Pescanova Holdings of Namibia Ltd. - (II)

completed

- 2 - March 28, 1996International Finance CorporationA Member of the World Bank GroupInternational Finance CorporationA Member of the World Bank GroupEnvironmental Review Summary (ERS)Project Name Namibia-Pescanova IIRegion AfricaSector Food and AgribusinessProject No. 0073901. Pescanova Namibia (Pescanova) is a wholly owned subsidiary of Pescanova Spain (P.S.). P. S. and its affiliates operate 137 boats and 24 manufacturing facilities, producing a broad line of frozen foods. Pescanova operates a 7 vessel hake fishing fleet and an onshore processing plant at Luderitz, Namibia. The proposed project involves expansion of Pescanova’s fishing fleet with three wet trawlers, expansion of the onshore plant’s infrastructure and processing capacity, and an increase in working capital.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 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 this project were analyzed:· sustainable fish stock management;· liquid effluent treatment;· utilization of solid wastes;· air emissions;· odor control; and· occupational health and safety.Information provided on how these potential impacts would be addressed in the Pescanova project is summarized in the paragraphs that follow.3. The Namibian fish resource has a long history of over exploitation by foreign fleets. Following independence in 1990, Namibia declared jurisdiction over a 200 mile coastal zone and substantially reduced the fishing quotas and commenced to rebuild its resources. A conservative quota system has since been enforced by the Ministry of Fisheries with technical support from FAO. The fish stock has now recovered to an extent where the fishing quotas can slowly be increased without influencing the sustainability of the stock. The Ministry of Fisheries’ recent adjustments of fishing quotas are made with the concurrence of the FAO representative.4. All fish will be processed to the head-and-gutted removal stage at sea and the waste from this process will be minced before discharge, thereby the wastewater load at the onshore processing facility will be limited to skin and bone related rinse water. The onshore wastewater is treated in a screening system and all solids are processed in a fishmeal plant. Samples from the present wastewater discharge indicate compliance with both local requirements and World Bank guidelines. As part of the project the sea out-fall will be renewed and new standardized analysis of the discharged wastewater will be carried out. The wastewater treatment system will be upgraded should the result of the new samples not fully comply with local requirements and World Bank guidelines.5. The fishmeal processing plant has indirect dryer systems which minimize particulate and odor emissions. An exhaust scrubber for this facility will be brought back in operation as part of the project thereby further reducing odor emissions.6. The processing plant will have non slip surfaces, and enforce employee training and the use of personal protective gear where necessary due to cutting processes, etc.7. IFC will ensure ongoing compliance with World Bank environmental, health and safety policies and guidelines during the life of the project by evaluating monitoring reports submitted annually to IFC by Pescanova and by conducting periodic supervision.8. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that Pescanova Namibia''s proposed project will meet World Bank environmental, health and safety policies and guidelines, and host country requirements.L:\WPEU\NIELS\NAMIBIA\PESCANOV\ERS.DOCMarch 28, 1996 1:38 PM