San Miguel Haiphong Glass Company

completed

Environmental Review Summary (ERS)Project Name VIET NAM: SAN MIGUEL HAIPHONG GLASS (SMHG)Region AsiaSector ManufacturingProject No. 007111 1. The project involves the development of a modern, 37,000 tpa, greenfield glass bottling plant in Haiphong. Sand for glassmaking will be purchased from a site in Quang Ninh province. Fuel oil and other required materials such as limestone, feldspar, dolomite and soda ash will also be purchased; there will be no quarries directly associated with the project. Potable water will be supplied by the municipality; cooling water for glassmaking will be obtained from onsite wells at the rate of 29 m3/day. Employment at the plant is expected to be about 300 personnel.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; . land use; . fire prevention; . emergency response; and . employee exposure to noise and dust.The information provided about how these potential impacts are addressed in the development of the proposed project is summarized in the paragraphs that follow.3. The sponsor is designing the plant to comply with the relevant World Bank policies and guidelines. The plant will have a capacity of 130 tons of glass per day, and the glass furnace will have a heat input of approximately 28 million BTU/hour. The furnace will be fired with bunker C fuel oil having a maximum sulfur content of 3 per-cent. Air emissions of Particulate Matter and SO2 will be controlled by using appropriate stack heights and control devices. Emissions monitoring will be conducted by an independent laboratory. The furnace is below the World Bank’s 100 million BTU/hour threshold heat input level for applicability of air emissions guidelines for NOX. Two small diesel generating sets will be used to provide power for the plant.4. Liquid effluent, after treatment, will be discharged into an onsite lagoon for reuse. Discharge of oil and grease will be controlled by the use of oil separators and absorbing fabric.5. The new plant will be constructed on a 3.5 hectare site in an industrialized area along the Cam River. The plant will be 11,400 m2 in size and will be located adjacent to, but separate from, the existing Hai Phong Glass Factory; no change in land use or relocation of residents will result from the project.6. Fire prevention and emergency response measures will be instituted in conjunction with plant start-up. Fire detection and fire fighting equipment will be installed in coordination with the fire department of Haiphong City. Fire fighting equipment will include carbon dioxide and dry chemical extinguishers, and a fire hydrant system supported by an engine driven fire pump. The plant will also provide a trained and well-equipped fire brigade.7. Employees will be provided with personal protective equipment to protect them from exposure to noise and dust. The potential for silicosis among the employees from silica containing dust will be minimized through moistening the mixed batch, enclosing conveyors and other materials handling equipment, and by requiring use of respirators in appropriate areas. The plant will establish a Safety Committee to implement the Corporate Safety Policies and employee training program. Membership in the committee will include representatives from all plant units and be rotated every six months to facilitate cross-training of all appropriate employees.8. 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 Viet Nam requirements, and World Bank policies, and environmental, health and safety guidelines.9. IFC will monitor SMHG’s ongoing compliance with World Bank policies and guidelines during the life of the project by evaluating monitoring reports submitted annually to IFC by the sponsor and by conducting periodic site reviews during project supervision.L:\WPEU\JOHN\VIETNAM\SMHG.ERSJanuary 3, 1996 9:53 AM