IFC requires that this document is made available through the World Bank InfoShop and to the locally affected community no less than 30 days prior to project consideration by the IFC Board of Directors. The Summary of Project Information (SPI) also provides details of where the ERS has been made available to the locally affected community. The SPI must be sent to World Bank InfoShop no less than 30 days prior to project consideration by the IFC Board of Directors.

This is a category B project according to IFC’s environmental review procedure because specific impacts may result which can be avoided or mitigated by adhering to generally recognized performance standards, guidelines, or design criteria. IFC’s Technical and Environmental Department staff’s review of this project consisted of appraising technical and environmental information submitted by the sponsor. The following potential environmental, safety and health and social impacts of the project were reviewed: · Air emissions from furnaces (SO2, NOX & dust) · Liquid effluents treatment and discharge · Oil and Chemicals storage and handling · Waste management including recycling, minimization and building a landfill for industrial waste · Noise, PCB and asbestos containing equipment · Past liabilities due to previous operations · Fire prevention and emergency response · General housekeeping, occupational safety and general health and safety awareness · Worker exposure to high temperature, noise and dust · Environmental monitoring . Job creations A framework for a corporate Environmental Management System (EMS) was submitted to IFC’s satisfaction. An Environmental Action Plan (EAP), satisfactory to IFC, with additional details on implementation of the proposed EAP, including schedule for actions necessary to achieve the requisite performance improvements will be required prior to signing of the Investment Agreement with IFC.

The sponsor has presented plans to address these impacts to ensure that the proposed project will, upon implementation of the specific measures agreed, comply with applicable host country laws and regulations and World Bank/IFC requirements. The information about how these potential impacts will be addressed by the sponsor/project is summarized in the paragraphs that follow. 1. The objective of the project is to undertake investments in environmental enhancements, modernization and furnace repairs of existing production lines in Turkey. The company is embarking in the development of a corporate Environmental Management System (EMS) to be applied in all its operations in Turkey. In addition, Sisecam is preparing an action plan for environmental enhancements including the plants that comprise this project. 2. Trakya Cam (Float Glass). Trakya Plant – Repair of Furnace No. 2. Repairing the furnace will produce an improvement on air emissions, particularly in relation to dust. No additional liquid effluents will be produced and the incremental production of solid wastes (regenerator dust residues and contaminated raw materials) will be handled and disposed of properly. 3. Otocam Fabrikas- Glass processing and tempering Lines. There will be no incremental air emissions. Wastewater production will increase by 200,000 m3/year. Glass particles will be separated and wastewater will be discharged in compliance with government regulations and World Bank guidelines. There will be an increase on glass waste and various hazardous wastes. Wastes will be handled and disposed of appropriately according with their corresponding characteristics. The high level of noise around the tempering furnaces is a major concern and a noise reduction program has been planned for 2003. Currently workers use personal protection. The Trakya Otocam plant has an ISO 14000-certified EMS. Health and safety issues arising due to the new lines will be integrated to the EMS. 4. Pasabahce-Eskisehir (Tableware) Expanding furnace capacity. A second furnace with a capacity of 200 ton/day will be installed in addition to the existing furnace with capacity of 165 tons/day. An EIA has been prepared and the Ministry of Environment has accepted and confirmed it. Natural gas will be used in the new furnace so all air emissions will conform with Turkish regulations and IFC requirements. Additional industrial wastewater will be treated prior to discharge into the municipal sewer in compliance with local regulations, as it is being done at present. Solid waste will also be increased and either sold for reuse or disposed of adequately. 5. Cam Elyaf (Fiber Glass) Furnace repair. An EIA report is being prepared to fully evaluate the environmental repercussions of the investment. During the first one of two years the furnace will use natural gas and, therefore its emissions will be generally low. However, after this period fuel oil will be used. The company included waste gas treatment system, consisting of an absorption unit and electrostatic precipitator, in the investment program in order to reduce the emissions to permissible levels. Industrial wastewater generated in the plant will be treated and discharged to the sewer system in accordance with government requirements. Wastes produced will be sold for reuse or disposed of by the Municipality.

Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that, with the implementation of the forthcoming EAP, the proposed Project will be designed to meet Government Turkey requirements, and World Bank Group /IFC policies, and environmental, health and safety guidelines.

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: (i) the status of implementation of any measures contained in the Environmental Action Plan and ii) ongoing performance of project-specific 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.