10286 - RMIT International University Vietnam

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Environmental Review Summary

Project Number

10286

Company Name

RMIT INTERNATIONAL UNIVERSITY VIETNAM

Date ERS Disclosed

Nov 24, 2003

Country

Viet Nam

Region

East Asia and the Pacific

Environmental Category

B - Limited

Status

Completed

Previous Events

Approved : Jun 7, 2001
Signed : May 3, 2002
Invested : Oct 8, 2004

Sector

Colleges, Universities, and Professional Schools

Industry

other

Department

Regional Industry - MAS Asia & Pac

Project Description

The RMIT University (RMIT, or the sponsor) is one of top universities in Australia with a history of over 100 years and total student enrolments of over 40,000. Since mid-1990s, RMIT began taking its services outside Australia by offering joint programs in partnership with local universities in Hong Kong, Malaysia, Japan, Thailand, Vietnam and other Asian countries. Following the first few years of successful introduction into Asia, RMIT is stepping up its efforts to position itself as a leading international university in Asia by building a new university in Ho Chi Minh City in Vietnam (RMIT Vietnam). The RMIT Vietnam will be the first university owned and operated by RMIT outside Australia.

The project is for RMIT to construct a campus in the South Saigon area of Ho Chi Minh City. RMIT plans to complete the full campus at this site over the next decade, by the end of which period the total student enrolment could grow up to 13,000. The first phase of the construction is expected to occur from late 2003 at an estimated cost of $24 million and the next stage would be at least $7.5 million. The sponsor has asked IFC and Asian Development Bank (ADB) to help finance the project.

The project will set several important precedents for the education sector in Vietnam. It will be the first for-profit, wholly foreign-owned university in the country. RMIT, with IFC''s advice, has been instrumental in encouraging the Government of Vietnam to promulgate, on March 6, 2000, a new decree governing wholly foreign-owned, for-profit, medical, educational, and technical training institutions. RMIT Vietnam will be the first university to be licensed under this new decree. This will be IFC''s first project in the education sector in Vietnam.

Environmental and Social

The sponsor has presented plans to address these impacts that will ensure that the proposed project will, upon implementation of the specific agreed measures, comply with host country laws and regulations and the World Bank/IFC environment and social policies and guidelines. The information about how the project will address these potential impacts is summarized in the paragraphs that follow.

This project originally involved the establishment of a new university campus on a 62 hectare site within the Saigon South Development. Because of changes in the South Saigon land market, the University was unable to secure the whole of this site as originally planned. The Ho Chi Minh City People’s Committee (People’s Committee) has offered a substantially reduced, 12.76 hectare, portion of the site. The site is approximately 5 km south of central Ho Chi Minh City on the area designated as the Eastern University Park on the master plan for the Development, and borders the South Saigon Parkway. The project was originally categorized as an ‘A’ under IFC’s Environmental and Social Review Procedure because of the involuntary resettlement of people from the 62 hectare site. This ERS is being released to provide information about the change in the project and to make it known the project is now a category ‘B’ because involuntary resettlement is now no longer involved. Details about the change in resettlement are provided in the next section.

Resettlement issues:
People were previously resettled from the new site during 1995 to 1999. The resettlement was carried out to make way for the construction of the South Saigon Parkway and was not in anticipation of the current project. As part of this resettlement, payments were made to the project affected people (PAP). RMIT will reimburse the People’s Committee for the amount of compensation and resettlement benefits already paid out.

This prior resettlement was carried out in accordance with the broad scope of various laws and regulations that apply to all resettlements in Vietnam, as well as the regulations and directives that the HCMC People’s Committee and government have issued specifically for resettlements necessitated by investment projects in the South Saigon New Urban Areas. The various laws, regulations, and directives of Vietnam collectively provide a framework for resettlements broadly consisting of four components:

- eligibility (mostly applicable to verification of legal ownership to land and other assets as well as residency requirements) of PAPs for monetary compensation;
- compensation and resettlement assistance for PAPs;
- grievance procedures; and
- responsibilities of government organizations.

Because the prior resettlement was unrelated to the RMIT project and was carried out several years prior to the involvement of RMIT in the site, OD 4.30 Involuntary Resettlement does not apply. However, RMIT did review the records of this prior resettlement and has confirmed both that the amounts of compensation paid to PAPs is what they were due under the applicable laws and regulations and that the PAPs have received those payments.
Planning context:

The campus site was designated as the site of a university in the Saigon South Master Plan, which has been approved by the Government of Vietnam. The master plan was developed to provide HCMC with the necessary amenities, services and infrastructure to accommodate a projected increase in population to 10 million. This project is therefore consistent with regional and national planning objectives.

Social Impact:
There are significant long term benefits of the project in terms of human resource development, employment and economic growth in Vietnam. These benefits will be achieved through an increase in skill levels, the creation of job opportunities during construction and operation of the campus, and the stimulus to economic activity. These benefits will be local, regional and national. They will result in increased personal/household income and therefore in increased expenditure on food, rent, transport, entertainment, clothing, education and health. Higher education and training in Vietnam will be strengthened. The University will provide a valuable model to assist Vietnamese institutions to develop appropriate flexibility in terms of curriculum, technology and methods of delivery.

Impacts during construction:
Negative impacts during the construction project are typical of all construction. The contractor will be required to present for approval by RMIT and the Vietnamese authorities an Environmental Management Plan for implementation during the construction period. The contractor will be required to undertake the works to ensure minimal disruption during construction and to ensure that there will be no permanent impact on agricultural practices on the areas surrounding the site. Companies shortlisted for construction of the project will be required to submit evidence that the following management systems are in operation in their day to day construction activities:

- Quality Management System
- Environmental Management System
- Health and Safety Management System

Contract documents will require a site specific Environmental Management Plan to be developed and submitted for approval prior to commencement of construction. Adherence to the plan will be monitored by regular inspections by the Client’s Representative.

For the piling works, all construction equipment is to be fitted with suitable noise suppressors so that noise is minimised. Working hours are to be restricted such that there will be no pile driving between the hours of 7 pm and 7am on weekdays, and no pile driving at all on Sundays. There is likely to be minimal impact for air and water pollution during the piling works.

For the main contract works, the structural and architectural works, noise will be kept to a minimum again using noise suppressors on construction equipment. There will be after hours working during the structural work as concrete pours have to be carried out at night due to HCMC bans on trucks during certain hours of the day. However, the noise generated during concrete pours is minimal.

During drier periods, air pollution in the form of dust will be dealt with by the use of water bowsers /tanks which will be permanently based on site. Cart away wagons for excavated material and concrete trucks will pass through a wheel wash facility prior to leaving the site. The wheel wash will be located at the site exit gate. Exhaust emissions for plant and equipment permanently based on site will be monitored and any equipment with excessive smoke discharge will be either repaired or removed from the site.

Additional traffic will be generated during construction. Contractors will make their own temporary access roads to the construction site. The South Saigon Parkway and the other feeder roads are adequate to handle this increased traffic without significant disruption to the normal traffic flow.

Environmental management:

An Environmental Management System (EMS) based on ISO 14001 (Environmental Management Systems) will be developed and implemented in relation to activities associated with the operation of the University. This plan will include:

- details of monitoring of impacts on physical resources, human and economic development and quality of life values;
- details of measures to mitigate any anticipated negative impacts.

Until such time as RMIT Vietnam develops its own EMS, it will apply the policies and procedures of RMIT Australia’s Environmental Policy and other environmental commitments
(http://www.rmit.edu.au/browse?SIMID=ndo4tu4n0ar3z).

Storm water
Storm water will be discharged to the naturally occurring wetlands and the canal system. Hydrological issues in relation to the waterways will be addressed during the detailed design. Culverts will be laid to ensure twice daily flushing of the canals.

Site flooding:
The maximum recorded high tide level in the streams and river adjacent to the site is 1.5 metres. The proposed fill platform for the campus is 2.5 metres with building floor levels at least 2.7 metres. The South Saigon Parkway has been filled to a level of 2.35 metres and would therefore act as a floodway, offering additional protection from flooding to the site. The river levees, which will retain water permanently in internal canals, have a proposed top level of 2.5 metres. A spillway set at 2.1 metres will allow water from behind the levee to flow back to the river and prevent flooding of the site. The provision of levees will allow the canals to provide some detention of storm water runoff from the site. This peak runoff will be released to the river through the culverts at a reduced rate and will lessen the likelihood of the project contributing to flooding of downstream sites during peak rainfall events.

Liquid Effluent Treatment and Disposal
The applicable standard adopted by the project for waste water discharge is the Vietnam Standard on “Industrial Waste Water Discharge Standards”. This allows waste water to be discharged into water bodies used for sources of domestic water supply if the BOD is less than 20 mg/l and the suspended solids are less than 50 mg/l. The central sewage treatment plant to be installed on the campus plants produce effluent with BOD of 10 mg/l and suspended solids of 10-15 mg/l so that effluent would be of much better quality than required by the standard. The sewage treatment plant will be designed to allow expansion as the student body increases. It will be able to handle 132 cubic metres per day initially, but will be increased to 750 cubic metres for future stages. Greywater will be treated in the same plant.

It is proposed to spray irrigate the landscaped and conservation areas of the site with effluent during the dry season and this additional treatment will assist with odor control and will also limit nutrient build up in the canals within the site which could promote algal growth. During the wet season, effluent will be disposed of directly to the stormwater drainage system. The effluent produced will meet WBG standards for discharge to surface waters. Sludge from settling tanks will be composted and used as top soil or fertilizer on the campus.

Solid and Hazardous Waste Disposal:
The campus will be serviced by the Urban Environment Company, which will collect solid waste on a daily basis and transport it an appropriate landfill site. The nature and quantity of hazardous waste will be assessed. Procedures will be implemented to ensure that hazardous wastes will be stored separately from other solid wastes and will be collected by an appropriate contractor. Enclosed refuse collection vehicles will be used as necessary. In accordance with RMIT’s Environmental Policy, the recycling and re-use of goods and materials used by and within the campus will be encouraged. Clean and readily identifiable receptacles for materials to be recycled will be provided. The material will be collected by recycling contractors on a regular basis.

Dredge Material Supply:
It is anticipated that material for the landfill will be obtained from a range of sources including sand from the Saigon River. Dredging practices will be in accordance with government regulations and the material will be tested for suitability as landfill prior to transportation to the site.

Air Emissions:
The services infrastructure will not include boilers. The generators used will only operate in periods of electricity failure and will have emission controls fitted in accordance with world’s best practice for good commercial quality engines. If necessary to further reduce emissions, catalytic converters can be fitted to the generators. The air conditioning systems to be installed will not include CFC refrigerants.

Air Quality Monitoring:
Monitoring of air quality will be undertaken during pre-construction, construction and operational phases. Parameters for monitoring of ambient air quality will include temperature, humidity, wind velocity, dust sulphur dioxide, nitrogen dioxide, carbon monoxide and lead. Parameters for motor vehicle emissions will include carbon dioxide, nitrous oxide, hydrocarbons, lead, benzene, particulates and carbon monoxide.

Fire Protection and Life Safety:
The site infrastructure includes a reticulated external fire hydrant system with street hydrants located in accordance with the Water Reticulation Code of the Water Services Association of Australia. Within the campus buildings, hose reels, fire sprinklers, fire detectors, smoke detectors, emergency warning systems and emergency/exit lighting will be installed based on Australian codes and regulations.

Disposal of sulphate rich soils:
Acid sulphate soils as they occur on the site may cause problems. There is likely to be minimal excavation and disturbance of the soils during the construction of the project. Pile cap foundations will be placed on the surface of the fill and excavation will therefore not be necessary, except for the lift pit and possibly for the swimming pool. Water tanks and sewage treatment will be constructed above ground. Where excavation is necessary, the soils will be deposited in sites that local Vietnamese authorities have designated for the purposed.

Ecology
A number of species of zooplankton, zoobenthos and phytoplankton are found on the site, as well as 29 plant species. Species of inland fauna were not identified during the study undertaken by VESDEC (Vietnam Environment and Sustainable Development Centre) in February 2000.

Wetlands:
Development of the campus will involve loss of some wetland area. However this Saigon South area has been designated as a development zone to be used for the construction of roads, buildings and parks. Natural vegetation will be retained wherever possible. To reduce impact on the wetland areas, a series of connected elevated walkways will be constructed within the campus.

Conclusion & Monitoring

IFC will evaluate the project’s compliance with the applicable environmental and social requirements during the lifetime of the project by reviewing the annual monitoring reports (AMRs) prepared for the project covering ongoing performance of project-specific social, environmental, health and safety activities as reflected in the results of periodic and quantitative sampling and measuring programs. Periodic site supervision visits will also be conducted.

This Environmental Review Summary (ERS) is prepared and distributed in advance of the IFC Board of Directors' consideration of the proposed transaction. Its purpose is to enhance the transparency of IFC’s activities, and this document should not be construed as presuming the outcome of the Board of Director’s decision. Any documentation that is attached to this ERS has been prepared by the project sponsor or in conjunction with the project sponsor and authorization has been given for public release. IFC has reviewed this documentation and considers that it is of adequate quality to be released to the public but does not endorse the content. The following ERS is disclosed in accordance with IFC's Disclosure of Information Policy that went into effect September 1998.

The map is for illustrative purposes and does not imply the expression of any opinion on the part of the World Bank, concerning the legal status of any country or territory or concerning the delimitation of frontiers or boundaries. Country borders or names do not necessarily reflect the World Bank Group's official position. In some cases, available project location information is limited to the country of the project's activities. Locations are approximate.

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