Sucrerie Bourbon - Tay Ninh

completed

- 2 - February 7, 1996Environmental Review Summary (ERS)Project Name Vietnam-Sucrerie Bourbon Tay Ninh LimiteeRegion AsiaSector AgribusinessProject No 0048101. Sucrerie Bourbon Tay Ninh Limitee (Bourbon) is a French-Vietnamese Joint Venture. The proposed project involves construction and operation of a sugar refinery with a production capacity of 100,000 tpy in the province of Tay Ninh about 100 km northwest of Ho Chi Minh City.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 review of information submitted by the project sponsor and the technical appraisal and site review completed by IFC''s Agribusiness Department staff. The following potential environmental, health and safety impacts were analyzed:· site location and social facilities;· air emissions;· solid waste management;· liquid effluent treatment;· noise;· hazardous materials;· fire safety and emergency response; and· occupational health and safety policies.Information provided on how these potential impacts are addressed in the Bourbon project is summarized in the paragraphs that follow.3. The site for the facility is a 32 hectare lot presently used for sugar cane and manioc production. The site is flat and ideally suited to the construction of an agro-industrial complex. A new road of approximately 5 kilometers will be constructed to connect the factory site to the major road system in the province. The factory complex will include an employee, social service and change room building with full canteen, a recreational area and a fully equipped clinic. A further canteen and social service building is provided within the factory area for the use of the sugar cane delivery truck drivers.4. The main air emissions result from the burning of bagasse in the plant boiler. Bagasse is used as fuel to utilize the energy in this sugar production waste. Bagasse is a low sulfur fuel and the burning conditions in the boiler results in a minimal formation of nitrogen oxides. The only air emission issue is particulate. To clean the flue gasses for particulate, cyclones and wet scrubbers will be installed. Resulting particulate emissions will be below 100 mg per cubicmeter, and the boilers will comply with local requirements and World Bank guidelines.5. Solid waste from the facility will consist of first pressing filtercakes (mainly sand, soil and vegetable matter), refinery filter cake, and de-watered boiler ash. All three types of waste are good fertilizer substitutes and will be used as such in the sugar cane fields or by local fertilizer producers.6. Wastewater will be treated at the facility before discharge into the Song Tra Phai Stream which runs into the Song Vam Co Dong River. The wastewater treatment system will be designed based on similar plants in use in the South African Sugar industry. The design criteria is COD below 75 mg/liter, SS below 25 mg/liter and oil below 2.5 mg/liter. The resulting BOD level has been estimated to 26 mg/liter. The wastewater is in compliance with local regulations and well within the World Bank guidelines.7. The plant is designed with maximum noise levels from any single item not to exceed 85 dBA within two meters from the source. By this the noise level at the adjacent residential area will be kept below 45 dBA day and night.8. The only hazardous materials at the facility will be heavy fuel, petrol, diesel fuel and lime. Heavy fuel and lime will be stored and handled in separated bonded areas. Petrol and diesel fuels will be stored in underground tanks designed according to international standards.9. Fire safety and emergency response measures at the Bourbon facility will include first aid and safety training schemes for employees, complete fire-water distribution and hydrant systems, and fire extinguisher and CO2 dousing systems at strategic locations in the factory.10. Bourbon will prepare occupational health and safety programs to be implemented before startup. A written environmental policy is also under preparation by the senior management. 11. 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 Bourbon, and by conducting periodic supervision.12. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that Sucrerie Bourbon Tay Ninh Limitee’s proposed project will meet World Bank environmental, health and safety policies and guidelines, and host country requirements.L:\WPEU\NIELS\VIETNAM\BOURBON\ERS.DOC