Ipek Paper Expansion

completed

- 2 - March 25, 1998International Finance CorporationA Member of the World Bank GroupInternational Finance CorporationA Member of the World Bank GroupEnvironmental Review Summary (ERS)Project Name TURKEY: Ipek PaperRegion EuropeSector Timber, Pulp and Paper Project No. 008931 1. This project involves expansion and modernization to increase the capacity of the paper manufacturing capacity by adding a third paper machine of 50,000 tons for a total tissue paper production of about 87,000 tons per year. The new machine will be located at the Company’s existing facility in Karamursel, about 100 km from Istanbul.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 the 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 staff. The following potential environmental, health and safety impacts of the project were analyzed:· air emissions;· liquid effluents;· solid waste disposal;· water sources;· fire prevention and emergency response; and· employee exposure to noise and dust.The information provided by Ipek Paper about how each of these potential impacts will be addressed in the development of the proposed project is summarized in the paragraphs that follow.3. The company is located in Karamursel industrial area. The project will not have impacts on natural habitats nor will require resettlement. 4. Ipek Paper currently has two 7 MW capacity boilers and will install a new 11 MW capacity boiler. Natural gas is the main fuel used, fuel oil No. 4 is used as back up. The sponsor is checking boiler stack emissions to assess compliance with World Bank Group guidelines, and will, as a condition of first disbursement, prepare a Corrective Action Plan (CAP) to address any issues. The CAP will include implementation schedule and budget allocation for any required actions. The sponsor will ensure that air emissions from both existing and new boilers will meet World Bank Group air emission guidelines.5. Process wastewater and sewage are subject to physical-chemical and biological treatment. The effluents are believed to meet World Bank Group limits, but oil and grease content of the water is being tested to confirm this. The sponsor will, if necessary, prepare as a condition of first disbursement a CAP to address any wastewater treatment issues, including implementation schedule and budget allocation. The sponsor will ensure that all liquid effluents are in compliance with World Bank Group guidelines6. The waste paper generated by the project will be recycled into the process. The sludges from the wastewater treatment plants as well as the domestic wastes will be appropriately disposed in an authorized municipal landfill. 7. Drinking water will be obtained from natural springs. The power national grid will supply the required electricity.8. Noise levels at the plant range between 70 dBA to 100 dBA. Areas where levels are greater than 80 dBA are clearly signaled and employees working in those areas are provided with and required to use hearing protection devices.9. Ipek Paper has established a training program which includes employee health and work safety, fire prevention and use of fire equipment, first aid and rescue, and technical safety. Training programs are scheduled four times a year. Personal protective equipment, including steel shoes, dust masks, and hearing protection devices are provided to and required to use by the employees. The company’s moving machinery is well protected by shield guards and guard railings. The sponsor has a regular health screening system in place that performs needed vaccination, delivers regular training on epidemics, general hygiene, etc. Ipek Paper has established a health and safety committee, that meets monthly and evaluates the workplace conditions. 10. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that Ipek Paper proposed project will meet World Bank environmental, health and safety policies and guidelines and host country requirements.11. 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 Ipek Paper and by conducting periodic supervision.P:\cteeu\ipek-ERS.docApril 2, 1998 4:46 PM