E2933v6 REV

PT PLN (Persero)

INDONESIA SECOND POWER TRANSMISSION DEVELOPMENT PROJECT (IPTD2)

ENVIRONMENTAL MANAGEMANT PLAN (EMP)

SUBSTATION UPGRADES

February 2013

Contents

1 Introduction 3

2 Project Description 4

3 Potential Environmental and Social Impacts 4

4 Environmental Management and Monitoring Program 5

5 Reporting 17

6 Disclosure 18

7 Institutional Responsibilities 18

8 Budget and Program 19

9 EMP Updates, Review and Version Control 19

Annex 1. Subproject Detailed Description 21

Annex 2 PLN Standard Operating Procedures for Environmental Management, Emergency Preparedness and Response and Health and Safety 29

Annex 3 Environmental Codes of Practice for Construction 31

Annex 4 Disclosure Notices and Results of Consultation 33

Annex 5 Chance Find Procedures 43

1  Introduction

The main objective of the Second Indonesia Power Transmission Development Project (IPTD2) is to strengthen and expand the capacity of the power transmission networks in Java Bali and other large islands in West and East Indonesia including Sumatra, Kalimantan and Sulawesi. IPTD2 will involve upgrades and extensions to existing substations, and build new substation sites.

This EMP for Upgrades covers all subprojects in the Group 1 under the IPTD2 that consist of an upgrade and / or extension to an existing substation. The EMP meets the requirements of the World Bank Environmental and Social Safeguards Frameworks for Category B projects.

1.1  EMP Approach

This EMP for Upgrades covers a large number of small, discrete substation upgrade and / or extension subprojects, across five PLN Project Offices. This approach replaces a large number of repetitive and identical EMPs.

These projects have very small footprints, mostly within the boundaries of existing substations, and the severity and risk environmental and social impacts are low. The potential environmental and social issues of most of these subprojects are very similar (with few exceptions which will be separately addressed in the EMP). Furthermore, since all subcomponents will be owned by PLN, the EMP aspects of: institutional arrangements, occupational health and safety, and emergency preparedness and response systems are established by PLN corporate policy and will be the same for all of the subprojects.

The EMP contains standard mitigation and monitoring plans to cover typical impacts from upgrading equipment and installing new equipment at substations, including worker health and safety, earthworks and solid and hazardous waste management. The EMP also contains standard EMP monitoring, reporting and review processes to streamline processes across the Project Offices and the subprojects.

However, each subcomponent is unique in the sense that: (a) it is situated at its own unique location, (b) public consultation involves different affected groups , and (c) the outcome of the public consultation may present special environmental or social issues. Therefore there is a screening process for each site to determine whether there are social and / or environmental risks beyond those covered in the standard mitigation and monitoring plans. Additional specific mitigation plans and monitoring plans have been developed for those sites with unique situations.

1.2  EMP Structure

Project descriptions along with any site specific mitigation and monitoring plans are provided in Annex 1 for each subproject in the five Project Offices.

Standard mitigation and management plans, and standard approaches to consultation, EMP monitoring, supervision, reporting and review are included in the main document and other Annexes.

PLN Project Offices can refer to their subprojects in Annex 1 to manage their specific work program, and refer to the main document for the standard implementation processes.

Section 9 explains the review process for adding new projects into the EMP.

1.3  Contact Details

The contact details of the person responsible for the EMP are:

Name : Djoko Prasetyo

Email :

Address : PT PLN Persero, Jl. Trunojoyo Blok M I/135

Kebayoran Baru, Jakarta, 12160

Phone : (021) 7251234, 7261122

Fax : (021) 722 1330

1.4  Version

This is Final version for loan appraisal.

2  Project Description

2.1  Overview of IPTD2

The components of the IPTD2 involve infrastructure investment and require safeguards instruments: 1) extension of 150kV substations in the Java-Bali system, 2) extension of 150kV substations in East Indonesia and (3) extension of 150kV substations in West Indonesia.

2.2  Upgrade and Expansion Subprojects

For upgrade and expansion subprojects, the key activities are to install new transformers and associated equipment or replace existing transformers and associated equipment with new ones with higher capacity in the existing 150/20 kV and 70/20kV stations. Upgrades do not require land acquisition and will be implemented within the premises of these substations. While most of expansion subprojects do not require land acquisition, some subprojects will require limited additional pieces of land, which is normally adjacent to the existing substations.

3  Potential Environmental and Social Impacts

The following is a summary of the key environmental and social impacts that may arise from any subproject. A full list of the standard potential environmental and social impacts is included in the Mitigation Plans.

Table 1 Summary of Potential Environmental and Social Impacts from Substation Upgrades or Extensions

Phase / Activity / Potential impact
Construction. / Earthworks and construction / Noise, dust, vibration on neighboring properties
Exposure of construction workers to EMF
Storage, handling, use and disposal of hazardous materials such as transformer oils / Soil and water contamination
Health and safety risks
Disposal or reuse of old transformers (for upgrade sites only) / Soil and water contamination
Risk of finding PCB / Soil and water contamination
Acquisition of new land (for expansion sites only) / Land acquisition, involuntary resettlement and compensation for lost assets (ie trees or crops)
Operation and maintenance / Storage, handling, use and disposal of hazardous materials such as transformer oils / Soil and water contamination
EMF / Exposure to workers and community

4  Environmental Management and Monitoring Program

This section includes the following standard mitigation plans:

Pre-Construction Mitigation Plan

Construction Mitigation Plan

Operation Mitigation Plan

And the following standard monitoring plans:

Construction Monitoring Plan

Operation Monitoring Plan

PLN will incorporate the standard plans into each subproject.

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4.1  Pre-Construction Mitigation Plan

Environmental or social impact / Pre-Construction Mitigation Actions / Costs / Responsible / Start / End /
Soil and water contamination as a result of transformer leak / For new installations, include as a requirement in the subproject design:
The installation of oil collectors made in compliance with standard design solution and made of precast concrete and reinforced concrete elements. The reinforced concrete slab will be made of sulfate-resistant cement.
Damp proofing will be done underneath the slab.
Include in tender documentation, if any contamination from leak transformer, the contractor should rehabilitate into normal condition. / Moderate, included in Construction Cost / PLN / Design phase / Award of construction tender.
PCB (polychlorinated biphenyls) / Tender documents will prohibit procurement of equipment containing PCB / No cost, Included in construction contract / PLN / Tender preparation / Award of construction tender.
Noise / Tender documents for equipment (such as the transformer and the cooling fan) procurement will specify to meet noise level regulation. / Minor, Included in tendering costs / PLN / Tender preparation / Selection of preferred supplier
General / all impacts / The Environmental Codes of Practice for Construction (COP) will be included in the Contractors specification. / Minor, included in tendering costs / PLN / Tender preparation / Award of construction tender.
General / all impacts / All Indonesian laws and regulations relating to the environment will be followed during the construction phase. / Minor, included in construction contract / Construction contractor / Tender preparation / End of construction

4.2  Construction Mitigation Plan

Environment or social impact / Construction Mitigation Actions / Costs / Responsible / Start / End /
Dust / The construction site will be sprinkled with water, especially during dry and windy conditions. / Minor, Included in construction contract / Construction Contractor / In the beginning of construction / After completion of construction
Noise / Construction activities will be performed only during normal working hours (from 8 a.m. till 5 p.m.). If construction activities have to be performed before or after the specified time limits, the local community must be notified about it at least one week in advance. / No cost / Construction Contractor / In the beginning of construction / After completion of construction
On arrival at site, and prior to installation, the contractor will confirm that the equipment meets the standard for noise emissions as stated in the tender documents. / Minor, Included in Operation Cost / Contractor / Prior to equipment installation / Prior to equipment installation
Toxic, hazardous wastes (B3) / Hazardous material will be manage by contractor through Indonesia hazardous regulation.
The history data will be recorded and saved. / Minor, Included in construction contract / Construction Contractor / In the beginning of construction / After completion of construction
PCB
(polychlorinated biphenyls) / On arrival at site, and prior to installation, the contractor shall confirm that the equipment does not contain PCB. / No cost, included in construction contract. / Construction contractor / During procurement / Prior to installation
Waste oil / Waste oil will be handled, stored and disposed of according to Indonesian regulations. / Minor, included in construction contract. / Construction contractor / In the beginning of construction / After completion of construction
Old transformers and other equipment / Old transformers and other equipment will be stored on site until they are required for reuse on another site. Oil containment will be placed beneath the transformers to capture any leaks. / Minor / PLN substation / During construction / After completion of construction
Oil spill or leaks from construction equipment / Vehicles working on site shall be in good working order and not have leaks. / Included in construction contract / Construction Contractor / In the beginning of construction / After completion of construction
Oil sorbents will be kept on-site to contain any spills, and staff shall be trained in spill procedures. / Minor, included in construction contract / Construction Contractor / In the beginning of construction / After completion of construction
Any contaminated soils as a result of construction activities will be removed and rehabilitate by the contractor. / Moderate (if required), included in construction contract / Construction Contractor / In the beginning of construction / After completion of construction
Soil and water contamination from transformer oil / Oil containment devices will be constructed as per the tender documents. / Moderate, included in construction contract / Construction Contractor / Prior to the beginning of construction / After completion of construction
The transfer or filtering of transformer oil will be carried out according to Indonesian Regulations. / Moderate, included in construction contract / Construction Contractor / In the beginning of construction / After completion of construction
Construction worker safety from existing electromagnetic fields / Worker hours will be limited in accordance with PLN Policy:
EMF Intensity (kV/M) Admissible exposure time (min)
Up to 5 No limits
5-10 Up to 180
10-20 Up to 30
20-25 Up to 25
>25 Prohibited
Warning signs to be placed at areas of high electric/magnetic field strength. / Included in construction contract / Construction Contractor / In the beginning of construction / After completion of construction
Construction worker health and safety / All construction workers will have site inductions by PLN on health and safety in an EMF environment. / Included in PLN operational procedures / PLN substation / In the beginning of construction / After completion of construction
All workers will be provided with hard hats and covered boots. / Included in construction contract / Contractor / In the beginning of construction / After completion of construction

4.3  Operation Mitigation Plan

Environmental or social impact / Operation Mitigation Actions / Costs / Responsible / Start / End /
Electro Magnetic Field (EMF) / All high voltage equipment will be wire-fenced or placed in enclosures.
For security reasons the following stationary protection will be used:
shielding-sheds over the disconnector operating mechanisms, circuit breaker control cubicles, terminal boxes; shielding-sheds over walkways of routine inspection.
Warning signs in areas of high electric/magnetic field strength / Minor, Included in Construction and Operation Cost / PLN operation unit / During operation / Continuous
Max EMF intensity allowed outside the protected area is 5 kV/m. / Minor, Included in Operation Cost / PLN operation unit / During operation / Continuous
Maximum magnetic field outside the protected area is 5 microtesla / Minor, Included in Operation Cost / PLN operation unit / During operation / Continuous
Fire prevention / See Annex 1 (PLN SOP). / Minor, included in Operation Cost / PLN relevant operation unit / During operation / Continuous
Vegetable removal, tree cutting / Grass and plants around substations will be trimmed; trees and grass cut will be removed from the area substation to a disposal place approved by local government authorities.
The use of pesticides for vegetation removal is prohibited. / Minor, included in Operation Cost / PLN relevant operation unit / During operation / Continuous
Solid wastes / Solid wastes shall be transported by a licensed waste operator to recycling facilities where available, and otherwise to special disposal places, approved by local government authorities. / Minor, included in Operation Cost / PLN relevant operation unit / During operation / Continuous
PCB’s / No PCBs will be used in any replacement of transformer oil. / None / PLN relevant operation unit / During operation / Continuous
Waste oil / All waste oil will be stored in leak proof containers under cover / inside a building, and be collected. / Minor, included in Operation Cost / PLN relevant operation unit / During operation / Continuous
Hazardous wastes / All hazardous wastes will be stored in leak proof containers under cover / inside a building and be transported for disposal at special disposal places. / Minor, included in Operation Cost / PLN relevant operation unit / During operation / Continuous
Emergency Preparedness and Response / See Annex 2 (PLN SOP). / Included in Operation Cost / PLN relevant operation unit / During operation / Continuous
Worker Health and Safety / See Annex 2 (PLN SOP). / Included in Operation Cost / PLN relevant operation unit / During operation / Continuous