dams at Mangla and Tarbela. In view of the critical role that these dams play in the economy of the country and the huge potential loss of life and property that would occur if they were to fail, concern was raised that adequate safeguards must be put in place in order to minimize such a risk. In response to these concerns, a best practice safety monitoring system was put in place following the arrangements formulated by the US Corps of Engineers and used in many other developed world countries. The Dams Monitoring Organization (DMO) was first established by WAPDA in August, 1973. It was subsequently renamed the Dams Safety Organization (DSO) and remains part of WAPDA’s remit. Functions of the Dam Safety Organization Most of the high dams (there is an international definition of a high dam drawn up by ICOLD) in Pakistan lie at locations upstream of the densely populated areas and rich agricultural lands of the country. Failure of any such dam could have catastrophic consequences, causing a major disaster with irreparable loss of life and property. In order to minimize the chances of such a failure the systematic monitoring of dam performance has been considered imperative. The Dam Safety Organization (DSO) is responsible for the implementation of such a monitoring program for completed dams managed by WAPDA. These include Mangla Dam, Tarbela Dam, Warsak Dam, Khanpur Dam, Hub Dam and Chashma Barrage. The dam safety program consists of a three tier approach. The first tier monitoring work is carried out by the operation and maintenance (O&M) staff of the project. This first tier work consists of observing the responses of the vast network of instruments embedded within the various structures. The data regularly collected from these instruments is routinely compiled and analyzed to identify any aspects of abnormal behaviour and to devise appropriate measures for immediate action.

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The second tier of monitoring is carried out by the DSO. It is carried out by keeping a constant watch on the flow of instrument response data from the structures received from the first tier. The data is analyzed using the latest interpretation techniques to locate any areas of abnormal behaviour. Suggested short term and also long term solutions are then proposed by the DSO. The DSO also undertakes annual inspections of the structures to check on the physical condition of the works and to make on-site appraisal of performance data. At the end of an inspection, a comprehensive report is issued commenting upon the physical condition of the works, abnormalities observed, their likely causes and possible solutions. The DSO experts also visit projects whenever any abnormal situation is reported, in order to study the phenomenon in-situ and suggest corrective measures. In summary the DSO's functions under the Second Tier are as indicated below: - Carrying out annual dam inspections and issuance of inspection reports. - Identifying physical inadequacies in the structure, any erratic performance,

identifying possible causes and then recommending appropriate corrective measures.

- Compilation, tabulation and interpretation of performance data of structures and issuing bi-annual safety evaluation reports.

- Paying site visits to study, diagnose and prescribe problems as they emerge. The third tier of monitoring comprises periodic inspections of structures which are undertaken at an interval of two to five years, depending upon the perceived risk level and the age of the dam. These periodic inspections are to be carried out by a team whose members have no direct connection with the operation and maintenance of the project and may be drawn from within and also outside WAPDA. The Periodic Inspection reports are comprehensive documents reviewing the condition of the structures, identifying areas of concern and suggesting short term and long term corrective measures. The DSO has so far carried out 89 Annual Inspections and arranged 22 Periodic Inspections of various structures. The DSO also carries out performance monitoring and safety inspection services to both Federal and Provincial Government managed dams throughout the country, whenever requested to do so by any agency. In this context 20 small dams of the Punjab Government have been inspected and advice given as to their management. Similarly dams managed by the Capital Development Authority that are used for domestic water supply are being regularly monitored and inspected by the DSO. 9.10 Institutional Arrangements for the Project and Implementing the EMMP 9.10.1 The Key Players The three key players involved in the formulation, design, construction and operation of the proposed project are the Project Proponent (WAPDA), the Consultant, the Contractor and the Supervisory Consultant (SC). The roles, remits and responsibilities of these organizations are outlined below. The wider institutional framework and institutions involved in environmental management that are related to the project have already been outlined in Section 2.3. These other institutions are mentioned below where they have a direct role to play in the implementation of the EMMP. 9.10.2 The Project Proponent (WAPDA) The Project Proponent is WAPDA, details of the structure of which have already been given in Section 2.3 of this EIA report. Currently the project is at the feasibility stage. The Feasibility Study is being carried out under direction of the General Manager (Hydro)

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Planning of the Water Wing of WAPDA. Following normal practice the project will be handed on to the General Manager (Technical Services) of WAPDA if it were to go forward for detailed design. A Project Director (PD) will be assigned to manage the day to day detailed design tasks that would be carried out by a Consultant. At the construction stage the project would be managed by the Chief Engineer (Coordination and Monitoring) from WAPDA. From the detailed design stage through construction to operation the PD will play the most important role from WAPDA’s side. 9.10.3 Project Contractor If the proposed project goes forward for construction then WAPDA will appoint Contractors for the construction and other project activities. It is normal practice for there to be a number of contract packages with a main contractor for civil works and other contractors. This is particularly the case with hydropower dams where the civil, mechanical and electrical works are often built by different contractors. It is important to clearly define the role of each of the contractors and their specific responsibilities for environmental management. This can only be carried out once the nature of the arrangements for the construction contracts have been fixed. It is critical that each contractor has a clear appreciation of their specific responsibilities for environmental management as defined and outlined in the EMMP. Where sub-contractors are engaged, normally the Main Contractor has the overall responsibility for ensuring that sub-contractors follow the requirements of the EMMP, with adequate clauses in the contracts, including penalties, to ensure compliance, both with the EMMP and also the wider regulatory framework for such operations in the Province and the Country. The overall responsibility for ensuring the contractors compliance with environmental management will rest with the Supervisory Consultant operating under the direction of WAPDA. 9.10.4 Supervisory Consultant During the feasibility and detailed design stages Consultants will be appointed by WAPDA to provide specialist services. For the construction stage a Supervisory Consultant (SC) will be appointed by WAPDA, who will be responsible for overall management, including environmental monitoring of the construction of the project. The Supervisory Consultant will be responsible for: - Supervising the activities of the Project Contractor(s) and ensuring that all

contractual obligations related to the design and construction, as well as environmental and social compliance, are met.

- Ensuring that day-to-day construction activities are carried out in an environmentally sound and sustainable manner.

- Monitoring of the environmental aspects of project construction to ensure that the environmental requirements of the contract and the mitigation measures proposed in the EMMP are implemented.

- Developing guidelines and a code of good practice outlining cost effective environmental measures that can be implemented during the construction and maintenance period programs. This includes avoidance of potential environmental issues by anticipating situations as part of planning for the construction works.

- Developing and conducting environmental training activities for Contractors and Supervision Consultant’s staff.

- Ensure that construction camps and other facilities are properly sited and installed in accordance with the contract.

- Identification of the exact locations and timing of baseline and routine air, noise and water quality monitoring in accordance with the contract provisions.

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- Undertake critically important routine visual monitoring of construction, waste disposal and overall environmental management practices by the Contractor(s). Effective environmental management during construction will require a permanent site presence and relevant observation and anticipation skills.

- Devise appropriate and sound solutions to environmental issues as they arise. - Assist the WEC in coordinating with the EPA, NWFP and Provincial Government

Departments, District Administration, NGOs and other public and private sector organizations.

9.10.5 The Environmental Protection Agency (EPA) The EPA is the regulatory authority for environmental management and its role and legal remit have been given in Section 2.3.1 of the EIA report. The EPA is mainly responsible for developing and implementing national environmental policies and strategies in order to integrate environmental issues and sustainable development approaches into the legal and regulatory frameworks of the country. The EPA is also responsible for assessing the effectiveness of the implementation of the environmental legislation and regulations aimed at improving the sustainability of the use and management of natural resources, along with the measures for conservation and rehabilitation of the environment. The PEPA of 1997 empowers the EPA to take legal action against the non-compliance with environmental legislation and regulations. Penalties may be imposed, including the cancellation of permits and licenses, imprisonment, or the payment of a cash fine equivalent to the damage caused or even both of the latter. As the EPA is a regulatory authority, its role in the proposed Project will be as an independent monitoring agency. The EPA can and should inspect the Project at its own convenience or on receipt of a complaint from any person or NGO alleging non-compliance with any environmental legislation or regulation. The EPA for the NWFP was established in 1989 under the administrative control of the Physical Planning and Housing Department. In 1992 the EPA was transferred to the P&D Planning & Development as an attached Department. However the NWFP EPA has recently been placed under a newly established Environment Department. Up until June 2003 the EPA was working with a staff of 42 but only eight of these persons had a technical background. With the recruitment of 18 new staff for the laboratory and zonal offices at Abbottabad, D.I. Khan and Malakand, the total staff strength is now 60. Fifteen members of staff are working on Self-sustainable Vehicular Emission Testing Stations (VETS). The following are the responsibilities of EPA, NWFP: - Administer and implement the PEP Act of 1997, with its associated rules and

regulations - Prepare appropriate Provincial procedures and guidelines for environmental

management - Review IEE and EIA reports and follow the procedures for giving development

consents. - Prepare, revise and enforce the NEQS covering industries, municipalities and

vehicular emissions. - Establish and maintain testing laboratories for environmental monitoring and also

inspect and certify other laboratories that can be used for conducting environmental testing and analysis.

- Assist local Councils, Authorities and Government Agencies in the sound environmental execution of projects.

- Establish a system for conducting surveys, monitoring, examination and inspection to combat pollution.

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- Conduct appropriate environmental training for Government functionaries and industrial management.

- Provide information and education to the public on environmental issues. - Publish the Annual State of the Environment Report for the Province containing

surveyed qualitative and quantitative data on air, soil, water, industrial, municipal and traffic emissions.

- Take measures to promote environmentally related research and development activities.

9.10.6 Local Government The proposed Dasu project site is located within the jurisdiction of Kohistan District of the NWFP and also Gilgit Agency. The District Administration is responsible for monitoring project activities to ensure the implementation of local regulations for land use, conservation of natural vegetation, air, water and land pollution, along with the disposal of solid and liquid waste effluents in addition to matters related to public health and safety. Pakistan's four provinces enjoy considerable autonomy. Each province has a Governor, a Council of Ministers headed by a Chief Minister and a Provincial Assembly. Members of the Provincial Assembly are elected by universal adult suffrage. The Provincial Assembly also has reserved seats for minorities and women. Although there is a well-defined division of responsibilities between Federal and Provincial Governments, there are some functions for which both governments can make laws and establish departments for their execution. Most of the services in sectors such as health, education, agriculture, and roads, for example, are provided by the Provincial Government. Although the Federal Government can also legislate in these areas, it confines itself to making national policy and handling the international aspects of provision of such services. 9.10.7 District Government of NWFP The Government of Pakistan introduced the system of Local Government at the District level in 2001 with the following tiers. 1. Union Council (lowest level) 2. Tehsil/Town Council 3. District/City District The roles and functions of these are: Union Council: A 33% representation for the female electorate has been provided, along with a minimum 5% representation for the peasants, laborers and minorities of the country. Under this system the minimum age of voting was reduced from 25 years to 18 years. The composition of the Union Council, which consists of 21 members, is as follows:

Sr.No. Category Male Female Seats

1 Nazim/Naib Nazim - - 2

2 General Council 4 2 6

3 Peasant/Labourers 2 2 4

4 Minorities - -

The Nazim of the Union Council, who previously had the dual function as the

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administrative head of the Union Council as well as the Convener, has now been relieved from the post of Convener and the Naib Nazim Union Council performs the function of the Head of the Council. Tehsil/Town Council: The Naib Nazims elected in their respective Union Council are members of the Tehsil/Town Council. The representation of 33% female and 5% peasant/laborers and minorities for the Tehsil/Town Councils is maintained through an electoral college system. The Nazim and Naib-Nazim of the Tehsil/Town Council are also elected using an electoral college system from the members of the Union Councils in the respective Tehsil/Town. The Nazim of the Tehsil/Town Council is the Administrative Head of the TMA. The Naib-Nazim of the Tehsil/Town Council is the Convener of the Council. District Council: The Nazims elected in their respective Union Councils are members of the District Council. The guaranteed representation of 33% female and 5% peasant/laborers and minorities is also replicated through the election system for which the Electoral College is the members of the Union Council in the respective District. The Nazim and Naib-Nazim of the District Council are also elected with the electoral college for them being the elected members of the Union Council in the respective District. The Nazim of the District Council is the Administrative Head of the District. The Naib-Nazim of the District Council is the Convener of the District Council. Functions of Local Government The present system of Local Government gives considerable responsibility and power to the elected representatives and they have total freedom in decision making. They are not bound to be dictated to by the machinery of Central Government. This has created a highly decentralized form of local government with the result that any intervention proposed by the Central Government or its agencies has to be fully discussed with the local government elected representatives and a positive consensus gained before it can go ahead. This is particularly relevant for the proposed Dasu Hydropower Project. By abolishing the previous posts of Commissioner, Deputy Commissioner and Assistant Commissioner their powers have now been vested in the elected Nazmeen provide opportunities for previously deprived communities to approach and represent their grievances which could not be done so easily in the past. 9.10.8 Northern Areas The Northern Areas of Pakistan (see Figure 1.2) include the Karakoram mountain range with some of the highest land in the world, with altitudes ranging from 1,000, (3,000ft) to 9,270m (28,250ft) above msl. The landscape includes continuously and seasonally snow covered peaks, glaciers, lakes and deeply incised narrow valleys. The Northern Areas have three administrative districts, namely Gilgit, Diamer and Baltistan with twelve sub-divisions. There is a Deputy Commissioner for every District and a Commissioner for the whole of the Northern Areas. The Federal Ministry of Kashmir Affairs and Northern Areas is responsible for the policy and administration of these areas. The present Central Government has taken significant and timely steps to delegate financial and administrative power to the Northern Areas. These actions were eagerly awaited by the people of this region and now the general perception is that many local

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problems can and will need to be addressed at the grassroots level rather than from Central Government direction. However, a full-fledged secretariat for the Northern Areas Chief Executive would need to be established in Gilgit, so that the problems of the Northern Areas can be solved locally. 9.10.9 Non-government Organizations (NGOs) The quality of life and the provision of basic services to the general public remained questionable. In the recent years a renewed interest in self-help initiatives for achieving sustainable development with the help of NGOs, community-based organizations (CBOs), village organizations (VOs) and other private sector institutions are gaining importance. Some of such NGO’s would be associated towards facilitating the developmental work, so as to continue to provide assistance to the project area population for their betterment in the field of sociology, health, care, clean water supply. 9.10.10 Suggested Institutional Arrangements for the Implementation of EMMP For implementation of the proposed mitigation and enhancement measures plus further updating and refinement of the EMMP, then WAPDA, as the project proponent, will be ultimately responsible for ensuring that this is successfully accomplished. WAPDA will be the owner of the EMMP and will manage the process, using Consultants during the detailed design process and a Supervisory Consultant during construction of the project. It is suggested that WAPDA should execute the implantation of EMMP through the WEC. 9.11 Change Management Plan The EIA and the EMMP have been drawn up during the Feasibility Stage of the Dasu project. However these are dynamic documents and it is foreseen that during the detailed design stage they will be updated and the EMMP will be refined. The refinement of the EMMP will need to take account of the results of the monitoring of air, noise and water quality that is being routinely carried out twice a year. In addition any major changes in the design of the project will need to be reviewed in the light of possible environmental impacts and if necessary then any additional mitigation and enhancement programs be added to the EMMP. During the construction stage of the project, monitoring will need to be accompanied by a rapid feedback decision taking system that allows any corrective action to be taken if things are not as predicted. The whole environmental management system is a dynamic process that has to be responsive and also anticipate conditions. Specific actions that will need to be made include the following: - At the detailed design stage the EMMP should be updated and refined to take

into consideration changes in the design and also the results of detailed studies carried out to formulate the RAP. This work will be carried out by Consultants who will also be responsible for the updating the EIA report to a level that it can be submitted by WAPDA to the EPA for the necessary clearances.

- Once a Main Contractor has been appointed then a meeting will need to be held between WAPDA, the Supervisory Consultant and the Main Contractor to clearly define the environmental management responsibilities of each party. The detailed nature of the EMMP will need to be discussed and agreed, including a matrix of items and responsibilities related to the timing of the construction works and the contracts.

- Based upon the discussions during the meeting, a Change Report will be collectively produced which will include any recommended modifications needed to the EMMP.

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- The Change Report will be submitted to the EPA of the NWFP for final approval and form part of the EMMP.

- All relevant project personnel will be given information of the required changes to the EMMP.

9.12 Environmental Performance Auditing An Environmental Performance Audit of the proposed Project will be carried out both internally by WAPDA (on monthly basis) and also externally by an external auditor (on monthly basis). The primary aim of the audit is to assess compliance and effectiveness of the EMMP with the regulatory requirements. In addition the overall environmental assessment of the project will need to be checked against key environmental and social policy objectives of the country. The audit will also suggest remedial measures to overcome any additional environmental and social problems that are anticipated or start to occur. The main objectives of the audit process are: - To evaluate if the monitoring carried out by the Supervisory Consultants is in

compliance with the targets set out in the EIA report and the EMMP. - To ensure conformity of the environmental and social management process with

the specified requirements for the project. If any non-conformity is identified, then appropriate actions to correct this are to be draw up.

- To ensure that the regulatory requirements and commitments are being met. 9.13 Training Requirements for Environmental Management The WEC - WAPDA is having offices at the headquarters level in Lahore and at the Ghazi Barotha project. Appropriate key technical staff may be provided with both in-house and relevant overseas training in environmental management monitoring and auditing for the benefit of future development projects. 9.14 Environmental Management Communication and Documentation Requirements 9.14.1 Kick-Off Meeting An initial kick off meeting will take place between the WEC, SC and Main Contractor before the start of construction. The purpose of this kick off meeting will be to outline the environmental regulatory and monitoring requirements prior to the start of physical activity on the site. The responsibilities of each organization should be clearly laid out and agreed.

9.14.2 Meetings and Reports Monthly environmental management meetings will be held during the construction phase of the project at the construction site. The purpose of these meetings will be to discuss the activities of the previous month and identify any non-compliance noted by the SC and WEC, along with suggested remedial measures. The meetings will be chaired by the representative nominated by WEC. The meetings will be recorded in the form of a Monthly Environmental Report (MER) to be prepared by the SC and reviewed by WEC. The report will include but not be limited to: - Summary of project activities during the last month;

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- Supervisory Consultant’s and WAPDA’s monitoring activities, along with the Contractors self monitoring operations;

- Summary of the results of environmental monitoring activities; - Identification of cases of non-compliance that have been observed and what

mitigation measures have been taken or are required. The following documents will be prepared during the implementation of EMMP: Social Complaints Register The SC will maintain a register of complaints received from local communities and the measures taken to mitigate these concerns during the construction stage of the project. A similar register will be maintained by WEC field staff during the operational stage of the project. All community complaints received will be sent to the Project Director (PD) for their attention and possible action. Change Record Register All changes to the EMMP and any changes in the project which have environmental management implications will be handled through the Change Management Plan referred above. During the construction stage the SC will be responsible for maintaining the change record register, whilst during the operational stage the head of the WEC working at site will maintain the register. The register will record the nature of the change along with the date, and the persons responsible for proposing the change and the action taken to obtain approval for the change from the PD. Final Environmental Monitoring Report After completion of the construction stage of the project, a Final Environmental Monitoring Report will be prepared by the SC in collaboration with the staff of the WEC. The report should cover the following items and be structured in a logical manner: - Introduction and Context - Scope, Resources and Methodology of the Environmental Monitoring Work - Details of Relevant Project Activities - Project Construction use of Natural Resources and Impacts on these - The Recording and Statistical Analysis of Non-compliance with Environmental

Standards - Environmental Impacts of Project Construction on the Natural Physical and

Natural Biological Environment (including wildlife) - Environmental Impacts of Project Construction on the Local Communities - Recommendations for Environmental Management of Future Similar Projects. Photographic Record The SC and the Main Contractor will maintain a detailed photographic record of all aspects and locations of the environmental management of the implementation of the project. At the minimum the photographic record will include images of all of the various construction and related sites, including access tracks and roads, staff accommodation, quarries, material storage, crushing and batching plants. A photographic record should be kept of all specific environmental management issues and problems as they arise. Images taken at exactly the same location but at differing times through the construction works will be particularly valuable.

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9.14.3 Document Control for Environmental Management One of the primary aims of efficient document control is to ensure that only the latest authorized version of relevant documents shall be used. All documents shall be dated and assigned a Document Control Number indicating the version. This is to ensure that the most up-to-date version of any document is in use. The EMMP and any attached procedures will be constantly updated. All updated documents shall be signed by the PD as the “issuer”. The original hard copy version of each document shall be kept in the official file drawer location at the WEC site office. A full copy is also to be filed at the WEC headquarter. Electronic files shall all be dated and saved on a shared computer directory so that they can be openly accessed but not changed. The current versions of all EMMP documents are to be saved in a folder labelled “Current” and the superseded versions are saved in a folder labelled “Archived” and marked as ‘Obsolete’ but still retained for future reference. A Compact Disc (CD) backup of the EMMC and its associated documents should also be made after each major revision and at additional times to be decided by the WEC. 9.15 Auditing The audit of the proposed Project will be carried out both internally by WAPDA and externally by external auditor. The primary aim of the auditing is to assess compliance and effectiveness of the EMMP as well as the alternative environmental and social objectives, and also to assess the effectiveness of previous corrective actions. Audit will also suggest remedial measures to overcome the environmental and social problems. 9.15.1 Social Protocols – Health Safety & Environmental Safety hazards for workforce and local communities arising from construction activities, blasting, road crossing, etc. - Use of safety gadgets by the workforce. - Interruption of access of local people to natural resources and to places of socio-

economic activities. - Integrity of privacy of local people particularly women folk. - Sanctity of religious and cultural properties. In addition to the training arranged and imparted by the ES, the Supervision Consultant will train the staff working under the project’s contractors and the IPDA’s regional staff, in environmental compliance and the daily monitoring of construction projects. The cost of this training will be included in the budget of services provided by the Supervision Consultant. 9.15.2 Project Implementation Schedule A preliminary project implementation schedule has been prepared and has been given as Table 3.3, the Activity Schedule. No specific start date for the commencement of the construction has yet been given but the sequence of activities has been phased and fixed against a zero time start date. Once a decision has been taken to go ahead with the project then the implementation program can be refined and dated during the detailed design phase. his will then allow the key events that have environment implementation schedule fixed. 9.16 Follow on and Additional Suggested Environmental Studies Currently the proposed Dasu Hydropower Project is at the Feasibility Study Stage. After

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the completion of the Feasibility Study and its review then a decision can then be taken as to if the project should ago ahead, and if so then when. The following environmental studies are suggested at the Detailed Design Stage of the Dasu project: - Updating of the EIA at the Detail Design Stage - Preparation of a Land Acquisition and Resettlement Action Plan (LARAP) - EIA of the KKH relocation works needed for the Dasu project - EIA of the proposed Transmission Lines for the Dasu Project - EIA of the proposed Grid Station for the Dasu Project - Full Feasibility Study and Detailed Design of the Reconstruction of the

Communication Bridges across the Indus River and the replacement road communication network required as a result of the construction of the Dasu Dam

- Finalization of the EMMP 9.17 Environmental Costs The environmental costs of the project are summarized below. Detailed cost estimate is given in Table 9.2.

Amount Item No.

Description (Million Pak Rs.) (Million US $)

A Land & Other Compensation 5,955 85

B Environmental Mitigation Measures 5,948 85

C Resettlement 511 7

D Environmental Monitoring 116 2

Total Cost 12,530 179

1 US $ = Rs. 70

9.17.1 Compensation and Mitigation Costs The financial costs of the land acquisition and the compensations are given in Part A and the mitigation costs in Part B of Table 9.2. These costs will need to be included in the project cost and financial analysis. Most of these costs will be incurred very early on in the construction of the project and it is imperative that the land acquisition, compensation and resettlement program is completed before the contractors will require access to the land. The Project’s own environmental management costs, including those related with the provision and construction of environmental mitigation infrastructure, such as solid waste management, storm water drainage, provisions for safety equipment, fire fighting, etc. should be included in the Detailed Design and Contract Documents of the Project and will also be the part of Project Construction Cost. The Operation and Maintenance cost of the environmental mitigation infrastructure for the construction and operation of the project will be borne by the Project. A methodology will be evaluated by the WEC at the commencement of the Operation Stage for provision of such services. 9.17.2 Environmental Monitoring Cost The Environmental Monitoring costs for the project are shown as a lump sum in Part D of Table 9.2. However these do not include the Contractor’s environmental self monitoring

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program activities which should be part of the construction contract. Similarly the Environmental Monitoring to be carried out by the Supervisory Consultant will be part of his contractual obligations. The cost for internal environmental monitoring and auditing that has to be carried out by the WEC staff, including the purchase of the required equipment, has to be included in the overall project budget. 9.17.3 Training Cost The cost of the project environmental training program that has been outlined above has to be included in the project budget. The cost estimates of the various items of the training costs are summarized in Part C of Table 9.2. 9.18 Residual Adverse Impacts Provided that the mitigation and enhancement measures that are outlined in this report are successfully implemented then it is envisaged that all adverse environmental impacts can be adequately mitigated for to the extent that no person should be worse off as a result of the project. It is also envisaged that the mitigation and enhancement program will not require WAPDA to commit itself to paying out significant sums of money for compensation after the project has been constructed and it operational.

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Sheet 1 of 3

LG Local Governmnet

Action/Monitoring

Execution Monitoring Parameter/Monitoring Method

1Air Quality

Degradation1.1

Machinery, load carrying vehicles and other sources of

air pollution such as diesel generators etc. during the

construction phase should be tuned up and kept well

maintained.

CC SC

Proper tuning and maintenance of the

machinery, load carrying and other

vehicles should be made mandatory at

the site.

During Construction

stage.

1.2

Regular inspection of machinery and vehicles should

be conducted to check tuning and maintenance during

construction stage in order to minimize the pollutants

emission in the atmosphere.

CC SCRecords of tuning, maintenance and

fitness certificate should be checked."

1.3

Proper awareness be created among the workers about

the hazards of air pollution to make the mitigation

measures more efficient.

CC SCProper awareness campaign schedule

should be prepared and implemented.

Prior and during

construction.

1.4

Particulate emissions from the cement batching plant

should be controlled by installation of particulate

trapping equipment such as scrubbers, air bags etc. at

the source.

CC SC

Feasibility of such type of equipment

based on the efficiency and cost should

be ascertained prior to the installation.

During installation of

concrete batch plant.

1.5Dust particulates during the earthworks can be avoided

by regular sprinkling of water on the area.CC SC

Arrangement of proper and effective

water sprinkling system will ensure this.

During the excavation

activities.

1.6

Bitumen/Coal tar fumes emissions during the

construction phase can be avoided by using chemicals

which prevent bitumen fumes being released into the

atmosphere.

CC SCMonitoring and checking the

effectiveness of the use of chemicals.

During the construction

and laying of bitumen

coat.

1.7

Emissions of particulate matter, SO2, NOx, CO from the

vehicles during the operation stage should be

minimized by checking the fitness certificate of

commercial vehicles and periodic checks on privately

owned vehicles.

WEC SC

Fitness certificate checking at check

posts and local traffic police should

check the privately owned vehicles

fitness.

Should be initiated prior

to operational phase

and continued during

operation phase

2 Noise Pollution 2.1

Machinery and load carrying vehicles should be

provided with proper silencers to reduce the noise

emissions.

CC SCStrict compliance in this regard is

necessary.

During construction

stage.

2.2

Location of cement plant and other plants should be

away from the residential as well as working area to

avoid the ill effects of noise pollution.

CC SC

During the design phase, location of

plants that would be installed at the site

should be decided keeping in view the

mitigation measures.

During planning and

design stage.

2.3Use of noise absorbing material at the working area to

lower the level of noise.CC SC

During the monitoring area of high

noise level will be identified after which

noise absorbing material should be

placed at those locations.

During construction

stage.

ResponsibilityImpact

Sr

No

.

Mitigation Measure

EPA, Environmental Protection Agency

Timing

WEC, WAPDA Environmental CellTable 9.1: Mitigation Management Matrix

CC Project Contractor

SC Supervisory Consultant

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Sheet 2 of 3

LG Local Governmnet

Action/Monitoring

Execution Monitoring Parameter/Monitoring Method

ResponsibilityImpact

Sr

No

.

Mitigation Measure

EPA, Environmental Protection Agency

Timing

WEC, WAPDA Environmental CellTable 9.1: Mitigation Management Matrix

CC Project Contractor

SC Supervisory Consultant

2.4 Use of PPEs at the area identified as noisy. CC SCContractor should supply PPEs to all

types of workers/staff..- do -

2.5Use of pressure horns and damaged silencers on the

road during the operation phase should be banned.WEC SC

Local traffic police should check the

use of pressure horns and damaged

silencers.

During operation stage

3 3.1Sewage generated from the workers' camps should be

treated prior to its final disposal.CC SC

Proper design of treatment plants on

small scale at the camp area.

During construction

stage.

3.2 Soaking pits should be provided at the site. CC SC

Strict check should be maintained to

prevent the workers from discharging

liquid effluents into the surface water or

ground.

.- do -

3.3

Other liquid wastes from the various sources should be

disposed of properly. No wastewater should be allowed

to be discharged into the ground or surface water

without any treatment.

WEC SC

Proper treatment should be provided to

such waste before disposal into the

surface water.

.- do -

3.4

Liquid waste generated during the construction phase

by the increased human activity along the road should

not be allowed to affect the soil.

CC SCProper drainage system of the road

should be provided.

Provision for proper

drainage system

should be made in the

design.

4

Clearing of

natural

vegetation and

flora

4.1

During the construction stage, it should be ensured that

damage to the vegetaiton and flora loss should be kept

to the minimum.

CC SC

Keep the excavation as per

requirements and also restrict the

movement of machinery and heavy

vehicles to the specified area.

During construction

and operation stages.

4.2

Clearing of trees, if required, should be kept as per

minimum and plantation against each tree should be

ensured.

CC SC Proper plantation should be ensured.During construction

stage.

4.3Workers should not be allowed to consume local wood

for cooking and other purposes.CC SC

Workers' camps should be provided

with cooking facilities and other heating

arrangements such as use of natual

gas etc.

During construction

stage.

5Disturbance to

Wildlife5.1

Food for wildlife mainly grazing animals should be

preserved as much as possible. Plantation should also

be done during the construction stage.

CC SC

Natual grazing fields should be

preserved and plantation should be

done more effectively.

Prior and during

construction.

5.2

Destruction of habitat should be avoided as much as

possible. Construction activities should be restricted to

the site only.

CC SC

During design and constuction stage

emphasis should be given to the

alignment, which should not distrub the

natural habitat of the wildlife.

Prior and during

construction.

Contamination

of Ground and

Surface Water.

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Sheet 3 of 3

LG Local Governmnet

Action/Monitoring

Execution Monitoring Parameter/Monitoring Method

ResponsibilityImpact

Sr

No

.

Mitigation Measure

EPA, Environmental Protection Agency

Timing

WEC, WAPDA Environmental CellTable 9.1: Mitigation Management Matrix

CC Project Contractor

SC Supervisory Consultant

5.3

Arrangements should be made so that the wildilfe

migrating due to the project activities can survive at

other places.

EPA /

WECSC

Ecological conditions should be created

which will provide shelter to the

migrating wildlife.

During construction

stage.

5.4Worker's camps should be placed at locations which

are likely to disturb the wildlife as little as possible. CC SC

Selection of proper site for the workers'

camp.

During construction

stage.

6Solidwaste

Management6.1

A large volume of solidwaste will be generated during

the construction stage on the site. Its proper collection,

storge and disposal is required.

CC SC

For this purpose a competant agency

should be hired who will be responsible

for the soild waste mangement.

During Construction

stage.

6.2Similarly the solidwaste generated at the workers' camp

area should also be properly collected and disposed of.CC SC

Placement of solid waste collection

drums and after storage their final

disposal should be done in an

environmtally friendly manner.

During construction

stage.

7.1 Impacts on Cultural Values due to resettlementsWEC /

LGSC

It will need proper assessment and

evaluation in order to compensate the

owners in a judicious manner or

accommodate all affectees at possible

nearest locations.

Prior to construction

stage

7.2 Employment of Unskilled Labour CC SCLocal population (Labour) must be

preferred during the construction stage

Prior to construction

stage

7.3 Health ConditionsWEC /

LGSC

Proper arrangement of Health facilities

for workers and staff members of

Project related persons during

construction, operational and continued

during operational phase.

Prior to construction

stage

Note: WEC will overall make a check on SC & CC responsibilities redarding the actions to minimize the pollution and will EPA may assist WEC in proper

implementation of the mitigation measures.

Socio-

economic7

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Sheet 1 of 2

ItemNo.

Description Unit QuantityRate(Rs)

Cost(Rs)

% age of Total Cost

Remarks

A

A-1 Area Under Project

a.Reservoir Area(Barren) Acre 4,200 200,000 966,000,000 16.222 Barren Area + 15% (OP4.12)

b.Dam Components Area(Range) Acre 1,134 800,000 1,043,280,000 17.520 Land Cost + 15% (OP4.12)

A-2 Agricultural Land Acre 84 2,000,000 193,200,000 3.244 Land Cost + 15% (OP4.12)

A-3 Agricultural Crop Produce

a.Wheat / Kanal 40 kg 2,352 550 1,293,600 0.022 Income Restoration Two Crops OP4.12

b.Maiz / Kanal 40 kg 2,520 475 1,197,000 0.020 Income Restoration Two Crops OP4.12

A-4 Trees

a.Firewood Trees No 19,400 5,000 97,000,000 1.629

b.Fruit Trees No 600 20,000 12,000,000 0.202

A-5 Grazing Area Acre 51 800,000 40,800,000 0.685

A-6 Built Up Area

a.Land Acre 10 2,000,000 20,000,000 0.336

b.Catagory A Buildings Sq-Ft 43,920 2,500 109,800,000 1.844 Modern Construction12.2% Table 22

c.Catagory B Buildings Sq-Ft 127,800 1,500 191,700,000 3.219 Semi Pacca 35.5% Table22

d.Catagory C Buildings Sq-Ft 188,280 800 150,624,000 2.529 Kacha 52.3% Table22

A-7 Jeepable Roads Km 5 45,000,000 225,000,000 3.778

A-8 Township Roads Km 1 45,000,000 45,000,000 0.756

A-9 SCO Telephone Cable L.S. 1 14,500,000 14,500,000 0.243 Estimate by SCO

A-10 PTDC Motel L.S. 1 18,000,000 18,000,000 0.302 Estmate by PTDC Motel

A-11 Suspension Bridge No 3 70,000,000 210,000,000 3.526 Rate by Works & Services

A-12 Suspension Bridge No 2 1,219,354,560 2,438,709,120 40.953 Rate by Taisi Corporation

A-13 Doli (Cable Car) No 5 150,000 750,000 0.013 Estimate Self Driven

A-14 Grave Yard Acre 3 200,000 600,000 0.010

A-15 FWO Buildings

a. Camp at Barseen

Land Acre 7 2,000,000 14,140,000 0.237 Land Area @ Rs. 200,000/ Kanal.

Building Sq-Ft 14,000 1,600 22,400,000 0.376 Covered Area @1600/ Sq-Ft

Bitumen Plant L.S. 1 30,000,000 30,000,000 0.504 Estimated

Aceess Road m 600 30,000 18,000,000 0.302 Access Road @ 30000000/ Km

b.Camp at Sazin

Land Kanal 1 300,000 300,000 0.005 Land Area Rounded Off

Building Sq-Ft 2,500 1,600 4,000,000 0.067

Grid Station Costs Acre 10 2,000,000 20,000,000 0.336

A-16 Commercial Area

Road Side Restaurants

i.Land Acre 1.041 6,400,000 6,662,400 0.112 Rs. 800000/ Kanal

ii Covered Area Sq-Ft 37476 1,600 59,961,600 1.007 Builtup Area @ Rs. 1600/ Sq-Ft

TOTAL - A 5,954,917,720 100.00

Detailed EstimateTable 9.2 Environmental & Resettlement Costs

LAND AND OTHER COMPENSATION COST

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Sheet 2 of 2

Item

No.Description Unit Quantity

Rate

(Rs)

Cost

(Rs)

% age of

Total CostRemarks

B

B-1 Tree Plantation No 80,000 300 24,000,000 0.403 Two Years Look After Included

B-2 Grave Yard No 2 200,000 400,000 0.007

B-3 6 Police Check Points Acre 0.216 2,000,000 432,000 0.007 0.216 Acres

B-4 Cost Covered Area Sq-Ft 7,776 1,600 12,441,600 0.209

B-5 3 Schools -Land Acre 0.230 2,000,000 460,000 0.008 0.23 Acres

B-6 School Cost Covered Area Sq-Ft 8,280 1,600 13,248,000 0.223

B-7 KKH Relocation Km 45 - 4,410,000,000 74.141 Refer cost estimate volume - 10

B-8 Suspension Bridges

i) Suspension Bridges at Kandia Sq-m 85,000 3,358 285,430,000 4.799

ii) Suspension Bridges at Shatial Sq-m 85,000 1,314 111,690,000 1.878

B-9 New Roads (Right Bank)

i) New Roads Km 30,000,000 18 540,000,000 9.078

ii) New Tracks Km 15,000,000 31 465,000,000 7.818

iii) Upgradation Km 14,171,290 6 85,027,740 1.429

TOTAL - B 5,948,129,340 100.00

C

C-1 Land for 10% Resettlement Acre 5 1,840,000 9,200,000 1.799 Land Price + 15% (OP 4.12)

C-2 Land for Services Acre 5 1,840,000 9,200,000 1.799 Land Price + 15% (OP 4.12)

C-3 Community Buildings and Facilities -

a.Roads L.S. 1 6,000,000 6,000,000 1.173 Provision

b.Drainage L.S. 1 6,000,000 6,000,000 1.173 Provision

c.Electricity Provision L.S. 1 6,000,000 6,000,000 1.173 Provision

d.Water supply L.S. 1 6,000,000 6,000,000 1.173 Provision

e.Construction of Houses Sq-Ft 180,000 1,600 288,000,000 56.325

C-4 Shifting Charges L.S. 447 5,000 2,235,000 0.437 100% HH+ Businesses

C-5 Livelihood Charges for 3 Months No 447 15,000 6,705,000 1.311 Requirement Donor,100%HH+Business

C-6 Vulnerable Group Assistance No 100 5,000 500,000 0.098 One Time Payment OP 4.12; 21* %

C-7 Development Project Cost -

a.Nursery Development Acre 2 1,000,000 2,000,000 0.391 Rs1000000 for Setup/ Production Cost

b.Model Horticulture Farm No 20 500,000 10,000,000 1.956

c.Establish of Poultry/ Quail Farm No 1 2,374,000 2,374,000 0.464

d.Fish Seed Production L.S. 1 2,000,000 2,000,000 0.391

e.Wood Works Production L.S. 1 2,000,000 2,000,000 0.391

f.Potato Seed Roduction L.S. 1 1,000,000 1,000,000 0.196

g.(i) Vocational/Technical Training No 100 120,000 12,000,000 2.347

(ii) Women Training No 50 120,000 6,000,000 1.173

h.Micro Credit Scheme No 447 300,000 134,100,000 26.227 100% Affectee Families+ Busnisses

TOTAL - C 511,314,000 100.00

D

D-1 Monitoring of Environment L.S. 1 115,615,000 115,615,000 100.00

TOTAL - D 115,615,000

TOTAL ( A+B+C+D) 12,529,976,060

TOTAL ( A+B+C+D) 178,999,658 US $

1 US $ = Rs. 70

ENVIRONMENTAL MONITORING COST

Detailed Estimate

Table 9.2 Environmental & Resettlement Costs

ENVIRONMENTAL MITIGATION MEASURES COST

ENVIRONMENTAL RESETTLEMENT COST

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10-1

10. CONCLUSIONS, RECOMMENDATIONS AND FUTURE ENVIRONMENTAL MANAGEMENT WORK PROGRAM

10.1 Conclusions 10.1.1 Positive Impacts The environmentally sound implementation of the proposed Dasu project with full mitigation and recommended enhancement programs, phased following the implementation of the Diamer Basha project, will have many significant positive impacts. These main positive impacts will be for the entire country but the targeted mitigation and enhancement programs will also directly benefit the local population currently residing in and around the Project Area. Major positive impacts of the proposed project are: - Electricity generation of 4,320MW from environmentally sound and sustainable

sources reducing the need to burn non-renewable fossil fuels that cause greenhouse gas emissions. In addition it will save fuel imports, the price of which will inevitably increase over time as they deplete.

- Provision of job opportunities during and after the construction stage - Upgrading of the main KKH and the road network on the right bank of the

proposed reservoir - Local vegetation and livestock improvement, particularly tree planting - Development of fisheries in the reservoir - Socio-economic enhancement specifically targeted at local people - Provision of public amenities - Tourism development - Enhancement of commercial activities 10.1.2 Adverse Impacts and Mitigation The construction and immediate post construction period of the Dasu project will also generate adverse impacts. Some of these adverse impacts are of a temporary nature and can be avoided or mitigated by adopting appropriate measures as outlined in this EIA report. However there are some serious adverse impacts which are permanent and require specific targeted mitigation measures to ensure that nobody is made worse off as a result of implementing the project. By moving the location of the dam from Axis 2 to Axis 5 (about 4.5km upstream measured along the riverbed) it has been possible to reduce the number of people that would need to be relocated by 52% and avoid the flooding of an urban settlement and a historically important mosque plus a large old graveyard. The amount of agricultural land that would be lost was also reduced by 57% and the number of housing units by 64%. The change in dam location has been achieved without any significant loss in power generation capacity but has increased the capital cost of the construction works. Even so the following adverse impacts will need to be adequately addressed: (a) Land Acquisition and Resettlement Due to the construction of the dam and impoundment of the reservoir upstream of it a maximum area of 6,439 acres (2,606ha) below the 957masl will need to be acquired. A restriction on the construction of new buildings up to 960masl will need to be enforced and the people currently residing below 957masl will have to be resettled. This will be a major adverse impact of the project. Based upon data from the DCR and socioeconomic surveys in the area it is estimated that with 8.8 persons per family and 1.5 families per housing unit that about 3,670

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persons resident in the 278 buildings will need to be relocated from the reservoir area. This requires provision of equivalent replacement housing with services such as water supply, sanitation and electricity, as well as replacement livelihoods. However the economic livelihoods of the displaced people are not so seriously impacted as would be expected due to the fact that the main economic activity of these households is carried out away from the reservoir flooded area. Construction of equivalent replacement houses at optimum locations of each household’s choice plus implementation of additional enhancement programs will need to provide more than adequate replacement livelihoods. This can be achieved provided that sufficient funding is made available, along with technical and logistical support, in a timely manner. There is plenty of time to do this work as construction of the project is not yet confirmed and would have to wait at least until the dam at Diamer Basha is significantly complete. The absolute earliest commencement date would be 2011 and it would take six years to complete from the start of construction. Apart from the loss of the 278 residential buildings there is also Community and Government owned infrastructure that will be inundated. Based on analysis of satellite imagery along with field verification it is estimated that 15 mosques, nine timber stores, six police posts, three schools, 30 road side hotels and shops, three generator rooms and a hospital will be submerged. Again equivalent replacement infrastructure will need to be provided to ensure that no person is worse off as a result of the loss due to the construction of the project. The Land Acquisition Act of Pakistan is the core legislation which is used for the acquiring of land. The current Land Acquisition Act does not actually address the compensation and assistance required for involuntary resettlement. In the absence of any national policy and guidelines for the involuntary resettlement the World Bank Operational Policies for involuntary resettlement have been used as a reference as these are the current international best practice and are acceptable for most of the international funding agencies. These World Bank policies and guidelines require a comprehensive Resettlement Action Plan (RAP) to be prepared. This RAP should cover all the aspects of resettlement, land acquisition and financial assistance issues to direct or indirectly impacted people. The RAP also has to give an estimate of the cost of resettlement, compensation and land acquisition. The RAP should also cover the requirements for public, community, archeological and private structures being affected due to the construction of the dam. This RAP, after approval from the relevant authorities, should be implemented prior to the start of construction stage of the project. The RAP should only be prepared once a firm commitment has been given to build the project. The EIA Technical Memo 6 on Resettlement Aspects gives detailed estimates of items, quantities and current values for the items that will be inundated by the reservoir and the costs of fully mitigating these, including some enhancements. In general terms the approach being proposed is that the people losing immovable assets will be compensated for their losses (land and land based immovable assets and improvements) and assisted financially to replace their lost structures, assets and livelihoods to at least pre-project levels. Households headed by women and other vulnerable households (if found) will be eligible for further cash assistance for relocation and house or structure reconstruction. Detailed planning of the resettlement requirements, down to individual household level, will be based on a full census and valuation surveys which will provide a complete list of all those affected, together with the type and size of losses, along with the amount of compensation and/or financial assistance required for each person affected.

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Apart from privately owned houses, mosques and graveyards will also be submerged. Mosques should be reconstructed at suitable locations in consultation with local people. The moving of graveyards is obviously a sensitive issue in any society. The relocation of graves should be carried out it desired by family members and must be done in close collaboration with them and in a sensitive manner. Some of the graveyards are very old and there are unlikely to be surviving family members. This issue will require detailed investigation during the RAP studies. (b) Loss of Trees, Vegetation, Agricultural and Grazing Areas It is estimated that due to the impounding of reservoir approximately 78 acres (31.56ha) of agriculture land and 51 acres (20.63ha) of grazing area will be inundated, along with about 20,000 trees. These will need to be compensated for by provision of adequate replacements, including the planting of four times the number of lost trees at places around the reservoir area. (c) Submergence and Disruption of the KKH Due to the construction of the Dasu Dam and the impounding of the reservoir, some 41km of the KKH which lies between Dasu and the Diamer Basha dam site will be below the 957m level and be at risk of inundation. Analysis of this impact is not straight forward, as the KKH has to be realigned in any case for the construction of the Diamer Basha project, due to flooding by the dam and reservoir but also to ensure adequate clearance (curves and overhangs) and gradients to carry the materials required for construction of the Basha project. The realignment of the KKH has been broken off as a separate self standing project and would be subjected to its own environmental assessment process. A detaled assessment of the relocation needs of the KKH due to the Dasu project can not yet be made until the realignment location for Diamer Basha is known. All in all about 46km of the KKH will actually be submerged due to the impounding of reservoir from a dam located at Axis 5. A dam located at Axis 2 would have required a further 4km to be relocated and more importantly the existing KKH main bridge across the Indus river at Dasu town would need to have been replaced. (d) Access for Existing Residents Due to the impounding of the reservoir, five major suspension bridges over the river Indus near Dugah, the Kandia river, Darail and Harban will be submerged. These five bridges are the current direct communication links for local people in the proposed reservoir area to the right bank areas from the present KKH. It is proposed to build at least two replacement motorable bridges (adequate enough to take a light truck) across the reservoir, in addition to the road crossing that will be provided across the two dams or immediately downstream of them. In addition a new link road along the right bank of the reservoir would be constructed to ensure that connectivity of the existing road network is maintained for local people in the future. The alternative of providing a ferry service for local people at various locations across the reservoir has also been considered. However this will be unfeasible due to need to cope with the wide range of water levels that the reservoir is likely to experience under operational conditions. The feasible option is to construct two main bridges across the reservoir and rebuild the right bank road network. (e) Site for Construction Camps A large number of workers, both skilled and unskilled will be required for the construction of the dam at Dasu and its associated infrastructure. Suitable sites will need to be

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identified for accommodation of these people along with provision of appropriate infrastructure, such as water supply, waste water treatment and electricity. Great care will be needed with site selection to minimize any impacts on the local population. The land acquisition requirements for such sites will need to be carefully considered, be they temporary or perhaps permanent with reuse of some of the housing, perhaps for recreational and tourist use. (f) Storage of Construction and Excavated Material During the construction stage of the project a large quantity of material will be produced during the excavation of tunnels and from the dam foundation area. It is currently estimated that 4.4 million cubic meters of solid rock will be excavated although this is dependent upon the final design and construction methodology. At the detail design stage it should be possible to calculate the peak storage and handling requirement for such material (bearing in mind that it is normal to reuse as much of the excavated material as possible in the works) and the land area required for storage. The land acquisition requirements for such areas will need to be considered, be they permanent or temporary. (g) Material Quarries and Borrow Pits In addition to the large amount of material to be excavated for the tunnels and underground powerhouse, it may also be necessary to open quarries for specific materials, the locations of which will be determined by a range of technical criteria. Such materials could include natural coarse and fine aggregates which are not available using the excavated material. Due to the cost of haulage these sources will be located as close to the works as practically possible but will require suitable access roads to be constructed. Care is needed in the selection of such sites and also with the operation of all quarries and borrow areas to minimize their impact. There are environmental considerations that will need to be borne in mind, including the need for reinstatement and landscaping of land if they are not within the reservoir area. Prime agriculture or forest land outside the reservoir area should not be allowed to be used for this purpose. The excavation and operation of quarries and borrow pits will create impacts on the environment, particularly noise, dust and also a risk of pollution of watercourses with sediment. All of these need to be minimized and during the detailed design phase, when more information is available, then a set of environmental management guidelines can be drawn up for such operations. 10.1.3 Overall Conclusions The EIA work for the proposed Dasu Hydropower Project has followed the requirements for the Pakistan EPA that classify it as a Schedule A Project, being a large dam that causes involuntary resettlement. The proposed project would also be both a World Bank and ADB Category A project requiring a full EIA. The Dasu project is not a consumptive user of water, being designed for run of river operation with no abstraction. However the operation would be influenced by the needs for hydropower generation and downstream water requirements at Tarbela dam and also the operation of the proposed Diamer Basha dam upstream. The Indus is a trans-boundary river and the legal arrangements for management and development of its resources are covered by the Indus Water Treaty of 1960 with India and within Pakistan by the Water Accord of 1991. The procedures for cross border agreement are already in place and would be followed for construction of the proposed dam at Diamer Basha before the Dasu project was started. There are no environmentally sensitive or protected areas impacted by the Dasu project and there are also no threatened species in the area. There are 46 petroglyphs

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(Buddhist rock carvings) of international importance in the extreme upstream part of the Dasu reservoir area. These have been studied and a report has been produced (EIA Technical Memo 1on Petroglyphs in the Project Area) and forwarded to WAPDA with a recommendation that they inform the relevant government department about this matter as required by law. The people living in the impacted area are tribal, like most of those in the wider area. By following the legally required procedures for land acquisition, compensation and resettlement along with enhancement measures, they should not be unfairly discriminated against. The main overall conclusion of the environmental assessment of the proposed Dasu Hydropower Project is that, for a dam located at Axis 5 with a crest level of 957masl, there are no significant adverse environmental impacts that can not be adequately managed by implementing the appropriate mitigation measures that have been identified and incorporated into the environmental management plan for the project. The predicted adverse impacts of construction of the project, whilst not insignificant, can be adequately addressed to ensure that no one is worse off as a result of the project, provided that the project is well managed and adequately resourced in a timely manner. With a well managed project there should be no residual adverse impacts and with care it should be possible to achieve significant enhancements for the impacted communities. The Dasu hydropower project is a non consumptive user of water as there is no abstraction. The project will produce 4,320MW of electricity in an environmentally sound and sustainable manner reducing the need to burn non renewable fossil fuels that cause greenhouse emissions. This will also reduce the need to import fuels the price of which can only increase as they become depleted. The main environmental risks to the proposed project are the consequences of seismic activity, both on the integrity of the dam and also landslides that could be triggered into the reservoir or the catchment area downstream of the proposed Diamer Basha dam. The Dasu dam has been designed to the appropriate international standards to cope with such events. The consequences of a serious seismic have been considered in the design, including the capability to quickly but safely draw down the water level in the reservoir and also set up a procedure for evacuation of people who would be at risk downstream. The consequences of the occurrence of glacial outflows and landslides upstream of the Diamer Basha dam site has been studied in detail and taken into consideration in the design of the Diamer Basha dam. The initial increase in total river flows as ice stored in the upper catchment melts at a faster rate due to climate change will be a benefit to hydropower generation on the Indus river. However these initial increased flows are likely to fall once the amount of ice and snow storage volume in the upper catchment decreases, again due to climate change. There is little firm data on these trends at the moment and there is a need to monitor the situation closely. The sedimentation rate into Diamer Basha reservoir is predicted to start causing significant loss of live storage some 40 years after first filling. If well managed, then the Dasu dam hydropower project is environmentally beneficial, especially when compared to the possible alternatives for power generation and the do nothing situation. Well planned and implemented hydropower is a renewable energy source and has no adverse environmental emissions. The proposed Dasu Hydropower Project has highly significant environmental advantages over fossil fuel burning power stations and nuclear power generation. The delay in implementing hydropower projects in Pakistan has already led to severe power shortages and the need to resort to a fast track program of fossil fuel powered generation facilities that rely on expensive imported fuels or coal. Such facilities use non renewable energy sources that emit greenhouse gases. Nuclear power generation is environmentally highly problematic due to risk levels and the current inability to solve the waste management problem in an environmentally

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sustainable manner. The real costs of nuclear power generation, when all the costs are included, are very high. The proposed configuration and design of the Dasu Hydropower Project relies upon the construction of the dam at Diamer Basha being carried out first in order to provide the managed flows for run of river hydropower generation. The precondition of the construction of Diamer Basha in order to gain the environmental advantages of Dasu complicates the overall environmental analysis. The Diamer Basha project needs to be implemented as quickly as possible, in an environmentally sound manner and closely monitored so that lessons can be learnt from it and incorporated into the design and implementation program for Dasu. This includes all environmental aspects in the widest possible sense. 10.2 Recommendations As there are no significant predicted adverse environmental impacts that can not be adequately mitigated and the alternative possibilities for major power generation are more environmentally problematic, the Dasu Hydropower project should be implemented as planned with a dam located at Axis 5 and a crest level of 957masl with full supply level of 950masl. However as the implementation of the Dasu project is dependent upon first constructing the dam at Diamer Basha, it is important that environmental management requirements of Basha are well handled. It is strongly recommended that the Basha project be closely monitored so that any issues that may arise can be identified and the implications, if any, for the Dasu project can be considered. Once the final design of the Dasu hydropower project has been completed then it would be wise to consider carrying out an independent strategic environmental assessment of all of the proposed water related developments within the main Indus river system to ensure that the cumulative impacts of all the proposed interventions are considered in an integrated manner. Such a strategic environmental assessment would need to be carried out within the framework of a wider integrated catchment management planning process and also consider cross sector resource use, particularly power generation and irrigated agriculture. The recommended steps that are required to plan and implement the Dasu project in an environmentally sound and sustainable manner are indicated below and are the basis of the proposed environmental management plan for the project. 10.3 Future Environmental Management Program An outline Environmental Management and Monitoring Plan has been developed that will provide an action plan, along with the roles and responsibilities for all the players in the implementation process. This includes budget allocations and the resources required to mitigate adverse environmental impacts, to provide targeted environmental enhancements for impacted communities and also to establish and manage an appropriate environmental monitoring plan to ensure compliance with the current regulatory framework. The plan identifies which actions need to be carried out in what sequence based upon the proposed construction program and the relevant legal requirements, particularly for land acquisition. The key steps are: - Further develop and continue the public information and consultation program for

the project, including that with other government departments, particularly the EPA.

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- Continue the regular baseline monitoring at Dasu and the immediate upstream area for water flow, water quality and noise.

- Ensure that the responsible institution within WARPO regularly monitors the extent and depth of snow and ice in the upper catchment so that seasonal patterns can be identified and also trends over the long term period can be seen. This information is required for all major water resources management and development work in the Indus basin, not just for Dasu.

- Monitor the progress of the Diamer Basha project, including the rebuilding of the KKH and the power transmission arrangements.

- Once a decision is taken that the government wishes to go ahead with the Dasu project then an updated environmental assessment should produced and submitted to the EPA for review with a request for the granting of a no objection certificate.

- Once a firm decision is taken to go ahead with the Dasu project then the 957m contour should be physically demarcated in the field and a cut off date should be agreed after which no new immovable assets should be constructed in the area.

- A detailed enumeration of lost assets should be carried out and a Resettlement Action Plan (RAP) prepared.

- Individual new house locations should be identified in a collaborative process with the households who will lose their homes.

- Compensate and ensure that equivalent and adequate replacement housing is in place before the land is required for construction. This may be in a phased program depending upon the construction program.

- Monitor the livelihoods of the people in the area and take any corrective action that may be required to ensure that they will not be worse off as a result of the project.

More details have been given in Section 9 of the EIA report. The key studies which need to be carried out at later stages are: - Updating of the EIA at the Detail Design Stage - Preparation of the Land Acquisition and Resettlement Action Plan (LARAP) - EIA of the proposed Transmission Line - EIA of the proposed Grid Station - EIA of the rebuilt KKH, including land acquisition, relocation and rehabilitation - Full Feasibility Study of Reconstruction of Communication Bridges across Indus

river. An initial study has been carried out as Technical Memo 5.