REPORTON

POST IMPACT ASSESSMENT (PIA) STUDIES

FORNESTLE TRI – GENERATION

POWER PLANTFEB, 2012

PIA CONTENT / OUTLINE

• Outside View of The TPP Prior to Final Completion and CommissioningTABLE OF CONTENTS

CHAPTER 1 INTRODUCTION CHAPTER 2 PLANT DESCRIPTION CHAPTER 3 DESCRIPTION OF

THE PLANT ENVIRONMENT

CHAPTER 4 ASSOCIATED AND POTENTIAL ENVIRONMENTAL

IMPACTS CHAPTER 5 MITIGATION

MEASURES CHAPTER 6 ENVIRONMENTAL MANAGEMENT PLAN CHAPTER 7 CONCLUSION AND RECOMMENDATION BIBLIOGRAPHY / REFERENCES AND

APPENDIX

CHAPTER ONEAPPLICANT AND BACKGROUND INFORMATION

• Nestle Nigeria Plc, Agbara Factory, a leading Food & Beverages company and popularly known for its range of high quality products like Milo, Maggi, Golden Morn, Cerelac etc

• NEED FOR THE PROJECT

• The worsening state of Public power supply • Anticipated factory energy requirement by

2018

Figure 1.1: Anticipated Energy requirements between 2008 – 2018

LEGAL AND ADMINISTRATIVE FRAMEWORK

Applicable laws and guidelines relevant to the execution of this audit and sighted in the report are as follows:

• Environmental Impact Assessment (EIA) (Decree 86, 1992).

• National Environmental Standards and Regulations Enforcement Agency Act, 2007 And National Environmental (Food, Beverages and Tobacco Sector) Regulations 2008.

• National Environmental Standards and Regulations Enforcement Agency Act, 2007 And National Environmental (Electrical / Electronic Sector) Regulations S.I. 23 of 2011 (Federal Government Gazette 50, Vol. 98 25/05/2011)

• Electric Power Sector Reform Act 2005• Nigeria Electricity Regulatory

Commission (Application For Licences, Generation, Transmission, System Operations, Distribution And Trading) Regulations, 2006

• Nigeria Electricity Regulatory Commission (Licence and Operating Fees) Regulations, 2006

• Ogun State Environmental Protection Agency (OGEPA) Edict No.1 of 1995 And Environmental (Miscellaneous Provision) Regulations 2005 (Section 10 (1) ).

OBJECTIVES & TERMS of REFRENCE THE OF THE PIA Studies

OBJECTIVES

• Provision of instrument for establishing any activity that may likely or to a significant extent affect the environment adversely by the New Project.

• to promote the implementation of appropriate

mitigation measures / policy that would lead to reduction of the negative environmental impacts.

• To encourage the development of procedures for

information exchange, notification and consultation between the Company, NESTLE and other stakeholders wherever the New Project operations are / may likely to have significant adverse effects on the neighbouring establishments, towns and villages.

• To assist the company, NESTLE, in the establishment

and achievement of long term management objectives of minimizing environmental risks and associated financial losses.

• To ensure that the New Project does not lead to non – compliance of the existing internal, NESTLE (where available), and statutory environmental laws and regulations.

TERMS OF REFERENCE

– Measurement of the air quality and noise level within the TPP area.

– Collection and analysis of liquid effluent, gaseous emissions from the TPP plant.

– Establishment of compliance of the TPP with the standard limits set by FMENV / NESREA for gaseous emission, liquid effluent and noise level.

– Assessment of the Safety, Health and Environmental (SHE) policy of Nestle as it relates to the TPP operation..

– Assessment of the plant’s internal environmental management system to implement the above policies.

– Examining the sanitary and aesthetic conditions of the TPP

– Examination of sources of waste, existing waste disposal methods and waste reduction options available in the plant and specifically for the TPP.

– Proposing appropriate and practicable recommendation on i - vii

– Preparation of Post - Impact Assessment Studies Report for the TPP operation and submission to the appropriate Regulatory Authority

• SCOPE OF STUDYAs Outlined in the Report includes among others :

• Review of the Nestle / TPP’s environmental policy and set objectives. • Tri-generation Power Plant operations / management

• TPP Environmental Management System (EMS)

• air pollution levels and control

• water pollution potential and spill prevention

• solid and hazardous waste disposal

• noise level measurement and abatement

• handling and storage of chemicals

• occupational health

• PERIOD OF STUDY• The study was undertaken between December 2011 and February 2012. Both the Consultants team

and the Project’s team were involved in preparing the report to ensure the necessary auditing expertise and inputs.

• METHODOLOGYDetails in the report

CHAPTER TWO PLANT DESCRIPTION

NATURE OF PLANT• Tri -generation Power Plant (TPP) is an integrated power (Electricity), Hot

water (Heat) and Chilled water (Cooling) System facility. THE PLANT LOCATION

• The Trigeneration Power Plant is located inside the Nestle Agbara Factory Complex which has been in existence for over thirty years. It occupies approximately 2,713m2 of land, which is just about 1.4 % of the total area 192,500 m2 occupied by the factory.

– Main Entrance to Nestle Agbara Factory Arial View of the TPP Location inside The Factory

THE PLANT LAYOUT• Engine Hall & Utility Block.

• Chiller Hall

• Mechanical Utility Area

The Tri- generation Power Plant project layout (see appendices 1 & 2) consist of three main sections namely: Engine Hall &

Utility Block.

Chiller Hall

Mechanical Utility Area

THE PROCESS DESCRIPTION Natural gas or diesel is feed into the two (2) dual fuel Wartsila Reciprocator Engines. The gas or diesel is processed and converted by the engine to generate electricity as the main output. The heat generated as a bye – product is circulated via a heat exchanger in jacketed pipes to supply hot water.

The waste heat from the system exhaust is recovered to feed the absorption chiller to produce chilled water. Schematic Diagram of the Tri - generation Plant is shown below.

PLANT OPERATION AND PERSONNEL

• The TPP is managed by the Agbara Factory Project Department headed by the Project Manager.

• A model shift on duty consists of a control room operator, a mechanical technician, an Electrical technician. In addition there is always a mechanical and an Electrical team on general day duty.

AUDIT FINDINGS

Safety signs and posters at the TPP site

Fire fighting and Emergency Response Facilities at the TPP Plant: Fire Extinguishers and Fire Hydrants

HEALTH SAFETY AND ENVIRONMENT

SITE CONTROL MEASURE – Restriction of Unauthorised Access

EMERGENCY RESPONSE PLAN – FIREFIRE FIGHTING EQUIPMENT

TRAINING & HEALTH

CHEMICAL IN USE

AIR QUALITY MONITORING AND MANAGEMENT

COMPLIANCE MONITORING

ENVIRONMENTAL MANAGEMENT SYSYEM

DESCRIPTION OF THE PLANT ENVIRONMENT

• Particulates result

• Noxious Gases Result

• Receiving water Body : Ologe river

PLANT SETTINGPlant locationPlant LayoutPlant Access and AncilliariesPlant Safety, Health & Environment

AIR QUALITY AND NOISE LEVELParticulateNoxious GasesNoise Level

WATER RESOURCESGround waterRiver and LagoonCooling waterChilled waterDetailed results of the analysis of all the water samples collected are presented in the Appendix.

SOIL Characteristics

VEGETATION

SOCIO –ECONOMICS

LIFE CYCLE ANALYSIS (INPUTS & OUTPUTS DATA)

Raw Materials Input (kg)

Vol/Month Vol/AnnumOutput(kg/ Anum)

Anticipated Volume of Losses/ Wastes (kg) / m3

% Wastes Env. Impacts

Natural Gas 412,557 4,950,684 4,950,684 Nil, except for leakage

Nil No impact

Diesel 20,000 240,000 238,000 2,000 0.8 Treated and Recycled

LithiumBromide

- 200 lts Nil Nil NilIn a closed system. Minimal impact. Disposal to be handled by accredited experts

Water 3042 m3 36504 m3 36336 m3 168 m3 0.5Minimal impact. Majorly to be recycled. Waste to be treated as part of Factory Waste water subject to treatment at the factory Effluent Treatment Plant before discharge.

oil - 8 lts Nil Nil NilMinimal impact. Disposal to be handled by accredited experts

ENERGY & MATERIALS REQUIREMENTS / CONSUMPTION

ENERGY SOURCES

UNITS INPUT (VOL/MONTH)

OUTPUT (VOL/MONTH)

LOSSES / WASTES

(VOL/MONTH)

% LOSSES ENV. IMPACT

Electricity from PHCN

Mwh/day 0 0 0 0 No impact

Electricity from Natural

Gas

Mwh/day 7.8 7.6 0.2 2.5 Minimal impact compared with losses recorded on diesel based

generator.

Heat from Natural Gas or

Diesel

Mwh/day 3.8 3.2 0.6 15.9 Moderate impact of heat released into atmosphere.

Total Mwh/day 11.6 10.8 0.8 6.9 Less noxious gases also released to

the environment

CHAPTER FOUR

ASSOCIATED AND POTENTIAL ENVIRONMENTAL IMPACTS

Aspect of the TPP Project’s activities that would be of interest include : -

• Power Generation / Distribution• Waste Generation• Chemical handling• Maintenance and General Services

Power Generation / Distribution

POSITIVE IMPACTS• Reduction in green House Gas

emissions due to saving of 5000 Tons of CO2 annually

• Reduction in heat loss to the environment through recovery by absorption chiller for cooling effect.

• Increase in the stability of national grid electricity supply to the residential estate and Agbara environs due to release of about 5MW of power being consumed by Nestle Nigeria Plc from the public supply.

• Employment opportunities arising from operation of the Power plant.

• Improved income for local communities due to improved patronage by workers engaged at the power plant

• Assessing of carbon credit facility from the UNFCCC

• Reduction in the cost of generating hot and cooling water for production activities.

• Water conservation through recycling of utility water and use as refrigerant instead of ozone depleting substance.

Waste Generation

• AIR QUALITY POSITIVE IMPACT• Reduction in generation of noxious

gases due to 100% usage of natural gas rather than diesel. (Table 3.2)

• Lower noise level compared with that of old generators (Table 3.3)

• Lower particulate compared with the existing level prior to the commencement of the power plant (Table 3.1)

NEGATIVE IMPACTS• Emission levels of pollution

indicating parameters measured were below FMENV and NESREA limit. Thus there is no adverse impact on the environment.

Waste Generation Cont.

• NOISE LEVEL• POSITIVE IMPACT• Noise level around the power

generating area has significantly reduced to level within the FMENV limit compared to that of old generator usage. (Table 3.3)

• SOIL• NO IMPACT• No negative impacts on the

present soil physico-chemical components as indicated in Appendix 8e & 8f

• NEGATIVE IMPACTS• Only Noise level inside the engine

hall is above the limit set by FMENV / NESREA (Table 3.3)

• NEGATIVE IMPACT• Topsoil structure around the

project site has been altered and original biodiversity disturbed. Only a little area was re-grassed. Plates 3.4 & 3.6

Waste Generation Cont.

• WATER QUALITY• NO IMPACT• Original water (untreated water ) physico-

chemical characteristics remains unchanged. Underground water is acidic and always treated to potable level before usage. Impact of TPP on underground water quality is neutral. Appendix 8a

• SOLID WASTE• POSITIVE IMPACT• Most of the solid waste generated in

are taken through Nestle Reduce, Recycle, Reuse and Replace (4R) waste cycle for effective management.

• Plastics, Wooden and metal waste are sold to government approved waste buyers.

•

• NEGATIVE IMPACTS• The pH of cooling / chilled water

is basic and will impact the environment negatively if discharged without treatment.

• Both COD and BOD of chilling water are above FMENV / NESREA limit and therefore non environment friendly if discharged untreated. Appendix 8c & 8d

• NEGATIVE IMPACT• Unpleasant odour from

accumulation of solid waste may foul the surroundings and pose health hazard to workers

Chemical Handling

POSITIVE IMPACT• Decommissioning of

R12 refrigerants reduces release of Ozone depleting substances into the environment.

• NEGATIVE IMPACT• Exposure to LiBr may

pose health risk to workers if not properly handled. (See Appendix 7 for MSDS)

IMPACT MATRIX FOR NESTLE TRI – GENERATION POWER PLANT PROJECTTABLE 4.4 ASSOCIATED / POTENTIAL ENVIRONMENTAL IMPACTS OF PROJECT OPERATION

ESTIMATION OF MAGNITUDE AND SIGNIFICANCE OF POTENTIAL PROJECT IMPACTS. Table 4.5

Activity / Operation Environmental Component

Potential Impacts Nature / Type of Impacts

Duration of Impacts

Magnitude of Impacts

A Raw Material Storage

& Transportation Gas/diesel Energy

Supply Plant Maintenance

Solid/Liquid Waste Power & Utility

Generation

Air Quality /Climatic Changes Ditto

Ditto

Ditto

Emission from vehicular movement to and from the TPP Site

Emission from transportation of fuel to TPP.

Particulate Emission from servicing & repairs of equipmentOdour from un-disposed solid Heat from TPP Exhaust

Adverse

Adverse

Adverse

Adverse

Adverse

Short term

Long termPeriodic/

Short term

Periodic/

Short term

Moderate/ Negligible.Moderate/ importantNegligible / Not important.Negligible / Medium.

B Raw Material Storage / Transportation

Plant Operation Plant Maintenance

and General servicing / repairs

Noise/ Vibration

Ditto

Ditto

Sound from transportation to and from the project site may lead to hearing

impairment.Sound/ Vibration from generator operation.

Adverse Adverse

Adverse

Short term

Short term

Short term

Moderate/ Negligible

Severe/ HighSevere/ High

C Expansion of accessories and increase power demand

Erection of additional Block / Hall

Vegetation/ AestheticsElimination of terrestrial,

fauna/floral habitat.

Change in Land use/ Value.

Change in the landscape.

Adverse

Adverse

Adverse

Long termLong term

Long term

Negligible/ Low/Little

Moderate/ MediumModerate/ Medium.

D Plant Operation

Plant Expansion

Power Generation

Handling of Hazardous material(s)/ Solid and liquid waste management

Factory Operation

Socio-economic

Socio-economic

Ditto

Ditto

Ditto

Increased job/working opportunities locally.

Improved income opportunities.

Change in social structure/ services.

Possible effects on occupational health and

safety of the workers

Increased economic activities locally and

nationally.

Beneficial

Beneficial

Beneficial

Adverse

Beneficial

Medium / Long term

Medium / Long term

Long term

Short term

Long term

Moderate/ Medium

Moderate/ Medium

Severe/ High

( + )

Severe/High

( - )

Moderate/ Medium

SUMMARY OF POTENTIAL ENVIRONMENTAL RISKS AND HAZARDS ASSOCIATED WITH NESTLE TRI-GENERATION POWER PLANT PROJECT OPERATIONS. Table 4.8POTENTIAL SITE/HAZARD MAGNITUDE POSSIBLE PREVENTIVE ACTION

1.Building / Engine Maintenace activities. Moderate

Use of mouth, noise, ear protective devices – as well as eye protective goggle by workers – when operations are in progress – mandatorily enforce.

Prefabricated materials were mostly used.

2.Handling of Hazardous Chemicals and Operation Activities.

Low

Non toxic absorber (LiBr chosen) Liquid form of LiBr is being used instead of the Powder which is

highly hygroscopic and might cause severe burn on contact with skin.

3.Atmospheric/Climatic Issues

Emission of noxious gases (NOx, SOx) may result in acid rain. Also CO2 - a green house gas. These gases are produced in relatively minimal quantities and within the acceptable levels. – Risks to climate and Air quality virtually absent / non – existence.

4.Water, Soil and Vegetation Issues

Pollution of Underground water Alteration of landscape Destabilisation of Habitat

Little

Moderate / high

R12 refrigerant has been decommissioned as a matter of Nestle Worldwide policy on environment by 2010.

No ozone depleting substance of any class is used in the entire process. The project itself is to reduce emission by use of Natural gas as primary

fuel and recovery of waste heat from the exhaust. Very little green house gases will be produce in the process of operation

and 5,000 tones of CO2 will be saved annually.

Optimisation of Energy use through centralization of utilities supply is part of Nestle Environmental Management System (NEMS) strategies.

All waste water channeled to Factory Waste Water Treatment Plant for treatment before discharge..

Surface re-grassed and concreted where need be. Adequate net work of storm water channels constructed and operational. Clearing restricted to mapped area.

5.Safety/Public Health Concerns

Careless operation of machines resulting in injuries to operators or technicians Little / Low

Safety Operational Procedure (SOP) is being strictly followed. Maintenance of machines is being carried out periodically.

Workers to maintain regular clinical checks, within the vicinity of the project site.

Use of Personal Protective Equipments is enforced at all times in the operation areas.

Establishment of QMS for Project (In line with total quality control system of Nestle is in place and enforced.)

CHAPTER FIVE: MITIGATION MEASURES

• Mitigation Measures built into Project Design

• Mitigation Measures Based on Direct and or Residual Impacts

CHAPTER SIXENVIRONMENTAL MANAGEMENT PLAN

• A project specific EMP which is different from the Factory EMP has been designed for the NTPP Project: This consist of three sections namely:

Environmental Management Programme.

Environmental Contingency Plan

Waste Management Plan

Environmental Management Programme.Specific Function Impact indicator Action required Frequency Action by whom

Air Quality Management

TSP, CO, NOx, VOCs Monitoring of atmosphere/ surrounding air for major noxious gases and particulates.

Quarterly Company Staff

(Laboratory) Consultants &.OGEPA/FMEnv

Noise level Monitoring.

Noise Level (dBA) Measuring of noise levels in and around the project facilities and surrounding

Quarterly Company Laboratory Staff Consultants & OGEPA/NESREA

Water Quality Monitoring

Oil and Grease, TDS, COD, TSS, BOD, Turbidity, pH, Temp, Heavy metals

Checking of effluent quality, Ground / borehole water

Quality(Physico – chemical & Microbiological Analysis)

Quarterly weekly

Company Laboratory Staff. Consultants &.

OGEPA / FMEnv / NESREA

Soil Quality Monitoring

pH, Heavy matals, Organic Matter.

Soil test ( around the Gas /Fuel pipeline route ) to verify project operational impact

Half yearly for 2 years after commissioning.

Consultants & OGEPA / NESREA

Environmental Awareness Programme

Safety, Health & Environmental (SHE) activities involving all workers, major suppliers / distributors / contractors – spanning 1week.

Annually Company Managers / Consultants.

Documentation & Information Dissemination Programme.

Keeping records of all environmentally related compliances, Audit / monitoring Reports, log sheets, Accidents and recommendations.

Routinely / Daily / Periodically Factory Environmental Manager / Project SHE officer

Factory Information / Systems Manager

Disposal of used Chemicals

Safe handling and disposal of expired / Chemicals

Annually / Quarterly Consultants

ENIRONMENTAL MANAGEMENT PLAN: Environmental Contingency Plan

Specific Function Action required Frequency Action by whom

Fire Prevention Provision of adequate fire protection and fire fighting facility

Inspection of fire – fighting equipment.

Certification of Fire – fighting equipment.

As need arisesMonthlyEvery 2 years

Factory Management / Project Manager

Certified contractors

Training Training of personnel on safety and loss / accident prevention activities.

Fire drills / Mock fire exercises

YearlyMonthly

Company Operative Staff

State Fire officials Factory fire team

Facility Inspection/ Maintenance

Machines / Equipment / Storage & Transportation System Inspection / Checking.

Daily Company Engineering / Project Staff.

ENIRONMENTAL MANAGEMENT PLAN:Waste Management Plan

Specific Function Action required Frequency Action by whom

Drainage Management & House Keeping

Removal of debris from drains & repairs

General cleaning of site premises – internally & externally

Aesthetic maintenance

Rest house cleaning.

Daily Daily

Daily

Daily

Company operative staff

- ditto –

- ditto –

- ditto –

Disposal of Domestic / Solid waste

Safe handling, disposal / evacuation of solid waste from the TPP site

Daily Approved

OGEPA waste contractor

CHAPTER SEVENCONCLUSION AND RECOMMENDATIONS

• Conclusions• • The TPP area operates under good supervision and control. Standard of Good House Keeping (GHK)

was relatively satisfactory.• • The site is well marked out from the other factory facilities and demarcated by a wire mesh fence

with appropriate safety and warning signs.• • The operation of the TPP is under strict regulation and control i.e unauthorized personnel are not

allowed within the area.• • An emergency response and Fire plan tailored to the level of risk of the TPP is in place.• • Waste generated from the TPP are safely handled in line with Nestle Waste Management

Programme. Effluent are treated in the Waste Water Treatment plant and solid waste disposed properly after sorting for recycle and reuse.

• • The TPP operation rather than to add to the Pollution load of the factory actually ensures the

reduction in the over all pollution by reduction of CO2, NOx and SO2 emitted.•

Conclusion

• Noise level around the TPP project is lower compared with the old diesel based generators previously used.

• • The operation has not had any negative impact on groundwater, soil quality and health

of workers.• • Health facility provided for emergency seem adequate and the Factory Clinic is well

equipped and professionally manned.• • Safety and environmental concerns have been largely built into the construction of the

TPP.• • The major area of impact is the removal of natural vegetation of the area but open

spaces have been well covered with gravel while other parts re-grassed.• • The project has provided both indirect and direct economic and social benefits to the

surrounding communities in particular and the country in general. •

RECOMMENDATIONS

• The established EMP should be strictly implemented.• • Quarterly and half yearly assessment / monitoring activities should be conducted with proper

documentation.• • The Federal Ministry of Environment and other stakeholders (OGEPA and NESREA) should be

regularly briefed through regular reports submission on the TPP operation as at when due.• • In- house staff charged with environmental responsibilities should be periodically re-trained for

upgrading and personal development.• • Enforcement of use of PPE (personal Protective Equipment ) in areas of exposure with moderate to

high risks should be monitored.• • Incentives for compliance to Environmental requirements should be re-introduced by the relevant

Authorities (Company & Government).• • The Alert system of the TPP should be communicated to all Categories of Staff because of the

nature of its operation / risk and all personnel in the factory to be properly educated on the danger of non-compliance.

•

FINAL CONCLUSION

• We conclude, from the available data presented in the preceding chapters, that the Operation of the Nestle Tri-generation Power Plant can be conducted without any major permanent adverse effect on the environment, assuming the few additional mitigation measures suggested are adhered to.