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Nam Theun 2 Hydroelectric Project Lao PDR. Project Specifics Technical - Environmental - Social By Jean-Pierre Serusclat, Chairman, NTPC September 2004. A. Project Overview. Cross border Project is part of 3,000 MW electricity export program between Lao PDR and Thailand
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Nam Theun 2 Hydroelectric Project Lao PDR Project Specifics Technical - Environmental - Social By Jean-Pierre Serusclat, Chairman, NTPC September 2004
A. Project Overview Cross border • Project is part of 3,000 MW electricity export program between Lao PDR and Thailand • 1,080MW capacity - 95% of electricity sold to Thailand Trans basin • Project will dam the Nam Theun and divert water to the Xe Bang Fai Nam Theun Nakai Dam Mekong Nam Theun Power Station Xe Bang Fai
Water Transfer Scheme Source: NTPC, 2004 • 48m high dam on Nam Theun creating a 450km2 Reservoir (at full supply level) on the Nakai Plateau • Water from reservoir drops ~350m through tunnel to power station at base of Nakai escarpment • 6 turbines will generate ~6,000GWh per year of electricity • A regulating pond regulates downstream releases; water passes through a 27km long channel before reaching Xe Bang Fai
Project Organisation • Franco-Lao-Thai partnership with multilateral support • 25 year concession period (CA signed in Oct 2002, PPA signed in Nov 2003)
B.Environmental and Social Plans 3 Safeguard documents designed to meet GoL and IFIs requirements + 1 summary : Environmental and Social studies carried out since 1991 : more than 600 supporting documents Participatory approach : Consultations with Project Affected People on-going since 1996, results regularly incorporated in SDP
Environmental and Social Principles Livelihood restoration/improvement rather than cash compensation Mitigation of environmental impacts whenever technically feasible, or offset (protection of the watershed) All commitments described in the Concession Agreement : • Long term • Binding • E&S : ~ 10% of total project costs • Dedicated contingencies 3 major areas: (1) Nakai Plateau, (2) Watershed, (3) Downstream of power station and Xe Bang Fai, (+ Downstream of dam)
Nakai Plateau Nakai Dam Mekong Nam Theun Power Station Xe Bang Fai
Nakai Plateau : Impacts • Reservoir Flooding E&S Impacts • Inundation of mixed vegetation (Max 450km2 in rainy season – Min 80km2 in dry season) • Change of animal habitats and biodiversity • Biomass degradation likely to impact water quality during first years • Resettlement of ~6,000 people
Nakai Plateau : Resettlement • 208km2 along southern rim of Nakai Reservoir • Livelihood restoration/improvement, based on • Forestry • Agriculture (irrigated and non-irrig.) • Fishing • Livestock • Each relocated family to be provided with land, equipment, and training • Infrastructure includes irrigation, domestic water, electricity, schools, community facilities • Long term health program • Features tested in the pilot village (30 voluntary families)
Nakai Plateau : Resettlement The Pilot Village - A unique opportunity to test proposed livelihoods and to monitor how resettlers adjust to new sites
Nakai Plateau : Environmental Management • Specific studies for fauna and management plans • Wildlife monitoring and rescue plan during reservoir filling • Public education on environmental issues
NNT NBCA + corridors Watershed • Protected area of ~ 4,000km2 • Conservation of a unique ecosystem over the long term • Managed by GoL agency : WMPA • funded by NTPC during the entire concession period • … Nakai Dam Mekong Nam Theun Power Station Xe Bang Fai Source: NTPC, 2004
Xe Bang Fai Nakai Dam Mekong Nam Theun Power Station Xe Bang Fai
Xe Bang Fai : E&S Impacts • Physical and bio-chemical impacts • River bank erosion • Changes in water quality • Effects on fisheries • Restrictions on crossing the river • but : • More irrigation potential • Improved navigation • Approximately 40,000 people living along the river + 11,000 in hinterlands • No resettlement
Xe Bang Fai : Environmental Measures • Aeration weir to improve water quality • Riverbank protection • Regulating pond to limit fluctuation of flow releases and erosion • Operationrestrictions during flood events
Xe Bang Fai : Social Measures • Livelihood restoration (rather than cash compensation) • Mitigation / compensation plans include : • Domestic water wells • Provision of boats • Alternative fisheries • Relocation of riverbank gardens • Adjustment of existing pumps • Some measures to be implemented prior to commercial operations • Regional Health plan
Downstream of Nakai Dam Nakai Dam Mekong Nam Theun Power Station Xe Bang Fai
Downstream of Nakai Dam • Guaranteed minimum flow + complementary release • Reduced flow for first 12km below dam site, then substantially increased from Nam Phao confluence • From dam to existing Theun Hinboun Reservoir (32 km): no established villages or permanent settlements
NTPC Commitment NTPC is contractually responsible for implementing and covering cost of all mitigation and compensation measures during construction and operation.