PIIF Solander (Pacific) Limited

completed

- 3 - August 27, 1996 Environmental Review Summary (ERS)Project Name Fiji-Solander Pacific LimitedRegion East Asia and Pacific Sector AgribusinessProject No. 007700 August 15, 19961. The project involves the expansion of Solander Pacific Limited’s (SPL) long line tuna fishing operation, by acquiring a 15-25 m vessel. This would be an addition to SPL''s existing fleet which includes two owned and one chartered vessels. Fishing would take place in the Fiji Extended Exclusive Zone (EEZ), at the southern edge of the tropical central Pacific. The fishing effort is focused on four species including albacore, skipjack, yellowfin and bigeye. Exploitation rates are considered low to moderate, with potential to increase the total catch. SPL will export fresh sashimi grade yellowfin and bigeye to Japan. The rest of the catch including the by catch will be sold to markets in the United States, Australia, Canada and to local markets.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 Environment Department staff. The following potential environmental, health and safety impacts of the project were analyzed:Fishing and Fish Processing Operations· sustainability of fish stocks;· dolphin friendly fishing techniques;· solid and liquid wastes disposal (including bilge waste);· safety at sea (employee training and provision of safety equipment);· on board CFC-free cold storage;· provision of personal protective equipment; and· general housekeeping.· international maritime requirements;· fuel storage;· recycling\disposal of used motor fluids and oils; and· employee training and fire safety.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 follow.3. Based on the analysis conducted by the South Pacific Commission (SPC) Oceanic Fisheries Programme in their report titled “Tuna Resource Analysis - Fiji” on April 1996 and submitted by the sponsor, it is anticipated that the proposed project will be sustainable. The analysis refers to the sustainability of existing fisheries and the existing management and licensing arrangements as required by the Fijian government. The analysis indicates that the Western Pacific stocks of skipjack and yellowfin are currently exploited at low to moderate levels. Recent analysis of the status of the South Pacific albacore stocks suggest that exploitation rates on fish of all age groups is relatively low. Much less is known of bigeye stocks, and more caution is advised until more information becomes available. The report also indicates that the Fiji long line fishery is relatively distant from the large tuna fisheries of the region, and given the generally good condition of the regional stocks of deep swimming tunas (yelllowfin and albacore), Fiji stocks which are part of these regional stocks, are considered to be under-exploited. Even in the case of bigeye, where more uncertainty exists, Fiji catches are very low relative to regional totals, and could probably be increased on a sustainable basis. Nominal total allowable catches (TACs) have been suggested for the Fiji Exclusive Economic Zone which are approximately double present catches-by-species. Sustainability of the operation will be monitored by the sponsor on an ongoing basis.4. SPL has a current operating license from the Fijian government. The sponsor complies with all the Fijian requirements. The licensing requirement was established by the Fijian government in 1995 to manage the offshore long line fishery, by modifying the degree of access to Fiji waters according to benefits accruing to Fiji, by setting TACs by fishery and species, by setting vessel limits, and determining policy for allocation, etc. The current licensing arrangements provide a good framework for the management of the Fiji tuna long line fishery. The sponsor will provide IFC with updated copies of the applicable Fijian government licenses after renewal. The long line method (hook and line) used by the sponsor is considered dolphin friendly since this technique do not trap dolphin in the process of fishing.5. The non-biodegradable residues will be returned ashore for disposal. Bilge waters will be treated with an oily water separator before they are discharged. The sponsor will use R22, an HCFC, for on-shore cold storage as well as for on-board refrigeration . The sponsor will replace the use of HCFCs as soon as a suitable alternative becomes commercially available in Fiji before the year 2015 following Montreal protocol’s requirements.6. Currently, all SPL vessels comply with the Fiji Marine Department survey standards, which are the highest standards to be applied internationally to fishing vessels. These standards include provisions for crew training on safety equipment and fire and evacuation procedures. The proposed vessel will also comply with the Fiji Marine Department survey and will maintain at all times personal protective equipment including fighting suits, lifeboats, life jackets, flares sets in compliance with the South Pacific Maritime Code. Fuel storage will be in tanks with secondary containment. Used oils will be recovered and recycled. Employees will be trained in emergency response and fire safety procedures and will receive regular medical checkups.7. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that the proposed project is being designed to meet Government of Fiji requirements, and World Bank policies, and environmental, health and safety guidelines.8. IFC will monitor SPL’s compliance with World Bank policies and guidelines during the life of the project by evaluating environmental performance reports submitted annually to IFC by the sponsor and by conducting periodic site reviews during project supervision.P:\PIC\FJE0770.DOCSeptember 3, 1996 11:47 AM