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Lahendong 5&6 RevisedESIA Report - Volume I
Non Technical Summary
February 2011Pertamina Geothermal Energy
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265718 RGE GEV 02 A
P:\Singapore\GB4\Projects\270369 PGE Geothermal ESIAs Indonesia\
07 September 2010
Lahendong 5&6 Revised ESIA Report - Volume I
Non Technical Summary
February 2011
Pertamina Geothermal Energy
Mott MacDonald, Victory House, Trafalgar Place, Brighton BN1 4FY, United Kingdom T +44(0) 1273 365000 F +44(0) 1273 365100 W www.mottmac.com
Menara Cakrawala 15th floor, Jalan MH. Thamrin No. 09 - Jakarta 10340, Indonesia
Lahendong 5&6 Revised ESIA Report - Volume I
Mott MacDonald, Victory House, Trafalgar Place, Brighton BN1 4FY, United Kingdom T +44(0) 1273 365000 F +44(0) 1273 365100 W www.mottmac.com
Revision Date Originator Checker Approver Description
A 07/09/10 V. Hovland B. Cornet D. Boyland First Draft
B 28/09/10 V. Hovland B. Cornet D. Boyland Final Draft for disclosure
C 18/02/11 L. Jones D. Boyland D. Boyland Revised ESIA Report
Issue and revision record
This document is issued for the party which commissioned it and for specific purposes connected with the above-captioned project only. It should not be relied upon by any other party or used for any other purpose.
We accept no responsibility for the consequences of this document being relied upon by any other party, or being used for any other purpose, or containing any error or omission which is due to an error or omission in data supplied to us by other parties
This document contains confidential information and proprietary intellectual property. It should not be shown to other parties without consent from us and from the party which commissioned it.
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Lahendong 5&6 Revised ESIA Report - Volume I
Chapter Title Page
1. Introduction 11.1 Overview __________________________________________________________________________ 11.2 Who is Pertamina Geothermal Energy? __________________________________________________ 11.3 Where Can I Find More Information About the Project? ______________________________________ 2
2. The Project 32.1 Why is the Project Needed? ___________________________________________________________ 32.2 What is the Project?__________________________________________________________________ 32.2.1 Geothermal Power ___________________________________________________________________ 32.2.2 The Lahendong Units 5&6 Geothermal Project _____________________________________________ 42.2.3 Schedule __________________________________________________________________________ 82.3 How were the Project Site and Technology Selected? _______________________________________ 8
3. Managing Environmental and Social Impacts 93.1 What are the Project Activities that could affect the Environment and People? ____________________ 93.2 How was the Project Assessed and What Were the Findings?_________________________________ 93.3 Cumulative Impacts with Other Projects _________________________________________________ 223.4 How PGE will manage environmental and social impacts?___________________________________ 22 Tables Table 3.1: Summary of Social Impacts and Mitigation Measures_______________________________________ 10 Table 3.2: Summary of Environmental Impacts and Mitigation Measures ________________________________ 13
Figures Figure 2.1: Geothermal Power Plant Process Summary _______________________________________________ 4Figure 2.2: Project Location _____________________________________________________________________ 5Figure 2.3: Project Components__________________________________________________________________ 6Figure 2.4: Project Area Features ________________________________________________________________ 7
Content
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1.1 Overview
The purpose of this non-technical summary (NTS) is to present in clear, simple and in as concise a manner as possible the main findings and conclusions of the Environmental and Social Impact Assessment (ESIA) undertaken for the construction and operation of the Lahendong Units 5&6 Geothermal Power Project (the Project). The Project is also referred to as South Lahendong and Tompaso Units 1&2.
The Project will be developed by Pertamina Geothermal Energy (PGE), a subsidiary of the Indonesian national oil company PT Pertamina (Persero). The Project involves the development of well clusters, Steamfield Above Ground System (SAGS) and a power plant. The steam extracted from the geothermal wells will power a geothermal power station comprising two units, each with an electricity generation capacity of 20MW. PGE applied for a grant through the World Bank to contribute to the cost of initial development of the Project. This work includes the preparation of an international-quality Environmental and Social Impact Assessment (ESIA).
Environmental assessment for the purpose of permitting and compliance with Indonesian legislation was undertaken on behalf of PGE by a local university consultancy, Badan Konsultan AMDAL Unsrat-Universitas Samratulangi (the Local Consultants). The Local Consultants have prepared an Environmental Management Effort (Upaya Pengelolaan Lingkungan – UKL) and Environmental Monitoring Effort (Upaya Pemantauan Lingkungan – UPL) for the steam field and a separate one for the power plant. Together these documents are referred to as the UKL/UPL.
PGE has appointed Mott MacDonald Limited (MML) to assist them in completing a full ESIA to international standards for the Project, in compliance with World Bank procedures and guidelines. A draft ESIA report was posted on the World Bank Infoshop and PGE website on October 7th 2010 for a 120 day consultation period. Following disclosure of the draft ESIA, the final “Feasibility Study for Tompaso Geothermal Power Project” commissioned by PGE was completed on the 15th October 2010 by technical consultants AECOM. The feasibility study identified the need for potential additional production clusters and a potential additional reinjection cluster together with a relocation of the power plant location. This revised ESIA has been produced to update the draft ESIA to account for these changes to the Project. A number of minor changes have been made to the text as part of the natural evolution of the ESIA process.
In parallel, the aforementioned UKL / UPL studies are being updated and it is currently anticipated that these revised documents will be submitted to the Environmental Agency of the Minahasa District by the end of February 2011.
The scope of both the draft and revised ESIAs remains unchanged, namely the steam field (addressing current and future cluster development for the project, separators and pipes), the water pumping stations, access roads built for the Project and power plant Lahendong Units 5&6.
1.2 Who is Pertamina Geothermal Energy?
Pertamina Geothermal Energy (PGE), a subsidiary of the Indonesian national oil company PT Pertamina (Persero), was established in 2006 as mandated by the Government of Indonesia (GoI) to develop 15 Geothermal Business Working Areas in Indonesia. Of the 15 Geothermal Business Working Areas, three are operational sites (Kamojang, Lahendong and Sibayak), which have to date generated over 9.5 million tons of steam, converted to over 1.3 TWh (terawatt hour, an energy unit used to describe the electricity produced).
1. Introduction
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PGE is developing several other sites, including the Lahendong Units 5&6 site which is the focus of this report.
1.3 Where Can I Find More Information About the Project?
As part of the UKL/UPL process, “socialisation” or public consultation has been carried out by the Local Consultant at PGE’s request. Consultation has also been undertaken by MML at key stages during the ESIA process. Future consultation and disclosure events will include the communication of the revised ESIA, including this NTS, and disclosure of the final ESIA report. PGE will make the full ESIA report available on its website (www.pgeindonesia.com) as well as holding a printed copy for consultation at its Tomohon office and at the offices of the Head of the villages closest to the Project sites.
To support the international ESIA process, MML has produced a Public Consultation and Disclosure Plan (PCDP) that acts as a strategic document for planning a comprehensive and culturally appropriate approach to consultation and disclosure for the lifecycle of the Project. This document is presented in Volume III of the ESIA.
In addition to local communication, the revised ESIA will be published by the World Bank on the dedicated InfoShop website (http://publications.worldbank.org).
The key channels identified for communicating information to interested parties are as follows: Disclosure within the local communities of the revised ESIA report; Ongoing media communications; Ongoing stakeholder meetings during construction and operation; Community investment activities; Annual reports; and Open days during operation.
In addition to the formal consultation events and periods for comments on UKL/UPL and ESIA, questions and comments can be addressed to PGE Project Public Relations Officer: Mr Remmy Basalama Address: Jl. Raya Tomohon No. 420, Tomohon, North Sulawesi - Indonesia Tel _+62 431 351378 Email: [email protected] / [email protected]
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2.1 Why is the Project Needed?
As a whole, Indonesia has been experiencing rapid demand growth in all segments of the energy sector for several years. Power shortages resulting in frequent blackouts have been experienced in 250 regions, including Sulawesi. Given the existing power shortages and predicted growth in energy demand the need for new energy generation facilities to be established and commissioned over the next few years is high. The following points highlight the national and regional needs for development of additional energy sources with the objectives of the Project being to: Contribute to national energy requirement for sustainable development; Contribute to regional energy requirements of Sulawesi; Contribute to a diverse energy base to secure energy requirements for Sulawesi; Provide continuous, reliable, high efficiency and low cost energy; Provide economic and social benefits on both a national and regional level; Provide potential employment opportunities to the community residing in the region and nearby; Contribute to the local economy, social and technical infrastructure; and Increase the diversity of energy resources.
In particular geothermal energy provides an alternative solution to current dependence on coal to supply majority of baseload demand.
2.2 What is the Project?
2.2.1 Geothermal Power
To utilise geothermal energy, production wells are drilled down into the heated water contained within the Earth's crust - the geothermal reservoir. Once these geothermal reservoirs are tapped into, the heated water and steam rise to the surface where the steam is separated and used to power steam turbines, which then generate mechanical energy that can be harnessed as electricity. Brine and condensate are returned via reinjection wells back to the geothermal reservoir.
Figure 2.1 presents a high level summary of the overall geothermal power plant process. The process can be separated in two main areas: Steam fields, where steam is extracted, processed and also subsequently re-injected; and Power plant, where the extracted steam is used to generate electricity.
2. The Project
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Figure 2.1: Geothermal Power Plant Process Summary
Source: PGE
2.2.2 The Lahendong Units 5&6 Geothermal Project
The Project is located about 30 km South of Manado, North Sulawesi, Indonesia. It stretches across the villages of Sendangan, Pinabetengan, Pinabetengan Utara (North), Tompaso II, Kanonang (I and II), Tonsewer, Touure, Liba, Tember, Kamanga (I and II) and Talikuran in the Tompaso and Kawangkoan sub-districts of the Minahasa District. A regional map showing the project location is shown in Figure 2.2.
Project components are presented in Figure 2.3 and features within the Project area are presented in Figure 2.4.
Currently the Lahendong Units 5&6 project consists of three clusters (groups of wells), two for stream production and one for brine reinjection. Up to three additional well clusters (2 for steam production and one for brine reinjection), and one power plant of two units (Units 5&6) are proposed. The Project will also include steam, condensate and brine interconnection pipelines between the various clusters and the power plant location. Each cluster will comprise up to six wells. The final number of wells and clusters depends on the production capacity of each well and may therefore vary depending on well production tests results. A 2.7km transmission line from Lahendong Units 5&6 to the Kawangkoan substation is included in the Project Component scope.
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Figure 2.2: Project Location
Source: National Coordinating Agency for Surveys and Mapping
Site Location
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Figure 2.3: Project Components
Legend:
Source: Mott MacDonald
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Figure 2.4: Project Area Features
Legend:
Source: Mott MacDonald
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2.2.3 Schedule
Project activities relevant to this assessment started in 2006 with the land acquisition for Cluster 26 and 27. Site preparation, detailed design, mobilisation, civil works and drilling have taken place since early 2008 at all three existing clusters with the completion of six production wells and two reinjection wells by December 2010.
If determined through production testing, drilling would re-commence for new wells on existing well pads during the second quarter of 2011. Civil preparations on any new well pads will commence later this year. Completion and testing of all new wells is anticipated in the third quarter of 2012.
It is anticipated that the EPC contracts for steamfield above ground system (SAGS) and power plant will be placed in the third quarter of 2012. The SAGS construction would take place from the third quarter in 2012 and commissioning of SAGS taking place in the second quarter of 2014. Power plant commissioning would be carried out in the second quarter of 2014 with about two months lag between the commissioning of each generating unit. Both units (5 and 6) would enter operation in later 2014.
2.3 How were the Project Site and Technology Selected?
The Project development and the ESIA process included consideration of alternative sites, technologies and configurations.
The search for potential geothermal prospects is carried out through geological mapping, geochemical sampling of springs and streams along with geophysical surveying. Shallow wells are used to map the extent of the geothermal site and slim holes may be drilled down to 500-1000 m depth to investigate temperatures at depth prior to location and drilling of production and re-injection wells. The general location of well pads and power station in geothermal developments is initially constrained by the overall geothermal resource. However the physical footprints of the power station, well pads, and access roads required are small in comparison to the overall exploitation area. The use of directional drilling (the hole is not vertical and the bottom of the well therefore not directly underneath the well head) of wells to reach the geothermal resource allows for the development of well pad clusters which can be sensitively located away from important receptors. Site selection process starts with a review of the topography of the area for selecting the location for well pads and power plant and determining routes for the process, reinjection pipes and gathering system. The selection of well pads to date has avoided dwellings and taken into consideration existing land use. In addition wells have been sited away from steep slopes, minimised removal of tress and paddy field locations. The layout chosen has aimed to maximise the natural elevation and eliminate the need for pumps within the system, which is instead powered by natural gravity and pressure within the system.
Based on the requirements for base load (continuous electricity production), stable electricity generation, costs, raw materials availability and other developments envisaged by PLN, the analysis of alternatives has concluded that a coal fired thermal power plant would be the most likely alternative to the Project. The environmental and social impacts of the two options were compared and the comparative review illustrates the benefits of geothermal generation over coal for this Project. A geothermal generation plant is considered to be the most appropriate solution for achieving the objectives of this project as well as the overall power generation expansion plan for Indonesia.
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3.1 What are the Project Activities that could affect the Environment and People?
It is recognised that a project of this scale and duration has the potential to impact the environment and the community, both in a positive and negative way. The activities that could cause the most important effects include: Social impacts associated with : − Employment generation; − Workers well-being; − Community health, safety and well being; − Land acquisition; − Community investment;
Direct and indirect impacts on ecology; Impacts on surface and ground waters; Noise effects; Air quality impacts from H2S releases during operation; Land contamination risk; Displacement of greenhouse gases emissions; and Waste generation and management.
3.2 How was the Project Assessed and What Were the Findings?
A thorough appraisal has been undertaken for potential impacts arising from the Project development, including the above issues; the appraisal has included a detailed Social Impact Assessment and Environmental Impact Assessment (collectively presented as an ESIA). The assessment included: Establishment of the baseline to understand current conditions at and around the proposed Project
sites; Prediction of impacts, using, where relevant, advanced modelling tools; Identification of mitigation measures to be included in the design, procedures, development and
management of the Project.
The appraisal process was supported by local consultation undertaken to ensure that PGE understands and has incorporated the concerns of local people from the surrounding villages into the process.
The significance of an impact is described based on sensitivity of project affected persons / environment and magnitude of impacts. Where possible, impact magnitude and sensitivity are described with reference to legal requirements, accepted scientific standards or accepted impact assessment practice and/or social acceptability. Where the ESIA found that the project could caused moderate to substantially significant impacts then actions or procedures (referred to as mitigation measures) have been developed to avoid, reduce or otherwise mitigate the effects and reduce their significance. A great number of potential impacts can either be avoided or reduced through mitigation; however, some residual environmental impacts may be unavoidable. Each chapter of the ESIA has assessed whether residual impacts, either beneficial or adverse, remain after mitigation. A summary of the key findings of the appraisal process, the residual impact and the main mitigation measures identified for each social and environmental impact of significance is summarised in Table 3.1 and Table 3.2 below.
3. Managing Environmental and Social Impacts
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Table 3.1 and Table 3.2 summarise impacts and mitigation measures for each social and environmental aspect considered relating to the following phases of the Project (as relevant): Exploration, drilling and construction (relating to the exploration of the geothermal resource, drilling of
geothermal wells and construction of the SAGS and power plant); Operation (relating to the operation of the steamfield and power plant); Decommissioning (relating to the post operation of the power plant).
Table 3.1: Summary of Social Impacts and Mitigation Measures Phase Activity Impact Impact
Significance Mitigation / benefit enhancement Measures
Residual Significance
Employment Generation Exploration, drilling and construction
Recruitment Generation of approximately 1,080 temporary jobs phased throughout whole of construction period
Beneficial impact of moderate significance
Disclosure of a published employment policy, prioritisation of local employment. Use of village employment committees. Vocational training schemes.
Beneficial impact of moderate significance
Operation Recruitment Generation of approximately 285 mainly long-term jobs
Beneficial impact of moderate significance
As above. Beneficial impact of moderate significance
Impacts on the Well-being of Workers on Site and in Camps Exploration, drilling and construction
Working / living on site / in camps
Deterioration in well-being of workers through poor health and safety and other labour management relations and management practices
Adverse impact of low significance
Policies / clauses for contractor, to prohibit the use of child and forced labour / promote non-discrimination and equal opportunities. Development of staff grievance polices and procedures and disclosure to new and existing workers. Audit of contractors workers camps to determine need for upgrade / improvement. Workers to receive brochure which raises HIV / AIDS awareness. Malaria awareness and prevention briefings, provision of mosquito nets, fumigation and anti-malarials, maintain campsite free of stagnant pools. OHS audit of contractor activities and development and implementation of OHS policies for contractors and monitoring programmes. Employ H2S safety contractor.
Negligible
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Phase Activity Impact Impact Significance
Mitigation / benefit enhancement Measures
Residual Significance
Operation Working on site As above Adverse impact of low significance
The relevant measures above, and Implementation of PGE’s labour management procedures and welfare safeguard measures.
Negligible
Post operation / decommissioning phase
Retrenchment Loss of employment and reduction in income security of workers
Adverse impact of low significance
Development and disclosure of PGE retrenchment plan.
Negligible
Impacts on Community Health, Safety, Security and Well-being Activities within site and worker camp boundaries
Risk to community health, safety and well-being from site activities and workers
Mitigation of environmental impacts such as noise, dust and excavation waste. Restricting access to sites through appropriate fencing / signage around site perimeter. Reducing malarial incidence through maintenance of good construction site drainage, minimising standing water within Project areas, managing storage / settlement ponds to control mosquitoes. Site security personnel (appropriately vetted and trained. Site registry/identification system. Develop and disclose community grievance mechanisms.
Exploration, drilling and construction
Well production testing
Risks to safety of community members and damage to crops from debris, health risks due to H2S exposure
Adverse impact of moderate significance
Avoid vertical testing in favour of horizontal testing. Use of rock muffler to mitigate noise emissions during horizontal well testing.
Adverse impact of low significance
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Phase Activity Impact Impact Significance
Mitigation / benefit enhancement Measures
Residual Significance
Heavy load and other vehicles driving through communities
Road safety risks and damage to road infrastructure and drainage systems
Road safety plans / maximum speed limits for site and access routes. Contractor programme to monitor and enforce safety plans, accident reporting and statistics, establish penalties for violations. Maintenance of site and access roads under PGE’s responsibility to reduce erosion/degradation of drainage channels. Traffic safety sessions for children.
Water extraction and settling ponds management
Pollution of or shortages in community water
Audits of water infrastructure, maintenance and activities and monitoring of ground and surface waters.
Operation Activities within site boundaries and steam transmission piping
Risk to community health and safety within site boundary
Adverse impact of moderate significance
Continuation of relevant activities above, and Health and safety awareness sessions for communities about risks related to tampering with steam pipes
Negligible
Post operation / decommissioning phase
Dismantling of power plant and wells
Risk to community health and safety from decommissioned power plant and wells
Adverse impact of moderate significance
Sealing and capping of wells Land reclamation to remove health and safety hazards
Negligible
Land Acquisition Exploration, drilling and construction
Land acquisition
Payment of cash compensation for acquired land, assets and crops
Beneficial impact of negligible to low significance
Continue using current willing buyer / willing seller practices. Only pursue expropriation as a last resort and follow the Land Acquisition and Resettlement Policy Framework.
Beneficial impact of low significance
Community Investment Starting immediately continuing through all phases
Community investment
Community development
Beneficial impact of moderate significance
Development of participatory community investment planning
Beneficial impact of moderate significance
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Table 3.2: Summary of Environmental Impacts and Mitigation Measures Phase Activity Impact Impact
Significance Mitigation Measures Residual
Significance
Water Quality and Hydrology Abstraction during dry season
Less water available for human and ecological needs
Adverse impact of major significance
Prior to any new river abstractions, identify any local users downstream as far as Tompaso II (Maasem River), Tember (Panasen River) and Kanonang I (Ranaan and Tempok Rivers). Choose abstraction flow rate and timing to minimise impacts on water course and to ensure minimal stream flow maintained. Where this cannot be achieved, before drilling construction, PGE to construct new water supply pipeline from alternative source to ensure community water supply unaffected. Use pond to store water for drilling. Recycle “muds” to minimise need for “new” water.
Adverse impact of low significance
Diversion of water course
Damage to ecology Potential reduction in flow
Adverse impact of moderate significance
To be avoided if possible. Provide adequate diversion capacity. Profile new channel to match old channel.
Negligible
Vegetation clearance
Erosion and increased sediment load reaching local water courses
Adverse impact of major significance
Good construction practice, including bunding of working areas. Minimise vegetation clearance. Re-vegetate as soon as possible on completion of works.
Negligible
Exploration, drilling and construction
Temporary waste water settling pond overspill
Pollution of watercourse by “Muds”
Adverse impact of major significance
Size temporary facilities appropriately and have contingency. Design adequate capacity of treatment ponds / water filters to safely manage quantities of waste water arising. Use of water based drilling muds as opposed to oil-based drilling muds. Recycling of drilling muds. Storage ponds to be concrete lined to ensure water tightness. Ponds monitored and cleared of silt periodically to
Adverse impact of low significance
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Phase Activity Impact Impact Significance
Mitigation Measures Residual Significance
maintain integrity of treatment and drainage system.
Spills from poor storage of fuels and chemicals
Chemicals or fuel entering local water course used for domestic or irrigation supply
Adverse impact of moderate to major significance
Development of relevant procedures to avoid and minimise risk of spills, including: All chemicals and fuels are to be stored in designated sites with impermeable surface and adequate bunding to prevent accidental contamination. Storage areas to be located away from surface waters. Suitable spill kits to be provided within storage areas and near any fuelling / loading areas.
Adverse impact of low significance
Well Testing Discharge of well brines to surface water
Adverse impact of major significance
Ensure settling ponds have adequate storage capacity. Reinjection of water through reinjection wells.
Negligible
Possible Water abstraction to supply water needs of initial charge of cooling circuit
Less water available for human and ecological needs
Adverse impact of moderate significance
Choose abstraction rate and timing to minimise impacts on water course and to ensure minimal stream flow maintained. Record quantity of water abstracted and timing of abstractions
Adverse impact of low significance
Failure of brine / condensate pipeline to potential additional reinjection well Cluster 1
Discharge of brine to surface water
Adverse impact of moderate significance
Creation of a brine management plan. Good design. Position pipeline along line of river to minimise potential impact to paddy and to allow enhancement of river bank. Creation of 25 m buffer zone between pipeline and River Panasen. In the event of pipeline failure, brine will be diverted via an emergency dump valve to a large emergency brine dump flash tank. Employ best practice.
Adverse impact of low significance
Operation
Failure of brine reinjection system.
Discharge of well brines to surface water
Adverse impact of moderate significance
Minimise risk of brine / condensate discharge through implementation of reinjection system and provision of adequate sized lined storage ponds / system shut down in case of reinjection failure. Develop brine management plan to minimise risk of brine discharges.
Adverse impact of low significance
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Phase Activity Impact Impact Significance
Mitigation Measures Residual Significance
In the event of emergency discharge of brine / condensate to surface waters, treatment will be undertaken prior to discharge of effluent to comply with Indonesian discharge geothermal effluent standard.
Draining down of cooling tower
Discharge of effluent to surface water
Adverse impact of moderate significance
Water to be reinjected into wells.
Adverse impact of low significance
Spills from poor storage of fuels and chemicals
Chemicals or fuel entering local watercourse used for domestic or irrigation supply
Adverse impact of moderate to major significance
Best practice as for construction.
Adverse impact of low significance
Decommissioning Infill of wells As those seen in Construction period
Adverse impact of low significance
Application of same mitigation measures as for construction.
Adverse impact of low significance
Groundwater Construction of wells and potential hydrofracturing creating new pathways between the deep and shallow aquifer
Introduction of highly mineralised water from deep aquifer into the shallow groundwater used for domestic or irrigation supply
Adverse impact of major significance
Good well design with deep casing as used and applied previously in this area. Groundwater quality monitoring to confirm water quality not affected.
Adverse impact of low significance
Spills from poor storage of fuels and chemicals
Spilled chemicals or fuel percolating into shallow aquifer and entering local wells used for domestic or irrigation supply
Adverse impact of major significance
Development of best practice measures to avoid and minimise risk of spills. Designated sites for chemical and fuel storage to prevent accidental contamination. Suitable spill kits to be provided within storage areas and near any fuelling / loading areas.
Adverse impact of low significance
Land levelling, excavation and below water table plant construction
Changes in groundwater flow and level due to the levelling of land below groundwater table
Adverse impact of major significance
Additional water levels monitoring for the ESMP used to ensure that water levels in local wells are not affected by the land levelling and that sufficient water is available for use. Deepening of the affected wells may be considered where necessary.
Adverse impact of low significance
Exploration, drilling and construction
Vegetation clearance and road
Short term decrease in local
Adverse impact of moderate
Best practice construction methods, such as ensuring slope angles are keep to a
Adverse impact of low
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Phase Activity Impact Impact Significance
Mitigation Measures Residual Significance
construction increasing risk of landslides
groundwater quality
significance minimum, stabilising slopes where necessary and reseeding of land.
significance
Water abstraction from shallow groundwater to supply water needs of power plant
Reduced groundwater levels and potential drying of local wells used for domestic and irrigation supply
Adverse impact of major significance
Investigation into water levels and flow during construction phase. Investigate new source of water for plant if risk is found to be high. Deepen wells affected by reduced water levels. Provide alternative water supply to residents if affected by reduced water levels.
Negligible
Storm water runoff from hard standing at power plant discharged to groundwater via soakaway
Detrimental change in groundwater quality in community wells
Adverse impact of major significance
Use of good housekeeping and presence and use of spill kits.
Adverse impact of low significance
Spills from poor storage of fuels and chemicals
Chemicals or fuel entering local community wells used for domestic or irrigation supply
Adverse impact of major significance
Best practice for the storage of fuels and chemicals. Good housekeeping to keep leaks to minimum.
Adverse impact of low significance
Operation
Disposal of scale and other operational waste
Potential leaching of minerals into shallow groundwater used for domestic or irrigation supply
Adverse impact of low significance
Disposal of any hazardous waste (as determined through toxicity testing) by third party licensed by Ministry of Environment according to regulations.
Negligible
Decommissioning Infill of wells Detrimental change in groundwater quality in community wells
Adverse impact of moderate significance
Application of same mitigation measures as for construction.
Adverse impact of low significance
Noise Exploration, drilling and construction
Increased site noise during construction stage
Temporary nuisance to nearby residential receptors
Adverse impact of moderate significance
Restricting working hours. Use of well maintained plant. Appropriate positioning of plant considering directionality. Use of material stockpiles for screening. Turning off plant when not in use. Use of appropriate construction methods. Use of sound reduction equipment.
Adverse impact of low significance
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Phase Activity Impact Impact Significance
Mitigation Measures Residual Significance
Advising villagers in advance of particularly noisy work.
Increased road traffic noise during construction stage
Temporary nuisance to residential receptors
Adverse impact of moderate significance
Restricting working hours. Appropriate speed limits. Turning off engines when not in use.
Adverse impact of low significance
Increased site noise from power plant operation
Permanent nuisance to residential receptors
Negligible Use of low noise plant. Use of sound reduction equipment where necessary. Closing plant building doors at all times. Performing general plant maintenance during daytime only.
Negligible Operation
Increased road traffic noise during operation stage
Permanent nuisance to residential receptors
Negligible Appropriate speed limits. Turning off engines when not in use.
Negligible
Increased site noise
Permanent nuisance to residential receptors
Adverse impact of moderate significance
As for construction. Adverse impact of low significance
Decommissioning
Increased road traffic noise
Temporary nuisance to residential receptors
Adverse impact of low significance
As for construction. Negligible
Ecology Vegetation clearance, earthworks, and spoil disposal; drilling, pipeline and plant construction activities; creation of 25m buffer zone between brine & condensate pipelines and Panasen River
Change in terrestrial biodiversity
Adverse impact of low significance
Pre-clearance surveys for endangered species and breeding birds, burrowing mammals, reptiles and amphibians
Negligible to Beneficial (where habitat is created in buffer zone)
Exploration, drilling and construction
Vegetation clearance, earthworks, and spoil disposal during construction
Spread of alien invasive plant species
Adverse impact of low significance
Use of native species as part of any re-vegetation programme during construction. Identification of non-native plant species and their extent within development boundary: Treatment of materials contaminated by invasive plant material e.g. seeds, roots etc. Where necessary based on above findings, development of non-native species management plan.
Negligible
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Phase Activity Impact Impact Significance
Mitigation Measures Residual Significance
Construction and Operation
Construction and operation of weirs for abstraction
Change in aquatic biodiversity
Adverse impact of moderate significance
Weirs built to facilitate water abstraction at the WPS should be opened regularly where possible. Re-vegetate 25m buffer zone between brine / condensate pipeline and Panasen River with native species thereby enhancing the river bank biodiversity through replacement of agriculture with semi-natural riparian habitat. Also provides further protection of aquatic ecology through prevention of unlikely spill from pipeline entering Panasen River.
Adverse impact of low significance
Construction and Operation
Introduction of staff to area
Increased hunting and disturbance to local wildlife
Adverse impact of moderate significance
Prohibit hunting, cultivation and deforestation by PGE and contractor staff members. Contractor to instruct all personnel with regards to the prohibition and clearly advise of disciplinary action associated with non compliance.
Adverse impact of low significance
Air Site clearing, earthworks and construction
Dust nuisance Adverse impact of moderate significance
Dust suppression and control measures, visual monitoring. PPE for minimising dust exposure from on site receptors.
Adverse impact of low significance
On site traffic and vehicle movements
NOX, PM10, SO2 emissions
Adverse impact of moderate significance
Low emission vehicles and equipment, no idling vehicles Locate generators away from on site receptors.
Adverse impact of low significance
Off site vehicles Dust resuspension
Adverse impact of moderate significance
Dust suppression and control measures, visual monitoring.
Adverse impact of low significance
Well tests H2S and particulate releases
Adverse impact of moderate significance
No vertical well testing. Use of rock mufflers to elevate emission source. H2S Contractor to implement H2S response plan.
Adverse impact of low significance
Exploration, drilling and construction
Well blowout H2S and particulate releases
Adverse impact of moderate significance
Site H2S response plan by drilling contractor and H2S contractor.
Adverse impact of low significance
Operation Power Plant site
H2S releases Adverse impact of moderate significance
Personal H2S monitors, suitable on site ventilation, information on H2S, maintain levels below occupational limit, on site H2S monitoring system, confined space
Adverse impact of low significance
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Phase Activity Impact Impact Significance
Mitigation Measures Residual Significance
procedures. Periodic monitoring of H2S emissions. Ambient monitoring of H2S concentrations.
Climate Change Operation Power
generation GHG displacement
Beneficial impact of major significance
None. Beneficial impact of major significance
Wastes Exploration, Drilling and Construction
Day to day construction activities including drilling mud cuttings; Scrap metals, waste oils, plastics, consumables
Contamination of streams from waste excavation
Adverse impact of low to moderate significance
Implement Waste Management Plan (WMP) which identifies measures for minimisation of waste and safe disposal of construction wastes. Appropriate facilities/containers for segregation and temporary storage of general wastes on site and establishment of regular disposal to landfill or recycling where possible. Use of water based drill muds and recycling of drill muds. Storage of muds in lined ponds and of cuttings in dedicated houses. Regular removal of muds from the settling ponds for re-injection into total loss wells where available or storage and subsequent treatment of the muds as relevant waste category as determined by Indonesia regulation. Disposal of hazardous waste by third party licensed by MoE. Segregation of waste streams for reusing and recycling. Identify reuse and recycle options of non hazardous waste with local community. Identification of appropriate site(s) for excavation material disposal, away from sensitive surface / ground water features.
Adverse impact of low significance
Operation Office wastes, waste oils, waste chemicals, consumables.
Contamination Adverse impact of low significance
Implement Waste Management Plan (WMP) which identifies measures for minimisation of waste and safe disposal of construction wastes.
Negligible
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Phase Activity Impact Impact Significance
Mitigation Measures Residual Significance
Geology and erosion Soil excavation for well pads, roads and power plant
Increased erosion
Adverse impact of low significance
Cover of vulnerable soil with erosion resistant material and re-vegetation.
Negligible
Soil excavation for well pads, roads and power plant
Decreased slope stability
Adverse impact of low significance
Support walls with retain walls or other appropriate structures.
Negligible
Exploration, Drilling and Construction
Soil excavation for well pads, roads and power plant
Increased surface runoff
Adverse impact of low significance
Make water channels to direct water and minimise topsoil compaction.
Negligible
Aggressive utilisation during stream field operation
Decreased reservoir pressure
Adverse impact of moderate significance
Monitoring of surface geothermal activity.
Adverse impact of low significance
Operation
Seismic and volcanic hazard
Earthquake / volcano
Adverse impact of low significance
None. Adverse impact of low significance
Land contamination Collection, storage, transport of drilling muds and cuttings
Change in soil chemistry and consequent restriction of use, other indirect community and environmental risks
Adverse impact of major significance
Use of water based drill muds and recycling of drill muds. Storage of muds in lined ponds and of cuttings in dedicated houses. Regular removal of muds from the settling ponds for re-injection into total loss wells where available or storage and subsequent treatment of the muds as relevant waste category as determined by Indonesia regulation.
Adverse impact of low significance
Storage, transport and use of chemicals, fuel and waste on construction site.
Change in soil chemistry and consequent restriction of use, other indirect community and environmental risks
Adverse impact of moderate to major significance
Appropriate facilities / containers for segregation of waste and temporary storage of chemicals / fuel on site. Training of Contractor employees by Contractor.
Adverse impact of low significance
Exploration, drilling and construction
Collection and storage of brine during horizontal well testing
Change in soil chemistry and consequent restriction of use, other indirect community and environmental risks
Adverse impact of low significance
Storage of brine in lined ponds until potential future reinjection. Develop brine management plan to minimise risk of brine discharges.
Adverse impact of low significance
Operation Storage, transport and use of
Change in soil chemistry and consequent
Adverse impact of low to moderate
Appropriate facilities/containers for segregation and permanent
Adverse impact of low
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Phase Activity Impact Impact Significance
Mitigation Measures Residual Significance
chemical, fuels and waste on operational sites
restriction of use, other indirect community and environmental risks
significance storage of chemicals / fuel on site. Temporary storage facilities available for maintenance periods. Internal training of PGE operational shift staff / maintenance staff.
significance
Steam field operation
Change in soil chemistry and consequent restriction of use, other indirect community and environmental risks
Adverse impact of moderate significance
Minimise risk of brine / condensate discharge through implementation of reinjection system and provision of adequate sized lined storage ponds / system shut down in case of reinjection failure. Develop Brine Management Plan to minimise risk of brine discharges. In the event of emergency discharge of brine / condensate to land, treatment will be undertaken prior to discharge of effluent to comply with Indonesian discharge geothermal effluent standard.
Adverse impact of low significance
Traffic Traffic associated with steam field / power plant development
Increase in traffic resulting in delays on local traffic network / increase risks associated with road safety
Adverse impact of moderate significance
Development and implementation by EPC contractor of Traffic Management Plan (TMP).
Adverse impact of low significance
Exploration, drilling and construction
Traffic associated with steam field / power plant development
Physical effects (wear and tear) of construction traffic (including abnormal loads) on local road infrastructure.
Adverse impact of moderate significance
Potential improvement as part of CSR Programme.
Adverse impact of low significance
Operation Traffic associated with staff movements and maintenance
None anticipated
Negligible None. Negligible
Archaeology Exploration, drilling and construction
Excavation works during construction phase
Disturbance of on-site archaeology / cultural heritage
Adverse impact of low significance
PGE will require contractors to establish Chance Find Procedure.
Negligible
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3.3 Cumulative Impacts with Other Projects
PGE currently owns and operates geothermal steam production and reinjection fields in the Lahendong geothermal reservoir area. These production wells provide steam for the Lahendong Units 1, 2 and 3 geothermal power plant owned and operated by the state-owned PLN. Units 1&2 are located separately from Unit 3. Unit 4 is currently under development and will be located adjacent to Unit 3. Each unit has an output capacity of 20MW.
Although the Project is referred to as Lahendong Units 5&6, it is located on the Tompaso geothermal reservoir which is 10 to 15km distance from the separate Lahendong geothermal reservoir where the existing Lahendong Units 1, 2 and 3 and future Lahendong Unit 4 power stations are located. The Project is therefore distinct and isolated from these other power units and is also referred to within Indonesia as the South Lahendong or Tompaso Units 1&2 project. The air dispersion modelling for Lahendong Units 5&6 has indicated that any potential contributions of pollutants from the power plant are already well dispersed 5km from the plant and would be further dispersed by the time they reached the other Units and not contribute to impacts in the areas around Units 1 to 4. No interaction of the plumes from the Units 5&6 with Units 1 to 4 would therefore be expected. The existing and future Lahendong Units 1 to 4 are outside the scope of the Project and of this ESIA.
Due to the distance, negligible cumulative impacts are expected and are not considered further within this assessment.
3.4 How PGE will manage environmental and social impacts?
PGE has developed an Environmental and Social Management Plan (ESMP) that draws upon the management and mitigation measures which have been defined within the ESIA. The ESMP is presented as Volume IV of the ESIA documentation. The primary objective of an Environmental and Social Management Plan (ESMP) is to safeguard the environment, site staff and the local population from site activity that may cause harm or nuisance. The management plan, which also covers monitoring, is the basis of the environmental and social protection measures to be implemented by PGE and its contractors.
In addition to the ESMP, a number of complimentary framework plans, policies and procedures have been developed including the following: Site waste management plan; Recruitment plan; Retrenchment plan; Waste management plan; Traffic management plan; Temporary worker accommodation management plan; and Chance finds procedure.
Responsibilities for implementation are outlined in the ESMP and fall to either PGE or the various contractors.
The implementation of the ESMP ensures EHS performance is in accordance with international standards (including the relevant World Bank operational policies and World Bank Group EHS guidelines) and best practice.