SEF Senegal Tanneries S.A.

completed

- 2 - International Finance CorporationA Member of the World Bank GroupInternational Finance CorporationA Member of the World Bank GroupEnvironmental Review Summary (ERS)Project Name SEF-SENEGAL: Senegal Tanneries S.A. (SENTA)Region Sub-Saharan AfricaSector ManufacturingProject No. 008427 1. This project involves the completion of a recently established tannery on a 15,000 sq m site (formerly used as an aluminum processing facility) in the industrial section of the Free Export Zone (FEZ) of Dakar. The facility, which processes goat and sheep skins to the intermediate, unfinished wet-blue stage, commenced in April 1997, and is now running at a rate of 2,000 skins per day. With the additional investment, the sponsor (SENTA) intends to reach their production target of 4,000 skins per day, or an annual volume of 1.2 million skins. SENTA is the only operating tannery in Senegal, and its key shareholder and Chairman has been involved in the Italian and European leather business for 20 years. The facility comprises a modern main production building (3,200 sq m) with leather making equipment, outer chemical storage buildings, a water reservoir, a standby power generator, and an effluent treatment plant and office.2. This is a Category B project according to IFC’s environmental review procedure because a limited number of specific environmental impacts may result from this project. The review of this project consisted of appraising technical and environmental information submitted by the project sponsor by IFC’s Technical and Environmental Department staff. The following potential environmental, safety and health impacts of the project were analyzed:· air emissions/odor controls;· effluent treatment and discharge;· solid waste and sludge management and disposal;· hazardous materials storage and handling; and· workplace health and safety.The sponsor has presented plans to address these issues and demonstrate that the proposed project will comply with the Government of Senegal laws and regulations and applicable World Bank requirements. The information about how these potential impacts are addressed by SENTA is summarized in the paragraphs that follow.3. There are no significant air emissions associated with the wet blue process. Owing to the relatively small size of the operation and its location in a non-residential setting, the minimal odors generated at the site should not create any harmful impacts.4. The relatively large quantities of tannery wastewaters generated are currently treated in the site’s primary (i.e., physical/chemical) treatment plant prior to surface water discharge. Although this plant was not designed to treat effluents to meet World Bank guidelines, SENTA has prepared specifications for a second phase, biological system upgrade to the facility which, when implemented, should be sufficient to meet the discharge requirements. Within one year of IFC’s loan disbursement, SENTA will have constructed and will be operating the upgraded (combined physical/chemical/biological) treatment system in compliance with World Bank guidelines. Employee sanitary wastewaters will also be treated in this system.5. Solid wastes include hide trimmings, fleshings, and wet blue trimmings. These and the filtered wastewater treatment plant sludges are collected and stored in a predelivered container, and periodically disposed at an approved off-site landfill by a contractor.6. Chemicals used in the production process include lime, sodium sulfide, ammonium salts, and chrome salts. These are stored in a separate set of covered buildings from the main production building, and are segregated, as appropriate. Chemical containers are clearly labeled, and are located in concrete floored areas where any spills can be contained. Diesel fuel for the standby power generator is stored in a tank within a bunded area.7. Adequate fire safety and fire-fighting allowances have been made in systems design, and procedures for fire prevention and safety have been implemented. Employees are trained in emergency response and fire-fighting, including the location and proper use of emergency equipment, such as fire extinguishers and spill absorbent materials, and provision of regular fire drills.8. The installation is designed and operated to protect the health and safety of employees, and SENTA will meet the World Bank requirements in this regard, including proper ventilation, provision of adequate personal protective equipment, safety training, and health and safety monitoring.9. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that SENTA’s proposed project will meet World Bank environmental, health and safety policies and guidelines and the Government of Senegal’s requirements.10. 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 SENTA and by conducting periodic site reviews during project supervision. In addition and during the first year following IFC’s investment, SENTA has committed to provide IFC with periodic evidence of complying with above described schedule for upgrading the effluent treatment plant.P:\PIC\SNE08427.DOCOctober 16, 1997 5:35 PM