Scancem Bangladesh Limited

completed

Environmental Review Summary (ERS)Project Name BANGLADESH: Scancem IIRegion South and Southeast AsiaSector Cement and Construction MaterialsProject No. 009704 1. This project includes the construction of a clinker grinding plant near Dhaka, with an annual capacity of 680,000 tons of cement. Clinker will be imported into Bangladesh in ocean-going bulk carriers and will be transferred to fully enclosed river vessels at the outer-anchorage of the ports of Chittagong and (possibly) Mongla. The river vessels will transport the clinker to the plant near Dhaka where it will be converted into cement, bagged and distributed. The estimated project cost is US$49.5 million.2. 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. Key environmental, occupational health and safety issues that were identified to be of potential concern in this project include:· grinding plant siting and prior land use· dust release during ship-to-ship and ship-to-shore transfer· dust control during the grinding and bagging operations · waste handling· general worker health and safetyInformation provided on how these potential impacts would be addressed in the Scancem II project is summarized in the paragraphs that follow.3. This 14-acre industrial site is located on the Dhaka-Sylhet Highway in an industrial area of Dhaka. It is located on the Shitalakhya River with a jetty to provide access for coasters, which will transfer clinker from ocean-going vessels in Chittagong. The site is bordered by other small and large-scale industrial sites. There are no environmentally sensitive areas in the vicinity.4. The site was purchased from the Khatum dockyard and Textile Mills Company (KDT). There were eight families living on the site, one in their own home and the other seven being employees of KDT living in housing provided by the company. Scancem carried out consultation and had a Resettlement Action Plan prepared to World Bank Group standards to address any issues regarding relocation and displacement. The one family that had constructed its own house will be paid to dismantle it and rebuild on a nearby site. The remaining families living in KDT housing will be given other employment and housing by KDT. Scancem will be required to report on the completion of resettlement prior to disbursement of this investment.5. Electricity is generated on site using three small (4.5 MW) natural gas-fired turbines. Exhaust emissions will meet World Bank Group guidelines.6. Dust control will be the major focus of the pollution abatement procedures adopted for this project. The clinker will be transported in completely enclosed coasters and unloaded at the jetty using grab cranes. The clinker will be deposited into enclosed receiving hoppers fitted with dust filters, and transferred by enclosed conveyor to storage. Dust control equipment will be fitted at all transfer stations. The cement mill will be kept at negative pressure relative to the exterior to prevent dust contamination of the surrounding environment, and all vented air will be filtered. Captured cement dust is recycled back into the process. The cement packing plant will be fully equipped with bag filters to ensure that dust losses during bagging are minimal and that fugitive dust emissions are well within the World Bank’s limit of 50 mg/Nm3. 7. Sanitary waste will be handled in a septic system. No process water is produced. All cooling water is recycled.8. To reduce noise levels, all filters have silencers on the fans. Compressors will be fully enclosed to minimize noise. Noise levels will meet World Bank guidelines.9. The sponsor will incorporate a range of health and safety measures to ensure that the project meets World Bank Group guidelines in this matter. All installations shall be designed and operated to protect the health and safety of the workers. The plant will have a small clinic to take care of routine health and minor accidents. Periodic medical exams will be conducted for all personnel. Personnel will be equipped with personal protective equipment, including hearing protectors, masks, helmets and safety shoes, appropriate to their working locations. The plant will have canteen and washroom with showers and sanitary facilities. Equipment shall incorporate standard safety measures.10. Scancem has a corporate policy of being in the forefront in terms of environmentally responsible cement production, and applies this to all of their overseas operations. An expatriate manager on site will be responsible for handling environmental issues. The company will be developing a training program for health and safety issues.11. IFC will monitor ongoing compliance with World Bank Group environmental, health and safety policies and guidelines during the lifetime of the project by evaluating reports submitted annually to IFC by Scancem and by conducting periodic supervision.12. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that Scancem’s proposed project will meet World Bank Group environmental, health and safety policies and guidelines and host country requirements.