PROJECT

Projects

Environmental & Social Review Summary

Project Number

10291

Company Name

Lesiolo Grain Handlers Limited

Date ESRS Disclosed

Feb 5, 2010

Country

Kenya

Region

Africa

Last Updated Date

Jan 2, 2017

Environmental Category

B - Limited

Status

Completed

Previous Events

Approved : Jun 30, 2000
Signed : Nov 10, 2000
Invested : Aug 10, 2001

Sector

Storage (Including Agricultural Products)

Industry

Agribusiness and Forestry

Department

Regional Industry - MAS Africa

Project Description

- 3 - May 11, 2000

International Finance Corporation
A Member of the World Bank Group
International Finance Corporation
A Member of the World Bank Group
Environmental Review Summary (ERS)

Project Name Kenya – AEF Lesiolo Grain Handlers Ltd.

Region Sub-Saharan Africa

Sector Agribusiness

Project No. 10291


1. The project involves establishment of an independent grain handling and storage plant, strategically located in close proximity to the major grain growing areas in Kenya. Lesiolo will provide cleaning, drying and storage services for maize, wheat and barley producers within Kenya. The storage capacity installed will be 12,500 tonnes for wheat and maize, and 16,000 tonnes for barley. There is also demand for handling and storage services for grain imported into Kenya by local up country millers, and for grain in transit to Uganda.

2. 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. The review of the project consisted of appraising technical and environmental information submitted by the project sponsor. The following potential environmental, health and safety impacts of the project were analyzed:

· Land use and acquisition;
· Dust control;
· Pest control;
· Liquid and Sewage treatment/disposal;
· Solid waste disposal;
· Water and Power supply;
· PCBs and CFCs;
· Hygiene and quality control; and
· Employee safety, training and emergency response; and
· Plant fire safety.

The information provided by Lesiolo about how each of these potential impacts will be addressed in the development of the proposed project is summarized in the paragraphs that follow.

3. Land Acquisition: The property is being purchased on a private basis from the landowner currently living on site.

4. Dust Control: All conveyors, elevators, and chain conveyors will be linked to a Bag House Filter System at intake and discharge points. Tunnels and pits will also have asperation systems to ensure a safe work environment.

5. Pest Control: All grain will be stored in sealed silos which will highly reduce/practically eliminate the potential for rodent infestation. About 0.5kg of Acetellic (an organo-phosphorous insecticide) will be used every 3-4months to fumigate the silo against pests. The silos are equipped with compressed air blowers (for cleaning) through which acetellic will be blown, thus human contact with acetellic will be minimal. The need to control insects with chemicals is also reduced by the fact that the silos will be equipped with temperature control systems which will ensure that temperature regulation (hot in the day and cool at night) will counter ideal insect breeding temperatures.

6. Sewage and Effluent Treatment: The project will only have a small number of employees. Sewage generated will be minimal, and no process effluent is generated. Sewage will be disposed of in septic tanks which will be periodically emptied by the Nakuru Municipal Council (NMC).

7. Solid Waste: Waste generated is comprised of split grain and dust. These will be composted on site. Any other domestic waste will also be handled by the NMC.

8. Water and Power Supply: Water and power will be supplied by the national/local grid. Water consumption is limited as the plant process does not involve water use. All fuel storage tanks, for diesel and oil will be provided with secondary containment structures.

9. PCBs and CFCs: The sponsor has committed that no new or used PCB or CFC based equipment will be installed as part of the project.

10. Hygiene: The Kenya Bureau of Standards (KEBS) will conduct annual inspections to ensure plant cleanliness and housekeeping. Employees will undergo and initial medical examination, and thereafter examinations will be annual. Health Department Inspection requirements will also be complied with.

11. Employee Training and Safety: Employees will be provided with appropriate safety equipment such as boots, hats and gloves. In addition dust masks will also be provided to employees as required. Equipment suppliers will provide training to staff. In addition KEBS will conduct plant noise and air quality tests annually.

12. Fire Safety: All silos will be equipped with temperature sensors and safety equipment will be installed in the plant. In addition, conveyors and elevators are equipped with plastic buckets/paddles, this will eliminate the potential for sparks which can lead to spontaneous combustion/flash explosions.

13. This ERS will be made available locally through the NMC offices and the project site. Availability of the ERS at the project site and municipal offices will be announced in the local press.

14. Based on its review of available information regarding potential environmental impacts and proposed mitigation measures, IFC concludes that the Lesiolo proposed project will meet World Bank environmental, health and safety policies and guidelines and host country requirements.

15. IFC will monitor ongoing compliance with World Bank environmental, health and safety policies and guidelines during the lifetime of the project by evaluating reports submitted annually to IFC by Lesiolo and by conducting periodic supervision.

Environmental and Social Mitigation Measures

Broad Community Support