Study on the New Power Plant Project in Mawlamyaing, Myanmar

Transcription

1 Study on Economic Partnership Projects In Developing Countries in FY2014 Study on the New Power Plant Project in Mawlamyaing, Myanmar Final Report February 2015 Prepared for Ministry of Economy, Trade and Industry Ernst & Young Shin Nihon LLC Japan External Trade Organization Prepared by : Mitsui & Co., Ltd. Chubu Electric Power Co., Inc. 1

2 Reproduction prohibited 2

3 Preface This report describes the outcomes of the Study on Economic Partnership Projects in Developing Countries FY 2014 with which Mitsui & Co., Ltd. and Chubu Electric Power Co., Inc. were entrusted by the Ministry of Economy, Trade and Industry. In this report, Study on the New Power Plant Project in Mawlamyaing, Myanmar, an survey was made for a coal-fired power plant construction project for the purpose of improving the power shortage issues in Myanmar ( the Project ). It is hoped that this report will contribute to the realization of the Project and also will serve as reference information for those concerned in Myanmar and Japan. Mitsui & Co., Ltd. Chubu Electric Power Co., Inc. February

4 Project Map Source: Data prepared by the Study team 4

5 Abbreviations Myanmar MoEP MEPE DGSE MOI YESB ESE DHPP DHPI HPGE DEP JICA Words Republic of the Union of Myanmar Ministry of Electric Power Myanma Electric Power Enterprise Department of Geological Survey and Mineral Exploration Ministry of Industry Yangon City Electricity Supply Board Electric Supply Enterprise Department of hydropower Planning Department of hydropower Implementation Hydropower Generation Enterprise Department of Electric Power Japan International Cooperation Agency 5

6 Contents Preface 3 Project map 4 Table of abbreviations 5 Contents 6 Executive Summary 8 (1) Project background 8 (2) Basic conditions of the Project 8 (3) Envisaged project outline 9 (4) Implementation schedule 9 (5) Request for Yen Loan and feasibility of the Project 9 (6) Superiority of Japanese enterprises in terms of technology etc. 10 (7) Schedule and issues to be concerned 10 (8) Envisaged project location 11 Chapter 1 Overview of the Host Country and Sectors 12 (1) Economic and financial situations of Myanmar 12 (2) Outlines of power sector 15 (3) Circumstances in power sector 18 Chapter 2 Study Methodology 27 (1) Description of study 27 (2) Study method 28 (3) study schedule 30 Chapter 3 Justification, Objectives and Technical Feasibility of the Project 32 (1) Project background 32 (2) Basic conditions of the Project 38 (3) Outline of the plan for the Project 41 (4) Plant Layout 45 (5) Power generation facilities 47 (6) Environmental treatment equipment and coal handling system 51 (7) Power transmission and substation equipment 91 (8)Others 98 6

7 Chapter 4 Evaluation of Environmental and Social Impacts 100 (1) Analysis of the environmental and social conditions at present 100 (2) Environmental improvement effects by the project 135 (3) Environmental and social impacts of the Project 136 (4) Outlines of the related laws and regulations for environmental impact assessment in Myanmar 154 (5) Actions to be taken by the related authorities in Myanmar to realize the Project 167 Chapter 5 Financial and Economic Evaluation 169 (1) Cost estimation of the Project 169 (2) Preliminary financial and economic analyses 169 (3) Financial internal rate of return 172 (4) Economic internal rate of return 173 Chapter 6 Envisaged Project Schedule 175 Chapter 7 Implementing organizations 177 (1) Overview of the implementing organizations in Myanmar 177 (2) Organization for the implementation of the Project in MoEP 178 (3) Capability of the implementing organizations and countermeasures 180 Chapter 8 Technical Advantages of Japanese Companies 182 (1) Competitiveness of Japanese companies for the Project 182 (2) Expected Japanese contents 182 (3) Promotion of the Japanese Contents 183 Chapter 9 Expected fund source for the Project 184 (1) Direction of the fund sourcing by the Myanmar Government for the Project 184 (2) Surroundings for fund sourcing 184 (3) Expected fund source for the Project including yen loan 185 Chapter 10 Action plans for the request for yen loans 186 (1) Directions of the yen loan application to the Project 186 (2) Actions to be taken for the yen loan application 186 (3) Related issues for the yen loan application 186 7

8 Executive Summary (1) Project background The demand for power in Myanmar in 2030 is estimated to be about seven times that of today. To meet this rapid increase in the demand for power and to supply power stably, a rapid development of power generating facilities is necessary. In developing such power generating facilities, it is necessary to develop power generating facilities using various power resources such as gas-fired power generation, coal-fired power generation, hydropower generation, and renewable energy power generation using wind or solar energy. In consideration of problems represented by the fact that the availability of power resources and the available locations for hydropower generation are limited, however, it is important to develop well balanced portfolio of various power resources with low generating cost. Regarding gas-fired power generation, a demand for gas three times as large as the available domestic gas supply is anticipated in 2030; for this reason, fuel must be imported with the possibility of importing liquid natural gas (LNG) or of using a gas pipeline for transportation from the neighboring countries. But developing these facilities takes costs and time. Regarding hydropower generation, there are issues in developing large-scale hydropower generating facilities such as the necessity of long development periods (10 years or more), the magnitude of environmental and social impact (submergence of extensive land, relocation of inhabitants, and the like) depending on the location of development and the difficulty of connecting to transmission lines depending on the location of development. In addition, the available power generating capacity for hydropower varies from season to season, which poses the problem of the power output lowering to 70% in the dry season from the full output in the rainy season. A number of trial calculations on the power generating cost by kind of fuel resources in thermal power generation have been performed, which show large variation; in general, however, the lowest of all power generating costs is derived from coal-fired power generation. After the Great East Japan Earthquake in March 2011, which caused the shutdown of nuclear power generation, Japan managed to continue supplying power without a substantial hindrance to the supply of power by taking such measures as increasing the import of LNG on an emergency basis to increase the LNG power generation and restoring aged oil-fired power stations. These examples show that diversifying the kinds of fuel resources, namely, developing gas-fired power generation, coal-fired power generation, oil-fired power generation, and hydropower generation in a suitable balance is extremely important in terms of security in the supply of power. To solve Myanmar s energy problems, the development of coal-fired power generation is an important means. (2) Basic conditions of the project In Myanmar, some coal mines produce sub-bituminous coal with properties suitable for power generation use. But most of other coal mines produce brown coal and sub-bituminous coal with poor properties, for these reasons, the present project presupposes the use of imported coal (bituminous coal) from coal exporting countries such as 8

9 Indonesia and Australia, adopting a design that is based on bituminous coal firing alone and the assumed heating value is approximately 24,000 kj/kg, the higher heating value in use. The thermal efficiency of power generation is taken at 42% (HHV), which is on the same level as that of well performed and reliable ultra supercritical pressure coal-fired plants that are operated as base-load plants in Japan. The annual load factor and the availability are assumed in the same way as the thermal efficiency: an annual load factor of 80%, an availability of 84%, and an operating mode as a base load power plant. (3) Envisaged project overview The site plan assumes that the site to be needed to construct a coal-fired power station with a generating output of 600 MW, a coal storage yard, and a coal unloading facility is developed along the seashore nearby Mawlamyine, the largest city in the Mon State. With Mawlamyine connected to Yangon and to the trunk transmission system of Myanmar with a 230-kV transmission line, it is assumed that a transmission line is constructed from the site for the connection with the trunk transmission system. With the site conceived facing the Andaman Sea, it is suitable as the base for ocean transportation of imported coal. The site is also suitable to install limestone-gypsum desulphurization facilities because limestone is mined in the nearby suburb. (4) Execution schedule This survey was positioned as the preliminary feasibility study that formed the premise of the feasibility study associated with the construction of a coal-fired power station, ending in February After the Government of Myanmar requests the Government of Japan to extend ODA of yen loan to the Project, the feasibility study associated with the Project will be conducted, and the decision on the extension of yen loan will be notified to the Government of Myanmar through the Japanese Embassy there; and when an agreement is reached between the Governments of the two countries, the exchange of notes (EN) that concretely compiles the items agreed on will be concluded between the two governments and the loan agreement (LA) between two governments will follow to move into the execution stage. It is envisaged that Construction of the plant will be started in 2018 and after a construction period of about five years, commencement of the operation is scheduled in (5) Request for Yen Loan and feasibility of the project In Myanmar, power stations have been built and operated by means of its own funds or of the offering of gratis fund aids or they have been built and operated as IPP business operations by private power generating operators, while few power stations have been built by means of loan fund aids in recent years. Due to the past circumstances, Myanmar may not positively desire the offering of loan fund. On the other hand, two reasons, (1) the underdeveloped state of laws necessary to organize project finance and (2) the inability of national guarantee of investment, prevent the development of large-scale power stations requiring with project financing while the 9

10 condition of supply and demand of power is increasingly stringent. It is understood that the Government of Myanmar expresses a certain level of understanding of the necessity of yen loan for the construction of power stations through the meeting with high officials of MoEP, MEPE, and other offices during the study. (6) Superiority of Japanese enterprises in the technical and other aspects The only coal-fired power station operating in Myanmar now is Tigyit Power Station with two 60 MW units. The power station was commissioned in cooperation with the Government of China in It is said, however, that the availability of the power station remains around 30% due to troubles of facilities and that troubles in the exhaust gas system have caused environmental problems due to flue-gas. Under these circumstances, high hopes are placed on a high-efficiency and environment-friendly coal-fired power station based on advanced technologies of Japanese manufacturers. The integrated approach with the Japanese government and private companies to combines the export of experienced operating know-how of Japanese utility companies, the capability of project development and finance arrangement of Japanese trading houses, and ODA, financial assistance and technical support by the Government of Japan will contribute to the enhancement of more business opportunities for the related industries for Japanese companies and also to the facilitation of appropriate economic development in Myanmar For an ultra supercritical pressure power plant, major equipment such as the boiler, a steam turbine, and a generator are expected to be manufactured in Japan or by Japanese companies. Furthermore, technical assistance in operation and maintenance of the coal-fired power station after its commissioning for well managed operation at high efficiency can be provided to the power plant in Myanmar by Japanese utility companies and the technological transfer can also be expected for a long run perspective. (7) Issues to be concerned With the further feasibility study of the Project following this study, it is expected that the Myanmar Government and the Japanese Government will agree that the Project would be financially supported by yen loan by the Japanese Government. Since there is an opinion to hesitate to utilize a loan for a project in the Myanmar Government, it is important for the Government to recognize the benefit of the appropriate loan for a project and request the Japanese Government for the yen loan for the Project. There is a strong perception in Myanmar that coal-fired power generation is considered to be highly environment-burdening as a result of NGO activities and of great environmental impacts inflicted by existing coal-fired power stations in Myanmar because of their inefficiency and lack of environmental treatment. In order to promote the Project, it is necessary for the Myanmar Government and also Japanese Government to make it widely known to the public that the environmental-friendly coal-fired power generation is achievable by introducing environmental treatment system for removal of toxic substances such as desulphurization equipment to remove sulfur oxides, selective catalytic reduction facility to remove nitrogen oxides and dry dust collector to remove dust. 10

11 (8) Envisaged project location 11

12 Chapter 1 Overview of the Host Country and Sectors (1) Economic and financial situations of Myanmar 1) Political situation in Myanmar Due to the coup d état staged by the national armed forces in 1962, military administration continued for a long period of time. In 2003, however, the 7-stage Roadmap for Democratization was formulated. As a result of the general election held in November 2011, President Thein Sein took office on February 4, After assuming the office, he dissolved the State Peace Development Council (SPDC), which had been in charge of the military junta. He then successively worked out the following items: democratization under the initiative of the new government, national reconciliation (promotion of peace negotiations with ethnic minorities and of cease-fire agreement), and activities aimed at economic reforms. In such a flow of major reforms, people who had been imprisoned as political criminals due to democratization movements were released. Furthermore, democratization activists who had emigrated to foreign countries because of the inability to carry out political activities in Myanmar were requested by the president himself to participate in the creation of a new country. Many competent persons who accepted his request have returned to Myanmar. In August 2011, a dialogue between the president and Ms. Aung San Suu Kyi, the leader of the National League for Democracy (NLD), which is the largest opposition party, was realized. An agreement was reached that they would cooperate with each other for the purpose of the development of the country. Ms. Aung San Suu Kyi highly evaluates President Thein Sein as a trustworthy person. In conjunction with the progress of democratization and national reconciliation, the United States lifted the embargo on Myanmarese products except some jewelry items in November Furthermore, in April 2013, the EU lifted economic sanctions on Myanmar except for the embargo on weapons. Thus economic sanctions by European and North American countries were relaxed. In Myanmar, the national armed forces participate in national administration even now under the provisions of the constitution. However, the national armed forces have declared their intention to support the political and economic reform line of the current regime. The possibility is low that democratization will be made to backslide by the national armed forces. Incidentally, the military is currently authorized to hold 25% of the parliamentary seats. Against this background, Global Insight, which is an investigating and rating company, is of the view that if a candidate of the NLD is selected as President as a result of the general election scheduled for 2015, the following will be the case: It is considered that progress will not be easily made in a constitution amendment aimed at reforming the issue of, or abolishing, the above-mentioned military parliamentary seats; it cannot be denied that temporary political tension will occur; the NLD highly evaluates President Thein Sein s current economic policies and efforts in democratization; Thus measures will be taken so that losses will be compensated for in the unlikely event that Myanmar will fall into a state of civil war around the time of the general election in 2015, or that the government forcibly expropriates the power plant. 2) Economic situation in Myanmar Ratings pertaining to Myanmar are follows: The rating by three major rating companies is NR ; the rating by Global Insight, which is the only rating company that has given a rating to Myanmar, is B-. The real GDP 12

13 growth rates were, according to IMF estimates, 5.5% in FY 2010, 5.9% in FY 2011, 6.3% in FY 2012, and 6.8% in FY It is predicted that the growth rate in FY 2014 will also be approximately 7%, and that this growth rate level will continue thereafter until Thus it is expected that stable growth will continue in the future also. The GDP per capita is 855 dollars (in 2013), which is at the lowest level in the ASEAN. In Yangon, however, the GDP per capita is said to be 1,800 dollars. That is, the purchasing power of the intermediate and high income classes is higher than is imagined. The trade balance was such that surpluses of 2.4 billion dollars were posted in However, in 2011, surpluses of 1 billion dollars were posted. That is, imports and exports were approximately balanced. In 2012, Myanmar fell into a state of trade deficit. The greatest reason for the reduced trade surplus is a rapid increase in imported used cars. However, the export of natural gas to Thailand, which currently accounts for 40% of the total export, remains in a favorable condition. Furthermore, the pipeline for export to China was opened in September For this reason, gas export to china is expected to increase. Thus it is estimated that the trade balance will improve. The current-account balance is such that some deficit amount was posted. However, an amount of 7 billion dollars, which is equivalent to 9 months worth of total export, is secured as foreign currency reserves. Direct investments increased rapidly in and after FY There were inflows of 20 billion dollars in FY 2010 and 4.6 billion dollars in FY Main countries are not only China and Thailand, which are neighboring countries, but also ASEAN countries. The main field is energy, including electric power, petroleum, and gas. Meanwhile, in and after FY 2012, there were increases in investments in manufacturing industries. It is true that the money amount per item is low, but the number of investment items account for 80% of the number of direct investment items. As regards the fiscal balance, a financial deficit of about 1.5 trillion kyat (about 2 billion dollars) (in FY 2009) has continued. In this respect, under the guidance of the IMF, the financial deficit is controlled in such a way as to be within 5% of the GDP as a rough target. Deficits are covered by the issuance of government bonds. Private monetary institutions in Myanmar act as main purchasers. Government bonds that have been issued are controlled within 5% of the GDP. Thus government bonds can be stably consumed in Myanmar. Foreign debts as of the end of March, 2012, were 13.7 billion dollars, out of which the delinquent debt balance was 4.8 dollars. In FY 2012, Japanese and international organizations (including the World Bank and the ADB) exempted/dissolved delinquent debts, with the result that foreign debts were reduced to half of the amount as it was at the end of FY In January 2013, the Myanmarese Government held consultations, in the Paris Club, with the member nations of this club, and reached an agreement that half of the debts would be exempted in two stages. It was decided that the remaining debts be deferred for 15 years. Currently, the IMF is monitoring the process of the debt reduction measures. In January 2014, the IMF sent an study team. The results of the investigation were satisfactory. It is expected that in the future, resumption of loans can be newly realized. The JBIC is expected to send its study team in concert with the equivalents of other countries, and to start to newly extend credit in May or later this year. At present, interest rates in Myanmar are as follows: The deposit interest rate is 8%; the official discount rate is 10%; the lending interest rate is 13%. By way of recent news, an interest rate reduction of 2% was carried out in September 2011, and the same reduction was performed again in January Since the interest rate level is higher than in neighboring countries, the Central Bank is considering a further interest rate reduction. In this connection, the Central Bank used to be under the umbrella of the Ministry of Financial Revenue. However, an 13

14 organizational reform was carried out in July 2013 for the purpose of securing independence in accordance with the international standard. In April 2012, foreign exchange rates were integrated, and a transition was made to a floating exchange rate system. Subsequently, foreign exchange rates have been decided at auctions conducted by monetary institutions that are authorized to perform exchange transactions. Immediately after the transition, the foreign exchange rate dropped to 900 kyat/dollar. Recently, however, foreign exchange rates stably remain between approximately 900 kyat/dollar and 950 kyat/dollar. 14

15 (2) Outlines of power sector Changes in electric power sectors in Myanmar are shown in Table 1-1. The origin of the electric power business in Myanmar dates back to the fact that in 1908, Anglo Burma Company started to supply electric power in Rangoon City. Large numbers of small-scale electric power enterprises were founded in various places. The total number of such enterprises amounted to a maximum of 120. Subsequently, reorganizations of electric power enterprises were repeated up to now, until the Ministry of Electricity Power under the current setup was founded in September Table 1-1 Period Event Anglo Burma Company started to supply electric power in Rangoon City Subsequently, small-scale electric power enterprises were founded, until the number of such enterprises amounted to a maximum of The Electricity Department was established in the Ministry of Industry (MOI) The Electricity Supply Act No. 69 was enacted, and the electric power business was nationalized The Electricity Supply Board (ESB) was established, and nationalization was promoted Baluchung No. 2 Hydropower Station was completed within the framework of Japan s reparation aid The Electricity Power Corporation (EPC), into which the electric power enterprises in Myanmar were consolidated, was established Baluchung No. 2 Hydropower Station was enlarged The Electricity Power Corporation (EPC) was renamed the Myanma Electric Power Enterprise (MEPE) The Foreign Investment Law was amended, and the purchase of IPPs and electric power facilities was started The electric power organizations that were under the umbrella of the Ministry of Energy became independent, and the Ministry of Electric Power (MOEP) was established Operation of combined cycle power stations was started in Ahlone and Hlawga The Department of Hydropower was established under the umbrella of the Ministry of Electric Power (MOEP) Operation of a coal-fired power station was started in Tigyit. The MOEP was divided into the MOEP 1 and the MOEP 2. The HPGE (Hydropower Generation Enterprise), the YESB (Yangon City Electricity Supply Board), 2006 and the ESE (Electric Supply Enterprise) became independent of the MEPE. The whole business was divided into electric power generation, electric power transmission, and electric power distribution The MOEP 1 and the MOEP 2 were integrated into the MOEP. Source: Data prepared by the Study team 15

16 The Ministry of Electric Power (MOEP) consists of three departments and four enterprises, and takes charge of the following work. Furthermore, the organization of the Ministry of Electric Power is shown in Figure1-1. Policies related to coal fired power plant are made at DHPP, DHPI and HPGE. Department of Hydropower Planning (DHPP) Drafting of hydropower development plans and management of ministerial organizations related to hydropower, as well as communication and coordination Department of Hydropower Implementation (DHPI) Implementation of design and construction of hydropower plants, procurement of materials and equipment, and maintenance and repair of existing power plants Hydropower Generation Enterprise (HPGE) Operation of hydropower plants and coal-fired power plants Department of Electric Power (DEP) Consolidation of systems and management of organizations other than those related to hydropower and coal coal-fired power, as well as communication and coordination Myanma Electric Power Enterprise (MEPE) Electric power transmission system operation work and operation of thermal power plants (except for coal-fired power) Yangon City Electricity Supply Board (YESB) Supply of electric power to places in the Yangon region Electric Supply Enterprise (ESE) Supply of electric power to regions other than the Yangon region Figure1-1 Setup chart of the Ministry of Electric Power (MoEP) Minister Vice-Minister Vice-Minister Department of Hydropower Planning (DHPP) Department of Hydropower Implementation (DHPI) Hydropower Generation Enterprise (HPGE) Department of Electric Power (DEP) Myanma Electric Power Enterprise (MEPE) Yangon City Electricity Supply Board (YESB) Electric Supply Enterprise (ESE) Source: Data prepared by the Study team 16

17 Electric power distribution Electric power transmission Power generation As shown in Figure1-2, the current supply setup in electricity business in Myanmar is divided into power generation business, power transmission business, and power distribution business. Figure1-2 Hydroelectric power plants and coal-fired power plants of Hydropower Generation Enterprise (HPGE) Hydroelectric power plants and thermal power plants that are Independent Power Producers (IPPs) Thermal power plants of Myanma Electric Power Enterprise (MEPE) Myanma Electric Power Enterprise (MEPE) Yangon City Electricity Supply Board (YESB): Supply area: Yangon region Electric Supply Enterprise (ESE): Supply area: regions other than the Yangon region Source: Data prepared by the Study team 17

18 (3) Circumstances in power sector 1) Energy situation Myanmar is blessed with resources such as hydropower, petroleum, natural gas, and coal. Particularly, it can be said that hydropower and natural gas resources are abundant. Economically developable hydropower resources are estimated to be 48.5 GW. However, the actual amount developed is no more than 3.0 GW (6.2%). Meanwhile, the history of development of petroleum and natural gas is so old as to date back to the days of Burmese Petroleum Corporation during the British rule. At the beginning, development of small-scale oil fields and gas fields were pushed forward on land. However, in the 1970s, seabed surveys were started, with the result that the development of large-scale gas fields has been carried out. About 80% of the amount of natural gas mined is exported. The resulting annual income is 3.3 billion dollars, which accounts for 20% of the annual revenue of the country (in 2013). In the case of the coal resources, neither reserves nor properties are correctly grasped. However, reserves are estimated to be 460 million tons. Figure1-3 Main energy resources Resource Resource amount Hydropower 108 GW (Theoretical potential hydropower) 48.5 GW (Economically developable potential hydropower) Petroleum 2,100 million bbl Natural gas 25,000,000 MMcf Coal 460 million tons (estimate) Oil shale 720 3,300 million bbl (estimate) Source: Data prepared by the Study team 2) Energy supply and demand situation The energy supply and demand balance in 2010 is shown in Figure1-4. The amount of energy produced in the country is estimated to be 22,530,000 ton (oil equivalent). About 50% is commercial energy. Natural gas accounts for 80% or more of the above-mentioned 50%. In this connection, 80% or more of the natural gas is exported. Domestic demands for natural gas not only for power generation but also for other industries are high. Priority is desired to be given to domestic demands as regards the gas fields to be developed from now on. However, no prospect has been obtained for such supply. 18

19 Figure1-4 Import (239) Oil product (239) Hydro power (439) Coal (409) Oil product (390) Hydro power (439) Coal (409) Oil (892) Natural gas (10,211) Oil (935) Domestic supply(13,997) (8879) Natural gas(8,879) Domestic product(22,530) Uncommercial energy(10,535) Domestic supply(13,997) Unit: Thousand oil equivalent Uncommercial energy(10,535) (8879) Export(8,879) Natural gas (8,879) Other (108) Loss (1110) Uncommercial energy(10,495) Electricity Oil (535) product (1027) Coal(234) Natural gas(596) Source: Based on information materials prepared by the Japan Electric Power Information Center Inc. 3) Enhancement and rationalization of the use of energy The energy policy is established by the Energy Planning Division of the Ministry of Energy. This policy was established in the 1990s, and was updated in In this new energy policy, Effective Use of Petroleum and Natural Gas and Private Enterprises Participation in the Energy Filed were set forth in place of Active Development of Hydropower, Which is Domestic Resources, which used to be set forth in the past. Petroleum and natural gas are limited resources. These resources are intended to be effectively allocated to domestic demands (electric power and industries) and to export, through which foreign currencies are earned. 19

20 4) Electric power demand prediction, and electric power development plans The electric power consumption in Myanmar is extremely low. The consumption per capita is approximately 1/70 of that in Japan, or about 1/20 of that in Thailand. The electrification rate is as low as 28%. Table 1-3 Electric power situations in Myanmar and other various countries ITEM Myanmar Japan Thailand Indonesia Philippines Jordan Peak Demand [GW] Electricity Sales (a) [TWh/year] Population (b) [Million] Electricity Sales per Capita (a)/(b) [MWh/year/capita] Electrification Ratio [%] Zambia (FY2005) Source: Data prepared by the Study team High economic growth is expected to take place in the future. Also, electric power demand is presumed to significantly increase. Electric power demand predictions are carried out not only by the Ministry of Electric Power, but also by international organizations such as the ADB, the World Bank, and the JICA. Estimations are made using indices such as economic growth rates (GDP), populations, and electrification rates. Recently, demand predictions are performed using JICA s Electric Power Master Plan. The results of these predictions are shown below together with the results of the prediction made by the Ministry of Electric Power. In Case High, the peak electric power will be 14,500 MW in This value is about seven times as high as the current amount. 20

21 Power Demand [MW] Figure 1-5 Electric power demand in Myanmar MOEP High Case Low Case Year Source: JICA Electric Power Master Plan Study: Draft Version For the purpose of meeting this power demand, an electric power source of 28,500 MW will be required in That is, it follows that an electric power source of 25,000 MW will be newly developed. In terms of the electric power source make-up, not only hydropower electric power source, but also coal, gas, and renewable energy electric power sources are intended to be developed in conformity with the government energy policy. In JICA s Electric Power Master Plan investigation, a proposal is made of the optimum electric power source make-up in which consideration is given to the following matters: diversification of electric power sources; electric power source development costs; and electric power supply costs. It is concluded that the optimum coal-fired electric power source is 5,000 MW, which is equivalent to 20% of all electric power sources. Figure 1-6 Electric power source make-up in Myanmar Installed capacity :3,614MW Hydro 2,780 MW Gas MW Coal 120 MW 2013 Installed capacity :28,551MW Renewable 2,000 MW Hydro 19,037 MW Gas 2,484 MW Coal 5,030 MW Source: JICA Electric Power Master Plan Study: Draft Version 21

22 5) Electric power transmission systems The electric power transmission systems in Myanmar consist of 230 kv, 132 kv, and 66 kv systems, and are subject to the jurisdiction of the Myanma Electric Power Enterprise (MEPE). The numbers of facilities, and the facilities capacities as of the end of 2013, are as shown in Table1-4*. The 230 kv system, which is the trunk system, is formed of two routes extending from the central part to the southern part of this country. The facility capacity for supplying electric power generated by hydropower plants in the northern part to demand areas in the southern part is insufficient. Therefore, a 500 kv power transmission lines is newly planned..mawlamyine is located in the southern part. At present, connection is established from the Thaton Electric Power Substation to the Mawlamyine Electric Power Substation by means of one 230 kv power transmission line. A second line is being additionally routed. This additional routing work is scheduled to be completed by Table1-4 Electric power transmission facilities and electrical energy transformation facilities that are subject to the jurisdiction of the MEPE (as of the end of 2013) Item 230 kv 132 kv 66 kv Total Number of electric power transmission lines Electric power transmission line distance (km) 3,047 2,109 3,616 8,772 Number of electric power substations Electric power substation capacity (kva) 3,760 1,323 1,975 7,058 Source: MEPE 22

23 Figure1-7 Chart of electric power transmission systems in Myanmar Existing power system ant planning up to 2020 (Mawlamyine and vicinity inc. Yangon area) Source: Data provided by the Ministry of Electric Power The system operation in this country is carried out by the Load Dispatch Center (LDC), which controls supply and demand adjustments of all systems, the Generation Control Center (GCC), which has jurisdiction over hydropower plants and coal-fired power plants, and the National Control Center NCC), which reports the system operation status to the Ministry of Electricity Power, and has LDC and GCC backup functions. Figure 1-8 System operation work setup Backup NCC Backup GCC Request for electric power generation Operating instructions for relevant units LDC Power plant operating instructions Electric power substation operating instructions Systems for electric power transmission and electrical energy transformation (230 kv 132 kv) Gas-fired power plants and diesel oil-fired power plants Source: Data prepared by the Study team 23

24 6) Electric power distribution systems The electric power distribution systems in Myanmar are subject to the jurisdiction of the Yangon City Electricity Supply Board (YESB) in the case of the Yangon district, and the Electric Supply Enterprise (ESE) in the case of other districts. Electric power is received at 66 kv or 33 kv from the Myanma Electric Power Enterprise (MEPE), which handles higher-ranking systems. Electric power thus received is supplied to consumers at 11 kv, 6.6 kv, or 0.4 kv. Furthermore, the ESE has also jurisdiction over electric power generation by means of diesel power generators and small hydropower generators. Figure1-9 Relationship chart for electric power enterprises Myanma ミャンマー Electric 電 力 Power 公 社 (MEPE) Enterprise Myanmar Electric Power Enterprise 受 電 (66kV,33kV) Electric 地 Supply 方 配 電 公 Enterprise 社 (ESE) Electric Supply Enterprise Yangon ヤンゴン City 配 電 Electricity 公 社 (YESB) Supply Board Yangon City Electricity Supply Board 売 電 (11kV,6.6kV,0.4kV) Consumer 消 費 者 Source: Data prepared by the Study team The suburbs of Mawlamyine in Mon State are subject to the jurisdiction of the Mon State Engineering Office of the ESE. The electric power distribution facilities in the possession of Mon State and the ESE are as shown in the table below. Electrification rates in Mon State are 71% in urban areas and 51% in provincial areas. These rates are higher than those in the entire region under the jurisdiction of the ESE, which are 53% in urban areas and 32% in provincial areas. In districts under the jurisdiction of the ESE, when it is necessary to newly install electric power distribution facilities to meet new demands, there are cases where consumers receive electric power in such a way that consumers bear the cost of new facilities and subsequently transfer these facilities to the ESE. For this reason, there is a high possibility that power plant constructors have to bear the costs of electric power distribution facilities that serves to receive the electric power required to construct power plants and perform trial runs. 24

25 Table1-5 Electric power distribution facilities under the jurisdiction of the ESE Item 66 kv 33 kv 11 kv 6.6 kv 400 V Mon State Electric power distribution Entire region line distance (km) 3,144 6,011 12, ,010 covered by ESE Mon State Number of electric power Entire region substations , covered by ESE Mon State Electric power substation Entire region capacity (MVA) 1,470 2,275 3, covered by ESE Source: Data issued by ESE (July 2013) In the electric power distribution systems in Myanmar, there are frequent occurrences of power outages due to failures caused by deterioration of electric power distribution facilities, and due to insufficient supply from higher-ranking systems. Furthermore, the overall length of low voltage lines is so long that instances of electric power distribution losses and voltage drops are on the increase. The ADB, the World Bank, and the JICA have declared their intentions to provide support for these issues. 7) Electric power tariffs MoEP raised the electricity tariffs in April 2014 for the purpose of improving the income and expense balance, in which chronic deficits continued. Such a Tariff rise was implemented for the first time in about two years after January At the beginning, the YESB announced a tariff rise on October 28, The tariff rise was scheduled for November 1, However, due to citizens protests, the parliament passed a motion for review, with the result that the tariff rise was temporarily frozen. Subsequently, another motion was passed in the parliament, resulting in the tariff rise taking effect on April 1, The Table 1-6 of electricity tariff before April 2014 and those in and after April 2014 are shown below. The tariffs for ordinary households were raised to a maximum of 140%. The tariffs for industries were raised to a maximum of 200%. The tariffs were not raised for streetlight contracts or for foreign currency-based (dollar-based) contracts applied to foreigners to foreign enterprises. 25

26 使 用 用 途 Household 一 般 家 庭 用 Industry 産 業 用 Other その 他 Table1-6 Comparison of electricity Tariffs before the tariff rise and those thereafter Type 契 約 種 類 Electricity 販 Tariff 売 価 (/kwh) 格 (/kwh) Until 2014 年 31st 3 月 March 31 日 2014 まで From st 年 April 4 月 日 から General Purpose 1kWh ~ 100kWh 35Kyat 35Kyat Domestic Power 101kWh ~ 200kWh 40Kyat 201kWh 以 上 50Kyat Small Power 1kWh ~ 500kWh 75kyat 75Kyat Industrial 5000kWh ~ 10000kWh 100kyat 10001kWh ~ 50000kWh 125kyat 50001kWh ~ kWh 150kyat kWh ~ kWh 125kyat kWh 以 上 100kyat Bulk 35Kyat 35Kyat Street Lighting 35Kyat 35Kyat Temporary Lightning 75Kyat 75Kyat Foreign users 0.12USD 0.12USD Source: Data prepared by the Study team 26

27 Chapter 2 Study Methodologies (1) Description of study A series of study work was carried out on the basis of the following items: the energy policy of Myanmar; energy in this country and in that area in Mon State which is the project site; those publications related to the electric power situation which are released to the public; information and data that are collected from, or obtained by interviewing relevant members of, the Ministry of Electric Power, which is the counterpart; and the results of studies made by visiting the site, and the particulars of the information obtained thereby. Studies were made of the following particulars, and studies were made of facilities, fund-raising, and implementation of plans. Subsequently, evaluations were made of the basic plans and business prospects for the coal-fired power plant and for the coal storage and supply base. 1) Matters related to the policies, courses of actions, and laws of the county a) Matters related to the policies and laws related to coal in Myanmar b) The energy policy, electric power development plans, electric transmission plans, electricity rates, etc. 2) Study of fuel supply a) Reserves, prices, properties, etc. of coal inside and outside Myanmar 3) Study of the places of the coal-fired power plant and the coal storage and supply base a) Locations of the ultra-supercritical coal-fired power plant and the coal storage and supply base (areas of the sites, geographical features, weather, hydrological features, ownership, surrounding environment [Distances from electric power consumption places, connection with electric power transmission lines, industrial water], etc.) b) Coal storage and supply base: Harbor (Depth, weather, ship traffic volume, etc) c) Power plant: Calculation of rough estimates of operating costs such as for the investigation of the harbor where water intake openings, water discharge outlets, and piers are to be installed 4) Evaluation of impacts on environmental aspects, social aspects, and consideration-related aspects a) Outlines of environment-related laws and regulations in Myanmar b) Those impacts on environmental aspects and social aspects which are associated with construction and operation regarding this project c) Environmental improvement effects associated with the implementation of this project (analytical techniques) d) Effective use of coal ash and desulfurized by-product calcium sulfate in the cement industry etc. 27

28 5) Financial and economic analyses a) Financial analysis and economic analysis 6) Possibility of participation of Japanese enterprises a) Status of investment in Myanmar from foreign countries b) Investment-related laws, and IPP-related legal systems and tax systems, in Myanmar c) Investment environment for Japanese enterprises (2) Study team 1) Study team Table 2-1 Study team Role Name 1 Project manager Keiji Morino 2 Supervision of investigation Narichika Kobayashi 3 Ryu Zushida Economic and financial analyses 4 Shinji Hosono 5 Shinichiro Kobayashi Legal system and investment 6 Takamichi Ozaki environment 7 Eiji Kurihara 7 Management in general Naoto Kawabe 8 On-site support (Yangon) Munehisa Ito 9 On-site support (Naypyidaw) Keiichi Kagami Mitsui & Co., Ltd. 10 Supervision of technology Kimitsugu Kozasa 11 Electric power development planning Yoshitaka Saito 12 Electric power transmission Chubu Electric Power Kazunori Ohara planning Co., Inc. 13 Power system planning Yoshihide Takeyama 14 Thermal power plant planning Shunichiro Yasuda 15 Environmental and social Impact Kensuke Fukushima 16 analysis Myanmar Koei International 17 Marine civil engineering planning Penta-Ocean Construction Co., Ltd.) Source: Data prepared by the Study team 28

29 2) Counterparts Figure2-1 Organization of MoEP Minister Deputy Minister Deputy Minister Department of Hydropower Planning (DHPP) Department of Hydropower Implementation (DHPI) Hydropower Generation Enterprise (HPGE) Department of Electricity Power (DEP) Myanma Electric Power Enterprise (MEPE) Yangon City Electricity Supply Board (YESB) Electric Supply Enterprise (ESE) Source: Data prepared by the Study team Table 2-2 Counterparts who were met Affiliation Official position Name Ministry of Electric Power Department of Hydro Power Planning Deputy Director General U Aye San Ministry of Electric Power Deputy Minister Maw Thar Htwe Ministry of Electric Power Department of Hydro Power Planning Director U Aung Ko Ko Ministry of Electric Power Department of Hydro Power Planning Deputy Director U Tint Lwin Oo Ministry of Electric Power Department of Hydropower Planning Deputy Director General U Aye San Ministry of Electric Power Electricity Supply Enterprise Managing Director Myint Aung Ministry of Electric Power MEPE Managing Director Htein Lwin Ministry of Electric Power Department of Electric Power Deputy Director General Mi Mi Khaing Ministry of Electric Power Department of Hydro Power Planning Director Aung Ko Ko Ministry of Mine Deputy Director general U Kyaw Din Director Dr. Myint Soe Source: Data prepared by the Study team 29

30 (3) Study schedule Table 2-3 Study schedule (Domestic study) 1 Law and regurations study 2 Fuel Supply Planning study 3 Facility Planning study 4 Fund planning study 5 Environmental Impact accessment 6 Plan study 7 Economical study 8 Report Aug Sep Oct Nov Dec Jan Feb (Site study) 1 1st Disscussion 2 2nd Site study 2 3rd Interim report 3 Final Final Report Source: Data prepared by the Study team Oct. 5, 2014 (Sun) Oct 6, 2014 (Mon) Oct 7, 2014 (Tue) Oct 8, 2014 (Wed) Oct 9, 2014 (Thu) Oct 10, 2014 (Fri) Oct 11, 2014 (Sat) Table2-4 First site study Activities Travel Narita Yangon Internal meeting Meeting with subcontractors for local works Meeting with the Japanese Embassy Meeting with JICA/Myanmar Office Meeting with JICA Expert in the Ministry of Transportation Internal meeting and work Travel: Yangon Naypyidaw Internal meeting and work Meeting with the Deputy Minister of the Ministry of Electric Power and the Director of the Department of Electric Power Planning Internal meeting and work Travel: Naypyidaw Yangon Yangon (Narita) Travel: (Yangon) Narita Source: Data prepared by the Study team 30

31 Nov 9, 2014 (Sun) Nov 10, 2014 (Mon) Nov 12, 2014 (Wed) Nov 13, 2014 (Thu) Travel: Narita Yangon Travel: Yangon Mawlamyine Visit to potential project sites Visit to potential project sites Visit to potential project sites Internal meeting and work Travel: Yangon (Narita) Travel: (Yangon) Narita Table 2-5 Second site study Activities Source: Data prepared by the Study team Nov 24, 2014 (Mon) Nov 25, 2014 (Tue) Nov 26, 2014 (Wed) Nov 27, 2014 (Thu) Nov 28, 2014 (Fri) Nov 29, 2014(Sat) Travel: Narita Yangon Table2-6 Third site study Activities Travel: Yangon Naypyidaw Meeting with the Department of Hydropower Planning of the Ministry of Electric Power Internal meeting and work Presentation at a seminar held by the HIDA Meeting with the Ministry of Mine Internal meeting and work Internal meeting and work Travel: Naypyidaw Yangon Meeting with the Japanese Embassy in Yangon Travel: Yangon Narita Travel: Narita Chubu Source: Data prepared by the Study team Jan 26, 2015 (Mon) Jan 27, 2015 (Tue) Jan 28, 2015 (Wed) Jan 29, 2015 (Thu) Jan 30, 2015 (Fri) Travel: Narita Yangon Table2-6 Fourth site study Activities Travel: Yangon Naypyidaw Meeting with the Ministry of Electric Power Meeting with the Ministry of Electric Power Travel: Naypyidaw Yangon Meeting with the Japanese Embassy in Yangon Meeting with JICA/Myanmar Office Travel: Yangon (Narita) Travel: (Yangon) Narita Source: Data prepared by the Study team 31

32 Chapter 3 Justification, Objectives and Technical Feasibility of the Project (1) Project background As shown in Chapter 1, it is estimated that in 2030, the electric power demand in Myanmar will be seven times as high, compared to the present. In order to meet this increase in the electric power demand and to stably supply electric power, it is necessary that prompt development of power plants. On the basis of the experience gained in Japan regarding the oil crisis, it is necessary that not depending only on one type of fuel, development of power plants shall be done using various types of fuel, such as not only gas-fired power generators, coal-fired power generators, and hydropower generators, but also generators using renewable energy like wind power and solar power. But supply capability of each fuel sources and the places where hydro power can be developed are regulated. Considering this aspect, it is also important that low cost constitution of power generating facilities. The details of the above are shown below. Figure 3-1 Prediction of the gas demand in Myanmar Source: JICA, Electric Power Master Plan in Myanmar, 2014 Figure 3-1 shows the predicted values of the following items in Myanmar: the amount of gas demanded; and the amount of gas that can be supplied. The amount of gas demanded means the amount of gas required to operate the 2,484 MW gas-fired power plants that was assumed for the electric power source. The pink line indicates the amount of gas that can be supplied in Myanmar. It is estimated that in 2030, the amount of gas demanded will be three times as high as the amount of gas that can be supplied in Myanmar. Therefore, it will be necessary to cover the shortage by import. Ordinary import of liquefied natural gas (LNG), and import of natural gas through pipelines from neighboring countries, are conceivable. In this regard, development of these pipelines requires cost and time. 32

33 Figure 3-2 Amounts of coal required for coal-fired power generation in Myanmar Source: JICA, Electric Power Master Plan in Myanmar, 2014 Figure 3-2 shows the amounts of coal demanded with the power generation demand taken into account and the amounts of coal that can be produced in Myanmar. In 2030, it will be necessary to import coal that is about five times as much as the amount that can be produced in Myanmar. Figure3-3 Plans for the development of hydropower plants Source: JICA, Electric Power Master Plan in Myanmar,

34 Power generation cost cet/kwh Figure 3-3 shows plans for the development of hydropower plants. Development of large-scale hydropower plants involves the following problems, among others: Long development periods are required (10 years or more). Depending on development places, environmental impacts, social impacts, etc. are high (such as submergence of a wide range of land, and relocation of residents). Depending on locations, it is difficult to establish connection with electric power transmission lines. Furthermore, there is a problem in that power generation capacities vary depending on season. In dry seasons, power generation output power is 70% of that in rainy seasons. Figure3-4 Comparison of thermal power generation costs (Classified by fuel type) CO 2 countermeasure cost Managerial and repair cost Construction cost Fuel cost Coal Gas Oil Sources: In-house information materials of Chubu Electric Power Co., Inc. and information materials of the Federation of Electric Power Companies of Japan Figure 3-4shows power generation costs as classified by fuel type. Fuel prices are subject to large variations and are subject to various estimation methods. Generally speaking, it can be said that coal-fired power generation is most inexpensive on an overall basis. 34

35 Figure 3-5 Changes in generated electric power as classified by fuel type Source: In-house information material of Chubu Electric Power Co., Inc. Figure3-5 shows generated electric power amounts in the past and at present in Japan as classified by fuel type. Up to the 1970s, electric power supply in Japan depended primarily on hydropower generation and coal-fired power generation. In the 1970s, oil shocks were experienced twice. Since then, efforts have been made to diversify fuel types. In specific terms, development of nuclear power plants, and thermal power plants fired by liquefied natural gas (LNG) or coal, has been pushed forward. Currently, as shown in Figure 3-5, the breakdown of the power generation facility fleet is such that no specific fuel type is depended upon. Figure 3-6 Changes in generated power amounts, as classified by fuel type, which occurred after the Great East Japan Earthquake, compared to the corresponding amounts before this earthquake Source: In-house information material of Chubu Electric Power Co., Inc. 35

36 Figure3-6 shows quite recent generated power amounts as classified by fuel type. In Japan, the Great East Japan Earthquake was experienced in March At the Fukushima No. 1 Nuclear Power Plant, which was damaged by the earthquake and the resulting tsunami, there occurred a serious accident in which nuclear reactors failed to be cooled. At present, safety improvement measures are being taken in nuclear power plants in Japan. All nuclear reactors are stopped. After the earthquake, the following measures were taken, among others: LNG thermal power generation amounts were increased by urgently increasing LNG imports; aged oil-fired power plants were rehabilitated. As a result, power generation operations have been carried out without causing great obstacle to electric power supply. On the basis of the above, promotion of the diversification of fuel is very important in terms of the security of electric power supply. Figure 3-7 Power generation amounts, as classified by fuel type, with respect to daily load duration curves Source: In-house information material of Chubu Electric Power Co., Inc. Figure 3-7 shows changes in daily power generation amounts, as classified by fuel type, in a state when nuclear power plants are operable. The operating arrangement is such that nuclear power and coal-fired power, for which fuel costs are low, are used as base electric power sources, and that electric power is generated at full output power at all times. Adjustment of power generation amounts commensurate with demands is carried out at power plants using gas turbines, which excel in load adjustment speeds (generation power amount adjustment speeds). On the basis of the above, it is necessary in terms of supply and demand adjustment that coal-fired power and gas-fired power be developed in such a way as to strike an appropriate balance. So far, it was explained that diversification of fuel is important. That is, an explanation was given that it is important to carry out development in such a way as to strike an appropriate balance among gas-fired, oil-fired, and hydropower generation. The contents of the explanation made so far made are summarized below: It is expected that in Myanmar, the electric power demand will rapidly increase by Coal-fired power is the most inexpensive electric power source. 36

37 In Japan, oil crises were experienced in which shortage of oil supply, and efforts have been made to diversify fuel. Diversification of fuel is important in terms of security and of supply and demand adjustment. Development of coal-fired power plants is an important means for resolving the energy issue in Myanmar. 37

38 (2) Basic conditions of the project 1) Assumption of fuel to be used (design coal) In Myanmar, there is a coal mine called Kalewa Coal Mine, where sub-bituminous coal whose properties permit the coal to be used to generate electric power, can be mined. However, in most of other coal mines, sub-bituminous coal with poor properties, and lignite, are mined. The properties of these coal types are low calorific values, high water contents, high sulfur contents, and low crushability. In order to use the above-mentioned coal types as power generation fuel, increased facility costs are entailed. Therefore, the aforementioned coal types are unsuitable as power generation fuel. Furthermore, Kalewa Coal Mine alone cannot cover all of the coal-fired power plants to be developed in Myanmar from now on. Figure3-8 Places holding coal deposits underground in Myanmar Source: Data based on DGSE information materials 38

39 Table3-1 Properties of coal in Myanmar Kalewa Rashio Tigyit Eastern Shan Calorific value (kcal/kg) 6,500 3,450-5,400 5,000 3,000-6,000 Sulfur content (%) , Crushability (HGI) Ash content (%) Water content (%) Coal type Estimated reserves (in millions of tons) Sub-bituminous coal Lignite Lignite Lignite Source: Data prepared by the Study team on the basis of DGSE information materials On the basis of the above, it is assumed that in this project, bituminous coal will be used imported from Australia and Indonesia, which are neighboring countries of Myanmar. Also, the facilities will be designed in such a way that the use of sub-bituminous coal in Myanmar. And that blending system of two types of coal such as sub-bituminous coal and bituminous coal shall be considered. 1) Generating capacity: Big scale and reliable plant shall be required; Net Out Put; 600 MW Gross Out Put; 660 MW 2) The calorific value will be as follows: Higher Heating Value (HHV) : Approximately 24,000 kj/kg 3) Assumption of the power generation efficiency The power plant generation efficiency will be similar to that of an ultra-supercritical coal-fired power plant which is operated in Japan on a base load operation basis, which has a large number of operating track records, and which has high reliability. The value of the power generation end efficiency will be as follows: Power generation efficiency: 42% (HHV) 4) Assumption of the annual load factor The annual load factor will be assumed similarly to the case in item (2) 2) above. The value of the annual load factorwill be as follows: Annual use rate: 80% 5) Assumption of the availability The availability will be assumed similarly to the case in item (2) 2) above. The value of the availability will be as follows: Availability: 84% 39

40 6) Operation method As regards the operation method, operations as a base load plant will be assumed. 7) Amounts of fuel (coal) used The following values of the amounts of fuel used were calculated under the above-mentioned conditions: the annual value, the monthly average value, the daily average value, and the value under the rated load. Table3-2 Assumed amounts of coal used Unit Amount of coal used Annual value ton/year 1,500,000 Monthly average value ton/month 120,000 Daily average ton/day 4,000 Value under rated load ton/h 204 Source: Data prepared by the Study team 40

41 (3) Outline of the plan for the project 1) Outlines of sites a) Selection criteria and selection results From the viewpoints listed below, the following items will be selected: land for the construction of a coal-fired power plant with a power generation output of 600 MW, and for the construction of a coal storage yard; and hydrological states for the construction of coal receiving facilities. Hydrological features (Water depths, tide levels, tidal currents, and wind speeds) Terrains Use status Presence or absence of dwelling houses, schools, etc. Legal system-based restrictions on the use of land and water areas Distances from power transmission line Securing of industrial water Access road Distances from pagodas b) Project area It was decided that the project area be that portion of the coastline which extends to the south by approximately 30 km from Kyaikami located approximately 90 km southwest from Mawlamyine, the largest city in Mon State. Figure 3-9 Source: Data prepared by the Study team 41

42 Mawlamyine is connected by 230 kv electric power transmission lines to Yangon and to the trunk systems all over Myanmar. Furthermore, the area faces the Sea of Andaman, and is suitable as a base of marine transportation of imported coal. Limestone is taken out in the suburbs. Therefore, the area is suitable also for the installation of limestone-calcium-sulfate type desulfurization equipment. Figure3-10 Places holding limestone deposits underground in Myanmar Figure3-11 Schematic of electric power transmission systems in the suburbs of Mawlamyine Existing power system ant planning up to 2020 (Mawlamyine and vicinity inc. Yangon area) Source: DGSE information materials. Source: Data provided by the Ministry of Electric Power Figure3-12 Mawlamyine Electric Power Substation Source: Photograph taken by the Study team During the on-site exploration, confirmations were made of the hydrological states of the sea area and the positions of schools, dwelling houses, pagodas etc., and selection was made of the land required to construct the power plant. 42

43 Figure3-13 School, dwelling house Source: Photograph taken by the Study team Figure3-14 Pagodas Source: Photograph taken by the Study team Figure3-15 Study of candidate places Source: Photograph taken by the Study team 43

44 Figure3-16 Study of a candidate place Source: Photograph taken by the Study team 44

45 (4) Plant Layout 1) Future installation of an additional power plant The layout was arranged in such a way that the spaces for coal handling system, ( coal unloading system, coal storage equipment, coal conveying equipment), unit equipment, flue gas environmental treatment system, waste water treatment system, and maintenance areas are secured so that in the future, a similar 600 MW class coal-fired power USC plant can be additionally set up. Furthermore, the layout was also arranged in such a way that account was taken of future additional installation of comprehensive wastewater treatment equipment etc. 2) Water depth A plan was prepared in such a way that coal ships will be anchored at a place where the water depth is 15 m or so and which is approximately 1.5 km offshore. Coal ships were assumed to be 80,000 DWT class oceangoing vessels of approximately 12 m full draft. Moreover, by building a breakwater, the risk of cases where it is impossible to generate power, due to reasons such as the inability to carry out cargo handling during rough weather during monsoon season, is intended to be reduced. 3) Recycling of water intake and water discharge The warm wastewater flow rate is assumed to be 28.5 m 3 /s or less per unit. The seawater temperature deference between intake water and discharge water shall be designed 7 or less. Furthermore, water intake openings and water discharge outlets were arranged in such a way that warm wastewater from water discharge outlets will not flow into water intake openings. 4) Direct convey line from coal jetty to boiler shall be considered The layout was arranged in such a way that after unloaded, coal can be sent directly to boiler from the jetty.. 5) Coal blending Coal blending equipment (equipment whereby two types of coal can be blended at coal bending rates within the range from 10 90%) was installed at the outlet of the coal storage yard so that bituminous coal could be blended with sub-bituminous coal etc. 6) Coal ash and gypsum shipping equipment (Jetpack vehicle transportation, ship transportation) A plan was prepared in which limestone and gypsum would be subjected to marine transportation on 2,000 DWT ships (marine transportation to foreign countries was also assumed). Furthermore, facilities were configured in such a way that it would also be possible to carry out delivery by means of jetpack vehicles. 7) Water to be used The layout was arranged in such a way that plant water receiving equipment and pretreatment equipment would be installed at an entrance to the premises of the power plant, and that the piping length would be the shorts. At present, no industrial water facilities are developed in neighboring places of the project site. Therefore, it is assumed that water will be taken from rivers, well.or instration of RO system. 45

46 Figure 3-17 View of the layout Source: Data prepared by the Study team 46

47 (5) Power generation facilities 1) Design policy for the power plant (a) Design policy It was decided that the power plant comprise one 600 MW unit, and that the major design conditions be as shown in there table below. Table3-3 Design conditions for the New Power Plant No. Item Unit Numerical value 1 Rated output power (Net value) MW Number of units Unit 1 3 Electric power generation efficiency (Higher Heating Value HHV ) % 42 4 Load factor/availability % 80/84 5 Annual operating hours h/ y 7,358 6 Annual Gross Generation Output GWh/y 3,532 7 Auxiliary power consumption rate % Annual Net Generation Output GWh/y 3,338 9 Fuel consumption a Design standard Heating value (Gross as received) kj/kg 24,000 b - Fuel consumption (Load factor = 100%) (Maximum value per hour) t/h 204 c - Fuel consumption (Load factor = 100%) (Maximum value per day) t/d 4,896 d - Fuel consumption (Load factor = 80%) (Monthly average) t/month 120,000 e - Fuel consumption (Load factor = 80%) (Annual average) t/year 1,500,000 f - Coal storage yard capacity) (Number of days) days 45 g - Coal storage yard capacity) (tons) ton 200, Ash discarding place capacity (Number of years) Years 5 Source: Data prepared by the Study team (b) Steam conditions As regards the steam conditions to be applied to the power plant, it was decided that at the turbine inlet, the main steam temperature be 600 C and the reheated steam temperature be 600 O C. At present, this temperature level is in the top level. Table3-4 Power plant steam conditions NO Item Value Remarks 1 2 Main steam (at the high pressure steam turbine inlet) Reheated steam (at the Intermediate pressure steam turbine inlet) Pressure Temperature Pressure Temperature Source: Data prepared by the Study team 24.5 MPa (g) 600 C 4.38 MPa(g) 600 C 47

48 (c) Design coal It was decided that the properties of coal be as shown below. Design was carried out on this basis. Table 3-5 Design coal properties Item Numerical value Higher heating value of constant humidity coal 24,000 kj/kg Total S content (on a dry basis) 1.0% N content (on a dry basis) 1.8% Ash content (on a dry basis) 20% Hygroscopic moisture (Surface moisture) 7% Source: Data prepared by the Study team 2) Main specifications of power generation equipment In this paragraph, description is given of the main equipment (boilers, turbine generators), and of the recommended main specifications. Figure3-19 Main system schematics Source: Data prepared by the Study team (a) Boiler Fuel : Imported coal (from Australia and Indonesia,) Auxiliary fuel :Light oil Stem conditions : USC (600/600 C) Boiler type : Ultra-supercritical once-through boiler where pulverized coal is burned exclusively Maximum steam flow rate : 1,930 t/h Main equipment : Two boiler circulation pumps, two water separators, six mills (one mill being a spare), two forced draft fans, two primary air fans, two induced fans, and two, boost up fans. 48

49 Figure 3-20 Schematic of boiler Source: Data prepared by the Study team Figure 3-21 Schematic of coal pulverizing equipment Figure 3-22 Coal pulverizing equipment Source: Data prepared by the Study team 49

50 (b) Turbine Steam conditions : USC (600/600 C) Turbine type : Tandem compound, single reheat condensing turbine Main valves : Four Main steam stop valves, four steam control valves, two reheated steam stop valves, and two intercepting valves Water supply pumps : Steam turbine-driven boiler water feed pumps (Two 50% pumps) and electromotor-driven boiler water feed pumps (One 25% pumps) Figure3-23 General view of the steam turbine (in the course of assembly) Figure3-24 Low pressure turbine Source: Data prepared by the Study team Figure 3-25 General view of the turbine generator unit Source: Data prepared by the Study team (c) Generator Type : Rotating field magnet type Cooling method : Hydrogen direct cooling (for rotors), and water direct cooling (for stators) Capacity : 700 MVA (rating) Power factor : 0.9 (The details pertain to the time of the implementation of FS.) Frequency : 50 Hz Excitation method : Thyristor excitation method Treatment of sealed oil : Vacuum treatment method 50

51 (6) Environmental treatment equipment and coal handling system In power plants, it is important to install appropriate environmental treatment equipment and carry out suitable operation and maintenance management. Described below are environmental measures taken in one of the latest large-sized coal-fired power plants in Japan Figure 3-26 Schematic of coal-fired power plant Source: In-house information material of Chubu Electric Power Co., Inc. Figure 3-26 shows an outline of the whole coal-fired power plant. Ash, sulfur oxides (SOx), and nitrogen oxides (NOx) are included in exhaust gas generated due to the combustion of coal. Pieces of equipment for removing these pollutants are installed between the boiler and the stack. Furthermore, various types of wastewater are generated in coal-fired power plants. These types include the following, among others: wastewater from boilers and turbines, wastewater from desulfurization equipment for removing sulfur oxides, miscellaneous wastewater from offices etc., wastewater from facilities for treating and transporting ash, wastewater from coal storage yards and wastewater containing oil. These types of wastewater have different properties, and therefore, should be separately treated appropriately. 51

52 1) Flue gas treatment system (Prevention of air pollution) Figure 3-27 Power plant in the 1950s Present-day coal-fired power plant (Hekinan Thermal Power Plant) 日 本 では 公 害 問 題 が 深 刻 化 した1970 年 代 以 降 脱 硝 脱 硫 In Japan, progress was made in the introduction 集 じん of 等 の 環 境 対 策 設 備 の 導 入 が 進 んだ environmental treatment equipment such as denitration equipment, desulfurization equipment, and dust precipitators ever since the 1970s, during which pollution became a serious issue. Changes in NOx and SOx emissions per kw Source: In-house information material of 日 Chubu 本 では Electric 公 害 問 Power 題 が 深 Co., 刻 化 Inc. した1970 年 代 以 降 脱 硝 脱 硫 集 じん 等 の 環 境 対 策 設 備 の 導 The pictures on upper side of Figure 3-27 shows comparison 入 が of 進 coal-fired んだ power plant in the 1950s with that at present, and visually shows that smoke discharge decreased due to the introduction of environmental treatment equipment. In Japan, the public air pollution became a serious social problem from the 1960s to the 1970s. For this reason, ever since the 1970s, various flue gas treatment equipment has been developed and introduced. The graph on lower side of Figure 3-27 shows changes in emissions of NOx and SOx per kw. Due to the development and introduction of flue gas treatment equipment, the emissions of air pollutants were drastically reduced. 52

53 Figure 3-28 Comparison of amounts of air pollutants discharged NOx SOx USA Canada UK France Germany Italy Japan (2005) (2005) (2005) (2005) (2005) (2005) (2007) Hekinan Hekinan Source: Data prepared by the Study team by using information materials of the Federation of Electric Power Companies of Japan Figure 3-28 shows amounts of SOx and NOx discharged per kwh in coal-fired power plants in various countries. As compared to other countries in the world, the amounts of the above-mentioned substances discharged from coal-fired power plants in Japan are extremely low. Furthermore, in Japan, the amount of the aforementioned substances discharged from the Hekinan Thermal Power Plant of Chubu Electric Co., Inc. is furthermore lower. Figure 3-29 shows an outline of flue gas treatment facilities in a coal-fired power plant. Figure3-29 Outline of flue gas treatment facilities Source: In-house information material of Chubu Electric Power Co., Inc. 53

54 Figure3-30 Flue Gas treatment facilities in the Hekinan Thermal Power Plant Source: In-house information material of Chubu Electric Power Co., Inc. Combustion gas from the boiler firstly passes through the denitration equipment, which removes nitrogen oxides (NOx) in a high temperature state. Subsequently, this gas passes through the air preheater and through the gas and gas heater heat recovery device, where the temperature is reduced. Then the above-mentioned gas passes through the dry electrostatic precipitator, which serves to remove particles of soot.. Subsequently, this gas passes through the induced draft fan, and is sent to the desulfurization equipment, which serves to remove sulfur oxides (SOx). Downstream of this equipment, the above-mentioned gas passes through the wet electrostatic precipitator, which serves to remove particles of soot once again. Subsequently, the gas temperature in the gas and gas heater reheating device is made to the temperature of flue gas high. Then this gas passes through the gas pressure boost up fan, and is released from the stack. The wet electrostatic precipitator is installed in the Hekinan Thermal Power Plant, where the regulations of flue gas emission are very strict. Therefore, this equipment is not generally installed. Figure 3-31 shows the process where air pollutants in exhaust gas are removed in each facilities of flue gas treatment system. Figure3-31 The process where air pollutants in exhaust gas are removed Source: In-house information material of Chubu Electric Power Co., Inc. 2) Emission standards of exhaust gas Figure 3-32 shows the emission standards in the Pollution Control Agreements concluded by the Hekinan Thermal Power Plant with the relevant local autonomous bodies, the emission standards specified in the Air 54

55 Pollution Control Law in Japan, and the emission standards for air pollutants (NO, SOx, and soot dust) contained in the exhaust gas produced in coal-fired power plant in the case of the World Bank and the IFC (International Finance Corporation). Table 3-6 Comparison of criteria for discharge to the atmosphere mg/nm3 Source: Data prepared by the Study team In the criteria of the World Bank and the IFC, areas are divided into places where air pollution is serious (degraded airsheds) and other places (non-degraded airsheds). In Japan, the criteria specified in the Air Pollution Control Law are formulated. In the Pollution Control Agreements concluded by the Hekinan Thermal Power Plant with the pertinent local autonomous bodies (Aichi Prefecture and Hekinan City), criteria involving values stricter than those specified in the Air Pollution Control Law are prescribed. In Japan, factories are concentrated in places such as the areas around Tokyo Bay, around Ise Bay, and around the Inland Sea. In these areas, it is demanded that particularly strict criteria be specified with regard to power plants, where large amounts of exhaust gas is discharged. In Myanmar, the criteria to be complied with will be specified in the course of activities such as studies of development of domestic laws and evaluations of environmental impacts. In cease where power plants are to be constructed using loans from banks, it is a general practice to apply the criteria of the IFC. Applicable criteria differ according to places where power plants are constructed. The criteria of the IFC's NDA will be applied in places where the atmosphere is clean. In places where air pollution has progressed, the DA criteria will be applied. In Myanmar, the Environment Law was enacted in It is expected that in FY 2014, the criteria for the atmosphere, wastewater, soil, noise, etc. will be submitted to the parliament and enacted. It is expected that criteria specific to Myanmar will be formulated by referring to the criteria of the ADB, EU, and IFC. Here, the IFC standard, which is widely used worldwide, will be borne in mind. On this basis, necessary environmental measures equipment is described below. 55

56 3) Flue gas denitration equipment (Selective catalytic reduction [SCR] type) Figure3-32: Schematic of flue gas denitration equipment Source: In-house information material of Chubu Electric Power Co., Inc. Figure 3-32 shows selective catalytic reduction (SCR) type denitration equipment. In Japan, the criteria for nitrogen oxides (NOx) discharged from large-scale thermal power plants are strict. Therefore, the selective catalytic reduction type is generally introduced as denitration equipment. This equipment is arranged in such a way that ammonia is injected into high temperature exhaust gas, thereby being made to react with nitrogen and water, with the result that nitrogen oxides are reduced. A catalyst serves to accelerate this reaction. By means of this equipment, 80 to 90% of nitrogen oxides (NOx) can be removed. As regards nitrogen oxides (NOx ), in countries and regions where the discharge criteria are lenient, denitration equipment is normally not installed. Catalysts are expensive. Therefore, it is necessary to decide the necessity or non-necessity of denitration equipment by taking account of discharge criteria that are applied at the stage of detailed studies. The NOx discharge criteria in the case where DA area is applied pertaining to the IFC criteria in Myanmar, turn out to be 200 mg/nm3 (NO, PPm equivalent: 160 ppm). Therefore, denitration equipment is required. In cases where NDA is applied pertaining to the IFC criteria, the NOx discharge criteria turn out to be 510 mg/nm3 (NO, PPm equivalent: 409 ppm). Therefore, denitration equipment is not required in the case of a boiler in which low NOx fuel is taken into account. Depending on coal type, there is a possibility that the IFC and DA criteria can be achieved. However, if in-furnace Nox reduction action is intensified with the aim of reducing the NOx concentration at the boiler outlet, there is a fear that sulfuration corrosion will occur on the furnace wall evaporation tube. Therefore, this practice is not desirable from the viewpoint of securing reliability for a long period of time. Next, a combustion method for suppressing the generation of nitrogen oxides (NOx) is shown below: 56

57 Figure 3-33 Low NOx combustion method Source: In-house information material of Chubu Electric Power Co., Inc. Nitrogen oxides (NOx) that are generated by carrying out rapid combustion at high temperature, are called thermal NOx. For the purpose of preventing the generation of thermal NOx, the following measures are taken so that rapid combustion will be prevented from occurring at high temperature in the boiler. Exhaust gas mixture combustion method: An arrangement where burned gas is made to circulate again in the boiler furnace, and whereby rapid combustion is suppressed by reducing the amount of oxygen. Two-stage combustion method: An arrangement whereby in places where burners exist, required air is not supplied in full amount, but combustion air is supplied in two separate stages. Low NOx burners: An arrangement where in the burner portions, exhaust gas is mixed in, in addition to combustion air. 57

58 4) Electrostatic precipitator (ESP) Figure 3-34 Schematic of electrostatic dust precipitator Source: In-house information material of Chubu Electric Power Co., Inc. Figure3-34 shows a dry electrostatic precipitator. This equipment consists of discharging electrodes (linear articles), which discharge electrons, and dust collecting electrodes (plates), to which dust is made to stick. If the discharging electrodes are charged with negative electricity and if the dust collecting electrodes are charged with positive electricity, then electrons are released from the discharging electrodes, with the result that the ash (particle) in the gas is charged with negative charges. Due to the above, the ash is attracted to the dust collecting electrodes and stick to these electrodes. On a periodic basis, the ash that stuck to the dust collecting electrodes is made to drop due to vibrations, and is recovered. The above-mentioned vibrations are generated, for example, by means of a device whereby the plates constituting the dust collecting electrodes are tapped with hammers. By means of this electrostatic precipitator, 99% or more of the ash (particle) in the exhaust gas is removed. It is necessary to decide the required performance by carrying out detailed design at the stage when items such as the coal to be used and the applicable criteria for discharge to the atmosphere are decided. 58

59 5) Flue gas desulfurization equipment (FGD) Figure 3-35 Schematic of flue gas desulfurization equipment Source: In-house information material of Chubu Electric Power Co., Inc. Figure3-35 shows flue gas desulfurization (FGD) equipment based on the wet gypsum-limestone method. Sulfur oxides (SO 2 ) react with lime (CaCO 3 ), oxygen, and water, and turns into gypsum (calcium sulfate) and carbon dioxide (CO 2 ). Flue gas desulfurization equipment based on the wet gypsum-limestone method is the fruit of the use of this principle. It is so arranged that limestone crushed into a powdery state is mixed with water, resulting in the generation of an absorber, and that this absorber is sprayed into exhaust gas. This equipment is capable of removing 90 to 95% of the sulfur dioxides in the exhaust gas. In recent coal-fired power plants in Japan, the general practice is to use flue gas desulfurization equipment based on the wet gypsum-limestone method method. There are a single-tower structure where the soot dust concentration at the flue gas desulfurization equipment inlet is reduced as much as possible and where the dustproof cooling tower is eliminated (in the figure above), and a structure type in which a cooling tower aimed at removing soot dust and cooling gas is installed upstream of the absorption tower. A type called the low low-temperature dust precipitation system is adopted in the latest flue gas treatment system. In the case of single-tower type flue gas desulfurization equipment, it is necessary to reduce the soot dust concentration at the desulfurization inlet. Therefore, it is necessary to enhance the performance of the dry electrostatic precipitator located upstream. In order to improve the dust precipitation performance, it is necessary to reduce the gas temperature. Therefore, a low low-temperature dust precipitation system is adopted in which gas - gas heater heat recovery machine is installed upstream of an electrostatic precipitator and in which the gas temperature is reduced to 90 O C or so. The heat recovered by a heat recovery device is used to raise the exhaust gas temperature at the stack inlet.(gas - gas heater, gas reheater). The purpose of the above is to raise the temperature of the gas released to the atmosphere, thereby improving atmospheric diffusion (the effective stack height is increased). In the event that the criteria of the IFC and the NDA (850 mg/nm3. SO2 equivalent: 785 ppm) are applied in Myanmar, it is considered that it may be possible to omit the flue gas desulfurization equipment in cases where 59

60 coal with a low sulfur content is used. However, in this project, it is expected that various types of coal are purchased in the case of imported coal. Also, the discharge criterias are unclear. Due to the above, studies will be promoted on the assumption that flue gas desulfurization equipment will be installed. Meanwhile, in foreign countries, the following flue gas desulfurization types are used, among others: a type based on the dry limestone-calcium-sulfate method; and a type based on the seawater method. As to the issue of which is the optimum type, it is necessary to make a decision at the project implementation stage by taking account on matters such as discharge criteria and the procurability of limestone. 6) Stacks (heights and discharge temperatures) Figure 3-36 Schematic of a Stack Stack heights are an impotent factor when calculating SOx, NOx, and particulate diffusion during environmental impact studies (EIS). The design values of Stack heights, gas flow velocities, and gas temperatures are established in such a way that maximum ground level concentrations, which are the results of the diffusion calculation in environmental impact studies, will meet the environmental criteria. Source: In-house information material of Chubu Electric Power Co., Inc Figure 3-36 shows the 200 m high centralized stack in the Hekinan Thermal Power Plant. Stack heights are deeply related to the atmospheric diffusion of exhaust gas. In the evaluation of environmental impacts, the effective heights of Stacks are calculated from the heights of planned Stacks, gas flow velocities, and gas temperatures. Diffusion simulation is carried out on the assumption that exhaust gas diffusion occurs at the heights equal to the effective stack heights calculated. Through simulations, calculation is made of the maximum ground level concentrations of sulfur oxides (SOx), nitrogen oxides (NOx), and particle. In the course of the evaluation of environmental impacts, it is verified that the maximum ground level concentrations meet the environmental air standards. 7) Reductions in greenhouse effect gas (CO 2 ) emission In order to reduce carbon dioxide (CO 2 ) emission, it is indispensable to introduce high efficiency power generation facilities. For this purpose, it is necessary to introduce power generation facilities using ultra-supercritical (USC) boilers, which have high pressures and high temperatures. 60

61 Terms related to steam conditions include subcritical (SC) pressure, supercritical (SC) pressure, and ultra-supercritical (USC) pressure. The items in Table3-7 shows rough definitions. Relevant defining values differ from manufacturer to manufacturer. On this basis, rough defining values are shown in Figure 12. Relationships between steam conditions and efficiencies are noted below. Figure 12 shows that the higher the pressures and temperatures under steam conditions, the higher the power generation efficiencies. Figure 3-7 Steam conditions and thermal efficiencies Source: JICA, Clean Coal Technology in Indonesia, 2012 Subcritical (SubC) pressure conditions Main steam pressure, reheated steam turbine inlet pressure < 22.1 MPa, Temperature 566 C Supercritical (SC) pressure conditions Main steam pressure, reheated steam turbine inlet pressure 22.1 MPa, Temperature 566 C Ultra-supercritical (USC) pressure conditions Main steam pressure, reheated steam turbine inlet pressure 22.1 MPa, Temperature 566 C Figure 3-37 shows comparisons between the subcritical (SubC) conditions and the ultra-supercritical (USC) pressure conditions. Given below are differences in construction costs and CO 2 emissions between the subcritical (SubC) conditions and the ultra-supercritical (USC) conditions. 61

62 Figure 3-37 Comparisons between the subcritical pressure conditions and the ultra-supercritical pressure conditions Source: JICA, Electric Power Master Plan in Myanmar, 2014 Construction costs become higher under the USC conditions. This is because it is necessary to use materials capable of withstanding high temperatures. Meanwhile, under the USC conditions, efficiencies become higher. Therefore, under the USC conditions, fuel consumption and CO 2 emissions become lower than under the subcritical conditions. The notion that the adoption of the ultra-supercritical (USC) conditions is advantageous from the viewpoint of CO 2 reduction and running costs is generally the case. 62

63 Figure 3-38 shows CO 2 emissions in various countries. CO 2 emissions from China and the United States are very high. Meanwhile, CO 2 emissions from Myanmar is so low as to be approximately 1/1,000 of CO 2 emissions in China, Figure 3-38 CO 2 emissions in the world originating from energy (2011) CO2 emission in the world (Energy consumption base) South Africa Australia Brazil Others a China Indonesia Mexico Saudi Arabia Iran Canada Japan 31.3billion ton America South Korea Russia India EU 27 countries German France UK Italy y Source: Data cited from the website of the Ministry of the Environment Table 3-8 CO 2 emissions in 2011 (Numbers are in millions of t-co2.) Country Emissions China 7,999.6 United States 5,287.2 Japan 1,186.0 Myanmar 8.3 Source: Data prepared by the Study team on the basis of information provided on the website of the Ministry of the Environment 63

64 Figure 3-39 and Table3-9 show CO 2 emissions per capita in 2011 originating from energy. Emissions per capita in Myanmar are approximately 1/100 of those in the United States. Figure3-39 CO 2 emissions per capita originating from energy as classified by country (2011) CO2 emission per capita in the world (2011) Average of the world Qatar Qatar UAE Australia America Saudi Arabia Canada South Korea Russia Japan Germany South Africa England Iran Qatar Italy China France Qatar Mexico Qatar Brazil Qatar Indonesia Qatar Qatar India Nigeria Qatar Qatar Source: Data cited from the website of the Ministry of the Environment Table3-9 CO 2 emissions per capita in 2011 (Numbers are in millions of t-co2.) Country name CO 2 emissions per capita China 5.92 United States Japan 9.28 Myanmar 0.17 Source: Data prepared by the Study team on the basis of information provided on the website of the Ministry of the Environment 64

65 Figure 3-40 shows changes in CO 2 emissions originating from energy in major countries. Emissions undergo significant increases in China, where emissions are the highest in the world. It is considered that in China, emissions will increase in the future as well. Figure 3-40 Changes in CO 2 emissions originating from energy, as classified by major country China America EU 27 India Russia Japan German Canada England Brazil Italy France Spain Source: Data cited from the website of the Ministry of the Environment Although the amount of CO 2 emissions in Myanmar is rather low compared to the other countries at present, it is predicted the CO 2 emissions will be increased according to the economic development in the future. It is important to reduce the CO 2 emissions in the world including Myanmar by introducing Clean Coal Technology(CCT) from Japan. 65

66 7) Wastewater treatment facilities Figure 3-41 Schematic of wastewater treatment facilities Source: In-house information material of Chubu Electric Power Co., Inc. Figure 3-41 shows wastewater treatment facilities in a coal-fired power plant. In these facilities, various types of wastewater are generated. The properties of wastewater differ from type to type. Therefore, it is necessary to carry out appropriate treatment depending on individual types of wastewater. Human sewage from buildings: BOD and COD should be removed. Desulfurization wastewater from desulfurization equipment: Fluorine, metals, nitrogen, and COD should be removed Start-up wastewater from the plant (wastewater containing chemicals): Hydrazine and COD should be removed, and the wastewater thus treated should be reused. Treatment of unsteady wastewater: That type of cleaning wastewater etc, for relevant devices which comprise nitrogen contents should be neutralized. The nitrogen contents should be flocculated and precipitated. The wastewater thus treated should be reused. Treatment of wastewater containing waste liquid: That type of wastewater from water treatment equipment which does not comprise nitrogen contents should be subjected to flocculation and precipitation, with the result that the wastewater thus treated should be reused. 66

67 Those types of wastewater from oil tanks or various devices which contain oil: Oil contents should be removed. Surplus water in ash discarding places: SS should be removed, and ph values should be adjusted. Rainwater in coal storage yards: This rainwater should be used for purposes such as sprinkling water onto coal piles. Figure 3-42shows an outline of the wastewater treatment system in the Hekinan Thermal Power Plant. In power plants in Japan, various types of treatment are carried out to meet the wastewater criteria. With regard to the structures of wastewater treatment facilities, various methods are introduced, such as the control of ph values, removal of very small substances (SS: Suspended Solid), living organism treatment by using bacteria, and treatment for removing nitrogen and phosphorus. Furthermore, with the aim of reducing the amount of water, actions are taken to reuse treated wastewater. The configurations of treatment devices differ from plant to plant. Therefore, detailed explanations of individual devices are omitted in this document. Figure3-42 Wastewater systems in the Hekinan Thermal Power Plant Source: In-house information material of Chubu Electric Power Co., Inc. 67

68 Table3-10 Wastewater criteria in the Hekinan Thermal Power Plant Source: Data prepared by the study team on the basis of the Wastewater Criteria of the Hekinan Thermal Power Plant Table3-10 shows the wastewater criteria specified in the Pollution Control Agreements concluded by the Hekinan Thermal Power Plant with the relevant local autonomous bodies. With regard to wastewater also, coal-fired power plants are required to establish strict criteria similarly to the case of exhaust gas. 9) Sound insulation and vibration control measures Next, noise and vibration prevention measures are shown below. Figure3-43 shows the sound insulation and vibration control measures. In the Hekinan Thermal Power Plant, large-sized machines such as turbines, boilers, transformers, and large-sized fans are installed inside of buildings, resulting in reduced noise. Insulation members for absorbing and reducing sound are used in building walls. Figure

69 Source: Data prepared by the study team Table3-11 Vibration and noise criteria in the Hekinan Thermal Power Plant Source: Data prepared by the study team In the graph in Table 3-11, regulation values for vibrations in the Hekinan Thermal Power Plant are shown in the upper column, and regulation values for noise in this power plant is shown in the lower column. The Hekinan Thermal Power Plant is located in an area consisting of industrial zones and agricultural zones. The numbers of residences in neighboring sites are low. Under these circumstances, agreements containing these strict criteria were concluded with the relevant local autonomous bodies. 10) Coal scatter prevention measures The coal scatter prevention equipment, which is a portion of the coal facilities, is shown below. Figure 3-44 Wind shielding fence for preventing coal scatter Figure3-45 Coal scatter prevention by sprinkling water onto a coal pile 69

70 Figure 3-46 Unloader Figure3-47 Belt conveyor enclosed with a coal scatter prevention cover Source: Data prepared by the study team Around the coal yard, a wind shielding fence for reducing wind speed is installed for the purpose of preventing dust scatter. The shielding fence is designed in such a way that the fence height is higher than those of the coal piles. Water is sprayed to the coal piles, the conveyor connection portions, the unloader, and the excavation protons of the reclaimer, in an effort to prevent dust scatter. Dust scatter prevention measures are taken by means of the following, among others; Covers are installed in the vertical elevator portion of the unloader and on the conveyor. 11) Harbor facilities a) Assumption of ships General specifications of oceangoing ships used for the import of coal are shown in the Figure below. The full load draft is m. Therefore, it is necessary that the port of landing have a water depth of 16 m or more. As shown in Figure3-48, in order to secure a water depth of 16 m or more in neighboring areas of this project site, it becomes necessary for a jetty to protrude into the sea area, leading to increased construction cost. In this project, it is assumed that wide-width, shallow-draft dedicated ships will be used for maritime transportation of coal, thereby importing coal from Indonesia and Australia. Studies are made under the following conditions. Deadweight capacity: 80,000 DWT Cargo handling time: 2 to 3 days/ship Cargo handling frequency: 1 to 2 times/month In the Hekinan Thermal Power Plant, the water depth near the pier is 14 m. Therefore, general large-sized oceangoing ships cannot land. However, maritime transportation and landing of coal is carried out by means of wide-width, shallow-draft dedicated ships. 70

71 Table 3-12 Typical coal ship specifications Ship type Deadweight capacity tonnage Draft (DWT) Kamsarmax 82,000-ton type 14.5 m or so Panamax (P max) 70,000-ton type m or so Handymax/Supramax/Ultramax 50,000-ton 64,000-ton type Approximately 13 m Source: Data prepared by the study team Figure 3-48 Water depths in neighboring areas of Kyaikami Source: Data prepared by the study team Table3-13 Outline of a wide-width, shallow-draft dedicated ship Deadweight capacity tonnage (DWT) 88,495 90,685 91,860 91,765 Load weight at a draft of m 86,548 86,400 87,800 81,067 Full load draft (summertime) Mold depth Gross tonnage 55,130 55,300 55,295 52,964 Source: Data prepared by the study team 71

72 Figure3-49 External appearance view of wide-width, shallow-draft dedicated ship Source: Data prepared by the study team b) Pier facilities (Length of the pier) Data which are based on the global wave numeric value prediction model GPV (GWM), and which cover a period of 6 years from 2008 to 2013, were consolidated. Subsequently, wave heights, wave directions, and cycle appearance frequencies around the candidate place for the thermal power plant were analyzed. As a consequence, the properties of waves and wing conditions are confirmed. (a) Target places Four places, A to D, which are located around the candidate place, and in which GPD data can be obtained, are taken as target places, Shown below are GPV data extraction places. 72

73 Figure3-50 Points at which items of GPV data were extracted A : N16 00 E97 30 B : N15 30 E97 30 C : N15 30 E97 00 D : N16 00 E97 00 D C A B (b) Summary of the wave height incidence Source: Data prepared by the study team The following table summarizes the wave height incidences at different points. Table 3-14 Wave height incidences at different points Wave height Incidence (%) (m) Point A Point B Point C Point D Source: Data prepared by the study team Significant differences in the incidence between points were not observed, with the incidence of wave heights of 1.0 m or less being approximately 60% at all points. To increase the availability factor of the coal unloading berth, the arrangement of breakwaters is considered. Assuming that the rough wave height ratio is 0.5 in consideration of the shielding effect produced by the breakwaters, the incidence of wave heights of 1.0 m or less is estimated at 90% or more. Table 3-15 shows the estimated values of incidences of wave heights after the installation of breakwaters. 73

74 Table 3-15 Incidence of wave heights after the installation of breakwaters Wave height Incidence (%) (m) Point A Point B Point C Point D Source: Data prepared by the study team (c) Summary of incidences of wave heights The following figured show the scatter tables with a range of wave height and wave direction bins at each point (wave rose). At every point, the frequency of the southwest wind is high with high wave heights. For this reason, the off-shore breakwaters for this project will be designed in an arrangement that will prevent the impact of the southwest wind. Figure3-51. Wave Rose at point A Figure3-52. Wave Rose at point B N 60% N 60% W % E W % E S S 0~1m 1~2m 2~3m 3m~ 0~1m 1~2m 2~3m 3m~ Annual Wave Rose Annual Wave Rose Figure3-53. Wave Rose at point C Fig3-54 Wave Rose at point D N 60% N 60% W % E W % E S S 0~1m 1~2m 2~3m 3m~ 0~1m 1~2m 2~3m 3m~ Annual Wave Rose Annual Wave Rose Source: Data prepared by the study team 74

75 (d) Study of the port layout Using the availability factor of the coal unloading berth calculated from the GPV data for the vicinity of the candidate site as an index, the layout of the port auxiliary facilities of the thermal power station was studied. (e) Conditions under which the study is made Table 3-16 shows the conditions under which the study is made. In the study, target ships, the depth of water of berth, and the berth length are given conditions, and the tide level is that of the port of Yangon given in Material 1192 of the Port and Airport Research Institute: the on-site survey of the damage due to the 2008 storm surge in the port of Yangon. The design wave height is defined according to the wave height assumed to occur at a point with a depth of water of 17.0 m at which a breakwater is to be installed. Table 3-16 Conditions under which the study is made Item Value Target ship 80,000 DWT Depth of water of berth h = 15.0m Length of coal unloading berth Tide level L = 350m H.W.L. = 5.80m L.W.L. = 0.70m Design wave height H 1/3 = 6.0m Source: Data prepared by the study team The study this time is based on calculations made by means of charts and given data, with no on-site data that has been acquired through measurement. For this reason, accurate depths of water, conditions of soil, and conditions of weather and oceanographic phenomena are not considered in the present study. The study has been conducted under the following assumptions also: All equipment and materials can be procured locally; A yard and access to it can be secured; A port of evacuation is nearby; and Authorization and licensing are not considered. (f) Selection of a layout Three typical varieties of berths for unloading coal, a dredged anchorage type, an off-shore extending breakwater type, and an off-shore extending berth plus off-shore breakwater type, were studied to select one of them. 75

76 Figure3-55. Dredged anchorage type Figure3-56 Off-shore extending breakwater type Figure3-57 Off-shore extended berth plus off-shore breakwater type Source: Data prepared by the study team a) Dredged anchorage type Breakwater Constructed as far as the point at which the water is deep, the breakwater protects sea routes near the port entrance and the anchorage from the waves of the open sea and prevents the sea routes near the port entrance and the anchorage from being buried in drift sand. Dredging of mooring facilities and anchorages The area of sea in front is dredged to establish sea routes and anchorages. Soil and sand from dredging is used to prepare land in the rear or reclaim land from the sea. From the breakwater (a sand control hedge) used also as a passage, a berth is constructed to prepare places for ships to come alongside the berth. Maintenance To secure the depth of water below sea routes and anchorages, maintenance dredging is conducted periodically. Sedimentation due to drift sand and erosion occur at the base of the breakwater (a groin). b) Off-shore extending breakwater type Breakwater Constructed as far as a point at which the water is deep, the breakwater protects places for ships to come alongside the berth from the waves of the open sea. Mooring facilities From the breakwater used also as a passage, a berth is constructed to prepare places for ships to come alongside it. Maintenance Sedimentation due to drift sand and erosion occur at the base of the breakwater. c) Off-shore extended berth plus off-shore breakwater type Breakwater An off-shore breakwater (a detached breakwater) is constructed to protect places at which ships come alongside the berth. 76

77 Mooring facilities The berth is constructed as far as a point at which the water is deep to provide places at which ships come alongside the berth. Maintenance With the approach trestle constructed with piles and hence not stopping the flow, no coastal deformation due to drift sand occurs. In this analysis, distance from the coast and (c) is fixed and subjected to construction cost comparisons for each type. If a dredged anchorage type is selected, the two bridges are required, off-shore extended berth plus off-shore breakwater type, in order to avoid the effects of waves, as compared with other types, and require long breakwater from the fact that it is, off-shore extending breakwater type it can be seen that less construction cost compared to other types. Therefore, in this project, construction cost is preliminary estimated based on off-shore extending breakwater type, using the chart in Mawlamyine suburbs area, distance from the coast line of up to a depth of (a) that can dock coal carrier and assuming the distance required breakwater. Figure3-58. Assuming type Source: Data prepared by the study team In the next step of the feasibility study, it is recommended that more detailed surveys of the specific area for the potential projects site be performed in terms of: - Depth of sea water due to the availability of old chart only at present - Area for the Project along the coast line due to the view of rocky area and limited hinterland at some area 77

78 (g) Outline design of port facilities (a. Off-shore extended berth plus breakwater type) A) Off-shore breakwater (standard cross-sectional view) According to the chart, the off-shore breakwater is located at a position at which the depth of water is 17m. It will be completed in a 2,150-m-long riprap sloping breakwater. Figure3-59 shows the standard cross-sectional view of an off-shore breakwater. Figure3-59 Standard cross-sectional view of an off-shore breakwater Sea side Concrete armor unit ( 32t Tetrapod ) Armor stone ( 2t ) Upper concrete Foundation rubble 100 Concrete armor unit ( 16 t Tetrapod ) Armor stone ( 1t ) 500kg Harbor side Source: Data prepared by the study team 78

79 B) Approach trestle (Standard cross-sectional view) Figure3-60 shows the standard cross-sectional view of the 3,500-m-long approach trestle. Figure 3-60 Standard cross-sectional view of the approach trestle (vertical pile trestle; average depth of water: 7.0 m) Source: Data prepared by the study team C) Coal unloading berth (Standard cross-sectional view) The coal unloading berth shall be built in a vertical pile berth structure with a length of 350 m at a depth of water of 15.0 m. Figure 3-60 shows the standard cross-sectional view of the coal unloading berth. Figure 3-60 Standard cross-sectional view of the coal unloading berth (vertical pile trestle; average depth of water: 15.0 m) Source: Data prepared by the study team 79

80 The items of data that will be needed to carry out detailed studies are shown below: Boring data (soil conditions) Sounding data (depth of water) Weather and marine conditions data (tide, wave, and flow regime) Market survey (prices of materials, etc.) Target ships Port facilities and installations (unloader specifications) Availability factor required for the operation of facilities (calmness inside the port) c) Other facilities required (tugboats, guard ships, oil fences, etc.) In the coal unloading facilities, tugboats should be provided for coal transportation ships to turn round safely in the anchorage. For safe navigation in the waters, guard ships to guide coal transportation ships should be provided also. Oil fences are installed as a countermeasure against leakage that could occur at the time of unloading coal or light oil, auxiliary fuel. 12) Coal unloading, storage, and transportation facilities (Coal Handling System) (a) Conveyor systems Coal transportation conveyors are roughly classified into a receiving system from the coal unloading berth to the coal storage yard, a delivery system from the coal storage yard to the coal blending system, and a coal feeding system from the coal blending system to the boiler coal banker. In consideration of the kind of coal or of the storage period, a recycling system is provided, as required, by which piles of coal are heaped up over again to prevent coal from heating. In addition, some plants assume an addition of a direct feed system that feeds coal from a coal ship directly to the boiler. Figure 3-62 shows a diagram of the coal unloading and transportation system at the time of the construction of units 1 to 3 at the Hekinan Thermal Power Station, Chubu Electric Power Co., Inc. Receiving system: The system running from the coal unloading berth to the coal storage yard. Delivery system: The system from the coal storage yard to the coal blending system Coal feed system: The system from the coal blending system to the boiler coal banker Recycling system: The system by which heaps of coal are piled up over again in the coal storage yard Direct feed system: The system to transport coal from coal transporting ships directly to the boiler (a system that is used when accumulation and delivery inside the coal storage yard cannot be performed.) 80

81 Figure3-62 Conveyor systems Source: Chubu Electric Power in-house material The coal storage capacity of the Hekinan Thermal Power Station is designed to store an amount of coal of 680,000 tons that the power station equipped with three units of 700 MW each consumes for the duration of about 45 days. The total area of the coal storage yard is 460,000 m 2, with the area of the coal storing portion being about 150,000 m 2. The area required for a coal storage yard is determined in consideration of the heating value of the coal used, the efficiencies of the power generating units, and the number of days of storage required, and other factors. In this project, facilities are planned that can store an amount of coal of about 200,000 tons for 45 days on the assumption that the coal equivalent to that used in the Hekinan Thermal Power Station is imported. It is accordingly estimated that an area corresponding to one occupied by approximately two piles in the coal storage yard of the Hekinan Thermal Power Station is needed. A pile in the coal storage yard of the Hekinan Thermal Power Station is 47 m in width, 13 m in stowage height, and about 550 m in the length of a stowed pile. On the basis of this example, the configuration and dimensions of the coal unloading and transportation system in this project are assumed as shown in Figure

82 (1) Case 3 Case 2 Case 1 Berth Figure3-63A plan for a coal unloading and transportation system The cost is the lowest. Coal mixing building Approx. 500 m Stack/reclaimer With only one S/R, coal cannot be Granulating sent if it building fails. (S/R) Boiler Berth Cost: medium Coal mixing building Coal can be sent if an S/R fails. Granulating building Approx. 250 m Boiler Approx m Berth Cost: large Coal mixing building A future Granulating building addition of one unit can Approx. 500 m be Approx m Boiler accommodat ed. Source: Data prepared by the study team Case 1 shows the lowest-cost system. With only one stack reclaimer (S/R), coal cannot be sent if it fails. In addition, since the stack reclaimer is used for stacking onto a pile when coal is unloaded from a coal transportation ship, a common stack reclaimer cannot send coal to the boiler. Stack reclaimers with a function of allowing a given proportion of coal to flow downstream during stacking are available; it is desirable to adopt stack reclaimers with the bypass function. Furthermore, with the yard conveyor also being in a single-line configuration in this case, doubling the conveyor line in the coal transporting and delivery system to secure redundancy does not enable coal transportation should the yard conveyor fail. Case 2 is a plan to provide two stack reclaimers and two yard conveyors to secure the same amount of coal storage as in Case 1 and the redundancy alike, with the reliability increasing. Case 3 proposes a coal storage pile whose length is the same as that proposed in Case 1, doubling the amount of 82

83 coal storage. When the addition of units in the future is considered, this plan is preferable. In advancing the project actually, Case 1 will be adopted to minimize the expenses when constructing one unit, and as units are added, consideration will be given to the securing of the site and to the layout so that piles can be added as in Case 3. Or when the plan for an addition of units in near future is decided definitely at the time of constructing the first unit, it may be desirable to proceed with the construction according to the plan shown in Case 3 from the beginning. This will require more expenses than Case 2 will do; with the equipment configuration not differing from that in Case 2, therefore, the expenses will not increase substantially. (b) Unloader Figure3-64 shows a bucket elevator type unloader installed in the Hekinan Thermal Power Station. The bucket elevator section of the unloader is enclosed with a cover to prevent dust particles from flying. Figure 3-65 shows a bridge-shaped crane unloader (a glove bucket-type unloader). Figure 3-64 Unloader (elevator-type) Source: Chubu Electric Power in-house material Figure3-65 Unloader (glove bucket-type) Source:Cited from the website of Hitachi Plant Mechanics Co., Ltd. 83

84 (c) Stacker reclaimer Figure 3-66 Stacker reclaimer Source: Internal reference of Chubu Electric Power (d) Reclaimer Figure3-67 Reclaimer Source: Internal reference of Chubu Electric Power (e) Stacker Figure 3-68 Stacker Source: Internal reference of Chubu Electric Power 84

85 In this project, usage of stackreclaimer was mentioned. It is recommended that stackreclaimer has a function of by-pass system to enable to feed coal directly to the boiler from the berth. (f) Coal blending system and coal screen Figure 3-69 Full drawing of coal blending system and coal screen Source: Internal reference of Chubu Electric Power Coal blending portion (on right-side above): for taking out 2 types of coal from hoppers and blend them on the belt conveyer Coal screen portion (on left-side above): for sorting out coal pieces of large sizes by applying vibrations and send them to a crusher (g) Winds-intercepting fence Fence made up of bent steel plates with punched-out holes (bent perforated plates) for reducing winds blowing in a coal storage yard. 85

86 Figure 3-70 Winds-intercepting fence Source: Internal reference of Chubu Electric Power (h) Water sprinkler fire extinguisher At Hekinan Thermal Power Station, water sprinkler fire extinguishers are installed in such a way that every part of a coal pile can be sprinkled with more than 10 liters/min of water, which is the standard for installing fire extinguishers stipulated in the Fire Protection Low. Figure 3-71 Water sprinkler fire extinguisher Source: Internal reference of Chubu Electric Power 86

87 13) Ash disposal facility Figure 3-72 Ash disposal facility Source: Internal reference of Chubu Electric Power Coal-fired power plant produces a vast amount of ashes as a result of burning coal. Ashes here refer to powdery fly ash captured by an electrical dust precipitator or the like, clinker ash produced by ash melted in high-burning temperatures within a boiler, pyrite discharged from a mill for crushing coal pieces as a foreign substance and so on. Furthermore, a desulfurization device produces gypsum as a byproduct. To collect such materials efficiently, appropriate designed handling system should be considered. Shown in Figure3-72 is the ash handling system for units No. 4 & 5 in Hekinan Thermal Power Station. The system is equipped with a subsystem for sorting ash based on its granularity (system for quality control of coal ash). Small granular ash is recycled as a high valuable substance. As for transport of ash, the system is ready for both land transport (using tank trucks) and sea transport. At units 4 & 5 in Hekinan Thermal Power Station shown in the figure, all ashes are reused effectively. As for gypsum, the handling system for it is ready for both land transport and sea transport as well. 14) Effective utilization of byproducts produced at coal-fired power plant A coal-fired power plant produces a variety of byproducts such as gypsum, fly ash, clinker ash and so on. At Hekinan Thermal Power Station, all byproducts are recycled using these respectively as a raw material for cement and the like, a material for land reclamation and a material for sale as valuable. The thermal power station is equipped with a device shown in Figure 3-75 for sorting out high-quality fly ash. Since there is a cement factory in a nearby area in Mawlamyine, there is a favorable environment for the planned power plant to recycle the 87

88 byproduct. When constructing a power plant, a survey should be carried out to identify effective ways of utilizing its byproducts and carry out required equipment design for it based on this survey. Figure3-73 Byproducts of coal-fired power generation Source: Internal reference of Chubu Electric Power Figure3-74 Status of effective utilization of byproducts at Hekinan Thermal Power Station Reclaim, 104 (11%) ASEC, 48 (5%) Export 122, (13%) Sell 99 (10%) Clinker 90 (9%) Annual amount of by-product in 2013 [Thousand Ton] Fly ash 870 (91%) Recycle for cement material, 583 (61%) Source: Internal reference of Chubu Electric Power <Fly ash (valuable ash> This substance has superior properties as a mixing ingredient for cement such as 1. fine granularity, 2. light weight and 3. enhancing effect on material s strength. Fly ash compliant with JIS* standards are used in the 88

89 following ways: Concrete production field Civil engineering field Building construction field Others Table3-17 Example of effective use of fly ash Concrete for dams, secondary products (blocks, etc.) Spraying material for tunnel walls, filler for asphalt, etc. Material for exterior walls, floors, etc. Mixing ingredient for plastic * JIS: Japanese Industrial Standard Source: Data prepared by the study team <Clinker ash> This porous substance has superior properties as a material for improving soil quality such as 1. light weight, 2. water retention capability, 3. high permeability and is used in the following ways: Table3-18 Example of effective use of clinker ash Civil engineering field Agriculture field Others Material for lower layers of roadbed, anti-freeze material, land improvement material, light-weight filler, etc. Farm field improvement material, raw material for culture soil, fertilizer, lawn curing material Wastewater purifying material, etc. Source: Data prepared by the study team 89

90 Figure 3-75 System for quality control of coal ash Source: Internal reference of Chubu Electric Power 90

91 (7) Power transmission and substation facilities When an access to existing power grids is considered, Mawlamyine 230 kv substation exists as the one closest to the planned power plant. This substation s system voltage is 230 kv class level. Therefore, access to a power grid through this substation and impacts of the planned power plant on the 230 kv power grid were reviewed. a) Existing power grid plan According to the current 5-year plan of the Myanma Electric Power Enterprise (MEPE), Mon State, in which Mawlamyine is located, is slated for enhancement of 66 kv power grids, but there is no immediate plan for enhancing trunk power grids for 500 kv and 230 kv. Table3-19 Five-year plan for transmission and substation enhancement State/region Transmission line [mile] Substation [MVA] 500kV 230kV 132kV 66kV 500kV 230kV 132kV 66kV Mon Kayin Tanintharyi Bago Yangon Source: Ministry of Electric Power According to the power transmission line expansion plan up to fiscal 2015 of MoEP, installation of 230 kv transmission lines between Tathon and Mawlamyine is planned. If this plan is realized, the power grid connections between Yangon, the load center in Myanmar and Mawlamyine, an entry point to the Indochina peninsula will be strengthened with the 230 kv transmission lines. Other than this plan, development of a group of hydropower plants in neighboring regions to Mon State is planned. Contingent on this plan, access to the existing power grid via Tathon Substation from the hydropower plants is planned (see Figure3-76). Substation (start point) Table 3-20 Power transmission line expansion plan Substation (end point) Voltage Conductor Distance Miles(km) Tathon Mawlamyine 230 Single 50 (80.5) Source: Ministry of Electric Power (2014) 91

92 Figure 3-76 Power grid development plan Existing power system ant planning up to 2020 (Mawlamyine and vicinity inc. Yangon area) Source: Ministry of Electric Power (2014) b) Access to power grid Two sets of 230 kv power transmission lines should newly be installed from MEPE s Mawlamyine substation in the vicinity of the project site to connect up with the planned power station. 92

93 Figure 3-77 (Wire type: 605MCM (Duck) 2 conductors) Two 230kV transmission lines to be newly installed Tathon, etc. Mawlamyine Substation 230kV Two 230 kw power outlets to be newly installed 230kV Start-up transformer 740MVA Main transformer 6.6kV To G distribution board Project site Source: Compiled by survey delegation c) Power grid analysis Mawlamyine, the capital city of Mon State, is located 150 km away, in straight line distance, toward the east from Yangon. There lies, however, a bay between the two, and these two cities are separated by 300 km of an overland route distance (with the routes forming the two sides of an equilateral triangle geographically). The city is at the root of the Indochina peninsula and in the front line for extending power trunk lines toward the southern part of Myanmar. Therefore, based on the power grid development plan shown in Figure 3-76, the following were established as the conditions for reviewing access to the existing power grid from the planned power plant. Supplying of high-quality electric power to Mon State and its neighboring states/regions, specifically to Tanintharyi and Kayin Supplying of power to Yangon Region, a huge center of power consumption, and to Bago State en route to Yangon for the transmission of power 93

94 Figure 3-78 Schematic diagram of power supply from planned power plant Bago Tanintharyi Source: Compiled by survey delegation Detailed analysis i) Forecasted peak power demand Growth rates of power demand for the respective regions included in the power grid analysis here are as shown below: Table3-21 Region-wise power demand growth rates forecasted by MEPE State/region Forecasted growth rate of power demand [%] Growth rate of power demand in 2012 [%] GDP 人 口 Mon Kayin Tanintharyi Bago Yangon Source: Reference of Myanma Electric Power Enterprise Based on these figures, forecasted peak power demand for the respective regions/states is calculated as follows: Table 3-22 Forecasted power demand by region (peak power) Peak power [MW] Region/state Forecast Mon Kayin Tanintharyi Bago Yangon 742 2,800 8,209 Nationwide 1,874 5,020 14,542 Source: Compiled by survey delegation 94

95 ii) Identification of power grid to be analyzed Power grid to be analyzed and preconditions of analysis concerning power demand and supply were as described below. Power grid The 230 kv power grid interval between the Kamarnat substation, which would be connected to the planned power plant and the Mawlamyine substation through which the power plants to be analyzed access the power grid was subjected to a detailed analysis. Since a 500 kv line is planned to be interconnected with the grid at the Kamarnat substation as shown in Figure 3-72, Therefore, the area further than the Kamarnat substation in the Yangon region was not cared in this analysis in consideration with assumption of strong stability. Demand The forecasted power demand by region (peak power) shown in Table 3-22 was distributed to the key 230 kv substations described above. In the analysis, the forecasted peak power figures for 2020 (closest to the earliest implementation timing for the planned power plant subject to analysis) based on the conditions for reviewing access to the existing power grid from the planned power plant above. Supply (capability) The following conditions were set to check the capabilities of the power generation plants subjected to the analysis. Exclusion of hydropower stations in Hyatkyi and Beelin shown in Figure3-75 (in consideration of lead time for the development of a hydropower station, these were excluded). Suspended operation of the existing gas-fired thermal power plant in Tathon for ciritical scene in the analysis Full and constant output operation for the power generation plants subjected to the analysis, which is supplemented by the power generated solely at the planned power station 95

96 Forecasted peak power figures for the power grid subjected to the analysis and those at the respective key 230 kv substations are shown in Figure Figure 3-79 Analyzed power grid and forecasted peak demand figures Kamarnat Sittaung 51MW Potential 600MW Tathon Tathon Hatkyi 1360MW Beelin 280MW Mawlamyaine Mawlamyine Myeik Kawkareik Source: Compiled by survey delegation Elements of 230 kv transmission wires and voltage adjustment range at 230 kv are as follows: Table3-23 Wire type Amperage Heat capacity Heat capacity [MW] [MWA] (PF-0.85) 2 Duck 605 MCM (single) 1, Source: Compiled by survey delegation Electricity class for analysis Table3-24 Voltage adjustment range for analysis Current operational voltage adjustment range 230 kv ±5% (±11.5 kv) ±12% (±28 kv) Source: Compiled by survey delegation iii) Result Analysis results are shown in Figure It is assumed for the analysis that an additional transmission line is installed over the interval between the Mawlamyine substation and the Tathon substation to supply electricity generated at the planned power plant. By using a reactive power regulator additionally to reduce reactive power 96

97 losses created when transmitting electricity over long-distance wires, it is possible to supply electricity to the Myeik substation, which is a hub to supply power to the southern part of the Indochina peninsula and to the Kamaranat substation, which controls supply of electricity to the Bago and Yangon regions. Voltages are all within the adjustment range except for the 216 kv (94%) result for the bus line in the Kamarnat substation. Here, the voltage at this substation can be considered to be affected by the reduction of the part of the analyzed power grid further than the planned power station. It is expected that the voltage result in a more detailed analysis will be within the adjustment range. Figure3-80 Analysis result (for forecasted power grid in 2020) Source: Compiled by survey delegation 97

98 (8) Others Facilities for coexistence with local communities Figure 3-81 Facilities for coexistence with local communities Source: Internal reference of Chubu Electric Power Shown in Figure 3-81 are facilities built by Hekinan Thermal Power Station for coexistence with local communities. These are part of our initiatives for gaining understanding of local residents by providing information on coal-fired thermal power plants to them at these facilities. Flower garden in a park open to local residents (top right) Public relations hall in front and flower garden and wild bird park in back (top left) Fishing park constructed around a water discharge channel and water discharge area (open to local residents) (bottom) 98

99 Figure 3-82 Example of public road and facility construction Source: Internal reference of Chubu Electric Power Construction of a power plant brings a lot of benefits to local governments and communities: Increased tax revenues Implementation of public roads and facilities Increased numbers of restaurants and lodging facilities Increase employment opportunities To facilitate the construction and operation of a power plant, it is important to coexist with local communities along with keeping up proper operation and maintenance of it by establishing appropriate environmental standards and installing appropriate equipment. 99

100 Chapter 4 Evaluation of Environmental and Social Impacts (1) Analysis of the environmental and social conditions at present 1) Analysis of Present Condition a) Natural Condition a. Topography and Geographical Features Mon State is situated on the mouth of Sittaung River. It is surrounded by Bago Division in the North, Kayin State in the East, Thailand and Tanintharyi Division in the South and the Andaman Sea and Gulf of Martaban in the West. Thanbyuzayat Township is located between north latitudes 15 58'N and 16 20'N and 97 15' E and 97 30'E. Thanbyuzayat Township has an area of km² (318 square miles) and it stretches from Wagaru Creek in the north and Htinyu Creek in the south. Thanbyuzayat Township is located around 30 m (100 ft) in average above sea level according to information from Thanbyuzayat General Administration Department (GAD) in Geographically, Thanbyuzayat Township extends north to south along the foothill of Taungngyo Range in the east and coastal region in the west. Taungngyo Range lies about 2 miles from Thanbyuzayat town and it has an elevation range of 100 m to 650 m. Mawlamyine University research thesis about salt industry of Thanbyuzayat Township in cited that the eastern hilly region, Taungngyo area occupies about 40% of the township area. The flat plains occupy 60% of the entire township area and lie between Taungngyo Range and the Andaman Sea in the west. Apart from Taungngyo Range, there exists hills in the north and major hills are Sin-Taung (287 m), Yesat-Taung (213 m), Dola-Taung (186 m), Kayinthaung-Taung (145 m), Meinbala-Taung (113 m) and Mankasu-Taung (107 m) respectively. Other hillocks are Wagaru-Taung, Kanyin-Taung, Ingyin-Taung, Sundaw-Taung and Yathae-Taung. The western coastal plain of the southern part of the Township is usually below 30 m above sea level, except for the outcrop of Thabutaw-Taung of which height is 108 m. The eastern part of the township lies on a steep slope area covered with forests. Between these hill slopes and sea coast, there are stretches of agricultural lands for fruits, rubber and paddy cultivations. According to the available information 1, crop lands occupy near the coastal areas below 3 m above sea level and rubber plantations occupy between 30 m and 150 m above sea level. b) Geology and Soil 1. Geology According to the Geology Map of Myanmar in Thanbyuzayat Township (), a wide expanse of paddy field is composed of Holocene Alluvium (Q₂) and Pleistocene Older Alluvium & Gravel (Q₁). These alluviums include 1 Source: Salt Industry of Thanbyuzayat Township, Thesis report, Cho Cho Mya,1995, University of Mawlamyine 100

101 fertile materials deposited by running water. The Taungnyo Range consists of old hard rocks, Unnumbered Granites (gᵣ₂), Carboniferous Taungnyo Series, and Paleozoic Mergui Series (P z₁-₂). Beaches and swamps are found at the coastal line. In such area the old hard rocks, Unnumbered Granites (gᵣ) are found near Kaikkami Town. Figure 4-1 Geology Map of Thanbyuzayat Township Source: Agricultural Geography of Thanbyuzayat Township, Universities Research Journal 2012, Vol. 5, No Soil According to FAO classification, main soil in Thanbyuzayat Township is categorized as Gleysol (). Figure 4-2 Geographical Distribution of 10 Dominant Soil Types in Myanmar Source: FAO/NRL from Harmonized World Soil Database (HWSD) FAO Agricultural Geography of Thanbyuzayat Township provides more detail soil classification of Thanbyuzayat Township ().There are six main soil types in Thanbyuzayat Township: 1. Alluvial Soils (Fluvisol), 2. Gley & Gley Swampy Soils (Gleysol), 3. Yellow Brown Forest Soils (Xanthic Ferralsol), 101

102 4. Red Brown Forest Soils (Rhodic Ferrosol), 5. Beach Sands (Arenosol) and 6. Swamp Soils(Gley-Gleysol). Fluvisols are found in the Wakharu Creek plain in the north-western part of the township. They dominate in Hnitkai,Padangan, Kyonkadat, Taunghpalu and Wagru village tracts. They have the texture of silty and clay loam and are suitable for paddy cultivation. Gleysols usually contain large amount of salts which dominate near the flood plains of small creeks with occasional tidal floods and are found from Set Se Village Tract in the North to Anin Village Tract to the South. Xanthic Ferrasol and Rhodic Ferrasol dominate widely on the mountain slope in the eastern part of the township and are used for tree crops and fruit gardens. According to the land use classification, they are classified as rubber land of good productivity and occupy about 40 percent of the total area of the township. Arenosol and Gley-Gleysol are limited at the coastal areas and not important for agriculture. Figure 4-3 Soil Map of Thanbyuzayat Township Source: Agricultural Geography of Thanbyuzayat Township -Universities Research Journal 2012, Vol. 5, No Hydrology In the northern part of Mon State, Sittaung River flows into the Gulf of Mottama (Martaban). Thanlwin River which is one of the major river in Myanmar also passes through the state and flows into the Gulf of Mottama. Most of other rivers and creeks which flow through the state flow into the Gulf of Mottama. Thanbyuzayat Township is one of the area in the state that has many creeks flowing from east to west. Most of the creeks start from the easterly Thaungnyo hill, and flow into the sea in westerly direction. The most important creek is the Wakharu Creek which forms part of the border with Mudon Township and flows into the sea near north of Kyaikkami. Other creeks are Karupi Creek (23 km) Waekalaung Creek (8 km), Kotlay Creek, Htinyu Creek, Anin Creek (19 km), and Thabyae Creek (21 km). These creeks are useful for transportation and salt pans are found along the creeks 1. Major rivers and creeks which flow in Thanbyuzayat Township is described in. 1 Source: Salt Industry of Thanbyuzayat Township, Thesis report, Cho Cho Mya,1995, University of Mawlamyine 102

103 There is not much information about ground water for the Thanbyuzayat Township. Domestic water sources in general rural areas in Mon States are natural streams, groundwater, springs and/or the rain-fed ponds. Figure 4-4 Major Rivers in Thanbyuzayat Township Source: Modified map based on Township map from Thanbyuzayat GAD 4. Meteorology Thanbuyzayat Township receives tropical monsoon climate, with warm temperature and large amount of rainfall. There is no meteorological station existing in Thanbuyzayat Township, thus meteorological data of Mawlamyine Township, which is located about 40 mile north of Thanbuyzayat Township are presented in. Mean temperature ranges from approximately 22 o C to 32 o C throughout the year, with relative humidity of approximately 77%. Average annual rainfall during 2001 to 2010 is 5,161 mm but there are certain fluctuations in the rainfall year by year. According to the meteorological data from Thanbyuzayat GAD, in 2013 annual rainfall amount was 5,845 mm. In the Thanbyuzayat region, the coldest temperature observed in January 2013 was 16.8 C. In April and May, highest monthly mean temperature was found, of which value was 35 C. 103

104 TEMPERATURE (C) Table 4-1 Meteorological Information of Mawlamyine Township Item Average* 2010** 2013*** Average** Annual Rainfall (mm) 4,995 5,161 3,084 5,845 Mean Maximum Temperature (C) Mean Minimum Temperature (C) Mean Relative Humidity (%) Source: * Universities Research Journal 2012, Vol. 5, No. 9 **Statistical Yearbook 2011 and ***Basic regional information, Thanbyuzayat Township GAD, 2014 and indicate the mean climatic factors based on 20 year records from 1981 to The lowest monthly mean temperature is observed in January, of which value was24.3 C. The hottest months were April and May. The monthly mean temperatures of these months were 29.9 C and 28.2 C respectively. Main rainy season was from May to September, with peak rain days in June, July, August and September. The mean monthly rainfalls during these months were 969 mm, 1,165 mm, 1,219 mm, and 673 mm respectively. The amount of rainfall during the hottest months, April and May, was 58 mm and 641 mm, respectively. Figure4-5 Month-wise Temperature in Mawlamyine (Average of 1981 to 2010) Minimum Temp J A N F E B M A R A P R M A Y J U N J U L A U G S E P O C T N O V D E C Source: Modified from Agricultural Geography of Thanbyuzayat Township, Universities Research Journal 2012, Vol.5, No.9 104

105 Precipitation (mm) Rainy Days Figure 4-6 Month-wise Rainfall and Rainy Days in Mawlamyine (Average of 1981 to 2010) Source: Modified from Agricultural Geography of Thanbyuzayat Township, Universities Research Journal 2012, Vol.5, 5. Natural Disasters No.9 Myanmar is vulnerable to a wide range of hazards, including floods, cyclones, earthquakes, landslides and tsunamis. The frequency for medium to large-scale natural disasters to occur every couple of years is high, according to historical data. For the Southeast Myanmar, flooding has affected a large area including in Mon States Precipitation Rainy Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Major natural disasters from 2008 to 2012 are summarized in Major Natural Disaster May 2008 June 2010 October 2010 March 2011 October 2011 August 2012 November 2012 Table 4-2 Major Natural Disasters in Myanmar Event May 2008 (Cyclone Nargis): Cyclone Nargis left some 140,000 people dead and missing in the Ayeyarwady Delta region. An estimated 2.4 million people lost their homes and livelihoods. June 2010 (Floods in northern Rakhine State): The floods killed 68 people and affected 29,000 families. Over 800 houses were completely destroyed October 2010 (Cyclone Giri): At least 45 people were killed, 100,000 people became homeless and some 260,000 people were affected. Over 20,300 houses, 17,500 acres of agricultural land and nearly 50,000 acres of aquaculture ponds were damaged by the Cyclone Giri. March 2011 (6.8 Earthquake in Shan State): Over 18,000 people were affected. At least 74 people were killed and 125 injured. Over 3,000 people became homeless. October 2011 (Floods in Magway Region): Nearly 30,000 people were affected to varying degree. Over 3,500 houses and some 5,400 acres of croplands were destroyed. August 2012 (Floods across Myanmar): The floods in different states and regions displaced some 86,000 people and affected over 287,000 people. Ayeyarwady Region was the worst affected with some 48,000 people displaced. Over 136,000 acres of farmland, houses, roads and bridges were damaged. November 2012 (6.8 Earthquake in northern Myanmar): At least 16 people were killed and 52 injured, with over 400 houses, 65 schools and some 100 religious building damaged. Source: Myanmar Natural Disaster 2012, OCHA (Office for the Coordination of Humanitarian Affairs) Detail information for natural disasters in Thanbyuzayat Township was not available but describes major disasters occurred in the township during FY

106 Tide level (m) Table 4-3 Major Disasters Recorded in Thanbyuzayat Township (FY2013) No Name of Disaster Occurred Date Died/ Lost People List Damaged Building Numbers Loss of Value (Kyats Million) 1 Kyaikkami Town (gale) Household 6,648,000 2 Pa Nga Village (fire) Household 1,657,500 Source: Thanbyuzayat Township, GAD 6. Oceanography In Mawlamyine area, tide stations are located in Kyaikkami and Mawlamyine town. Tidal information recorded in these two locations for 2010 are described in. Average difference between high tide and low tide is approximately 4.5 m per year for Kyaikkami and 3 m per year for Mawlamyin station respectively. Figure 4-7 Average monthly tide level at Kyaikkami (KKM) and Mawlamyine (MLM) in Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec High tide (KKM) High tide (MML) Low tide (KKM) Low tide (MML) Source: Mawlamyine Port Authority 7. Forest Areas and Protected Areas a. Forest Areas Total land area of Mon State is 4,748 square mile (12,297 km 2 ) and square mile (2,336 km 2 ) is designated as Forest Area by the definition in the Forest Law. Among the forest area in the State, square mile (2,154 km 2 ) is Reserved Forest and Protected Public Forest, and square mile (181 km 2 ) is Protected Area as shown in. 106

107 Table 4-4 Forest Area Status in Mon State Area Year Total Land Area (square mile) Forest Area (square mile) Reserved Forest and Protected Area Protected Public Forest Area System Total ,228 61, , , ,228 62, , ,764.9 Union ,228 62, , , ,228 63, , , ,228 62, , , % , , Mon State , , , % Source: Statistical Yearbook 2011 In Thanbyuzayat Township, there is one Reserved Forest namely Htinyu Reserved Forest which is located above the Htinyu creek. It was established in 1920 with total area of 1,741 acres (705 ha) as shown in. According to the report of Thabyuzayat Township Forest Department 2, reserved forest area in township are converted into rubber plantation based on 30-year concession agreed between the Forest Department and developers in Land use inside the Htinyu Reserved Forest is rubber plantation area with about 1,580 acres (639 ha), paddy cultivation area with about 13 acres (5 ha), the area for religious purpose with 4 acres (2 ha), and other purpose area with 144 acres (58 ha). Based on information collected up to the end of November 2014, there seems to be no Reserved Forest and Protected Public Forest existing in the vicinity of the Project candidate sites. 2 Report on Forestry related information and work done 2014 October 107

108 Figure 4-8 Reserved Forest in Thanbyuzayat Township Source: Modified map based on Township map from Thanbyuzayat GAD b. Protected Areas According to Forest Department, 43 protected areas exist in Myanmar. Thirty-five sites were designated from 1918 to Eight additional sites proposed from 1997 to 2008 are still under examination. The 35 designated protected areas cover approximately 42,000 km² of land, representing 6.2% of the total country area. In case of establishment of eight additional protected areas, proposed from 2001 to 2008, the area would increase 7,400 km² (1.1%), and the total area would be 49,500 km²,representing 7.3% of the total land area. Two protected areas were notified in the Mon State. Their descriptions are provided in. No protected areas are designated in Thanbyuzayat Township. 108

109 Name of Wildlife Sanctuary KelathaWildlife Sanctuary Kyaikhtiyoe Wildlife Sanctuary Table 4-5 Descriptions of Protected Areas Status in Mon State Outline - Established year 1942 (Re-notified in 2002 Notification No. 23/2002( ) - Area: km2(9.24 sq. mile) - Major forest types: Evergreen forest, Hill forest - Key Fauna: Samber, Barking deer, Wildboar, Avifauna - Objectives: To conserve rare wildlife and associated habitats - Protected status: Managed by BilinTownship Forest Department - Established year: 2001 (Protected Area; Notification No. 37/2001( )) - Area:156.23km2(60.32sq. mile) - Major forest types: Evergreen forest, Hill forest - Key Fauna: Goral, Gaur, Sambar, Barking deer, Macque - Objectives: To maintain green environment of the Kyaikhtiyoe pagoda, alegendary and national heritage of Myanmar and To conserve rare wildlife and associated habitats. - Protected status: Managed by Park Warden Office, Nature and Wildlife Conservation Division, Forest Department Source: Letter from Planning and Statistics Department, Ministry of Environmental Conservation and Forestry dated on April 23, 2013 c. Flora, Fauna and Biodiversity Mawlamyine District 10-Year Forest Management Plan prepared by the Forest Department describes major species of flora and fauna identified in the district. This information, as shown in and, can be used as a reference for possible fauna and flora species which may exist in the Project candidate sites. Total of 85 tree species 10 bamboo species, 2 grass species and 7 rattan species were recorded in Mawlamyine District. According to categories in IUCN Red List, 1 of critically endangered (CR) species, 2 of endangered (EN) species and 1 of vulnerable (VU) species were found in the flora list of Mawlamyine District. As major terrestrial flora species in Mawlamyine District, 7 of mammals, 11 of bird species and 26 of bird species were recorded as shown in Table 4-7. Protected animals in Mawlamyine District are listed in. All of the protected animals listed are categorized by IUCN Red List, of which classification are 7 of endangered species, 3 of vulnerable species and 1 of nearly threatened species. 109

110 Table 4-6 Major Flora Species in Mawlamyine District No Scientific Name Local Name Family Name IUCN List Plants 1. Tectona grandis Kyun Lamiaceae NE 2. Dipterocarpus turbinatus/ CR / Ka-nyin Dipterocarpaceae Dipterocarpus alatus EN 3. Pentace burmanica Ka-shit Malvaceae NE 4. Erythrina suberosa Ka-thit Fabaceae NE 5. Albizia lebbek Kok-ko Fabaceae NE 6. Salmalia anceps Kok-he Malvaceae NE 7. Xylocarpus moluccensis Kya-na Meliaceae LC 8. Taxotrophis zeylanica Kyant-sa Meliaceae LC 9. Schleichera oleosa Gyo Sapindaceae NE 10. Hevea brasiliensis Rubber (Kyetpaung) Euphorbiaceae NE 11. Vitex pubescens Kyetyo Lamiaceae NE 12. Barringtonia acutangula Kyi Lecythidaceae NE 13. Premna pyramidata Kyun-nalin (Kyun-bo) Lamiaceae NE 14. Hymenodictyon excelsum Khu-than Rubiaceae NE 15. Garuga pinnata Chin-yok Burseraceae NE 16. Spondias mangifera Gwe Anacardiaceae NE 17. Albizia procera Sit Fabaceae NE 18. Dillenia pentagyna Zin-Byun Dilleniaceae NE 19. Ficus glaberrima Nyaung Moraceae NE 20. Euphorbia neriifolia Ta-zaung Euphorbiaceae NE 21. Excoecaria agallocha Kayaw (Tayaw) Euphorbiaceae LC 22. Madhuca longifolia Ta-laing-gaung Sapotaceae NE 23. Pterospermum acerifolium Taung-phet-wun Malvaceae NE 24. Decaspermum paniculatum Taung-thabye Myrtaceae NE 25. Swintonia floribunda Taung-thayet Anacardiaceae NE 26. Ficus glabella Taung-tha-phan Moraceae NE 27. Diospyros burmanica Te Ebenaceae NE 28. Terminalia tomentosa Tauk-kyan Combretaceae NE 29. Vitex glabrata Tauk-sha Lamiaceae NE 30. Mitragyna parvifolia Hthein Rubiaceae NE 31. Bombax insigne Didu Malvaceae NE 110 Remark

111 No Scientific Name Local Name Family Name IUCN List 32. Durio zibethinus Du-yin Malvaceae NE 33. Kydia calycina Dwa-bok Malvaceae NE 34. Eriolaena candollei Dwa-ni Malvaceae NE 35. Pterospermum semisagittatum Na-gye Malvaceae NE 36. Lannea coromandelica Na-be Anacardiaceae NE 37. Flacourtia cataphracta Na-ywe Salicaceae NE 38. Adina cordifolia Hnaw Rubiaceae NE 39. EN Heritiera fomes /Heritiera Pinle-kanazo Malvaceae /LC littoralis/ Heritiera burmensis NE 40. Casuarina equisetifolia Pinle-kabwe Casuarinaceae NE 41. Xylocarpus gangeticus Pinle-on Miliaceae LC 42. Palaquium polyanthum Peinne-bo Sapotaceae NE 43. Xylia xylocarpa Pyin-ka-do Fabaceae NE 44. Lagerstroemia speciose Pyin-ma Lythraceae NE 45. Holoptelea integrifolia Myauk-seik Ulmaceae NE 46. Vitex peduncularis Pet-lezin Lamiaceae NE 47. Heterophragma adenophylla Phet-than Bignoniaceae NE 48. Berrya cordifolia Petwun Malvaceae NE 49. Terminalia chebula Phan-ga Combretaceae NE 50. Rhizophora mucronata Byu-chidauk Rhizophoraceae LC 51. Bruguiera conjugate Byu-u-talon Rhizophoraceae NE 52. Mitragyna rotundifolia Bin-ga Rubiaceae NE 53. Careya arborea Bambwe Lecythidaceae NE 54. Dalbergia ovate Madama Leguminosae LC 55. Acrocarpus fraxinifolius Mayanin Fabaceae NE 56. Markhamia stipulata Ma-hlwa Bignoniaceae NE 57. Anthocephalus cadamba Ma-u-let-tan-she Rubiaceae NE 58. Garcinia mangostana Min-gut Clusiaceae NE 59. Lophopetalum wallichii Mone-daing Celastraceae NE 60. Microcos nervosa Mya-ya Malvaceae NE 61. Homalium tomentosum Myauk-chaw Salicaceae NE 62. Duabanga grandiflora Myauk-ngo Lythraceae NE 63. Dalbergia kerrii Yin-zat Leguminosae NE 64. Anogeissus acuminate Yone Combretaceae NE 65. Bombax ceiba Lat-pan Malvaceae NE 111 Remark

112 No Scientific Name Local Name Family Name IUCN List Remark 66. Terminalia pyrifolia Lein Combretaceae NE 67. Lagerstroemia tomentosa Leza Lythraceae NE 68. Firmiana colorata Wet-shaw Malvaceae NE 69. Stereospermum personatum Thakut-pho (Than-de) Malvaceae NE 70. Eugenia mangifolia Tha-bye Fabaceae NE 71. Albizia lucidior Than-that Fabaceae NE 72. Saraca indica /Saraca lobbiana Thaw-ka Fabaceae NE 73. Croton oblongifolius Thetyin-gyi Euphorbiaceae NE 74. Hopea griffithii Thin-gan Dipterocarpaceae VU? 75. Millettia pendula Thin-win Fabaceae NE 76. Sideroxylon burmanicum Thit-cho Sapotaceae NE 77. Terminalia belerica Thit-seint Combretaceae NE 78. Sandoricum koetjape Thit-to Meliaceae NE 79. Millettia brandisiana Thit-pagan Fabaceae NE 80. Dalbergia kurzii Thit-pok Leguminosae LC 81. Dipterocarpus tuberculatus In Dipterocarpaceae LC 82. Shorea siamensis In-gyin Dipterocarpaceae LC 83. Diospyros ehretioides Auk-chin-sa Ebenaceae NE 84. Streblus asper Ok-hne Moraceae NE 85. Litsea monopetala On-don Lauraceae NE Bamboo 1. Bambusa bambos Kyakat-wa Poaceae NE 2. Bambusa polymorpha Kyathaung-wa Poaceae NE 3. Cephalostachyum pergracile Tin-wa Poaceae NE 4. Dendrocalamus strictus Hmyin-wa Poaceae NE 5. Oxytenanthera albociliata Wa-gok Poaceae NE 6. Dendrocalamus brandisii Wa- new Poaceae NE 7. Dendrocalamus membranaceus Wa-phyu Poaceae NE 8. Dendrocalamus brandisii Wa-bo Poaceae NE 9. Dendrocalamus hamiltonii Wabo-myet-sangye Poaceae NE 10. Bambusa tulda Thaik-wa Poaceae NE Grass 1. Saccharum spontaneum Kaing Poaceae LC 2. Imperata cylindrical Thekke Poaceae NE 112

113 No Scientific Name Local Name Family Name Rattan IUCN List Remark 1. Calamus viminalis Kyein-kha Arecaceae NE 2. Calamus guruba Kyein-ni Arecaceae NE 3. Calamus floribundus Ye-kyein Arecaceae NE 4. Calamus latifolius Yamata-kyein Arecaceae NE 5. Zalacca beccarii Yingan-kyein Arecaceae NE 6. Calamus helferianus Kyein-phyu-klay Arecaceae NE 7. Calamus longisetus Kabaung- kyein Arecaceae NE Note 1: ICUN Red List categories are as follows: CR: Critically Endangered, EN: Endangered, VU: Vulnerable, NT: Nearly Threaten Species, NE: Not Evaluated; DD: Data Deficient; LC: Least Concern; Note 2: Some species have only local name information and scientific names may not be always correct. Source: Forest Department Mawlamyine District Management Plan Table 4-7 Major Terrestrial Fauna Species in Mawlamyine District No Scientific Name Local Name Common Name Family Name IUCN List Mammals 1. Elephas maximus Sin Asian Elephant Elephantdae EN 2. Hoolock hoolock Myauk-hlwe-kyaw Hoolock Gibbon Hylobatidae EN 3. Sus scrofa Taw-wat Wild boar Suidae LC 4. Viverra spp Taw- kyaung Wild cat Viverridae 5. Cuon spp Taw-kwe Wild dog Canidae 6. Muntiacus muntjak Ji Barking deer Cervidae LC 7. Axis porcinus Da-yae Hog Deer Cervidae EN Birds 1. Porphyrio porphyria Mae-nyo Purple coot Rallidae LC 2. Hylobates hoolock Si-Sali Hoolock Gibbon Hylobatidae EN 3. Egretta garzetta Byine Little Egret Ardeidae LC 4. Turnix suscitator spp Ngone Barred Buttonquail Turnicidae NE 5. Streptopelia xanthocycla Joe Burmese Collared-dove Columbidae LC 6. Francolinus pintadeanus Khar Burmeese francolin Phasianidae LC 7. Threskiornis spp Ka-yu-sote Black-headed Ibis Threskiornithidae 8. Caprimulgus asiaticus Bote Indian nightjar Caprimulgidae LC 9. Caprimulgus macrurus Bote large-tailed nightjar Caprimulgidae LC 10. Phalacrocorax carbo Tin-kyi-myo Great cormorant Phalacrocoracidae 11. Pavo muticus U-Dawn Green Peafowl Phasianidae EN 113

114 Note 1: ICUN Red List categories are as follows: CR: Critically Endangered, EN: Endangered, VU: Vulnerable, NT: Nearly Threaten Species, NE: Not Evaluated; DD: Data Deficient; LC: Least Concern; Note 2: Some species have only local name information and scientific names may not be always correct. Source: Forest Department Mawlamyine District Management Plan Table 4-8 Protected Animals in Mawlamyine District No Scientific Name Local Name Common Name Family Name IUCN List Totally Protected Animals 1. Rhinoceros sondaicus Kyant Javan rhinoceros Rhinocerotidae NE 2. Pavo muticus U-Dawn Green peafowl Phasianidae EN Protected Animals 1. Elephas maximus Sin Asian elephant Elephantdae EN 2. Bos gaurus Pyaung Gaur Bovidae VU Seasonal Protected Animals 3. Axis porcinus Da-yae Hog deer Cervidae EN 4. Cervus unicolor Sat Sambar Cervidae VU Other Animals 1. Panthera tigris Kyar Tiger Felidae EN 2. Panthera pardus Kya-thit Leopard Felidae NT 3. Helarctos malayanus Wat-wun Sun bear Ursidae VU Note: ICUN Red List categories are as follows: CR: Critically Endangered, EN: Endangered, VU: Vulnerable, NT: Nearly Threaten Species, NE: Not Evaluated; DD: Data Deficient; LC: Least Concern; Source: Forest Department Mawlamyine District Management Plan For fish species in the Mawlamyine District, Department of Fisheries under the Ministry of Livestock, Fisheries and Rural Development, has a list of major fish species existing in the district. The list is shown in. Table 4-9 Fish Species in Mawlamyine District No Scientific Name Local Name Common Name Family Name IUCN List Fishes 1. Lates calcarifer Ka-katit Giant seabass Latidae NE 2. Arius thalassinus Nga-yaung Giant catfish Ariidae NE 3. Arius venosus Nga-yaung Veined catfish Ariidae NE 4. Arius dussumieri Nga-yaung Blacktip sea catfish Ariidae LC 5. Arius maculatus Nga-yaung Spotted catfish Ariidae NE 6. Arius platystomus Nga-yaung Flatmouth sea catfish Ariidae LC 7. Osteogeneiosus militaris Nga-yaung Soldier catfish Ariidae NE 8. Pampus chinensis Nga-mote-phyu Chinese silver Stromateidae NE 114

115 No Scientific Name Local Name Common Name Family Name pomfret 9. Pampus argenteus Nga-mote-phyu Silver pomfret Stromateidae NE 10. Lobotes surinamensis Pinle-nga-pyayma Tripletail Lobotidae NE 11. Scomberomorus guttatus Nga- kwin-shat Indo-pacific Spanish mackerel Scombridae 12. Cynoglossus microlepis Nga-kway-sha Tongue sole Cynoglossidae LC Engyroprosopon grandisquamis Pseudorhombus dupliciocellatus IUCN List DD Nga-kway-sha Large scale flounder Bothidae NE Nga-kway-sha Ocellated flounder Bothidae NE 15. Pseudorhombus javanicus Nga-kway-sha Javan flounder Bothidae NE 16. Pseudorhombus arsius Nga-kway-sha Largetooth flounder Bothidae NE 17. Tenualosa ilisha Nga-tha-lauk Hilsa shad Clupeidae LC 18. Harpodon nehereus Nga-hnat Bomby duck Synodontidae NE 19. Polynemus indicus Kaku-yan Indian tassel fish Polynemidae NE 20. Trichiurus muticus Nga-da-gon Small head hair tail Trichiuridae NE 21. Trichiurus lepturus Nga-da-gon Large head hair tail Trichiuridae NE 22. Trichiurus armatus Nga-da-gon Savalani hair tail Trichiuridae NE 23. Trichiurus cristatus Nga-da-gon Crested hair tail Trichiuridae NE 24. Congresox talabonoides Nga-shwe Indian pike conger Muraenesocidae NE 25. Congresox talabon Nga-shwe Yellow pike conger Muraenesocidae NE 26. Congresox bagio Nga-shwe Common conger pike Muraenesocidae Note 1: ICUN Red List categories are as follows: CR: Critically Endangered, EN: Endangered, VU: Vulnerable, NT: Nearly Threaten Species, NE: Not Evaluated; DD: Data Deficient; LC: Least Concern; Note 2: There are only local name information and scientific names may not be always correct. Source: Department of Fisheries NE Based on species information indicated in the above, threaten and nearly threaten species according to ICUN Red List categories, are summarized in. These species will be taken into consideration in case that further and detail environmental baseline survey will be conducted. Table 4-10 Threaten and Nearly Threaten Species No. Scientific Name Common Name Local Name Family IUCN Red List Status Remark Threaten Species (CR: Critically Endangered, EN: Endangered, VU: Vulnerable) 1. Dipterocarpus turbinatus Ka-nyin Dipterocarpaceae CR Plant 2. Dipterocarpus alatus Ka-nyin Dipterocarpaceae EN Plant 115

116 No. Scientific Name Common Name Local Name Family IUCN Red List Status Remark 3. Heritiera fomes Pinle-kanazo Malvaceae EN Plant 4. Hopea odorata Thin-gan Dipterocarpaceae VU Plant 5. Elephas maximus Sin Asian elephant Elephantdae EN Mammal 6. Hoolock hoolock Myauk-hlwe-kyaw Hoolock Gibbon Hylobatidae EN Mammal 7. Cuon alpinus Taw-kwe Wild dog Canidae EN Mammal 8. Axis porcinus Da-yae Hog deer Cervidae EN Mammal 9. Panthera tigris Kyar Tiger Felidae EN Mammal 10. Hylobates hoolock Si-Sali Hoolock Gibbon Hylobatidae EN Bird 11. Pavo muticus U-Dawn Green peafowl Phasianidae EN Bird 12. Viverra megaspila Taw- kyaung Wild cat Viverridae VU Mammal 13. Bos gaurus Pyaung Gaur Bovidae VU Mammal 14. Helarctos malayanus Wat-wun Sun dear Ursidae VU Mammal Nearly Threaten Species (NT) - Panthera pardus Kya-thit Leopard Felidae NT Mammal Note: ICUN Red List categories are as follows: CR: Critically Endangered, EN: Endangered, VU: Vulnerable, NT: Nearly Threaten Species, NE: Not Evaluated; DD: Data Deficient; LC: Least Concern; Source: Forest Department Mawlamyine District Management Plan c) Social Environment 1. Introduction The Project candidate sites are located in the northwestern area of Thanbyuzayat Township in Mon State. Mon State consists of Thaton District and Mawlamyine District, having four townships and six townships as shown in. Thanbyuzayat Township is located in Mawlamyine District. Thanbyuzayat Township shares borders with Kyarinn Seikgyi Township in the east, Ye Township in the south, Bay of Mottama in the west and Mudon Township in the north. Thanbyuzayat Township was named because a rest house with white zinc roofing (white zinc means Thanbyu and rest house means Zayat in Myanmar). The house had been constructed in 1874, and it became a Township Administrative Office in According to the Notices of the Department of Home Affairs dated on 10 June, 1964, Kyaikkami Township was renamed to Thanbyuzayat Township and Kyaikkami District to Mawlamyine District as well. Thanbyuzayat Township has an area of km² (318 square miles) and it stretches from Wagaru Creek in the north and Htinyu Creek in the south. 3 Source: Thanbyuzayat Township GAD 2014 (October) 116

117 Figure 4-9 District Map of Mon State Source: Myanmar Information Management Unit (MIMU) 2013 (March) 2. Administration Thanbyuzayat Township is comprised of 15 wards and 26 village tracts, having a total of 69 villages. Administrative breakdown of Thanbyuzayat Township is summarized in and village tract locations and their boundaries are described in. Table 4-11 Administrative Breakdown of Thanbyuzayat Township Township Type of Town Ward Village Village Area Tract Thanbyuzayat Urban Thanbyuzayat Kyaikkami Rural Total Source: Thanbyuzayat Township GAD 2014 (October) 117

118 3. Township Departmental Offices and Staff According to the township GAD, there are 39 governmental offices in Thanbyuzayat Township. As of October 2014, 66 management staffs (officers) are appointed out of 80 sanctioned (83 % filled), whereas 1,626 of staffs are appointed out of 2,043 sanctioned (80 % filled). Thanbyuzayat Township GAD Office is located in Kyaung Pine Ward. Figure 4-10 Village Tract Map of Thanbyuzayat Township Source: Modified Map of Thanbyuzayat Township Information and Communication Department 4. Population and Demography According to Thanbyuzayat Township GAD, the total population of the Township was 155,032 in October 2014 as shown in. On the other hand, the provisional result of the 2014 Myanmar Census, conducted from 29th March to 10th April 2014, showed that the township population was 170,480. The results infer that the actual population of the township may be higher than the number recorded by the GAD. However, details needed to be confirmed after the final result of the 2014 Myanmar Census is announced. 118

119 Table 4-12 Total Population of Thanbyuzayat Township Subject Over (18) Years 2013 Under (18) Years (2013 Total Male Female Total Male Female Total Male Female Total Urban 16,126 18,679 34,805 8,797 8,509 17,306 24,923 27,188 52,111 Rural 33,167 34,788 67,905 17,620 17,399 35,016 50,787 52, ,921 Total 49,293 53, ,710 26,417 25,908 52,322 75,710 79, ,032 Source: Thanbyuzayat Township GAD 2014 (October) According to Thanbyuzayat Township GAD data, the population of Thanzyuzayat Township was 150,586 and 151,553 persons in 2012 and 2013 respectively. The ratio of population increase had been 0.6% from 2012 to 2013, whereas the ratio was 2.3% from 2013 to Ethnicity and Religion Majority of ethnic groups in Thanbyuzayat Township are Mon and Burma, these two groups exceeding 90% of total population in the township. Kayin, Rakhine, Kachin and Shan national races also live in the township. shows the breakdown of ethnicity in Thanbyuzayat Township. Table 4-13 Total Number of Ethnicity in Thanbyuzayat Township Kachin Kaya h Kayi n Chin Mon Burma Rakhine Shan Others Total Population 3-7, ,957 62,475 3, , ,549 Source: Thanbyuzayat Township GAD 2014 (April) Since Mon and Burma races are dominant groups, the majority of people are Buddhists (89 %) in the township. shows the breakdown of religion in Thanbyuzayat Township. Table 4-14 Religion of Thanbyuzayat Township Residents Buddhism Christian Hindu Islamic Nat Others Total Population 134,605 5,811 4,807 6, ,553 Source: Thanbyuzayat Township GAD 2014 (April) According to township GAD, there are 322 Buddhism related buildings within the township as shown in. Names and locations of nine major pagodas and four major monasteries are described in. Table 4-15 Buddhism Religious Buildings in Thanbyuzayat Township Pagoda Monastery Convent School Grand Total Source: Thanbyuzayat Township GAD

120 Table 4-16 Major Pagodas and Monasteries in Thanbyuzayat Township No Buildings and Places Description Location 1 Kyaikkami Yae Le Pagoda Pagoda Kyaikkami 2 Thandar Dagon Pagoda Pagoda Setse Village 3 Ingyin Taung Pagoda Pagoda Aung Tharyar Ward 4 San Taw Taung Pagoda Pagoda Wae Kali Village 5 Kyaik Ne Yae Le Pagoda Pagoda An Khae Village 6 Kyaiksaw Yae Le Pagoda Pagoda Setse Village 7 Koe Thein Koe Than Pagoda Pagoda War Kha Yu Village 8 Kyaik Win Dat Pagoda Pagoda Hantharwaddy Ward 9 Ma Shi Kha Na Pagoda Pagoda Sakhangyi Village 10 Myodawoo Monasteries Aung Thar Yar Ward 11 Parama Aryone Monasteries Setse Village 12 Mya Thein Monasteries Kyar Kan Ward 13 Kyaikami Yae Le Monasteries Kyaikkami Source: Thanbyuzayat Township GAD 2014 For other religions, numbers of religious monuments and buildings in the township is summarized in. Since Buddhists accounted for about 90% of the total population, number of religious monuments other than Buddhism is small in Thanbyuzayat Township. Table 4-17 Others Religious Monument Buildings Christian Church Islam Hindu Temple Urban Rural Urban Rural Urban Rural Source: Thanbyuzayat Township GAD 2014 (April) 6. Land Use According to land use plans of Thanbyuzayat Township for FY2014, provided by the township Settlement and Land Records Department (SLRD), there is 203,315 acres (822,79. ha) of land in the township and nearly half of its lands are used as an agriculture/ cultivated land. In the agricultural / cultivated land, garden land is the dominating land use, and 34% of total township area is occupied by the garden land. township land use in FY2014. Table 4-18 Land Use of Thanbyuzayat Township in describes breakdown of No Type of Land Area (Acre) Ratio (Against Total Land) 1 Net Sown Area 95, % (a) Paddy Land 25, % (b) Garden Land (Rubber and Others) 69, % 120

121 No Type of Land Area (Acre) Ratio (Against Total Land) (c) Thatch Land (Nipa Palm) % 2 Omitted Land (Paddy Land) % 3 Reserved Forest Land 1, % 4 Other Wood Land Cultivable Waste Land Non-agricultural Land 105, % (a) Mine Land % (b) Pastures 7, % (c) Railway Land % (d) Road Land 1, % (e) Dam and Reservoirs Land % (f) River and Creek Land 8, % (g) Ponds and Lakes Land % (h) Industrial Land % (i) Residents Land (Urban) % (j) Villages Land 1, % (l) Cemetery and Religious Buildings Land 10, % (m) Others Land 74, % Total Area (Township) 203, % 7. Industry Source: Thanbyuzayat Township Settlement and Land Records Department (SLRD) 2014 a. Agriculture and Forestry According to Township GAD, rubber is the most cultivated as well as harvested cash crops in Thanbyuzayat Township as shown in. The rubber plantations exceed 80% of total cultivated area of long-term crops. Table 4-19 Long-term Cash Crops in Thanbyuzayat Township Name of Crop Cultivated Area (Acre) Harvested Area (Acre) Unit Yield (Baskets/ Acre?) Production (Basket) Rubber 60,605 50, ,524,528 Pepper 2,235 2, ,820 Sugarcane (consumed) Betel , ,880 Coconut 1,600 1,435 5,420 7,779,135 Fruit Trees 7,935 6, Total 73,164 60,797 10, ,177,027 Source: Thanbyuzayat Township GAD 2014 (April) According JICA study 4, the rubber plantations started in Mon State around 100 years ago. Due to the high price 4 Source: the report of JICA Study Team -Preparatory Survey for the integrated regional development for ethnic minorities in the south-east Myanmar 121

122 of rubber materials and products in the past few decades, rubber plantation area increased rapidly. In Mon States, the rubber plantations account for approximately 14.9% of the total land area and it has the largest ration of rubber plantation area as compared with the union level (0.7%). In case of crops for staple foods, monsoon paddy is the most cultivated and produced crops in Thanbyuzayat Township as shown in. The monsoon paddy occupied about 99% of total agricultural cultivated area. Table 4-20 Major Agricultural Crops in Thanbyuzayat Township Crops Season Cultivated (Acre) Harvested (Acre) Unit Yield (Basket / Acre?) Production (Basket) Paddy Summer Rainy 37,731 37, ,501,214 Sesame Rainy Winter ,260 Sunflower Black gram (Bean) Green gram Rainy Winter Red gram Sugarcane (Sugar) Source: Thanbyuzayat Township GAD 2014 In case for forest products, hardwoods including teak, iron wood and others were exported to India and Europe during the colonial period 5. Currently, major forest products produced in the Thanbyuzayat Township are summarized in. 1,550 cubic ton of timber is produced as firewood, and the one tenth volume of firewood is produced as charcoal wood. Table 4-21 Major Forestry Products in Thanbyuzayat Township No Type of Products Unit Production Amount 1 Firewood Cubic Ton 1,550 2 Charcoal Cubic Ton Bamboo Piece 194,000 4 Thatch No 136,000 5 Bark of wood Viss 7,660 Source: Thanbyuzayat Township GAD 2014 b. Fishery According to the State Office of Department of Fisheries, majority of fishing activities are conducted inshore with more number of fishing boats registered and having higher total annual production. Current status of fishery 5 Source: The report of JICA Study Team -Preparatory Survey for the integrated regional development for ethnic minorities in the south-east Myanmar 122

123 in Mon State is shown in. Table 4-22 Fishery Status in Mon State In shore license Off shore license Township Annual No. of Annual No. of Inshore Total Tax Production Total Tax (kyat) Offshore Production fishing boat (kyat) (ton) vessel (ton) Thanbyuzayat ,135 3,619, ,339 5,634,000 Source: Mon state Department of Fishery 2014 Detail data for the Thanbyuzayat Township was not available, but fishery industry seems to be dominated by small-scale in-shore fishing. Inland (freshwater) fishery activities seem to be less significant in comparison with inshore fishing. Aquaculture production status of Thanbyuzayat Township is described in. However production amount from aquaculture was not available. Table 4-23 Aquaculture Ponds of Fish and Prawn Production Year Fish Prawn Number of Pond Acre Number of Pond Acre Source: Thanbyuzayat Township GAD 2014 (April) c. Other Industries Other industries are not described in Thanbyuzayat Township Fact issued by Thanbyuzayat Township GAD. The recent Gross Domestic Product value of the Township is summarized in. Production sector serves more than 60 % of total GDP value. Table 4-24 Gross Domestic Products (GDP) of Thanbyuzayat Township No Subject (until the end of December) GDP Target Value Value Implementati Increased (million Kyat) (million Kyat) (million on (%) Kyat) (%) 1 Production Value 100, , , Services 39, , , Trading Value 29, , , GDP and Service 168, , , Value Source: Thanbyuzayat Township GAD 2014 (April) 123

124 d. Social Infrastructure and Service 8. Power/ Electricity Power supply is from the national grid in Thanbyuzayat Township. The total power demand is about 4,000 KVA. Household electrification rate is about 40% in the Thanbyuzayat Township urban areas. Types and quantities of transformers installed and their distribution amount in the township is described in. Table 4-25 Existing Transformers and Distribution Amount No Type of Transformer Quantity Total Distribution (KVA) 1 50 KVA KVA KVA 14 1, KVA 8 1, KVA 5 1, KVA 16 4, KVA Total 63 9,944 Source: Thanbyuzayat Township GAD Water Supply The present principal water sources for the domestic water use in urban areas vary in natural streams, groundwater, springs, rain-fed ponds and artifical reservoirs. In most areas, the water is taken from these water sources and distributed through pipes but without any purification facilities. The urban water supply sources in Mon States in 2013 are summarized in. Table 4-26 Water Sources for Major Townships in Mon State Township Presence of Public Water Supply System Natural Stream (River/Creak) Water Source Ground- Spring water Rain-fed Pond Dam Reservoir Kyaikto O O Bilin O O O O Thaton O O Paung O O Mawlamyine O O O Chaungzon O O Kyaikmaraw O Mudon O O Thanbyuzayat O Ye O O Source: The report of JICA Study Team -Preparatory Survey for the integrated regional development for ethnic minorities in the south-east Myanmar 124

125 According to Township Irrigation Department, under the Ministry of Agriculture and Irrigation, water supply for Thanbyuzayat Township is mainly from individual dug wells and tube wells. Water shortages are experienced during summer season. Small scale water supply is also available by private suppliers with trucks. There is no dam in Thanbyuzayat Township. Existing water reservoirs and canals in Thanbyuzayat Township for irrigation purposes are summarized in. 40% of area against proposed area is not available as irrigation water. No Name of Embankment, Canal 1 Ah Ninn Embankment 2 Ah Ninn Thabyay Chaung Embankment Table 4-27 Irrigation Embankment and Canal in Thanbyuzayat Township Proposed Command Area(Acre) Actual Area (Acre) Different Area (Acre) Explanation for different Area Original Enbankment is situated near sea water creek Soil is acidity. 3 Ah Zinn Canal Extending the Ward, Village and others land. 4 Taung Pu Lu (No information.) Canal 11. Transportation Source: Thanbyuzayat Township Irrigation Department 2014 Major roads within the township and connecting outside of the township are summarized in. There is no airport and no harbor (except for small jetties) in Thanbyuzayat Township. The main rail road is Mawlamyine- Ye rail road, which is about 143 km (89 miles) long as listed in. The major road in the township is Mawlamyine- Ye road which is 156 km (97 miles) long in total and runs north to south of the Township. Table 4-28 Major Inter/Intra Roads in Thanbyuzayat Township Type of Road Road Name Distance (Mile/ Phalon) Union Main Road Thanbyuzayat Ye 27/0 Thanbyuzayat Kyaikkami 15/0 Thanbyuzayat Setse 5/0 Thanbyuzayat - Phayar Thone Su 59 Townships connected Roads Thanbyuzayat Mawlamyine 40 / 0 Thanbyuzayat- Ye 57 Thanbyuzayat Mudon 22 Thanbyuzayat _ Phayar Thone Su - Town, Rural, Village connected Thanbyuzayat _ Kyaikkami 15 /2 roads Thanbyuzayat _ Setse 15 / 0 Thanbyuzayat _ Wae Kali 1 /1 Mawlamyine- Ye Rail Road Thanbyuzayat- Ye

126 Type of Road Road Name Distance (Mile/ Phalon) Thanbyuzayat- Mawlamyine 35/2 Thanbyuzayat Mudon 19/6 Source: Thanbyuzayat Towship GAD 2014 According to Township GAD, there are 13 major bridges in Thanbyuzayat Township. There is only one bridge that is over 180 feet in Ka Yote Pi Village.. The number of bridges in Thanbyuzayat Township is shown in. Table 4-29 Number of Bridges in Thanbyuzayat Township Total Bridges Total Bridges Total Bridges Total Bridges Total (Over 180') (From 100' to 179' ) (From 50' to 100') (Under 50') Source: Thanbyuzayat Towship GAD 2014 Alignments of major road and railways in the township is shown in. Figure 4-11 Road/ Railway Network diagram of Thanbyuzayat Township Source: Thanbyuzayat Township Information and Communication Department 126

127 12. Communication Communication facilities of Thanbyuzayat Township are indicated in. Internet user is equal to about 10% of the total township population. Table 4-30 Communication Facilities of Thanbyuzayat Township Post Fax Fixed Phone IP Star Cordless Mobile Phone Number of (Satellite) Internet User ,654 15,425 Source: Thanbyuzayat Township GAD Public Health According to Township GAD, Thanbyuzayat Township has 5 doctors, 12 nurses and 6 health assistants, of which ratios against the total township population are 1:35,921, 1:14,967, and 1:29,934, respectively. The number of medical facility of Thanbyuzayat Township is indicated in. Table 4-31 Medical Facility of Thanbyuzayat Township Private Rural Health Township Governmental Hospital Sub Health Centers Hospital Centers Thanbyuzayat Source: Thanbyuzayat Township GAD 2014 Status of common diseases in Thanbyuzayat Township is indicated in. The number of HIV/AIDS patients identified was 94 and 16 in 2012 and 2013, respectively. Two patients died from HIV/AIDS in 2012 to Table 4-32 Common Disease of Thanbyuzayat Township Malaria Diarrhea Tuberculosis Dysentery Enlarged Liver Infected Died Infected Died Infected Died Infected Died Infected Died 494-2, Source: Thanbyuzayat Township GAD Year 2014 The key health index of the township is described in. Table 4-33 Health Index (In Thousand) Reproduction Rate Birth Rate Maternal Infant Mortality Abortion Rate Mortality Rate Rate Source: Thanbyuzayat Township GAD Education According to Township GAD, there is no university, college and science school in Thanbyuzayat Township. Educational facility of Thanbyuzayat Township is indicated in. 127

128 Table 4-34 Numbers of Schools, Teachers, Students in Thanbyuzayat Township Schools Teachers Students High Middle Primary Pre High Middle Primary Pre Total High Middle Primary Pre Total ,081 8,700 2,330 17, ,743 Source: Thanbyuzayat Township GAD 2014 Orphans or poor people have been supported by Monastery education. There are 36 convent schools that support education too. Overall literacy rate is % in Thanbyuzayat Township. a. Livelihood According to Township GAD, odd-job (approximately 70,000 persons) is the major sources of income for the township, followed by others (may include unemployed and approximately 28,000 persons), trading (approximately 23,000 persons), and agriculture (approximately 18,500 persons). The breakdown of types of workers in Thanbyuzayat Township is indicated in. Annual average individual income was 637, 572 kyats / year and 814,944 kyats / year for FY2011 and FY 2012, respectively. Number of unemployment was 27,269, and Jobless rate was 18.00% in FY2012. Year Government Staff Table 4-35 Types of Workers in Thanbyuzayat Township Services Agriculture Livestock Farming Trading Industry Odd-job Others Total ,693 5,739 18,426 2,159 22,852 3,254 69,660 27, , ,704 5,777 18,567 2,173 23,002 3,275 70,118 27, ,549 b. Cultural Heritage Source: Thanbyuzayat Township GAD 2014 According to Thanbyuzayat Township GAD, 12 historical buildings and places are recognized as shown in. Names and locations of these major sites are described in. Table 4-36 Historical Buildings and Places No Buildings and Places Description Location 1 Myanmar-Thai Railway Museum (Death Railway Museum (relics) Thanbyuzayat Museum) 2 Dana Thahara War Cemetery Cemetery Thanbyuzayat 3 Japan Pagoda Pagoda Wae Yet Ywar Village 4 Hot Spring Natural spring Wae Ka Li Village Tract 5 Rest-house (100 years) Building Thanbyuzayat 6 Kyaikkami Yae Le Pagoda Pagoda Kyaikkami 7 Kyaik Ne Yae Le Pagoda and Beach Pagoda, Beach An Khae Village 8 Kyaiksaw Yae Le Pagoda Pagoda Set Se Village 9 Sin Pone Cave Natural Cave Kyaikkami 10 Kyat Thon Island Light House Building Set Se Village Tract? 11 War Kha Yu Ancient City Relics War Kha YuVillage Tract 12 Main Balra Taung Mountatin Wea Ka War Village Source: Thanbyuzayat Township GAD

129 Figure 4-12 Cultural Heritage Map of Thanbyuzayat Township Source: Modified Map from Thanbyuzayat Township Information and Communication Department c) Conditions of Project Candidate Sites and Surrounding Area 1. Outline The Project candidate sites are located along the northwest coast of Thanbyuzayat Township. The sites are more likely to be included in following 4 village Tracts (). Mya Mar Lar Sin Taung Kayin Taung Set Se Therefore, information and data for these four village tracts (Project Village Tracts) are presented hereunder as long as such were available. In addition to these four village tracts, Project candidate sites may fall into either Kyon Ka Yoke, Wea Ka War, or Pa Nga Village Tract. Further conformation and collection of information will be required when the Project site is selected from these three village tracts. 129

130 Figure 4-13 Village Tract Map of Three Village Tracts from Thanbyuzayat Township Source: Modified Map of Thanbyuzayat Township GAD 2014 (October) a. Population The populations of the Project Village Tracts are indicated in. There are in total of 2,819 households and 15,598 persons in the Project Village Tracts. Ward/ Village Tract Mya Mar Lar Sin Taung Kayin Taung Table 4-37 Populations of Project Village Tracts from Thanbyuzayat Township Village House Household Under (18) years Over (18) years Total Population Male (M) Female (F) Total M F Total M F Total Mya , ,742 Mar Lar Total , ,742 Sin Taung Taung Wine Ka Dat ,637 Htauk Total ,315 1,110 1,842 2,294 Kayin ,320 1,025 1,078 2,103 1,668 1,755 3,423 Taung 130

131 Farm land Garden and Rubber Dani Land Total Mine land Pasture land Road River and Stream Pond /Lake Village Land Cemetery and Religious Land Other land Total Ah Nan ,097 San Total ,731 1,365 1,424 2,789 2,196 2,324 4,520 Set Se Set Se ,372 1,389 1,514 2,903 2,087 2,188 4,275 Sanngyi Hlar Ka Hmai Yathay , ,853 Taung Total 1,345 1,286 1,065 1,094 2,159 2,379 2,504 4,883 3,444 3,598 7,042 Grand Total 2,759 2,819 2,721 2,785 5,506 4,896 5,196 10,092 7,617 7,981 15,598 b. Land Use (updating) Source: Thanbyuzayat Township GAD 2014 (October) For village tract level land use, GAD offices (township level and respective village tract administrators offices) and township Settlement and Land Records Department (SLRD) office have different statistical records of different years. Information of SLRD for 2013 is described in and that of GAD for 2014 is described in. It is difficult to generalize information of different sources. However, there is a tendency that more than half of village tract area is occupied by agricultural land in all of the Project Village Tracts. Table 4-38 Type of Land Use of Project Village Tracts in Thanbyuzayat Township 1 Cultivated Area (Acre) Non Cultivated land (Acre) Village Tract No. of Kwin Grand Total Kayin Taung , ,781 1, ,422 3,875 8,656 Sin Taung ,148 3, ,309 3,543 6,721 Mya Mar Lar (including Kyaikkami ) , , ,512 5,351 Setse ,494 3, , ,635 5,731 Total 24 1,394 12, , , , ,652 5,567 12,565 26,459 Village Tract Source: Thanbyuzayat Township Settlement and Land Records Department (SLRD) 2013 Table 4-39 Type of Land Use of Project Village Tracts in Thanbyuzayat Township 2 Net Agricultural Land Pasture Land Mine Land Road River and Stream Factory land Village Land Cemetery and Religious Land Other Land Total (acre) Mya Mar Lar 2, ,662 Source: Village Tract GAD 2014 Breakdown of registered agricultural land use for 2014 in the Project Village Tracts are summarized in. There are certain fluctuations of agricultural land area from 2013, but it can be concluded that majority of agricultural lands are occupied by the rubber plantation if the Project Village Tracts. 131

132 Table 4-40 Breakdown Registered Agricultural Land Use of Project Village Tracts in Thanbyuzayat Township Village Tract Kwin No Number of Registered Farmers Paddy Land (acre) Rubber land (acre) Garden Land (acre) Thatch Land (acre) Total Area (acre) Mya Mar Lar ,178 Kayin Taung 5 1, , ,679 Sin Taung , , Setse , ,525 Total 23 3,256 1, , , , Source: Thanbyuzayat Township SLRD 2014 In principle, agricultural lands in Myanmar are registered by SLRD and grouped in a block called Kwin. Each parcel of agricultural land having different users (famers) are numbered by what is locally called U-Pine. Not all of the Project Village Tract, but for Mya Mar Lar and Setse village tracts, kwin-wise list of farmland/rubber plantation owners, land acreage and their u-pine numbers were obtained. Obtained list is summarized in. Table 4-41 Kwin-wise Farm Land and Rubber Plantation Information. Village Tract Kwin No. Farm Land (Acre) Rubber Plantation (Acre) Total (Acre) Number of Registered Farmers F R Total F R Total Mya Mar Lar (A) (Buddha Gone Kwin) (A) (Buddha Gone Kwin) (Thein Kwin) (A) OSS Total 1, , , ,167 Setse (A) (A) (B) (A) (B) Total , , Grand Total 2, , , , ,653 Source: Thanbyuzayat Township Settlement and Land Records Department (SLRD) 2014 Within the Project Village Tracts, following kwins are located along the coastline and in the further stage of the Project, a detail survey is required in these kwins for identifying acreage and type of land uses and users which may be affected by the Project. - Kwin Number: 908, 909, 909A, 1219, 1294, OSS-2, OSS-3, 925 Kwin map of the Project Village Tract is described in. 132

133 Figure 4-14 Kwin Map of the northwest Coast of Thanbyuzayat Township Source: Modified Map from Thanbyuzayat Township Settlement and Land Records Department (SLRD) c. Cultural Heritage The Project Village Tract has 4 of cultural and regional important heritages as shown in. Especially, Kyaikkami Pagoda is the symbol monument of the area and conserved by Kyaikkami Pagoda Association. 133

134 Figure 4-15 Cultural Heritage Map of the northwest Coast of Thanbyuzayat Township Source: Modified Map from Thanbyuzayat Township Information and Communication Department 3. Prediction of Impact in Without Projects Case In connection to the forecast of the future conditions for without projects case, the following positive and negative impacts are predicted. Positive Impacts for without project case : There will be no land acquisition and involuntary resettlement Livelihood related to on-shore fishery will maintain the same as now and will not be affected (which does not always require land acquisition and involuntary resettlement) On-shore and other transportation means along the coast line will maintain the same. No impacts on air quality and water quality by the Project Negative Impacts for without project case : Insufficient supply of electricity to the region and to the national grid will continue Speed of economic development in the Thanbyuzayat Township and the Mawlamyine District may be decreased. Due to shortage of electricity, improvement of surrounding infrastructure such as public facilities and local employment maybe hindered. 134

135 (2) Environmental improvement effects by the Project a) Air Quality, Water Quality, Noise, and Other Environmental Improvement Effects Construction of the coal thermal power plant will improve electricity generation capacity of the country and contribute to increasing demands for the electricity. Furthermore, the coal thermal power plant will enable to supply more stable and regulated amount of electricity throughout the year in comparison to the hydro power plant which is currently the dominant source of power generation in Myanmar. These in return, will bring more economics and industrial developments in the Mawlamyine areas. Though the coal thermal power plant, by its nature, has certain impacts to air quality and water quality by gas emission and intake/ discharge of circulated water, appropriate environmental mitigation measures such as denitrification device desulfurization device, precipitator, and water treatment facility will be introduced to minimize the environmental impacts. Moreover, introducing ultra super critical boiler and other latest coal power plant related technologies will also minimize environmental impacts. Though jetties for the Project are planned mainly for unloading of imported coal, the jetty structure may serve as breakwater for hinterland/ water and shelter for ships nearby during high tides / abnormal weather conditions. On the other hand, the Project will mainly improve environmental items such as lifestyle and livelihood as follows. Increase supply of electricity to the region for further economic development and livelihood improvement in the township and the district. Improve lifestyle of surrounding residents of the Project site by development of surrounding infrastructure such as access road, and other public facilities. Contribute to local employment and may improve lifestyle and livelihood of surrounding residents 135

136 Environmental Item Category Not Clear None Small Major common (1) EIA and Environmental Permits 1 Permits and Explanation (3) Environmental and social impacts of the Project a) Examination of Environmental and Social Impacts In the Study, environmental and social impacts of the Project of coal thermal power plant and its jetty were evaluated shows the evaluation results of environmental and social impacts by mainly using Categories and Items in Checklist 2 Thermal Power Plant attached with JICA Guidelines for Environmental and Social Considerations (April 2010) as a reference format. In addition to the Checklist 2 Thermal Power Plant, the Checklist 6 Power Transmission and Distribution Lines, and the Checklist 10 Port and Harbors, were also referred based on the necessity. However, the examination made in this Study is preliminary and the factors which would give serious impacts on environment and social aspects should be fully checked and evaluated in EIA and/or SIA studies by the Project proponents and/or petitioners. Table 4-42 Environmental Checklist (Coal Thermal Plant including Jetty and Transmission) Reference table:jica s Environmental Checklist (Thermal Power Plant, Port, Transmission & Distribution ) Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (a) Have EIA reports been already prepared in official process? (b) Have EIA reports been approved by authorities of the host country's government? (c) Have EIA reports been unconditionally approved? If conditions are imposed on the approval of EIA reports, are the conditions satisfied? (d) In addition to the above approvals, have other required environmental permits been obtained from the appropriate regulatory authorities of the host country's government? EIA have not been prepared yet. In accordance with MIC Notification No.50/2014, the Project requires the implementation of EIA. Ditto. Ditto. Ditto. 136

137 Environmental Item Category Not Clear None Small Major Common (2) Explanation to the Local Stakeholders Common (3) Examinati on of Alternativ es Thermal (1) Air Quality 2 Pollution Control Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (a) Have contents of the project and the potential impacts been adequately explained to the Local stakeholders based on appropriate procedures, including information disclosure? Is understanding obtained from the Local stakeholders? (b) Have the comment from the stakeholders (such as local residents) been reflected to the project design? (a) Have alternative plans of the project been examined with social and environmental considerations? EIA have not been prepared yet. According to draft EIA procedure, at least two public consultation meetings, first during the scoping stage and the second one upon completion of draft EIA report, are required for EIA level assessment. Ditto. The location of coal thermal power plant has not been determined yet. (a) Do air pollutants, such as sulfur oxides (SOx), nitrogen oxides (NOx), and soot and dust emitted by the power plant operations comply with the country s emission standards? Is there a possibility that air pollutants emitted from the project will cause areas that do not comply with the country s ambient air quality standards? Are any mitigating measures taken? (b) In the case of coal-fired power plants, is there a possibility that fugitive dust from the coal piles, coal handling facilities, and dust from the coal ash disposal sites will cause air pollution? Are adequate measures taken to prevent the air pollution? Air pollution by emission gas. No national quality standards yet Air pollution by dusts. No national quality standards yet The Project should plan and design for compliance with environmental standards set by the Project. Impacts on air quality canbe little if desulfurization system, denitration system, electrostatic precipitator/ fabric filters, and other necessary mitigation measures are properly installed.. The Project should plan and design for compliance with environmental standards set by the Project. Impacts on dust from coal yard and ash disposal site can be little if coal yard is planned to be set at distance from 137

138 Environmental Item Category Not Clear None Small Major Port (1) Air Quality Thermal (2) Water Quality Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) residential area and dust prevention fence will be installed to minimize spreading of dust. (a) Do air pollutants, such as sulfur oxides (SOx), nitrogen oxides (NOx), and soot and dust emitted from ships, vehicles and project equipments comply with the country's emission standards? Are any mitigating measures taken? (a) Do effluents including thermal effluents from the power plant comply with the country s effluent standards? Is there a possibility that the effluents from the project will cause areas that do not comply with the country s ambient water quality standards or cause any significant temperature rise in the receiving waters? (b) In the case of coal-fired power plants, do leachates from the coal piles and coal ash disposal sites comply with the country s effluent standards? 138 Air pollution by exhauste d gases. No national quality standards yet Changes in aquatic fauna & flora, and water pollution by water temperat ure increase of discharg ed water. No national quality standards yet Water pollution by the Project. No national quality standards yet. The Project should plan and design for compliance with environmental standards set by the Project. To comply with target level set by the Project, environmental management and monitoring plan must be prepared and operated properly. The Project should plan and design for compliance with environmental standards set by the Project. Impacts of thermal water discharge are expected to be limited. Temperature difference of discharged water will be set to be less than 7 and will comply with target level based on the results of prediction by simulation model. The Project should plan and design for compliance with environmental standards set by the Project. Less residents are expected in the surrounding of the Project site.. Thus no significant serious impacts by the Project

139 Environmental Item Category Not Clear None Small Major Port (2) Water Quality Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (c) Are adequate measures taken to prevent contamination of surface water, soil, groundwater, and seawater by the effluents? (a) Do effluents from the project facilities comply with the country's effluent and environmental standards? (b) Do effluents from the ships and other project equipments comply with the country's effluent and environmental standards? 139 are predicted. However, if any impact may be predicted by further studies, as required, necessary measures will be carried out. Ditto Countermeasures to avoid water pollution such as waste water treatment, slope protection, and etc. will be taken. Ditto The Project should plan and design for compliance with environmental standards set by the Project if national standards are not set yet by the commencement of the Project.. No significant serious impacts by the Project are predicted. However, if any impact may be predicted by further studies, as required, necessary measures will be carried out. Ditto The Project should plan and design for compliance with environmental standards set by the Project if national standards are not set yet by the commencement of the Project. No significant serious impacts by the Project are predicted. However, if any impact may be predicted by further studies, as required, necessary measures

140 Environmental Item Category Not Clear None Small Major Transmission/ Distribution (2) Water Quality Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) will be carried out. (c) Does the project prepare any measures to prevent leakages of oils and toxicants? (d) Does the project cause any alterations in coastal lines and disappearance/appearance of surface water to change water temperature or quality by decrease of water exchange or changes in flow regimes? (e) Does the project prepare any measures to prevent polluting surface, sea or underground water by the penetration from reclaimed lands? (a) Is there any possibility that soil runoff from the bare lands resulting from earthmoving activities, such as cutting and filling will cause water quality degradation in downstream water areas? If the water quality degradation is anticipated, are adequate measures considered? Ditto Pollution mitigation measures will be introduced and no significant serious impacts by the Project are predicted. Ditto. Significant alternations of the coast lines and change in water temperature by jetty construction and operation are not expected in the Project. Ditto. Significant land reclaimation is not expected in the Project. However, if any impact may be predicted by further studies, as required, necessary measures will be carried out Ditto. No significant serious impacts by the Project are predicted. However, if any impact may be predicted by further studies, as required, necessary measures will be carried out 140

141 Environmental Item Category Not Clear None Small Major Thermal (3) Wastes Port (3) Wastes Thermal/port (4) Noise and Vibration Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (a) Are wastes, (such as waste oils, and waste chemical agents), coal ash, and by-product gypsum from flue gas desulfurization generated by the power plant operations properly treated and disposed of in accordance with the country s regulations? (a) Are wastes generated from the ships and other project facilities properly treated and disposed of in accordance with the country's regulations? (b) Is offshore dumping of dredged soil properly disposed in accordance with the country's regulations? (c) Does the project prepare any measures to avoid dumping or discharge toxicants? Harmful damages to surround ing environ ment and residents Harmful damages to surround ing environ ment Ditto. Ditto. Impacts on waste can be limited because fly ash and bottom ash will be recycled as by-products and Furthermore, other solid waste will be disposed of on designated dumping site. However, if any impact may be predicted by further studies, as required, necessary measures will be carried out. No significant serious impacts by the Project are predicted. However, if any impact may be predicted by further studies, as required, necessary measures will be carried out. No significant serious impacts by the Project are predicted. However, if dredging is required, appropriate measures will be carried out. Ditto. (a) Do noise and vibrations comply with the country s standards? Noise and vibration problem by vehicles and thermal plant The Project should plan and design for compliance with environmental standards set by the Project. Impacts on noise and vibration are expected to be limited because the distance between source (machineries in the power generation facilities) and receptors (residences) 141

142 Environmental Item Category Not Clear None Small Major Thermal/port (5) Subsidence Thermal/port (6) Odor Port (7) Sediment Common (1) Protected Areas 3 Natural Environment Common (2) Ecosystem Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (a) In the case of extraction of a large volume of groundwater, is there a possibility that the extraction of groundwater will cause subsidence? (a) Are there any odor sources? Are adequate odor control measures taken? (a) Are adequate measures taken to prevent contamination of sediments by discharges or dumping of hazardous materials from the ships and related facilities? (a) Is the project site located in protected areas designated by the country s laws or international treaties and conventions? Is there a possibility that the project will affect the protected areas? (a) Does the project site encompass primeval forests, tropical rain forests, ecologically valuable habitats (e.g., coral reefs, mangroves, or tidal flats)? Damages to structure s and land usages by the Project Harmful effects by chemical s used by the Project Sediment pollution by the Project Damages and destructi on to nature and ecology by the Project Use of ground water is limited, thus, no significant serious impacts by the Project are predicted. However, if any impact may be predicted by further studies, as required, necessary measures will be carried out. Impacts on offensive odor caused by ammonia are expected to be little because the amount of ammonium to be used on denitration process is small and will be handled appropriately. Impact on sedimentation are expected to be limited because dredging works which might affect the surrounding area are site specific. However, if any impact may be predicted by further studies, as required, necessary measures will be carried out. There is no protected area in the vicinity of the project candidate sites. Ditto. There is no large primeval forests, wetland area and tidal flats in the Project candidate sites as well as their surroundings 142

143 Environmental Item Category Not Clear None Small Major Port (2) Ecosystem Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (b) Does the project site encompass the protected habitats of endangered species designated by the country s laws or international treaties and conventions? (c) If significant ecological impacts are anticipated, are adequate protection measures taken to reduce the impacts on the ecosystem? (d) Is there a possibility that the amount of water (e.g., surface water, groundwater) used by the project will adversely affect aquatic environments, such as rivers? Are adequate measures taken to reduce the impacts on aquatic environments, such as aquatic organisms? (e) Is there a possibility that discharge of thermal effluents, intake of a large volume of cooling water or discharge of leachates will adversely affect the ecosystem of surrounding water areas? (d) Is there a possibility that the project will adversely affect aquatic organisms? Are adequate measures taken to reduce negative impacts on aquatic organisms? (e) Is there a possibility that the project will adversely affect vegetation or wildlife of coastal zones? If any negative impacts are anticipated, are adequate measures taken to reduce the impacts on vegetation and wildlife? Ditto. At district level endangered species are recorded. Details need to be confirmed by the further study for the Project. Ditto. Currently, no significant impact is predicted considering Myanmar environmental rules and regulations. If any impact may be predicted by further studies, alternative locations will be examined to avoid/mitigate the predicted impacts. Ditto. No significant serious impacts by the Project are predicted. However, if any impact may be predicted by further studies, as required, necessary measures will be carried out. Ditto. Ditto. Ditto. Ditto. Ditto. Ditto. 143

144 Environmental Item Category Not Clear None Small Major Transmission/ Distribution Port (3) Hydrology Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (d) Are adequate measures taken to prevent disruption of migration routes and habitat fragmentation of wildlife and livestock? (e) Is there any possibility that the project will cause the negative impacts, such as destruction of forest, poaching, desertification, reduction in wetland areas, and disturbance of ecosystem due to introduction of exotic (non-native invasive) species and pests? Are adequate measures for preventing such impacts considered? (f) In cases where the project site is located in undeveloped areas, is there any possibility that the new development will result in extensive loss of natural environments? (a) Do the project facilities affect adversely flow regimes, waves, tides, currents of rivers and etc if the project facilities are constructed on/by the seas? Ditto. There are no situations such as disruption of migration routes, habitat fragmentation and traffic accident of wildlife and livestock in the Project sites. If any impact may be predicted by further studies, alternative route will be examined to avoid/mitigate the predicted impacts. Ditto. There may be some threats and fears such as destruction of forests, etc. in the Project. It is necessary to be examined by further study. Ditto. Alternati on to hydrolog y and resulting changes in tides and currents There may be some possibility for loss of natural environment in the Project. It is necessary to be examined by further study. Significant alternations of flows, waves, tides, currents by jetty construction and operation are not expected in the Project. If any impact may be predicted by further studies, alternative route will be examined to avoid/mitigate the predicted impacts. 144

145 Environmental Item Category Not Clear None Small Major Port (4) Topography and Geology Transmission/ Distribution Thermal (1) Resettlement 4 Social Environment Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (a) Does the project require any large scale changes of topographic/geographic features or cause disappearance of the natural seashore? (a) Is there any soft ground on the route of power transmission and distribution lines that may cause slope failures or landslides? Are adequate measures considered to prevent slope failures or landslides, where needed? (b) Is there any possibility that civil works, such as cutting and filling will cause slope failures or landslides? Are adequate measures considered to prevent slope failures or landslides? (c) Is there a possibility that soil runoff will result from cut and fill areas, waste soil disposal sites, and borrow sites? Are adequate measures taken to prevent soil runoff? (a) Is involuntary resettlement caused by project implementation? If involuntary resettlement is caused, are efforts made to minimize the impacts caused by the resettlement? Alternati on and damages to topograp hy by the Project. Ditto. Ditto. Ditto. Involunt ary resettlem ent by the Project. There may be less possibility for alteration and damages to topography, geology, and natural seashore by the Project. If any impact may be predicted by further studies, alternative route will be examined to avoid/mitigate the predicted impacts. There may be some possibility for alternation and damage by the Project. It is necessary to be examined by further study. If required proper actions such as slope protection, compaction, etc. will be taken. Ditto. Ditto. If land acquisition and involuntary resettlement are needed, Resettlement Action Plan (RAP) will be prepared based on international standards. Fisher-men who may have impacts by the project interventions shall be also covered in RAP. 145

146 Environmental Item Category Not Clear None Small Major Thermal (2) Living and Livelihood Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (b) Is adequate explanation on compensation and resettlement assistance given to affected people prior to resettlement? (c) Is the resettlement plan, including compensation with full replacement costs, restoration of livelihoods and living standards developed based on socioeconomic studies on resettlement? (d) Are the compensations going to be paid prior to the resettlement? (e) Are the compensation policies prepared in document? Ditto Ditto Ditto Ditto (f) Does the resettlement plan pay particular attention to vulnerable groups or people, including women, children, the elderly, people below the poverty line, ethnic minorities, and indigenous peoples? (g) Are agreements with the affected people obtained prior to resettlement? (h) Is the organizational framework established to properly implement resettlement? Are the capacity and budget secured to implement the plan? (i) Are any plans developed to monitor the impacts of resettlement? (j) Is the grievance redress mechanism established? Ditto Ditto Ditto Ditto Ditto (a) Is there a possibility that the project will adversely affect the living conditions of inhabitants? Are adequate measures considered to reduce the impacts, if necessary? Harmful effect and unemplo yment etc. to residents by the Project. Adverse impacts to people such as noise, vibration, air pollution, etc. should be taken into consideration. As required, necessary measures will be carried out. 146

147 Environmental Item Category Not Clear None Small Major Port (2) Living and Livelihood Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (b) Is sufficient infrastructure (e.g., hospitals, schools, and roads) available for the project implementation? If the existing infrastructure is insufficient, are any plans developed to construct new infrastructure or improve the existing infrastructure? (c) Is there a possibility that large vehicles traffic for transportation of materials, such as raw materials and products will have impacts on traffic in the surrounding areas, impede the movement of inhabitants, and any cause risks to pedestrians? (d) Is there a possibility that diseases, including infectious diseases, such as HIV, will be brought due to the immigration of workers associated with the project? Are adequate considerations given to public health, if necessary? (e) Is there a possibility that the amount of water used (e.g., surface water, groundwater) and discharge of thermal effluents by the project will adversely affect existing water uses and uses of water areas (especially fishery)? (b) Is there a possibility that changes in water uses (including fisheries and recreational uses) in the surrounding areas due to project will adversely affect the livelihoods of inhabitants? Harmful effect to living condition s of residents by the Project and surround ing residents. Accident and traffic congesti on by the Project Deteriora tion of Public hygiene by the Project Harmful effect to livelihoo d of surround ing residents. No significant serious impacts by the Project are predicted. However, as required, necessary measures will be carried out. Ditto. Contermeasures will be taken by interal regualtions imposed by the Project and in cooperation with the related aurhorities so that such situations will not arisen by the Projects. No significant serious impacts by the Project are predicted. However, as required, necessary measures will be carried out. Ditto Loss of fishing ground by construction of jetties may occur at small scale, but no significant serious impacts by the Project are predicted. However, as required, necessary measures will be carried out. 147

148 Environmental Item Category Not Clear None Small Major Transmission/ Distribution (2) Living and Livelihood Common (3) Heritage Common (4) Landscape Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (c) Is there a possibility that port and harbor facilities will adversely affect the existing water traffic and road traffic in the surrounding areas? (c) Is there any possibility that installation of structures, such as power line towers will cause a radio interference? If any significant radio interference is anticipated, are adequate measures considered? (d) Are the compensations for transmission wires given in accordance with the domestic law? (a) Is there a possibility that the project will damage the local archeological, historical, cultural, and religious heritage? Are adequate measures considered to protect these sites in accordance with the country s laws? (a) Is there a possibility that the project will adversely affect the local landscape? Are necessary measures taken? Accident and traffic congesti on by the Project Interfere nce to current living Ditto Destructi on and damages by the Project Landsca pe inhibitio n by the Project No significant impacts are predicted by the Project. But it is necessary to be examined by further study.. There may be some impacts by the Project. It is necessary to be examined by further study. Ditto. In the vicinity of candidate sites there are a few archeological, historical, cultural, and religious heritage sites. Primarily such locations shall be avoided upon the selection of the site. If any impact may be predicted by further studies, required countermeasures will be examined to avoid/mitigate the predicted impacts. Basically, no significant impact is predicted, but shall confirm whether the Project inhibit views to pagoda along the coast. If any adverse impacts are predicted in further study phase, necessary countermeasures will be taken based on the Myanmar laws and regulations. 148

149 Environmental Item Category Not Clear None Small Major Common (5) Ethnic Minorities and Indigenous Peoples Common (6) Working Conditions Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (a) Are considerations given to reduce impacts on the culture and lifestyle of ethnic minorities and indigenous peoples? (b) Are all of the rights of ethnic minorities and indigenous peoples in relation to land and resources respected? (a) Is the project proponent not violating any laws and ordinances associated with the working conditions of the country which the project proponent should observe in the project? (b) Are tangible safety considerations in place for individuals involved in the project, such as the installation of safety equipment which prevents industrial accidents, and management of hazardous materials? (c) Are intangible measures being planned and implemented for individuals involved in the project, such as the establishment of a safety and health program, and safety training (including traffic safety and public health) for workers etc.? 149 Impact Though there are on the certain ethnic Ethnic minorities reside Minoritie within the township, s and no significant ethnic Indigeno issue in and around us the Project is Peoples predicted. If any by the impact may be Project predicted by further studies, required countermeasures will be examined to avoid/mitigate the predicted impacts. Ditto. Ditto. Corrupti on in occupati onal health and safety by the Project Accident at work by the Project Ditto. The working conditions will be protected by the Myanmar laws and regulations. As required, the Project will prepare internal regulations for occupational health and safety referring to regulations imposed by international organizations and other countries Proper instruction and guidance on safety consideration will be given to workers and other individuals involved in the Projects. Proper instruction and guidance about safety and hygiene will be given to workers and other individuals involved in the Projects.

150 Environmental Item Category Not Clear None Small Major Common (1) Impacts during Construction 5 Others Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) (d) Are appropriate measures taken to ensure that security guards involved in the project not to violate safety of other individuals involved, or local residents? (a) Are adequate measures considered to reduce impacts during construction (e.g., noise, vibrations, turbid water, dust, exhaust gases, and wastes)? (b) If construction activities adversely affect the natural environment (ecosystem), are adequate measures considered to reduce the impacts? (c) If construction activities adversely affect the social environment, are adequate measures considered to reduce Safety of local residents inhibitio n compani on by the Project Environ mental pollution and contamin ation - Noise & vibration, turbidity, dust, exhauste d wastes, etc.. gas, Damages to natural environ ment by the Construc tions Traffic congesti on, nuisance, Proper instruction and guidance about safety and hygiene will be given to workers and other individuals involved in the Projects. Also public awareness raising to the general public will be also implemented. The following measures will be taken: (1) Noise & vibration: Low noise and vibration methods and constructional vehicles and equipment. (2) Turbid water: Sediment basins, etc. (3) Exhaust gas: Less exhaust gas constructional vehicles and equipment. (4) Construction dusts: Spraying water, etc. (5) Wastes: Spoils, solid wastes, etc. will be properly disposed or reclaimed. It is considered that the construction activities will not affect the natural environment adversely in the construction sites, but adequate measures will be considered to mitigate impacts as required. Adequate measures such as detours, etc. will be taken to mitigate impacts to 150

151 Environmental Item Category Not Clear None Small Major Thermal (2) Accident Prevention Measures common (3) Monitoring Thermal Reference to Checklist of Other Sectors 6 Note Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) the impacts? etc social environment. (a) In the case of coal-fired power plants, are adequate measures planned to prevent spontaneous combustion at the coal piles (e.g., sprinkler systems)? (a) Does the proponent develop and implement monitoring program for the environmental items that are considered to have potential impacts? (b) What are the items, methods and frequencies of the monitoring program? Risk of fire and explosio n Proper instruction and guidance about fire prevention as well as proper fire prevention facilities will be provided in the Projects. Monitoring should be executed, based on environmental plan in EIA. In case RAP is prepared, monitoring should be also executed based on monitoring plan described in RAP. Ditto. (c) Does the proponent establish an adequate monitoring framework (organization, personnel, equipment, and adequate budget to sustain the monitoring framework)? (d) Are any regulatory requirements pertaining to the monitoring report system identified, such as the format and frequency of reports from the proponent to the regulatory authorities? (a) Where necessary, pertinent items described in the Power Transmission and Distribution Lines checklist should also be checked (e.g., projects including installation of electric transmission lines and/or electric distribution facilities). (b) Where necessary, pertinent items described in the Ports and Harbors checklist should also be checked (e.g., projects including construction of port 151 Placeme nt of the transmiss ion line by the Project Placeme nt of jetty facilities by the Ditto. Ditto. Incorporated in this checklist. Transmission line and relevant facilities may be involved in construction of the coal thermal plant, but needed to be confirmed at further study for the Project Incorporated in this checklist. Limited impacts are predicted for construction of jetty

152 Environmental Item Category Not Clear None Small Major Transmission/ Distribution Common Note on Using Environmental Checklist Port Note on Using Environmental Checklist Main Check Items Significance of Possible Environmental Impacts Potential Environ mental Issues and Problems Confirmation of Environmental Considerations (Reasons, Mitigation Measures) and harbor facilities). Project facilities for the Project, However, details needed to be confirmed at further study for the Project (a) Where necessary, pertinent Construc Limited impacts are items described in the Road tion of predicted for checklist should also be roads for construction of roads checked (e.g., projects transmiss for transmission line including installation of electric ion line installation, However, transmission lines and/or installati details needed to be electric distribution facilities). on confirmed at further study for the Project (a) If necessary, the impacts to transboundary or global issues should be confirmed (e.g., the project includes factors that may cause problems, such as transboundary waste treatment, acid rain, destruction of the ozone layer, and global warming). (a) Where necessary, impacts on groundwater hydrology (groundwater level drawdown and salinization) that may be caused by alteration of topography, such as land reclamation and canal excavation should be considered, and impacts, such as land subsidence that may be caused by groundwater uses should be considered. If significant impacts are anticipated, adequate mitigation measures should be taken. 152 Global environ mental issues by the Project Alternati on and damages to ground water regimes by the Project No serious global issues is predicted by the Project, since impacts by the exhaust gases will be minimized as much as possible by introducing various energy saving measures by the Project. However, details needed to be confirmed at further study for the Project No serious impacts to ground water is predicted by construction of jetty for the project 1). Regarding the term Country s Standards mentioned in the above table, in the event that environmental standards in the country where the project is located diverge significantly from international standards, appropriate environmental considerations are requested to be made. In cases where local environmental regulations are yet to be established in some areas, considerations should

153 be made based on comparisons with appropriate standards of other countries (including Japan's experience). 2). Environmental checklist provides general environmental items to be checked. It may be necessary to add or delete an item taking into account the characteristics of the project and the particular circumstances of the country and locality in which it is located. Source: Prepared by Study Team based on JICA s Environmental Checklist b) Alternatives and Mitigation Measures on Environmental and Social Consideration for the Project The several alternative locations, possible designs and construction methods for the coal thermal power plant and the jetty will be examined in further study phase. Also detail land use and socio-economic conditions of potential project affected people (PAPs) will be verified in further study phase of the Project. Meanwhile, detailed alternatives have not been studied or specified because basic plan and design of the thermal power plant and regional development program are not finalized yet. To prepare and finalize those, it is necessary to collect detailed data and information such as geological/ hydrological / bathymetric conditions of concerned onshore area through site surveys and measurements. Therefore, draft mitigation measures, alternative locations and design cannot be studied in details currently. If the Project has significant influence on natural and social environmental conditions, it is necessary to identify such impacts, and propose alternative plans for whole or a part of the Project to mitigate the predicted impacts. At present, technically, no serious adverse impact is predicted by construction and operation of the coal thermal power plant if appropriate mitigation measures as described in are adopted and implemented. However, the coal thermal power has significantly negative impressions within Myanmar. Thus, raising public awareness about the coal thermal power plant in general may be required to mitigate unnecessary objection and negative campaigns toward the Project. 153

154 (4) Outlines of the related laws and regulations for environmental impact assessment in Myanmar a) Environmental Laws, Rules and Regulations of the Republic of the Union of Myanmar 1. Environmental Legislation and Institutional System a. Institutional Setting As of end of November 2014, Myanmar has 31 ministries in its Union Government. The leading ministries in charge of environmental and social consideration are the Ministry of Environmental Conservation and Forestry (MOECAF) and the Ministry of Social Welfare, Relief and Resettlement (MSWRR). Depending on type and extent of projects, other ministries such as the Ministry of Home Affairs, the Ministry of Agriculture and Irrigation, the Ministry of Labor, the Ministry of Construction, the Ministry of Industry, and so on will take roles in environmental and social consideration. b. Fundamental Laws and Regulations Major legislations pertinent to natural and social environment areas in Myanmar are categorized as follows and described hereunder; - Laws and regulations related to environmental consideration, - Laws and regulations related to social welfare and occupational health, and - Key laws and regulations for land related right and land acquisition. c. Laws and Regulations Related to Environmental Consideration Followings and their amendments/ subordinate documents are key as well as applicable laws and regulations in respect to Environmental Consideration in current Myanmar. Except for the Environmental Conservation Law (2012) and its subordinate laws / rules, there are no law determining about the comprehensive environmental conservation and management in Myanmar. Currently, the following laws and regulations are enacted in environmental and social consideration field in Myanmar. - The Water Power Act 1927 (Burma Act 11, 1927) - The Underground Water Act Territorial Sea and Maritime Zone Law Irrigation Laws and Regulations Law on Aquaculture Marine Fisheries Law (1990) - Freshwater Fisheries Law (1991) - The Forest law 1992 (8/92) - The Protection of Preservation of Cultural Heritage Region Law

155 - The Protection of Wildlife, Wild Plant and Conservation of Natural Area Law National Environment Policy Mines Law The Conservation of Water Resources and River Law The Environmental Conservation Law Farmland Law 2012 (Pyidaungsh Hluttaw Law No.11, 2012) - Farmland Rules, 2012 (President Office Notification No 62, 2012) - Vacant, Fallow and Virgin Lands Management Law 2012 (Pyidaungsh Hluttaw Law No.10) - Vacant, Fallow and Virgin Lands Management Rules 2012 (President Office Notification No 1, 2012) - The Environmental Conservation Rules The EIA Procedure (Draft) d. Laws and Regulations Related to Social Welfare and Occupational Health Some of existing laws and regulations determine about social welfare issues and environmental consideration issues. Major existing and applicable laws for social welfare are listed as follows. - Factory Act The Oil Field (Labor and Welfare ) Act The Leave and Holiday Act Public Health Law Standing Order 2/95 Occupational Health Plan Settlement of Labor Dispute Law 2012 (5/2012) - Social Welfare Law 2012 (15/2012) - Minimum Wage Law 2013 (7/2013) e. Key Laws and Regulations for Land Related Right and Land Acquisition Followings and their amendments/ subordinate documents are key as well as applicable laws and regulations in respect to land related rights and land acquisition in current Myanmar. Though some laws already have been repealed, such laws are still partially applicable depending on situations. - The (Lower Burma) Land and Revenue Act, 1879 (India Act II, 1876) - The Upper Burma Land and Revenue Regulation, The Land Acquisition Act, 1894 (India Act 1, 1894) - Land Acquisition Directions - The Lower Burma Town and Village Lands Act 1899 (Burma Act IV, 1898) - Land and Revenue Order (Rule), Land Acquisition Rules Land Acquisition Manual The Land Nationalization Act,1953 (Act No 75, 1953)* - Land Nationalization Rules, 1954* 155

156 - The Law Safeguarding Peasant Rights (Agriculturist s Rights Protection Law) 1963 (Union Myanmar Revolutionary Council Law No. 91, 1963) - Farmland Law 2012 (Pyidaungsh Hluttaw Law No.11, 2012) - Farmland Rules, 2012 (President Office Notification No 62, 2012) - Vacant, Fallow and Virgin Lands Management Law 2012 (Pyidaungsh Hluttaw Law No.10) - Vacant, Fallow and Virgin Lands Management Rules 2012 (President Office Notification No 1, 2012) *Law itself is already repealed but some of sections are still applied depending on respective situations. f. Laws and Regulations at State Level Similar to other regions/states in Myanmar, Mon State follows Union level laws and regulations most of cases. However, Mon State also enacts is own laws and regulations. Followings are major state level laws in Mon State. Table 4-43 Major Mon State Level Laws and Regulations No. Law Name General Summarization 1 Mon State Fishery (A) The objectives of the law are Law (i) To protect the extinct of fish species and to develop fisheries (11 st April 2014) (ii) To protect damage of freshwater fishery water expanses (iii) To permit fishery by paying tax to the State (iv) To manage fisheries by law and taking legal actions. (B) The law determines about fishery water expanse for coastal water and freshwater, committee s duties, fishery franchise holding person s duties, etc,. ) The conservation of biodiversity of algae and other aquatic creatures in coastal area is one of committee s duties. 2 Mon State Village A) The objectives of the law are Fuel-wood Plantation (i) To develop the State by establishing village fuel-wood plantations in vacant Law lands, lands under government s control, and damaged forest lands. (30 th September (ii) To increase land use price 2013) (iii) To obtain more fuel-wood due to the systematic fuel-wood consumption through collective plantation, production and utilization of user groups. (iv) To protect natural disaster and to conserve natural environment (v) To utilize the residual parts of fuel-wood such as trunk for other purposes B) The law determines about formation of village fuel-wood plantation, committee s duties, forester s duties and Inspections activities, etc.) 3 Conservation of The law determines about designation of cultural heritage area, conservation and Cultural Heritage protection of cultural heritage area, committee s duties, issue of permit for Law, Mon State constructions of hotels, industrial buildings, and research activities in cultural area, (8 th November 2013) and inspection activities in cultural heritage area, etc. 4 Systematic The main objectives of the law are Production and (i) To support development of farming sector which is fundamental economy of Usage of Fertilizer country Law in Mon State (ii) To supervise fertilizer enterprise (23 rd December (iii) To support natural environmental conservation and soil conservation by 2014) utilizing proper fertilizers (iv) To conduct research and education programs for growers to provide comprehensive knowledge of fertilizer application (v) To enhance cultivation of organic products and to provide safe crops to public 5 Salt and Salt The main objectives of the law are Products Law in (i) To produce salt and salt products without forest depletion Mon State (ii) To extend the production capacity of salt and salt production area (11 st April 2014) (iii) To assist in salt and salt products export activities (iv) To distribute enhanced technologies to salt and salt products entrepreneurs 156

157 No. Law Name General Summarization 6 Recreation Centers, The objectives of the law are Zoological and (i) To protect natural plants and wild animals by establishing zoological and Botanical Garden botanical gardens Law (ii) To protect animals and natural plants and their origin having dangers of (Draft version) extinction (iii) To support natural science researches (iv) To conduct development programs considering environmental conservation affairs (v) To cooperate between government organizations, international organizations, non-government organizations, and individuals for environmental conservation affairs. 7 Mon State Development Law (Amended) (10 th April 2013) 8 Mon State Loading/Unloading Law (19 th December 2012) 9 Mon State Excise on Alcohols/Beer/Spirits Law (19 th December 2012) 10 Mon State Land Tax Law (19 th December 2012) 11 Mon State Fire Risk and Natural Disasters Prevention Law (10 th April 2013) 12 Mon State Theatre Supervision Law (10 th April 2013) 13 Mon State Private Water-crafts Operation Law (8 th November 2013) (vi) To provide recreation centers for public The Law determines about management of development activities (town planning, water supply, town cleansing, sanitation in rural and downtown area, electricity supply, establishing of private and development committee markets, environmental conservation activities, public health caring activities, etc.), management of vehicles including slow moving vehicles like trishaw, management of ferry boats business, management of killing animals, finance management, fund raising for development activities, taxes collection, etc. The objectives of the law are (i) To support for improvement of trading and rapid trade flow (ii) To provide worthy wages to loading and unloading worker for their physical efforts (iii)to provide social stability and occupation welfare of loading and unloading workers The law determines about permission of loading and unloading enterprise, systematic supervisions on loading and unloading enterprise under rules and regulations of this Law, Occupational safety, etc. The objectives of the law are (i) To control the epidemic of alcoholic drinking habit (ii) To avoid illegal production and selling in the distribution of alcohols (iii) To attain excise on alcohols/beer/spirits for the State The law determines about farm land to be taxed, rate of land tax, exemption of land tax, collection of land tax, collection of unpaid land tax by opening as case file, etc. The objectives of the law are (i) To prevent or mitigate the damage/deprivation of cultural heritage, private and government industries/ enterprises/ services, public s health, life, building and property, farm lands and animals due to fire risk and natural disasters. (ii) To conduct emergency response plans and rescure plans without any time delay in case of fire risk and natural disasters (iii) To implement rehabilitation activities as soon as possible after fire risk and natural disasters The law determines about formation of fire risk and natural disasters prevention committee, implementation of fire risk and natural disasters prevention activities, rescue and rehabilitation activities, etc. The law determines about application procedure to get permission for holding variety concert at theatre, functions and duties of concert organizer, etc. The law determines about extension of water-crafts lines, construction of jetties, cooperation between water-crafts owners/businessmen under township committee s guidance to emerge modern transportation system having less impact on natural environment, registration and designation of water-craft line, fund raising activities, etc. 157

158 No. Law Name General Summarization 14 Mon State Honorary The objectives of the law are Certificates and (i) To develop the State and Nation Commendations (ii) To develop economy and social activities Awarding Law (iii) To honor persons who valiantly participate in the fields of literature, (31 st September culture, religion, etc. 2013) 15 Regulation for No fishing zone is defined for around 300 meter surrounding of Kyaikkami Yee Le Fishery around Pagoda and lobster protected area is defined for about 3 km2 (3 km x 1 km) Pagoda areas surrounding of Kyaik Saw Yee Le Pagoda area respectively. Source: Department of Fisheries Thanbyuzayat Township. Source: Relevant state level laws and regulations b) Environmental Quality Standards According to the Environmental Conservation Law, MOECAF will set standards of environmental qualities as agreed by the Union Government and the Environmental Conservation Committee. Standards to be set by MOECAF are as follows: - Standard quality of water related to the use of inland water available to public places, dams, ponds, swamps, flooded land, channel, creeks and rivers. - Standard quality of water at coastal regions and delta area - Standard quality of groundwater - Standard quality of air - Standard of noise and vibration - Standard of odor and emission gas - Standard of wastewater - Standard of soil and leachate from solid waste - Other standard environment qualities set by the Union Government As of the end of November 2014, these standards have not been set yet. Project proponents are required to set quantitative target levels, independently at this moment. Currently, MOECAF is in a process for establishment of National Environmental Quality Standards. However, establishment of comprehensive and practical standards is quite difficult task and it may take certain time. In consideration of immediate demand for waste water quality, MOECAF is planning to determine Guidelines for National Environmental Quality Standards, and National Wastewater Quality Standard by end of FY2014. Though industrial waste water quality has not been stipulated by MOECAF as of November 2014, Ministry of Industry (MOI) has issued Water and Air Pollution Control Plan on 21st August, This plan has stipulated standard values for wastewater effluent from industries before the effluent can be discharged into natural water environment such as rivers, creeks, lakes and ponds. Currently, these values are often referred to in Myanmar, thus until establishment of the national environmental standards or guidelines, the target industrial wastewater effluent from the Project shall not exceeded the values presented in. 158

159 Table 4-44 Guideline Value of Industrial Wastewater Effluent No. Parameter Unit Allowable values Remarks 1 Temperature o C Max 40 2 ph Color and Odor - Not objectionable when mixed in receiving water 4 Dissolved solids Max SS mg/l Max 30 6 BOD (5 days at Depending on geography of waste 20 o mg/l Max C) discharging point 7 COD (KMnO 4 ) mg/l Max 60 8 Sulphide (as H 2 S) mg/l Max 1 9 Cyandie (as HCN) mg/l Max Oil and Grease mg/l Max 5 11 Tar None 12 Formaldehyde mg/l Max 1 13 Phenol and cresols mg/l Max 1 14 Free chlorine mg/l Max 1 15 Zinc mg/l Max 5 16 Chromium mg/l Max Arsenic mg/l Max Copper mg/l Max Mercury mg/l Max Cadmium mg/l Max Barium mg/l Max Selenium mg/l Max Lead mg/l Max Nickel mg/l Max Insecticides None 26 Radioactive materials None Source: Ministry of Industry c) EIA System and Approval Procedure in Myanmar 1. Laws and Regulations regarding EIA a. Introduction As of November 2014, detailed legal process for the Environmental Impact Assessment (EIA) has not been enacted in Myanmar. However, the Ministry of Environmental Conservation and Forestry (MOECAF) has been preparing series of the EIA Procedure draft which defines detailed legal process related to EIA. The draft EIA Procedure covers contents such as screening of projects, qualification for conducting EIA/ IEE (Initial Environmental Examination), preparation of EIA/IEE report, Environmental Management Plan (EMP), public involvement, approval of EIA/IEE report by MOECAF,, Environmental Compliance Certificate (ECC), and monitoring process after approval of EIA/IEE report and etc.. Currently, 6th draft of EIA Procedure is under preparation. Though the EIA Procedure is still not enacted, currently, majority of new projects in Myanmar are often requested by the Myanmar Investment Commission (MIC) to submit EIA/ IEE report in accordance with draft EIA procedures, upon business/ investment applications. This is prevalent in case of foreign investment projects 159

160 regulated by the Foreign Investment Law 2012 and its subordinate laws/regulations. Myanmar Investment Commission Notification No. 50/2014 (14 August 2014, modifications of Notification No. 1/2013), Economic Activities Which Require Environmental Impact Assessment, determines 30 sectors which require EIA prior to business license. In the list, following are types of economic activities which require EIA and relevant to power generation. - No. 4: Hydropower and other heavy electricity generation, construction of electrical power transmission line The Foreign Investment Rules 2013 also depicts that environmental social considerations of projects shall refer to the Environmental Conservation Law. 2) Super Ordinate Laws of draft EIA Procedures a. Environmental Conservation Law (2012) Environmental Conservation Law (ECL) in Myanmar was prepared by MOECAF and enacted in 31 March, This is the fundamental law for environmental conservation in Myanmar. describes overall composition of ECL. Table 4-45 Composition of the Environmental Conservation Law Chapter Sections 1 Title and Definition Objectives 3 3 Formation of the Environmental Conservation Committee Duties and Powers relating to the Environmental Conservation of the 7-8 Ministry 5 Environmental Emergency 9 6 Environmental Quality Standards Environmental Conservation Management of Urban Environment 17 9 Conservation of Natural Resources and Cultural Heritages Prior Permission Insurance Prohibitions Offences and Penalties Miscellaneous Source: Environmental Conservation Law 2012 b. Environmental Conservation Rules (2014) Environmental Conservation Rules (ECR) is detailed enforcement regulations of the Environmental Conservation Law and enacted on 5 June, describes overall composition of ECR. 160

161 Table 4-46 Composition of the Environmental Conservation Rules Chapter Sections 1 Title and Definition Adopting Policy Relating to Environmental Conservation Environmental Conservation International, Regional and Bi-lateral Cooperation Relating to Environmental Conservation 5 Environmental Management Fund Environmental Emergency Environmental Quality Standards Management of Urban Environment 40 9 Waste Management Conservation of Natural Resources and Cultural Heritages Environment Impact Assessment Prior Permission Prohibitions Miscellaneous Source: Environmental Conservation Rules 2014 ECR stipulates basic policy and concept on EIA application of the development of Projects (Chapter 11); - To prepare the environment impact assessment report including EMP and submit to the Ministry (Section 55 (a)), and - To implement and carry out EMP within the time stipulated by the Ministry and submit the performance situation to the Ministry (Section 55 (b)). Prior Permission (Chapter 12) is required for categories of business, work-site or factory, workshops which may cause an impact on the environmental quality (Section 62). Though categories of business and activities which require the prior permission are yet to be determined as of November 2014, businesses / projects which may cause hazardous impacts and projects which are required to conduct EIA / IEE seem to be categorized for prior permission according to the latest draft EIA procedure. c. Draft EIA Procedures Though there are still considerable modifications going on by MOECAF for the EIA Procedures as of November 2014, there seems to be not much of significant changes in the overall composition of the EIA Procedures among the different versions of drafts. describes overall composition of the latest EIA Procedure. Table 4-47 Composition of the draft EIA Procedure (November 2014) Chapter Sections 1 Title and Definition Establishment of Environmental Impact Assessment Process Requirement of Third Parties to Conduct EIA/IEE Screening Initial Environmental Examination Environmental Impact Assessment Environmental Consideration in Project Approval Monitoring Penalties Appendix A Project Categorization for Assessment Purposes Appendix B IEE/EIA Procedures Appendix C Penalties Categorization Source: Draft EIA Procedures 161

162 3) EIA System and Approve Procedure a. Basic framework of EIA According to the draft EIA procedure, basic framework to be laid out for EIA in Myanmar is as follows. - All projects undertaken in Myanmar by any organizations or individuals having the potential to cause significant adverse impacts, are required to undertake environmental impact assessment and to obtain an Environmental Compliance Certificate in accordance with the EIA Procedure. (Article 3, 6th draft) - The EIA Procedure does not address specific matters in relation to resettlement and indigenous people. Projects involving resettlement or potentially affecting indigenous people shall additionally comply with separate procedures issued by responsible ministries before issuing separate procedures by MOECAF, and in the absence of such procedures all such projects shall adhere to international good practice on involuntary resettlement and indigenous people.(article 9, 6th draft) - Existing projects or projects under construction before the issuance of the EIA Procedure shall develop an Environmental Management Plan (EMP) within a time frame prescribed by the Ministry and such EMP shall be subject to the review and approval of the Ministry. (Article 10, 6th draft) b. Screening of Projects According to the draft EIA Procedure, MOECAF will determine project type (scale of environmental assessment) based on project proposals submitted by project proponents (Article 23, 6th draft, ). Table 4-48 Types (Scales) of Projects Determined in EIA Procedure Project Type Description EIA Type Project Project judged by MOECAF as being likely to have potential for adverse impacts. Pubic consultation process is obligatory IEE Type Project Project judged by MOECAF to have some adverse impacts, but of lesser degree and/or significance than those for EIA type projects. Public consultation process is required based on necessity Neither EIA nor IEE Project judged by MOECAF not required to undertake any Type Project environmental assessment. Source: Draft EIA Procedures The draft EIA Procedure also determines project categories which require EIA or IEE (Annex 1 Project Categorization for Assessment Purposes ). Though there are certain changes of project categories among drafts, the latest draft EIA Procedure is aiming to simplify but to include necessary project categories which require EIA or IEE. c. Process of IEE/EIA The draft EIA Procedure determines processes for IEE, EIA and required actions for on-going projects (when the EIA Procedure is enacted). Following figure summarize respective processes. The process which is currently required by MIC is also included in. 162

163 Figure 4-16 Overall EIA Process in draft EIA Procedures and MIC application IEE EIA On-going Projects MIC Requirements Environmental (IEE) Investigation (including Public Consultation Process) Preparation & Submission of IEE Report Review and Approval Process (Maximum 60days) (Including IEE Report Disclosure & Public Consultation Process) Scoping (Public Consultation) Scoping Report Environmental (EIA) Investigation Draft EIA Report Disclosure and Public Consultation of draft EIA Report Submission of EIA Report Environmental / Social Compliance Audit & Investigation Submission of Environmental Management Plan (EMP) Submission of Environmental & Social Consideration Related Report MIC 1 st Review (PAT) Comments from Relevant Ministries and Reflection of Comments to the Report MIC 2 nd Review, Approval of Report Issuance of Environmental Compliance Certificate (ECC) Review and Approval Process (Maximum 90days) Issuance of Environmental Compliance Certificate (ECC) Source: Draft EIA Procedures and MIC related documents d. Environmental Compliance Certificate According to the 6th draft EIA Procedure, MOECAF will issue Environmental Compliance Certificate (ECC) after approving IEE Report or EIA Report, or an EMP. After the EIA Procedure will be enacted, obtaining ECC will be prerequisite for obtaining permit issued by the Myanmar Investment Commission, any ministry, or any other competent authority, to proceed implementation of the Project. e. Draft EIA/IEE Categorization for Energy Sector Projects At the latest draft EIA Procedure, 24 types of projects for energy sector are determined for IEE/EIA categories and details are described in. 163

164 Table 4-49 Draft EIA/IEE Categorization for Energy Sector Projects Project Size of Project which require Type of Investment Projects No. IEE Size of Project which require EIA 2 Hydro power project 1MW and < 15 MW (or) reservoir capacity < 20,000,000 m 3 (or) reservoir 15 MW (or) reservoir capacity 20,000,000 m 3 (or) reservoir area 400 ha area < 400 ha 3 Nuclear power plant - All sizes 4 Natural gas or biogas power plant or 5 MW and 50 MW 50 MW waste heat power plant 5 Coal power plant 1 MW and 10 MW 10 MW 6 Thermal power plant (not included in 5 MW and 50 MW 50 MW No. 4 and 5 categories) 7 Geothermal power plant 5 MW and 50 MW 50 MW 8 Construction of combined cycle (Gas and Thermal) power stations 5 MW and < 50 MW 50 MW 9 Wind power plant 10 MW and 50 MW 50 MW 10 Solar power plant 50 MW All projects which IEE recommends to conduct EIA 11 Plant of power generation from waste materials 50MW All projects which IEE recommends to conduct EIA 12 Construction or distribution of oil and > 10 km and < 50 km 50 km natural gas pipeline 13 Oil refinery plant or Natural gas plant - All sizes (LPG, LNG, Mo Gas, Kerosene, Diesel, Fuel, Petroleum, ) 14 Oil and Natural gas terminals - All sizes 15 Fuel station (including LPG, CNG) storage capacity > 10 m 3 (10,000 L) All projects which IEE recommends to conduct EIA 16 Construction of depot for oil or natural gas storage oil storage capacity < 10,000 tons - gas storage capacity < 2,500 tons oil storage capacity 10,000 tons - gas storage capacity 2,500 tons 17 Installation of Electrical power line < < 50 km 50 km 230 kv 18 Installation of Electrical power line All sizes (Main power line) 230 kv 19 High voltage transformer substation < 10 ha 10 ha 20 Oil or natural gas exploration by means of geophysical drilling All sizes All projects which IEE recommends to conduct EIA 21 Onshore oil and gas development All sizes projects 22 Offshore oil and gas development All sizes projects 23 Production of oil -based organic All sizes chemical 24 Natural Gas production industry (LPG All sizes products including Naphtha, gasoline, kerosene, disel fuel, waxes, lubes or Methanol) 25 Liquefied Natural Gas production industry All sizes Source: Draft EIA Procedures Among the categories indicated in as well as in other categories in the latest draft EIA procedures, following 164

165 types of project categorization are more likely applicable for the Project considered in the Study (). Considering the current plan for the Project, EIA level study is required for the coal power plant. For the jetty component, it shall be considered as one of subsidiary facilities of the coal power plant and to shall be assed as part of the EIA level study for the entire coal power plant. Table 4-50 Possible EIA/IEE Categorization for the Project Type of Investment Projects Size of Project which require IEE Size of Project which require EIA Coal power plant 1 MW and 10 MW 10 MW Installation of Electrical power line < 230 kv Installation of Electrical power line (Main power line) 230 kv Port construction project (port, jetty and warehouse to load cargos and dock the passenger ships) < 50 km 50 km area < 25 ha Source: Draft EIA Procedures All sizes Area ³ 25 ha 4) Other Environmental Guidelines to be Complied In addition to the environmental laws, rules and regulations of Myanmar, environmental guidelines of donors and other international organizations may need to be complied, based on further development status, especially financial source of the Project. Followings are some of representative environmental guidelines need to be considered. JICA/ JBIC: JICA s or JBIC s Environmental Guidelines designates that any project and activity which may give significant impacts on natural and social environments is classified as Category A. The Category A project should disclose the EIA report and environmental approval certificate. World Bank: The World Bank instructs to prepare a resettlement action plan in case that the large scale of involuntary resettlement, of which PAPs are equal to more than 200 people, accompanies with implementation of the project (Source: WB OP4.12). 5) EIA TOR for further study A draft Terms of Reference (TOR) for investigation of Environmental Impact Assessment (EIA) of the Project is prepared for further considerations and summarized in. 165

166 Table 4-51 Draft TOR for EIA of the Project Item Description Assumptions (1) EIA Level Study (2) Duration: at least 9 months and covering both rainy and dry seasons for surveys/ measurements 1 Preparatory (1) Kick-off Meeting with Ministry of Environment Conservation and Forestry (MOECAF: Work based on necessity) (2) Field Pre-Survey (3) Data Collection by Literature or F/S Report and Field Reconnaissance 2 (1) Reviewing Project Description Development (2) Confirmation on Latest Legal Documents of Basic (3) Setting Environmental Standard to be applied Framework for EIA 3 Scoping (1) Preparation of Scoping Documents and TOR of EIA Investigation (2) 1st Stakeholder Meeting (3) Discussion of TOR for EIA Investigation with MOECAF (based on necessity) 4 Investigation (Baseline Survey) No. Item Survey Item Frequency Points 1 Meteorology Wind Speed, Wind Direction, Continuously 1 point Isolation, Radiation budget, Cloud near proposed project 2 Air Quality NO 2, SO 2, TSP, CO, PM10 Monthly from October 2013 to February 2014 (1 point, near proposed project site) 3 Water Salinity, Temp., Turbidity, 1m 3 times (15 days Temperature layer each each) 4 Current/ River Current Flow 3 times (5 days Flow 5 Water Quality (Natural and Living Conditions) 6 Water Quality (Toxic Substance) 1) Temperature (water, atmosphere), 2) water level, 3) flow rate, 4) odor, 5) color, 6) electrical conductivity, 7) ph, 8) BOD5, 9) SS, 10) DO, 11) total coliform, 12) COD, 13) total nitrogen, 14) total phosphorous, 15) total organic compounds, 16) turbidity, 17) hardness, 18) nitrates (NO 3 -N, NO 2 -N), 19) ammonium nitrogen (NH 4 -N) 20) arsenic (As), 21) mercury (Hg), 22) lead (Pb), 23) cadmium (Cd), 24) hexavalant chromium (Cr(VI)), 25) copper (Cu), 26) zinc (Zn), 27) nickel (Ni), 28) manganese (Mn), 29) iron (Fe), 30) tin (Sn), 31) cyanide (CN), 32) phenol, 33) oil and grease, 34) sulfide, 35) sulfate, 36) fluoride 166 in 2 weeks each) 1 time each in dry and rainy season 1 time in dry and rainy season site 1 point (near proposed project site,) 2 points (1 line) 2 points (1 line) 2 points 2 points

167 5 Environmental Impact Assessment 7 Sediment (River Bed) 8 Traffic Volume ph, As, Pb, Cd, Cu, Zn, Mn, Fe, Cr (VI), Se, Hg, Ni, CN, F, B Number of Vehicle for each type (track, normal vehicle motor cycle) 1 time in dry season 1 points 1 time (weekday) 2 points 9 Noise Leq (db) 1 time (weekday) 2 points 10 Vibration Lv (db) 1 time (weekday) 2 points 11 Flora and Biological Environment, 2 times (dry and proposed Fauna Vegetation and Habitat rainy season) project Mapping, Aqua-ecosystem site and survey off shore 12 Cultural and Cultural heritage, religious 1 time proposed landscape facilities, landscape points, etc. project site 13 Social* Land use and infrastructure, 1 time proposed Population, Living and project livelihood, working site conditions, Sanitation and health etc. S*In addition, surveys for preparation of RAP are required if there will be significant involuntarly resettlement by the Project. (1) Prediction of Environmental and Social Impact (Key environmental elements: Air and Water Temperature) (2) Preparation of draft EIA Report (3) 2nd Stakeholder Meeting (4) Preparation of EIA Report including EMP (5) Submission of EIA Report to MOECAF Source: Study team (5) Actions to be taken by the related authorities in Myanmar to realize the Project a) Summary of the Actions to be Taken It is recommended that the related authorities and / or the Project proponent will implement the following tasks and duties promptly to realize the Project: Project proponents in collaboration with concerned authorities shall conduct followings. Firstly, basic surveys to determine location of the coal thermal power plant and its jetty including alternatives will be conducted. Concurrently to above, a census or social survey to pre-determine users as well as residents of the project locations (project affected persons: PAPs) will be conducted. Thereafter, EIA should be conducted to obtain the environmental approvals. As necessary, resettlement action plan (RAP) with compensation plan and livelihood restoration plan will be prepared. Actions to be taken are shown below; Implement basic surveys such as meteorological measurements, soil investigation, air quality 167

168 survey, water quality survey, river / current flow survey, onshore and offshore fauna / flora survey, and social survey for collecting fundamental baseline information not only for planning / designing of the Project but also for assessing the environmental impacts of the Project, Prepare and finalize TOR for EIA study to start EIA process promptly. As necessary, quantitative targets for environmental conservation for the Project will be set independently if national standards are not formulated yet by the commencement of EIA study. Implement EIA by third party organization hired by the Project proponent to obtain environmental permission (ECC: Environmental Compliance Certificate or equivalent) from the government. If necessary, obtain required environmental approvals other than ECC, such as approvals relating to usage of on-shore area. Prepare RAP if it is required land acquisition and involuntary resettlement,, and Commence land acquisition procedure considering predicted environmental and social impacts. Then start negotiations on compensation with PAPs who will be affected by the Project such as famers/residents within the project site and fishermen living around the project site. It is recommended that the concerned government authorities will conduct followings to facilitate implementation of coal thermal power plant related project. MOECAF is expected to finalize the EIA Procedures and the procedure to be enacted. This will streamline currently vague requirements for EIA. MOECAF is expected to prepare and indicate draft national environmental quality standards/ guidelines, enabling project proponents to comply such standards for environmental and social safeguard Ministry of Electric Power (MOEP) is expected to implement series of public awareness campaign for coal thermal power plant development and electricity supply/ demand issues for more scientific understandings toward the coal thermal plant by the general public. MOEP is in the position to increase coal thermal power plants to meet the demand. However, majority of the general public have stereotype negative impressions toward the coal thermal power plant due to inappropriate construction and management of existing coal thermal power plant (Tigyit Power Plant in Shan State). 168

169 Chapter 5 Financial and Economic Evaluation (1) Cost estimation of the Project Based on similar projects being studied by the Study team and also on the past experiences, the preliminary project cost was estimated. The total capital expenditure for the Project is estimated approximately 130 billion yen and a rough breakdown is as follows: a) Ultra-supercritical pressure coal-fired power plant The sum including the estimated cost for boiler, turbine, electrical and instrument equipment with cables, water drainage and treatment, foundation and civil works, surrounding infrastructures, designing fee and others is as follows: 79 billion yen b) Harbor facilities The sum including the estimated cost for approach pier, coal unloading pier and breakwater is as follows: 33 billion yen c) Coal storage facilities The sum including the estimated cost for machinery for coal unloading and transport, foundation and civil works, surrounding area infrastructure, designing fee and others is as follows: 12 billion yen d) Other expenses The sum including the estimated expense for dispatching of engineers, credit guarantee, contingencies and others is as follows: 6 billion yen (2) Preliminary financial and economic analyses 1) Preconditions for the financial and economic analyses It is assumed that, for the following reasons, the Project is not one that operates as an IPP project on the basis of the budget of an isolated project but one that operates under the management of MoEP. a) It is assumed that the Project is not intended to earn tariff revenues based on the price of power but concerns a power station operated within the budget of MoEP. b) Costs associated with the Project that are paid to the outside of MoEP, such as labor costs, are demanded and approved as an annual budget of MoEP. 169

170 c) Yen loan (ODA) is provided to the Ministry of Finance and is paid back by the Ministry of Finance; for this reason, it is mandatory for MoEP to make repayments of the loan to the Ministry of Finance. 2) Basic conditions and assumed conditions for the analysis a) Duration of the Project Operating period of the Project is 20 years including the 4 years for construction period. b) Annual expected operating time To simplify calculations, an 80% capacity factor (365 days x 24 hours/day x 80%), namely 7,008 hours/year, is assumed throughout the project period in this analysis. 3) Values associated with the generated output a) Assumed annual generated output Assumed annual generated output at average is taken at 600 MW at an outdoor temperature of 30 C. b) Annual degradation rate With the aim of simplifying calculations, this analysis assumes that the degradation rate is zero. c) Transmission Loss Distribution Loss With the aim of simplifying calculations, this analysis assumes that the transmission loss and the distribution loss are zero. 4) Taxation on the project This analysis assumes that the development and operations of the project are exempted from all taxation by the Government of Myanmar. 5) FIRR calculation 1. Costs Capital expenditures (CAPEX) and operating expenditures (OPEX) needed to operate a power plant are considered in general. CAPEX as referred to here are made up of costs of engineering, procurement and construction of the power plant, incidental facilities, consulting services and so on for the Project. 2. Convenience/Benefit This amounts to the product of the quantity sold to the consumers by the sales price to the consumers in Myanmar. a) Assumed selling tariff to MEPE Electricity-selling tariff to sold to MEPE by a power generation business operator in Myanmar (in the case in which the fuel expenses are passed on to MEPE) was USD /kWh. In this analysis, the unit price of 170

171 USD0.035/kWh (the mean value), is used. b) Assumed income Using the above assumed tariff, the assumed income is calculated as shown below: (The assumed revenue: MMUS$) = (Tariff: 0.035USD/kWh) (Output: 600 MW) (7,008 hours) 6) EIRR calculation a) Preconditions for the assumed economic convenience 1. Costs CAPEX and OPEX needed to run a power plant are considered. The CAPEX as referred to here are made up of costs of engineering, procurement and construction of the power plant, incidental facilities, consulting services and so on for the Project. 2. Convenience/Benefit Diesel-engine-generator often is used for power generation due to unstable electricity supply in Myanmar. Therefore, the fuel cost and the maintenance cost for such diesel-engine-generated power can be considered as the willingness to pay (WIP) of the consumers in calculating EIRR. The economic convenience of the private diesel-engine-based power generation with a power generating capacity of 600 MW is calculated from the viewpoint of the following willingness to pay (WIP) of the consumers. According to the Project for Electrification of Rural Areas by Means of Flowing-water Micro Hydropower Generation in the Republic of Union of Myanmar, a report of the Results of Fiscal 2012 Global Warming Countermeasure Technology Promotion Projects of NEDO, MoEP has installed diesel generators at 645 locations or so throughout the country of Myanmar for the purpose of rural area electrification, with electricity generated at a cost as high as yen/kwh (USD /kWh for an exchange rate of 120 yen/usd). Coal-fired power generation that replaces diesel-engine-based power generation using expensive fuel is assumed in the calculation of EIRR for the Project. The assumed expenditures for the operation of a diesel generator with an output of 600 MW at a capacity factor of 80% (365 days 24 hours/day 80%) for 7,008 hours/year are as shown below, provided that the power generating cost of the diesel generator is set at the midpoint value (55 yen/kwh, namely USD 0.48/kWh). (WTP: MMUS$) = (0.46USD/kWh) (Average Output: 600 MW) (7,008 hours) 8) Operating Expenditures (OPEX) In this analysis, OPEX can be determined from the three factors, the fuel costs, the fixed costs and the variable costs, as shown below. With Myanmar having not imported coal, the price of coal is set by adding the premium expenses for a long-term contract and the assumed transportation costs from Australia to Myanmar to the average FOB-based price of Australian coal over the past five years. In addition, it is assumed that this power station with an output 171

172 of 600 MW consumes approximately 1.5 million tons of coal under the operation at an assumed capacity factor of 80%. OPEX calculation has been performed with the fixed and the variable costs assumed to be on the same level as that of maintenance expenses of coal-fired power stations of similar size in the neighboring countries (USD 35 mil/year). a) Fuel costs 1) (Fuel costs) = (Coal price) (Average annual coal consumption: 1.5 million tons) The price of coal is set by adding the premium expenses for a long-term contract and the assumed transportation costs from Australia to Myanmar to the average FOB-based price of Australian coal over the past five years (USD 120/ton). b) Variable and fixed costs OPEX calculation has been performed with the fixed and the variable costs assumed to be on the same level as that of maintenance expenses of coal-fired power stations of similar size in the neighboring countries (USD 35 mil/year). 9) Result of the economic and financial analysis (for 20-year operation) (3) Financial internal rate of return (FIRR) a) In this analysis, an assumed electricity-selling tariff that is USD 0.035/kWh; and the FIRR was calculated to be 5%, which turned out to be lower than the hurdle rate used commonly in developing nations, 15%. 172

173 Project Year O&M cost Plant cost Owner's Cost Revenue US$ million (4) Economic internal rate of return (EIRR) a) The EIRR was calculated to be 58%, fuel conversion from diesel to coal has been found that there is economic rationality. 173

174 Project Year Coal price (USD/ton) Coal consumption (millon ton) Fuel cost O&M cost Plant cost Owner's Cost WTP , , , , , , , , , , , , , , , , , , , ,579 US$ million 174

175 Chapter 6 Envisaged Project Schedule The positioning of this survey was a preliminary feasibility study for a feasibility study that is a precondition for the construction of a coal-fired thermal power plant, and it was completed in February The survey was to be reported to the Japanese Ministry of Economy, Trade and Industry, and also to the Myanmar government through the Ministry. Thereafter, in order to move the project forward, a memorandum of understanding on the advancement of the project is expected to be signed between the Myanmar government and the Japanese government, and the Myanmar government is supposed to request the Japanese government for provision of yen loans. After the request is made, a feasibility study of the project will be carried out. JICA is entrusted with the investigation of the economic, social, financial, technological and environmental aspects of the project and the operation and maintenance/management regimes of the project implementation entity. Based on the result of this screening, the Japanese government will decide whether it is appropriate to provide yen loan to the project for which the request has been made. If the yen loan is approved, its amount, the terms of loan and so on will be decided. The Japanese government will notify the loaning country of its decision concerning the yen loan through the diplomatic route to the loaning country. Thereafter, the two governments will initiate talks for reaching an official agreement. When an agreement is reached between the two governments, exchange of notes (E/N) detailing the items of the agreement will be held. Thereafter, JICA will initiate its loan agreement negotiations with the loaning entity (loaning government, governmental agency, etc.). After a loan agreement (LA) is signed, the project will be implemented. The envisaged schedule for the project implementation is as shown below. Preliminary Feasibility Study Yen loan Request from Myanmar government Feasibility Study Review Exchange of E/N Exchange of L/A Construction COD Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q The schedule after the completion of the preliminary feasibility study in February 2015 is as follows: informing the Myanmar government of the content of the study, request to be made by the Myanmar government on the provision of an yen loan to the Japanese government, selection of project-implementing entity by the Japanese government after the request is made, signing of a memorandum of understanding on the implementation of the feasibility study between the implementing entity and MoEP of Myanmar, implementation of the feasibility study in 2016, review by the Japanese government of the project after the feasibility study is completed, exchange of notes and signing of a loan agreement with the Myanmar government. After these steps are taken, plant 175

176 construction is slated to begin in After 5 years or so of construction period, commencement of commercial operation of the power plant is planned in

177 Chapter 7 Implementing organizations (1) Overview of implementing organizations in Myanmar In Myanmar, the Ministry of Electric Power (MoEP) has jurisdiction over policies on electricity. MoEP, established in 1997 as a spin-off from the Ministry of Energy, was split, through reorganizations carried out in 2002 and 2006, into MoEP No. 1 (MoEP 1), which was made responsible mainly for hydropower generation, and No. 2 (MoEP 2), which was made responsible for gas-fired thermal power generation and power distribution. These two split ministries were reunified under the newly formed Ministry of Electric Power (see below figure). As a legacy of the splitting, a deputy minister presides over the organizations of the former MoEP 1 and another deputy minister over those of the former MoEP 2. The minister of the new MoEP presides over both as union minister.. The former MoEP No. 1 has jurisdiction over a coal-fired thermal power plant and Department of Hydro Power Planning (DHPP) is responsible for the future plan of the projects. The Project is supposed to be financed by an yen loan by the Japanese Government and the power plant is supposed to be owned and operated by the Myanmar Government. Therefore, it will be owned and operated by MoEP accordingly. The Project will use coal as its fuel. However, due to delay in infrastructure development and due specifically to unfeasibility of the use of brown coal produced in Myanmar in the case of the plant where supercritical or ultra-supercritical pressure coal-fired power generation is planned, coal to be used for the Project must be imported from such countries as Indonesia and Australia. Since the Ministry of Mine of Myanmar deals only with the management of domestically produced coal (production adjustment, management of export, etc.), it has no jurisdiction over import of coal under the present circumstance. Myanmar has little experience importing coal to begin with and therefore, in order to proceed with coal-fired power plant with imported coal, MoEP must carry out, via the Ministry of Commerce, the required procedure for obtaining import permit and so on. The Ministry of Commerce may require the opinion from the Ministry of Mine when the procedure for obtaining a coal import permit is being advanced. However, as long as introduction of supercritical or ultra-supercritical pressure coal-fired boilers, with which domestically produced coal cannot be used, is sought, MoEP has control over the issue of coal import. Myanmar Electric Power Enterprise (MEPE) under MoEP will be in charge of power transport, and the Yangon City Electricity Supply Board (YESB) will be in charge of distributing power in the Yangon region. As for power distribution in rural regions, the Electricity Supply Enterprise (ESE) will be in charge. 177

178 (2) Organization/system for project implementation in Myanmar There is no established organization specifically for implementing the Project in Myanmar yet. However, in accordance with the below letter from MoEP, it is assumed that MoEP will form a specific organization for the Project or assign the specific team for the Project in due course. 178

179 179

180 (3) Capability of the implementing organizations and countermeasures There exists in Myanmar only one coal-fired power plant, constructed by Chinese, in Tigyit, and its power generation efficiency is below 30%. Therefore, there is virtually little know-how accumulated on how to construct, own and operate a coal-fired power plant. However, since there are hydropower plants constructed, owned and operated by the MoEP itself, people in Myanmar possess a good knowledge and know-how on how to deal with residents around the area for a new power plant, how to operate such a plant and so on. 180

181 Therefore, when it comes to development of coal-fired power plants in Myanmar, know-how on constructing, owning and operating ultra supercritical coal-fired power plants, operation and maintenance and training of workers must be provided to the Myanmar Government in cooperation with Japanese utility companies, electric power companies, with abundant experiences in them with Japanese Government. Operators of power plants in Myanmar will have an opportunity to be trained at ultra-supercritical coal-fired power plants and supercritical coal-fired plants in Japan as a potential operator of the plants in order to acquire know-how on operation and maintenance so that they can operate the planned power plant with Myanmar s personnel only in the future. 181

182 Chapter 8 Technical Advantages of Japanese Companies (1) Competitiveness of Japanese companies for the Project Tigyit Power Plant is the only coal-fired power plant in operation in Myanmar (2 of 60 MW units). The power generation plant began its operation, supported by the Chinese government, in However, its operation rate remain around 30% due, it is said, to various reasons such as problems with equipment. Also, it is said that environmental pollution by flue gasses emitted from the plant due to problems with equipment in the exhaust gas system has become an issue. Under these circumstances, high hopes are placed on a high-efficiency and environment-friendly coal-fired power station based on advanced technologies of Japanese manufacturers. The integrated approach with the Japanese government and private companies to combines the export of experienced operating know-how of Japanese utility companies, the capability of project development and finance arrangement of Japanese trading houses, and ODA, financial assistance and technical support by the Government of Japan will contribute to the enhancement of more business opportunities for the related industries for Japanese companies and also to the facilitation of appropriate economic development in Myanmar. For an ultra supercritical pressure power plant, major equipment such as the boiler, a steam turbine, and a generator are expected to be manufactured in Japan or by Japanese companies. Furthermore, technical assistance in operation and maintenance of the coal-fired power station after its commissioning for well managed operation at high efficiency can be provided to the power plant in Myanmar by Japanese utility companies and the technological transfer can also be expected for a long run perspective. In the case of ultra-supercritical coal-firing power plants, major supplier for main equipment (including civil engineering and construction work) such as boilers, steam turbines and power generators would be will constitute a Japanese portion (including made-in-japan portion or Japanese-made portion that are produced making use of overseas hubs of Japanese companies). Also, in order to maintain high-efficiency operation of the coal-fired power plant in Myanmar, a technical service agreement (TSA) to provide technical support for its operation and repair after the plant has begun its operation and a long term service agreement (LTSA) to have manufactures guarantee their products against technical risks such as check and maintenance of important parts and troubleshooting measures may be signed so that expansion of exports from Japan can be expected not only during the construction period, but also while the plant is being operated. (2) Expected Japanese contents Major equipment with technical advantages by potential major Japanese suppliers are listed below. Name of main equipment 182 Manufacture, etc.

183 Boiler Steam turbine Generator Computer (control system) Mitsubishi Hitachi Power Systems, Ltd. IHI Corporation Mitsubishi Hitachi Power Systems, Ltd. Toshiba Corporation Mitsubishi Hitachi Power Systems, Ltd. Toshiba Corporation Fuji Electric Co., Ltd. Toshiba Corporation Mitsubishi Electric Corporation Hitachi Ltd. ABB Bailey Japan Ltd. (3) Promotion of the Japanese Contents It is suggested that the governmental support for the infrastructure projects in a developing countries with relatively higher country risks be much meaningful for private sector companies to some extent, especially in terms of financial support such as yen loan as a menu of ODA. Among the various financial support menu by the Japanese government, STEP (Special Terms for Economic Partnership) can be beneficial for both countries, Japan and also Myanmar in this case of the Project. With STEP, Myanmar will be able to enjoy the highly advanced state-of-art technology by Japanese companies and also possible technological transfer. Japanese companies will be able to enjoy more opportunities to contribute the Project for mainly supply of goods and services. 183

184 Chapter 9 Expected fund source for the Project (1) Direction of the fund sourcing by the Myanmar Government for the Project In Myanmar, power plants are constructed and operated with its own fund or grant aid from foreign countries, or they are constructed and operated by private-sector power companies with an Independent Power Producer (IPP) scheme. Meanwhile, no plants have recently been constructed with soft loan nor concessional loan from foreign countries. Since Myanmar has gone through the debt-relief for the soft loans from foreign countries including Japan, in general, it does not actively seek soft loans for a project. Power shortage is seen at a moment already and rapid growth of the future demand is expected in Myanmar. Meanwhile, it is difficult to develop a new gas-fired power plant since there is not much surplus of domestic natural gas and also it applies to a new hydro power plant due to the environmental issues and other reasons. In order to fill the gap between demand and supply of power production capacity in Myanmar, development of a new coal-fired power plant with a large capacity is inevitable. Many new power plants are recently being developed with IPP scheme in Myanmar, however these projects are relatively small size since power plant projects with large capacity find the financial difficulty to be developed under IPP scheme with project finance due to the following issues: 1. Laws and regulations to structure project financing and to protect the project sponsors and lenders are yet to be implemented; 2. Government guarantee may not be secured; and 3. Expected internal rate of return of the project may not be high enough for private companies due to a heavy burden for capital expenditures for the related infrastructures. It is suggested that environmentally friendly and highly efficient ultra super critical coal-fired power plant with clean coal technology be to be introduced in Myanmar to reduce the environmental burden and to contribute to the increase of power supply capacity as well. It is also suggested that the soft loan from the Japanese Government be applicable to this kind of project with the clean coal technology as the Japanese companies have a strong competitiveness in the technology. High officials from MoEP expressed its understanding, to some extent, of the need for the soft loans to construct power plants during the hearing session by the study team. (2) Surroundings for fund sourcing Although grant aid has been provided to power generation sector in Myanmar, no institution has recently offered a loan to it. Private-sector power companies that are advancing development in Myanmar do not resort to structuring of project financing. Instead, they use their own funds to advance construction of power plants. Meanwhile, in the bidding for Myingyan gas-fired IPP power plant project, IFC s consultant team got involved in 184

185 it, which secured, albeit its small scale, MoEP s guarantee concerning its selling of power. Since this case has a possibility of being capable of structuring project financing for a large-scale power generation for the first time, it must be watched carefully. However, it is generally believed that it takes some more times to structure project financing for large-scale power generation in Myanmar. (3) Expected fund source for the Project including yen loan Since this project concerns a large-scale coal-fired power plant, while conditions for structuring project financing is unimplemented and development based on it is not likely, ODA of yen loan by the Japanese Government is considered to be made use of. MoEP expressed its concern for the construction management and operation of the coal-fired power plant due to the lack of experience and know-how and its intention to request for the technical support for such issues, however, MoEP was convinced that they would be capable enough to manage the construction and operate the power plant as well if such technical support is also provided. And MoEP recognized the benefit of the application of yen loan to the Project and understand that MoEP is the one to promote the development of the Project based on the basic understandings toward the yen loan. Therefore, it is advisable that the application of yen loan is possibly an efficient solution depending on the bilateral arrangement between the related ministries of the both government of Myanmar and Japan. 185

186 Chapter 10 Action plans for the request for yen loans (1) Directions of the yen loan application to the Project Shown below is a schematic diagram of organizations involved in securing ODA yen loans for Myanmar. After the result of this survey is reported to the Myanmar government, it will request the Japanese government for an ODA yen loan. After the request is received by the Japanese government, the governments will sign a memorandum of understanding for carrying out a feasibility study for cooperation based on the request for the ODA yen loan. Afterwards, MoEP will sign MOU with Japanese companies selected by the Japanese government for carrying out a project feasibility survey. (2) Actions to be taken for the yen loan application In order to make a request for an ODA yen loan, public knowledge of clean coal technology must be prevailed in Myanmar. In Myanmar, due to activities of NGO, inefficient operations of the existing coal-fired power plant and its adverse impacts on people s environments owing to unimplemented waste treatment for the environment, people has a strong, and sometimes incorrect, impression of coal-fired power plants as a power source imposing heavy burdens to the environment. In the course of development of the Project, it is necessary to implement public relations initiatives to explain that it is possible to achieve coal-fired power generation that does not burden the environment by introducing the proper countermeasures such as desulfurization equipment and NOx removal equipment to reduce hazardous substances such as CO 2, sulfur oxides and nitrogen oxides produced by burning of coal. It is also necessary to form common recognition among the people of the Myanmar government that is favorable to loaning cooperation by letting the importance of such cooperation be known thoroughly to the economic development of Myanmar. (3) Related issues for the yen loan application After this survey is completed, it is suggested that public relations using TV commercials to raise the level of recognition of clean coal within Myanmar, briefing on clean coal to NGO and the press, holding of lectures to government personnel on clean coal and so on be carried out. It is also suggested that government personnel be briefed on favorable benefits of infrastructure development with ODA yen loan on the growth of the nation as a precursor activity for requesting it. 186