Natural Gas Lines to Additional Power Plants in Egypt Mahmodia Power Plant Pipeline ...

408 Pages·2017·33.05 MB·English

EG-GIZA North Power Project –
The Egyptian Natural Gas Company
Natural Gas Lines to Additional Power

Plants in Egypt

Mahmodia Power Plant Pipeline

ENVIRONMENTAL AND SOCIAL
Prepared By:

IMPACT ASSESSMENT

December 2016

Final Report
Page 1 of 308
ESIA study for EG-GIZA North Power Project – Mahmodia Power Plant Pipeline
Executive Summary
Introduction
The proposed project is considered as part of Egypt‟s strategy which aims to expand the use
of natural gas as a clean source of energy, a goal that will be achieved through delivering
natural gas to houses, industrial facilities and power plants. In this regard, the EG-Giza
North Power Project was undertaken by the Egyptian Government. The project consists of
three main components:
 Component 1: The Power Plant Component, which is the construction of 2250 MW
Combined Cycle Gas Turbine power plant;
 Component 2: The Construction of transmission lines to connect the power plant to
the national grid
 Component 3: The construction of gas pipelines to strengthen the gas supply
network to ensure supply gas to power plant.

Component 3 of the project, which involves gas pipeline construction to provide natural gas
to North Giza power station, is implemented by the Egyptian Company for Natural Gas
(GASCO) with the assistance of the World Bank. This component and was 96% concluded
by the end of 2015.
After conclusion of the procurement of the Bank financed packages, there were still financial
savings from the project that can be utilized by the Government of Egypt. In this regard, the
World Bank received formal request from the government of Egypt to utilize these savings
to procure pipelines required for upgrading the natural gas network and connecting to new
and existing power plants.
As the objective of the new gas pipelines connections to the existing and new power stations
is to improve the security and efficiency of electricity supply, the additional proposed scope
by the Egyptian government is considered to be fully in-line with the original project
objectives.
The proposed pipelines will also be implemented by GASCO and are composed of 9
pipelines, namely:
1. New Capital - Dahshour gas pipeline (70 km).
2. Dahshour – El Wasta gas pipeline (65 km)
3. El Wasta – Beni Suef gas pipeline (65 km) + gas decompression station (in Beni
Sueif Power Station)
4. Sixth of October Power Station (400 meters) + gas decompression station (in 6th of
October power station)
5. El Gamel – Damietta gas pipeline (50 km)
Page 2 of 308
Page 2 of 308
ESIA study for EG-GIZA North Power Project – Mahmodia Power Plant Pipeline
6. El Suez Power Station (3 km) + gas decomposition station (in Suez Thermal Power
Station)
7. Soumid import gas pipeline (4 km)
8. El MahmodiaPower Station (27 km + 17 km + 7 km) + gas decompression station
(in MahmodiaPower Station)
9. Damanhour Power Station (2.5 km) + gas decompression station (in Damanhour
Power Station)

Approach to Study
The preparation of the Environmental and Social Impact Assessment is done according to
the following approach:
 Reviewing the available information and documents regarding the project;
 Reviewing national and international legislations and regulations relevant to the
project, including the required governmental permits.
 Conducting site visits to the project site, to collect the baseline data regarding the
current environmental and social situation;
 Holding a Scoping Session (first public consultation) to engage the community and
different stakeholders in the process of identifying the expected impacts;
 Assessing the potential environmental and social impacts associated with proposed
project activities;
 Developing an outline for the environmental and social management plan for the
mitigation of the expected negative impacts and the monitoring activities to ensure
compliance with the relevant environmental laws;
 Holding a Public Consultation Session based on the updated ESIA and RAP studies;
 Finalizing and submitting the ESIA and RAP studies.
Project Overview
Pipeline Route
The power station is fed by 3 national network lines 42″, 30″, and 16″:
1st Pipeline (42″)
The path starts with a pipeline of 42″ diameter in Rashid Petroleum Company facility area,
east to Edko City and nearly parallel to Edko/Damanhour Road, and extends to the south
crossing the international coastal road, Alexandria/Rashid Railway, and Bousily Drain. The
pipeline then continues to the south passing through Villages no. 8, 6, and 1, then it crosses
Edko Drain. Then, it extends crossing Edko eastern drain, Abu El-Einein drain,
AlQamaheen canal, and the French drain till it reaches National Natural Gas Network
Facility area, to the north of Bisintaway Village with a total length of 27 km.
Page 3 of 308
Page 3 of 308
ESIA study for EG-GIZA North Power Project – Mahmodia Power Plant Pipeline
2nd Pipeline (30″)
The path starts with 30″ diameter pipeline from a valve room on the 42″ pipeline to the
north of Izbat Abdel Razeq and Hommosy. Then, it extends to the east in the agricultural
lands parallel to Kom Al Gharaq Canal until it reaches Dairut Power Station with a total
length of 17 km.
3rd Pipeline (16″)
The path starts from a valve room that will be constructed on Dairut Power Station pipeline,
extending in the southern direction for a distance of 2.5 km parallel to high voltage power
lines inside agricultural lands. The pipeline then continues its path in the southern east
direction for a distance of 2 km also parallel to high voltage power towers, then turns to the
east crossing Mahmodia Canal until it reaches the pressure reduction station inside the
power station, with a total length of 7 km.
Construction Phase
The project will be carried out by a contractor under GASCO‟s supervision and control. It is
expected that the engineering, procurement and construction phases will collectively take
about24 months for the 1st pipeline, 21 months for the 2nd and 3rd pipelines. The following
activities will be conducted in the construction phase:
• Right of Way activities.
• Pipe transportation and storage.
• Trenching.
• Horizontal Directional Drilling (HDD) or boring for the road crossings
• Welding and inspection.
• Coating and inspection
• Wrapping of joints.
• Ditching.
• Installation of valves.
• Tie-ins
• Laying fiber-optic cables
• Backfilling.
• Pigging.
• Hydrostatic test.
• Dewatering.
• Purging& commissioning.
• Manufacturing and fittings for valves rooms (including civil, mechanical, and electric
components).
Page 4 of 308
Page 4 of 308
ESIA study for EG-GIZA North Power Project – Mahmodia Power Plant Pipeline
Operation Phase
The operation phase is normally functioned through the central control unit through the
SCADA system. Normal maintenance and monitoring work will be performed including
patrolling to leakages and potential hazards detection. In case of leak detection, or damage in
parts of the pipeline, the damaged part will be isolated and the necessary action will be taken
according to the emergency response plan of GASCO.
Project Alternatives
The main target of the proposed project is to increase the natural gas supply to Mahmodia
Power Plant, in order to help meet the growing national demand. In case of having “No
Action”, Mazout (heavy fuel oil)/diesel fuel can be used to compensate this shortage despite
that there will be more polluting air emissions in case of transporting it through vehicles, and
even during its burning. In addition, since there is a local shortage in supplying
Mazout/diesel fuel, it will be mainly imported, and accordingly increase the load on the
national budget especially regarding the current foreign currency problems. Hence, the “No
Action” alternative is not accepted.
Several alternatives were considered for the route of the line, with the aim of avoiding as
much as possible, any residential areas with sensitive receptors, and major crossings of both
roads and waterways. Accordingly, the prioritization of certain pipeline route from the
environmental and social perspectives focus on shortening the pipeline length and
minimizing the associated expected social and environmental impacts. In addition, the choice
of the pipeline route put into consideration some technical aspects set by GASCO including
facilitating the accessibility of equipment, vehicles and personnel to the pipeline site during
the construction and maintenance activities by placing the path as much as possible near to
paved roads.
The chosen route passes adjacent to existing electricity poles to minimize the opportunities
of third party trespass on the gas pipeline. For the residential areas located near the pipeline
route, the pipeline will pass on the border of these areas (i.e. no intersection) to minimize
any negative effect on them.
Thus, this route aligns with GASCO‟s strategy which aims at choosing routes already
containing existing infrastructure (electricity poles) and minimizing intersection with
residential areas.
Positive Environmental and Social Impacts
Implementation of the proposed project is expected to lead to a number of positive social
and economic benefits, for example:
 The project is expected to result in the creation of job opportunities in the
construction phase, both directly and indirectly;
 Support the expansion of power generation projects;
Page 5 of 308
Page 5 of 308
ESIA study for EG-GIZA North Power Project – Mahmodia Power Plant Pipeline
 Expanding power generation will dramatically enhance the national electricity grid;
 Expanding the natural gas network will positively provide an energy source to local
industries which will indirectly create job opportunities;
 Expanding the natural gas network will enhance the national plans to increase the
number of natural gas household connections.
 Expanding the use of natural gas is a safer and more environmentally friendly source
of energy;
 Reduction of risks related to fires and leakage compared to liquefied petroleum gas
(LPG) used in “butagas cylinders”;
 Natural gas is relatively cheaper than LPG and electricity for the Egyptian economy;
 Foreign currency savings from minimizing imports of subsidized gas cylinders;
 Variation of the energy mix in order to reduce the dependency on imported fuel.

Environmental Impact Rating Summary

Table 1 -Environmental Impact Rating Summary

Phase Impact category Impact Rating
Low Medium High
Construction Air Quality x
Aquatic Environment x
Noise x
Ecological systems x
Land use x
Soil x
Traffic x
Archaeological Sites x
Natural disasters x
Hazards x
Waste disposal x
Public health x
Health and safety x
Existing infrastructure x
Temporary land acquisition x
Permanent land acquisition x
Waste accumulation x
hindering traffic
Operation Air Quality x
Aquatic Environment x
Noise x
Ecological systems x
Page 6 of 308
Page 6 of 308
ESIA study for EG-GIZA North Power Project – Mahmodia Power Plant Pipeline
Land use x
Soil x
Traffic x
Archaeological Sites x
Natural disasters x
Hazards x
Waste disposal x
Public health x
Health and safety x
Existing infrastructure x
Easement of the RoW x
Crop damage during x
maintenance

Main Construction Impacts

The main impacts expected during the project construction are as follows:
 Dust emissions during the construction phase due to the on-site activities (site
preparation, excavation, etc).
 The aquatic environment can be impacted in case of improper disposal of construction
wastes or debris in the waterways, and in case of improper disposal of water resulting
from hydrostatic testing.
 Increase in noise level resulting from the construction equipment, and other excavation
and construction works.
 The possibility of affecting the existing infrastructure such as water and wastewater
networks pipes, telephone connections. etc. during the construction activities
 Management of the different types of waste including domestic, hazardous and
construction waste, such as Soil, Concrete, Welding belts, used oils, starting from their
storage onsite until the final disposal.
 Occupational Health and Safety aspects.
 Natural disasters that might lead to delays in the work schedule
 Traffic impacts due to the increase in the number of trucks transporting construction
materials and equipment to the site.
 Effect on land use due to the excavation activities during the construction phase, and
also at road crossings with the pipeline path.
 Adverse effect on the flora and fauna in the project site, especially the agricultural areas,
during the season in which the construction activities will be undertaken.
Page 7 of 308
Page 7 of 308
ESIA study for EG-GIZA North Power Project – Mahmodia Power Plant Pipeline
 Accidents and hazards that may occur such as oil leaks from the equipment.
Main Operation Impacts
While the main impacts expected during operation are:
 In case of pipeline failure due to maintenance activities, accidents, sabotage or
trespass, this may lead to the release of a significant amount of natural gas which will
cause major risks to the surrounding communities and the environment.
 Natural disasters might lead to pipeline failure and accordingly the release of natural
gas, which will cause major risks to the surrounding communities and the
environment.
Social Impacts

During Construction
 Permanent acquisition of land for the establishment of the valve rooms (willing
buyer – willing seller approach): In such cases, the common rule of GASCO is to
provide full replacement cost for purchasing the land as per the market price under
satisfactory, agreeable and appropriate agreement. It might be roughly suggested that
each of the land plots (25m x 45 m) for each of the valve rooms is owned by one
farmer. Based on this assumption, 2 farmers are expected to sell their land to
GASCO for establishing the valve rooms.
 Temporary negative impact on the local livelihoods of farmers due to the temporary
acquisition of land and the subsequent impact of damaging crops. Farming, in most
of the cases, is the sole source of income for the affected farmers. The project
construction phase will necessitate temporary expropriation of about 1,133,825 m2 of
agriculture land during the construction. A Resettlement Action Plan (RAP) has
been prepared guided. The RAP involves a full inventory survey for the PAPs and a
valuation for the compensation that should be paid.
 Potential temporary inconvenience as result of the construction activities. This could
be in the form of accumulation of wastes (both construction and domestic waste in
the construction areas, associated odor, air emissions, especially dust as a result of
excavation. These impacts are of temporary nature and will be of very limited level of
severity, particularly since the construction activities will be in farms and not
populated areas
 Among the adverse social impacts is that the route will pass through a populated area
near Edku/Kafr ElDawar – Kafr El Dawar/Metobas roads – Abu Kir / Rasheed –
Page 8 of 308
Page 8 of 308
ESIA study for EG-GIZA North Power Project – Mahmodia Power Plant Pipeline
el Mahmoudya – Abu Homos. Since this area is densely populated it is
recommended to avoid open excavation and use HDD technology.
 Risks of damaging existing community infrastructure, especially water pipes that are
not mapped, can have detrimental social repercussions. Disruption of other utility
services such as electricity and communications can also be a nuisance to those
affected.
During Operation
 The possibility of a gas leakage or the occurrence of fires, which could affect the
residents in the area, is a concern.
 The other element is the possibility of extending the residential mass to the pipe line
routes, which could lead to encroachment on the line.
 Additional crop damage as a result of maintenance or surveillance activities is also a
possibility.
 The perception among the population that the market value of the land is expected
to decrease after construction of the pipeline. Although GASCO guarantees that
almost all types of crops can be cultivated in the land as indicated in the RAP study.
Generally farmers perceive the installation of the pipeline as decreasing the value of
the land. Several consultation activities were held and will also be conducted during
the construction to explain to the farmers that they can cultivate any types of crops
hence no impact on the value of the land.

Page 9 of 308
Page 9 of 308
ESIA study for EG-GIZA North Power Project – Mahmodia Power Plant Pipeline
Environmental and Social Management Plan (ESMP)
The following Tables show the ESMP outline for the proposed pipeline during the construction and operation phases.
Table 2 -Environmental and Social Management Plan (ESMP)
Potential Proposed Mitigation Responsibility of Responsibility of Estimated Cost
Environmental Impact Measures Mitigation direct supervision
Construction Phase
Air emissions  Implementation of Contractor GASCO HSE site General
regular maintenance supervisor Implementation/supervision
schedule for machinery cost: 13000 EGP/month
 Ensuring that vehicles
and equipment will not
be left running
unnecessarily to reduce
gaseous and exhaust
emissions from diesel
engines
Dust Emissions  Water spraying before Contractor GASCO HSE site General Implementation/
excavation, filling, supervisor supervision cost
loading and unloading
 Spraying of stockpiles,
storage in covered areas
 Using paved routes to
access the site wherever
possible.
 Sheeting of Lorries
transporting friable
construction materials
Page 10 of 308
Page 10 of 308