59807



                               INTEGRATED SAFEGUARDS DATA SHEET
                                        CONCEPT STAGE




    Date ISDS Prepared/Updated: January 20, 2011

    I. BASIC INFORMAnON

    A.  Basic Project Data

f   Country' China                 - - - - , .-::-P-ro-;-~c-c-t-:-::lD::-'-:P::-:I-:'I-::-9-:-:12::-4~------'---
I   Project Name: CPF-Hebei Livestock Wa'stc Managemen~ Project
                                                                                                               -
    Task Team Leader: Jin Liu
    Estimated Appraisal Date: December 31,    Estimated Board Date: Not applicable
    2011                       -_._
    Managing Unit: EASCS                     . Lending Instrument: Carbon Finance
1._--, .                                       Operati~.n.._ ..
                                                         !
                                                                                                          -~~~"

  Sector. Renewable energy (SO 0Yo), Agnculture extensIOn and research (20Yo)
                                                                          ()


  Theme: Climate change (P), Oth~!.environment and natural resources mana ement
  IBRD Amount (USSm.):
  I DA Amount (US$m.):
  GEF Amount (US$m.):
  peF Amount (US$m.):
  Other financing amounts by source:
                 Borrower (US$m):      Almroximately US$ 16 million
                 CFP (US$m):           Almroximately US$ 14 million <Certified Carbon
                                       Emission Reduction Purchase)_______ ......


    D. Project Objectins:

    The Project aims to demonstrate the technical and methodological approaches for biogas-based
    Programmatic Clean Development Mechanism (P-CDM) operation by establishing a sustainable
    livestock waste management that would significantly improve rural environment and reduce
    greenhouse gas emissions.

    C. Project Description:

    The WB will support the development and implementation or a biogas-bascd P-CDM in Hebei
    Province in order to establish a replicable carbon trade process in the agriculture sector. The
    pilot program will provide an assurance of a significant. long-term, and stable revenue through
    enabling credited CER trade process to support the sustainable waste management in the selected
    livestock farms and build-up institutional capacity in extending the mitigation of greenhouse gas
    emission efforts as required scale sector-wide. The WB will not finance the project investment,
but the Carbon Partnership Facility (CPF), which is managed by the WB, will purchase ERs
from this project up to 2020 and the conservative Emission Reduction (ER) targeted amount is
estimated up to 120,000 tons of C02 per year. The WE project management experience could be
built into project technical design, implementation and management arrangements.

Tentatively, the project would encompass the following components and main activities.

   (a) Component one: Construction and Operation of the Improved Biogas Digcstcrs. This
   component would include the installation of biogas digester to treat livestock manure and
   produce biogas for heating or power generation for the livestock farms and communities.
   The project intends to include around 10-20 pig farms with total annual on-stock animal
   (swine) amount of around 200,000 in Hebei Province. The selection criteria of target farms
   include:
   ·  Animal population: annual on-stock pigs are around/above 10,000 in each farm. The
       priority should be given to the farms with more than 15,000 pigs on-stock;
   ·  Baseline situation: open lagoon to store animal waste for more than 30 days;
   ·  Management performance: meeting the most updated standard or livestock farm
       Management. Standardized livestock farm management specifications need to be
       indicated and included in the project design documents.
   ·  Land acquisilion: no land acquisition issue involved as all tonstruetion and operation
       activities will take place inside of existing farm premises;
   ·  Technology to be applied: the same technical design will be applied to the biogas
       generation and the output will be biogas for energy replacement (electricity and heal);
   ·  ConslrUClionlcommission period: the construction and commission should be started
       after March 2011 which is the target date to publish the Program of Activities (PoA)
       Design Document in the United Nations Framework Conversion on Climate Change
       (UNFCCC) website, which is in lines with P-CDM rules.
   ·  Farm will participate in the project on a voluntary basis.

   (b) Component Two: Technical Services, Monitoring, and Carbon Finance Transaction.
   This component would provide the technical services and training for the participating fam1s
   in order to promote standardized farm livestock waste management practices and build up
   capacity in biogas operation/monitoring (O&M). This component would also support the
   project validation, verification. and CERs transaction between Project Entity and the CPF
   during the project credit period. Since the WB will not finance the project activities, the
   Hebei New Energy Office (NEO) has agreed to link the relevant provincial technical services
   and extension programs with the project to ensure that the needed training and technical
   services will be in place.

D.  Project location {if known):

It has been proposed that 10-20 farms will be included in the project in Hebei Province.

E.  Borrower's Institutional Capacity for Safeguard Policies:
The proposed project would be implemented by the Hebei NEO. in which a Project Management
Oflice (PMO) will be located. The overall capability to identify safeguard environmental and
social issucs. as well as implement safeguards measures during the preparation and
implementation of the project is considered to be satisfactory. This is due to the strong leadership
of the provincial government and the project agencies have adequate staff with the necessary
expertise in managing biogas program. However, the projcct agency has less experience in
implementing the WB project and CDM operation, and the necessary institutional capacity
would be built up during the project preparation and implementation process.

The project PMOs would be established within Hebei provincial and county NEOs. The PMOs
will have overall responsibilities for the project management including the implementation of
\VB safeguard policies. According to the Chinese CDM Management Regulations, the CO\1
project owner can only be an independently registered corporation. Hebci NEO proposed Hebei
Grcen Agriculture CO.. LTD (HGAC) as the Project Entity on behalf of all participating farms.
The HGAC has been involved in a number of design, construction and operation of biogas
digester projects and it is one of the more experienced local biogas companies in HebeL The WB
identification mission assessed and agreed the HGAC to be the Project Entity. The task team will
further assess and define the institutional arrangements for project implementation with the clear
rules and responsibilities for both project PMOs and Project Entity.

It was agreed that Hebei PMO wouLd select and contract Environmental Assessment (EA)
Institute satisfactory to the Bank for the preparation of EMEMP (Environment Management
Plan). Such EA Institute should have ample experience ,",'lth preparing EA for sueh type of
biogas construction project and in line with Bank safeguard policies and requirements.

F. Environmental and Social Safeguards Specialists on the Team:

    Mr. Yiren Feng (EASCS)
    Mr. Zong-Chcng Lin (EASCS)

II. SAFEGUARD POLICIES THAT MIGHT APPLY

sarc~ard Policies Triggered (pJea.te explain "'lIy)                               Yes       I     No       I    TBD       i
Environmental Assessment (OP/BP 4.01)                                              X        I              I
    The-'project will improve local rural environment conditions and reduce carb·,.-o-n-e-'m.....L..is....,si,.-o-ns-by---,
installing and putting-into operation of the biogas digesters in selected existing livestock farms to
replace the traditional open lagoon animal manure treatment system. This will eliminate the
animal manure pollution which transfers zoonotic diseases and released noxiolls and odious gas
to the adjacent local communities.

    Taking consideration of the characteristics or the proposed project, it is expected that the
project would bring significant positive environmental and social benefits to the selected rural
areas in Hcbci Province. as well as generate the global benefit in climate change mitigation by
reducing greenhouse gas emissions.

    Nevertheless, negative impacts might occur if the project is not properly designed or
 Sat nard Policies Tri ered Glease luln wh ~
 implemented. To meet the Bank's safeguard requirements, one Environmental Management Plan
 (EMP) with standard Environment Codes of Practices (EeOps) will be prepared in accordance
 with China's Environmental Impact Assessment Law and other relevant national
                                                                                                                                                                  I
 policies/regulations as well as the Bank's safeguard policies/requirements.               I

        More specifically, the EMP will include:
                                                                                                                                                                  I
                 (a) Relevant Chinese regulations, environmental standards, and sections of WBO
                     Environment. Health, and Safety Guidelines need to be in compliance with;
             (b)  The EeOps will include good engineering and environmental management
                     practices to mitigate potential negative impacts from: (i) construction, operation.
                     and maintenance of the bio-gas digesters; (ii) the collection and storage of animal I
                     waste before feeding into the bio-gas digesters; and (iii) storage, transportation,
                     and disposal of digested sludge;
             (c)  Procedures need to be followed to address and mitigate any additional site-specific
                     impacts that arc not covered by the ECOPs;
             (d)  Monitoring and reporting the environmental perfom1ance of bio-gas digesters,
                     which will be integrated with the emission reduction verification process;
             (e)  Institutional arrangements for the implementation of the EMP;
             (1)  Estimating budget for implementing the EMP; and
             (e) Site-specific remediation measures are needed for the closure of existing
~            traditional open lagoons, ifany.                                                                                                 __.. ~_~ .. -.,~----l
f..~~tural Habitats (OPIBP 4.04)                         _                                                                 I                   1 X -c'-:----\
.      The proposed candidate livestock Farms arc not located in any nature habitat and thc biogas
   di ester lacililies will be installed within the s.:;.;elc: e: : .;ct:=.ed;: . .: .;ex;; .:i:; .st; :;in.:. ; ga..fi:.;:a.;. :rm:.:.s=._ _~_--::-:--_.,--
                                                                                                                                                                  I
   Forests OPfBP 4.36                            ._- _-,----,----",_-LI___--'-_...:.X:..:.-......--i.                                                      -l      ,
                                                                                                                                                                  I




     The project identification mission conducted the primary screening of the Indigenous Peoples
 Policy. Thcrc are no ethnic minority groups around the project areas. Although there are a few
 Hui ethnic minority communities dispersed throughout the Hebei Province. they do not meet the
 criteria ofIndigenous Peoples as defined in OP4.10. In addition, the sclected farms in which this
 project might propose biogas structures are not locatcd in those arca.~. Thercfore, the OP4.1 0
 do:;s nol.!lP.E!Y. to this project.                                              ---.- .                                                     1.... ___ .
 Involunta Rellctt.ement (OPfBP 4.12)                                              X                _ .j
     I\ll the proposed project activities, including the construction of biogas pools and facilities, 

 will take place 011 the existing livestock farms, and on fann land which has been legally rentcd 

 from local villages to farms (or in a few cases, individual farm households). There will be neither 

 land acquisition nor tcmporary land occupation for this project. This policy therefore is not 

 triggered for the project. 

                                                                                                                                   TBD

     The project will not finance construction or rehabilitation of any dams as defined under this
   lic ,
        ---~
.~rojccts   on International Waterways (OPIBP 7.SO)                                                                 X
    There arc no known project components involving international waterways as defined under the
  lic "
       ---
Projects in ~isputcd Areas (OP/Bil 7.60)                                 I     X
    There arc no known projeci components involving international waterways as defined under the
 olic .

Environmental Category:                  B - Partial Assessment

111. SAFEGUARD PREPARATION PLAN

A.  Target dntc for the Quality Enhancement Review (QER), at which time the PAD-stage ISDS
    would be prepared: March 31, 2011

B.  For simple projects lhat wi II not require a Q ER. the target date for preparing the PAD-stage
     JSDS:     NOI   applicable.

C. Time frame for launching and completing the safeguard-related studies that may be needed.
   The specific studies and their timingl should be specified in the PAD-stage ISDS:

     'The specified SA that will be conducted would inform the project design on the land use
     situations of each participating unit (livestock farm) even though there is no land acquisition.
     In addition, the social relationships and interactions between the project units and
     surrounding village communities will be assessed and the local communities and households
     will be infonned and consulted on the impacts that the project might bring to local
     communities. The mitigation measures will be put in place if any negative impact is
     identilied by the SA.

     The ENSA processes have been started in early January 2011 and should be completed by
     the end of March 2011. At that point all the relevant documentation related to safeguard
     policies will be available in their draft stage for the WB preparation mission review.




, Reminder: The Bank's Di:>elosurc l'oliey requires lnatliafcguard.rclatcd documents be disclosed before Ilppmis;d (i) at the
InfoShop and (ii) in-collntry. at publicly accessible locations and in   II fOl11l   and language that are accessible to potentially affected
p..,rson5.
IV. APPROVALS

I Signlld alld .fuhminlld by:.     I                             Date
I Task Team Leader:          ----1 Name:      Liu Jin

                                       Name: L. Panneer Selvam

                                   I Name:    Ede Jo