E1138 Volume 3 FEDERAL GOVERNMENT OF NIGERIA Second National Urban Water Sector Reform Project (NUWSRP2) ENVIRONMENTAL AND SOCIAL MANAGEMENT FRAMEWORK (DRAFT-FINAL VERSION APRIL 2005) U~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ Table of Contents List of Acronyms ...................................................... 3 1. Executive Summary.4 2. Introduction ...................................................... 10 3. Description of Proposed Project ................................................... 13 4. Baseline Data ...................................................... 15 5. Description of World Bank Safeguards Policies and Triggers ...................................................... 25 6. Description of the Administrative, Policy, Legislative and Regulatory Framework ...................................................... 30 7. Determination of Potential Environmental and Social Impacts ............... 40 8. Institutional Assessment and Framework for Environmental and Social Management ...................................................... 49 9. Environmental and Social Planning, Review and Clearing Process for Participating State Water Agencies (SWA's) Sub Project Activities to be funded under the Project ........................................ 55 10. Monitoring Plan ...................................................... 60 11. Consultation Plan ...................................................... 67 12. Analysis of Alternatives ...................................................... 69 Annexes Annex A: List of Officials Consulted during the Preparation of the ESMF.....71 Annex B: Summary of World Bank Safeguards Policies .......................... 72 ' Annex C: Terms of Reference for EAs/ESIAs required of the SWAs ............ 75 Annex D: General Environmental Conditions for Construction Contracts ...... 77 2 LIST OF ACRONYMS EPAD - Environmental Protection and Assessment Department ESIA - Environmental and Social Impact Assessment. ESMF - Environmental and Social Management Framework. FEPA - Federal Environment Protection Agency (now FMEnv). FGN - Federal Government of Nigeria. FMEnv - Federal Ministry of Environment. FMWR - Federal Ministry of Water Resources. FPIU - Federal Project Implementation Unit IDA - International Development Association IMM - Impact Mitigation and Monitoring (branch under the EIA division of FMEnv) LASEPA - Lagos State Environmental Protection Agency. LGA - Local Government Authority LSWC - Lagos State Water Corporation NUWSRP - National Urban Water Sector Reform Project NUWSRP2 - Second National Urban Water Sector Reform Project NWRI - National Water Resources Institute NWRP - National Water Rehabilitation Project NWSSP - National Water Supply and Sanitation Policy PCU - Project Coordination Unit PIU - Project Implementation Unit PSP - Private Sector Partner or Private Sector Participation. RBDA - River Basin Development Authority RPF - Resettlement Policy Framework RWSS - Rural Water Supply Strategy SEPAs - State Environment Protection Agencies SMWR - State Ministry of Water Resources SPRU - State Project Implementation Unit SRMC - Sector Reform Management Committee SWAs - State Water Agencies UCC - Utilities Charges Commission. 3 The Federal Government of Nigeria and the states are totally committed to address this problem. Water has a top priority in the governments development agenda, mainly due to the cross-cutting impact of safe water on health, productivity, and quality of life, with serious implications for poor and vulnerable communities. Therefore, the government of the Federal Republic of Nigeria is working to address these problems by recognizing the need to manage the water sector in an integrated and sustainable manner and has embarked on the preparation of a National Water Resources . Management Strategy (WRMS) to ensure proper management and development of its water resources. Among the strategies being promoted in the WRMS are considerations for a participatory approach which seeks to give the private sector an important role to play. In line with this strategy and following the successful implementation of the National Water Rehabilitation Project (NWRP) and laudable achievements recorded in the on- going First National Urban Water Sector Reform (NUWSRP1), the FRN requested the World Bank for support for the Second National Urban Water Sector Reform Project (NUWSRP2), which is to cover three states: Lagos, Cross River and a third to be identified during project implementation. Thus, this report covers Lagos and Cross Rivers State. The NUWSRP2 will emphasize financing for water system rehabilitation, increasing treatment capacity, and adding household and standpipe connections. It will also finance management interventions and strengthening. In addition, the project will entail management contracts for utility operations in Lagos and Cross River States and may help to finance these contracts. 1.2 Project Objectives The Project's principal development outcomes will be: (i) increased reliability and financial viability of selected urban water utilities; and (ii) increased access to piped water networks in selected urban areas. Progress toward these principal development outcomes will be measured through: (i) the increase in water delivered through existing and extended networks; (ii) improvements in cost recovery; and (iii) increase in the number of households having access to the piped water network. 1.3 Project Description The Project will be implemented in established urban areas of three states in Nigeria: Lagos, Cross River and a third to be identified during Project implementation. Implementing agencies will be the state water authorities (e.g. Lagos State Water Corporation, Cross River State Water Board ) and the Federal Ministry of Water Resources (FMWR). The Project will emphasize financing for water system rehabilitation, increasing treatment capacity, and adding household and standpipe connections. It will also finance management interventions and strengthening. The 5 Project also entails management contracts for utility operations in Lagos and Cross River States and may help to finance these contracts. The Project will have four components, the first of which precipitates the need for this ESMF: 1. Rehabilitation and Network Expansion: This component will include civil works encompassing: (i) rehabilitation of treatment plant(s) and transmission line(s); (ii) service area network rehabilitation and metering; (iii) network expansion; and (iv) additional works which may be identified at appraisal. These investments will be phased across the life of the project taking into account: (i) the need for an early increase in water production capacity from both surface and ground water resources; (ii) the need for early installation of bulk water meters and regulating valves in order to control the flows to respective service areas; (iii) the need for early restructuring in the operation of water transmission and water storage systems; and (iv) the need for rehabilitation/strengthening of the distribution systems over a longer time period. The component will also finance the purchase of vehicles and equipment. 2. Public-Private Partnership (PSP) Development: This component will support the state water authorities in their efforts to initiate and/or further develop the contracting of private sector operators for aspects of the water supply systems. 3. Service Sustainabilitv and Project Managzement: This component will assist the state water authorities through: (i) expert technical assistance in various areas, from institutional organization to financial management and R&D; (ii) financing critical operating costs; (iii) the design and implementation of a communication and stakeholder outreach programs; (iv) the purchase of office equipment and light vehicles; and (v) financing PIU running costs. 4. Institutional Development and Policy Reform: As a contribution to developing and implementing the sector's long-term reform and sustainability, this component will finance: (i) expert technical assistance; (ii) expert commercial and management assistance; (iii) studies to underpin reforming the regulatory framework for water supply and distribution; (iv) regulator training; (v) training and workshops; and (vi) River Basin Initiatives and MDG tracking. 1.4 Environmental and Social Requirements The FGN by its Federal and State Laws and Decrees and the World Bank's Operational and Procedural Policies, specifically OP 4.01 requires the government to prepare an Environment and Social Management Framework, ESMF, which establishes a mechanism to determine and assess future potential environmental and social impacts of the participating State Water Agencies (SWA's) subproject investments under the proposed NUWSRP2, and then to set out mitigation, monitoring and institutional measures to be taken during design, implementation and operation of these subprojects to eliminate adverse environmental and social impacts, offset them , or reduce them to 6 acceptable levels. This is precisely what is required at this stage of project preparation since the SWA's subprojects have not yet been identified. OP 4.01 further requires that the ESMF report must be disclosed as a separate and stand alone document by the Government of Nigeria and the World Bank as a condition for Appraisal. The disclosure should be both in country and at the Infoshop of the World Bank. The date for disclosure must precede the date for appraisal of the project. 1.5 Key Highlights of the ESMF The key highlights in this ESMF report are presented as follows: * Detailed and comprehensive environmental and social baseline data which will provide the environmental and social management process with key baseline information when identifying adverse impacts. The information contains data on Nigeria's bio-physical environmental features such as its ecosystems, geology, hydrology in terms of ground and surface water resources, major and sensitive wetlands, flora and fauna. On social baseline the report discuss the main features of Nigeria's demographics, public health features, poverty and users of water resources. * A through review of the World Banks Safeguards Policies is made. The triggered policies are: - OP 4.01 Environmental Assessment - OP 4.04 Natural Habitats - OP 4.12 Involuntary Resettlement - OP 4.37 Safety of Dams - OP 7.50 Projects on International Waterways. The report includes a summary in Annex 2.0 of all the Bank Safeguards Policies. * The administrative, policy, legislative and regulatory framework in Nigeria for the Water Sector in particular and for environmental management in general is presented in chapter 6.0. * Generic potential adverse Environmental and Social Impacts from anticipated project activities are presented in detail in chapter 7.0, with causes and corresponding mitigation measures. * Since this is a framework, it is expected that during project implementation, the SWA's will prepare project-specific EAs/ESIAs and ensures that the selected contractors adhere to the general environmental management conditions for construction contracts (attached as annex 4) The roles and responsibilities of key institutions for the purposes of this ESMF are discussed in Chapter 8.0 and summarized in Table 8.1 next page. 7 Summary Table of Institutional Framework for Environmental and Social Management. Institution Tasks/Activities Federal Project Implementing Unit (FPIU) at Federal Ministry of Project Coordination and Oversight; reporting to IDA Water Resources(FMWR) Federal Ministry of Environment Review and clearance of ESIA's; Monitoring SEPA's (FMEnv) and reporting to FMWR. State Environmental Protection Review and clearance of ESIA's; Monitoring SWA's Agencies (SEPAs) and reporting to FMEnv. State Project Implementation Unit (SPIU) or the State Water Agencies Prepare ESIA's; Self monitoring and reporting to (SWAs) SEPAs, FMEnv and FMWR. Chapter 8 also proposes a training program at a Cost of US$ 60,000 * The Environmental and Social Management process is contained in Chapter 9.0 with the following key features; - Preparation of an Environmental and Social Impact Assessment (ESIA). Each and every participating SWA (Lagos State Water Corporation and Cross River State Water Board) is required to prepare an ESIA for their sub project/activities to be funded under this project . Incorporate Mitigation Measures into the Design. The SWA's will re-introduce into/adjust/adapt/revise their sub project technical and engineering designs (i.e. drawings , specifications for materials, workmanship, Bills of Quantities, contract clauses, etc.) and the required mitigation. measures identified in the prepared sub project ESIA, before submission of the entire sub project proposal ( Technical Designs and ESIA) for review and subsequent clearance. In addition, they will need to ensure that civil works contractors adhere to the general environmental management conditions for construction contracts (attached as annex 4) by incorporating these guildelines in contracts 8 Submit Proposals to respective State Environmental Protection Agency (SEPA) and to the FMEnv. The respective SEPA (LASEPA in Lagos State and EPAD in Cross River) of the state in which the participating SWA is located and the FMEnv will review and clear the sub projects from an environmental and social standpoint only, by ensuring sub project designs have identified environmental and social impacts, addressed mitigating measures and have monitoring plans and institutional measures to be taken during implementation and operation. Approval for Funding. Only when the SEPA's and the FMEnv have given environmental and social clearance of the SWA sub projects , will they be referred for approval for funding. Costs of Preparing the required ESIA 's is estimatedat US$20,000. * Chapter 10 contains a detailed Monitoring plan, with verifiable indicators, monitoring roles and responsibilities and costs to implement this plan. A lump sum of US$ 500,000 should be set aside to cover the implementation of the monitoring plan. Chapter 11 presents the Consultation plan. The total cost for environmental and social management of the NUWSRP2 is estimated at US$ 580, 000. 9 2.0. INTRODUCTION In line with the National Water Resources Management Strategy (WRMS) and following the successful implementation of the National Water Rehabilitation Project (NWRP) and good implementation progress recorded in the on-going First National Urban Water Sector Reform (NUWSRP1), the Federal Government of Nigeria (FGN) requested the World Bank for support of its Second National Urban Water Sector Reform Project (NUWSRP2) to cover three states: Lagos, Cross River and a third to be identified during project implementation. The NUWSRP2 will emphasize financing for water system rehabilitation, increasing treatment capacity, and adding household and standpipe connections. It will also finance management interventions and strengthening. In addition, the project entails management contracts for utility operations in Lagos and Cross River States and may help to finance these contracts. In Lagos, the project will focus on the three areas targeted for management contracts, namely Ikeja, Ikoyi, and Lagos Island, as well as works at the Adiyan and Akute Iju intakes and treatment works. In Cross River, the four urban areas to be included are Calabar, Obudu, Ogoja, and Ikom. Therefore, in compliance with Federal and State laws of Nigeria and the World Bank's Safeguards Policies, the Government of Nigeria, Represented by the Federal Ministry of Water Resources has prepare this Environmental and Social Management Framework ( ESMF) , to establish a mechanism to determine and assess future potential environmental and social impacts of the NUWSRP2, and then sets out mitigation, monitoring and institutional measures to be taken during implementation and operations of the proposed investments , to eliminate their adverse environmental and social impacts, offset them, or reduce them to acceptable levels. Essentially, the ESMF draws heavily from that of the NUWSRP1 and this has been revised as needed to reflect the characteristics and needs of NUWSRP2. These revisions largely concerns: - Project description, especially the participating states/urban areas - Environmental and social planning, review and clearing process for civil works packages; including World bank approvals of TORs and reports - Executive Summary The FGN is also further required to disclose this document in-country as a separate and stand alone document so that it is accessible by the general public, local communities, present and future customers of the water sector, potential project affected people, local NGO's and all other stakeholders and also at the Infoshop of the World Bank and the date for disclosure must precede the date for appraisal of the project. Since the project investments mentioned above have not yet been identified, the two participating States will be required to prepare a separate and stand alone Environmental 10 and Social Impact Assessment (ESIA), which would then subsequently have to be cleared by their State Environmental Protection Agency (SEPA) and by the FMEnv and the World Bank, prior to approval of their planned/proposed planned investments. These ESIA's would be the instruments through which the sub projects environmental and social impacts are identified and assessed. The ESIA's would also evaluate alternatives and design appropriate mitigation, management and monitoring measures. 2.1 Scope of Work The scope of work is to prepare an Environmental and Social management Framework (ESMF), which represents a framework for screening, monitoring, and mitigating potential impacts, with a process for triggering subsequent sub-project environment and social assessments, in all cases. Another safeguards instrument, the Resettlement Policy Framework (RPF) has been prepared as a separate document. The RPF establishes the resettlement and compensation principles, organizational arrangements and design criteria to be applied to meet the needs of the people who may be affected by the project activities requiring land acquisition and /or denial, restriction or loss of access to economic resources. These safeguards instruments (ESMF and RPF) will be disclosed before appraisal of this project. 2.2 Study Approach and Methodology The study was conducted by the consultant using the following approach and methodology; * Review of the NUWSRP1 literature including the Project Appraisal Document (PAD), the evolving draft Project Appraisal Document (PAD) of the NUWSRP2, the approved NUWSRP2 Integrated Safeguards Data Sheet (ISDS), Mission Aide Memoir's, Project Documents of NWRP, the ESMF and RPF of the NUWSRP1, the draft general environmental management conditions for construction contracts, the Constitution of the Federal Republic of Nigeria, numerous relevant Federal, State, and local laws, regulations, decrees, acts, policies and guidelines, World Bank Safeguards Policies and other relevant documents. * A field study to Lagos and Cross River States. During the visits discussions were held with relevant state ministries and agencies ( See Annex 1.0 for complete list). * Using the specific circumstances of each state visited, the particular technical operations of each State water agency or corporation was studied, their capacity to implement the proposed environmental and social management process and mitigation measures was assessed, and discussions held to determine appropriate recommendations for improvement in service delivery, mitigation, monitoring, institutional requirements and their training and capacity building needs. 11 * It was observed that the State Water Agencies (SWA's) remained extremely supportive of the planned NUWSRP2 and their level of support was evident in their enthusiasm to participate and their lively contribution to the discussions and field visits, and also in their verbal statements. In this spirit of commitment, support and ownership, the recommendations reached in this report were jointly agreed to as reflecting the needs of the SWA's and the SEPA's, and were thus seen as sustainable. * The discussions and consultations with the FMWR, SWA's and SEPA's proved invaluable in designing and coming up with appropriate solutions and recommendations that the SWA's could claim ownership of and thus ensure the sustainability of the project as a whole. The discussions and consultations were the backbone of the work done by the consultant. * Report writing. 12 3.0 DESCRIPTION OF PROPOSED PROJECT The project's principal development outcomes are to: (i) increased reliability and financial viability of selected urban water utilities; (ii) increased access to piped water networks in selected urban areas; and (iii) improve financial viability of the urban water utilities in the selected urban areas (in Lagos and Cross River). Progress toward these principal development outcomes will be measured through: (i) the increase in water delivered through existing and extended networks; (ii) improvements in cost recovery, especially the degree to which operating costs are recovered from water sales revenues in Cross River and Lagos States; and (iii) increase in the number of households having access to the piped water network The Project will be implemented in two states in Nigeria: Lagos and Cross River.Given the development objectives described above, the Project emphasizes financing for water system rehabilitation, increasing treatment capacity and adding household and standpipe connections. It will finance management interventions and strengthening. The Project also encompasses management contracts for utility operations in both states and may help to finance these contracts. The Project has four components: Component 1- Rehabilitation and Network Expansion: This component will include civil works to be executed in Lagos and Cross River State. Works will include the following: (i) rehabilitation of treatment plant(s) and transmission line(s); (ii) service area network rehabilitation and metering; (iii) network expansion; and (iv) additional works which may be identified at appraisal. These investments will be phased across the life of the project taking into account the following factors: (i) the need for an early increase in water production capacity from both surface and ground water resources; (ii) the need for early installation of bulk water meters and regulating valves in order to control the flows to respective service areas; (iii) the need for early restructuring in the operation of water transmission and water storage systems; and (iv) the need for rehabilitation/strengthening of the distribution systems over a longer time period. The component will also finance the purchase of vehicles and equipment. In Lagos, this component will cover Ikeja, Ikoyi, and Lagos Island, as well as works at the Adiyan and Akute Iju intakes and treatment plants. In Cross River State, the urban areas to be included under this component will be Calabar, Ikom, Ogoja, and Obudu Component 2- Public-Private Partnership (PPP) Development: This component will support the state water authorities in their efforts to initiate and/or further develop the contracting of private sector operators for aspects of the water supply systems. 13 Lagos State: The Lagos State Water Corporation's (LSWC's) vision for PSP in the sector is based on a prudent, stepwise approach which takes into account both the size of the water sector in Lagos and the current difficult environment surrounding international financial markets. The Project will support this approach by assisting the LSWC in contracting private sector operators to establish three Private Sector Units (PSUs) in the service areas of Ikeja, Ikoyi and Lagos Island. The Project will also support the implementation of a multi-year management contract for the principal treatment and bulk transmission systems. This component will finance costs associated with transaction design and tendering for the PSUs, as well as the private operator fees for the treatment and transmission management contract. Cross River State: Recognizing that Cross River State is already implementing a PPP arrangement, the Project will evaluate the current situation to ascertain the nature of support required by the Cross River State Water Board (CRSWB) to further improve the implementation of the PPP. At Appraisal, the current management contract which serves as the legal framework for implementing the PPP will be examined in more detail with a view to fashion out implementation arrangements that will ensure sustained and improved delivery of the services. The Bank notes that aspects such as strengthening supervision of the management contract, monitoring and auditing of performance and introducing pro-poor provisions are important. Component 3- Service Sustainability and Project Management: This component will assist the state water authorities (LSWC and CRSWB) through: (i) expert technical assistance in various areas, from institutional organization to financial management and R&D; (ii) financing critical operating costs; (iii) the design and implementation of a communication and stakeholder outreach programs; (iv) the purchase of office equipment and light vehicles; and (v) financing PTU running costs. Component 4- Institutional Development and Policy Reform: As a contribution to developing and implementing the sector's long-term reform and sustainability, this component will finance: (i) expert technical assistance; (ii) expert commercial and management assistance; (iii) studies to underpin reforming the regulatory framework for water supply and distribution; (iv) regulator training; (v) training and workshops; and (vi) River Basin Initiatives and MDG tracking. 14 4.0. BASELINE DATA 4.1 The Bio- Physical Environmental Features Nigeria is situated in West Africa lying between latitudes 4°00 N and 14°OON and longitudes 20500 W and 14045 E, bordered to its south by the Gulf of Guinea for about 850km, by the Republic of Benin to the West for 773km, Republic of Niger to its North for 1497km, Chad at its North Eastern Boundary ( water boundary) for 87km and Cameroon to its East for 1,690km. Nigeria has a total area of 923,768 sq. km of which the total land area is 913, 768 sq. km and 10,000 sq. km is water. Nigeria is blessed with abundant water resources estimated at 226 billion m3 of surface water and about 40 billion m3 of ground water. The main characteristics of Nigeria's geo-physical environment are southern lowlands that merge into central hills and plateaus; mountains in the southeast and plains in the north, with the lowest elevation point being at sea level (0 m) to 2,419m at Chappal Waddi. The Northern Ecological Region is comprised of the Sokoto Plains on the western end, the High Plains of Hausa territory in the center and the Lake Chad basin in the extreme northeast. The southern part of the Northern belt covers Bauchi, Gombe, Kaduna and Kebbi States . Geographically, the Middle Belt Region (MBR) lies between the rainforest region to the south and the Guinea Savanna to the north. Administratively, it is the home to eight states and the Federal Capital Territory (FCT) of the Federal Republic of Nigeria. The region is dominated by two main rivers of Nigeria, the Rivers Niger and Benue. The river Niger flows from Jebba to Lokoja, a distance of about 300km, and the Benue runs from Makurdi to Lokoja, a distance of 200km, forming extensive flood plains up to 10-15km wide on both banks of the rivers. At Lokoja where the rivers Niger and Benue meet, River Niger flows southwards into the southeastern part of the country where it forms into its delta (an area known as the Niger Delta comprising the States of Delta, Bayelsa, Imo, Rivers, and Akwa Ibom) consisting of many tributaries and estuaries as it empties into the Atlantic Ocean at the Gulf of Guinea. The landscape of southwestern Nigeria is basically divided into uplands and lowlands, with undulating topography covered by hills, while in the coastal part around Okitipupa, a rolling topography is punctuated by deep gorges. The climate varies from equatorial in the south, to tropical in the center and to arid in the north with rainfall patterns throughout Nigeria depending primarily on the interaction of the tropical maritime air mass and the tropical continental air mass which meet along the inter-tropical convergence zone (ITCZ). The annual average rainfall around the country is between 2000mm and 3000mm, while the temperature is between 200 C and 320 C. 15 The amount of rainfall is usually highest near the coast and decreases inland. The mean rainfall in Port Harcourt in Rivers State and Calabar in Cross River States is over 4000mm. In coastal areas like Lagos and Calabar, The climate is largely controlled by prevailing winds and nearness to the Atlantic Ocean. Marginal alterations have being recorded due to landform characteristics, especially the dominant ocean currents, configuration of surrounding shoreline and the generally flat topography of the region. The relative humidity near the coast at dawn is about 95-100%, and 70-80% in early afternoon, at maximum temperature. Seasonal variation is slight, but periods of a few days of very low humidity occur January - February when the "harmattan" reaches coast. A mean temperature of 270 C is obtained in most areas. The minimum temperatures are recorded around the coast around February, March and April. 4.1.1 Nigeria's Ecosystems Nigeria's ecosystems can be classified into seven distinct ecological zones, namely, the Sahel and Sudan Savanna in the Northern part; Guinea Savannah and Derived Savannah in the Middle Belt and Lowland Rain Forest; Freshwater Swamp and Coastal/Mangrove in the South of Nigeria. 4.1.1.1 The Northern Zone The northern part of Nigeria is situated in the Sudan Savannah belt where the natural vegetation is largely scattered trees and short grasses between the Sahel Savannah and the Guinea Savannah zones. The Sahel Savannah, which occupied only a small corner of the northern fringes of Sokoto and Borno States, is now spreading at the expense of the Sudan Savannah, which in turn is expanding southward, at the expense of the Guinea Savannah. The expanding desert in the north is considered to be one of the most severe environmental problems facing Nigeria. Desertification has been reported in Nigeria and other parts of West Africa since the 1920's. A combination of climatic ( climate change) factors and general increase in population and livestock pressure on the land and vegetation are accepted as the main causes of desertification. 4.1.1.2 The Middle Zone The vegetation within the Middle Belt Region can best be described as typical Guinea Savannah, characterized by woodland vegetation with tall grasses lying between the rainforest region to the south and the Sudan Savannah to the north. The Guinea Savannah is broadly divided into savannah woodland, park savannah and shrub savannah. The Jos Plateau, falling within the Middle Region, includes some inselberg landscapes, is generally undulating and marked by numerous domed or sugar-loaf hills and occasional 16 flat topped ridges. The elevation is approximately 300-600 meters above sea level. It is made up of metamorphic rocks, with eroded volcanic intrusions covering about 8000km2. There are also ring dykes, the most prominent of which is seen on the Kudar Hills, 80km west of Jos. The vegetation in the Jos area is leguminous wooded savanna on rocky outcrops, with shrub land. Gullies are extensive throughout the plateau, but are not as severe as those found in other states. The cause of gullies can often be attributed to Tin and other mining operations in the area. 4.1.1.3 The Southern Zone The southern ecological zone belongs to the high rainforest areas characterized by tall trees and various climbers and shrub undergrowth, with a relative replacement of timber trees by tall grasses northwards in parts of Ondo State. The coastline of Nigeria is relatively straight except for the broad indented delta region separating the eastern and western segments. From the coastline to about 1Okms inland is a strip of sandy deposits, broken by a succession of east-west lagoons and swamps. The mean altitude is 30 meters above sea level. Included in this southern region is the Niger Delta which extends a distance of about 350kms east to west and approximately 150kms inland. Most of the 10,000 km2 is made up of swampland with a few islands. The two major urban areas are Lagos and Port Harcourt. The soils are alluvial and are seasonally or permanently waterlogged. Forests and mangroves are found along the coastal creeks, estuaries and lagoons. The vegetation is dominated by varieties of the red mangrove trees. Many Nigerian mangroves lack adaptive features normally associated with plants in a brackish water environment; this is because the saline water is continually diluted by the many stream which flow into the lagoons. In many areas, the coastal vegetation has been reduced to dense thickets dominated by palm trees and lianas. This huge mangrove area has vast aquaculture and artisanal fishing potential which should be explored. In the Delta swamp, which has fresh water, the vegetation is quite different. Swamp forests occur extensively and contain slender trees with stilt roots. Where the forest has been disturbed, the raffia palm has spread very quickly to dominate the vegetation base. In the northern areas of the southern zone, is a tropical lowland rainforest zone. Over the years, human activity has removed most of the forest. Most of this area consists of deltaic alluvial sediments deposited by the Niger estuary which extend up to 280km inland. The soils in this area are highly weathered and infertile due to the humid tropical environment. In most areas, high population pressure no longer allow the traditional long fallows of rapidly regenerating secondary forest necessary to maintain the fertility of the farm land. Indeed, in the states of Imo, Anambra, Cross River and Akwa Ibom, with overall population densities exceeding 400 per km2, much of the land is under continuous cultivation. 17 4.2 Hydrology 4.2.1 Surface Water Resources Nigeria has a vast surface water system ( estimated at 226 billion mi3) including the two major rivers, the Niger and the Benue, which traverse the northwest and northeast portion of the country The confluence of these two rivers is at Lokoja, after which they (river Niger) flow southwards into a Delta at the Gulf of Guinea where it empties into the Atlantic Ocean. The River Niger is the most important river in Nigeria and it is the third longest in Africa. The Niger rises from the Futa Jallon High Lands in the Republic of Guinea, flowing for two thirds of its 4169km through Guinea, Mali, the Republic of Niger and enters Nigeria from the west and then runs south easterly to Lokoja, confluence with the River Benue. The Benue River, which has its source in the Cameroon flows southwesterly to its confluence with the Niger. There are several other rivers and quite a number of minor streams and rivulets that crisscross the entire Nigeria land mass. These include in the south, the Cross Rivers, the Osse, the Nun, the Anambra rivers, to the north, the Kaduna, Kano, Challawa, the Gongola and the Hadejia, to the west the Ogun and Osun and to the east the Oji River. As the Niger and its principal tributary the Benue, flow through the territory of nine other countries, this has raised many sub-regional, regional and international issues for development and management. These rivers in Nigeria can generally be classified as part of four principal river basins: the Niger River Basin, the Lake Chad Basin, the rivers of Cross and Imo and the Western Littoral. The Cross and Imo rivers systems rises in the Cameroon highlands where the annual rainfall exceeds 4000mm and the catchment is covered by dense rainforest. The Western littoral consists of a number of small basins such as the Ogun, the Oshun, the Owena and the Osse, in the south west of the country. The rivers of Nigeria and their tributaries serve as the source of raw water for most of the State Water Companies in Nigeria which is treated and channeled as potable water for the urban and peri-urban centers, which are the focus of the NUWSRP2. For the two selected states, the main river systems used as the main source of water by their utility boards in those states are as follows. * The main river systems in Cross River state are tributaries of the Anambra river basin and the Cross River Basin. The major tributaries being the Nyaba and Atavu rivers from the Udi escarpment flowing eastward into the Aboine. 18 * In Lagos State, the main river system is the ogun coming from the north and east of the state. 22% of the waters consist of lagoons and creeks. Prominent among these are Lagos and Elk lagoon, kuramo, badagry and five cowrie creeks. 4.2.2 Ground Water Resources Generally, geology in Nigeria may be divided into roughly two equal major unitary areas; (i) the Crystalline Rock area referred to as the Basement Complex which extends mainly in the north-central, south central and eastern parts of Nigeria, representing a total area of 442.9 x 103 km2. (ii) the Sedimentary Deposit is to the north-western, north-eastern and central- southern parts of Nigeria representing a total area of 480.9 x 103 km2. A typical transverse profile of the ground consists of a dry clay top layer 4m thick, a moist sandy clay layer between 4-9m depth, and underneath a saturated sandy clay. Normally, in most areas ground water is available within 5m of the surface. Available data also indicate that the quality of ground water is also high. Ground water sources (accessed by boreholes) are used by state water companies generally as a secondary source to surface water, to add additional capacity and to meet new demand in relatively smaller urban areas. In most cases the quality of the ground water is of high quality and little treatment is required as natural filtration and sedimentation have occurred through seepage and percolation through sandy soils to the natural underlying aquifers. As stated in earlier parts of this section, the relatively high rainfall charges the water table adequately. Electrical conductivity of water is low, suggesting very low risk of salinity. The pH values are 6.2-6.4 and the total dissolved solids are low. Generally, the contents of Zn, Mn, Fe, Ni and B are also low and may not pose any problem to human consumption. 4.3 Nigeria's Water Ecosystems The state water companies reliance on raw surface water (rivers) as their main source for the provision of potable water to urban areas and the NUWSRP2 focus on enhancing their performance and capacity, inter alia, makes the critical understanding of the ecosystems around the river flood plains a pre-requisite for sustainable use of the rivers natural and economic resources. The activities of the participating state water utilities will directly impact on the critical ecosystems of the rivers that they extract raw water from. The activities of industry, local communities and the state water utilities and the requirements of the natural ecosystems necessary for perpetuity need to be balanced. Generally, the flood plains of the rivers are subjected to seasonal flooding and are naturally rich in nutrients deposited in the plains as the flood waters recede. Large volumes of sediment are seasonally discharged into the floodplains and help to renew the fertility of the soils. The abundance of water and the seasonal supply of renewed 19 alluvium make these soils fertile and suitable for rice and other crops, such as maize and sugarcane. The continuous cultivation of these soils, rainfall and unregulated application of irrigation water may have depleted or leached out basic cations, resulting in severe soil acidity. Most of these soils are therefore poor in organic matter, cation exchange capabilities and essential macronutrients such as nitrogen, phosphates and potassium, despite the fact that these flood plains receive annual silt deposits from flood waters. However, the soils of these flood plain areas are generally more fertile when compared to the sandy upland soils being used by farmers in those areas. Also of critical importance is the amount of industrial activity that depend on the rivers, upstream and downstream of the state water utilities treatment plants. Industrial activities include extracting raw water and deposit of contaminated waste (some treated, others only partially treated and in some cases they are not treated at all). The undisturbed natural ecosystems of the rivers and their flood plains are known to support varying degrees of natural vegetation complexities ranging from the treeless grassland/shrub thicket of thorny Acacia to the mixed tree/shrub/grass communities comprising browse (woody) plants and forage grasses. These river flood plains also carry vegetation complexes of varied floristic associations, such as Daniella oliveri and dominant tree savannahs with one or more other emergent/co-ordinant tree species such as Terminalia macroptera, Burkea Africana, Butyrospermum paradoxium, Parinari curatellifolia, among others. The rich vegetation of these areas provides natural refuge and nesting materials for waterfowl, other birds and animals and are a host to hundreds of species. About 20 species are palearctic migrants, of which four species breed in Nigeria. Wetlands are typical of much of Nigeria, with a mainly agricultural base, including the agro-pastoral communities of the north. The environment and its natural resources maintains Nigerian rural life and the local economy through the protection and maintenance of soil productivity, the recycling of nutrients, the cleansing of air and water, and the maintenance of climatic cycles. Also, the wetlands are a source of medicine, as well as other non-timber forest products (NTFP) critical to local communities. Among the ecological benefits, the wetlands play an important role by maintaining groundwater recharge in the floodplain. The dominant economic activities include fishing, extraction of forest products and subsistence agriculture. Main contributions include: collection of medicinal plants, block/brick making, potash, sand, pottery, grazing, gavel and irrigation. The local population also supplements its nutritional diet and income with a wide variety of forest products. The wetlands represent fragile ecosystems that are globally and locally important. These ecosystems support a significant rural population, providing production and consumption activities that are dependent on the healthy functioning of the ecosystems. The wetlands are, however under threat as a large portion of wetlands has already been lost to drought and upstream dams. To assure continued traditional use, maintaining water supply to the 20 wetlands would be preferable to indiscriminate diversion of river water in upstream areas. 4.3.1 Major Wetlands 4.3.1.1 The Hadejia-Jamaare Floodplain The Hadejia-Jama'are wetlands span the ecological zones of Guinea Savannah, Sudan Savanna and the Sahel. They were formed by the waters of the Hadejia and Jama'are rivers which converge to form the Komadugu Yobe river, flowing northeast into Lake Chad. This area receives about 600-700mm of rainfall per year, lasting from June to September. The wetlands are formed by the regular flooding of rivers during the rainy season. Due to droughts and construction of dams upstream, the inundated area has been reduced from 3200km2 in 1950 to an area of about 1200km2 today. The Hadejia-Nguru Wetlands are an important site for wildlife conservation and waterfowl in particular, and are deemed of international importance as breeding grounds for migratory birds contributing to global diversity. As such, they are the focus of Hadejia Nguru Wetlands Conservation Project, and under taken by the Nigerian Conservation Foundation and International Agencies to conserve migratory birds and natural habitat for the benefit of local communities and waterfowl population. The wetlands provide a range of natural resources and economic activities supporting the various livelihoods of the local communities. These include wet and dry season farming, fishing, fuel wood collection, livestock rearing, gathering of wild food resources and forestry. The Hadejia-Nguru Wetlands have long been recognized as an important center for fish production in the region, with an estimated market value of N489 million, for an estimated annual catch of 6000 metric tones of fish. The productive and consumer activities associated with the wetlands are believed to support a population of over 1.5 million people. Quite apart from their role in supporting fishing, agriculture and forestry, the Hadejia-Nguru wetlands in Northern Nigeria play a major role in recharging aquifers that are used by local communities for domestic water supplies. 4.3.1.2 The Niger and Benue Rivers Floodplains From Jebba to Lokoja, a distance of about 300km, the Niger frequently overflows forming extensive floodplains on either side extending in width to about 15km upstream and lOkm along the lower 80km. Also, along the 200km from Makurdi to the Lokoja confluence are extensive floodplains about lOkm wide, mostly along the south bank. About 50,000 ha (15%) of the lowland floodplains are located in the western part of the region ( Kwara and Niger states, 30% in the central part (Kogi, FCT, Nassarawa and Benue states) and about 55% in the eastern area (Plateau, Taraba and Adamawa states) 4.3.1.3 The Niger Delta The Niger Delta cuts across several ecosystems, namely; coastal/mangrove, freshwater swamp forests, lowland rainforests and derived savanna with small areas of intact natural 21 forest. It is a vast flood plain formed by the accumulation of sedimentary deposits washed down the Niger and Benue rivers. The high rainfall and river discharge during the rainy season, combined with the low, flat terrain and poorly drained soils, cause widespread flooding and erosion. A dynamic equilibrium between flooding, erosion and sediment deposition is the characteristic of the Niger Delta. The Delta has a high population density, with a current population estimated at about 27 million (National Population Commission, 2002), of which about 70% is rural. The Delta is an important oil producing region of Nigeria, yet the Niger Delta region remains poor, lacking in basic infrastructure and services with household energy still dependent on other (non petroleum) natural sources. Furthermore, pollution from oil drilling and leakage from pipelines has adversely affected the ecosystems and livelihoods of local communities of parts of the Delta. 4.4 Geology Geologically, Nigeria lies on the Southeast portion of the West Africa Craton. The geological setting comprises broadly sedimentary formations and the crystalline rocks of the basement complex. They occur more or less in equal proportions around the country. Lagos State falls within the Dahomey sedimentary basin, a basin known to have resulted from events associated with the break-up of Gondwana and subsequent opening of the southern Atlantic. Deposition was in a fault-controlled depression, bounded by faults and other tectonic structures of the Romanche Fault Zone on the west, and by the Benin Hinge line, also a major fault structure, on the east. Sediment thickness in the basin, which extends from Accra/Ghana to the Okitipupa Ridge, where it is separated from the Niger Delta, increases from north to south and from east to west within Nigeria. The soils of Nigeria vary in color, texture, structure and physical and chemical properties. The soils have low pH values (2.7-6), low organic matter, low potassium levels and variable phosphorus levels. They can be broadly grouped into main categories based on their parent materials, including Basement Complex Soils, Acid Sand Soils, Juvenile Soils on recent deposits and ferralitic Soils. 4.5 The Social Environmental Features 4.5.1 The Demographics According to the latest estimates, the population of Nigeria is approximately, 130million ( World Bank, Country at a Glance Report), which makes Nigeria the largest country by population, in Africa. The average population density of 141 persons per sq. km. The Northern Region has a population of about 49.6 million, the middle belt about 26 million and the Southern Region about 54.4 million. The annual average growth rate between 1995-2001 was projected at 2.6% and the urban population represented 47% of the total population or 61.1 million people. The illiteracy rate, which is an estimate of the percentage the population over 15years old that have not completed a primary school education level is 35%. 22 Lagos State is highly urbanised with 70 percent of its population living in urban centres. The population of Lagos State grows at 8 percent per year (compared with the national rate of less than 4 percent). Population density is 3,746/km2 and the state accounts for nearly 37 percent of Nigeria's urban population, most of them living in the metropolis. . Recent UN studies puts the population of the State at 13.42 million. Calabar, the capital of Cross River State has a population of about 400,000. 4.5.2 Ethnic Groups and Religion Nigeria, which is Africa's most populous country, is composed of more than 250 ethnic groups, the larger of which are the Hausa and Fulani, who are predominantly from the North represent approximately 29% of the population or 37.7 million people, the Yoruba, predominantly from the South ( South West) and represent approximately 21% of the population or 27.3 million people and the Ibo, predominantly from the East represent about 18% of the population or 23.4 million people. The other large groups are the Ijaw with about 10% or 13million, the Kanuri with about 4% or 5.3million, the Ibibio with about 3.5% or 4.6million and the TIV with about 2.5% or 3.3 million people. The Middle Belt region of Nigeria shows the greatest degree of ethnic diversity, particularly in Adamawa, Taraba and Plateau States. In Lagos State, the dominant ethnic groups are the Yorubas and Aworis, while the Efiks dominate Cross River. The religious groups in Nigeria include Muslims which make up about half of the population at approximately 65 million people, Christians at about 40% or about 52million people and the rest are of indigenous beliefs (10%) or about 13 million people. 4.5.3 Status of Urban Water Supply Rapid population growth has not been accompanied by an increase in the delivery of essential urban services such as water supply, sewerage and sanitation, and collection and disposal of solid wastes. It is estimated that currently only about 50% of the urban and 20% of the semi-urban population have access to reliable water supply of acceptable quality (i.e. something better than a traditional source). Overall effective urban water supply coverage may be as low as 30% of the total population due to poor maintenance and unreliability of supplies. Rural coverage is estimated at 35%. Except for Abuja and limited areas of Lagos, no urban community has a sewerage system, with the result that sewage and sullage either lie stagnant or are disposed through the storm water drainage system. The proportion of the population with access to safe facilities for disposal of excreta and waste water is lower than for water supply. The operational efficiency of the SWAs is unacceptably low as indicated by the monitoring indicators compiled under the National Water Rehabilitation Project (NWRP). Many of the states have been unable to provide statistics because of lack of reliable management information systems, and for those responding, non-revenue or 23 unaccounted for water (UfW) is very high, up to 63% reported for 1998. It is conceivable that UfW could be higher given the absence of metering of production and distribution. Additionally, the data reveals that insufficient financial resources, unmotivated staff, and a highly politicized tariff setting regime exist on the institutional side while, on the physical side, aging pipes, frequent breaks, unreliable and unstable supply of electrical energy or fuel, and treatment chemicals, and treatment works in poor condition, are common to most systems. Preventive maintenance is not a common practice and limited funds have led to under-investment in new and expanded capacity while preventing the periodic replacement of the aging components of existing facilities. Thus SWAs are currently unable to meet the existing demand for safe water within their respective cities and states. This puts increasing pressure on women's work, health and well being and children's education, given that the principal burden of fetching water continues to be borne by women and girls. The problems of large utilities are compounded by the inclusion of peri-urban areas surrounding the cities which come under the jurisdiction of the main utility. The menu of service choices available to residents of such peri-urban areas is drastically reduced even compared to the sporadic services offered to main city residents. Often such peri-urban areas remain a low priority in terms of investments due to a relatively higher number of illegal and/or squatter settlements on public land. Most are served by public standpipes on the system of the main utility, or by wells or boreholes. Some utilities have established kiosks for sale of water to consumers or water carriers in these peri-urban areas. In many cases, water carriers deliver water to the consumers who pay much more than the utility charges for their water, since they must pay both the utility charge for the water and the cost of labor of the carrier. 4.5.4 Public Health Features The increase in urban and peri-urban population over the years, coupled with the significant decline in the performance of the SWA's to provide potable water ( it is estimated that only 50% of the urban and 20% of the peri-urban have access to reliable water supply), and with poor or no acceptable sanitation or drainage infrastructure in many of these areas, the prevalence rate for diseases such as diarrhea, malaria, dysentery and other serious health conditions are high. 4.5.5 Poverty According to the World Bank , Country at a Glance report, 2001, the gross national income (GNI) per capita of Nigeria is US$290, which is significantly lower than the average of US$470 for sub Saharan Africa (SSA). It is estimated that 60% of the total population of Nigeria live below the poverty line. The average percentage of the urban poor ( i.e. % of population below national poverty line) is a staggering 45% compared with the SSA average of 32%. 24 5.0 Description of the World Bank Safeguard Policies and Triggers. * This ESMF has been designed so that all investments under the NUWSRP2 will comply with all Federal, State and local laws of Nigeria and the Environmental and Social Safeguard Policies of the World Bank . In this chapter, the Bank's safeguards policies and their applicability are discussed and in the subsequent chapter those of Nigeria are presented. The World Bank Safeguard Policies are; 1. Environmental Assessment (OP4.01, BP 4.01, GP 4.01) 2. Natural Habitats (OP 4.04, BP 4.04, GP 4.04) 3. Forestry (OP 4.36, GP 4.36) 4. Pest Management (OP 4.09) 5. Cultural Property (OPN 11.03) 6. Indigenous Peoples (OD 4.20) 7. Involuntary Resettlement (OP/BP 4.12) 8. Safety of Dams (OP 4.37, BP 4.37) 9. Projects on International Waters (OP 7.50, BP 7.50, GP 7.50) 10. Projects in Disputed Areas (OP 7.60, BP 7.60, GP 7.60) With respect to this project, following Bank policies apply. 1. Environmental Assessment (OP4.01, BP 4.01, GP 4.01) 2. Natural Habitats (OP 4.04, BP 4.04, GP 4.04) 3. Involuntary Resettlement (OP/BP 4.12) 4. Safety of Dams (OP 4.37, BP 4.37) 5. Projects on International Waters (OP 7.50, BP 7.50, GP 7.50) Thus, a complete description of the bank safeguards and their triggers for applicability can be found on the World Bank's official web site www.worldbank.org and summarized in Annex 2.0. 25 * 5.1 Environmental Assessment (OP4.01, BP 4.01, GP 4.01) This policy requires environmental assessment (EA) of projects/investments proposed for Bank financing to help ensure that they are environmentally sound and sustainable, and thus improve decision making . The EA is a process whose depth, and type of analysis depend on the nature, scale, and potential environmental impact of the activities proposed for funding under the NUWSRP2. The EA process takes into account the natural environment (air, water, and land): human health and safety; social aspects ( involuntary resettlement, indigenous peoples, and cultural property) and transboundary and global environmental aspects. The environmental and social impacts of the NUWSRP2 will come from the activities and investments to be made under Component 1 of the project. In Lagos State, civil works will be entirely rehabilitation of existing infrastructure involving only temporary inconvenience to adjacent properties and commercial activities, plus network extensions into an area east of Ikoyi beside existing and planned roads, the latter on unused land reclaimed from the lagoon. A minor existing environmental issue is the disposal of treatment plant sludge at Iju and Adiyan. Currently, the clarifiers do not work, and the slightly acidic sludge is discharged into small nearby rivers. River ecology and hydrology appears to be affected and, at Adiyan, the sediments are contributing to periodic flooding of a community road. In Cross River State, the environmental and social consequences of anticipated civil works are likely to be very minor to none, given normally responsible construction planning and management activties. However, since the exact technical details and location of the investments (in both Lagos and Cross River States) will not be identified before appraisal of this project, the EA process calls for the FGN, represented by the Federal Project Implementation Unit (FPIU) at FMWR, to prepare a Environmental and Social Management Framework (ESMF) document. This report will establish a mechanism to determine and assess future potential environmental and social impacts of the participating SWA's project investments under the proposed NUWSRP2, and then clarify mitigation, monitoring and institutional measures to be taken during implementation and operation of the project investments to eliminate adverse environmental and social impacts, offset them, or reduce them to acceptable levels. OP 4.01 further requires that the ESMF report must be disclosed as a separate and stand alone document by the FGN and the World Bank as a condition for Bank appraisal of the NUWSRP2. The disclosure should be both in Nigeria where it can be accessed by the general public and at the Infoshop of the World Bank. This ESMF stipulates that each State Project Implementation Unit (SPIU) - in this case the SWA's (Lagos State Water Corporation and Cross River State Water Board) will have to prepare an Environmental and Social Impact Assessment (ESIA), during project 26 implementation for their planned activities. Section 9.0 and Annex 3.0 sets the relevant process and requirements of the ESIA's. * 5.2 Natural Habitats (OP 4.04, BP 4.04, GP 4.04) The conservation of natural habitats, like other measures that protect and enhance the environment, is essential for long term sustainable development. The Bank therefore supports the protection, maintenance, and rehabilitation of natural habitats. Natural Habitats are land and water areas where (i) the ecosystems biological communities are formed largely by native plant and animal species, and (ii) human activity has not essentially modified the areas primary ecological functions. All natural habitats have important biological, social, economic, and existence value. Important habitats may occur in tropical humid, dry, and cloud forest; temperate and boreal forest; Mediterranean-type shrub lands; natural arid and semi-arid lands, mangrove swamps, coastal marshes, and other wetlands; estuaries, sea grass beds, coral reefs, freshwater lakes and rivers; alpine and sub alpine environments, including herb fields, grasslands, and paramos; and tropical and temperate grasslands. Therefore, the Natural Habitats policy may be triggered in certain cases because the investments proposed under this project would involve the extraction of raw water from Nigeria's rivers which contribute to the sustainability of critical ecosystems such as wetlands and flood plains. The natural ecosystems of the rivers and their flood plains are known to support varying degrees of natural complexities of flora and fauna. Therefore, this OP requires that activities funded under the NUWSRP2 that adversely impact these ecosystems are successfully mitigated so that the balance of the ecosystems are enhanced or maintained. No project activity that results in the significant reduction in the mean water level or completely drains a wetland area or floodplain due to extraction of raw water from a surface water source by the SWA's will be permitted. * 5.3 Involuntary Resettlement (OP/BP 4.12) This policy would be triggered when the planned activities of the SWA's cause involuntary taking of land and other assets resulting in: (a) relocation or loss of shelter, (b) loss of assets or access to assets (c) loss of income sources or means of livelihood, whether or not the affected persons must physically move to another location Land acquisition is expected to be minimal to none since civil works will largely be rehabilitation of existing infrastructure, and some extensions of treatment facilities within current plant boundaries, and of distribution networks alongside existing roads. Significant efforts are to be made in the design and screening stages of proposed SWA's project investments, to avoid impacts on people, land, property, including peoples access to natural and other economic resources, as far as possible. Nonetheless, uncertainties 27 about the nature and scope of civil works in the targeted states, if left unmitigated could result into displacement or loss of livelihood. Thus, OP 4.12 will be triggered. Therefore, a Resettlement Policy Framework (RPF) has been prepared by the government. The RPF sets the guidelines for the Resettlement and Compensation Plans (RAPs) that would have to be prepared when project activties triggers this policy. The RAPs would have to be submitted to the respective SEPA's and to the FMEnv for approval but would also have to be approved by the Bank as a condition for that particular investment. OP 4.12 requires the RPF to be disclosed both in Nigeria and at the Bank Infoshop before appraisal of this project can occur. * 5.4 Safety of Dams (OP 4.37, BP 4.37) The Bank may finance types of projects that do no include a new dam but will rely on the performance of an existing dam such as water supply systems that draw directly from a reservoir controlled by an existing dam, diversion dams or hydraulic structures downstream from an existing dam, where failure of the upstream dam could cause extensive damage to or failure of a new Bank-funded structure; and or irrigation or water supply projects that will depend on the storage and operation of an existing dam. Projects in this category also include operations that require increases in the capacity of an existing dam, or changes in the characteristics of the impounded materials, where failure of the existing dam could cause extensive damage to or failure of the Bank-funded facilities. The NUWSRP2 will under no circumstances fund the construction of new dams, large or small. However, the operations of SWA's depend either on the use of existing dams run, operated and owned by themselves in some states or in other states by the River Basin Development Authority (RBDA) of that state, for one or a combination of the following: i) as a reservoir ii) to manage water flow and levels in rivers iii) provision of raw water. The Dam Safety Report (DSR) prepared for NUWSRP1 covered the dams regulating water supply to Lagos, but not dams in Cross River State. The Owelobudu Dam regulating water supply for Obudu does need remedial work on the spillway. Thus, during preparation it was determined that the NUWSRP1 DSR would be extended to include Cross River State. The revised Dam Safety Report will be completed and disclosed to the public. * 5.5 Projects on International Waters (OP 7.50, BP 7.50, GP 7.50) This policy applies to the following type of international waterways: 28 (a) any river, canal, lake, or similar body of water that forms a boundary between, or any river or body of surface water that flows through, two or more states' The rivers Niger and Benue, each flow through at least one other neighboring country, and through Nigeria. (b) Any tributary or other body of surface water that is a component of any waterway described in (a) above. Many other rivers in Nigeria are tributaries of the Niger or Benue rivers. (c) Any bay, gulf, strait, or channel bounded by two or more states or, if within one state, recognized as a necessary channel of communication between the open sea and other states, and any river flowing into such waters. Projects on international waterways may affect relations between the Bank and its borrowers and between states (whether members of the Bank or not). The Bank recognizes that the cooperation and goodwill of riparians is essential for the efficient use and protection of the waterway. Therefore, it attaches great importance to riparians' making appropriate agreements or arrangements for these purposes for the entire waterway or any part thereof. The Bank stands ready to assist riparians in achieving this end. This policy requires the the FPIU at FMWR, to formally to notify riparians of the proposed NUWSRP2. Ikom draws its water from the Cross River which rises in Cameroon, thus triggering the Bank's International Waterways policy (OP 7.50). Nigeria does have a general agreement with Cameroon on the use of the river, notification under OP 7.50 will be done, since it is required under World Bank guidelines. The word "states" in OP 7.50 is referring to countries and not states within federated countries like Nigeria. 29 6.0 DESCRIPTION OF THE ADMINISTRATIVE, POLICY, LEGISLATIVE AND REGULATORY FRAMEWORK 6.1 Administrative Structure for the Water Sector at the Federal Level The Federal Republic of Nigeria (FGN), is a federation of 36 states2 and the Federal Capital Territory (FCT) in which the federal capital, Abuja is located. The Federal Ministry of Water Resources (FMWR), initially created in 1976, is responsible for formulating and coordinating national water policies, management of water resources including allocation between states, and approving development projects. Specifically the functions of the FMWR include: * Establishment and operation of the National Water Quality Laboratories and Monitoring Network and water quality standards. * Maintenance of database on water supply and sanitation facilities and performance. * Mobilization of national and international funding and technical support. Promote and coordinate other collaborative activities by other government and Non-governmental agencies in the sector. * Provide technical support and assistance to the state and Local Government Water Supply and Sanitation Agencies and the community water supply and sanitation committees. * Creation of an enabling environment for meaningful private sector participation in the sector. * Provision of a framework for regulation of private sector participation in water supply and sanitation. Under Decree 101, formulate laws for private initiatives in the water supply industry. * Assist individual agencies, and be responsible for the maintenance of the hydrological primary network. The River Basin Development Authorities (RBDA's) , now 12 in total, were also created in 1976 for planning and developing water resources, irrigation work and the collection of hydrological, hydro-geological and meteorological data. Their main involvement in potable water supply has been the provision of multi-purpose dams and the supply of water in bulk, some to urban water systems. The National Water Resources Institute (NWRI) was legally established in 1985 and is responsible to the FMWR for engineering research functions related to major water resources projects and training sector professionals and technicians. 2 The 36 states are: I )Abia, 2)Adamawa, 3)Akwa Ibom, 4)Anambra, 5)Bauchi, 6)Bayelsa, 7)Benue, 8)Borno, 9)Cross Rivers, 1O)Delta, I I)Ebonyi, 12)Edo, 13)Ekiti, 14)Enugu, 15)Gombe, 16)lmo, 17)Jigawa, 18)Kaduna, 19)Kano, 20)Kastina, 21)Kebbi, 22)Kogi, 23)Kwara, 24)Lagos, 25)Nassarawa, 26)Niger,27)Ogun, 28)Ondo, 29)Osun, 30)Oyo, 31)Plateau, 32)Rivers, 33)Sokoto, 34)Taraba, 35)Yobe and 36)Zamfara. 30 The Utilities Charges Commission (UCC) was established in 1992 to monitor and regulate utility tariffs, including those of State Water Agencies (SWA's). 6.1.1 Administrative Structure for the Water Sector at the State Level At the State Level, responsibility for potable water supply was traditionally entrusted to departments of the state governments, all 36 of them. In the 1970's, as the demand for potable water supply grew, most water departments of state governnents were gradually transformed into State Water Agencies (SWA's), to provide urban, semi-urban and, in some cases, rural water supply. Each SWA has, in general, been established under an edict to develop and manage water supply facilities within its respective state and to meet sound financial objectives. The SWA's are responsible to their state governments, generally through a State Ministry of Water Resources (SMWR) though in some cases under alternative arrangements. In some states, responsibilities for rural water supply remain with or have been transferred back to a state government department; additionally, in several states ( 22 currently), state rural water and sanitation agencies have been set up largely to implement some government/donor funded Rural Water Supply Strategy (RWSS) programs. 6.1.2 Administrative Structure for the Water Sector at the local Level At the Local Government Level, the Local Government Authorities (LGA's), of which there are 774 nationally, are responsible for the provision of rural water supplies and sanitation facilities in their areas, although only a few have the resources and skills to address the problem. Only few LGA's have rural water supply divisions that are able to construct small water systems such as open wells and small impoundments of surface water. 6.2 Administrative Structure for Environmental Management With regards to management of the bio-physical environment throughout Nigeria, the overall responsibility was held by the now defunct Federal Environmental Protection Agency (FEPA)3, which was absorbed into the Federal Ministry of Environment (FMEnv) in 1999. FEPA developed the National Policy on the Environment 1989, revised in 1995, with sustainable development as its goal. 6.2.1 The Federal Ministry of Environment (FMEnv) FMEnv's mandate includes the establishment of federal water quality standards and effluent limitations, protection of air and atmospheric quality, protection of the ozone layer, control and discharge of hazardous substances, inter alia and ensures that all 3 FEPA - all references to FEPA made in this document is in total realization that FEPA was absorbed into the Federal Ministry of Environment (FMEnv) in 1999 and therefore FEPA since then does not exist as an Institution. 31 major development projects in Nigeria are subject to mandatory Environmental Impact Assessment (EIA) pursuant to EIA Act. No. 86 (Decree No. 86) of 1992. Within FMEnv, there is an Environmental Impact Assessment Division, headed by a Director, to take all responsibility for EIA related issues and within the EIA division in FMEnv is the Impact Mitigation Monitoring (IMM) branch, with special responsibility for monitoring the implementation of Environmental Management Plans (EMP) contained in approved EIA's. 6.2.2 Federal Requirements for Environmental Impact Assessment (EIA) In addition to the guidelines for EIA , Decree No. 86 contains provisions for the screening of projects according to impact potential, including listed activities4 for which mandatory EIA preparation is required. I Category I projects will require a full Environmental Impact Assessment (EIA). * Category IT projects may require only a partial EIA, which will focus on mitigation and environmental planning measures, unless the project is located near an "Environmentally Sensitive Area" (ESA in which case a full EIA is required. * Category III projects are considered to have "essentially beneficial impacts" on the environment, for which an Environmental Impact Statement (EIS) will be prepared by the FMEnv. EIA's are then submitted to the EIA Division of the FMEnv for approval and monitoring of the project during implementation and operation based on an environmental management plan (EMP) in the EIA. 6.2.3 State Environmental Protection Agencies Decree No. 58 of 1958, as amended by Decree No. 59 of 1992, which established FEPA, also issued a federal directive to the states to establish State Environmental Protection Authorities. One of the two states i.e, Lagos have a functioning Environmental Protection Agency - Lagos State Environmental Protection Agency (LASEPA), established by the LASEPA edict of 1996. The edict spells out clearly the functions and authority of the agency, and also imposed restrictions on the release of toxic materials into the environment as well as responsibilities of industries whose operation are likely to negatively impact the environment. Specific functions of LASEPA includes: * monitoring and controlling of disposal of wastes generated within the State; 4Listed are activities that impact coral reefs, mangrove forests, small islands, tropical forests, areas with erosion-prone soils, areas prone to desertification, natural conservation areas, wetlands of national or international importance, areas which harbor threatened or endangered species, areas of particular scientific interest, areas of historic or archeological interest and areas of importance to threatened ethnic groups. 32 * monitoring and controlling of all forms of environmental degradation from agricultural, industrial and government operations; * monitoring of surface, underground and potable water, air, land and soils within the State to determine the pollution level as well as collect baseline data; * Co-operating with federal, state and local governments on matter and facilities relating to environmental protection The agency is also empowered to apply enforcement measures to control water, air, soil and noise pollution; effluent discharge standard and waste management. The edict also empowers the agency to combat environmental degradations in manufacturing premises and government operations; analyse samples of any substance found in any premises searched, etc Cross River Environmental Protection Agency (CREPA) no longer exist. With the creation of the Ministry of Environment in 1999, the Environmental Protection and Assessment Department (EPAD) was established under the ministry to assume the duties and implement the functions of CREPA Therefore, LASEPA and EPAD require by their respective state laws (edicts) that their SWA's prepare an Environmental Impact Assessment Report5 for activities planned under this project. The State Ministry of Environment in the states, set policy guidelines for the State Environment Protection Agencies to implement. The state ministries do not implement, enforce or monitor implementation of state environmental policies. That responsibility lies with the state environmental protection agencies (LASEPA in Lagos and the EPAD of the ministry of environment in Cross River). 6.3 Relevant Federal Policies 6.3.1 National Water Policy A National Water Supply and Sanitation Policy (NWSSP) was adopted in January 2000. The center-piece of this policy is the provision of sufficient potable water and adequate sanitation to all Nigerians in an affordable and sustainable way through participatory investment by the three tiers of government, the private sector and the beneficiary. The targets in the policy are; (i) to meet the national economic target of improving service coverage from 40% to 60% by the year 2003. (ii) extension of service coverage to 80% of the population by the year 2007. (iii) extension of service coverage to 100% of the population in the year 2011. The TOR's for the preparation of these EIA's is contained in Annex 3.0 of this ESMF. 33 (iv) sustain 100% full coverage of water supply and wastewater services for the growing population beyond the year 2011. The Policy sets consumption standards for; (i) Semi - urban (small towns) which represent settlements with populations between 5,000 - 20,000 with a fair measure of social infrastructure and some level of economic activity with minimum supply standard of 90 liters per capita per day with reticulation and limited or full house connections. (ii) Urban Water supply at 120 litres per capita per day for urban areas with population greater than 20,000 inhabitants to be served by full reticulation and consumer premises connection. Among the policy objectives is the requirement to guarantee free access for the poor to basic human needs level of water supply and sanitation services. The Policy Strategies are: (i) Increase service coverage for water supply and sanitation nationwide to meet the level of the socio-economic demand of the nation on the sector. (ii) Ensure good water quality standards are maintained by water supply undertakings. The WHO drinking water quality standards shall be the baseline for the national drinking water quality standard. (iii) Ensure affordability of water supply and sanitation services for the citizens. (iv) Guarantee free access for the poor to basic human need level of water supply and sanitation services. (v) Enhance national capacity in the operation and management of water supply and sanitation undertaking. (vi) Privatize water supply and wastewater services ( where feasible) with adequate protection for the poor. (vii) Monitor the performance of the sector for sound policy adjustment. (viii) Through Legislation, Regulations, Standards and laws for water supply and sanitation. 34 (ix) Reform of the water supply and sanitation sector to attain and maintain internationally acceptable standards. 6.3.2 The National Policy on the Environment 1989 The National Policy on the Environment, 1989 outlines strategies for water resources management, along with the Water Resources Decree No. 101 of the FMWR, and together they are concerned with: * Environmental Impact of Water Resources development at the planning stages. * Specification of water quality criteria for different users. * Establishment of adequate control and enforcement procedures. * Public health implications or water resources development projects. 6.3.3 Nigerian Environmental Management Act This act was drafted following the amalgamation of the Federal Environmental Protection Agency in to the Ministry of Environment (see section 2.1.2) but was never ratified. It repeals the 1988 Federal Environmental Protection Agency Decree #58 (amended #59 and #14) and establishes the FEPA as part of the Ministry with the Minister of Environment having primary responsibility for its implementation. It does not repeal any other environmentally related legislation. As well as the general environmental provisions, which include environmental sanitation and occupational health, it specifies the powers of authorised officers and penalties and fines. The Act gives the Minister the authority to grant environmental permits for prescribed activities which includes sand mining but not any other mining activities. 6.4 Existing Legal Provisions for Water and Sanitation Supply. At the Federal Level, there is a Decree for Water Resources, the Decree No. 101 that vets rights and control of water in the Federal Government which took effect from 23rd August 1993. There are also decrees establishing the River Basin Development Authorities and the National Water Resources Institute. At the State Level, the various State Water Authorities/ Boards and the State Rural Water Supply and Sanitation Agencies have enabling Acts setting them up to supply potable water to inhabitants of their respective states. At the Local Government Level, the various laws setting them up define rural water supply as one of their primary functions. 6.4.1 State Edicts 6.4.1.1 Edicts Setting Up the State Water Authorities/Boards (SWA's) Each SWA is set up through the provisions of state edicts which generally provide for the following; 35 * Establishment, Constitution and Functions of the Board. * Financial Provisions, Assets and liabilities of the Board. * Administrative Organization of the Board. * Powers and Procedure in Respect of Water Supply and Water Rates. * Accounts and Reports of the Board. * Offences. * Miscellaneous and General Provisions. The respective state Edicts generally give the following functions to the SWA's; * To control and manage all waterworks vested, or to be vested, in the Board under the provisions of the respective edict. * To establish, control, manage, extend and develop such new waterworks and to extend and develop existing ones as the Board may consider necessary for the purpose of providing water in order to meet the requirements of the general public, agriculture, trade and industry in the State. * To ensure that water is supplied to the customers thereof at reasonable charges and in potable quality and adequate quantity. * To organize the conduct of comprehensive research for the purposes of the Board from time to time on matters relating to its function under this Edict and to submit the result of such research to the Commissioner for the utilization of the same by him in the formulation of policy relating to the supply and usage of water in the State; and * With the right approval, to make arrangements and enter into agreements with any person, department, or office of the Government or any other body or institution, or to delegate authority to any of its members, officers, employees, servants or agents, for the exercise, performance, or provision by that person, department, office, body, institution, member, officer, employee, servant or agent as agent of the Board, or any of the functions, services or facilities which may be exercised, performed or provided by the Board under the respective state edict. The respective state edicts empowers the Boards (SWA's); * To adopt with or without amendments such master plans for the maintenance and development of its undertakings as its officers may prepare and submit from time to time. * To construct, reconstruct, maintain and operate waterworks and all other stations, buildings and works, necessary for the discharge of its functions. * To carry any water pipe through, across or under any street or any place laid out or intended as a street, and after giving reasonable notice in writing to the owner or occupier thereof, into, through or under any lands whatsoever without paying compensation, but making good any damage done. 36 This power is in direct contradiction to the provisions of the World Banks OP 4.12 Involuntary Resettlement and the provisions of OP4.12 must be complied with if the World Bank is to fund Part or whole of this NUWSRP2. * To abstract water from any lake, river stream, or other natural source. This ESMF sets out the conditions under Nigerian Law and the Bank's Safeguards Policies, for which this can be done in the project. Notably, abstraction of water from any lake, river stream, or other source under this project must be done consistent to the provisions of Bank Saferuards Policies OP 4.01 on Environmental Assessment, OP4.04 Natural Habitats, OP4.37 Safety of Dams and OP 7.50 Proiects on International Waters and this ESMF. * From time to time, to examine any surface or under-ground waters for the purpose of determining what, if any, pollution exists and the causes thereof. * To enter upon any land at anytime for the purpose of laying, examining, repairing or removing any water-pipe . This Power must also be exercised consistent with the provisions of OP 4.12 Involuntary Resettlement. * To construct public fountains in any street or other public place in the state. * To acquire, purchase, lease, mortgage, hold, construct, manufacture or maintain any property whatsoever whether movable or immovable, required for or in connection with the performance of its functions and to sell, dispose of, or otherwise deal with such property or any part thereof. This power must also be exercised consistent with the provisions of OP 4.12 Involuntary Resettlement. The details of the powers of each SWA varies from state to state and can be found in the respective edict of each state establishing the SWA. 6.4.2 Land Use Act 1978 The legal basis for land acquisition and resettlement in Nigeria is the Land Use Act 1978 and modified in 1990. The following are selected relevant sections: Section 1. Subject to the provision of this Act, all land comprised in the territory of each state in the Federation are hereby vested in the Governor of each state and such land shall be held in trust and administered for the use and common benefit of all Nigerians in accordance with the provisions of this Act. 37 Section 2. (a) All land in urban areas shall be under the control and management of the Governor of each State; and (d) all other land shall be under the control and management of the local government within the area of jurisdiction in which the land is situated. Therefore, according to the Land Use Act, all land in Nigeria is vested in the Governor of each State, and shall be held in trust for the use and common benefit of all people. The administration of land area is divided into urban land which will be directly under the control and management of the Governor of each State; and non-urban land, which will be under the control and management of the Local Government. The Governor of each State will have the right to grant statutory rights of occupancy to any person or any purpose; and the Local Government will have the right to grant customary rights of occupancy to any person or organization for agricultural, residential and other purposes. The Acts gives the government the right to acquire land by revoking both statutory and customary rights of occupancy for the overriding public interest. In doing so, the Act specifies that the State or Local Government should pay compensation to the current holder or occupier with equal value. 6.4.3 Other Relevant Federal and State Laws * FEPA Guidelines and Standards for Environmental Pollution Control in Nigeria, 1991. * The FEPA Harmful Wastes (Criminal Provisions) Decree No. 42, 1998. * The FEPA National Policy on the Environment, 1989. * FEPA National Effluent Limitation Regulations, section 18, 1991. * FEPA Pollution Abatement in Industries and Facilities Generating Waste Regulations, section 19, 1991. * Solid and Hazardous Waste Management Regulations of 1991. * Environmental Impact Assessment (EIA) Decree No. 86, 1992. * National Guidelines and Standards of Waste Management in the Oil Industry. 6.4.3.1 Lagos State Environmental Protection Agency Edict Lagos State established the State Environmental Protection Agency (LASEPA) in 1996. The edict spells out clearly the functions and authority of the agency, and also imposed restrictions on the release of toxic materials into the environment as well as responsibilities of industries whose operation are likely to negatively impact the environment. Specific functions of the agency include: * monitoring and controlling of disposal of wastes generated within the State; * monitoring and controlling of all forms of environmental degradation from agricultural, industrial and government operations; 38 * monitoring of surface, underground and potable water, air, land and soils within the State to determine the pollution level as well as collect baseline data; * Co-operating with federal, state and local governments on matter and facilities relating to environmental protection The agency is empowered to apply enforcement measures to make regulations to control water, air, soil and noise pollution; effluent discharge standard and waste management. The edict also empowers the agency to combat environmental degradations in manufacturing premises and government operations; analyse samples of any substance found in any premises searched, etc. 6.4.4 International Conventions Nigeria is also a party to other international agreements on Biodiversity, Climate Change, Desertification, Endangered Species, Hazardous Wastes, Law of the Sea, Marine Dumping, Marine Life Conservation, Nuclear Test Ban, Ozone Layer Protection and Wetlands. Examples are; * The African Convention on the Conservation of Nature and Natural Resources, 1968 * The Convention Concerning the Protection of the World Cultural and Natural Heritage, The World Heritage Convention, 1972. * The Convention on International Trade in Endangered Species of Wild Fauna and Flora, CITES, 1973. * Convention on Conservation of Migratory Species of Wild Animals, 1979. * The Basel Convention on the Control of Transboundary Movement of Hazardous Waste and Disposal, 1989. * The Framework Convention on Climate Change, Kyoto Protocol * The Convention on Biological Diversity, 1992 * The Convention on the Prevention of Marine Pollution by Dumping of Waste, MARPOL, 1972 6.5 Membership of International River Basin Commissions. Nigeria is a member of the following international River Basin Commissions: * Lake Chad Basin Commission (LCBC- - headquartered in N'djamena, Republic of Chad) * Niger Basin Authority (NBA - - headquartered in Niamey, Republic of Niger) 39 7.0 Determination of Potential Environmental and Social Impacts 7.1 General Background Information 7.1.1 Environmental There are three key national environmental problems facing Nigeria today, and they are; * Soil Degradation. * Water Contamination. * Deforestation. Other environmental problems that also give rise for concern are gully erosion, fisheries loss, coastal erosion, wildlife and biodiversity loss, water hyacinth, air pollution, oil pollution. Table 7.1 Severi y of Impact of Problem on: Problem Economic Growth Distributional Resource Integrity Equity _ _ _ _ _ _ _ Soil Degradation High High High Water High High High Contamination Deforestation High High High Gully Erosion Moderate Moderate High Fisheries Loss Moderate Moderate High Coastal Erosion Moderate Moderate Moderate Wildlife and Low Low High Biodiversity Loss Air Pollution Low High Moderate Water Hyacinth Moderate Low Low Application of this same criteria at the regional, state and local levels in Nigeria could substantially alter the severity of impact for each environmental problem. 4 This discussion will now focus on the problems impacting the water sector in general and on the NUWSRP2 in particular. 40 7.1.2 Causes of Water Contamination Poor sanitation and waste water treatment, inadequate solid waste disposal and storm drainage, weak institutions and poorly located water supply intakes have been identified6 as the key problems affecting water quality, and presenting significant water pollution problems and potential health threats. The contamination of water resources in Nigeria is caused by the discharge of untreated domestic, agricultural and industrial waste into water bodies, affecting downstream water supply in urban and rural communities. Pollution has also affected riverine and marine eco-systems in two important ecological zones; (i) in the Lagos Lagoon (through industrial and domestic pollution) and (ii) in the Niger Delta area (primarily because of oil spillages). In many of the urban areas, risk of contamination extend not only to surface water, but also to ground water because of relatively high water tables. In such situations where water tables are relatively high ( say, between lm-lOm below the land surface), leaching of solid wastes and seepage is a public health risk for the large urban population depending on ground water supplies. With regards water pollution through industrial effluents, as the proliferation of industrial activity grows rapidly, in-situ industrial waste treatment systems and plants (where present) seem incapable of satisfactorily addressing this issue. Textile plants, breweries, slaughtering factories, sugar refineries, pulp and paper plants, petroleum industry, SWA's , to varying degrees, all discharge raw, untreated and liquid effluents into open gutters, drains, streams, channels and lagoons. The effect of this sort of pollution renders surface waters and the underground water systems unsafe for human, agricultural and recreational use, destroys biotic life, poisons the natural ecosystems, and causes severe threats to human life. Water pollution, if uncontrolled, could represent a significant technical problem for the future management of the public water supply system. Not only is the treatment of such water costly, but in addition, the quality of this water, even after treatment, can be unsatisfactory from the point of view of health, odor, and taste. Secondary and often dangerous pollutants are also formed during treatment of low quality intake water, since in many cases, chlorine which is used for disinfection, results in the formation of organo- chlorine and other suspected carcinogens. The nature of the toxic waste from industry depends on the type of material the industry produces. For example, the textile industry produce waste water which has a high Ph and bears intense, toxic organic chemical and heavy metals from the processing of fibrous materials. The petro-chemical industry, on the other hand, emits oil, grease, and heavy metals from spillages, the deballasting process, and from accident. From the auto- industry, there are high levels of lead from the paints and scrap metals used and the pulp 6 See Towards the Development of an Environmental Action Plan for Nigeria, 1990, World Bank Report No. 9002-UNI 41 paper and plastic industries produce effluents which have high ratings of mercury and Lead ( Pb) content. 7.1.3 Problems associated with Water Hyacinths Water hyacinths are pervasive in many of Nigeria's waterways and have received considerable attention within the country as an environmental menace. Their proliferation can in some instances be exacerbated by water contamination, although the primary impact of water hyacinth is to disrupt the viability of waterways and the operations of traditional fishermen. Its potentially more serious impacts include choking of irrigation channels, infestation of irrigated fields and providing a breeding habitat for mosquitoes. 7.2 Positive Environmental and Social Impacts. The overall enviromnental and social impacts from planned activities of this project are lively to be positive as the NUWSRP2 offers the unique opportunity to address some of the key structural issues affecting the water sector in Nigeria and through the implementation of activities in two states. The potential beneficial impacts include the following: - Gain of time, especially for women and girls, that may be used for other, productive activities, and resulting gains in overall economic productivity; - Better comfort and domestic hygiene; - Reduction in water-borne diseases such as dysenteria and cholera - Capacity strengthening in the SWAs, and resulting in enhancement of organizational, financial and technical capabilities of SWAs The holistic approach of this project offers the opportunity to (i) implement fundamental structural reforms in this sector, (ii) institutional and legislative reforms to address many concerns in the sector including environmental and social issues, (iii) to provide capacity building measures to implement these reforms and (iv) to monitor the performance of the sector post project. 7.3 Activities of all Stakeholders on the Water Resources of Nigeria. Activities of the various users of water resources are interrelated and co-dependent to varying degrees on the activities of each user. One cannot separate the activities of one group of stakeholders from another in terms of addressing impacts their activities on water resources has on the environment and on communities who depend on these resources to sustain their livelihoods. Therefore, while the main stakeholders of this project are the SWA's, activities of other stakeholders in the water sector will have impacts on the water resources used by the SWA's and ultimately on the urban communities who are the consumers and ultimate beneficiaries of this project. Additionally, as the NUWSRP2 is designed from a sector wide and holistic perspective, the activities of other stakeholders in the water sector can 42 be addressed by this project in general, but more particularly addressed in this ESMF, in terms of their adverse environmental and social impact on the water resources used by the SWA's. The key stakeholders with significant impacts on water resources in Nigeria are: * The State Water Authorities/Agencies/Boards (SWA's). * Large, medium and small industries ( manufacturing, petroleum, agro-producing, etc.) * Agriculture ( farming, irrigation) * River Basin Development Authorities (RBDA's) In this pertinent to note that this EA document will more fit into the implementation of the first component - - Rehabilitation and Network Expansion. This component will entail the following: - Rehabilitation of treatment plant (s) and transmission line(s) - Service area network rehabilitation and metering - Network expansion - Additional works may be identified at appraisal. Since this is a framework, it is expected that during project implementation, the SWA's will prepare project-specific EAs/ESIAs and ensures that the selected contractors adhere to the general environmental management conditions for construction contracts (attached as annex 4). It is recommended that the general environmental management conditions for construction contracts be included by the FPIU at FMWR as a standard in all Request for Proposals (RFP) for EAs or ESIAs of water supply projects involving civil works. Essentially, the EA document or EA instrument to be used would not have to analyze routine impact management, only anticipated impacts peculiar or unique to that particular project setting will be analyzed. The table next page shows the potential environment and social impacts (with mitigating measures) as applicable to the NUWSRP2 project, especially as it concerns the first component of the project, which is the focus of this ESMF. Table 7.3 shows typical stages of water treatment plant activities, their impacts (positive and negative) and mitigating measures. 43 Table 7.2: Environmental and Social Impacts Activities Planned in Component 1. ImpactsMiiainM sue Planned Activities Positive Adverse Mitigation Measures a) Rehabilitation of water treatment gain of time, Contractors to clean sites/areas plants. especially contaminated from spillages and women and From negligent and leakages and to source backfill b) Expansion of capacity of water girls, gains bad practices of material and sand from treatment plants. in overall potential approved locations only and not economic contractors, from random mining local/close c) Rehabilitation of Existing Network. productivity. excavation of areas for this material. borrow pits for fill d) Expansion of reticulation network to Better comfort material and sand, Proper siting of distribution new areas. and domestic points, avoidance of low points, hygiene inappropriate avoidance of sites with poor transporting, storage drainage, or prone to water Reduction in and use of items retention or floods. water-bome such as cement, diseases. petroleum products, Suitable Storage and heavy equipment transportation of building Institutional and machinery, materials. strengthening contaminated or and training in construction sites. No use of banned, harmful and the SWAs hazardous substances according resulting in Impacts from water to Nigerian and/or international improved contamination, air standards. ( e.g. Asbestos) organizational, pollution, financial and disturbance of Provision of suitable and safety technical natural habitats and clothing, shoes and head capacities of delicate eco- protection for site staff. SWAs. systems. Adoption of best Health and Safety working practices/conditions. Work during approved and acceptable hours to minimize noise and effects of air pollution from their equipment. Effective and close supervision of construction activities. Legal Instruments to hold Contractors financially and in some cases criminally liable for adverse impacts that result from failure to implement contracted required mitigated measures. Employment of local, poor and vulnerable members of communities by civil works contractors and to use their services as much as feasible. Specific measures to be _____ _____ ____ _____ _____ ____ ____ _____ __ _ _____ _____ ____ addressed in ESIA reports. 44 Table 7.3: Impacts from Activities in the Water Treatment Plants Key/Typical Activities in Impacts Mitigation Measures Water Treatment Plants Positive Adverse f Step: Provision of Raw Implementation of measures in Water into Rivers. Flooding of river banks. Dam Safety report, especially ensuring that maintenance budget From Dams and Reservoirs Large quantities available to owners/operators to owned and operated by of water stored Dam Failure undertake preventive and SWA's or RBDA's, for controlled use corrective maintenance and early depending on what prevails in SWA's and warning/response for emergency in each state. irrigation during situations. dry spells. Weirs constructed across river channels downstream Weirs across rivers affects Monitor water levels downstream of raw water intake point water levels and flows for of weirs to ensure downstream to ensure sufficient water down stream users, users can sustain livelihoods. head upstream of intake. especially during dry season. 2 d Step: Raw Water i) Pollution of water, air and i)Carefully designed regimes for Extraction. natural habitats from safe operation and maintenance of lubricant and fuel leaks from these heavy equipments, and safe From river sources using operation of large suction transportation and storage of large electric and powerful pumps and large stand-by lubricants and fuel for same. Safe suction pumps. power generators (e.g. and suitable housing of pumps and 0.5mega watt). generators. ii)effects of reduction of ii) Maintenance of minimum water water levels due to excessive levels in rivers, downstream of extraction of raw water intake. Maintain good and reliable from rivers on downstream records of quantities of raw water users e.g. irrigated farms, extracted. Sensitization of fishermen, other industries). downstream users. Monitoring of water levels downstream of intake. iii) Also, excessive raw water extraction may lead to (iii) Draining of wetlands not possible draining of allowed. Regular monitoring of wetlands over time and effects on critical nearby disturbance of natural wetlands required. ecosystems. iv) Siltation on river bed to iv) controlled dredging and upstream soil erosion suitable disposal of material. exacerbated by water .___________________________ l _________________ extraction. 45 3rdStep: Sedimentation. Standard method is by i) Contamination of rivers i) treatment of sludge to rid off gravity flow after intake to when sludge is return pollutant chemicals in it either by reduce turbulence. Raw untreated downstream of in-situ treatment plant and then water is then mixed with intake, adding to pollution return to river or continuous re- Alom ( segregator) and pre- levels in water for cycling in water treatment plant. lime before water enters downstream users. clarifiers where the Do not just dump untreated sludge sedimentation process Contamination of land when on nearby land. occurs, producing sludge sludge is dumped untreated which is then extracted on site. from the system. The ii) Suitable storage of chemicals clearer water moves on by ii) Contamination of in secure bags and off the floor in gravity to the next step. surrounding land and nearby well ventilated and secure stores. water sources from Safe transportation of chemicals to inappropriate transport, mixing areas and for introduction storage, handling, mixing of into supply piping systems, and chemicals and leaks of pipes appropriate and safe disposal of supply chemicals into wasted and left over chemicals. system Regular inspection and repairs of piping systems. 41h Step: Filtration. Water now enters the i) contamination from Suitable disposal of filtered waste filtration process which is inappropriate disposal of through sludge treatment plant or - through compacted sand filtered waste material. re-cycling method. No dumping on filters (progressive site allowed. compaction pattern of ii) and waste material from different sizes of sand grain sand filters cleaned by back- particles). wash. 46 5th Ste,: Clear Water Ouality Control/ i) Contamination of i) Suitable storage of chemicals in Chemical Treatment: surrounding land and nearby secure bags and off the floor in water sources from well ventilated and secure stores. Immediately after the Safe and potable inappropriate transport, Safe transportation of chemicals to filtration process, the clear water produced storage, handling, mixing of mixing areas and for introduction water is tested to determine has good positive chemicals and leaks of pipes into supply piping systems, and quantities of Lime ( to impacts on the supply chemicals into appropriate and safe disposal of balance Ph) and chlorine ( environment and system. wasted and left over chemicals. to kill harmful micro- public health of Regular inspection and repairs of biological organisms.) to be the citizenry. piping systems. added. Each SWA has a Water ii) Lab services need to be Quality Control Lab in the ii) Quality and reliability of drastically improved. water treatment plant. lab services in terms of adequate lab technicians, Better and modem equipment frequency of testing regime, needed and guarantee of supplies compliance with testing required. Some labs often run out regime, reliability and of testing material. suitability of equipment, close supervision of staff Better trained water chemist, and other due diligence biologist and other water scientists practices, is questionable. in labs. required. There is insufficient Better testing regime and frequency of testing at improved frequency of testing various stages. required. There is no testing for the Testing must include the presence of harmful determination of harmful chemical chemical substances. substances too and effective Generally the presence of treatment or emergency plans harmful chemical substances where the presence of dangerous such as mercury, lead, levels detected in water leaving the arsenic and cyanide is not filtration stage required. conclusively determined. Chlorine works against Closer supervision of lab. staff microbiological substances required. only. Apparently, chemical tests Introduction of a Watch Dog body responsibility of State required ( see later sections) to environment agencies only. monitor these measures. 6th Step: Bulk Storage of Clean Water. i)Poor security around Bulk i) Need to completely fence off Potable treated water is storage tanks, presenting perimeter around water treatment now pumped to bulk opportunities for sabotage, plants, better and more secure storage/balancing tanks. terrorism etc. manhole covers on tanks, more frequent testing of water in bulk In some cases the water in storage before it is pumped out for these tanks is tested again ii) poor recording keeping. distribution. to check that the Ph level is Unable to independently balanced, absence of micro- determine efficiency of plant ii) Introduce a records biological substances, in terms of losses from Database/MIS . turbidity and other tests. calculation of intake and output quantities. 47 7h Step: Distribution to Network. i)Gravity feed from i)More pollution from overhead tanks into significantly greater waste reticulation network. water inappropriately disposed off. ii) Distribution /connection to consumers, customers. ii) contamination due to illegal connections, leaks iii) network expansion. from burst pipes, and sanitation infrastructure in a state of disrepair can adversely impact environmental public health. The SWA's would have to introduce a maintenance and monitoring program that covers all stages of their operations. This program would have to be fully funded, with key institutional support, defined responsibilities and accountable to the top leadership, if adverse impacts are to be sustainably mitigated. This may require new legislation at both the federal and states level to enforce this requirement. Above all, a fundamental shift in attitudes of the employees of the SWA and their customers towards due diligence work, willingness to maintain standards and care for the environment is required. 48 8.0. INSTITUTIONAL ASSESSMENT AND FRAMEWORK FOR ENVIRONMENTAL AND SOCIAL MANAGEMENT 8.1 Institutional Roles and Responsibilities The main institutions with key responsibilities in this ESMF are: * 8.1.1 The Federal Ministry of Water Resources (FMWR) The role of the Federal Ministry of Water Resources (FMWR) in this project is one of coordination, promotion and policy development. FMWR's principal function is to ensure than an enabling legal, regulatory and policy environment at the federal level is in place to promote private sector participation (PSP) and involvement in water utility management. The FMWR is accountable for the overall coordination of the project among various participating states. The responsibilities of the FMWR fall in three main categories; (i) monitoring and evaluation, troubleshooting, quality assessment and control, and coordination, (ii) implementation of the federal component of the project, which includes support to non participating states, and (iii) information help desk on a range of procedural and project management issues including procurement, financial management, disbursement, performance benchmarking for water utilities, and other information which SPRU's are likely to seek. Specifically with regards this ESMF, the FPIU at FWMR will play an oversight role by monitoring the SPIU's (in this project/document, also to mean the state water agencies: Lagos State Water Corporation and Cross River State Water Board) to ensure that they are performing and carrying out their responsibilities as detailed in the approved ESIA. The FPIU will play this role by relying on the analysis of periodic reports of the respective SEPAs in the two participating states. These reports will be forwarded to the FMEnv for analysis of cumulative impacts and efficacy of corresponding mitigation measures. Thus the FMWR will perform a central processing and coordination role between the SEPA's and FMEnv on the activities of the SWA's by being a channel for receiving, compiling and processing periodic monitoring reports and for issuing necessary corrective guidelines and to report to IDA. In addition, the FMWR will monitor the social aspects of the ESIA's to ensure poverty targets are being met. The FMWR will report to the World Bank. * 8.1.2 Sector Reform Management Committee SRMC The Sector Reform Management Committee (SRMC) will be an ad hoc technical committee of experts, set up during Phase 1 of project implementation to inter alia, primarily assist and work with the FMWR to supervise the work of the Transaction Advisers (TA's), to launch bids for PSP and to make recommendation for award of PSP contracts. 49 * 8.1.3 The Federal Ministry of Environment (FMEnv) One of the primary responsibilities of the Federal Ministry of Environment (FMEnv) is to ensure that all maj or development projects in Nigeria are subject to mandatory Environmental Impact Assessment (ESIA) pursuant to EIA Act. No. 86 ( Decree No. 86) of 1992. Therefore, together with the SEPA's, the FMEnv will review and clear the SPIU's Environmental assessment documents. Another role the FMEnv will play in this project is one of monitoring, to ensure; (i) that the SPIU's are preparing ESIA's and submitting them to their respective SEPA's and their office, (ii) that the SEPA's are also reviewing the ESIA's and clearing them according to Federal Guidelines, State Laws and World Bank Safeguards policies, (iii) that the SEPA's are monitoring the activities of the SPIU's during construction and post-construction ( i.e. operations stage) at all locations in the state on which the SPIU's have facilities and installations, (iv) cumulative impacts at the federal level from any collective impacts of the SWA's activities are adequately mitigated and monitored at the state level. The FMEnv will report to the FMWR and will receive the periodic monitoring reports of the SEPA's through and from the FMWR. The activities of the FMEnv will be coordinated by the FMWR. * 8.1.4 The State Water Agencies/Authorities/Boards (SWA's) The State Water Agencies (SWA's) or the State Project Implementation Units (SPIU's) will be responsible ; (i) for complying with all Federal, State and Local Laws regarding the environment and with all social/poverty guidelines, parameters and targets set by the project, and of all triggered World Bank Safeguards policies, (ii) to conduct and prepare an ESIA report for their planned investments under this project and to submit the ESIA to its SEPA and to the FMEnv for clearance, (iii) to implement all appropriate mitigation measures identified in the ESIA into the project planning cycle, technical and engineering designs and drawings, and PSP contracts, (iv) to ensure that these mitigation measures are complied with during construction and post construction (i.e. operations ) stages of their activities, by self monitoring of their activities and by periodically reporting to its SEPA and the FMEnv, (v) to maintain an adequate budget to implement the appropriate maintenance procedures and practices of their operations required to ensure mitigation measures identified in their ESIA's are implemented and sustain, (vi) to ensure that contractors/consultants adhere to the General Environmental Management conditions for construction contracts and (vii) to comply with any directives that may be issued from time to time from the SEPA's and FMEnv. * 8.1.5 The State Environment Protection Agencies (SEPA's) The State Environmental Protection Agencies (SEPA's) are responsible; (i) to ensure the activities planned under this project by the SWA's comply with their states environmental laws and requirements, and that of the Federal Government and the World Bank's triggered Safeguards Policies, (ii) for receiving, review, commenting, requiring 50 revisions where necessary and clearing and approving the Technical and Engineering Design details of the SWA's and the mandatory and corresponding ESIA, (iii) in collaboration with the SWA's ensure that contractors/consultants adhere to the General Environmental Management conditions for construction contracts (iv) to perform regular and intrusive monitoring regime of the construction, operations and maintenance stages of the activities of the SWA's, (v) for preparing periodic monitoring reports on the activities of the SWA's at all stages of operations and to send these reports on a regular basis to the SPIUs who will send it to the FPIU at FMWR, who then process them and send them to the FMEnv and World Bank, (v) to comply with ( consistent with state laws) the directives of the FMEnv and FMWR, (vi) to issue directives to the SWA's consistent with state laws on enviromental requirements. * 8.1.6 The World Bank The World Bank has overall responsibility to ensure that its Safeguards Polices are complied with, and will perform this role by reviewing all periodic technical, financial and monitoring reports of the FMWR, FMEnv, SWA's and SEPA's and will issue all its requirements through the FMWR. The roles of these institutions for environmental and social management of this project are summarized in table below. Table 8.1: Summary Table of Institutional Framework for Environmental and Social Management. Institution Tasks/Activities Federal Project Implementing Unit (FPIU) at Federal Ministry of Project Coordination and Oversight; reporting to IDA Water Resources(FMWR) Federal Ministry of Environment Review and clearance of ESIA's; Monitoring SEPA's (FMEnv) and reporting to FMWR. State Environmental Protection Review and clearance of ESIA's; Monitoring SWA's Agencies (SEPAs): LASEPA and and reporting to FMEnv. EPAD of Cross River State Ministry of Environment State Project Implementation Unit (SPIU) or the State Water Agencies Prepare ESIA's; Self monitoring and reporting to (SWAs) SEPAs, FMEnv and FMWR. 51 8.2 Capacity Assessment to Perform Attributed Institutional Roles. 8.2.1 The Federal Ministry of Water Resources (FMWR) The FPIU at FMWR will manage and supervise the implementation of technical assistance sub-projects in the federal component of the project. Additionally, the FPIU will perform selected coordination tasks and serve as a resource and information help desk. The FPIJ is currently in place and consists of experienced staff who managed the recently completed Bank financed National Water Rehabilitation Project and the who are currently implementing the FMWR's components under the on-going first National Urban Water Sector Reform Project (NUWSRP1). The ESMF is recommending that those saddled with working on environmental and social concerns (as specified on the ESMF) on the NUWSRP1 be given additional responsibility of following up same issues on this project. Key responsibilities would be: * Coordinate, liaise with and monitor the SEPA's and FMEnv * Review periodic Environmental Audit reports from SWA's, SEPA's and FMEnv. * Advice FMWR on Environmental issues * Compile and prepare periodic Environmental reports for submission to World Bank * Review ESIA reports from SWA's. * Prepare TOR's for Poverty Studies such as, social/poverty assessment. * Review and comment of Poverty Studies * Monitor the performance of SWA'/PSP performance in meeting poverty targets/goals. * Review and compile periodic poverty performance reports from SWA's/PSP's and prepare periodic consolidated reports for FMWR and World Bank. 8.2.2 Federal Ministry of Environment (FMEnv) The roles of the FMEnv are (i) to review and clear in conjunction with the SEPA's, the ESIA's prepared by the SWA's and (ii) monitoring. The staffing levels at the EIA division of the FMEnv and the Impact Mitigation and Monitoring (IMM) Branch of the EIA division are sufficient with adequate experience to carry out these roles. For monitoring, this project would provide logistical and technical support to them to assist their work as per table 10.1. 8.2.3 State Water Agencies ( SWA's) The project is focused at the utility level, and therefore, implementation will be managed by the States. There will be a separate State Project Implementation Unit (SPIU) which is * the same as the participating utility at the state level. All technical assistance, institutional building, and investment sub-projects will be managed and supervised by a SPIU in each participating state. Each SPIU will be headed by a senior coordinator who will manage an inter-disciplinary staff comprising engineers, PSP transaction expert, low income 52 services advisor, and core communications staff. Basically, the staff of each SPIU are substantially in place. Since no institutional capacity exist in LSWC and CRSWB to implement and follow-up environmental and social concerns, the ESMF is recommending that these SWA's be strengthened by environmental and social management specialists seconded from LASEPA and the EPAD of the Cross River State ministry of environment. Key responsibilities of Environmental and Social Specialist at the SPIU: * The custodian of all environmental and social issues required of the SWA's. * Responsible for preparing the required ESIA for their state. * Ensure SWA's comply with all environmental guidelines of Federal, State and Local Authorities, and Bank Safeguards policies during investment planning, construction and operations. * Perform self monitoring of SWA's activities at all stages of operations. * Liaise with their SEPA and the FMEnv. * Prepare periodic environmental reports for submission to SEPA and FMWR. 8.2.4 State Environment Protection Agencies (SEPA's). The SEPA's will perform four key roles in their state in this project: * Review, comment and clear SWA's ESIA. * Monitor activities/operations of the SWA's.. * Enforce state laws. * Report to FMEnv and FMWR on a periodic/regular basis. The staffing levels are sufficient to carry out these roles. Key staff in these departments will be provided with training as per training program here below. The SEPA's will also be provided with limited financial support to procure necessary equipment as per table 10.1 . 8.3 Training Needs 8.3.1 Proposed Training Program Proposed Training Program Duration Environmental and Social assessment process lOdays *Review of Environmental and Social Management Process. * Screening processes to determine adverse impacts from SWA's activities. * How to measure cumulative adverse impacts * Preparation of terms of reference for carrying out ESIA * How to review, clear and approve the ESIA's * The importance of public consultations in the ESIA process 53 * How to monitor SWA's performance viz-a-viz poverty targets/requirements * Management of Water Quality Laboratories * Case studies Environmental and Social policies, procedures and guidelines 5 days * Review and discussion of Nigeria's federal and state environmental policies, procedures, and legislation; review and discussion of Nigeria's existing sectoral guidelines. * Review and discussion of the Bank's safeguards policies. * Review of ESIA and Resettlement /Compensation Plans. * Collaboration with institutions at the Federal, State and Local levels. Selected topics on environmental protection 2 days * Sustainable use of Water Resources and prevention of contamination * Soil Erosion during construction * Sanitation Management * Impacts and monitoring of Ground and Surface Water management 8.4 Cost estimates The costs estimates are based on the assumption that the training program will be held at the state level; resource persons are likely to come from other parts of the country and therefore require travel allowances; participants will come from the FMWR's, SWA's, SEPA's and FMEnv and attend during the day only but will receive a per diem. These estimates include an allowance for travel expenses. It is proposed that the training program will be implemented in each participating state and one in Abuja over the first two years of the project. It is estimated that one complete training module of 1 7days will cost in total about US$20,000. There will be 3 modules offered separately. The total training cost is estimated at US$60,000 54 9.0 ENVIRONMENTAL AND SOCIAL PLANNING, REVIEW AND CLEARING PROCESS FOR PARTICIPATING STATE WATER AGENCIES (SWA'S) ACTIVITIES/SUB PROJECTS TO BE FUNDED UNDER THE PROJECT. At the time the NUWSRP2 was being prepared, the activities (sub projects) of the participating two SWA's were not identified. Consequently, specific information on land requirements and other detailed engineering and technical details were not available. Therefore, exact details and intensity of social and environmental impacts and their effective mitigation could not be determined during project preparation. This document referred to as the Environmental and Social Management Framework (ESMF) is thus prepared to establish the mechanism to determine and assess future potential adverse environmental and social impacts from sub project activities (arising from the rehabilitation and network expansion component) of the SWA's that are to be identified and cleared based on the process identified in flow chart fig. 9.1 and then to set out mitigation, monitoring and institutional measures to be taken during implementation and operation of the sub projects to eliminate adverse environmental and social impacts, offset them, or reduce them to acceptable levels. This section therefore, identifies and illustrates the steps involved in the environmental and social assessment process leading towards the clearance and approval of SWA sub projects from an environmental and social management standpoint. This process is embedded into the overall timeline, phasing and project implementation process for the entire NUWSRP2. The steps in the flow chart incorporate the requirements of both, relevant Federal/ State laws and the Bank's triggered safeguards policies. 9.1 The Environmental and Social Management Process The key steps in the environmental and social planning process are: 1). Preparation of an Environmental and Social Impact Assessment (ESIA). Each participating SWA is required to prepare an ESIA for their sub project/activities to be funded under this project. Because of the anticipated size and scale of each participating SWA's sub project in terms of; (i) their funding envelope (ii) the extent of civil works required to rehabilitate and expand their existing network and coverage, (iii) the high technical standards required of their operations in a reformed sector, (iv) the need for extensive monitoring of their operations, and (v) the need for the activities of the SWA's to be economically and financially viable while requiring them to extend coverage to the urban poor as well. Nigerian laws and World Bank policies require that each participating state prepares a separate Environmental and Social Impact Assessment (ESIA)7 for their sub 7TOR's for the preparation of these ESIA's can be found in Annex of this ESMF. 55 project/activities to be funded under this project. These ESIA's are required to identify adverse environmental and social impacts from their planned sub project investments, then to set out mitigation, monitoring and institutional measures to be taken during implementation and operation of the sub projects to eliminate adverse environmental and social impacts, offset them, or reduce them to acceptable levels. These ESIAs will be prepared only during project implementation and subject to Bank's clearance before start of construction and/or rehabilitation. This broadly covers Steps 1 to 5 in flow chart fig. 9.1 2). Incorporate Mitigation Measures into the Design. The SWA's will re-introduce into/adjust/adapt/revise their sub project technical and engineering designs (i.e. drawings , specifications for materials and workmanship, Bills of Quantities, contract clauses, etc.) the required mitigation measures identified in the prepared sub project ESIA, before submission of the entire sub project proposal8 (Technical Designs and ESIA) for review and subsequent clearance. This covers Step 5 in flow chart fig. 9.1 3). Submit Proposals to respective State Environmental Protection Agency (SEPA) and to the Federal Ministry of Environment (FMEnv). The FMEnv and the respective SEPA of the state in which the participating SWA is located will review and clear the sub projects from an environmental and social standpoint only, by ensuring sub project designs have identified environmental and social impacts, mitigated these impacts and have monitoring plans and institutional measures to be taken during implementation and operation. The FMEnv and the SEPA's would verify that the sub project designs for the SWA activities in their state, meet environmental and social requirements of their state and national and federal requirements and that they are consistent with the Bank's OP 4.01, the overall NUWSRP2 ESMF ( i.e. this report) and other applicable and social policies and safeguards of the World Bank. The FMEnv and the SEPA's would also review and check for compliance with this EA process. If, however the sub project proposal unsatisfactorily addresses these issues it will be sent back to the SWA for re-design and re-screening and then it must be re-submitted to the FMEnv and the SEPA for re-review. The revised design and ESIA will be reviewed again by the FMEnv and the respective SEPA, and if now acceptable, it will be cleared. Any proposed sub projects that do not comply with the Federal, State and Local requirements of the Environmental Laws of Nigeria and Social requirement guidelines of Sub project proposal is the complete set of dossier including the engineering and technical designs and the ESIA report. 56 this project, and the requirements of the World Bank Safeguards policies will not be cleared. This process is designed to ensure that the environmental and social assessment process is part of and conducted during the sub project design process thereby ensuring that sub project activities are environmentally and socially acceptable and sustainable. That is to say that when SWA's prepare their sub project designs and proposals for funding, the sub project ESIA would simultaneously screen these designs to identify adverse environmental and social impacts of their planned investments, and then prepare as part of their proposal an environmental and social impact assessment, that presents the appropriate mitigation measures, and the institutional framework required for implementation, monitoring of mitigation measures and cost associated with these measures. Therefore, the SWA's submitted sub project proposal will contain planned investments and designs that have already been screened through the sub project ESIA and contain appropriate mitigation measures. The sub project ESIA screening process will be guided by the generic potential adverse and social impacts often associated with urban water service projects, outlined in Section 7 of this ESMF. This broadly covers Step 6 in Flow Chart Fig 9.1. 4). Approval for Funding. Only when the FMEnv and the SEPA's have given environmental and social clearance of the SWA sub projects, will they be referred for approval for funding to the SRMC/FMWR. This broadly covers Step 7 to 8 in flow chart fiq. 9.1 9.2 Costs of Preparing ESIA's There will be at two ESIA's prepared, one for each state. The cost of preparing good quality ESIA is estimated at about US$ 10,000/per ESIA which gives a total of US$20,000. 57 Prolect ImDiementaton Sb e of Phase I Conduct PSP Option Study in each Participating State to recommend St@D appropriate PSP opton: Lease, Convene workshop In each participating Service Contract, Management state of all stakeholders to approve PSP Ste@ I Contract, Concession, etc. Option based on study report. Transaction Adviser (TA) ^ - ~~~~~~~~Stea 4 Step 5 i) Conduct Willingness-to-pay and tariff studies. Conduct ESIA to Identify adverse impacts of ii)a in step 4 and design of mitigation measures to be Incorporated in ii) Detailed Investment Planning begins; producing among engineering and technical designs. other requirements: a) Engineering and Technical Designs for system Prepare RAP's based on disclosed RPF if necessary based Rehabilitation and Network Expansion. on ii)b in step 4. b) Land Assessment Needs. At the end of Step 6, Engineering StOp 6 and Technical Designs for the ESIA's, engineering and technical designs planned investments would have submitted to the FMEnv and the respective undergone the environmpental SEPA's for review and approval. pingpred I mpacts fully RAPS' also to be submitted to the FMEnv mitgated in the designs. and to the respective SEPA for approval. step 8 TA to launch bidding process on behalf of __ SRMC to seek PSP partner. TA will evaluate technical bids and make a recommendation to _ c)Continued Environmental and Social Management during a), b) and maintenance stage. End of Phase I Start of Phase 2 58 Fig. 9.1: Key Stages in Project Cycle 9.3 Environmental and Social Management Plan (ESMP) for State Water Authority investment plans/activities/sub- projects The Environmental and Social Impact Assessments (ESIA's) that the SWA's are required by this ESMF to prepare must contain an Environmental and Social Management Plan (ESMP) that will consist of a set of mitigation, monitoring and institutional measures to be taken during implementation and operations to eliminate adverse environmental and social impacts, offset them, or reduce them to acceptable levels. The ESMP ( which will be part of the ESIA's) should also include the actions needed to implement these measures, including the following features: Mitigation: Based on the environmental and social impacts identified in the prepared ESIA's, the ESMP should describe with technical details of each mitigation measure, together with designs, equipment descriptions and operating procedures as appropriate. Monitoring: Environmental and social monitoring during the implementation of the SWA's sub projects, in order to measure the success of the mitigation measures. The ESMP should include monitoring objectives that specify the type of monitoring activities that will be linked to the mitigation measures. Specifically, the monitoring section of the ESMP provides: * A specific description and technical details of monitoring measures that include the parameters to be measured, the methods to be used, sampling locations, frequency of measurements, detection limits (where appropriate), and definition of thresholds that will signal the need for corrective actions, e.g. the need for on-site construction supervision, or the need to test and treat for presence of harmful/poisonous metals such as Pb, Hg, etc. * Monitoring and reporting procedures to ensure early detection of conditions that necessitate particular mitigation measures and to furnish information on the progress and results of mitigation. The ESMP should also provide a specific description of institutional arrangements, (i.e. who is responsible for implementing the mitigation measures and carrying out the monitoring regime ( for operations, supervision, enforcement, monitoring of implementation, remedial action, financing, reporting and staff training.) Additionally, the ESMP should include an estimate of the costs of the measures and activities recommended so that the SWA's can budget the necessary funds. Similar to the process for carrying out the ESIA, the mitigation and monitoring measures recommended in the ESMP should be developed in consultation with all the affected groups to include their concerns and views in the design of the ESMP 59 10.0 MONITORING PLAN The objective for monitoring is two fold. 1) to alert project authorities and to provide timely information about the success or otherwise of the Environmental and Social Management process outlined in this ESMF in such a manner that changes can be made as required to ensure continuous improvement to the process. 2) to make a final evaluation in order to determine whether the mitigation measures designed into the SWA's project activities ( sub projects) have been successful in such a way that the pre- project environmental and social condition has been restored, improved upon or worst than before and to determine what further mitigation measures may be required. A number of indicators would be used in order to determine the status of affected people and their environment (land being used compared to before, number of customers compared to before, level of new investment in sanitation compared to before, how many poor customers connected to /served by SWA's compared to before, health standards, how many clean water sources than before, how many people employed than before etc). Therefore, the projects EA process will set two major socio-economic goals by which to evaluate its success: * Has the pre-project environmental state of natural resources, bio-diversity and flora and fauna, been maintained or improved upon, and * The extent to which access to water services by the urban poor and vulnerable communities has been improved upon. In order to assess whether these goals are met, the SWA's sub-projects will indicate parameters to be monitored, institute monitoring milestones and provide resources necessary to carry out the monitoring activities. The following are some pertinent parameters and verifiable indicators to be used to measure the ESMF process, mitigation plans and performance; For the ESIA process the following indicators may be considered/used; * Number of people at the FPIU at FMWR, FMEnv, SEPA's and SPIU's/SWA's who have successfully received ESIA training in screening methods etc., evaluate the training content, methodology and trainee response to training through feedback. * Number of SWA's who have adopted the ESMF process as required for all their sub project activities; evaluate the rate of adoption. * Number of SWA sub projects preparing the required ESIA. 60 * How has the adoption of the ESMF requirements improved the environmental health and bio-physical state of the customers of the SWA's. * Has the adoption of the ESMF processes by the SWA's resulted in improvements in the sustainable use of the states water resources. * Efficiency of SWA's maintenance and operating performance. * How many completed rehabilitated water treatment plants are in good working condition one year after completion. * How many SWA's have implemented an effective and working facilities maintenance program. * Out of the number of urban poor and vulnerable people/groups identified in each participating state in the Social Assessment Studies, how many of them are;(i) targeted for provision of access to urban water services , ii) at what rate are they being provided with access and (iii) how many have access to water services at the end of Year 1, Year 2, Year 3, Year 4 etc. in the project cycle. * How many SEPA's have adopted the ESMF processes. * At what frequency and rate are the SEPA's monitoring the activities of the SWA's at all stages. * How many SEPA's are up to date with their periodic monitoring reports. * Is the FMEnv receiving the periodic monitoring reports of the SEPA's and what are the main concerns of the FMEnv at this stage. * Is the FMWR receiving and compiling the periodic reports of the SEPA's and is it forwarding it to the FMEnv? * Overall assessment of (i) activities that are going well (ii) activities that need improvements and (iii) remedial actions required. * Are the processes identified in this ESMF working well. * Final Question: Based on the performance of the SWA's/PSP, what, if any changes to the ESMF or RPF is needed. Should there be additional training/ capacity building measures to increase the performance of the SWA's and SEPA's. 10.1 Monitoring Roles and Responsibilities 10.1.1 State Water Agencies/Authorities/ Boards: It is planned that the environmental and social impacts and their designed mitigation measures are to be monitored during implementation (construction/rehabilitation works) and operation including maintenance) stages of the SWA's sub projects. The roles and responsibilities for monitoring impacts and mitigation measures will be as follows ( capacity building needs to achieve and sustain this have been addressed in Section 8; The SWA's will be assisted by service providers to monitor the environmental and social impacts and mitigation measures of their own sub project activities as contained in their sub project ESIA's. These activities will include acquiring land to lay infrastructure connections and to operate water treatment plants, sub stations, sanitation infrastructure, etc. The SWA's will monitor and evaluate the environmental and social impacts of these activities and the mitigation measures designed, regularly and as frequently as specified 61 in the sub project ESIA's and will maintain suitable records to be made available to their respective SEPA. The SWA's will monitor the impacts and mitigation measures during all phases of their sub project execution cycle, from transaction stage in Phase 1 to construction, operations and maintenance executing stages in Phase 2. The SWA's will also be responsible for monitoring the environmental and social impacts and mitigation measures resulting from the action of their contractors, sub contractors, transporters, suppliers and all other third parties in the course of their duties under the sub project. Further, the SWA's would also be responsible for monitoring the environmental and social impacts and mitigation measures of their subproject activities at other locations beyond their project sites, at end user locations such as at the RBDA's ( monitor Dam sites), sanitation infrastructure sites, downstream of water treatment plants to monitor river water quality, etc. Therefore, wherever environmental and social impacts are attributable to their sub project activities the appropriate mitigation measures will apply consistent with the sub project ESIA, and they would be responsible for monitoring and evaluating the same. The SWA's will report to their SEPA and to the FMWR. 10.1.2 State Environmental Protection Agencies (SEPA's): The SEPA's will play the leading role of monitoring the activities of the SWA in their state. The SEPA's will carry out this role by ensuring that the sub project environmental and social management plan (ESMP) contained in the cleared sub project ESIA reports is being implemented as specified therein. That is to say that the SEPA's will monitor the SWA's monitoring procedures and reports on a regular basis, perhaps quarterly. They will rely on a bottom up feed back system to them from the SWA's by going through their monitoring reports and making regular site visits to inspect and verify for themselves the nature and extent of the impacts and the success or lack off, of the mitigation measures. The SEPA's will need equipment and transport to carryout their task effectively and this will be provided by the NUWSRP and is budgeted for later in this section. 10.1.3 The Federal Ministry of Environment (FMEnv): In addition to reviewing and clearing the subproject ESIA's, the role of the FMEnv will be monitoring as detailed in Section 8.1.3. They will perform this role by reviewing periodic reports from the SEPA's, prepare consolidated periodic monitoring reports and make spot/unannounced site inspections at the state level. The FMEnv will report to the FMWR. The FMEnv will need equipment and transport to carryout their task effectively. This has already been provided by the NUWSRPl project and some additional fund has also been budgeted for this (this will be seen later in this section). 10.1.4 The Federal Ministry of Water Resources (FMWR): The FMWR will be responsible for ensuring project compliance of the SWA's with the environmental laws of Nigeria and social requirements set by the NUWSRP2 project, but will be assisted as defined above by the SEPA's and the FMEnv. The FMWR will monitor their activities 62 by reviewing the consolidated periodic monitoring reports of the FMEnv and by conducting periodic technical audits of the SWA's. In conclusion therefore, the system for monitoring functions on a bottom up approach on the one hand in terms of placing monitoring responsibilities on the SWA's who are then supervised and monitored by the SEPA's who in turn are accountable to the FMEnv and the FMWR. On the other hand, this system is made functional by the transfer of technology, capacity building through training and technical assistance and, budget support in the top down direction. This system for monitoring is thus strengthened and sustainable and should yield successful results overall. This monitoring plan consists of a set of mitigation, monitoring and institutional measures to be taken during implementation/construction and operations of the participating SWA's and/or their contractors on sub project activities, to eliminate adverse environmental and social impacts, offset them, or reduce them to acceptable levels. The plan also includes actions needed to implement these measures. The monitoring plan specifies the monitoring measures to be carried out with linkages to the potential adverse impacts that would have been identified through a process contained in Section 9, by: 1. Scheduling and coordinating monitoring tasks. 2. Evaluating mitigation effectiveness 3. Identifying where applicable, corrective management practices 4. Ensuring that monitoring findings are suitably evaluated and incorporated into future management decisions. 10.2 Costs for Implementing the Monitoring Plan The FMWR will be responsible for implementing the monitoring plan. The SWA's will be responsible for recruiting their own service providers or contractors that would work with them. The cost of transportation and equipment for the SWA's, SEPA's, FMEnv and FMWR in execution of their monitoring roles and responsibilities is included. A lump sum of US$500,000 will be set aside to cover the implementation of the monitoring plan. 63 Table 10.1 Monitoring Plan Potential Social and Mitigation Measures Monitoring Phase/Stage Responsibility Costs Environmental Negative Measures Impacts Permanent loss of Land. .Identify land for locating To determine if affected On-going and whenever .Participating SWA Denial, Restrictive or loss of reticulation and pipe people have restored their land is used/acquired by a A lump sum of US$ of access to other networks, grids, expansion pre-project incomes / participating SWA. 2. SEPA 500,000 will be allocated economic resources of treatment plants, sub- economic conditions, or to cover the stations and new not, increased them or not, 3. FMEnv implementation of the installations or over head by checking and evaluating monitoring plan tanks that does not impact on a periodic basis, using 4. FMWR people and their economic verifiable indicators set in resources. the RPF. 5. The SWA's and SEPA's will be assisted by service or providers and will receive Training budget is US$ training. 60,000 2. Prepare resettlement and compensation plans consistent with the prepared RPF. l. Increased Raw Water Prepare and use cleared Periodic monitoring and On going throughout the I. Participating SWA Contamination. subproject ESIA report (and evaluation of verifiable life of the project and The sum of US$ 1 0,000 has 2. Increased pollution of implement safety measures indicators for all impacts beyond thereby ensuring 2. SEPA been budgeted per state for land(soil), river and other in Dam Safety report), identified in the sub project the institutional ESIA, making a total of natural water sources. addressing specific ESMP and examples of arrangements are 3. FMEnv US$20,000. 3. Drying of Wetlands. mitigation measures such as which are contained in sustainable beyond the life 4.Disturbance of Natural training and capacity Section 10 of this report. of the project. 4. FMWR Habitats and Wildlife. building to use modem and 5.Flooding. appropriate technologies for 5. The SWA's and SEPA's 6.Dam Failure. design and implementation, will be assisted by service 7.1ncreased disturbance of sanitation, efficiency use, providers and will receive ecosystems. emergency preparedness and training. response, environmental (see Section G. for restoration, regular and complete lists) suitable maintenance of equipment/plant, etc. 64 The SEPA's will make recommendations when they clear/review SWA's sub project ESIA's , consistent with this plan. Table 11.1 Consultation Plan Project Stage Activities Institutional Responsibilities During Project Preparation Preparation of ESMF and FPIU at FMWR R PF__ _ _ _ _ _ _ _ _ _ _ Implementation SWA's and PSP perform SWA's, PSP partners, according to transaction SEPA's and FMWR contract. Monitoring Review of verifiable FMEnv,FMWR, SWA"s indicators and SEPA's. The costs to implement the consultation plan are included in the costs of the monitoring plan. 66 access to the poor and vulnerable groups as well, while not placing irreversible adverse impacts on the bio-physical and social environment. Any chosen option must address these issues and the NUWSRP2 does. Moreover, the design, clearance, implementation and monitoring of sub projects will address the adoption of different options, sites, routes, methods, techniques and ideas. The environmental and social management processes that are outlined in this report supports this goal. 68 -ANNEX 1.0 - LIST OF OFFICIALS CONSULTED DURING THE PREPARATION OF THE ESMF AND RPF. Eng. Benson Ajisegiri - Project Coordinator - NUWSRP1 Mr. O.O. Coker - Managing Director/CEO - LSWC Dr. Yemi Suleiman - Project coordinator (PTTU) - LSWC Eng. Adigun - Water/Sanitation Engineer/PSP Engineer - LSWC Mr. O.O. Kajopaiye - Corporate Planning and Budgets - LSWC Mr. I.A. Fatoberu - Director, Power Generation - LSWC Dr (Mrs) Balogun - Manager, Water Quality Management - LSWC Eng. L.O. Karimu - AGM Production - LSWC Mr. Ajibade - Plant Workshop Manager - Akute Intake Eng. O.A. Ewumi - Production Manager - Iju water works Eng. Oluwobi - Adiyun water treatment plant Mr. 0. Adetona - P.A. to General Manager - LASEPA Mr. A. Adelodun - Special assistant (Environmental compliance) - LASEPA Eng. Elemi Etowa - Managing Director - CRSWB Eng. Godwin Adie-A - Senior Technical Officer (PIU) - CRSWB Mr. James Ekabua - Principal Water Engineer - CRSWB Mr. Emmanuel Esuabaria Area Manager, Obudu CRSWB Mr. Edward Gekpe - Director, EPAD - Ministry of Environment Mr. Godwin Amissine Environmental Quality Control Division - EPAD Mr. Steven Utre - Ecological Evaluation/Preservation - EPAD 69 -ANNEX 2.0 - World Bank Environmental and Social Safeguard Policies (Summary) * Environmental Assessment (OP 4.01). Outlines Bank policy and procedure for the environmental assessment of Bank lending operations. The Bank undertakes environmental screening of each proposed project to determine the appropriate extent and type of EA process. This environmental process will apply to all sub-projects to be funded by NUWSRP2. * Natural Habitats (OP 4.04). The conservation of natural habitats, like other measures that protect and enhance the environment, is essential for long-term sustainable development. The Bank does not support projects involving the significant conversion of natural habitats unless there are no feasible alternatives for the project and its siting, and comprehensive analysis demonstrates that overall benefits from the project substantially outweigh the environmental costs. If the environmental assessment indicates that a project would significantly convert or degrade natural habitats, the project includes mitigation measures acceptable to the Bank. Such mitigation measures include, as appropriate, minimizing habitat loss (e.g. strategic habitat retention and post-development restoration) and establishing and maintaining an ecologically similar protected area. The Bank accepts other forms of mitigation measures only when they are technically justified. Should the sub-project-specific ESIA's indicate that natural habitats might be affected negatively by the proposed sub-project activities with suitable mitigation measures, such sub-projects will not be funded under the NUWSRP2. * Pest Management (OP 4.09). The policy supports safe, affective, and environmentally sound pest management. It promotes the use of biological and environmental control methods. An assessment is made of the capacity of the country's regulatory framework and institutions to promote and support safe, effective, and environmentally sound pest management. This policy will most likely not apply to NUWSRP2. * Involuntary Resettlement (OP 4.12). This policy covers direct economic and social impacts that both result from Bank-assisted investment projects, and are caused by (a) the involuntary taking of land resulting in (i) relocation or loss of shelter; (ii) loss of assets or access to assets, or (iii) loss of income sources or means of livelihood, whether or not the affected persons must move to another location; or (b) the involuntary restriction of access to legally designated parks and protected areas resulting in adverse impacts on the livelihoods of the displaced persons. The ESMFand RPF reports discusses the applicability of this policy in detail. * Indigenous Peoples (OD 4.20). This directive provides guidance to ensure that , indigenous peoples benefit from development projects, and to avoid or mitigate adverse effects of Bank-financed development projects on indigenous peoples. Measures to address issues pertaining to indigenous peoples must be based on the * informed participation of the indigenous people themselves. Sub-projects that would have negative impacts on indigenous people will not be funded under NUWSRP2. * Forests (OP 4.36). This policy applies to the following types of Bank-financed investment projects: (a) projects that have or may have impacts on the health and 70 quality of forests; (b) projects that affect the rights and welfare of people and their level of dependence upon or interaction with forests; and (c) projects that aim to bring about changes in the management, protection, or utilization of natural forests or plantations, whether they are publicly, privately, or communally owned. The Bank does not finance projects that, in its opinion, would involve significant conversion or * degradation of critical forest areas or related critical habitats. If a project involves the significant conversion or degradation of natural forests or related natural habitats that the Bank determines are not critical, and the Bank determines that there are no * feasible alternatives to the project and its siting, and comprehensive analysis demonstrates that overall benefits from the project substantially outweigh the environmental costs, the Bank may finance the project provided that it incorporates appropriate mitigation measures. Sub-projects that are likely to have negative impacts on forests will not be funded under NUWSRP2. * Cultural Property (OPN 11.03). The term "cultural property" includes sites having archeological (prehistoric), paleontological, historical, religious, and unique natural values. The Bank's general policy regarding cultural property is to assist in their preservation, and to seek to avoid their elimination. Specifically, the Bank (i) normally declines to finance projects that will significantly damage non-replicable cultural property, and will assist only those projects that are sited or designed so as to prevent such damage; and (ii) will assist in the protection and enhancement of cultural properties encountered in Bank-financed projects, rather than leaving that protection to chance. The management of cultural property of a country is the responsibility of the government. The government's attention should be drawn specifically to what is known about the cultural property aspects of the proposed project site and appropriate agencies, NGOs, or university departments should be consulted; if there are any questions concerning cultural property in the area, a brief reconnaissance survey should be undertaken in the field by a specialist. NUWSRP2 will not fund sub-projects that will have negative impacts on cultural property. * Safety of Dams (OP 4.37). For the life of any dam, the owner is responsible for ensuring that appropriate measures are taken and sufficient resources provided for the safety to the dam, irrespective of its funding sources or construction status. The Bank distinguishes between small and large dams. Small dams are normally less than 15 m in height; this category includes, for example, farm ponds, local silt retention dams, and low embankment tanks. For small dams, generic dam safety measures designed by qualified engineers are usually adequate. This policy does apply to NUWSRP2 since existing dams owned by RBDA's or SWA's will supply raw water to SWA's. * Projects on International Waterways (O 7.50). The Bank recognizes that the cooperation and good will of riparians is essential for the efficient utilization and protection of international waterways and attaches great importance to riparians . making appropriate agreements or arrangement for the entire waterway or any part thereof. Projects that trigger this policy include hydroelectric, irrigation, flood control, navigation, drainage, water and sewerage, industrial, and similar projects that involve the use or potential pollution of international waterways. This policy most likely will apply to NUWSRP2 as the rivers Niger and Benue and their tributaries are potential sources of supply of raw water. 71 * Disputed Areas (OP/BP/GP 7.60). Project in disputed areas may occur the Bank and its member countries as well as between the borrower and one or more neighbouring countries. Any dispute over an area in which a proposed project is located requires formal procedures at the earliest possible stage. The Bank attempts to acquire assurance that it may proceed with a project in a disputed area if the 6 governments concerned agree that, pending the settlement of the dispute, the project proposed can go forward without prejudice to the claims of the country having a dispute. This policy is not expected to be triggered by sub-projects. This policy is unlikely to be triggered by sub-projects to be funded by NUWSRP2. 72 -ANNEX 3.0 - Generic Terms of Reference for the Preparation of the mandatory ESIA for SWA's sub project activities. (To be revised at appropriate time by the SWA assisted by the FMWR) Tasks: 1. The following specific tasks, among others, will be required: * Review of Engineering and Technical Designs for planned investments to identify, assess, and quantify to the extent possible, all environmental and social impacts and risks in the state. * Provide detailed and tangible mitigation measures to reverse these adverse impacts or manage them within acceptable limits according to law in Nigeria and World Banks Safeguards polices. * Develop an environmental and social management process to ensure successful mitigation of all adverse impacts, a tangible monitoring plan and institutional arrangements to execute this plan. * Assess further the SWA's and PSP partners capacity to manage the sub project's environmental and social issues and propose measures in how to reinforce their capacity, for example, by establishing an environmental unit/working group, and providing technical training. Suggest capacity building and technical assistance requirements in relation to safeguard and awareness needs in the public and private sectors to be implemented under the proposed sub project. * Develop a suitable maintenance plan with estimates of cost to ensure sustainability of mitigation measures. Outline of the ESIA Report The ESIA report must be concise but detailed and thorough to include all significant environmental and social impacts. The report should focus on identifying impacts, mitigating them in the technical designs, during construction, operation and sustainable through an effective maintenance plan. The FMEnv, the SEPA's and the World Bank ASPEN environmental and social reviewers will need to approve the ESIA. The ESIA 's will be disclosed in the respective state of the SWA and also in Abuja. * List of Acronyms * Table of Contents * Executive Summary * Description of Proposed Sub Project * Baseline Data 73 * Present State ( where necessary trans state/border) baseline data pertaining to (i) the physical environment (i.e., topography, geology climate and meteorology, surface water hydrology); (ii) biological environment (i.e., flora types and diversity, rare and endangered species within or adjacent to project intervention sites, including wetlands, sensitive habitats); and (iii) Socioeconomic and cultural environment, including present and projected, where appropriate. * Environmental and Social Safeguard Issues and Triggers Discuss the applicability of any of the World Bank's Operational Policies and conduct the required analyses as described above. * Legislative and Regulatory Framework Discuss Nigeria's and the State's environmental and social national policies, laws, regulatory and administrative frameworks. * Identification of Potential Environmental and Social Impacts Identify and assess the changes brought about by the sub project in relation to the baseline data; differentiate between short, medium and long-term impacts; and describe the extent and quality of available data and any pertinent information deficiencies, which might preclude the projection of impacts. * Identify Tangible Mitigation Measures Develop and describe feasible and cost-effective mitigation measures to prevent or reduce negative impacts. Provide cost outlays for the proposed measures, as well as their institutional and capacity building requirements to implement them. * Institutional Assessment The ESIA will establish appropriate institutional arrangements in the SWA's/PSP relationship, between its SEPA and FMEnv consistent with this ESMF and recommend and develop training modules and prepare associated costs. * Monitoring Plan Design a monitoring plan for the implementation of measures requiring mitigation, as well as for the impacts of sub project activities. The monitoring plan should clearly indicate the linkages between impacts identified in the ESIA report, indicators to be measured, methods to be used, sampling locations, frequency of measurements and definition of thresholds indicating the need for corrective actions. The monitoring plan must identify parameters to be monitored, direct and indirect impact; conflicts arising from competition for water and/or land resources and clear responsibilities for supervision, frequency of inspections, and a budget for the recommended activities. It is important that all aspects of the monitoring arrangements be appropriately costed and the responsibilities clearly defined 74 -ANNEX 4- * General Environmental Management Conditions For Construction Contracts. d General 1. In addition to these general conditions, the Contractor shall comply with any specific Environmental Management Plan (EMP) for the works he is responsible for. The Contractor shall inform himself about such an EMP, and prepare his work strategy and plan to fully take into account relevant provisions of that EMP. If the Contractor fails to implement the approved EMP after written instruction by the Supervising Engineer (SE) to fulfill his obligation within the requested time, the Owner reserves the right to arrange through the SE for execution of the missing action by a third party on account of the Contractor. 2. Notwithstanding the Contractor's obligation under the above clause, the Contractor shall implement all measures necessary to avoid undesirable adverse environmental and social impacts wherever possible, restore work sites to acceptable standards, and abide by any environmental performance requirements specified in an EMP. In general these measures shall include but not be limited to: (a) Minimize the effect of dust on the surrounding enviromment resulting from earth mixing sites, asphalt mixing sites, dispersing coal ashes, vibrating equipment, temporary access roads, etc. to ensure safety, health and the protection of workers and communities living in the vicinity dust producing activities. (b) Ensure that noise levels emanating from machinery, vehicles and noisy construction activities (e.g. excavation, blasting) are kept at a minimum for the safety, health and protection of workers within the vicinity of high noise levels and nearby communities. (c) Ensure that existing water flow regimes in rivers, streams and other natural or irrigation channels is maintained and/or re-established where they are disrupted due to works being carried out. (d) Prevent bitumen, oils, lubricants and waste water used or produced during the execution of works from entering into rivers, streams, irrigation channels and other . natural water bodies/reservoirs, and also ensure that stagnant water in uncovered borrow pits is treated in the best way to avoid creating possible breeding grounds for mosquitoes. (e) Prevent and minimize the impacts of quarrying, earth borrowing, piling and building of temporary construction camps and access roads on the biophysical environment including protected areas and arable lands; local communities and their 75 settlements. In as much as possible restore/rehabilitate all sites to acceptable standards. (f) Upon discovery of ancient heritage, relics or anything that might or believed to be of archeological or historical importance during the execution of works, immediately 4 report such findings to the SE so that the appropriate authorities may be expeditiously contacted for fulfillment of the measures aimed at protecting such historical or archaeological resources. (g) Discourage construction workers from engaging in the exploitation of natural resources such as hunting, fishing, collection of forest products or any other activity that might have a negative impact on the social and economic welfare of the local communities. (h) Implement soil erosion control measures in order to avoid surface run off and prevents siltation, etc. (i) Ensure that garbage, sanitation and drinking water facilities are provided in construction workers camps. (j) Ensure that, in as much as possible, local materials are used to avoid importation of foreign material and long distance transportation. (k) Ensure public safety, and meet traffic safety requirements for the operation of work to avoid accidents. 3. The Contractor shall indicate the period within which he/she shall maintain status on site after completion of civil works to ensure that significant adverse impacts arising from such works have been appropriately addressed. 4. The Contractor shall adhere to the proposed activity implementation schedule and the monitoring plan / strategy to ensure effective feedback of monitoring information to project management so that impact management can be implemented properly, and if necessary, adapt to changing and unforeseen conditions. 5. Besides the regular inspection of the sites by the SE for adherence to the contract conditions and specifications, the Owner may appoint an Inspector to oversee the compliance with these environmental conditions and any proposed mitigation measures. State environmental authorities may carry out similar inspection duties. In all cases, as directed by the SE, the Contractor shall comply with directives from such inspectors to implement measures required to ensure the adequacy rehabilitation measures carried out on the bio-physical environment and compensation for socio-economic disruption resulting from implementation of any works. 76 Worksite/Campsite Waste Management 6. All vessels (drums, containers, bags, etc.) containing oil/fuel/surfacing materials * and other hazardous chemicals shall be bunded in order to contain spillage. All waste containers, litter and any other waste generated during the construction shall be collected and disposed off at designated disposal sites in line with applicable government waste management regulations. 7. All drainage and effluent from storage areas, workshops and camp sites shall be captured and treated before being discharged into the drainage system in line with applicable government water pollution control regulations. 8. Used oil from maintenance shall be collected and disposed off appropriately at designated sites or be re-used or sold for re-use locally. 9. Entry of runoff to the site shall be restricted by constructing diversion channels or holding structures such as banks, drains, dams, etc. to reduce the potential of soil erosion and water pollution. 10. Construction waste shall not be left in stockpiles along the road, but removed and reused or disposed of on a daily basis. 11. If disposal sites for clean spoil are necessary, they shall be located in areas, approved by the SE, of low land use value and where they will not result in material being easily washed into drainage channels. Whenever possible, spoil materials should be placed in low-lying areas and should be compacted and planted with species indigenous to the locality. Material Excavation and Deposit 12. The Contractor shall obtain appropriate licenses/permits from relevant authorities to operate quarries or borrow areas. 13. The location of quarries and borrow areas shall be subject to approval by relevant local and national authorities, including traditional authorities if the land on which the quarry or borrow areas fall in traditional land. 14. New extraction sites: a) Shall not be located in the vicinity of settlement areas, cultural sites, wetlands or any other valued ecosystem component, or on on high or steep ground or in areas of high scenic value, and shall not be located less than lkm from such areas. 77 b) Shall not be located adjacent to stream channels wherever possible to avoid siltation of river channels. Where they are located near water sources, borrow pits and perimeter drains shall surround quarry sites. c) Shall not be located in archaeological areas. Excavations in the vicinity of such 9 areas shall proceed with great care and shall be done in the presence of government authorities having a mandate for their protection. d) Shall not be located in forest reserves. However, where there are no other alternatives, permission shall be obtained from the appropriate authorities and an environmental impact study shall be conducted. e) Shall be easily rehabilitated. Areas with minimal vegetation cover such as flat and bare ground, or areas covered with grass only or covered with shrubs less than 1.5m in height, are preferred. f) Shall have clearly demarcated and marked boundaries to minimize vegetation clearing. 15. Vegetation clearing shall be restricted to the area required for safe operation of construction work. Vegetation clearing shall not be done more than two months in advance of operations. 16. Stockpile areas shall be located in areas where trees can act as buffers to prevent dust pollution. Perimeter drains shall be built around stockpile areas. Sediment and other pollutant traps shall be located at drainage exits from workings. 17. The Contractor shall deposit any excess material in accordance with the principles of the these general conditions, and any applicable EMP, in areas approved by local authorities and/or the SE. 18. Areas for depositing hazardous materials such as contaminated liquid and solid materials shall be approved by the SE and appropriate local and/or national authorities before the commencement of work. Use of existing, approved sites shall be preferred over the establishment of new sites. Rehabilitation and Soil Erosion Prevention 19. To the extent practicable, the Contractor shall rehabilitate the site progressively so that the rate of rehabilitation is similar to the rate of construction. 20. Always remove and retain topsoil for subsequent rehabilitation. Soils shall not be stripped when they are wet as this can lead to soil compaction and loss of structure. 21. Topsoil shall not be stored in large heaps. Low mounds of no more than 1 to 2m high are recommended. 78 22. Re-vegetate stockpiles to protect the soil from erosion, discourage weeds and maintain an active population of beneficial soil microbes. 23. Locate stockpiles where they will not be disturbed by future construction activities. 24. To the extent practicable, reinstate natural drainage patterns where they have been altered or impaired. 25. Remove toxic materials and dispose of them in designated sites. Backfill excavated areas with soils or overburden that is free of foreign material that could pollute groundwater and soil. 26. Identify potentially toxic overburden and screen with suitable material to prevent mobilization of toxins. 27. Ensure reshaped land is formed so as to be inherently stable, adequately drained and suitable for the desired long-term land use, and allow natural regeneration of vegetation. 28. Minimize the long-term visual impact by creating landforms that are compatible with the adjacent landscape. 29. Minimize erosion by wind and water both during and after the process of reinstatement. 30. Compacted surfaces shall be deep ripped to relieve compaction unless subsurface conditions dictate otherwise. 31. Revegetate with plant species that will control erosion, provide vegetative diversity and, through succession, contribute to a resilient ecosystem. The choice of plant species for rehabilitation shall be done in consultation with local research institutions, forest department and the local people. Water Resources Management 32. The Contractor shall at all costs avoid conflicting with water demands of local communities. 33. Abstraction of both surface and underground water shall only be done with the consultation of the local community and after obtaining a permit from the relevant Water Authority. 34. Abstraction of water from wetlands shall be avoided. Where necessary, authority has to be obtained from relevant authorities. 79 35. Temporary damming of streams and rivers shall be done in such a way avoids disrupting water supplies to communities down stream, and maintains the ecological balance of the river system. 36. No construction water containing spoils or site effluent, especially cement and oil, shall be allowed to flow into natural water drainage courses. 37. Wash water from washing out of equipment shall not be discharged into water courses or road drains. 38. Site spoils and temporary stockpiles shall be located away from the drainage system, and surface run off shall be directed away from stockpiles to prevent erosion. Traffic Management 39. Location of access roads/detours shall be done in consultation with the local community especially in important or sensitive environments. Access roads shall not traverse wetland areas. 40. Upon the completion of civil works, all access roads shall be ripped and rehabilitated. 41. Access roads shall be sprinkled with water at least five times a day in settled areas, and three times in unsettled areas, to suppress dust emissions. Blasting 42. Blasting activities shall not take place less than 2km from settlement areas, cultural sites, or wetlands without the permission of the SE. 43. Blasting activities shall be done during working hours, and local communities shall be consulted on the proposed blasting times. 44. Noise levels reaching the communities from blasting activities shall not exceed 90 decibels. Disposal of Unusable Elements 45. Unusable materials and construction elements such as electro-mechanical equipment, pipes, accessories and demolished structures will be disposed of in a manner approved by the SE. The Contractor has to agree with the SE which elements are to be surrendered to the Client's premises, which will be recycled or reused, and which will be disposed of at approved landfill sites. 80 * For the Client, supported where necessary by a SE, to ensure that the Contractor is fully prepared for the adequate management of the EHS aspects of the project, and as a basis for monitoring of the Contractor's EHS performance. 55. The Contractor's EHS-MP shall provide at least: * a description of procedures and methods for complying with these general environmental management conditions, and any specific conditions specified in an EMP; * a description of specific mitigation measures that will be implemented in order to minimize adverse impacts; * a description of all planned monitoring activities (e.g. sediment discharges from borrow areas) and the reporting thereof; and * the internal organizational, management and reporting mechanisms put in place for such. 56. The Contractor's EHS-MP will be reviewed and approved by the Client before start of the works. This review should demonstrate if the Contractor's EHS-MP covers all of the identified impacts, and has defined appropriate measures to counteract any potential impacts. EHS Reporting 57. The Contractor shall prepare bi-weekly progress reports to the SE on compliance with these general conditions, the project EMP if any, and his own EHS-MP. An example format for a Contractor EHS report is given below. It is expected that the Contractor's reports will include information on: * EHS management actions/measures taken, including approvals sought from local or national authorities; * Problems encountered in relation to EHS aspects (incidents, including delays, cost consequences, etc. as a result thereof); * Lack of compliance with contract requirements on the part of the Contractor; * Changes of assumptions, conditions, measures, designs and actual works in relation to EHS aspects; and * Observations, concerns raised and/or decisions taken with regard to EHS management during site meetings. 58. It is advisable that reporting of significant EHS incidents be done "as soon as practicable". Such incident reporting shall therefore be done individually. Also, it is advisable that the Contractor keep his own records on health, safety and welfare of persons, and damage to property. It is advisable to include such records, as well as copies of incident reports, as appendixes to the bi-weekly reports. Example formats for an incident notification and detailed report are given below. Details of EHS performance will be reported to the Client through the SE's reports to the Client. 82 Example Format: EHS Report Contract: Period of reporting: EHS management actions/measures: Summarize EHS management actions/measures taken during period of reporting, including planning and management activities (e.g. risk and impact assessments), EHS training, specific design and work measures taken, etc. EHS incidents: Report on any problems encountered in relation to EHS aspects, including its consequences (delays, costs) and corrective measures taken. Include relevant incident reports. EHS compliance: Report on compliance with Contract EHS conditions, including any cases of non- compliance. Changes: Report on any changes of assumptions, conditions, measures, designs and actual works in relation to EHS aspects. Concerns and observations: Report on any observations, concems raised and/or decisions taken with regard to EHS management during site meetings and visits. Signature (Name, Title Date): Contractor Representative 84 Example Format: EHS Incident Notiflcation Provide within 24 hrs to the Supervising Engineer Originators Reference No: Date of Incident: Time: Location of incident: Name of Person(s) involved: Employing Company: Type of Incident: Description of Incident: Where, when, what, how, who, operation in progress at the time (only factual) Immediate Action: Immediate remedial action and actions taken to prevent reoccurrence or escalation Signature (Name, Title, Date): Contractor Representative 85 Example Format: Detailed EHS Incident Report The Incident Notification should be follow-up by a Detailed EHS Incident Report containing the following information where applicable 4 1. Incident Summary 2. Specific Details * Date * Time * Place * Weather/Visibility * Road conditions 3. Persons Involved * Name/s * Age/s * Experience * Date joined Company * Last Medical Check * Current Medical Treatment * Evidence of Drugs/Alcohol * Last Safety Meeting attended * Infringements/Incidents record 4. Equipment Involved 5. Description of Incident 6. Findings of Investigation Team Interim/Final * Investigation Team Members * Persons Interviewed * Recommendations & Remedial Actions * Investigation Methodology 7. Signature (Name, Title, Date): 8. Attachments * Photographs * Witness Statements and Incident Notification Report 86