PROJECT

Projects

Environmental & Social Review Summary

Project Number

9552

Company Name

Societe des Caoutchoucs de Grand Bereby

Date ESRS Disclosed

Feb 5, 2010

Country

Cote D'Ivoire

Region

Africa

Last Updated Date

Jan 2, 2017

Environmental Category

B - Limited

Status

Completed

Previous Events

Approved : Jun 24, 1999
Signed : Nov 12, 1999
Invested : Mar 1, 2000

Sector

Natural Fibers (Cotton, Sisal, Jute, etc.)

Industry

Agribusiness and Forestry

Department

Regional Industry - MAS Africa

Project Description

- 3 -
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 COTE D''IVOIRE: SOGB

Region Sub-Saharan Africa

Sector Food and Agribusiness

Project No. 009552

1. The project area covers a 35,000ha-plantation concession in the San Pedro department of Cote d''Ivoire. Approximately 15,000 ha were established under rubber trees under a public sector program financed partly by the World Bank and the company was privatized in 1996 with IFC participation. This project will finance the planting of oil palm on approximately 5,000ha of low-lying land in the existing concession area. As part of the project, the sponsor also intends to construct a Crude Palm Oil (CPO) mill - (20 tons per hour) which will be constructed in 2003 and become operational in 2004.

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

· Impacts to natural habitat;
· Potential impacts related to economic displacement;
· Integrated pest management and pesticide use and management;
· Air emissions;
· Solid waste handling and management;
· Water use and waste water quality;
· Occupational health and safety.

The information provided about how these issues and potential impacts have been addressed in the development of the project are summarized in the paragraphs that follow.

3 Impacts to natural habitat: The area to be developed is located in lower lying areas of the estate and comprises land cleared for rice cultivation, low bush and scrub vegetation and degraded secondary forest in approximately equal proportions. In its assessment of development options, the company reviewed land availability, existing use and vegetation cover. The final decision on areas of secondary forest to be cleared and planted was based on the desire to retain as much secondary forest as possible while ensuring the availability of commercially viable plantation blocks. There will be no loss of primary or good quality secondary forest or other significant natural habitats (such as wetlands) and areas of secondary forest that will be cleared have been heavily logged and degraded. Within the estate, there are approximately 5,000ha of good quality secondary forest which the company has protected since it started operations (in 1979) and which it will continue to protect during this project. The CPO mill site (5ha) will be located in the estate and will be developed on land that has no significant ecological value.

4 Potential impacts related to economic displacement: No new land is to be acquired and no economic displacement will occur. Development of oil palm plantation areas will result in the loss of some areas that are currently under rice cultivation. This rice is cultivated by the company and the loss of this crop will not adversely affect local people or employees.

5 Integrated pest management and pesticide use and management: The only herbicide that will be used in the oil palm plantation is round-up (glyphosate) and normal industry precautions will be undertaken in the use and handling of this chemical. The company provides training and personal protective equipment (masks, gloves etc) to employees who use agrochemicals in the rubber plantation and similar support will be provided in the oil palm. The company will implement standard Integrated Pest Management approaches (e.g. tolerance of low levels of pest species, use of biological controls) as the oil palms develop. (Details of agrochemical use planned for the oil palm plantation is included in the table at the end of the ERS).

6 Air emissions: Power for the CPO mill will be supplied both from the national grid and from onsite generation (a new 12ton/hr boiler fired by waste shells and fibre from milling operations). The boiler will be fitted with pollution control equipment (including flue scrubbers) and will be designed to operate in compliance with WBG air emission requirements. The site will not use CFCs and there are no other significant sources of air emissions.

7 Water use and waste water quality: Processing water will be drawn from the adjacent Dodo river (abstraction volumes are estimated at 45m3/hr) and water use will be minimized through standard industry best practice. There will be no significant impact on downstream users (in terms of the availability or quality of water). Septic and process water discharges will be generated from the CPO mill. Septic waters will be disposed of on site in septic tanks. Process waters will be treated in a combination of aerobic and anaerobic ponds that will be designed with sufficient capacity to achieve World Bank Group requirements. Final effluent will be discharged to field as irrigation water/fertilizer.

8 Solid waste handling and management: Solid waste will comprise sludges (from wastewater processing), empty fruit bunches and kernel shells. All solid waste will be disposed of on site either as fertilizer (sludges and empty fruit bunches) or for road surfacing (kernels). No hazardous materials will be used in the processing facilities.

9 Occupational health and safety: The company provides training in the use and handling of all agrochemicals and provides worker health facilities (including a hospital). Employees who work with chemicals receive regular health checks on a six monthly basis and all employees who use agrochemicals are provided with appropriate personal protective equipment.

10 The company does not have a formal environmental policy but has committed to meet all relevant World Bank Group policies and guidelines. Agricultural development at this scale does not require specific permission from the Government of Cote d''Ivoire, although a permit for the CPO mill will be sought from government in due course.

11 IFC will monitor ongoing compliance with World Bank Group environmental, social, health and safety policies and guidelines during the lifetime of the project by evaluating reports submitted annually to IFC by SOGB and by conducting periodic supervision. In particular, IFC will require annual confirmation:

· compliance with World Bank Group environment and health and safety guidelines;
· That waste water disposal continues to be to land (for irrigation)
· That the remaining 5,000 ha of good quality secondary forest is retained and not developed.

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

Agrochemical use at SOGB
Stage of development

(* process sludges and treated waste waters will also be used for fertilizer and irrigation purposes)

Environmental and Social Mitigation Measures

Broad Community Support