Eren Holding has presented plans to address these impacts to ensure that the proposed project will upon implementation of the specific agreed measures, comply with the environment, healthy and safety (EHS) and social requirements of Turkey and the IFC environment and social policies and the environmental, health and safety guidelines. Eren Holding has retained a number of independent environment consultants under the management of a Professor from Istanbul University Environmental Engineering Department to prepare a mini-Environmental Impact Assessment (EIA). The mini-EIA will assess the impact of the new expansion and of the company’s existing paper making operations and cogeneration plant at Corlu on the environment, the workplace, and the local socio-economic situation. The information presented below is largely taken from the results of this mini-EIA.
- Compliance with Turkish and IFC EHS requirements
The consultants have completed monitoring of the stack emissions from the existing facilities (including the existing natural gas fired cogeneration plant) as well as the ambient air quality in the surrounding area. Ambient air quality modelling of the potential impact of the proposed expansion was also completed by the consultants. Results indicate that there are no air ambient quality issues with regard to particulate matter (PM) or sulphur oxides (SOx) as a result of the proposed plant expansion but there was an increase in nitrogen oxide (NOx) levels in the nearest community. As a result, although these NOx levels are in compliance with Turkish and IFC requirements, Eren Holding has committed to install low NOx burners in their new cogeneration plant as well as in their exiting plant.
Wastewater from the existing paper making machines is discharged to a wastewater treatment plant with a large quantity of the treated wastewater recycled back to the paper making process and the remainder discharged to a small stream. A similar system will be used for the new paper making machine, with about 66 percent of the treated wastewater recycled back to the process and the remainder discharged to the small stream. Although the wastewater treatment provided for the existing and new machines is extensive, the levels of Chemical Oxygen Demand (COD) in the treated wastewater exceed IFC (but not Turkish) requirements. The consultants completed a water quality survey of the small stream as well as fish toxicity testing of the treated wastewater. While the results indicate that any impacts of the treated wastewater on the stream are not significant, Eren Holding has committed to consider options and implement a mitigation program to bring the plant into full compliance with IFC wastewater discharge requirements (i.e. reduce the COD levels in the treated wastewater).
Solid waste from the existing operation as well as the new plant will either be recycled (i.e. paper, glass, organic waste) or sent to the government licensed municipal landfill for disposal (i.e. sludge from the wastewater treatment plant).
A major fire occurred in the wastepaper and straw storage areas in April 2005. As a result of this fire and IFC observations during plant visits there is a need for Eren Holding to substantially improve their worker health and safety (OHS) performance. Procedures need to be improved, proper signage needs to be placed in the existing plant, staff training in these matters needs attention urgently, and proper reporting needs to be instituted. As a result of this project, Eren Holding has committed to a major improvement in their OHS performance both during construction of the new facilities and in the operation of the new and existing plants.
The mini-EIA will contain a detailed Environmental Management Plan (EMP) which will contain all of the commitments detailed above (as well as others) together with a schedule for their implementation. IFC will review the mini-EIA including the EMP with Eren Holding and will only proceed with the project once Eren Holding has committed to meet all the requirements in the mini-EIA (and EMP).
- Commitment to quality and to performance
Eren Holding has for many years had a very strong commitment to quality and this is embodied in the company’s ISO 9001 (Quality) certification provided by the Turkish Standards Institute. The new paper making machine will also be ISO 9001 (Quality) certified. In addition Eren Holding has agreed to obtain ISO 14001 (Environmental Management) for their operations by the end of CY2006 and OHSAS 18001 (Occupational Health and Safety) certification by the end of CY2007.
Eren Holding will need a substantial additional volume of wastepaper as raw material feed to the new paper making machine. The company is already the largest collector of wastepaper in Turkey. IFC has recently initiated a waste recycling market assessment study for Turkey focusing on paper, plastic, glass and metal. Eren Holding has agreed to provide guidance to this study and the study results will assist Eren Holding in their efforts to increase their collection of waste paper.
- Social and community issues
The proposed expansion will create approximately 300 new jobs. Eren Holding pays very competitive salaries and benefits to its workers as well as providing training to upgrade their skills. Eren Holding actively supports the communities around the plant as well as supporting a number of social programs in Bitlis, a poor part of eastern Turkey. In 2004 Eren Holding built a new large high school in Bitlis, together with all the necessary support facilities (i.e. 12 class rooms, laboratories, arts center, library, dormitory, sports center, and teacher’s housing) and then donated it to the government. The high school can accommodate about 500 students and Eren Holding is providing scholarships to assist the students financially. In addition Eren Holding is paying the salaries of some of the teachers and for the ongoing maintenance of all the facilities. The company also actively supports BETAV, the Bitlis Education Foundation, and is about to build a new community sports center that will also be donated to the government. Finally Eren Holding is involved in a number of environmental initiatives in the communities.