South Stream gas pipeline project in Hungary Trans-boundary EIA procedureSándor Péter – South Stream HungaryLjubljana, Slovenia9th May 2016

Agenda

• Introduction of South Stream project (cancelled in December 2014)• Hungarian section of South Stream project

Assessed route options Key milestones Main technical data Status of the environmental permitting procedure

• Environmental Impact Assessment (EIA) Key features Summary of identified environmental impacts

• Trans-boundary Impact Assessment Proposed route options on the Hungarian-Slovenian border Potential trans-boundary impact processes Calculated trans-boundary impact zone Proposed mitigation measures and monitoring

South Stream project – Cancelled in December 2014

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South Stream project – Key features

• Goal: supplying Europe with reliable Russian natural gas – without transit risks

• Proposed route: Russia-Bulgaria-Serbia-Hungary-Slovenia-Italy and Austria (Baumgarten gas hub).

• Length: 2380 km including 930 km section under Black Sea

• Capacity: 63 Mrd m3/year

• Number of compressor stations: 10 db

• Stakeholders: Gazprom (50%), ENI (20%), Wintershall (15%), EDF (15%)

• Cancelled by Russia in December 2014.

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South Stream project (cancelled in Dec. 2014)Hungarian section

Project history – Key milestones

• February 2008. Intergovernmental Agreement (Russia-Hungary) on SSH

• March 2009. Stakeholder Agreement between Gazprom and MFB

• January 2010. Establishment of South Stream Hungary Ltd

• October 2012. Project of national importance status

• October 2012. Stakeholder agreement between Gazprom and MVM, final investment decision for Slovenian route

• December 2013. Signed contract for design works

• June 2014. Stakeholder Agreement between Gazprom és OMV AG Austria joins to South Stream project

• September 2014. SSH Ltd acquires design documentation of Nabucco pipeline in order to speed up the design works of Austrian route

• 1 Dec. 2014. South Stream project has been cancelled by Russia due to obstacles from EU

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SSH Slovenian route - Key features

• Lenght: 245,5 km;

• Pipeline passes through 5 counties (Bács-Kiskun, Tolna, Baranya, Somogy, Zala) including 78 settlements;

• Proposed route: Serbia-Hercegszántó-Dunaszekcső-Pogány-Szigetvár-Nagyatád-Csurgó-Letenye-Tornyiszentmiklós-Slovenia;

• Capacity: 31,5 Mrd m3/year;

• Pipeline diameter: DN1400 (56'');

• Design pressure: 100 bar;

• 2 Gas off-take stations;

• 5 Block-velve stations (with flare);

• 1 Compressor stations (100MW)

• Proposed completion date: January 2017

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Environmental permitting procedure in Hungary

• June 2012. Pre-EIA procedure was commenced

• September 2012. Slovenia confirmed its intention to participate in the environmental permitting procedure in Hungary

• April 2013. Opinion of Environmental Authorities were issued

• January 2015. Final EIA documentations were issued

• December 2015. EIAs were submitted to relevant Environmental Authorities

• March 2016. Completion of public hearings stage in Hungary

• April 2016. Environmental permits were issued by Csongrád- and Fejér Environmental Authorities

• 9th May 2016. Public hearing in Slovenia (Espoo Convention)

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Environmental Impact Assessment(EIA)

EIA - Key features

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• Detailed nature (flora and fauna) assessment was carried out

– Covering 1-year (full vegetation) period

– 86 sensitive habitat were identified and regularly monitored

– 5 Natura 2000 site were identified along pipeline route

– Proper mitigation measures were developed to minimalize adverse effects including route optimization, horizontal drilling, etc

• Archeological survey was carried out on the entire route

– Geophysical investigations, aerial surveys, field surveys, etc.

– 183 potential archeological site were identified

• Detailed geotechnical survey including 57 drillings was conducted

• On site noise and vibration and air quality assessments were undertaken to determine baseline condition for environmental modelling

• Series of ortho photos were taken covering 245 km route and vicinity

Summary of potential environmental impactsConstruction phase

Hatótényezők

Hatásviselők

Környezeti elem Környezeti rendszer

Talaj Levegő Vizek Élővilág

Épített környezet műemlékek, műemléki

területek, régészeti örökség

Ember Táj Települési környezet Természeti (ökológiai) rendszer

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Term

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Műem

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Egészségügyi álla

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Tájk

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Egyéb ö

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Létesítmény hatása

Területfoglalás

Végleges

Védőövezetek

Közművesítés, közmű kiváltások

Havária

Építés hatása

Területfoglalás

Szállítás

Létesítmény építése

Útépítés

Állomások építése

Sajtolás

Nyíltárok építés

Irányított fúrás

Technológia telepítése

Felhasznált anyagok

Föld és humusz deponálás

Csőanyag deponálása

Irányított fúrás vízigény

Építési hulladék

Területek rekultiválása

Nyomáspróbák

Havária

Üzemeltetés hatása

Állomások üzemeltetése

Távvezérlés

Heti bejárások

Növénytelepítések gondozása

Állomások felülvizsgálata, karbantartása

Rendszeres ellenőrzések

Görényezés

Diesel aggregátor próbaüzem

Nyomvonal felügyelet, karbantartás

Diagnosztikai vizsgálatok

Kaszálás, bozótmentesítés, nyiladéktisztítás

Nyomvonaljelzők pótlása

Havária

Áramkimaradás

Szelvényhiba miatti gázszivárgás

Vezeték repedése, törése miatti gázszivárgás

Villámcsapás

Tűzeset

Földrengés

Vezetékszakasz lefáklyázás

Felhagyás hatásai

Területfoglalás

Létesítmény bontása

Technológia bontása

Bontási anyagok, hulladékok

Szállítás

Területrendezés

Havária

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Summary of potential environmental impactsOperational phase

As the environmental effect of the gas pipeline and its connected facilities is considered as negligible during normal operational phase, there is no need to develop special mitigation measures.

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Trans-boundary EIA – Espoo Convention

Route options on the Hungarian-Slovenian border

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Potential trans-boundary impact processesConstruction phase

• Identified activities causing trans-boundary impact processes:

– Increased transportation activities (pipe supply, waste, etc)

– Main work processes such as deforestation, earth works, micro-tunneling, pipe laying, welding, etc

– Emergency events (only local impacts)

• Potential trans-boundary impacts:

– Air quality impacts

• limited to max. 80-100m distance from the border

– Noise impacts

• max. noise emission Lwa= 110 (pipe laying) - 113 dB (tunelling)

• expected noise load = 46-48 dB (north) and 32dB (south variant)

• Daytime working activity – noise load well below threshold limit

• Nighttime working activity is not allowed

– Disturbance on wide life and habitats

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Potential Trans-boundary impact processesOperational phase

• Normal operation has no impact on environment

• Maintenance works – temporary, low probability

– Air quality impacts - limited to 10-20m distance from the border

– Noise impacts

• Max. noise emission Lwa=105-107dB

• Expected noise load = 41-43 dB

• Daytime working activity – noise load well below threshold limit

• Nighttime working activity is not allowed

– Disturbance on wild life

• Flaring (in emergency event) – temporary, low probability

– Impacts on air quality – limited to 1-2 km distance from flare facility

– Noise impacts

• Max. noise emission Lwa=120 dB

• Calculated impact area – 1,7-4,6 km from flare facility

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Location of the closest flare facility – 30km distance

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Potential Trans-boundary impact processesAbandonment phase

• Same as expected during construction phase

• From environmental point of view it is more favorable to leave pipes in the ground

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Potential impacts on sensitive impact bearers

• No protected objects or areas are identified in the vicinity of state border.

• Closest Slovenian inhabited area (Pince settlement) is located a distance of 470-500 m from the state border.

• During operation phase no impact on current air quality or noise level are expected by SS project in Slovenia.

• During construction phase no sensitive impact bearers will be effected by the project in Slovenia.

• In case of nighttime working activities (not allowed) temporary noise impacts could reach the closest Pince settlement.

• Impact factors are temporary and reversible, they do not cause durable adverse effects in the environment.

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Calculated trans-boundary impact zone

• Calculated impact zone on air quality

– Construction works: 10-20 m

• Calculated impact zone on noise emission

– Daytime working activities : covering 80m zone in Slovenia

– Nighttime working activities:

– 520-850 m impact zone (North variant – tunneling)

– 380-650 m impact zone (South variant) in Slovenia

– No working activities will be allowed in nighttime (between 22.00-6.00 hours)

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Overall trans-boundary impact zoneNoise emission

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Proposed mitigation measures

• Nighttime working activities will not be allowed.

• Dusting and emissions of machines have to be avoided or minimized in all work processes by regular watering, road cleaning, etc.

• In the construction zone on-site traffic should be kept on minimum level avoiding unnecessary emissions and dust generation.

• Machines and vehicles need to be checked and maintained regularly.

• Emergency equipment have to be kept on-site.

• Cleaning of machines and appliances must not be done on-site.

• Noise protection has to be applied in case of significant impact.

• The preparatory works and deforestation can only be carried out in non-nesting periods, between August 15th and February 1st.

• During open-trenched pipe laying fallen animals have to be released.

• At sensitive habitats utilization of machines need to be kept on minimum level.

• Remediation of the raw surface is important, the recultivation has to be carried out and planned taking into account the needs of wildlife.

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Monitoring

• Construction phase

– Control noise measurements would be required in case of nighttime working activities only (not allowed)

– Open trenches will be checked regularly to protect wild life

• Operational phase

– No significant trans-boundary impacts are expected therefore no monitoring measures will be required

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Summary of trans-boundary EIA

• Project impacts during construction phase will be temporary and limited to small distance from the border hence will not cause significant adverse effect on environment in Slovenia.

• During (normal) operational phase project will not have any environmentalimpact therefore trans-boundary impacts are not expected.

• In case of emergency event, exceeding gas will be eliminated by controlled flaring. Given the distance of the closest flare facility (30 km from the border), flaring will not cause any environmental impact in Slovenia.

• If the border station at the Slovenian side would be established in small distance (1-2 km) from the border, then the effect of flaring (especially noise emission) is expected on the Hungarian side as well.

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Thank you for your attention!

Further information:

Péter Sándor - Environmental manager, South Stream Hungary Ltd

T: +36 20 4109-450

E: p.sandor@southstream.hu

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Általános hatáscsökkentő intézkedések

• Az építkezés során keletkező veszélyes hulladékok ideiglenes tárolóit burkolt helyszíneken kell kijelölni.

• A szállítási útvonalak kijelölése során figyelembe kell venni a talajvédelmi utasításokat, el kell kerülni, illetve minimalizálni kell az értékes élőhelyek, illetve a művelés alatt álló területek igénybevételét.

• A munkálatok befejezése után, az esetleg mégis fellépő talajszennyeződésektől a területet mentesíteni kell.

• Az ideiglenesen igénybe vett területeket az építés befejeztével helyre kell állítani és a művelés számára visszaadni.

• A munka végeztével a nyílt árkos építéssel érintett vízfolyások medrét helyre kell állítani.

• Az építés befejeztével az eredeti állapotot az erdészeti hatóság előírásainak figyelembevételével vissza kell állítani.

• A felesleges élőhely-igénybevételt a lehető legkisebb mértékűre kell korlátozni.

• Az építés során javasolt a legkedvezőbb kibocsátással rendelkező, megfelelően karbantartott munkagépek alkalmazása.

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