Ecuacobre-FV S.A.

completed

Environmental Review Summary (ERS)Project Name: ECUADOR: FV EcuacobreRegion: Latin America and CaribbeanSector: General ManufacturingProject No: 0093641. FV Ecuacobre is the leading Ecuadorian manufacturer of brass and metal fixtures and sanitary ware. This project includes the expansion of FV facilities (Ecuacobre-FV, and Franz Viegener) and consists of: (i) modernization and expansion through the introduction of new technology at the existing plant for brass and metal fixtures; (ii) the expansion of the sanitary ware production facility by installing a new kiln; (iii) miscellaneous investments in order to upgrade environmental installations; and (iv) financial restructuring of short-term. 2. This is a category B project according to IFC’s environmental review procedure because specific impacts may result which can be avoided or mitigated by adhering to generally recognized performance standards, guidelines or design criteria. The review of this project consisted of appraising technical and environmental information submitted by the project sponsor, and the technical appraisal and site review completed by IFC’s Technical and Environment Department staff. The following potential environmental, health and safety impacts of the project were analyzed:· air emissions;· liquid effluents treatment and disposal;· solid and hazardous waste disposal;· employee exposure to heat, noise and chemical substances;· employee training; and· fire safety and emergency preparedness.The sponsor has presented plans to address these issues and demonstrate that the proposed project will comply with applicable governmental and World Bank requirements. The information provided about how these potential impacts are addressed in the development of the project is summarized in the paragraphs that follow3. The Sponsors three facilities Ecuacobre-FV, and Franz Viegener, are located in San Golqui, about 40 km from Quito in a peri-urban area.4. Ambient air emissions from the foundry area will be minimized by the incorporation of an extraction system including a wet precipitator for particulates. Personal protective equipment such as face masks will be provided to employees in these areas. Stack emissions are in compliance with applicable World Bank guidelines for stack air emissions.5. Ecuacobre’s process effluents will be treated at a dedicated wastewater treatment plant (WWTP). Most of the effluents generated during the manufacturing process will be recirculated into the process. Ecuacobre will incorporate upgrades to its WWTP as required to implement one of the following alternatives: (i) installation of filter presses and a pump; or (ii) installation of a treatment process through a membrane system. In addition, Ecuacobre is performing studies on the treatment and disposal of sludge, which is currently treated and disposed of by the municipal government.6. The solid waste generated at the facilities will be either collected and disposed at a municipal landfill or collected for recycling purposes. Domestic solid waste will be collected and disposed of according to local regulations.7. Ecuacobre implements a basic training program under the guidance of the Ecuadorian Institute of Social Health. The training program includes industrial health and safety, personal protective equipment and fire safety, refresher courses are provided every two years. Ecuacobre provides its employees with annual medical check-ups. 8. IFC will monitor ongoing compliance with World Bank environmental, health and safety policies and guidelines during the lifetime of the project by evaluating reports submitted annually to IFC by Ecuacobre and by conducting periodic supervision.9. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that Ecuacobre proposed project will meet World Bank environmental, health and safety policies and guidelines and host country requirements.