Project Number: 37091

October 2010

IND: Agribusiness Infrastructure Development

Investment Program

Initial Environmental Examination

This report has been submitted to ADB by the Department of Agriculture, Bihar and Department of

Cooperation, Marketing and Textile in Maharashtra and is made publicly available in accordance with

ADB’s public communications policy (2005). It does not necessarily reflect the views of ADB.

Prepared for Department of Agriculture in Bihar and Department of Cooperation, Marketing

and Textile; and Maharashtra State Agriculture Marketing Board in Maharashtra

i

List of Abbreviations

Agri Infrastructure Development Project AIDP

Agriculture Produce Marketing Committee APMC

Asian Development Bank ADB

Bihar State Pollution Control Board BSPCB

Central Ground Water Board CGWB

Central Pollution Control Board CPCB

Department of Agriculture DOA

Environmental Impact Assessment EIA

Effluent Treatment Plant ETP

Environment Protection Act EPA

Environmental Management Plan EMP

Hazard Analysis Critical Control Planning HACCP

Indian Road Congress IRC

Initial Environmental Examination IEE

Integrated Value Chain IVC

Kilolitres Per Day KLD

Lethal Concentration LC

Lethal Dose LD

Litres Per Day LPD

Maharashtra Pollution Control Board MPCB

Maharashtra State Agriculture Marketing Board MSAMB

Material Safety Data Sheet MSDS

Mechanised Aerobic Composting MAC

Municipal Solid Waste MSW

Project Management Unit PMU

Right of Way ROW

State Level Agency for Infrastructure

Development in Bihar SAID

Town & Country Planning Office TCPO

ii

Table of Contents

Section A: Executive Summary ...................................................................................................................... 1

Section B: Policy Legal and Administrative Framework ................................................................................ 6

Section C: Description of the Project .......................................................................................................... 10

a) Area and Focus Commodities Covered ........................................................................................... 13

b) Components and Sub-Components of the Project ......................................................................... 13

Section D: Description of the Environment ................................................................................................ 17

Section E: Anticipated Environmental Impacts and Mitigation Measures ................................................. 20

b) Environmental Effects of Development .......................................................................................... 20

1. Impact on Air Environment ..................................................................................................... 24

2. Impact on Water Environment ............................................................................................... 26

3. Impact on Soil Environment .................................................................................................... 28

Section F: Information Disclosure, Consultation and Participation ........................................................... 33

a) Public Consultation ......................................................................................................................... 33

b) Information Disclosure .................................................................................................................... 34

c) Participation .................................................................................................................................... 35

Section G: Grievance Redress Mechanism ................................................................................................. 36

Section H: Environmental Management and Monitoring Plan ................................................................... 38

Section I: Conclusion and Recommendation .............................................................................................. 44

iii

List of Tables

TABLE 1 ENVIRONMENTAL MANAGEMENT PLAN ........................................................................................................... 3

TABLE 2 COST OF IMPLEMENTATION OF EMP ................................................................................................................ 6

TABLE 3 GEOGRAPHICAL SPREAD AND FOCUS COMMODITIES OF IDENTIFIED INTEGRATED VALUE CHAINS (IVC) ..... 13

TABLE 4 COMPONENTS AND SUB-COMPONENTS OF THE PROJECT IN MUZAFFARPUR REGION, BIHAR ......................... 14

TABLE 5 COMPONENTS AND SUB-COMPONENTS OF THE PROJECT IN NALANDA REGION, BIHAR ................................. 15

TABLE 6 METEOROLOGICAL DATA OF ZONE OF INFLUENCE - BIHAR ........................................................................... 18

TABLE 7 POTENTIAL IMPACT OF PROJECT ACTIVITIES IN BIHAR .................................................................................. 20

TABLE 8 SITE SPECIFIC OBSERVATIONS IN BIHAR ........................................................................................................ 21

TABLE 9 TRAFFIC ASSESSMENT IN BIHAR .................................................................................................................... 24

TABLE 10 ASSESSMENT OF CHEMICALS USED IN THE PROPOSED FACILITIES IN BIHAR................................................ 25

TABLE 11 ASSESSMENT OF WATER REQUIREMENT - BIHAR ......................................................................................... 27

TABLE 12: REPRESENTATIVE CHARACTERISTICS OF SOLID WASTE IN APMC AND VEGETABLES MARKET ................. 28

TABLE 13 ESTIMATION OF SOLID WASTE GENERATION AT VARIOUS HUB AND SPOKE LOCATIONS IN BIHAR .............. 28

TABLE 14 ENVIRONMENTAL EFFECTS OF SUPPORT INFRASTRUCTURE DEVELOPMENT ................................................ 29

TABLE 15 SALIENT POINTS RAISED BY STAKEHOLDERS DURING PUBLIC CONSULTATION ........................................... 33

TABLE 16 CONTACT DETAILS OF DISTRICT MAGISTRATES OF CONCERNED DISTRICTS FOR GRIEVANCE REDRESS ..... 36

TABLE 17 POTENTIAL IMPACT ON ENVIRONMENT, MITIGATIVE MEASURES AND MONITORING AGENCY .................... 38

TABLE 18 COST OF WASTEWATER TREATMENT PLANTS .............................................................................................. 41

TABLE 19 COST OF SOLID WASTE MANAGEMENT ........................................................................................................ 42

TABLE 20 SUMMARY OF COST OF IMPLEMENTATION OF EMP ..................................................................................... 43

List of Figures

FIGURE 1: RELATIVE LOCATION OF HUB AND SPOKES IN BIHAR IVCS .......................................................................................... 14

FIGURE 2: GAYA APMC - TRADERS SHOPS (NOT IN USE) ........................................................................................................ 47

FIGURE 3: BUXER APMC - CLOSED WAREHOUSE ................................................................................................................... 47

FIGURE 4: MUSALLAPUR APMC - HAPHAZARD PARKING FOR UNLOADING GOODS ....................................................................... 48

FIGURE 5: NOKHA APMC - ABANDONED STRUCTURES ............................................................................................................ 48

FIGURE 6: DALSINGH SARAI APMC - ABANDONED STRUCTURE AND OPEN LAND ......................................................................... 49

FIGURE 7: BEGUSARAI APMC - WAREHOUSING ..................................................................................................................... 49

FIGURE 8: MUZZAFARPUR APMC - TRADERS' SHOPS .............................................................................................................. 50

FIGURE 9: SAMASTIPUR APMC - WAREHOUSING ................................................................................................................... 50

1

Section A: Executive Summary

1. Agribusiness Infrastructure Development Project (AIDP) is aimed at addressing three main

constraints to agriculture growth- outdated technologies; lack of public investment in basic

infrastructure and limited diversification. Taking into account the Integrated Value Chain

(IVC) approach, the program targets improving physical and institutional linkages along

agricultural value chains through support of agribusiness market infrastructure; support

infrastructure like last mile roads, power, water; systems relating to market intelligence;

and, capacity building and strengthening/establishing value chain linkages. Hub and spoke

model was adopted for proposed development of market linkages from producer to

consumer.

2. Two value chains were selected in the state of Bihar based on the key crops in the

respective region. Select crops of Litchi, Mango and Banana for Muzaffarpur region with

one hub and four spoke locations and potato and assorted vegetables for Nalanda region

with one hub and six spoke locations.

3. Two value chains were selected in the state of Maharashtra based on the key crops in the

respective region. Select crops of Pomegranate, grapes, Banana, Tomato and Onion for

Nashik region with one hub and eight spoke locations and crops of Sweet Lime, Kesar

Mango, Orange, Lemon and Banana in the Amaravati – Aurangabad region with one hub

and five spoke locations. This IEE covers only the investments in Bihar as investments in

Maharashtra will be covered under subsequent tranches.

4. Various facilities comprising of a suitable mix of pack house, cold storages, warehouses,

ripening chambers, grading and sorting facilities, fumigation facilities along with support

infrastructure for business center, shops, auction platforms, canteen, power back up,

wastewater treatment and solid waste management facility have been proposed under the

project.

5. Maharashtra State Agriculture Marketing Board (MSAMB) is designated nodal agency in

the state of Maharashtra for this project. Department of Agriculture (DoA) will be

designated by the Bihar Government. At present, Horticulture Department of the Ministry

of Agriculture is coordinating the activities under this project in Bihar

6. Bihar state agricultural department has decided to allocate land parcels of erstwhile

Agriculture Produce Market Committees (APMCs) for proposed development.

Accordingly, Initial Environmental Examination has been carried out for specific locations

in Bihar while a framework for environmental assessment has been suggested for

Maharashtra.

7. Stakeholder consultations were conducted during the phase of data collection to record

concerns of farmers, commission agents and traders involved in the value chains.

Subsequently, environmental expert visited sites in October 2009 to assess site specific

2

impacts. State government officers and prospective investors were consulted in respective

forums on commercial, legal and environmental aspects of the proposed development.

8. This study has been carried out within the legal environmental framework in India and

ADB Safeguard Policy Statement, 2009. Important laws governing the development have

been briefly discussed in this study viz. The Water (Prevention and Control of Pollution)

Act, 1974; The Air (Prevention and Control of Pollution) Act, 1981 and the Environment

Protection Act, 1986. In addition to these acts, Hazardous Waste Storage and Handling

Rules, 1991 and EIA Rules, 2006 are other significant legislations. Siting guidelines for

infrastructure project prescribed by the Central Pollution Control Board (CPCB) have been

briefly discussed.

9. Pre-Construction Phase Impacts: Among expected environmental impacts during Pre-

Construction phase are impacts related to site selection and improper design. As a general

principle, sites involving Rehabilitation & Resettlement (R&R) should be avoided. In case

of Bihar, since similar activities were operational at proposed sites, impacts are limited to

minor relocation and disruption in activities. Impacts due to improper design could be

averted by following good design practices and prevailing regulatory norms. Where for last

mile connectivity or for approach to facility, roads are to be constructed, land acquisition

should avoid R&R issues and design should suit the estimated traffic volumes.

10. Construction Phase Impacts: Among construction phase impacts are dust and noise

pollution due to excavation and transportation of loose soil; soil pollution due to solid

waste from labour camp and discarded concrete and shuttering material. Prohibiting night

work, water supply and sanitation facilities for labour camp and inclusion of appropriate

conditions of contracts are suggested mitigative measures.

11. Operations Phase Impacts: Ambient air pollution due to traffic, indoor air pollution due to

fumigation, water pollution due to sewage and ripening chemicals, solid waste generation

due to spillage of material and discarding damaged material are some of the prominent

impacts. Specific Mitigative measures have been recommended for each of the impacts

identified in the Initial Environmental Examination (IEE).

12. Grievance Redress Mechanism: Three tier Grievance Redress mechanism has been

suggested. Since agriculture department is the main concessionaire of the project, this

department will be the first tier for any complaints against the concessionaire (developer).

District Magistrate of each district is authority for hearing all plaints arising of revenue

land and hence has been suggested as the second tier. At state level, both Bihar and

Maharashtra have Grievances Cell headed by the Chief Secretary of the state. This will be

the third and highest level tier for redress before matter going to civil court of Law. In

addition to the information disclosed, people can avail information under Right to

Information Act, 2005.

13. Environmental Management Plan (EMP): Following table summarizes EMP.

3

Table 1 Environmental Management Plan

Phase Potential Impact Mitigative Measure Monitoring

Pre-

Construction

Phase

Siting – Rehabilitation

and Resettlement (R&R)

of residential or business

establishments, religious

structures, archeological

structures, historical

monuments or sites close

to national highways,

major rivers, protected

forests not meeting siting

norms laid down by the

regulators

Site selected by developer

in case of Maharashtra

should meet regulatory

norms for siting and

should not involve any

R&R. Site should have

clear title and minimum

13 years title search

should be conducted to

ensure that no dubious

records exist on site.

Project management

unit (PMU) of DoA

assisted by

Consultants should

verify records, conduct

site visits and approve

site

Design defects that may

cause environmental

impacts for project

interventions as well as

support infrastructure

Many design stage

defects cause

environmental impacts

due to non compliance to

the norms and good

engineering practices.

Designs should be as per

norms laid down by

concerned authorities

such as Indian Road

Congress (IRC), Town &

Country Planning Office

(TCPO), Central

Pollution Control Board

(CPCB), Bureau of

Energy Efficiency (BEE)

etc.

Consult local people for

incorporating their past

experiences and concerns

PMU should verify the

designs and approve

before construction

commences

Construction

Phase

Air and noise pollution

due to dust and

suspended particulates

Good engineering

practices such as

watering/covering lose

soil during transportation

Restricting speed of

trucks carrying soil, and

cement to 25 kmph

Restriction of working

hours from 8 am to 8 pm

so that no work related

noise pollution at night

Tender specifications

to include appropriate

mitigative clauses as

conditions of contract

Solid waste and water

pollution due to

construction activities

Labour camp is the main

source of pollution during

construction phase.

Proper water supply and

Tender specifications

to include appropriate

Mitigative clauses as

conditions of contract

4

sanitation facilities and

housekeeping at the

labour camp should be

provided by the

contractor

Discarding excess

material such as set

concrete, bitumen,

shuttering material, cut

pieces waste causes soil

pollution if not removed

by the contractor

Surface water runoff

carries fuel and chemicals

spill over and

contaminate streams.

Proper impervious base

should be provided in the

store of fuel and chemical

Operations

phase

Ambient Air Pollution Ambient air pollution

during operation phase

may cause due to idling

of vehicles during loading

and unloading. Spacious

planning and provision

for docking of lorries will

reduce ambient air

pollution

Gen set should have stack

of adequate height and

acoustic enclosure

Master plan approved

by the PMU/DOA

should have adequate

provision for docking/

parking of vehicles

Indoor Air Pollution Storage of ripening and

fumigation chemicals

should meet Hazardous

waste storage and

handling rules.

Adequate protective gear

should be provided to the

staff working in ripening

chamber and fumigation

to prevent human

exposure to fumes and

gasses

Staff should be trained to

handle and provide first

aid to affected person in

case of accident

emergency. First aid

facility should be

periodically checked for

Make it mandatory for

operators to have

Hazard Analysis and

Critical Control Point

(HACCP) certification

and DOA should

periodically check

validity of the

certificate so that

Standard Operating

Procedures and Good

Operating Practices

would be followed

reducing indoor air

pollution

5

validation

Water Pollution Wastewater treatment

plant should be provided

for treatment of

wastewater

Developer/ Operator to

maintain valid consent

to establish all the

time, developer should

be asked to provide

separate energy meter

for Effluent Treatment

Plant (ETP) and the

bills should be

periodically checked

by DOA for power

consumption.

Developer should

periodically send

samples of treated

wastewater and submit

reports to DOA and if

reports fail to meet the

norms prescribed by

the BSPCB, the

developer would be

responsible to take

necessary corrective

action

Soil Pollution Solid waste generated in

proposed activity would

be highly biodegradable.

Therefore depending

upon the quantum of solid

waste, and availability of

land, either composting or

biomethanation should be

provided

Metal scrap, waste paper,

plastic and glass should

be sold to the scrap dealer

for recycling

Tender specifications

to include appropriate

mitigative clauses as

conditions of contract

14. Cost of Implementation of EMP: Mitigation of expected impacts would have explicit cost

primarily for wastewater treatment, solid waste management and for providing protective

gears to the staff for occupational safety. Certain costs of mitigation such as cost to comply

with good engineering practices and energy efficient equipment will be embedded in the

cost of respective items and hence has not been considered in the cost of implementation of

EMP. Similarly, cost of land required for wastewater treatment plant and solid waste

management system will be merged with the cost of land for entire project intervention.

Following table summarizes cost of EMP implementation.

6

Table 2 Cost of Implementation of EMP

Integrated

Value Chain

Cost of water

pollution

control

Cost of solid

waste

management

Cost of

other EMP Total Remarks

Muzaffarpur

Region 11.81 28.86 3.5 44.17

Chemical usage at

5 locations

Nalanda

Region 14.00 87.64 1.5 103.14

Chemical usage at

2 locations

Bihar Total 25.81 116.50 5.00 147.31

All figures in Rs. million

15. Expected negative environmental impacts of the proposed development are minor,

reversible and could be avoided with implementation of EMP. Positive impacts of the

project in terms of expected prevention of agriculture produce wastage, value addition and

related enhancement of farmers‟ income, possible creation of employment opportunities far

too outweigh negative impacts. Therefore it is recommended to approve the project.

Section B: Introduction and Policy Legal and Administrative Framework

16. This Initial Environmental Evaluation (IEE) was prepared according to India‟s regulatory

framework for environmental impact assessment, the Environment (Protection) Act, 1986;

and Rules made therein, the Environmental Impact Assessment Notification, 2006; and two

beneficiary state environmental regulations, as well as Asian Development Bank‟s (ADB)

Safeguard Policy Statement (June 2009).

.

17. The Agribusiness Infrastructure Development Investment Program (AIDIP) is aimed at

addressing three main constraints to agricultural growth- outdated technologies; lack of

public investment in market infrastructure and limited diversification into higher value

crops. The program will adopt an Integrated Value Chain approach with targets of

improving physical and institutional linkages along agricultural value chains through

support for agribusiness market infrastructure; linking infrastructure like last mile roads,

power, water; market information and intelligence; and, capacity building and

strengthening value chain linkages in selected regions in the States of Bihar and

Maharashtra

18. Integrated Value Chains (IVC) envisaged in the program would comprise of crops and

agriculture commodities that prevail in the selected districts within each State. IVC‟s

consist of producers and market chain stakeholders cooperating to supply products that

consumers demand in a manner that increasingly maximizes the value to all stakeholders

including producers. The program will invest in physical infrastructure and capacity

building to provide linkages and logistical coordination from farm gate to the consumer so

as to a) improve handling of commodities, b) enhance value at each stage of the value chain

and c) reduce wastage such that farm gate returns are improved from a greater proportion

7

of output reaching final consumption, higher consumer prices from improved quality. The

program will be implemented from November 2010 to December 2017, and will be

financed through a Multi-tranche Financing Facility (MFF) of $170 million which is

currently envisaged to comprise of four tranches, with two tranches for each State. The

program includes two main components (i) support for integrated value chains; and (ii)

institutional development and program management. Tranche 1 includes investments in

Bihar and this study comprises the IEE for the investments proposed in Bihar. An

Environmental Assessment and Review Framework has been prepared to guide the review

and assessment of subsequent tranches in this Program.

19. Environmental legislation and regulation in India is spread over several Acts and

notifications. However, three important Acts control the environments viz. The Water

(Prevention and Control of Pollution) Act, 1974 popularly known as The “Water Act”, The

Air (Prevention and Control of Pollution) Act, 1981 popularly known as the “Air Act” and

the Environment Protection (EP) Act, 1986.

20. The Water Act, 1974 and the Air Act, 1981

a) Monitoring agencies, Central Pollution Control Board (CPCB) and State Level

Pollution Control Boards (SPCBs) were constituted under the provisions of the

„Water Act‟.

b) These Acts have delegated powers to the SPCB to cut power and water supply of the

polluting industries. Under the provisions of these Acts, „occupier‟ of the polluting

industry could be jailed for not meeting the water and air discharge norms prescribed

by the authorities from time to time.

c) Under these Acts, project proponents of any new project or expansion of existing

project should obtain „Consent to Establish‟ before physical activity begins and

„Consent to Operate‟ before the operations commence. In additions, „Environmental

Statement‟ should be filed annually giving details of emissions and pollution loads

and pollution prevention measures.

21. Environment Protection Act, 1986

a) This Act is considered as an umbrella Act. Various rules have been notified by the

Government of India under the provisions of this Act. Some of these include as

Hazardous Waste Handling and Disposal rules, Hazardous Chemicals Storage and

Handling Rules, Coastal Regulation Zone Notification of 1991, EIA (Environmental

Impact Assessment) Notification of 1994 amended in 2006.

b) EIA Notification of 14 September 2006 has categorized polluting projects in

Category A and B based on spatial based on the spatial extent of potential impacts

and potential impacts on human health and natural and manmade resources. Category

A projects have to obtain Environmental Clearance (EC) from the Central

Environmental Impact Assessment Authority. Category B projects are further

8

categorized in B1 and B2. B1 projects should obtain EC from the State

Environmental Impact Assessment Authority. Category B2 projects do not need EC. c) All projects should obtain Consent to Operate and Consent to Establish from State

Pollution Control Boards irrespective of whether they need EC or otherwise.

22. Siting Criteria Delineated by MOEF: Ministry of Environment and Forests (MoEF) has

issued siting criteria for all industrial projects as follows:

(a) As far as possible prime agricultural land/forest land may not be converted into an

industrial site.

(b) Land acquired should be minimum but sufficient to provide for a green belt wherein

the treated wastewater, if possible/suitable, could be utilized from wastewater

treatment systems.

(c) Enough space may be provided for storing solid wastes. The space and the waste can

be made available for possible reuse in future.

(d) Layout and form of the project must conform to the landscape of the area without

unduly affecting the scenic features of that place.

(e) Associated township of the project if any to be created must provide for space for

phyto- graphic barrier between the project and the township and should take into

account predominant wind direction.

(f) Coastal Areas: at least 1/2 km from the high tide line (within 0.5 km of High Tide

Line (HTL), specified activities as per CRZ (Coastal Regulation Zone) notification,

1991 are permitted) (The HTL is to be delineated by the authorized agency only).

(g) Estuaries: At least 200 meters from the estuary boundaries.

(h) Flood Plains of the Riverine systems: at least 500 meters from flood plain or modified

flood plain or by flood control systems.

(i) Transport/Communication System: at least 500 meters from highway and railway.

(j) Major Settlements (3,00,000 population) at least 25 km from the projected growth

boundary of the settlement.

23. Multilateral Environmental Agreements (MEAs): Of the some 200 MEAs currently in

force, those with particular relevance for agriculture include the Montreal Protocol on

Substances that Deplete the Ozone Layer, the Convention on International Trade in

Endangered Species (CITES), and the Convention on Biological Diversity (CBD).

However, all these agreements deal with the agricultural practices and chemicals used in

farms. However, since the proposed interventions are for agri-infrastructure in Integrated

Value Chain (IVC) for post harvest value preservation and reduction of wastage, none of

the MEAs are likely to be triggered.

24. Institutional set up for monitoring and enforcement of environmental regulation in the State

of Bihar comprises of Bihar State Pollution Control Board (BSPCB) and Bihar State

Environmental Impact Assessment Authority. Both these institutions have their head

quarters at the state capital Patna.

9

25. Private partner selected through competitive bidding process („Project Developer‟) would

be responsible for compliance to environmental regulations for the proposed interventions.

Bidding process would ensure that the Project Developer has adequate in-house

institutional capacity for environmental compliance or has access and resources to

outsource advisory agency to assist the Project Developer in complying with the

environmental regulations.

26. In case of Bihar, Project Developer would need to obtain Consent to Establish (CtE)

application soon after the land is transferred to him by the Bihar Government and master

plan for the facility is approved by the concerned planning authority but before

commencement of construction. Once the application is processed by BSPCB, they will

check if Environmental Clearance (EC) requirement is triggered and if so whether EC from

state or central authority is required. In case of proposed interventions most likely the

BSPCB would categorize the sub-projects at Spoke locations as B2 which would not need

EC. Sub projects at hub locations may be categorized as B1 in which case the Consent to

Establish will be issued only after EC from the state authority which may take about 6

months

27. After CtE and EC (where required) is obtained, Project Developer can complete physical

work and then apply for Consent to Operate (CtO). In this process, BSPCB shall verify that

the facility has been established as stated in the CtE and that all conditions have been

fulfilled, then issue the CtO

10

Section C: Description of the Project

28. AIDP is aimed at addressing three main constraints to agriculture growth- outdated

technologies; lack of public investment in basic infrastructure and limited diversification.

Taking into account the Integrated Value Chain (IVC) approach, the program targets

improving physical and institutional linkages along agricultural value chains through

support of agribusiness market infrastructure; support infrastructure like last mile roads,

power, water; systems relating to market intelligence; and, capacity building and

strengthening/establishing value chain linkages.

29. The intent of the program is to achieve accelerated investment in agriculture and to support

related infrastructure in rural areas, along the Integrated Value Chains. The interventions

may target several or all of the following:

a) Aggregation facilities

b) Sorting, grading, packaging

c) Storage (ambient and controlled temperature)

d) Value addition and market intelligence

e) Distribution facilities including logistics

f) Value chains for end-to-end linkages

30. Project interventions have been configured in Hub and Spoke model in such a way that

commodities grown in a geographic region of identified value chains could be collected as

close to the field as possible for preservation and enhancement of value.

31. The program includes two main components (i) support for integrated value chains; and

(ii) institutional development and program management

32. Component 1: Support for Integrated Value Chains. The component will support the

strengthening and/or establishment of agribusiness and marketing infrastructure and

institutional linkages among the IVC stakeholders for horticultural high value crops

(HVCs). Through basic and agribusiness infrastructure within market yards, linking

infrastructure to ensure connectivity and basic utilities services along the VC, strengthening

and/or establishing of backward VC linkages, and technical skills development along the

VC, the component will ensure that the marketing infrastructure are linked to basic utilities

services and producers so that more efficient IVC‟s develop. The component includes the

following sub-components:

Rehabilitation and/or building of basic infrastructure for market site

development, operated by private sector operator on a public private partnership

11

(PPP) basis, such as internal roads, solid waste management systems, boundary

walls, water drainage and water supply facility, etc.;

Rehabilitation and/or building of agribusiness infrastructure, operated by

private sector operator on a PPP basis, such as pre-cooling facilities,

transportation, washing and ripening facilities, grading & sorting, packaging

facilities, information technology systems, and ambient and controlled

temperature storage1;

Establishment of linking infrastructure along the value chain, i.e. infrastructure

to service the IVC with basic utilities (such as power supply linkages, and water

connections) and to increase the IVC connectivity through roads (such as rural

roads to production areas, and access roads to markets). Government line

departments will develop any linking infrastructure needed, financing it through

existing government schemes or through the AIDIP when no government schemes

are available;

Strengthening and/or establishment of backward linkages to the production

areas so that producers are linked to the IVCs. To take advantage of value

addition options and improved marketing efficiency, small farmers must

coordinate their decisions, aggregate their produce, and improve product quality.

To develop farmers' capacity or knowledge to operate beyond the farm gate level,

the Program will mobilize and organize small producers into farmers'

organizations and will provide farmers with training in value addition options to

improve their production and marketing decisions, increase their marketing

efficiency, and raise their profitability; and

IVC Capacity Development will address through training the need for enhancing

the capability along the IVC on technical and management skills to operate and

maintain efficient IVCs. The training activities will be outsourced to specialized

service providers according to the needs which will determined by the equipment

bought and the facilities established along the IVC. Some of the training will be

purchased jointly with the highly specialized equipment

1 More commercial components might be leveraged by the establishment of IVCs and developed around the IVCs by

private sector operators, which will be free to avail any subsidy, as applicable, from existing government schemes, but they won’t qualify under the AIDIP.

12

33. These sub-components are mutually supportive and will promote the

establishment of partnerships and linkages among stakeholders along the traditional VC,

including farmers, processors, agribusiness entrepreneurs and service providers, which

together with the infrastructural support will help form modern IVCs.

Component 2: Institutional Development and Program Management

34. To have sound project and PPP contract management systems in place, project

management units (PMU) in each state will provide implementation support, consisting of

staff, office facilities and equipment, consulting services, and liaison and development

coordination with other ministries and donors. Baseline surveys, and regular monitoring

and evaluation will be undertaken. PMUs will establish and maintain a project website to

disclose information about project activities, including procurement procedures and results.

A technical advisory group (TAG) will be engaged by each PMU throughout the entire

project implementation cycle to ensure that the PPP transactions for the establishment of

the IVC infrastructure are successfully completed with their implementation monitored.

The role and responsibilities of the TAG will include the following functions: (i)

management of the entire bid process, from marketing of the projects, inviting expression

of interest for both Request For Qualifications and Request For Proposals stages,

evaluation of the bids and selection of private operator (concessionaire), (ii) recruiting

requisite domain experts as per agreed Term of References, (iii) Monitoring and Evaluation

(M&E) of IVCs implementation, during construction and operations, (iv) planning and

implementation the of capacity building and training programs along the IVC, and (v)

preparation of subsequent MFF tranches.

35. The impact of the investment program will be increased margins for all

stakeholders across IVCs for horticulture products, attracting investments into

diversification into high value crops (HVC), and value addition of horticultural HVCs, in

selected regions of Bihar and Maharashtra. The program outcome will be the establishment

of 10 or more efficient IVCs for horticultural HVCs, managed by private sector investors

and linked to organized small scale farmers (in the form of groups associations and/or

producers companies). The outcome of the program will be delivered through 8 Public

Private Partnership contracts, leveraging private sector investment into and management of

agribusiness and marketing infrastructure, on publicly owned land within geographically

linked spokes and hubs each of which provide collection services, grading, packaging,

storing, processing and cold storage facilities to a range of high value horticultural

products. The hub and spoke model takes into account existing VCs players and resolves

them into the new, modern, and efficient VCs that employ the use of improved

infrastructure and systems.

13

36. A hub and spoke model has been recommended for the proposed interventions.

Hub locations are central market places well connected by rail and road while spoke

locations are closer to the producers from where agriculture commodities will be supplied

and then forwarded to hub locations after preliminary processes such as pre-cooling,

grading and washing. Based on the farmers‟ clusters and trade in the respective

commodities, towns and cities have been identified for hub and spoke locations. Requisite

facilities at each hub and spoke locations have also been identified.

37. The executing agencies for the Facility will be the Bihar Department of

Agriculture (DOA) and the Maharashtra Department of Cooperatives and Marketing. The

Implementing Agencies will be PMUs within the DOA in Bihar and the Maharashtra State

Agriculture Marketing Board (MSAMB) in Maharashtra. The IVC infrastructure, (i) and

(ii), described in paragraph 3, will be built and operated by private sector operators selected

through a competitive bidding process. The State PMUs will invite bids from private

developers to design, construct, operate and maintain (O&M) the IVC infrastructure and

will contract them on PPP basis at value chain level, with land provided by the government.

The market sites will typically include infrastructure for aggregation facilities; washing,

sorting grading and packing facilities; ripening chambers; storage space, distribution

facilities, solid waste and waste water management systems; and water supply facilities.

a) Area and Focus Commodities Covered

33. Depending upon the agricultural produce of the region, facilities at spoke and hub locations

have been configured so as to preserve and/or enhance value of the commodity. Two value

chains each were selected in Bihar and Maharashtra to be covered in the four tranches.

Geographical spread and focus commodities of these value chains in Bihar are presented in

the Table below:

Table 3 Geographical Spread and Focus Commodities of Identified Integrated Value

Chains (IVC)

Integrated Value

Chain (IVC)

Districts Covered Focus Commodities

Muzaffarpur Muzaffarpur, Darbhanga,

Vaishali, Samastipur,

Begusarai

Litchi, Mango, Banana,

Vegetables

Patna-Nalanda Patna, Nalanda, Buxar,

Sasaram, Gaya

Potato, Vegetables (cabbage,

cauliflower, cucurbits, onion,

tomato, okra etc.)

b) Components and Sub-Components of the Project

14

34. Sub components of each IVC are organized in Hub and Spoke model. Map of Bihar State

presented below shows Muzaffarpur as a hub and related spoke locations are indicated in

red and Nalanda as a hub and related spokes in south Bihar are shown in blue colour

Figure 1: Relative Location of Hub and Spokes in Bihar IVCs

35. Components of the project comprise of hub and spoke facilities while sub components in

each of these facilities have been tabulated below:

Table 4 Components and Sub-Components of the Project in Muzaffarpur Region,

Bihar

Bihar State

Muzaffarpur Region

Muzaffarpur

Hub

Hajipur

Spoke

Darbhanga

Spoke

Dalsinghsarai

Spoke

Begusarai

Spoke

Facilities

Pack house-Cold Chain Yes Yes No No No

Pack house-Ambient Yes Yes Yes Yes Yes

Ripening Facility Yes Yes Yes Yes Yes

Potato Cold Store Yes No No No No

Dry Warehouse Yes Yes No Yes Yes

15

Onion Store Yes No No No Yes

Trading Platforms Yes Yes Yes Yes Yes

Multi fruit processing Yes No No No No

Trading shops Yes Yes No Yes Yes

Business centre Yes Yes Yes Yes Yes

Canteen Yes Yes Yes Yes Yes

Guesthouse Yes Yes Yes Yes Yes

Knowledge centre Yes Yes Yes Yes Yes

Solid waste Mgmt Yes Yes Yes Yes Yes

DG (Diesel Genset) room Yes Yes Yes Yes Yes

Water supply facility Yes Yes Yes Yes Yes

Parking Area Yes Yes Yes Yes Yes

Weigh bridge Yes Yes Yes Yes Yes

Toilets Yes Yes Yes Yes Yes

Table 5 Components and Sub-Components of the Project in Nalanda Region, Bihar

Bihar State – Nalanda

Region

Bihar Sharif –

Hub

Patna -

Spoke

Gaya -

Spoke

Arrah –

Spoke

Buxar –

Spoke

Nokha -

Spoke

Vegetable Packshed –

Ambient Yes Yes Yes Yes Yes Yes

Trading Platforms Yes Yes Yes Yes Yes Yes

Warehouse Yes Yes Yes Yes Yes Yes

Potato Cold Store Yes Yes Yes Yes Yes Yes

Onion store Yes Yes Yes Yes Yes Yes

Ripening Chamber Yes Yes No No No No

Traders Shops Yes Yes Yes Yes Yes Yes

Guest House Yes Yes Yes Yes Yes Yes

Business centre Yes Yes Yes Yes Yes Yes

Knowledge centre Yes Yes Yes Yes Yes Yes

Water Supply Yes Yes Yes Yes Yes Yes

DG room Yes Yes Yes Yes Yes Yes

Canteen Yes Yes Yes Yes Yes Yes

Solid waste management

area Yes Yes Yes Yes Yes Yes

Parking Area Yes Yes Yes Yes Yes Yes

Weighing Scale Yes Yes Yes Yes Yes Yes

Toilets Yes Yes Yes Yes Yes Yes

36. Sub Components: Depending upon the commodity handled by the spoke location, various

activities proposed at various locations are described below. Detailed activities are listed in

the main report.

16

a. Pack House: Pack house facility has sorting and packing facility comprising of sorting

tables and conveyor belts. Pack house operating at ambient temperature would have

ventilation facility to maintain comfortable temperature by evacuating heat from the

working area. Pack house cold chain would have air conditioned pack house attached

with the cost storages.

b. Pre-coolers: Pre-coolers are refrigerated chambers where commodity is stored soon

after it is received. Temperature is maintained in the range from 6 to 15 degree

Celsius. Function of this facility is to reduce rate of bio-chemical activity in the

commodity such as bacterial growth and conversion of sucrose and starch to

compounds of lower molecular weight. Use of refrigerant and consumption of energy

are environmental aspects of this activity.

c. Cold Storages: Cold storages are also refrigerated chambers with temperatures

maintained between -20 (core) to 6 (anti-chamber) degree Celsius. Use of refrigerant

and consumption of energy are environmental aspects of this activity.

d. Dry Storages: Dry storages are warehouses where commodity is stored at ambient

temperature. Proper ventilation is maintained in dry storages. Minor solid waste

generated due to spillages and spoilt commodity.

e. Pre-Processing Line: Pre-processing activities involve washing, scrubbing, hot dip or

vapour treatment, fumigation, waxing, grading, desapping, dehanding, packing, etc.

Pre-processing line generates solid waste and may generate liquid waste depending

upon the operations. Fumigation may have accidental exposure of fumigant of the

workers.

f. Trading/Auction Platform: This is a facility where commodity is displayed for auction or

trading. Solid waste generation during multiple handling is the environmental aspect

of this operation.

g. Agri Input Shops: These are shops of small traders or service providers such as

suppliers of chemicals, suppliers of farm equipment and seeds, suppliers of market

accessories such as crates, packing material and spare parts.

h. Admin Block: Administrative building for the facility would house a small office of the

facility operator, regulatory agencies as applicable and offices of trader, knowledge

center, canteen, business center.

17

Section D: Description of the Environment

1. Physical Resources

37. Geographically, Bihar is in the extreme of northern front of Indian sub continent. These

include (i) the belt of Himalayn foothills in the northern fringe of Paschim Champaran, (ii)

the vast Ganga Plains, (iii) the Vindhyan (Kaimur) Plateau extending into Rothas region,

(iv) the sporadic small Gondawana basin outliers in Banka district, (v) the Satpura range

extending into large part of the area North of Chotanagapur Plateau, (vi) the parts of Bihar

Mica belt in Nawada, Jamui and Banka districts and (vii) the Granite Gneissic complex of

Chotanagapur Plateau. Nearly two third of Bihar is under cover of Ganga basin composed

of alluvium masks of the nature of basement rocks.

38. Bihar lies in the tropical to sub tropical region. It enjoys a continental monsoon type of

climate owing to its great distance from the sea. The climatic conditions of state vary with

its physiographic set-up. Broadly state can be divided into three climatic zones: (i) The sub

Himalayan zone, (ii) The Ganga plains zone and (iii) The parts of Chotanagar plaeau zones

of South Bihar. The sub Himalayan zone in the northern part of the state receives high

incidence of rainfall over 1400 mm, bulk of which is found to occur during the monsoon

season from June to September. The mean maximum temperature is 43 0C and the

minimum temperature is 40C. The Ganga plains zone forms an excessive bowl of warm air,

particularly during day time. The temperature in this zone varies between below 10 0C to

higher than 420C.

39. Bihar plane consists of a thick alluvial mantle of drift origin overlying in most part. The

Siwalik and older tertiary rocks, soil is mainly young loam rejuvenated every year by

constant deposition of silt, clay and sand brought by different streams. This soil is deficient

in phosphoric acid, nitrogen and humus, but potash and lime are usually present in

sufficient quantity.

40. The state is drained mainly by the river Bagmati and Ganges along with its tributaries.

These are Kosi, Son, Gandhak, Ghaghra and Falgu. The Son rivulet unites with the mighty

river Ganges in the midst of Patna. The river Kosi is dreadfully regarded as the 'Sorrow of

Bihar' as its rampant journey through the state of Bihar has led to cursed floods and

famines. The river Budhi Gandak after issuing from the Himalayas enters into the state of

Bihar and covers districts like east Champaner, Mujaffarpur, Samastipur and Khagaria.

41. As per Central Ground Water Board, Ministry of Water Resources, Govt. of India, Bihar

contributes 66,352 MCM quantity of surface water to total surface water availability of

339,676 MCM available in Ganga, Subarnrekha and Brahmni basin.

42. Water level in the state varies considerably depending on geology, terrain and time of

measurement. South -West monsoon is the main source of ground water recharge.

18

Shallowest level is observed in the month of March, while the deepest is observed in the

measurement of May. 2. Ecological Resources

43. As per Environment and Forest Department, Govt. of Bihar total forest area of the state is

6473 sq. km contributing 6.87% of total geographical area of 94,163 sq. km. Forest cover

of the state is comprise of very dense forest covering 76 sq. km (0.08%), dense forest

covering 2951 sq. km (3.13%), and open forest covering 2531 sq. km (2.69%). Bihar has

one national park and 11 sanctuaries as well.

44. Ephemeral forests of the state are consist of scrub, grass and reeds. The deciduous forests

have bounty of floral specie viz. Shorea Robusta (Sal), Shisham, Cedrela Toona, Khair,

Semal, etc. Unique phyto geographical position, topography and good precipitation are

some important factors which are responsible for high degree of plant species. Bihar has

nearly 185 types of floral species. The jungles of Bihar abound in wildlife, though some of

the notable game animals and birds like tiger, deer, buffalo, duck, etc. are fast disappearing.

3. Socioeconomic Use of Physical and Ecological Resources

45. In Bihar, agriculture is the primary source of wealth hence utilization of resources is

focused in the agribusiness. Bihar lies in the tropical to sub tropical region and comprises a

vast stretch of very fertile flat land. Bihar is best suited for the production of principal

agricultural crops viz. rice, paddy, wheat, jute, maize and oil seeds. Cauliflower, cabbage,

tomato, radish, carrot, beat etc. are some of the vegetables grown in the state. Sugarcane,

potato and barley are some of the non-cereal crops grown.

4. Zone of Influence and Meteorological Baseline

46. As seen from the following table entire zone of influence of the proposed activities lies in

tropical region between 24.25N to 26.07 N and 83.00 E to 86.13 E.

Table 6 Meteorological Data of Zone of Influence - Bihar

South Bihar Geographic

Coordinates

Temperature 0 C Height

from Mean

Sea Level

Avg Annual

Rainfall

Latitude

N

Longitude

E

Highest Lowest Mts mm

Patna 25.61 85.14 35 12 53 1000

Nalanda 25.08 85.27 46 4 67 1200

Gaya 24.75 85.01 45 2 111 2140

Bhojpur 25.35 85.80 NA NA 53 300

Buxar 25.34 84.01 30 20 55 685

Rohtas 24.25 83.00 40 10 108 952

Nokha 25.12 84.15 38 12 52 952

19

North Bihar Geographic

Coordinates

Temperature 0 C Height

from Mean

Sea Level

Avg Annual

Rainfall

Latitude

N

Longitude

E

Highest Lowest Mts Mm

Muzaffarpur 26.07 85.27 40 6 170 1402

Vaishali 25.42 85.13 44 4 52 1200

Darbhanga 26.10 85.57 42 10 54 1142

Samastipur 25.85 85.78 42 10 55 1317

Begusarai 25.42 86.13 44 8 41 1063

Note: Vaishali is also known as Hajipur and Nalanda is also known as Bihar Sharif.

20

Section E: Anticipated Environmental Impacts and Mitigation Measures

b) Environmental Effects of Development & Proposed Mitigation Measures

47. Proposed infrastructure interventions like any other infrastructure project would entail

selection of site, land development, design & engineering and construction of buildings &

other auxiliary facilities, selection, procurement and erection of various machinery and

equipment for processing, storage, and operation of the facilities. In case of Bihar, land

parcels for proposed development under tranche one have been identified, and expected

environmental impacts during pre construction, construction and operation phase are

represented below. All sites selected in Bihar are former market places and/or used for

similar purposes and new sites have not been identified.

48. Impact during pre-construction and construction phase of establishment are similar to all

spoke and hub locations in Bihar. Table Seven presents the generic impacts an Table 8

describes the site specific impacts. Operation phase impacts are the most significant in case

of proposed interventions and hence the same is discussed at length in subsequent sections.

Table 7 Potential Impact of Project Activities in Bihar

Project Activity Potential Impact

Pre-construction

Project sitting Since proposed sites were earlier used for the similar

purpose, impacts of siting will be limited to the resuming

activities again

General design Risk of errors in facility design may have impacts on

environmental resources such as soil and water

Construction

Temporary Relocation During construction phase some of the existing facilities in

case of most of the locations would have to be relocated

temporarily

Mobilising workforce Social and health impacts on local communities and

workers particularly in case of migrated workers

Use of vehicles and heavy

machinery

Dust and noise generation from construction activities

Generation of construction waste

During construction, disposal of excess material excavated

and excess concrete mixed may create soil pollution

Use of chemicals and fuels Contamination of soil due to conveyance of pollutants

(spillages of chemicals and fuels) with surface runoff

21

49. Based on the site inspection and conditions at site, following are site specific observations

that may have to be considered in conjunction with the above table:

Table 8 Site Specific Observations in Bihar

Location Name Issues related to

squatters

Issues related to water

supply and ground

water

Issues related to access

road

South Bihar

Patna

(Mussallapur)

Some push cart type

retailers and illegal

shops may have to be

closed

Being in the city area,

large scale activity such

as Hub may exert some

pressure on availability of

potable water to

surrounding communities

Access road is through

congested roads. Lorry

movement may cause

accidents and traffic jams

Bihar Sharif

Land identified is a

part of larger APMC

area. In order to

make land available

for proposed

development, some

shops and storage

places may have to

be relocated within

the premises of the

same APMC area

which could be done

amicably by DOA.

No external

resettlement involved

Water table is 4 to 5 m

below ground level.

Borewells are not lined.

Risk of contamination of

aquifer

No issues likely to arise as

approach road is wide and

with less traffic

Gaya

There is no trade

happening in the

identified land.

Hence squatter‟s

resettlement is not an

issue.

Currently Borewells are

not in use as there is no

activity at the site. Water

tower is not operational

either.

The site is located at

Chandauti on Gaya-Tekari

Road and is connected

with single lane road.

Currently the traffic load

is limited and hence

Congestion is not

observed.

Arrah

4 to 5 erstwhile

tenants are

continuing without

any rights squatters

are found as the trade

is limited here. Some

portion of the land

has been leased out

for cultivation of

Paddy.

Currently bore wells are

the source of water in the

identified market.

The site is just 2 km away

from the Arrah Railway

station and the access road

is in a good condition.

Buxar Trading here is Water tank (Non The approach road is in

22

Location Name Issues related to

squatters

Issues related to water

supply and ground

water

Issues related to access

road

negligible. Squatters

are not seen. Some

portion of the land is

leased out for paddy

cultivation.

operational) and Hand

pumps are the source of

water.

good condition.

Nokha

Some portion of the

identified land is

leased out for Paddy

Cultivation. The rest

of the land is vacant

as no trade is

happening at this

place.

One Water tank and

several hand pumps are

the source of water.

However, none of them

are operational.

No issues likely to arise as

approach road is off the

main Sasaram-

Bikramgunj Road with

less traffic currently.

Bihta

Very Few Squatters

as the trade

happening is limited.

However, push carts

and illegal

settlements are seen

along the main

approach road to the

market. Resettlement

of these needs to be

considered.

The site is adjacent to a

large fresh water body.

Apart from this the other

sources of water are bore

wells.

The main approach Road

to the site has a Railway

crossing about 2 km ahead

of the main entrance to the

market yard. High traffic

Movement combined with

frequent congestion due to

railway crossing is a

common site in this case.

North Bihar

Muzaffarpur

Large no. of squatters

in case of Fish, Fruits

and Knick knacks.

These squatters will

have to be relocated

to other sections of

the Market.

Borewells are being used.

Storage Tank is not being

used currently. River

Gandak is one of the

main sources of water

which is close to the site.

Market is located between

Zero Mile and Darbhanga

on Highway. Hence there

is high traffic movement

along the main approach

to the market.

Hajipur

Seasonal use of

market for sale of

agriculture produce.

Part of the land

would have to be

reserved for seasonal

activity

Water source is two

borewells at the premises

which is being

exclusively used by small

tea shops. Water will be

adequate if more wells

are sunk

Since the site is touching

existing two lane road

with limited traffic load

Dalsinghsarai

Site is completely

empty and hence no

resettlement is

required

Existing bore well is not

in use as there is no

activity at site

Site is located at 200 m

away from national

highway with dedicated

approach road

Darbhanga

Squatters in the

identified land have

to be resettled in

Hand pumps are the

source of water.

The approach road is

narrow. Considering the

location of the land high

23

Location Name Issues related to

squatters

Issues related to water

supply and ground

water

Issues related to access

road

available land within

the market yard by

DOA.

traffic flow is inevitable.

Begusarai

The market yard Is

not operational.

Hence squatters and

resettlement is not an

issue here.

Water tank (not

operational) and hand

pumps are seen in the

market yard. Water table

is about 4-5 meters below

the ground level.

The condition of the

approach road is very

good. However,

considering that it is near

the railway station high

traffic movement might

cause traffic blocks.

50. In cases where relocation is involved, Compensation as suggested in Annex 1: Entitlement

Matrix of Resettlement Framework of Poverty and Social Assessment Report would be

given to the Project Affected People.

51. Water availability would not be an issue in most of the cases as entire value chain is in the

catchment area of Ganges basin and hence ground water is available at reasonable depth. In

case of Patna (Musallapur mandi), any facility planning would have to be done in

consultation with the Municipal Corporation which supplies water to the market and also to

surrounding localities so that water supply department shall maintain adequate water

supply to all users

52. As far as road safety is concerned, except Patna, other sites are away from town and hence

road congestion and accidents caused due to proposed development is unlikely. In case of

Patna, depending upon the volume of traffic, developer would have to consult road traffic

police and get some of the roads and lanes into one way traffic such that smooth flow is

maintained without traffic jams.

53. Other key impacts associated with construction activity, such as generation of dust, noise,

construction waste, are easily mitigated through adoption of good engineering practices

which are detailed in the Environmental Management Plan (EMP). Trucks transporting

material should be well covered, material stored on site too should be covered and dust

generation at the working surface should be controlled through regular watering. Labor

camps too could give rise to pollution of surface water, if proper facilities are not provided.

The developer should ensure that all labor camps are situated away from any water bodies,

and have a proper supply of water and good waste water disposal facilities. Impervious

bases should be provided for containers storing any lubricants to minimize contamination

of ground water and surface water sources.

54. Potential Impact on environment during Operation Phase is as described below;

24

1. Impact on Air Environment

55. Ambient Air Quality: All sites selected for proposed intervention at present have similar

activities existing for years. New interventions are intended at streamlining these activities

in more structured manner. As a result, there is positive impact expected on ambient air

quality. Ambient air quality at the existing facility is affected by number of trucks carrying

commodities and operation of Diesel Generator (DG) set. Existing practice involves idling

of trucks due to traffic jams due to improper parking, loading and unloading facilities. At

proposed facility, due to availability of warehouses, waiting time of trucks will reduce,

arrivals and departures of commodities would be from different entry and exits in more

disciplined manner. Following table provides estimated number of vehicles likely to

operate at the facilities on an average day as against the number of vehicles that were

operating when APMC was operational two years ago.

Table 9 Traffic Assessment in Bihar

Location Name

Estimated number of trucks

(based on commodity volumes)

plying when APMC was

operational

No. of trucks

expected per

day

Expected

Incremental

Increase in Traffic

(%)

South Bihar

Patna 145 158 8.96

Bihar Sharif 140 158 12.85

Gaya 125 138 10.40

Arrah 125 138 10.40

Buxar 135 152 12.59

Nokha 137 152 10.94

Bihta 45 50 11.11

North Bihar

Muzaffarpur 180 191 6.11

Hajipur 80 99 19.19

Darbhanga 24 27 12.5

Dalsinghsarai 75 83 10.66

Begusarai 75 83 10.66

56. DG Sets provided at the hub and spokes will also be the likely source of air and noise

pollution when operational. Noise and air pollution caused by Diesel Generator sets could

be mitigated by ensuring that acoustic enclosure is provided for each DG set, stack of

adequate height should be provided such that smoke is released at height above nearby

structures and in case of DG sets of capacity over 50 HP, scrubber should be provided

57. Indoor Air Quality: Indoor air pollution may occur in fumigation chamber due to

accidental over exposure of workers to the gaseous fumigants or in refrigerated chambers

25

due to accidental leak of refrigerant gasses. All other areas such as warehouses, trading

platforms and offices are designed to be naturally well ventilated. Following table provides

chemicals proposed to be used in various facilities.

Table 10 Assessment of Chemicals Used in the Proposed Facilities in Bihar

Spoke/Hub Major Chemical

used

Quantity

Muzaffarpur Region

Muzaffarpur 1. Sulfur

2. Ethylene gas

produced by

ethylene

generator

1. 9 kg will be burnt everyday for about 20-25 days in

a year

2. 1000 PPM (parts per million) will be maintained for

24 hrs in a ripening chamber every day throughout

the year. The volume of chamber will be 140 cubic

meter.

Hajipur 1. Sulfur

2. Ethylene gas

produced by

ethylene

generator

1. 9 kg will be burnt everyday for about 20-25 days in

a year

2. 1000 PPM will be maintained for 24 hrs in a

ripening chamber every day throughout the year.

The volume of chamber will be 140 cubic meter.

Darbhanga Ethylene gas

produced by

ethylene generator

1000 PPM will be maintained for 24 hrs in a ripening

chamber every day throughout the year. The volume of

chamber will be 140 cubic meter.

Dalsinghsarai Ethylene gas

produced by

ethylene generator

1000 PPM will be maintained for 24 hrs in a ripening

chamber every day throughout the year. The volume of

chamber will be 140 cubic meter.

Begusarai Ethylene gas

produced by

ethylene generator

1000 PPM will be maintained for 24 hrs in a ripening

chamber every day throughout the year. The volume of

chamber will be 140 cubic meter.

Nalanda Region

Patna Ethylene gas

produced by

ethylene generator

1000 PPM will be maintained for 24 hrs in a ripening

chamber every day throughout the year. The volume of

chamber will be 140 cubic metre.

Bihar Sahrif Ethylene gas

produced by

ethylene generator

1000 PPM will be maintained for 24 hrs in a ripening

chamber every day throughout the year. The volume of

chamber will be 140 cubic metre.

26

Spoke/Hub Major Chemical

used

Quantity

Gaya None

Arrah None

Buxar None

Nokha None

Bihta None

58. Material Safety Data Sheet (MSDS) for both Sulfur and Ethylene Gas are provided in

Annexure 1 to this document.

59. Sulfur: Sulfur is not included in the Schedule I of Hazardous Chemicals Handling and

Storage Rules issued by MoEF under the EP Act. As evident from the MSDS for this

chemical, no lethal levels {Lethal Dose 50/ Lethal Concentration 50 (LD50/ LC50)} have

been defined for this chemical. However, Sulfur is highly inflammable in dust form and

hence while storage and handling, there is a risk of Sulfur stock catching fire. Accidental

exposure to skin may cause irritation of skin and inhalation may cause irritation of trachea.

Repeated washing with water with gentle soap has been recommended as first aid.

Accordingly, as a preventive measure, handling of Sulfur should be strictly by the trained

operators and necessary Carbon Dioxide fire extinguishers should be provided at strategic

location. Since fumigation is by burning Sulfur powder, elaborate procedure and

communication system should be in place to indicate that the chamber is being fumigated.

Proximity center should be provided with alarm if someone accidentally enters the chamber

under fumigation.

60. Ethylene Gas: Ethylene appears as Chemical number 261 in the Hazardous Chemical

Rules, 1994. Ethylene has upper inflammable limit of 36% (higher than 12% prescribed by

the Hazardous Chemicals Rules) and hence is classified as highly inflammable. Reported

inhalation toxicity in mouse of 95 ppm/2 hour(s) LC50 is below threshold levels (10 ppm)

prescribed by Hazardous Chemicals Handling and Storage Rules. Though no occupational

exposure limits have been worked out for Ethylene gas, at indicated dosage of 1000 ppm

for 24 hrs, prohibition of entry of human in the active ripening chamber is recommended

and where unavoidable, necessary respiratory protection will be made mandatory. Repeated

washing with water is recommended as first aid for accidental exposure. Accordingly, as a

preventive measure, flame proof ventilation system should be provided for the ripening

chambers.

2. Impact on Water Environment

27

61. Water usage in the proposed facility will be for two purposes viz. domestic consumption

for drinking and toilet and industrial/commercial consumption for activities such as

washing and chemical treatment of the commodity.

62. Wastewater generated from toilets would have characteristics similar to city sewage.

Wastewater generated from washing activities will have soil and grit as main contaminants.

Wastewater generated from ripening activities will carry left over of ripening chemicals.

Since ripening is a batch process, quantity of chemical contaminants is expected to be

negligible and overall combined wastewater from each of the facility will be treatable in

biological activated sludge process. Following table provides estimated quantity of

wastewater generation at each location.

Table 11 Assessment of Water Requirement - Bihar

Location Name

Industrial

Water

Consumption Employment

Labour

(Daily)

Domestic

Water

Consumption

Total Water

Consumption

LPD Nos Nos LPD KLD

Muzaffarpur Region

Muzaffarpur 84,250 988 440 57,120 141.37

Hajipur 31,450 221 324 21,800 53.25

Darbhanga 24,950 252 264 20,640 45.59

Dalsinghsarai 26,150 258 354 24,480 50.63

Begusarai 22,250 258 354 24,480 46.73

Nalanda Region

Patna 36,250 263 342 24,200 60.45

Bihar Sharif 36,250 263 342 24,200 60.45

Gaya 28,200 258 320 23,120 51.32

Arrah 35,250 258 330 23,520 58.77

Buxar 35,250 258 340 23,920 59.17

Nokha 35,250 258 340 23,920 59.17

Bihta 30,250 253 256 20,360 50.61

63. Wastewater treatment for locations generating wastewater upto 25,000 litres per Day (lpd)

would be septic tank and soak pit, from 25,000 to 100,000 lpd it would be package type

activated sludge process plant while in case of Muzaffarpur, it will have to be treatment

plant with civil tankages establish over about 3000 sq. m area

64. Except in case of septic tanks, treated wastewater will have to be reused in the premises of

the same facility for landscaping and flushing of toilets. Accordingly wastewater will have

to be treated to meet BOD 30 mg/l and Suspended Solids 20 mg/l as prescribed by CPCB

for land disposal. Each facility has substantial area for landscaping where except monsoon

treated wastewater could be used for irrigation at the rate of 5 liters per sq. meter of land.

28

During monsoon, treated wastewater excess of flushing requirement will have to be

released in nearby natural drain with increased dose of chlorination . Detailed designs

should ensure that piping systems are in place to ensure re-use of wastewater. If this is not

to be adopted, the developer should ensure that the treated water meets or exceeds

standards, permitting it to be discharged to the nearby natural drains.

3. Impact on Soil Environment

65. Impact on soil environment would be primarily from the solid waste generated in the

facility. Studies on Municipal Solid Waste (MSW) in for the city of New Delhi conducted

by IL&FS Ecosmart Limited (IL&FS Group Company) included study of solid waste at

APMC as well as fruits and vegetables market. Composition of these two locations

reported by Ecosmart is produced below:

Table 12: Representative Characteristics of Solid Waste in APMC and Vegetables

Market

Parameter APMC Local Fruits and vegetables Market

Biodegradable 90.48 76.59

Recyclable 1.85 4.25

Inert 0.33 1.16

Others 0.42 2.18

Ash & Fine Earth content 6.92 15.82

Moisture (%) 64.7 47.89

Calorific Value (Kcal/Kg) 1760 1321

(Ref: Chapter 12, Municipal Solid Waste Management, JNNURM Report to Govt. of Delhi, IL&FS

Ecosmart Limited, 2004)

66. In case of APMC, prevailing practice is to bring agriculture commodity in bulk without

packaging. As evident from the above data, all wastage of agriculture commodities result

into the solid waste. As a result, solid waste composition is as rich as over 90%

biodegradable. As against this, proposed facilities will be more like local fruits and

vegetables market as at the proposed facilities, wastage will be reduced due to systematic

handling of the produce, more so, packaging would be undertaken at the facilities.

Following table gives estimated quantities of solid waste likely to be generated at various

hub and spoke locations in Bihar.

Table 13 Estimation of Solid Waste Generation at various Hub and spoke locations in

Bihar

Location Name Estimated Solid Waste

MT/D

Muzaffarpur Region

Muzaffarpur 27.94

Hajipur 3.25

Darbhanga 3.26

29

Dalsinghsarai 3.96

Begusarai 3.96

Nalanda Region

Patna 7.46

Bihar Sharif 7.46

Gaya 6.06

Arrah 6.06

Buxar 7.26

Nokha 7.26

Bihta 2.26

67. Composition of market yard waste in literature indicates that the major components of

wastes generated include vegetable wastes (21%), fruit wastes (15%), flower wastes (10%),

banana stem and related materials (38%) and packing materials (hay, straw, paper, etc.

16%). Materials in the form of stones, plastics, wood etc were present in less than 1% of

the waste quantity. Depending upon season, there are large fluctuations in the quantity and

nature of waste generated daily from the market. The total solids and volatile solids content

are 25% and 73.7% respectively. The moisture content is 75%.

68. Muzaffarpur hub with about 28 Metric Ton (MT) per day waste will have to work closely

with the municipal council, and arrange to have the waste disposed by the municipality. In

case of other locations where relatively lower quantities of solid waste are generated, two

technologies could be used. Locations where up to 1 MT solid waste is generated, can

adopt in-situ aerobic composting and the compost could be used in the same premises for

landscaping and gardening. In those locations where 1 to 5 MT waste is generated,

mechanized aerobic composting which operates at much faster rate in conversion of

biodegradable waste to compost could be used to save on land area. Manufactured compost

could be used for captive landscaping or could be given to farmers coming to the facility.

In those locations where 5 to 10 MT waste is likely to be generated, biomethanation of

solid waste could be deployed. Biogas produced in the process could be used for generation

of electricity using gas engine while sludge from biomethanation plant could be used as

manure for landscaping

69. Support infrastructure such as road, water supply, power supply would have potential

impacts as described below. Possible Mitigative measures have been discussed in the

Environmental Management Plan

Table 14 Environmental Effects of Support Infrastructure Development and

Mitigative Measures

Project Activity Potential Impact

Suggested Mitigative

Measures

ROADS

Pre-construction

ROW planning ROW conflict between and All APMCs are along

30

among land owners main road hence ROW

issue are unlikely

Safety planning Development of roads can cause

accidents to local people and

animals

Road signs and speed

breakers to be erected by

the developer at

appropriate distance on

both sides of all gates

General Design If road is in embankment, it

may cause water logging if

adequate drainage passages are

not provided

Internal roads in the

proposed facility to have

adequate cross drainage

works

Construction

Land clearing Loss of vegetation in case of

green field sites.

All sites in Bihar are

brown field sites with

earlier/existing activity

similar to one proposed.

In case if any trees

having girth more than

80mm is required to be

cut, compensatory

plantation should be

undertaken (three trees

for each tree felled) by

the contractor on open

land within the facility

premises

Mobilizing

workforce

Social and health impacts on

local communities if any

migration is involved which is

not the case in proposed project

No migration is

involved.

Use of vehicles and

heavy

Machinery

Dust and noise generation from

construction activities

Vehicles running with

construction material

should maintain max 20

km/hr speed. When soil

is carried, truck should

be covered.

Transportation trucks

should be serviced at

regular interval

Use of chemicals

and fuels

Contamination of soil due to

improper melting of bitumen

Bitumen work should be

carried out by properly

trained team

Construction waste -Air pollution due to increase in

suspended particulate matter

- Pollution from solid waste of

discarded material

If any demolition is

involved, gunny bag

cover should be erected

with scaffolding. All

demolition debris should

be sprinkled with water

to avoid dust getting

31

airborne

Use of nearby

agriculture land

Reduction in production

impacts on agricultural land use.

If farm land is used for

temporary storage of

construction material

Additional land is

available at all proposed

location within existing

APMC premises. It

would not be required to

store construction

material on agricultural

land

Operation

Normal Road

Operation

Accidents due to traffic

Drivers should be

trained for specific

cargo/ truck to avoid

accidents

POWER

Pre-construction

Selection of

Generator-set (Gen-

set)

Impacts due to non-compliance

of Gen-set with the pollution

control norms

Only generator set with

„Green Star‟ rating from

Bureau of Energy

Efficiency should be

procured

Construction

Installation of Gen-

set

Noise pollution during

installation

Installation should be

mechanized where

possible and manpower

training.

Operation

Normal operation Air pollution due to emissions

from Gen-set

Smaller Gen Sets to

establish tall stack while

larger Gen Set to

provide scrubber and

treat scrubber water in

the ETP

WATER

Pre-construction

Siting of borewells Siting posing risk of

groundwater depletion

Ground water table

profiling should be

carried out before

deciding location of new

borewell. Recuperation

test should be carried

out to determine

sustainable yield

32

Construction

Drilling Noise and dust generation

during drilling

Drilling of well should

not be carried during

night time

All construction Safety hazard Best practices training

on safety should be

conducted for

construction staff

supposed to operate at

height more than 5 m

Operation

Normal operation Wastage of water and energy

Noise generation

Water conservation

awareness program

should be developed for

end users of water

TELECOM

Pre-construction

Feasibility analysis

of installing signal

towers for mobile

Connectivity

Environmental and social issues

due to improper siting of towers

Technology with

minimum radiation

should be selected.

Stakeholders‟ consent

should be taken for

erecting tower

Construction

Installation of signal

towers

Safety hazards during

installation

Best practices training

on safety should be

conducted for

construction staff

supposed to operate at

height more than 5 m

Operation

Normal operation Emission of radiation from

telephone towers

Radiation level should

be checked within 10 m

radius from tower.

Necessary visual

warning signs should

exhibited

33

Section F: Information Disclosure, Consultation and Participation

a) Public Consultation

70. Public and stakeholder consultation was an integral part of the process of identification and

development of the proposed interventions. Several such consultations were carried out on

variety of issues related to the IVC including environmental and natural resources related

issues with national and local government officials in both the states and discussions were

held with stakeholder groups viz. farmers, commission agents, traders, and infrastructure

investors. Interviews were carried out with selected communities on site during the field

visits. Inputs received during consultation are very similar in both the states and are

incorporated in IEE preparation. Some of the salient points raised by various stakeholders

are tabulated below:

Table 15 Salient Points Raised by Stakeholders during Public Consultation

Sr.

No.

Stakeholder

Group

Concern Raised Remarks

1 Farmers 1. Would there be any additional

cess, toll or tax due to new

facility

2. If developer is outside party, in

case of produce taken on credit

remains unpaid who will

compensate farmer (who takes

non-payment risk) the way

commission agent does

3. Will new facility cause further

power cuts and water shortages

1. Issue though not related

to environment, concern

is valid as experience of

common man is that any

new development by

PPP mode introduces

new toll, tax or levy

2. Compared to power and

water demand of farmer

community in a

geographic area, water

and power demand of

the proposed facilities is

miniscule and hence

there is negligible or no

impact for individual

household or farm

2 Commission

agents and

traders

1. Will new facility throw us out

of business

2. Who will take care of solid

waste generated at their shops

1. Project is aimed at

reduction in wastage and

enhancement of value.

Traders and agents can

participate n the bid out

processors as developers

2. Developer will be

establishing compost or

biogas facility but the

user will have to pay

3 State 1. Is government expected to give 1. Developer is expected to

34

Sr.

No.

Stakeholder

Group

Concern Raised Remarks

Government

officials

any concessions in

environmental licensing?

comply with all

applicable legislation

4 Investors/

Developers

1. Is it mandatory to install

sewage treatment plant

2. Can responsibility of solid

waste collection and disposal be

given to local urban bodies

1. Sewage treatment could

be by septic tank also as

long as it meets

discharge standards

issued by the local

pollution control board

2. Yes, where applicable

and acceptable to the

local urban body

b) Information Disclosure

71. Information disclosure would have to be done by the successful bidder after the detailed

engineering such that utilities likely to be consumed by the facility could be clearly

disclosed to the concerned public. Activities proposed are not very different from the

current activities at site however resources consumption and restrictions or user fees if any

on the access, usage of facilities would have to be disclosed to the stakeholders such as

farmers bringing their produce to the facilities and the regulators. Project Developer would

be responsible for the information disclosure.

72. Section 28.2.3 of the main report for Bihar clearly emphasizes on the need to determine

user charges before implementation of the project. This will automatically lead to

disclosure of information critical to the stakeholder groups. Therefore, during such

consultations/disclosure, the developer should also inform and disclose measures

incorporated to mitigate adverse impacts.

73. In addition to the consultations conducted during project development phase, bid out

process would involve advertisements in local newspaper giving details of project being

offered for public private partnership. The bidding process would have element of

consultation and participation of affected people. In addition Right to Information Act,

2005 provides opportunity to general public to seek information about the project.

74. Social Assessment report in its resettlement framework has suggested establishment of

Social and Environmental Safeguards Management Unit (SEMU) at State level and Social

and Environmental Safeguards Implementation Unit (SEIU) at each IVC level. SEMU

shall, during the preparation of the relevant environmental assessment and planning stage

discuss and agree on a grievance redress mechanism in consultation with other

stakeholders, and maintain in place during the construction and operations to the end of the

project.

35

c) Participation

75. Participation of stakeholder groups such as farmers, traders, commission agents in the

project depends upon the implementation model as discussed in section 28 of the main

report. Under SPV model, stakeholder participation could be at two levels. The first level is

that commission agents and traders could form their association or company to bid for the

Hub activities and similarly, farmers could participate in the spoke activity and bid for the

facility. At second level, if private party becomes successful bidder as a Project Developer,

since farmers, commission agents and traders would be the users of the facility, they can

form their pressure groups to negotiate user fees charged and services provided by the

developer.

76. Section 26 of the main report deals with proposed initiatives for Capacity Building of the

farmers and other stake holder groups. This will ensure meaningful participation of these

stakeholders in the project implementation. The draft IEE shall be disclosed on ADB‟s

website. This IEE and EMP will be updated during detailed design stage and that too shall

be posted on ADB‟s website.

36

Section G: Grievance Redress Mechanism

77. Project Level Institutional Arrangement: Social Assessment report in its resettlement

framework has suggested establishment of Social and Environmental Safeguards

Management Unit (SEMU) at State level and Social and Environmental Safeguards

Implementation Unit (SEIU) at each IVC level. These will be first option for the aggrieved

party to seek redress. However, if the aggrieved party is not satisfied with the response of

project level institutions, aggrieved party can seek grievance redress from the government

machinery.

78. Grievance Redress Mechanism for Spoke: All spoke locations in Bihar state are located

either at district level or block level. Since the project is sponsored by Department of

Agriculture, Government of Bihar, local officer of the State Level Agency for

Infrastructure Development (SAID) is the „Competent Authority‟ to address any grievance

against the concessionaire/ developer. In case if aggrieved party is not satisfied, under the

prevailing legislation, District Collector has adequate powers and magisterial authority to

conduct hearing and issue orders redressing grievances.

79. Grievance Redress Mechanism for Hub: There are two hub locations proposed at

Muzaffarpur, District Muzaffarpur and at Nalanda, District Bihar Sharif. Both hub

locations have district agriculture officer who would be competent authority for grievance

redressal. Aggrieved party can appeal to the District Collector (District Magistrate) if their

grievance is not satisfactorily resolved by the agriculture department. Contact details of the

district magistrates of concerned districts where spoke and hub facilities will be located are

provided in the table at the end of this section.

80. Bihar State Chief Secretary Public Grievance Cell: State level empowered cell has been

created in Bihar under the chairmanship of the Chief Secretary. Grievances could be

communicated either in written application or through online complaint. State government

machinery then examines the case, conducts hearing and issues appropriate orders. Over

and above this expensive and option of legal suit in civil court is always available to the

aggrieved party.

Table 16 Contact Details of District Magistrates of Concerned Districts for Grievance

Redress Districts STD Tel-Office Tel-Res DM's Fax Mobile No.

Patna 0612 2222545 2222097

2222383

2222900

2222383

9835026485

Nalanda 06112 235203 235204 235205 9431016008

Buxar 06183 222336 222335 222231 9431480905

Rohtas (Sasaram) 06184 222226 222224 221224 9431632414

37

Districts STD Tel-Office Tel-Res DM's Fax Mobile No.

Gaya 0631 2420005 2420008 2420110 9431225888

Muzaffarpur 0621 2212101 2212105 2217285 9431238844

Vaishali (Hajipur) 06224 272201 272503 272002 9431030303

Darbhanga 06272 240335 240363 240360 9431219363

Samastipur 06274 222300 222301 222216 9431245200

Begusarai 06243 212285 200584 200571 9431211555

Bhagalpur 0641 2400012 2401202 2400918 9431213543 Ref: http://krishi.bih.nic.in/contacts_DM.htm

38

Section H: Environmental Management and Monitoring Plan

81. Environmental Management Plan (EMP) is an action plan for implementation of mitigation

measures corresponding to the identified environmental impacts associated with the project

interventions. The EMP also provides for mechanism for monitoring and corrective action.

This generic environmental management and monitoring plan was prepared based on the

environmental assessments and public consultations conducted on site. Site specific

mitigation measures for each subproject will be formulated during the detailed design and

bid preparation stages and in any case prior to implementation of the subproject.

Therefore, this EMP shall be updated during detailed design stage by the Project developer.

82. The contracted consulting firms and/or PMU will prepare necessary documentation for

environmental licenses, environmental management and performance monitoring reports

including IEEs, EMPs, and construction specifications with clearly defined obligations vis-

à-vis environmental mitigation measures to be put in place by project proponents/private

operators for DOA. The EMP will be updated by the Project developer and all contract

documents shall include clauses to ensure implementation of the EMP.

83. The PMU of the DoA will review the revised EMP and submit to ADB for endorsement.

The project developer will undertake (i) preparation of a detailed work site and

construction management plan covering health and safety, disposal of solid and liquid

wastes, air emissions in accordance with the relevant national and local regulations; (ii)

implementation of the IEE mitigation measures in each subproject during the construction

period; (iii) reporting on environmental responsibilities described in the contract

documents; (iv) participating in compliance monitoring inspections at various stages

through to completion; and (viii) providing necessary environmental training to

implementing staff/organization.

84. State Agency (through PMU) and Project Developer will ensure that ADB and relevant

state organizations are given access to undertake environmental monitoring of all

subprojects. However, the Project Developer of a subproject is responsible for

implementing mitigatory measures and monitoring, and will report to the PMU who in turn

will submit bi-annual monitoring reports to ADB and to the Approving Agency on the

implementation of environmental mitigation measures, described in the IEE report and

EMP. The PMU will also be responsible to monitor the project developer‟s performance in

meeting environmental safeguards. If the PMU does not have the requisite staff to monitor

the implementation of the EMP, consultants' services could be obtained through the project.

Table 17 Potential Impact on Environment, Mitigative Measures and Monitoring

Agency

Phase Potential Impact Mitigative Measure Monitoring

Pre-

Construction

Siting – Rehabilitation and

Resettlement (R&R) of Since all sites in Bihar

are existing APMC sites,

PMU assisted by

Project Management

39

Phase Potential Impact Mitigative Measure Monitoring

Phase residential or business

establishments, religious

structures, archeological

structures, historical

monuments or sites close to

national highways, major

rivers, protected forests not

meeting siting norms laid

down by the regulators

siting issues will not be

triggered however title

search should be carried

out to ensure absolute

ownership of APMC

Consultants should

verify records,

conduct site visits

and approve site

Design defects that may

cause environmental

impacts for project

interventions as well as

support infrastructure

Many design stage

defects cause

environmental impacts

due to non compliance to

the norms and good

engineering practices.

Designs should be as per

norms laid down by

concerned authorities

such as Indian Road

Congress (IRC), Town

& Country Planning

Office (TCPO), Central

Pollution Control Board

(CPCB), Bureau of

Energy Efficiency (BEE)

etc.

Consult local people for

incorporating their past

experiences and

concerns

PMU should verify

the designs and

approve before

construction

commences

Construction

Phase

Air and noise pollution due

to dust and suspended

particulates

Good engineering

practices such as

watering/covering lose

soil during transportation

Restricting speed of

trucks carrying soil, and

cement to 25 kmph

Restriction of working

hours from 8 am to 8 pm

so that no work related

noise pollution at night

Tender specifications

to include appropriate

mitigatory clauses as

conditions of contract

Solid waste and water

pollution due to

construction activities

Labour camp is the main

source of pollution

during construction

phase. Proper water

supply and sanitation

facilities and

housekeeping at the

labour camp should be

Tender specifications

to include appropriate

mitigative clauses as

conditions of contract

40

Phase Potential Impact Mitigative Measure Monitoring

provided by the

contractor

Discarding excess

material such as set

concrete, bitumen,

shuttering material, cut

pieces waste causes soil

pollution if not removed

by the contractor

Surface water runoff

carries fuel and

chemicals spill over and

contaminate streams.

Proper impervious base

should be provided in

the store of fuel and

chemical

Operations

phase

Ambient Air Pollution Ambient air pollution

during operation phase

may cause due to idling

of vehicles during

loading and unloading.

Spacious planning and

provision for docking of

lorries will reduce

ambient air pollution

Gen set should have

stack of adequate height

and acoustic enclosure

Master plan approved

by the PMU/DOA

should have adequate

provision for

docking/ parking of

vehicles

Indoor Air Pollution Storage of ripening and

fumigation chemicals

should meet Hazardous

waste storage and

handling rules.

Adequate protective gear

should be provided to

the staff working in

ripening chamber and

fumigation to prevent

human exposure to

fumes and gasses

Staff should be trained to

handle and provide first

aid to affected person in

case of accident

emergency. First aid

facility should be

periodically checked for

validation

Make it mandatory

for operators to have

HACCP certification

and DOA should

periodically check

validity of the

certificate so that

Standard Operating

Procedures and Good

Operating Practices

would be followed

reducing indoor air

pollution

41

Phase Potential Impact Mitigative Measure Monitoring

Water Pollution Wastewater treatment

plant should be provided

for treatment of

wastewater

Developer/ Operator

to maintain valid

consent to establish

all the time,

developer should be

asked to provide

separate energy meter

for ETP and the bills

should be

periodically checked

by DOA for power

consumption

Soil Pollution Solid waste generated in

proposed activity would

be highly biodegradable.

Therefore depending

upon the quantum of

solid waste, and

availability of land,

either composting or

biomethanation should

be provided

Metal scrap, waste

paper, plastic and glass

should be sold to the

scrap dealer for

recycling

Tender specifications

to include appropriate

Mitigative clauses as

conditions of contract

85. Estimated Cost of EMP Implementation: Primarily, EMP implementation would incur

direct cost for pollution prevention and control while cost of design and engineering and

good engineering practices will be built in the cost of establishment of the facilities. Cost of

wastewater treatment plant, solid waste management and implementation of EMP for

various locations is summarized in the tables below.

Table 18 Cost of Wastewater Treatment Plants

Location Name

Total Water

Consumption

(KLD)

Estimated cost

of wastewater

treatment

plant (Rs. Mn)

Remarks

Muzaffarpur Region

Muzaffarpur 141.37 4.95 Plant will need 3000 sq. m area

Hajipur 53.25 1.86 Package plant

Darbhanga 45.59 1.60 Package plant

Dalsinghsarai 50.63 1.77 Package plant

42

Location Name

Total Water

Consumption

(KLD)

Estimated cost

of wastewater

treatment

plant (Rs. Mn)

Remarks

Begusarai 46.73 1.64 Package plant

Total 11.81

Nalanda Region

Patna 60.45 2.12 Package plant

Bihar Sharif 60.45 2.12 Package plant

Gaya 51.32 1.80 Package plant

Arrah 58.77 2.06 Package plant

Buxar 59.17 2.07 Package plant

Nokha 59.17 2.07 Package plant

Bihta 50.61 1.77 Package plant

Total 14.00

Table 19 Cost of Solid Waste Management

Location Name

Estimated Solid

Waste (MT/D Type of treatment Cost (Rs. Mn)

Muzaffarpur Region

Muzaffarpur 27.94 To be given to LUB

Tipping fee

recurring cost

Hajipur 3.25

Mechanical aerobic

composting (MAC) 6.5

Darbhanga 3.26 MAC 6.52

Dalsinghsarai 3.96 MAC 7.92

Begusarai 3.96 MAC 7.92

Total Capital cost 28.86

Nalanda Region 0

Patna 7.46 Biomethanation 14.92

Bihar Sharif 7.46 Biomethanation 14.92

Gaya 6.06 Biomethanation 12.12

Arrah 6.06 Biomethanation 12.12

Buxar 7.26 Biomethanation 14.52

Nokha 7.26 Biomethanation 14.52

Bihta 2.26 MAC 4.52

Total Capital cost 87.64

43

Table 20 Summary of Cost of Implementation of EMP

Integrated

Value Chain

Cost of water

pollution

control

Cost of solid

waste

management

Cost of

other EMP Total Remarks

Muzaffarpur

Region 11.81 28.86 3.5 44.17

Chemical usage

at 5 locations

Nalanda Region 14.00 87.64 1.5 103.14

Chemical usage

at 2 locations

Bihar Total 25.81 116.50 5.00 147.31

All values in Rs. Mn

86. As evident from the above table, substantial capital cost would have to be incurred for solid

waste management. This cost could be substantially reduced if developer enters into

agreement with the Local Urban Body (LUB) to collect the solid waste for disposal at its

Municipal Solid Waste (MSW) facility. Alternatively, some returns on these investments

could be harnessed by sale of compost and use of biogas generated in the solid waste

management system. Cost of wastewater treatment is inevitable as it may not be

permissible to discharge water out of the facility even after treatment. Therefore, treated

wastewater would have to be used for landscape irrigation within the facility.

87. Monitoring: There are no significant, irreversible environmental impacts envisaged.

During implementation phase nodal agencies should ensure that EMP is implemented to

mitigate all potential impacts. During operations phase, legal framework provides for

Project Developer to submit annual Environmental Statement and also pollution control

boards monitor pollution loads at every renewal of Consent to Operate. Creating separate

monitoring mechanism will have cost which is uncalled for given the in-built monitoring

system in the legal framework. Quarterly progress review reports submitted by the State

Agency/Project Developer to ADB will also include the progress of environmental

monitoring and highlight any other environmental issues that may have arisen during

implementation, and also the measures taken to address them. The State Agency/Project

Developer is responsible for ensuring that all environmental assessment documents,

including the bi-annual environmental monitoring reports, are maintained systematically as

part of the subproject-specific record.

44

Section I: Conclusion and Recommendation

88. The IEE study of the proposed IVC interventions under AIDP concludes that the proposed

interventions have minimal detrimental effects associated with impact on air, water, land,

and biodiversity. Most of the adverse impacts predicted are of low significance and short

term. All expected adverse impacts could be mitigated with appropriate measures

suggested in this report.

89. It is expected that there will be an overall positive cumulative environmental effect of the

project if it succeeds in creating efficient value chain linkages between the agricultural

commodity producer and the consumer through setting up of spoke and hub facilities and

the related support infrastructure. The beneficial impacts will be manifold. Following are

the overall long-term impacts from the project:

a) There will be reduction in losses that occur due to poor infrastructure facilities.

b) There will be improvement in the overall environment of production areas and

handling of harvested produce.

c) The employment opportunities of both temporary and permanent nature will get

generated for local population.

90. Due to increase in employment opportunities, trade, business and agricultural income,

considerable amount of money may be channeled in to the local economy in the area. This

will increase the income level of the individual household and the local community of the

area.

91. The provision of infrastructure leads to appreciation of land values. The land price would

increase due better opportunities and competition from other economic land uses. This

would further uplift the economic condition of local people.

92. This IEE and EMP will need to be further updated by the project developer during detailed

design stages. The proposed AIDP project is recommended for implementation with

incorporation of mitigation measures and environmental monitoring plan, as updated

during detailed design stage.

45

REFERENCES

1. ADB (2002). Environment Policy of the Asian Development Bank

2. ADB (2003). Environmental Assessment Guidelines

3. ADB (2003). Operations Manual Operational Procedures (OP); Environmental

Considerations in ADB Operations

4. ADB (1991). Environmental Guidelines for Selected Agricultural and Natural Resources

Development Projects.

5. ADB (1991) Environmental Guidelines for Selected Agricultural and Natural Resources

Development Projects. Manila, Asian Development Bank.

6. ADB (2002). Environment Policy of the Asian Development Bank: 51 pp.

7. ADB (2003). Environmental Assessment Guidelines of Asian Development Bank. Manila,

Asian Development Bank: 167 pp.

8. ADB (2003). Environmental considerations in ADB operations. Operations Manual: Bank

Policies (BP), Asian Development Bank: 3 pp.

9. ADB (June 2009), Safeguard Policy Statement

10. ADB (September 2009), Draft Risk Screening Tool

11. ADB/GAPL, Agribusiness Infrastructure Development Project (TA 4814-IND). Inception

Report TA 4814. New Delhi, Asian Development Bank.

12. Central Pollution Control Board, (1991): National Drinking Water Quality Standards. No.

10500.

13. Central Pollution Control Board (1996). Notification No. S.O.384(E), Air (Prevention &

Control of Pollution) Act, 1981, dated April 11, 1994],[EPA Notification: GSR 176(E),

April 02, 1996],

14. Central Pollution Control Board, Delhi, National Atlas & Thematic Mapping Organisation,

Kolkata, Environmental, Atlas of India, June 2001

15. CPCB and MoEF, (2000). Environmental Standards for Ambient Air, Automobiles, Fuels,

Industries, and Noise. Pollution Control Law Series PCLS/4/2000-2001. 109 pp

16. Economic Survey, Bihar(2006-07)

17. GOI Environment (Protection) Act, 1986

18. GOI Environmental Impact Assessment Notification, 1994 and 2006.

19. GOI Insecticides Act, 1968

20. GOI Water (Prevention and Control of Pollution) Act, 1974

21. GOI Water Cess Act, 1977, Modified 1992

22. GOI Air (Prevention and Control of Pollution) Act, 1981

23. GOI Hazardous Waste Management and Handling Rules, 1989, Amended 2000.

24. GOI Environment Quality Standards (Minimum National Standards), Municipal Solid

Waste (Management and Handling) Rules, 2000

25. GOI The Forest (Conservation Act), 1980.

26. GOI The Wildlife (Protection) Act, 1972

27. GOI Planning Commission; Report of the Working Group on Agricultural Marketing

Infrastructure and Policy required for Internal and External Trade. 11th Five Year Plan,

(January 2007).

46

28. GOI Marketing Infrastructure and Agricultural Marketing Reforms – Salient Features of

the Model Act on Agricultural Marketing.

29. GOI Agricultural Statistics at a Glance (2006); Directorate of Economics & Statistics,New

Delhi.

30. GOI, National Horticulture Mission. Maharasthra. Action Plan (2005-06)

31. GOI National Horticulture Mission. Bihar. Action Plan (2005-06)

32. GOI National Horticulture Mission. Operational Guidelines (2005)

33. GOI Centrally Sponsored Scheme on Micro Irrigation – (Drip & Sprinkler Irrigation),

Guidelines, (January 2006).

34. GOI Gazette of India. The Food Safety and Standards Act, 2006

35. Ministry of Environment and Forests (2006). Notification No. S.O. 1533(E), regarding

Environmental Impact Assessment. 14 September 2006.

36. Ministry of Environment and Forests (2003). Notification No. SO 1087(E), regarding

Environmental Impact Assessment. 22 September 2003.

37. Ministry of Environment and Forests (2003). Notification No. SO 248(E), regarding

Environmental Impact Assessment. 28 February 2003.

38. Ministry of Environment and Forests (2003). Notification No. SO 506(E), regarding

Environmental Impact Assessment. 7 May 2003.

39. Ministry of Environment and Forests (2003). Notification No. SO 809(E), regarding

Environmental Impact Assessment. 4 August 2003.

40. ministry of Environment and Forests (2004). Notification No. SO 801(E), regarding

Environmental Impact

41. Assessment. 7 July 2004.

42. Ministry of Environment and Forests (2001). Pollution Control Acts Rules and

Notifications Issued Thereunder.

43. CPCB, 25 September 2000. pp. 350-357, Table 1: National Surface and Groundwater

Quality Standards.

44. State Pollution Control Board, Maharashtra (2007). State of Environment Report:

Maharashtra.

45. IL&FS Ecosmart Ltd., JNNURM Report for Government of Delhi, Ch 12, 2004

47

Figure 2: Gaya APMC - Traders Shops (Not in Use)

Figure 3: Buxer APMC - Closed Warehouse

48

Figure 4: Musallapur APMC - Haphazard Parking for Unloading Goods

Figure 5: Nokha APMC - Abandoned Structures

49

Figure 6: Dalsingh Sarai APMC - Abandoned Structure and Open Land

Figure 7: Begusarai APMC - Warehousing

50

Figure 8: Muzzafarpur APMC - Traders' Shops

Figure 9: Samastipur APMC - Warehousing