Public Disclosure Authorized

WORLD BANK/ GLOBAL ENVIRONMENT FACILITY

E2403

MOLDOVA BIOGAS GENERATION FROM ANIMAL MANURE PILOT PROJECT

Public Disclosure Authorized

ENVIRONMENT MANAGEMENT PLAN

Public Disclosure Authorized

March 11, 2010 Prepared by Tatiana Belous, PhD in Biology

Public Disclosure Authorized

Content Executive Summary Introduction 1. National environmental policies and environmental assessment legal framework 2. World Bank Safeguards Policies 3. Institutional framework for environmental assessment 4. Project description 5. Description of typical technology of biogas generation from animal manure 6. Countrys baseline conditions and sectoral issues 7. Environmental Guidelines 8. Environmental Management Plan implementing arrangements 9. Integration of Environmental Management Plan in project implementation 10. Environmental Management Plan disclosure and consultation Annexes

Abbreviations BGAMPP BP EA EG EIA EMP C CDM GDP GEF CFU GHG FYM GWh MOE NGO NPK OP pH PMT POP SEE SEEEA SEI TA TOR TS US VS WB Biogas Generation from Animal Manure Pilot Project Bank Procedures Environmental Assessment Environmental Guidelines Environmental Impact Assessment Environmental Management Plan Celsius Clean Development Mechanism Gross Domestic Product Global Environment Facility Carbon Finance Unit Green House Gas Farm Yard Manure Gigawatt Hour Ministry of Environment Non-governmental Organizations Nitrogen/ phosphorus/ potassium Operational Policy Measure of the acidity or alkalinity of a solution Project Management Team Persistent Organic Pollutant State Ecological Expertise State Ecological Expertise and Environmental Authorizations State Ecological Inspectorate Technical Assistance Terms of Reference Total Solids United States Volatile Solids World Bank

EXECUTIVE SUMMARY 1. Purpose of Environmental Management Plan. The purpose of the Environmental Management Plan (EMP) is to provide an outline of the mitigation measures that will be implemented to manage potential negative environmental impacts associated with the project implementation along with the necessary monitoring activities. The proposed EMP is not site-specific and will be updated as needed during project implementation when the details about the specific farms/sites where the two pilot biodigesters will be installed and certain technical design details will become known. 2. Project Objective. The objective of the project is to pilot use of animal manure for on-farm biogas and electricity generation through introduction of an innovative, environmentally friendly technology. The project will provide an integrated approach to piloting the use of biogas and will contribute to the reduction of climate change effects and of water resource pollution, bringing benefits to the farming sector through improved manure management practices and to the energy sector through the introduction of environmentally friendly energy installations 3. Project description. The Biogas Generation form Animal Manure Pilot Project (hereafter: BGAMP) consists of five components. Component 1: Enabling legislative and policy environment includes: (i) certification and licensing of biodigesters for use in Moldova and (ii) cooperation with the countrys energy regulator to allow smaller electricity producers sell surplus electricity into the national grid. Component 2: Technical assistance, capacity building and awareness raising on sound animal waste management, and animal manure-based biodigester and electricity generation technologies will contribute to promotion of sound animal manure management practices and mainstreaming of the use of biodigester technologies, the activities will include capacity-building. Component 3: Technical assistance and capacity building on local manufacturing of biodigesters will assist local producers with knowledge transfer and capacity building in various biodigester and cogeneration equipment technologies to reduce the investment cost. Component 4: Biodigester Investment Grants which will test and implement pilot biodigester technologies on livestock farms where the small carbon emission reductions prevent them from obtaining co-financing investments from carbon benefits. Under this component it is proposed to support installation of biodigesters on two livestock farms. Component 5: Project Management and Safeguards. 4. Location. While the TA activities will cover the whole country, the location for installation of the two pilot biodigesters will be determined during the project implementation. 5. Project category. While most of the proposed activities will not have any impact on the environment, the project might have some adverse impacts related to biodigesters construction and operation. Based on that the proposed project is considered as low risk Category B project, for which a simple EMP is required. 6. Moldovan Regulatory framework for EA. Moldova has in place a well developed EA system, environmental legal instruments and technical standards which will be applied for Project implementation. The national EA regulatory framework is generally in line with World Bank EA requirements. Furthermore, Moldova has a good record in implementing projects for various infrastructure projects which comply with WB and National EA rules and procedures. 7. Institutional framework and capacities to perform safeguards. The implementation of project environmental safeguards will be done by the existing Project Management Team (PMT) under the Ministry of Environment (MOE). The PMT has an assigned staff member with such responsibilities, and adequate experience, as the PMT is currently implementing the full-size GEF POPs Stockpiles Management and Destruction Project, which is a Category A project. The results of implementation of the GEF POPs project environmental safeguards are considered very positive. The Project will

support additional information dissemination and training activities to ensure the environmental requirements and the EMP provisions would be fully implemented. 8. Environmental Guidelines. Environmental Guidelines (EG) include: (i) procedures for environmental site assessment and baseline analysis; (ii) potential environmental and social impacts of the construction of biodigesters and their operation; (iii) mitigation measures; and, (iv) monitoring activities. 9. Potential environmental impacts. Although most Biogas renewable energy technologies are environmentally sound, all of them can have negative impacts on the environment if poorly planned and implemented. Possible adverse environmental impacts related to construction activities are the following: (a) Dust and noise due to the construction activities; (b) Dumping of construction wastes, accidental spillage of machine oil, lubricants, etc. During operation phase the potential impacts are associated with air, soil and water pollution. All these impacts are expected to be easily mitigated through a good projects design, adherence of technological process and implementation practices. 10. Potential social impacts. The project does not entail any direct negative social risks as its implementation does not presume any job losses/ resettlement issues. On the contrary, the project will create additional employment and respectively on-farm net income and income in localities. 11. Mitigation measures. Mitigation measures during construction phase will relate mainly to appropriate construction waste handling and dust and noise prevention. Mitigation measures during operation phase will be directed mainly at the prevention of soil and groundwater pollution linked to temporary manure storage capacities and bioigesters loading tank, prevention of air pollution by methane emitting form manure storage facilities and biogas storage system, from raw gas leakages, and occupational safety. All these are provided in details in Annexes 4 and 5 of the document. 12. Monitoring. The monitoring section of the EG provides an information on parameters that have to be monitored, monitoring frequency, institutional responsibilities, etc. both during construction and operational phases of projects implementation to (i) ensure early detection of conditions that need particular mitigation measures, and (ii) furnish information on the progress and results of mitigation. The EG provides also tentative Monitoring Plan (presented in the Annex 6) as well as monitoring implementation schedule and reporting. 13. EMP disclosure and consultation. EMP disclosure occurred on March 1, 2010 through EMP Summary posting on the PMT office website (www.molodvapops.md). Consultation meeting took place on March 9, 2010 at the MOEs premises. At the consultation meeting were present representatives of the PMT and CFU Offices, Ministry of Environment, Ministry of Agriculture and Food Industry, State Ecological Inspectorate and NGOs. During the consultation, the Client informed the public about the project, EG, potential impacts which may by generated by project activities, measures to be taken to prevent/ mitigate potential impacts and monitoring activities. The participants agreed with the EMP provisions.

Introduction The proposed Environment Management Plan (EMP) aims to manage effectively potential negative impacts which may be generated during installation and operation of on-farm biodigesters. It includes a brief overview of applicable laws, policies on environment procedures for Environmental Assessment and environmental management, institutions involved in EA and environmental management, and their responsibilities, as well as Environmental Guidelines (EG), specifying identification of potential environmental and social impacts, relevant mitigation measures, and monitoring procedure. The proposed EMP is not site specific and will be updated as needed during project implementation when the details about the specific farms/sites where the two pilot biodigesters will be installed and certain technical design details will become known. EMP includes Environmental Guidelines specifying the following issues: (i) Procedure for site specific EMP design and approval; (ii) Potential impacts associated with biodigesters construction and relevant mitigation measures, and (iii) Monitoring activities. 1. National Environmental Policies and Environmental Assessment Legal Framework The national policy and legal basis for environmental protection and EA is fairly comprehensive. It includes a set of policies, strategies, international treaties, laws and regulations, and there is a general opinion that this framework is sufficient to address effectively the countrys environmental issues. 1.1 National Policies, Strategies and Programs Concept of the Environmental Policy (approved in 2001). The goals of environmental policy are: prevention and mitigation of negative impacts on the environment, natural resources and public health. The policy calls for serious steps towards energy efficiency improvements, energy conversation measures and use of renewable energies in order to combat the climate change. Energy Strategy until 2010 (approved in 2007). The strategic goals of the energy policy are: increase of energy efficiency and energy supply, ensure of energy safety and environmental protection. The main goal of the energy policy in relation to environment is decrease of impacts generated by energy production and energy use on environmental conditions. This goal can be achieved including at the expense of increase of specific volume of energy from renewable sources. The Strategy also focuses on introducing of low polluting energy technologies aimed at prevention and minimizing of environmental pollution, and declares that increase of use of renewable energy will contribute to decrease of dependence on imported energy resources. National Strategy for Sustainable Development of Agro-Industrial Complex in Moldova (2008-2015). The Strategy aims at creation of favorable conditions for sustainable development of agro-industry, integration of Moldovan economy into European one, food safety ensuring and poverty reduction. The Strategy calls for use of renewable energy in agricultural sector.

Strategy for Development of Industry until 2015 (approved in 2006). The main goal of the Strategy is to create effective, competitive, and technologically advanced industrial sector. One of the conditions for implementation of the Strategy is adherence to the environmental protection requirements and widespread implementation of ecologically poor industries. In relation to the field, among priority measures for Strategy implementation is supporting of non-polluting technologies, strict state control over labor safely, and conducting of a state ecological expertise of all investment projects and project documentation which can affect environmental conditions regardless of their destination, sitting, ownership and mode of financing. National Program on Energy Efficiency 2003-2010 (approved in 2003). The Program calls for efficient energy use and widespread development of renewable energy sources. National Program on Ecological Safety (approved in 2003). Ecological safety involves prevention and mitigation of impacts from industry, agriculture, power engineering, transport etc. and from waste generation. 1.2 Conventions and Protocols Moldova is part of the following international treaties which have stipulations related to EA issues: Convention on Environmental Impact Assessment in a Transboundary Context (Espoo, 1991). ratified by the Parliamentary Decision Nr. 1546-XII as of June 23 1993 o Protocol on Strategic Environmental Assessment (Kiev, 2003) under the Espoo Convention, signed on May 21 2003 United Nations Framework Convention on Climate Change (Rio de Janeiro, 1992), ratified by the Parliamentary Decision Nr. 404-XIII as of March 16 1995 o Kyoto Protocol (Kyoto, 1997) under the Convention on Climate Change, adopted by the Law Nr. 29-XV as of February 13 2003 Convention on Access to Information, Public Participation in Decision-Making Process and Access to Justice in Environment (Aarhus, 1998), ratified by the Parliamentary Decision Nr. 346-XIV as of April 7 1999 o Protocol on Pollutant Release and Transfer Register (PRTR) under the Convention on Access to Information, Public Participation in DecisionMaking Process and Access to Justice in Environmental matter, signed on May 21 2003 Convention on Protection of the Ozone Layer (Vienna, 1985), adopted by the Parliamentary Decision Nr. 966-XIII as of July 24 1996 o Protocol on Substances Depleting the Ozone Layer (Montreal, 1987) under the Convention on Protection of the Ozone Layer, adopted by the Parliamentary Decision Nr. 966-XIII as of July 24 1996 Convention on Transboundary Effects of Industrial Accidents (Helsinki, 1992), adopted by the Parliamentary Decision Nr. 1546-XII as of June 23 1993 Convention on Biological Diversity (Rio de Janeiro, 1992) ratified by the Parliamentary Decision Nr. 1546-XII as of June 23 1993.

1.3 Environmental Assessment Legislation Starting from 1992, Moldovan environmental authorities have developed a series of laws and regulations which stipulate in detail all aspects of the Environmental Assessment procedure. These are: Law on Environmental Protection (1993); Law on Environmental Expertise (SEE) and Environmental Impact Assessment (EIA) (1996); Guidelines on Performing State Environmental Expertise (1995); Regulation on performing State Ecological Expertise (2001); Regulation on Public Participation in Environmental Decision-Making (2000). Brief overview of relevant laws and regulations is provided below. Law on Environment Protection (1993). This is a basic law that provides general framework for the environment protection in Moldova and options for sustainable development. The central environmental body shall conduct state environmental expertise which is exclusive area of its responsibility and competence; ii) prohibit and/or suspend the construction and reconstruction of industrial, agricultural and other facilities and activities which tend to use natural resources. State Ecological Expertise should be conducted for construction, extension, reconstruction and modernization of any economic and social facility and activity (except administrative and military ones) that may cause negative impact to the environment. Law on Ecological Expertise and Environment Impact Assessment (1996). The law determines goals, objectives and principles of the State Ecological Expertise (SEE) and Environmental Impact Assessment (EIA), as well as fundamentals of both procedures. The SEE aims to: (a) prevent and minimize the potential of the direct, indirect, or cumulative impact of new economic activities on the environment, ecosystems, and human health; and, (b) to assess from this perspective all economic activities, separately or as a whole, which could affect the environment, human health, or living standards in the present or future. Decision on ecological expertise can be considered as the basis for approval or refusal of project documentation. Ecological expertise is conducted prior to making decision on planned economic activities, and is mandatory for all economic activities which may have likely negative impact on environment regardless their destination, ownership, investments, location, source of financing etc. A special Annex to the Law on SEE and EIA contains Regulations on Environmental Impact Assessment. It establishes the goal of preparing of documentation on EIA, main requirements on EIA content, order of elaboration and submission documentation on EIA, state ecological expertise of the EIA documentation, decision on a state ecological expertise of EIA documentation as well as provides a list of objects and types of activities for which carrying out of EIA is mandatory prior to technical design. Instructions on Order of Organization and Conducting of the State Ecological Expertise (2003) defines comprehensively the goal, objectives and principles of SEE which applies for any new construction, facilitys modernization and up-grading at the stage when design documentation is prepared. The Guidelines stipulate the structure and function of the process, procedures for submitting of project documentation, and review procedures. The guidelines are also accompanied by a series of annexes on such topics as requirements for project documentation submitted for SEE; the subdivisions responsible for SEE of various types of 8

projects; requirements for every chapter (or volume) of project documentation; projects that require a separate chapter on EIA at the design stage, etc. Regulation on Public Participation in Environmental Decision-Making (2000). The Regulation was developed to support implementation of the Aarhus Convention on Access to Information, Public Participation in Decision-Making Process and Access to Justice in Environment ratified by Moldova in 1999); the Regulation is based on items of chapter III of the Law on Ecological Expertise and Environment Impacts Assessment (1996) and articles 3 and 30 of the Law on Environment Protection (1993). 1.4 Other Environmental and Sectoral Laws Applicable for the Projects Environmental Management This section briefly describes other laws which may have a relevance to the Projects environmental management. Law on Renewably Energy (2007) regulates activities in the field of renewable energy. The goal of the Strategy is ensure energy safety and decrease of negative impacts from energy sector on environment. State policy targets in the field of the renewable energy sources are: increase of diversity of local primary energy sources by 2010; ensure share of renewable energy of 6 percent in the structure of energy produced from traditional sources, and by 2020 - 20 percent. Water Code (1993). This law provides the general legal framework for water use, control and protection. Protective measures must be taken toward water body in relation to sitting, construction and operation of any facility or activity. It is prohibited to construct and put into operation facilities which do not pass through the ecological expertise, or which are not equipped by water protection facilities. Law on Air Protection (1997). The main objectives of the Law are maintenance of clean air, improvement of air quality, prevention and mitigation of harmful physical, chemical, and biological impacts on air quality, and accordingly, protection of human health and environment. Law on Permitting of Certain Kinds of Activities (2001). The Law aims to ensure state control over compliance with requirements and conditions to be adhered while fulfilling certain activities. It determines legal, organizational and economic basis for certain kinds of activities and establishes kinds of activities which require permits. Particularly, kinds of activities which require permits are production, transportation, dispatching, distribution, and delivery of electrical energy both on regulated and unregulated tariffs. Land Code (1991). The Land Code states that land conservation should be a priority while implementing any kind of activities. Law on Production and Consumption Wastes (1997). The Law provides basic principles in the field of waste management generated during production and consumption processes, and aims to reduce wastes and prevent environmental pollution. Law on Standardization (1995) proclaims standardization as one of major factors in developing of national economy and environmental protection aimed at protecting of 9

consumers rights, ensuring quality of products, processes and services, safety, health and environmental protection, and establishes the process and procedure for developing and approving national, sectoral, media and product standards. The Law stipulates the following standards in Moldova: national standards, professional standards, and standards of firms. Other standards include: technical regulations, medico-biological regulations, sanitary norms, sanitary-hygiene norms and rules, environmental protection norms. It also stipulates that the above standards and norms shall be based on the latest achievements of science and technology, international and regional standards, etc. The Law also stipulates that each ministry, agency and economic object, irrespective of the form of ownership, shall have a unit responsible for standardization process and compliance. Law on Power Engineering (1998) establishes basic principles of activities of energy enterprises and fundamentals of securing safety operation of energy enterprises The Law on Taxes for Pollution of the Environment (1998). This Law refers to the penalties for the discharge of pollutants into the environment. The law indicates that penalties for pollutants released into sewage facilities and on filtration fields are to be imposed on the base of the total volume of water allocation. The Law also provides norm for fees counting for pollutants released from cattle, pig and poultry farms into septic tanks as well as for collection and storage of other solid wastes, including toxic ones. Law on Safety of Dangerous Industrial Objects (2000). The Law establishes legal, economic and social aspects of safety operation of dangerous objects/ enterprises and focuses on prevention of industrial accidents, cessation, minimisation and liquidation of accident consequences, and protection of environment and population. Technical installations/ devices used at the dangerous objects/ enterprises shall be a subject of compulsory authorization and comply with industrial safety requirements. Law on Quality in Construction (1996). The Law stipulates that constructions should comply with the following requirements: resistance and stability; fire, hygiene and environmentally safety, etc. Construction, repair/renovation and other related works have to be implemented only in accordance with project documentation developed by physical and juridical persons authorised for such kinds of works and verified by the authorised specialists in the field; design and construction of buildings is implemented by physical and juridical persons licensed for activity in the field. The Law on Grounds of Town-planning and Territorial Development (1996). Local public administration shall provide permits for operation of facilities as well as for change of the facilities location. Assessment of potential environmental impacts and the provision of ecological expertise are to be conducted in accordance with the Law on Ecological Expertise and Environmental Impact Assessment. Law on Sanitary-Epidemiological Protection of the Population (1993). It is an umbrella law ensuring sanitary-epidemiological safety of the population. The Law stipulates that planning and construction should envisage a creation the most favorable conditions for living and health of population, improvement of localities, prevention and liquidation of harmful effect on human health.

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Law on Access to Information (2000) regulates different aspects of informational management, including rules and regulations of informational exchange. 2. World Bank Safeguards Policies 2.1 Overview of World Banks Safeguard Policies There are ten key Environmental and Social World Bank Safeguard Policies which are intended to ensure that potentially adverse environmental and social consequences of the projects financed by the Bank are identified, minimized and mitigated (Environmental Assessment (OP/BP 4.01), Natural Habitats (OP/BP 4.04), Forestry (OP/BP 4.36), Pest Management (OP 4.09), Physical Cultural Resources (OP/BP 4.11), Indigenous Peoples
(OP/BP 4.10), Involuntary Resettlement (OP/BP 4.12), Safety of Dams (OP/BP 4.37), Projects on International Waterways (OP/BP 7.50), Disputed Areas (OP/BP 7.60), and Disclosure Policy (BP 17.50). The World Banks Safeguard Policies has a three-part format. These are i)

Operational Policies (OP) - statement of policy objectives and operational principles including the roles and obligations of the Borrower and the Bank in relation to particular environmental and social issues; ii) Bank Procedures (BP) - mandatory procedures to be followed by the Borrower and the Bank, and iii) Good Practices (GP) - non-mandatory advisory material. 2.2 World Banks Safeguard Policies triggered by the Project Environmental Assessment (OP/BP 4.01). While the project will bring mostly positive impacts related to methane capture and pollution prevention, it might also cause some adverse impacts as the result of civil works (dust and noise; dumping of construction wastes, accidental spillage of machine oil, etc) on the two pilot sites for biodigester installation. Based on that, this OP is triggered. This Policy aims to ensure that projects proposed for Bank financing are environmentally and socially sound and sustainable; to inform decision makers of the nature of environmental and social risks. In spite the project will bring mostly positive environmental and social impacts related to methane capture and pollution prevention, electricity generation, increasing the employment rate, etc. Taking into account that the final selection of the project sites for installing the two pilot biodigesters will be known at the later stage of the project design, a site specific EMP for these particular biodigesters will be prepared later on. The installation of biodigesters will be done exclusively within the area of existing livestock farms of the willing participating farmers, thus there will be no temporary or permanent loss of agricultural lands and/or involuntary resettlement and respectively the OP 4.12 is not triggered. Disclosure Policy (BP 17.50). This policy supports decision making by the borrower and Bank by allowing the public access to information on environmental and social aspects of projects and has specific requirements for disclosure. For all Category A and B projects proposed for WB financing, during the EA process, the borrower consults all involved parties, including project-affected groups and local nongovernmental organizations (NGOs) about the projects environmental aspects and takes their views into account. The borrower initiates such consultations as early as possible. For meaningful consultations between the 11

borrower and project-affected groups and local NGOs, the borrower provides relevant material in a timely manner prior to consultation and in a form and language that are understandable and accessible to the groups being consulted. Any Category B EIA report is made available to project-affected groups and local NGOs. Public availability in the borrowing country and official receipt by the Bank of any Category B EA report for projects proposed for WB funding, are prerequisites to Bank appraisal of these projects. This EMP was disclosed and consulted in the country and disclosed in the WB Infoshop before the project appraisal, while site the specific EMPs to be further developed will be disclosed and consulted in the country and in the WB Infoshop before the civil works will start. 3. Institutional Framework for Environmental Assessment The competent environmental assessment authority in Moldova is the Division of the State Ecological Expertise and Environmental Authorizations (SEEEA) within the State Ecological Inspectorate (SEI) which is a subdivision of the Ministry of Environment (MOE). It incorporates dual functions. As a main administrative body, it is responsible for organizing and coordinating the SEE (according to the Article 7(2) of the Law on EE and EIA. As an expert body, it is responsible for reviewing project documentation for planned activities and making decision whether or not they may be implemented. The Division on SEEEA is also responsible for control and supervision of the SEE procedures. New national policies, programs, plans, as well as laws and regulations in those parts which have a relevance to EA are developed and/ or reviewed by the experts of the MOE. 4. Project Description 4.1. Project Objective The projects objective is to pilot use of animal manure for on-farm biogas and electricity generation through introduction of an innovative, environmentally friendly technology. The project will provide an integrated approach to piloting the use of biogas and will contribute to the reduction of climate change effects and of water resource pollution, bringing benefits to the farming sector through improved manure management practices and to the energy sector through the introduction of environmentally friendly energy installations. 4.2 Project Components The Biogas Generation form Animal Manure Pilot Project consists of five components: Component 1: Enabling legislative and policy environment that includes: (i) certification and licensing of biodigesters for use in Moldova, including the development of the necessary supporting legal framework; and (ii) cooperation with the countrys energy regulator to allow smaller electricity producers sell surplus electricity into the national grid. Component 2: Technical assistance, capacity building and awareness raising on sound animal waste management, and animal manure-based biodigester and electricity generation technologies will contribute to promote sound animal manure management practices and 12

mainstreaming of the use of biodigester technologies, the activities will include capacitybuilding, by mobilizing international expertise and best-practice transfer, including: (i) training of farmers in sound manure management practices; (ii) training of a number of local engineers in the installation and operation of biodigesters to enable them to work independently in scaling up the generation of biogas and electricity after the project closes; (iii) training of the participating farmers in the proper operation of biodigesters; and (iv) ensuring broader awareness raising in the animal producer community through a series of seminars and demonstration activities, to disseminate information on the benefits of biogas and electricity generation from animal manure. Component 3: Technical assistance and capacity building on local manufacturing of biodigesters will assist local producers with knowledge transfer and capacity building in various biodigester and co-generation equipment technologies in order to reduce the investment cost, biodigesters will be manufactured locally to ensure affordability and accessibility of biodigesters for a wider farmer population. Component 4: Biodigester Investment Grants. Investment grants to test and pilot biodigester technologies will be carried out on livestock farms where the small carbon emission reductions prevent them from obtaining co-financing investments from carbon benefits. At the same time, cattle farms form a large share of Moldovas animal farms and contribute to a number of environmental issues. The component will be supported by an IDA loan which will make available long-term financing for investment in the various types of biodigesters. Under this component it is proposed to support installation of biodigesters on two livestock farms. Component 5: Project Management and Safeguards. 4.3 Project Coverage and Location The Component 4 of the Project which includes pilot on-farm installation of manure-based biodigesters and electricity generation will work with interested farmers throughout the country. The location for installation of the two pilot biodigesters will be determined during the project preparation. The installation of biodigesters will be done exclusively within the area of existing livestock farms of the willing participating farmers on the lands which are no used legally and illegally, thus there will be no temporary or permanent loss of agricultural lands as well as any resettlement issues. 5. Description of Typical Technology of Biogas Generation from Animal Manure 5.1 Typical Biogas Generation Facility The primary goals of biodigesters have been assumed to be the production of electricity and reducing of animal wastes as well as emission of greenhouse gases which might generate carbon credits. The biodigestion greatly reduces the emission of methane and odor as compared to commonly used manure treatment in open anaerobic lagoons, and converts the manure into a more uniform sterilized product. The footprint of an on-farm anaerobic digester depends on the scale of the facility. An average-sized on-farm biogas system, 13

including the digester and biogas utilization equipment, will occupy less than a 1/4 hectare of space. Typically, a digester can be easily integrated into farm landscapes. A biogas production facility is typically comprised of the following components: Pre-storage tanks and/or pads Grinder/mixer Digester/ Reactor tank Biogas storage Gas utilization equipment Heat exchanger unit Liquid-solid separator Post storage tanks and/or pads The digester/ reactor tank represents normally a concrete tank located underground. The common technology used in biodigesters is an anaerobic fermentation of animal wastes followed by the methane capture and its combustion in the heat generator installation. Within this tank a condition optimal for methanogenic bacteria (methanogens) is provided. There are three groups of naturally occurring bacteria that break down manure in anaerobic environments and produce methane biogas. The first group breaks down the manure into organic material. The second group uses the organic material to make organic acids. The third group completes the decomposition and creates the biogas. Manure particles that are of small, and uniform size and mixture, enhance the ability of all three bacterial groups to break down the organic matter. The most optimal temperatures for fermentation are 30-40 (for mesophilic bacteria) and 50-60 (for thermophilic bacteria). The selection of either mesophilic or therophilic regime for anaerobic biodigesters operation depends on climatic conditions. If maintenance thermophilic temperatures require significant energy costs, then the use of biodigesters operating at mesophilic temperatures will be the most efficient. Produced biogas naturally raises to the top of the biodigester via pipelines and can be collected, and then used to run a gas generator to create electricity. Biogas is a mixture of gases that is composed mainly of: methane (CH4): 40-70 vol.% (typical values for methane content for animal manure are in the range 50 to 60% CH4); carbon dioxide (CO2): 30-60 vol.% and other gases: 1-5 vol.% including hydrogen sulfide (H2S): 0-3 vol.%, hydrogen (H2): 0-1 vol.% as well as trace quantities of ammonia and nitrogen oxides. Biogas is about 20 percent lighter than air and has an ignition temperature in the range of 650 to 750C. The calorific value of biogas is about 6 kWh/m3 - this corresponds to about half a liter of diesel oil; the net calorific value depends on the efficiency of the burners or appliances. The majority of the small scale agricultural biogas production facilities are operated at mesophilic temperatures while thermophilic temperatures are usually applied in medium and larger scale biogas production facilities with co-digestion when some of the inputs are from a non-agricultural origin. Mesophilic digesters are less complicated and more easily maintained than thermophilic digesters, and have a wider range of acceptable temperature for substrate treatment. It should be emphasized also that different types of manure (cow, pig, or chicken) used for biogas production have different characteristics. Bicarbonate of soda and water can be added if nitrogen levels are too high and the manure material is too dry. Biogas 14

productivity is directly correlated also to pH/ water/ solid material ratio and carbon/ nitrogen ratio. Dependence of biogas production on composition of animal manure is shown in the Table 1 below. Table 1. Dependence of biogas production on composition of animal manure
Type of manure Total solids (TS), % Volatile solids (fermentable solids) (VS), % of TS 70-80 75-85 70-80 Biogas yield, m3/kg VS Methane content, vol.% Retention time, days

Pig slurry Cattle slurry Chicken slurry

3-8 5-12 10-30

0,25-0,50 0,20-0,30 0,35-0,60

70-80 55-75 60-80

20-40 20-30 >30

Source: Steffen et al. Anaerobic digestion: making energy and solving modern waste problem. In: Feedstock for anaerobic digestion. AD-Nett report, 2000. Potential for biogas production from animal manure is shown the Table 2 below. Table 2. Potential for biogas production
n/n 1 2 3 4 5 Livestock Cattle Pigs Sheep, goats Poultry Horses Biogas Amount Obtained from 1 kg of Biomass, m3 0.04 0.06 0,06 0,07 0,04

Source: Tacis, 1997. In: Biogas production (analysis in Georgia) Biogas effluent consists in general of 93 percent water, 7 percent dry matter of which 4,5 percent is organic and 2,5 percent - inorganic matter. Biogas slurry is rich in organics and nutrients. The percentage of NPK (nitrogen, phosphorus and potassium) content in slurry on wet basis is 0,25; 0,13 and 0,12 while on dry basis it is 3,6; 1,8 and 3,6, respectively. In addition to the major plant nutrients, it also contains micro-nutrients such as zinc, iron, manganese and copper that are also essential for plants but required in trace amounts. However, to receive high quality fertilizer from effluent requires its further refining. Effluent used as liquid fertilizers has a greater fertilizing value than enriched farm yard manure (FYM) or fresh dung. Application of compost which can be also produced from the slurry can improve soils physical structure, increase soil fertility; increase soil water-holding capacity, and enhance activity of wholesome microorganisms. Composted effluent if stored and applied properly, increases cereal crop production by 10-30 percent as compared to FYM. The application of liquid effluent has proven to be very successful on wheat, maize, cabbages, tomatoes, etc. The most responsive crops to compost are vegetables like root crops (carrots, radish, potatoes), and fruit trees. There are the following options to deal with effluents generated in on-farms biodigesters: (i) the residual water is treated and discharged into the local waste water collection system; (ii) 15

the residual water is directed to open lagoons and treated (e.g. dewatering and land application). More commonly used practices for effluents treatment in on-farm biodigesteers, are those when residual water containing sludge flows into another tank (compensation tank) where it then can be separated into liquid and solid fraction, and from this second tank the bio-fertilizer can be dried or sent as slurry directly to the lands. The effluent from a digester can be also retained in a holding pond and after treatment, used either as recycled flush water or for irrigation. Process flow diagram illustrating the process of methane capture, electricity generation and treatment of effluents is presented in the Figure 1 below.

Fig. 1 Process Flow Diagram illustrating the process of methane capture, electricity generation and treatment of effluents (source: V.Vidodo, A. Hendriadi. Development of Biogas Processing for Small Scale Cattle Farm in Indonesia, 2005) Distribution of biomethane. Biomethane can be distributed to its ultimate point of consumption by one of several options, depending on its point of origin: distribution via dedicated biomethane pipelines; distribution via the natural gas pipeline and over-the road transport (this option is neither technically nor economically feasible in Moldova). If the point of consumption is relatively close to the point of production (e.g., about 1,5 km), the biomethane would typically be distributed via dedicated biogas pipelines (buried or aboveground). Costs for laying dedicated biomethane pipelines can vary greatly however biomethane distributed via dedicated biomethane pipelines must compete with natural gas prices in the marketplace. The natural gas pipeline network offers a potentially unlimited storage and distribution system for biomethane. Once the biomethane which meets the local gas utilitys pipeline gas quality is injected into the natural gas pipeline network, it can be used as a direct substitute for natural gas by any piece of equipment connected to the natural gas grid, including domestic gas appliances, commercial/industrial gas equipment, etc. The most common types of biogas plants in developing countries, and anaerobic digestion technologies with summarized information on their principles, advantages and disadvantages are presented in Annex 1. 16

Mitigation measures to be taken while using of various technologies for construction design, manure delivery, residual water treatment, etc. which may be applicable for Moldova are presented in the Table 6 Potential Negative Impacts and related Mitigation Measures below. 5.2 Risks linked to Biodigesters Technology and their Possible Solutions Investment Cost. There will be determined technology to be applied and available on-site conditions including existing local infrastructure to assess investment cost. In future, while implementing the project throughout the country, biodigesters manufactured locally and sale of carbon credits will reduce investment cost. Stable Manure Flow. The biogas production relies on the supply of manure from the livestock farms and is, hence, directly dependent on the supply of livestock. For example, if a farm experiences financial difficulty due to a depressed domestic animal market, the logical recourse might be closure. This action would terminate the flow of manure to any adjacent biodigester. The biodigester would be unable to function properly without permanent manure flow while transportation of manure from other livestock farms would likely be prohibitively expensive. To be economically feasible, the capacity of facility should be assessed properly to correspond as much as possible to manure flow from farms available for biodigestion. So, it is essential to ensure that the digester is large enough to contain all the material that will be fed through in a whole digestion cycle. One solution is to use a double digester, consuming the waste in two stages, with the main part of the biogas (methane) being produced in the first stage and the second stage finishing the digestion at a slower rate, but still producing another 20 % or so of the total biogas. Another solution might be a connection of private and common household waste treatment facilities situated near to biogas plant, if appropriate. Risk linked to stable manure flow might me reduced through contracts with other farms/ farmers to ensure regular supply by manure. Temperature. For biodigesters, methanogenic microbial growth (hence, activity) takes place between 10 and 45 degrees Celsius and optimal growth takes place between 30 and 35 degrees Celsius. Within these temperature ranges emissions vary greatly. Thus, external temperature changes, diurnally or annually, can seriously affect the amount of methane produced. To be economically feasible, the minimum average substrate temperature is between 20oC and 28oC. In Moldova, winter temperature can reach -20-25oC which would require all piping to be insulated and a heat exchange system for the digester. Substrate temperature can be more efficiently maintained if the digester is located close to the source of the raw material and the warmth of the animals bodies is retained. A biogas hot water boiler is also an effective means of maintaining the digesters ambient temperature. Heated water can be pumped through pipes within the digester, at the most 20% of the biogas will be expended to maintain the required reactor temperature. This loss can be also combated by the saving accrued through building of a appropriated sized digestion tank
Manure Properties. The constituent properties of the manure are affected by the feeding regime

for the animals (the amount of elements such as nitrogen in the feed is reflected in the manure; similarly, if the animals are treated with antibiotics this will be reflected in the manure and, hence, the health of the digesting bacteria.). This, in turn, affects bacterial activity and the manure gas production potential. Variability of emissions throughout the manure handling process introduces a great deal of complexity (particularly, when formulating a GHGs reduction strategy). 17

Toxic substance. Biogas contains hydrogen sulfide (H2S). The hydrogen sulfide genearation is a critical factor for biogas technologies which causes severe problems with the gas processing equipment. If the levels are too high, damage to gas treatment equipment is severe and costly, and therefore it must be removed as much as possible before reaching the gas processing equipment. For farms adding substrates with very high sulfur content, additional gas cleaning equipment must be provided. 6. Countrys Baseline Conditions and Sectoral Issues 6.1 Baseline Conditions Population: The countrys population is 3,419 million people; the share of urban population is 41%, rural - 59%. The gender ratio is 48% -males; 52% - females. Location and landscape. Moldova is situated in the southeast of Europe between the Carpathian Mountains and East-European Plain. Its territory lies within Dniester and Prut Rivers. The countrys area is 33,846 thousand km2 and it is of 350 km length and of 150 km width. The highest point (429,5 m) is in western part of the Codru and the lowest point (4,5 m) in extreme south of the country. Climate. Moldova has a temperate continental climate which is formed mainly by the Atlantic air mass from the west, the Mediterranean air mass from the southwest. It is characterized by short mild winters and long hot summers. Soils. Generally Moldova has the best in Europe soils for agricultural production and the most productive soils - chernozems which are found in the northern and central parts of the country, and cover 75% of all agricultural land. Water resources. Surface waters occupy about 3 percent of the countrys total area. They are mainly (90%) formed by the transit flow of the Dniester and Prut rivers, both originating in the Carpathians in Romania and in Ukraine, respectively. The internal rivers network consists of nearly 3,300 water courses with a total length of 16,000 km. In Moldova, there are 57 natural lakes with total surface of 62 km2 and about 3500 big and small water reservoirs with total surface of 333 km2; the estimate total storage capacity of small water reservoirs is about 1,5 billion m3. Groundwater. Ninety percent of Moldovas groundwater resources attributes to deep aquifers. Deep groundwater, especially from the lower Baden Sarmatian aquifer, underlying the entire country, is an important source of domestic and industrial water. Shallow groundwater is a major drinking water source for 50% of rural population Geology and seismology. Moldova is a zone of articulation of tectonic platforms. Most of the country is on the southwestern margin of the East-European Pre-Cambrian platform. Seismic activity in Moldova is as a result of recent movements in the earth's crust of the Carpathian Mountains. Southern part of the country is a subject of probable 8-point earthquakes on the Richter scale, northern part and the Dniester left-bank area - 7-point, and the rest of the country - 6-point. 18

Land resources and land use. The Moldovas land resources have a few distinctive characteristics, namely: (i) the prevalence of rich chernozem soils, with high productive potential; (ii) the intensive land use (ca. 75%); and (iii) a fragmented landscape: 80% of agriculture land is situated on the slopes. In 2007, the actual use of land in agriculture was 74% which is the highest percentage in Europe. Mineral resources. Moldova does not have major mineral deposits but natural resources include deposits of gypsum and other raw materials for construction industry, as well as small reserves of oil and gas, lignite and iron ore. Biodiversity. The geographical location of the country provides conditions for rich biodiversity. However, extensive land use and environmental pollution adversely affect the biodiversity. Remained natural and near-natural ecosystem covering about 20 percent of the territory are very fragmented and are at a permanent risk of man-induced impacts. Vegetation and flora. The vegetation resources of the Republic of Moldova can be categorized as forest, steppe, meadow, aquatic and marsh ones. The flora of the Republic of Moldova comprises 5513 indigenous species, including 1832 vascular plants species. The highest specific richness is associated with forest communities (over 850 species), followed by meadow (about 650 species), steppe (over 600 species), and aquatic and march ecosystems (about 160 species). Fauna. The fauna of Moldova comprises 462 species of vertebrates and ca. 15,000 species of invertebrates (mostly represented by insects -12,000 species). Among vertebrates, there are 71 species of mammals, about 285 species of birds, 14 species of reptiles, 13 species of amphibians and 79 species of fish. Air quality. The energy and heat generation sector is by far the biggest contributor (about 80 per cent of total atmospheric emissions). The main sources of air pollution are thermal and power plants (35-40 percent), residential heating systems, motor transport and industrial activity. At present, 2,289 stationary sources are registered in the country, including three power and heat generation plants; 68 rayonal and 1,645 local boiler houses; 529 gasoline and gas stations, and 24 big fuel storage sites. There are 9 zones of increased air pollution representing the main urban and industrial areas (these are towns Chisinau, Bender, Cahul, Ribnita, Soroca, Balt, Edinet, Tiraspol, and Rezina). Within last decades, the ratio of the main three gases with greenhouse effect (CO2, CH4, N2O) expressed in tCO2e, shows a relative decrease in carbon dioxide and an increase in methane emissions. Animal wastes. In 2007, the number of cattle was 232 thousand capita, pigs - 299 thousand capita, sheep and goats - 853 thousand capita, horses - 58 thousand capita, poultry - 17 million capita of poultry. In 2007, the estimated volume of the produced animal manure was 15890900 cubic meters. The breakdown of estimated volume of the animal manure in 2007 is presented in the Table 3 below. Table 3. Estimated annual production of livestock waste

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Livestock

Cattle stock

Daily Waste Produced (l/day/ capita) 42* 4,5* 27** 1,8* 0,1**

Cattle Pigs Horses Sheep/ goats Poultry Total

232000 299000 58000 853000 17000000 18442000

Yearly Volume of produced waste (m3/year) 9744000 1345500 1566000 1535400 1700000 15890900

Dry Matter (%)

Animal Solid Waste (tons/year)

9* 6* 9** 10* 55**

877 81 141 154 953 2206

* Source: Tacis project Prut River Tributaries . Nutrient Management Study, 2001. ** estimate data

Animal waste significantly contribute to groundwater and surface water pollution mainly by nutrients, organic matter and pathogenic microorganisms when it is improperly stored or left uncovered, and applied in the fields. Within last decades, the nature of farming activity in the country has changed from intensive farming to keeping of a small numbers of animals by individual households, and on mainly small farms. Groundwater pollution. In rural areas, improper waste disposals, application of fertilizers, improper raw animal manure handling and application, and household septic tanks are the main sources of the microbiological, nitrate, and heavy metals contamination of the groundwater. 6.2 Economy Moldova remains one of the poorest countries in Europe. In 2008, GDP per capita was at the level of 2400 US dollars. The economy depends heavily on agriculture, featuring fruits, vegetables, wine, and tobacco. Agriculture is the mainstay of the Moldovan economy, in 2008 accounting for about 22 percent of GDP while industry 18 percent. Poverty is most severe in rural areas, where 59 percent of the population lives accounting for 68 percent of total poverty. In the total agricultural production structure, the share plant production makes 52%, animal production 42%. The structure of the animal production is presented in the Table 4 below. Table 4. Structure of the Animal Production
Animal production, of which Production of livestock and poultry, of them: cattle Pigs sheep and goats poultry Milk Eggs Wool 41,9 21,6 3,2 11,5 0,5 6,4 13,3 5,4 0,1

Source: National Bureau of Statistics, 2008 6.3 Energy sector 20

Moldova is almost totally dependent on the imports of fossil fuels. The country imports both primary energy resources (natural gas, petroleum products and coal) and electricity. Nearly half of the energy import is natural gas, about 25% are liquid fuels, and the rest is mainly represented by electricity and coal. Most energy resources (over 70%) are used for electricity and heat production. During the last decade, only about 4% of the consumed energy was covered from internal sources. The rest of 96% of primary and electrical energy was imported: natural gas from Russia, electricity form Ukraine (30%), Romania (10%), Transnistria (30%), and only 30% of electricity was produced from internal sources. Moldova has minimal oil and natural gas reserves. A small coal industry produces low-grade bituminous coal. The majority of the population lives in rural communities, where living conditions are especially difficult in the cold winter months. In rural area, traditionally, coal and firewood is used for heating. Price of fuels, including coal, increased dramatically resulting in collapse in coal consumption. Total countrys hydropower potential is estimated at 2,100 GWh/year. Moldova has a potential for production of energy from renewable sources however common use of these technologies linked to lack of funds and skill. The technical potential of the renewable energy sources available in Moldova was estimated at 2,7 tCO2 from which biological sources including manure - 0,5 tCO2, hydropower - 0,3 tCO2, solar - 1,2 tCO2, and wind - 0,7 tCO2 (source: Energy Strategy of the Republic of Moldova until 2020). 7. Environmental Guidelines 7.1. Environmental Guidelines Scope Environmental Guidelines is a document which contains specific measures to be followed during assessment of and potential impacts prior to project implementation to identify and mitigate environmental risks. Although most renewable energy technologies are environmentally sound, all of them can have negative impacts on the environment if poorly planned and implemented. These guidelines are specifically intended for systems in which a process of anaerobic bacteriological fermentation (anaerobic digestion) converts a manure into a biogas and consider environmental impacts associated with the processes of anaerobic digestion and biogas collection. The document do not takes into consideration potential impacts associated with the agricultural activities that originate the organic waste used for anaerobic digestion. 7. 2 EMP Approval Procedures As mentioned above, site specific EMPs for two pilot biodigesters will be prepared once the sites for project locations will be selected and concrete technology to be used for biogas generation will be identified. According to the national requirements, biodigester construction project is a subject of the State Ecological Expertise (SSE) before implementation. Hence, procedure for the national 21

EMP approval will consist of the following steps: Step 1. Getting location approval. Project applicant submits project proposal/description to the local Council (where the facility will be located), gets approval of its location and proceeds with the project design. Step 2. Preparing the EMP. Once the project proposal receives mentioned above approval, the applicant shall hire a consultant to develop site-specific EMP on his/her behalf using this EMP as a format with considering of features of the territory where the biodigester will be located and biodigester technology to be used (items to be addressed while conducting a baseline analysis and updating the EMP in relation to the concrete territory where the biodigester will be placed are provided in Annex 2); Step 3. Getting operation permits. The applicant shall initiate obtaining of permits/ endorsements from all concerned institutions which will form a part of project documentation to be submitted for SEE.
Notes: i) The applicant is responsible for obtaining all relevant permits; ii) Institutions issuing relevant permits are: SEI (pollutants in effluents and emissions to air; volume of discharged wastewater, water use from surface and underground sources); Agency for Geology and Mineral Resources (numerical limits for abstraction of underground water), Agency Apele Moldovei (numerical limits for abstraction of surface water); local public authorities (construction certificates), Ministry of Health (resolution of sanitary inspection); Ministry of Construction and Regional Development (certificate of compliance of the equipments technical conditions with national standards in force), etc.

Step 4. EMP disclosure and consultation. When the EMP is ready, the borrower organizes its disclosure and public consultation with stakeholders (potentially affected groups, NGOs, etc.). For this purpose, the EMP have to be submitted to the local authorities they to provide access to EMP in a publically accepted manner. After the consultation, the consultant incorporates received recommendations into the EMP.
Note: Formal minutes of the consultation meeting recording the participants as well as recommendations raised towards EMP should be prepared by applicant. Before disclosing the draft EMP the document should be submitted to the WB for no objection.

Step 5. State Ecological Expertise. The EMP should be included in those chapters of project design documentation which contain environmental protection information. Project documentation will include also description of the technical conditions for project design, its location and map-scheme, engineering provisions, description of technology, equipment, etc. This documentation as well as permits/ endorsements and public consultations minutes are submitted to SEI for conducting of SEE.
Notes: i) if the biodigester technology was not applied in Moldova before, then it is a subject of prior formal approval of the Institute of Ecology which has to be included in the set of documents submitted for the SEE; iii) if the biodigester equipment is imported in Moldova, the detailed description of biodigesters technological process and its environmental safety from the foreign company has to be provided.

Step 6. Project implementation. Once a positive decision of the SEE on project documentation, and respectively, EMP is approved, the project can be commenced.

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The approved EMPs are disclosed in the country and will be used for further project implementation. The EMP is to be also disclosed in the WB Infoshop.

7.3 Potential Environmental Impacts and proposed Mitigation Measures 7.3.1 General Remarks Generally, all potential project impacts could be grouped as follows: (a) impacts on the physical environment (e.g. air/ acoustic, water resources, soil, landscape/ aesthetic); (b) impacts on the biological or natural environment (e.g. flora, fauna, micro-organisms); and, (c) impacts on human socio-economic environment (e.g. in such aspects as human health, improving of living conditions in rural areas, more income, higher employment, etc.). Of particular concern will be both constriction activities which result in wastes and noise generation, and may affect workers health and those operational processes that may result in air, soil and water pollution, and those linked to labor safety. The potential negative impacts generated by project activities are expected to be easily mitigated through appropriate project design, adherence of technological process and implementation practices, so the risk from them is expected to be minimal. Properly conducted environmental supervision and monitoring as well as appropriate institutional arrangements will further reduce the risk of project environmental problems. The project does not entail any direct negative social risks during its implementation, and does not presume any job losses/ resettlement issues. On the contrary, it will create additional employment and respectively income in localities. 7. 3.2 Positive Impacts The project will generate numerous positive environmental and socio-economic impacts. The main advantages of the biogas production are: uses of a renewable fuel; use of non-polluting waste utilization technology which presumes consumption of methane that might otherwise leak into the atmosphere and increase the greenhouse effect; biogas can be used on a small scale, e.g. in livestock farms. Positive Environmental Impacts. Currently, animal manure is mainly stored in open anaerobic lagoons for about 3 months until it is applied on fields. Open anaerobic lagoons is a source of direct release of methane (CH4) and nitrous oxide (N2O) into the atmosphere as the result of the anaerobic digestion process that takes place inside. Besides, currently used and usually, improperly tightened open lagoons present also a severe environmental problem due to groundwater contamination and severe odor in the surroundings of the lagoons. Manure biodigesters consolidate the manure into large holding tanks, capture the methane, and burn it. Captured methane could be used to offset fossil natural gas used for heating of animal farms thus, reducing the use of non-renewable energy sources. The potential of nonpoint source pollution resulting from heavy rainfall will be also lessened since the 23

influent to the holding tank will have undergone complete digestion. Additionally, odor will be controlled since all the gas will be burned prior to release into the atmosphere. Besides, when manure is stored in pre- and post-treatment tanks it is less likely to seep into surrounding aquifers and pollute groundwater. Enclosed anaerobic digestion system for biogas production is not subject to pronounced influences of the weather, making effluents from digesters more stable and uniform than effluents from anaerobic open lagoons which are currently commonly used. The remaining, non-digestable material which the microbes cannot feed upon, along with any dead bacterial remains constitutes the digestate (slurry) which includes potentially useful materials and chemicals. To isolate and recover them the further processing is needed. Particularly, from the slurry can be obtained NPK concentrate. As compared to raw manure, the NPK concentrate has more valuable for soil nutrients (ammonia-N), is relatively odourless, free of disease, germs, weed seeds and respectively, in case of application on fields, is less prone to cause groundwater contamination. This type of waste may be used as a valuable fertilizer, rich in nitrogen, phosphorous, urea, and organic matter. It should be noted that in the past, biodigesters have been considered mainly as a way to produce combustible gas from waste organic matter. However, because of increasing emphasis on the sustainable use of natural resources in farming systems, it is now appreciated that biodigesters should be considered in a much wider perspective, and specifically in their potential role for the recycling of plant nutrients what can help to reduce dependence on inorganic fertilizers and make it easier to grow organically. Manure biodigester facilities installed at the animal farms will generate GHGs reduction. Methane (CH4) is a more severe greenhouse gas; it is 25 times more potent than carbon dioxide at trapping heat and it lingers in the atmosphere for 12 years. Methanes longevity and high infrared absorption properties contribute to about one-sixth of the net greenhouse effect. Capture of the methane in biodigester can reduce the net greenhouse gas production thus promoting the carbon trading under the Kyoto Protocol CDM. To summarize, the construction of on-farm biodigesters with connected power generation facility and effluent treatment facility will result in: (i) improvement of local waste management; (ii) improvement of local air quality through reduction of odor; (iii) reduced soil/ groundwater and surface water contamination, (iv) pathogen reduction from waste stream; (v) improvement of local nutrient management; (vi) improvement of soil fertility though application of high quality fertilizer, and (vii) reduction of GHGs emissions (mainly, CH4). Positive Socio-Economic Impacts. The project implementation will contribute to improvement in the local economy. Effluent from biodigesters (waste heat) can provide such services such as power generation that can be used on site (to heat nearby buildings, for lighting, water heaters, the manure tank itself, and for water-pumping) or sold back to the local utility. Additional income may come through reduced purchases from electric and gas suppliers because of substitution of fossil fuels and sale of high quality fertilizer. Implementation of the project will promote production of on-farm energy, contribute to development of local infrastructure; improvement of human health due to reduced impact posed by inadequate handling of manure, increased employment due to creation of new jobs, increased income of local people due to selling of increased yields from improved soils. Additional income could be also possible through production and further sale of high quality fertilizer. Use of biogas can reduce also the consumption of natural gas, coal, propane, or 24

power from commercial sources thereby reducing the running costs of operation of the power generation facility. Capture of the methane for use as a fuel can reduce the net greenhouse gas production thus providing potential opportunity for earning carbon credits under the Kyoto Protocol CDM. Hence, the project will generate revenue from greenhouse emissions offsets, promote use of renewable energy technology and create awareness among private sector businesses to duplicate similar activities throughout the country. Given biodigester technology on a wider extent, Moldova has a potential to diversify its power generating capacity thus reducing dependence on imported fossil fuels using local energy resources. 7.3.3 Potential Negative Impacts In spite, most renewable energy technologies are environmentally sound in theory, all of them can have negative impacts on the environment if poorly planned and implemented. During the construction phase, impacts can arise from improper storage and handling of construction wastes, these are also a risk of acoustic pollution and issues related to the occupational safety. During the operational phase, the most severe impacts on environment may arise from improperly maintained manure storage and processing facilities, and biogas system infrastructure. Of particular concern would be those facilities operations which may result in air pollution and explosions which can occur during raw gas leaks and generation of mixture of methane with air in limits of highly explosive methane concentrations of 5-15 vol.%. All these impacts are expected to be easily mitigated through a good projects design and implementation practices, adherence of technological process and labor discipline. As a biodigester is a closed system and treated materials are not in contact with atmosphere, the typical negative impacts can be easily minimized. Summary of biogas production positive and potential negative impacts is presented in the table 6 below. Table 6. Summary of negative and positive impacts form the biogas production
Potentially Negative Impacts Quantified - Potential increase of nutrients emissions from - Reduction of odor by on average, 80% storage facilities (mainly, of ammonia - by 10% - 100 to 1000-fold reduction in pathogens to 20%) - Reduction of viability of weed seeds 70% to 90% (resulting in less herbicide use) - Greenhouse gas reduction by 2 to 4 tones CO2 equivalent per cow per year/ biogas generation from 1 tone of manure will prevent emission of 33 m3 of methane into the atmosphere - Reduction of soil/water contamination by Biological Oxygen Demand (BOD) by 40%, and nutrients through seeping of manure Non Quantified - Generation of green renewable electricity or - Increased truck traffic (during the renewable natural gas construction phase of the project and in case - Diversion of solid and liquid organic waste of manure transportation by road vehicles) from landfills - Increased nutrient load on farmland (if offPositive Impacts

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- Rural development including investments, increased tax base, and job opportunities - Additional revenue stream for agricultural producers - Additional revenue stream from sale of produced surplus electricity into the national grid. - Improved local air quality (especially if renewable biogas is used to substitute fossil fuels) - Contribution to the value of the standing forest saved

farm waste is imported) - Potential for increased noise in the immediate vicinity - Emissions from biogas combustion (similarly with natural gas emission levels) - Risk of expulsions (through generation of mixture of methane with air in limits of highly explosive methane concentrations)

Source: G. Rogstrand, Waste Management Factsheet. Overview of on-farm biogas production. Ministry of Agriculture and Land, Canada, 2008

More details of positive environmental and socio-economic impacts arising during project implementation are provided in Annex 3, while details of potential negative impacts - in Annexes 4 and 5. Cumulative Impacts. Cumulative impacts result when the effects of an action are added to or interact with other effects in a particular place and within a particular time. Project activities may require additional water consumption which might result in some lowering of groundwater table and contribution to surface and groundwater contamination. However, taken into consideration that (i) the scale of activities will be very small; (ii) construction and operation technologies will be applied properly, and (iii) mitigative measures will be taken appropriately, cumulative impacts are not likely to be an issue for the project. 7.3.4 Mitigation Measures The EMP proposes a set of mitigation measures for both construction and operational phases. Mitigation measures during construction phase will relate mainly to appropriate waste handling management and noise prevention/ mitigation. Mitigation measures during operational phase will be directed mainly at the prevention of soil and groundwater/surface water pollution from pre- and post storage tanks and bioigesters loading tank, prevention of air pollution by methane emitting from biogas storage system, gas leakages from pipelines thus minimizing risk of exposure as well as at the occupational safety. The matrix identifying potential negative impacts which can be generation during the construction and operational phases of the project along with recommended mitigation measures are provided in Annexes 4 and 5, respectively. 7.4 Monitoring After implementation, it is important to continually monitor and evaluate the appropriateness of the mitigation measures employed. Monitoring aims to assess the compliance with the EMP and trace anticipated and unexpected environmental changes resulting from a project activity, to assess efficacy of applied mitigation measures and take corrective ones, if needed. The results have to be reviewed by the management. 26

7.4.1 Monitoring Activities The EMP provides information on monitoring activities and in particular, on: what has to be monitored, which parameters have to be monitored, monitoring frequency, institutional responsibilities, etc. at the construction and operational phases of projects implementation to (i) ensure early detection of conditions that require corrective or additional mitigation measures, and (ii) furnish information on the progress and results of mitigation activities. Any unexpected change from baseline conditions should initiate remedial action, or a change in mitigation or management approach. Performance monitoring could include both the collection of physical data, as well as input from potentially affected neighbors or parties. During construction phase emissions to air (dust and emissions for vehicles) and noise should be monitored to evaluate whether mitigation is sufficient and construction activities do not affect environment and population or workers. Anaerobic biodigesters require close environmental monitoring and also equipment maintenance. Hence, once the project is commenced the following should be monitored regularly: Ambient air quality (construction and operational phases); Construction wastes (construction phase); Noise levels at the site boundary (construction phase) Biogas pipes and storage facilities checked for leaks and corrosion (operational phase); Effluents (operational phase, if presumed by the technology). 7.4.2 Monitoring Plan Monitoring of the environmental impacts within the implementation of the project will be funded under the Project. Permanent and regular monitoring by PMT and record keeping will be required to ensure that mitigation measures are being implemented, to determine whether there are no additional environmental impacts, which were not identified or overlooked in the projects environmental assessment/ analysis. Periodic site visits will serve as the monitoring mechanism both during construction and operation phases. A sample of a Monitoring Plan for biodigesters construction is presented in Annex 6. Since it is not anticipated that the project will have a well definable decommissioning phase, monitoring activities associated with decommissioning phase were not included in the Plan. 7.4.4 Monitoring Implementation Schedule and Reporting Once the Monitoring Plan it is put in place in the context of site specific project, information gathered by PMT during the monitoring activities, as well as the action taken, or operational adjustments made should be recorded and reported quarterly to WB; these reports have to be available any time at the WBs request and to the Banks staff during supervision missions. PMT would prepare also short progress reports with regard to EMP implementation. Furthermore, the PMT will ensure annual publishing of the results of the project monitoring on the project website as well as dissemination on environmental issues related to the project to all interested stakeholders and parties (e.g. NGOs, general public etc.). 27

8. Environmental Management Plan Implementing Arrangements 8.1 Project Management Team PMT established under the MOE will serve as the implementing agency, responsible for the overall management of the project, planning and budgeting, use of funds and generation of outputs, accounting, reporting, monitoring and evaluation of the project, TORs preparation, tendering and supervision of the sub-contracts, environmental safeguards and audit of financial resources. The main objective of PMT will be regular monitoring of project activities to ensure that mitigation is carried out, and identification and assessment of unanticipated impacts. PMT will report on: (a) compliance with measures agreed with the Bank on the basis of the findings and results of the site specific EMPs,; (b) the status of implementation of mitigation measures; and (c) the findings of monitoring programs. PMT will work also in close contact with the CFU under the MOE which is a National Focal Point for implementation of Kyoto Protocol and will be responsible for BGAMPPs technical implementation. 8.2 Institutional capacity of the PMT The PMT has an assigned staff member with environmental safeguards responsibilities, and adequate experience, as the PMT is also the implementing unit for the full-size GEF POPs Stockpiles Management and Destruction Project, which is a Category A project. The results of implementation of the GEF POPs project environmental safeguards were considered as very positive. 9. Integration of EMP in project implementation The EMP provisions will be integrated into the Project Operational Manual, as well as in site specific EMPs to be prepared and used as part of all contracts involving equipment and works. The site specific EMPs will be also integrated into the construction contracts for individual sites, both into specifications and bills of quantities, and the Contractors will be required to include the cost in their financial bills. 10. EMP Disclosure and Consultation EMP disclosure occurred on March 1, 2010 through EMP Summary posting on the PMT office website (www.molodvapops.md). At the consultation meeting representatives of various ministries, State Ecological Inspectorate, NGOs, farmers, and other stakeholders were invited. Consultation took place on March 9, 2010 at the MOEs premises. At the consultation meeting were present representatives of the PMT and CFU Offices, Ministry of Environment, Ministry of Agriculture and Food Industry, State Ecological Inspectorate and NGO.During the consultation, the Client has presented the EMP Summary. Particularly, the public was informed about the project and its objective, EG, including potential impacts which may by generated by project activities, measures to be taken to prevent/ mitigate potential impacts and project monitoring, etc. The consultation meetings attendees participated actively in the discussion which was focused mainly on the biodigester technologies applicable for Moldova, affordability of biodigesters for farmers, monitoring 28

responsibilities and costs, possibility to sell surplus electricity into the national grid as well as projects sustainability. Final version of the EMP approved by WB will be posted on WB InfoShop for its disclosure and on Moldova POPs Office website. Minutes of the EMP consultation meeting with stakeholders are presented in Annex 7.

ANNEXES
to Environmental Guidelines

Content Annex 1. Types of biogas plants and Anaerobic Digestion Configurations Annex 2. Field Site Visit Checklist Annex 3. Positive Impacts Annex 4. Negative Impacts and Mitigation Measures (construction phase) Annex 5. Negative Impacts and Mitigation Measures (operational phase) Annex 6. Environmental Monitoring Plan for biodigestrers construction Annex 7. Summary of the Consultation Meeting

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Annex 1 Types of Biogas Plants and Anaerobic Digestion Configurations 1. Types of Biogas Plants The most commonly used types of biogas plants are: Fixed-dome plants Floating-drum plants Balloon plants Horizontal plants Earth-pit plants Ferrocement plants

Of these, the two most familiar types in developing countries are the fixed-dome plants and the floating-drum plants. Fixed-Dome plant consists of a digester with a fixed, non-movable gas holder, which sits on top of the digester. When gas production starts, the slurry is displaced into the compensation tank. Gas pressure increases with the volume of gas stored and the height difference between the slurry level in the digester and the slurry level in the compensation tank. Its Advantages are the relatively low construction costs, the absence of moving parts and rusting steel parts. If well constructed, fixed dome plants have a long life span. The underground construction saves space and protects the digester from temperature changes. The construction provides opportunities for skilled local employment. Disadvantages are mainly the frequent problems with the gas-tightness of the brickwork gas holder (a small crack in the upper brickwork can cause heavy losses of biogas). Fixed-dome plants are, therefore, recommended only where construction can be supervised by experienced biogas technicians. The gas pressure fluctuates substantially depending on the volume of the stored gas. Even though the underground construction buffers temperature extremes, digester temperatures are generally low. Floating-drum plants consist of an underground digester and a moving gas-holder. The gasholder floats either directly on the fermentation slurry or in a water jacket of its own. The gas is collected in the gas drum, which rises or moves down, according to the amount of gas stored. The gas drum is prevented from tilting by a guiding frame. If the drum floats in a water jacket, it cannot get stuck, even in substrate with high solid content. Its Advantages are a simple, easily understood operation - the volume of stored gas is directly visible. The gas pressure is constant, determined by the weight of the gas holder. The construction is 30

relatively easy, construction mistakes do not lead to major problems in operation and gas yield. Disadvantages are high material costs of the steel drum, the susceptibility of steel parts to corrosion. Because of this, floating drum plants have a shorter life span than fixed-dome plants and regular maintenance costs for the painting of the drum.

2. Digester Design Options There are three main types of digester design options. These are: 1. Complete Mix (CSTR) fully homogeneous contents 2. Plug Flow mimics a series of laterally mixed units 3. Lagoon energy recovery from treatment oriented design Others, less used digester types are: 1. Batch- fed reactor, such as the anaerobic sequential batch reactor (ASBR) 2. Temperature- phased anaerobic digester (TPAD) 3. Suspended particle reactor 4. Anaerobic filter reactor 5. Upflow solids reactor 6. Continuously stirred tank reactor with solids recycle 7. Upflow anaerobic sludge blanket reactor 8. Anaerobic pump digester 9. Fluidized- and expanded- bed reactors 10. Fixed film anaerobic digester 3. Anaerobic Digestion Configurations
There are various anaerobic digestion configurations available. Summarized information on the principles and advantages/disadvantages of different anaerobic treatment technology options available for methane capture is presented in the table below.

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Technology

Configuration/ Main use

Principle - Total Solids content typically 0.5 3% - Solids settle at bottom but decomposition occurs in sludge bed. - Low reaction temp. - Low mixing energy

Advantages - Low cost - Often plants have anaerobic lagoons; hence technology is existing, and so capital cost can be low

Disadvantages - Little contact of bacteria with bulk liquid occurs. - Low biomass conc.= low solids conversion - Low biogas production (in winter) - Hard to heat - Cleaning requires CAL to be taken off-line - Low conversion rate

Earthen lagoon fitted with Covered Anaerobic Lagoon or CAL (very low either a clay or polymeric liner and a polymeric floating cover rate) that collect biogas as it is produced from the wastes. Extensively used for sewage treatment and methane capture

Enhanced CAL

Similar to a covered anaerobic lagoon, except it is fitted with pipes to collect solids and pump it back to the lagoon so that there will be an increased solids retention time and mixing within the lagoon. Often enhanced CALs have heating of the solids as an option to improve performance compared to a simple CAL

- Incorporated sludge removal and recycle to increase utilization and mixing - Can handle varying manure flow

- Optimizes manure treatment and biological stabilization for odor control - Capital cost is relatively low. - Better sludge handling

- moderate rate conversion.

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Mixed Tank

The most common type of anaerobic digesters in the world. They normally operate on an intermittent feed basis, and require contact with biomass, retained in the digester. Slowly degradable substrates will require very long retention times. In largescale systems, mixing normally occurs using gas recirculation whereas mechanical mixing is used for smaller systems. The feed can be continuous, but it is usually a semi-batch system (periodic feed, with simultaneous discharge).

- Dilution to 3-10%, and continuous feed in mixed tank. -Retention of 20 days. Used across many industries -Usually mesophilic - Requires constant conversion of feed solids to anaerobic bacteria

- Established tech - Easy to control - Continuous gas production - Good conversion of solids to gas

- High mixing cost - Poor vol. loading rate - Expensive tanks - High installation cost - High energy cost due to mixing & heating - Need dilution liquid - Bedding needs milling

Contact

- retains bacterial biomass by separating & concentrating solids in a separate reactor & returning the solids to the influent. - Thermophilic or mesophilic Designed specifically for cattle manure. The digester usually is a covered anaerobic trench with horizontal flow along the trench. It usually operates at the solids content of scrapped ruminant manures i.e. 11%-13%. The system is unmixed and the gas is collected from the surface of the digester - Dilution to 15%, and feed through a liquid plug-flow reactor

- High process rate - More degradable waste can be converted to gas since substantial portion of the bacterial mass is conserved - Can treat both dilute & concentrated waste - Very high loading rates. - Continuous gas production. - Energy Recovery is optimized. - Digester dairy solids can be easily separated

- Very expensive

Liquid plug-flow (RCM)

- Need dilution liquid (Dry waste) - Poor contact with active biomass. - Bedding might require milling

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Fixed film

- High rate - Fixed biofilm

- Reduced hydraulic retention time - Reduced sludge generation

- Better suited to soluble component - Fraction of available energy is captured

Source: Assessment of Methane Capture and Use from the Intensive Livestock Industry. Australian Government/ Rural Industry Research and Development Corporation

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Annex 2 FIELD SITE VISIT CHECKLIST Project Name: Raion: Date/time of Visit: Visitors:

Current activity and site history Who is the site contact (name, position, contact information)? What is the area of the site to be used for project activities? What are current uses of the site? What were previous uses of the site (give dates if possible)? Environmental Situation

Are there sensitive sites nearby (nature reserves, cultural sites, historical landmarks)? Are there water courses on the site? What is the terrain or slope? Does the site experience flooding, waterlogging or landslides? Are there signs of erosion? What are the neighboring buildings (e.g. schools, dwellings, industries) and land uses? Estimate distances. Will the proposed site affect transportation or public utilities?

Licenses, Permits and Clearances Does the site require licenses or permits to operate the type of activity proposed? Are these available for inspection? What environmental or other (e.g., health, forestry) authorities have jurisdiction over the site?

Water Quality Issues Does the proposed activity use water for any purposes (give details and estimate quantity). What is the source? Will the proposed activity produce any effluent? (estimate quantity and identify discharge point) Is there a drainage system on site for surface waters or sewage? Is there a plan available of existing drainage or septic systems? How waste water is managed (surface water courses, dry wells, septic tanks)?

Soils What is the ground surface (agricultural land, pasture, etc.)? Will the project damage soils during construction or operations? Will the project affect the landscape significantly (draining wetlands, changing stream courses)

Biological environment Describe vegetation cover on the site. Is there information about rare or threatened flora and fauna at or near the site? If yes, would the project have an impact or increase risk to the species? Obtain a list of vertebrate fauna and common plants of the site (if available). Note potential negative impacts on biota if project proceeds.

Visual Inspection Procedures Try to obtain a site map or make a sketch to mark details. Take photos, if permitted. Walk over as much of the site as possible, including boundaries, to note adjacent activities. Note any odors, smoke or visual dust emissions, standing water, etc.

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Annex 3. Positive Impacts

Description Environmental and Socio-Economic Issues Environmental Air Improved air quality - Reduction of carbon dioxide emissions through the decreased use of coal power generation stations - Reduction of methane and nitrous oxygen emission from currently used practices of animal manure storage in anaerobic lagoons and manure handling - Reduction of impacts of transport fuel processing - Reduction of GHGs through the methane combustion - Reduction of GHGs from transport - Prevention of foul-smelling arising from currently used practices of manure storage and handling at the expense of decomposition of aromatic heterocyclic organic compounds (skatole, indole), cresols, phenols, and volatile fatty acids in close conditions - Properly applied, digester effluent reduces the likelihood of soil, groundwater, and respectively, surface water contamination: - Reduction of soil and water contamination due reduced nitrate leaching from over application of raw manure resulting in euthrophication of water bodies - Reduction of soil and water contamination by BOD, nutrients and pathogens through seepage from open anaerobic lagoons used for raw manure handling - Decrease of raw manure spread on the fields as organic fertilizer, and respectively, prevents over-application of phosphorus (since the N:P ratio in manure is lower than the crops needs, and if the application is thus based on the need for nitrogen, this can lead to an over-application of phosphorus - Application of biodigestion by-product material which is high quality fertilizer rich in nutrients, ammonia, phosphorus and potassium will provide substantial enhancement to soil fertility - Digester effluent is a more uniform and predictable product than untreated manure. The higher ammonium content allows better crop utilization and the physical properties allow easier land application. - Reduced loss of productive agricultural lands Impacts

Air/ Ozone layer Air/ Odor

Reduced air pollution by GHGs Prevention of foulsmelling Reduced contamination of soil, surface and underground and surface water quality

Soil & Water

Soil

Improved soil quality

Soil / Agricultural lands Improved soil fertility

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Biodiversity

Improved conditions of ecosystems

- Before adding to soil or animal feed, material should be tested for pesticide residue. To avoid soil alkalinization which can occur if too much fertilizer is applied to the wrong type of soil - Manure utilization for biogas generation reduces risk of water bodies euthrophication by nutrients entering surface water with surface run off and groundwater through leakages from manure storage and handling facilities and raw manure application on fields thus mitigating impact on aquatic ecosystems - Biodigesters can provide a sustainable substitute for firewood thus preventing deforestation. - Transformation of organic waste into high quality fertilizer and gas/ electricity generation contributing to environmental protection - Reduction of Depletion of fuel stocks due to decreased utilization of fossil fuels

Waste management Renewable energy

Advanced animal wastes management Rational use of nonrenewable natural resources Increasing yields of animal husbandry and agriculture (crops, vegetable, trees, and fish) Increased in net farm income Increased income of local people

Socio-Economic Agriculture

- Digestion process results in conversion of organic nitrogen from manure to ionized ammonia (NH4+) which can be used directly by plant roots - Biodigester effluent contains the organic materials that can be used also on fish farms as fertilizer

Income/ revenue

- Access to low cost gas and electricity (decrease running costs of the operation) through reduced consumption of natural gas, coal, propane, or power from commercial sources - Opportunity to offer carbon offset to customers - Increase yields of animal husbandry and agriculture - Additional revenue from more sold yields though improved soil quality by high quality fertilizer - Reduced expenditures for procurement of fertilizers through its production locally and fertilizers import substitution - Applying the benefit-sharing system in framework of commercial selling of organic fertilizer - Distribution of produced electricity through the access to grid and tariff for the electricity generated from biogas (in case of larger scale biogas production projects) - Fertilizer market - Energy market - Carbon offsets market/ GHG credits

Markets Access to new markets & revenue opportunities

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Health Improved health of population in the locality - Decrease of impact on health form contaminated water and soil as a result of application of nonpolluting technologies contributes to decrease of associated diseases (currently used system of animal wastes storage and use contributes to severe contamination of underground waters with organic and non-organic pollutants) - Improvement of hygienic conditions through reduction of pathogens, worm eggs and flies - Decrease of local health effects and disturbance arising from transport - Reduced dependence on fossil fuels - Better access to gas, electricity, heating, hot water for sanitation, lighting, etc - Decrease of home workload - High unemployment and poverty rate contributes to global warming effect through deforestation as well as to poor use of other natural resources - As far as possible local labor should be sourced to fill positions created as a result of the construction/ operation of the facility Labor conditions Improved operation conditions in farms

Living standards

Employment

Improved living conditions in the locality Increase of employment rate in the locality

- Access to the produced heat can be also used for other farm processes to heat water

Annex 4 Negative Environmental Impacts and related Mitigation Measure (Construction Phase)
Impacts Category/ Impacts Soil/ water pollution from construction site (construction wastes, sanitary facilities, transport) Issues to address i) Poor water quality used by local people for domestic purposes which can affect human health ii) Decrease of water quality in downstream aquatic ecosystems affecting the conditions of biodiversity iii) Impoverishment of aesthetic view of the site Recommended Mitigation Measures

- No waste from construction should be disposed or stored on the site/ construction waste should be collected and disposed properly - Waste generated at the site should be minimized by reusing and recycling, as far as possible - All waste that cannot be reused or recycled must be sorted at site before being suitably 38

disposed of at an appropriately licensed and registered waste disposal facility - Waste collection and disposal pathways and sites should be identified for all major waste types expected from construction activities. - Mineral construction wastes should be separated from general refuse, organic, liquid and chemical wastes by on-site sorting and stored in appropriate containers
- Ensure secure storage of materials on site particularly hazardous materials e.g. chemicals and fuels - Hazardous waste generated at the site should be disposed at a suitably licensed hazardous waste disposal facility - No cement / concrete mixing are to take place on the soil surface. Cement mixers are to be placed on large trays to prevent accidental spills from coming into contact with the soil surface - Cement or concrete residue on vehicles should not be washed of into the storm water system on site. - No waste from construction or otherwise, may be disposed of anywhere on site - The records of waste disposal will be

maintained as proof for proper management as designed.

- Adequate litter drums or other suitable containers must be located on site to ensure that waste generated on site is disposed in a suitable and timely manner - Access to suitable sanitation facilities/ suitable portable toilets must be provided and maintained on site for the duration of construction activities - Handling of sanitary wastes and wastewater from building sites has to be approved by the local

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Air pollution by dust, CO and SO2 (both present in motor vehicle emissions)

Decrease of air quality via vehicles emissions and dust affecting human health

Acoustic pollution

Impact on human health and disturbance on local

authorities - Before being discharged into receiving waters, effluents from individual wastewater systems must be treated in order to meet the minimal quality criteria Generators and fuel supply during construction must be placed on trays - Vehicles and construction equipment should not be serviced at the site - Once construction is complete the waste must be removed from the site and disposed in appropriately registered waste disposal facility. - In event of any contamination of groundwater occurs, appropriate operational adjustments are to be implemented to properly address such a contamination - To establish appropriate erosion and sediment control measures such as e.g. hay bales and / or fences to prevent sediment from moving off site and causing excessive turbidity in nearby streams and rivers, if any - Make sure that machinery is in good working order and does not generate excessive emissions. - Contractor or environmental officer must inform all adjacent landowners of any after-hour construction activities and any other activity that could cause a nuisance e.g. processes that generate dust or the application of chemicals - Suppress dust during pneumatic drilling/wall destruction by ongoing water spraying and/or installing dust screen enclosures at site - Keep surrounding environment (side walks, roads) free of debris to minimize dust - No burning of construction / waste material at the site - No excessive idling of construction vehicles at sites - Surrounding land owners should be notified well in

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natural fauna

Employment/ Labor safety

Notification, workers safety, health impacts

advance if noisy activities are to take place. - To control noise level (no load noise should be allowed at the site). - Construction noise will be limited to restricted times agreed to in the permit - On site hearing conservation training for employees - Construction personnel engaged in noisy activities should wear the appropriate personal protective equipment - During operations the engine covers of generators, air compressors and other powered mechanical equipment should be closed, and equipment placed as far away from residential areas as possible - A complaints register should be kept on site in order to document complaints associated with construction activities following by a record of the corrective action taken - The local construction and environment inspectorates and communities have been notified of upcoming activities - The public has been notified of the works through appropriate notification in the media and/or at publicly accessible sites (including the site of the works) - All legally required permits have been acquired for construction and/or rehabilitation - All work will be carried out in a safe and disciplined manner designed to minimize impacts on neighboring residents and environment. - Workers will comply with international good practice (always hardhats, as needed masks and safety glasses, harnesses and safety boots) - Appropriate signposting of the sites will inform workers of key rules and regulations to follow - Local labor should be trained to ensure occupational safety in order to minimize risk of work accidents and

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Traffic and Pedestrian Safety

Direct or indirect hazards to public traffic and pedestrians by construction activates

health impacts - In compliance with national regulations the contractor will insure that the construction site is properly secured and construction related traffic regulated. This includes but is not limited to Signposting, warning signs, barriers and traffic diversions: site will be clearly visible and the public warned of all potential hazards Traffic management system and staff training, especially for site access and nearsite heavy traffic. Provision of safe passages and crossings for pedestrians where construction traffic interferes. Adjustment of working hours to local traffic patterns, e.g. avoiding major transport activities during rush hours or times of livestock movement - Active traffic management by trained and visible staff at the site, if required for safe and convenient passage for the public

Annex 5 Potential Negative Impacts and related Mitigation Measures (Operational Phase)
Impact Category/ Impacts Source of impact/ Issues to address Recommended Mitigation Measures

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Air pollution - Methane emissions from manure storage facility

Wet manure used for biogas production typically emit foul smell and greater amounts of methane during storage

- Properly define scale of storage facility - Appropriate design, operation and maintenance of waste storage facilities - Compliance with best operation and maintenance practices to minimize venting of methane from storage facilities

- Methane and nitrous dioxide emission from short and intermediate biogas storage systems

Dependence of biogas pressure, storage device, size and material to be used for construction of on-farm biogas storage systems is the following 1. Pressure: <0,07 atm; Storage devise: Floating cover; Size: variable volume usually less than one days production; Material for construction: reinforced or non-reinforced plastic, rubbers 2. Pressure: <0,5 atm; Storage devise: gas bag; Size: 150-11000 4,25 310 m3; Material for construction: reinforced or nonreinforced plastic, rubbers 3. Pressure: 0,15-0,4 atm 3.1 Storage devise: water sealed gas holder; Size: 100 m3; Material for construction: steel 3.2 Storage device: weighted gas bag; Size: 25790 m3; Material for construction: reinforced or non-reinforced plastic, rubbers 3.3 Storage device: floating roof; Size: variable volume usually less than one days production; plastic, reinforced plastic
Source: Biomethane from Dairy Waste: A Sourcebook for the Production and Use of Renewable Natural Gas in California

- Correct selection and dimensioning of the biogas storage system - To maintain appropriate working pressure and biogas storage volume - To use appropriate material for construction of biogas storage systems - To ensure leaktightness of the facility and well connected outlet pipes and devices

- Emissions of raw biogas (unscrubbed) through leaks in the gas collection system

Emissions through gas leakages are a potential problem of all biogas production facilities. The combustion process may affect the physical or chemical properties of the raw biogas components, thus resulting in the release of complex organic compounds such as dioxins, and heavy metals such as mercury, hydrogen sulphide

- Planting of greenery around the plant, if appropriate (rapidly-growing pyramidal poplar which are good air pollutants capturers can be used as main absorber of air pollutants) - Proper design, operation, and maintenance of gas collection facilities: pipes, valves, etc.; connection between

43

(H2S), which is toxic to humans, corrosive (raw biogas can contain H2S in concentrations of nearly 2000 ppm while the Moldovan standard is 20 ppm.), and forms sulphur dioxide in the combustion process

devices, etc. - Ensure that boiler emissions are kept within the legislated limits - Ensure that the appropriate licenses and permits for the boiler are in place - Scrubbing the raw biogas to eliminate its hydrogen sulfide and ammonia content. The following options may be used for scrubbing of biogas: addition to natural gas pipelines; use as fuel for internal combustion engines; use as fuel for gas turbines for electricity production. - Engineering controls should be implemented to minimize gas release risk - Gas leak monitoring equipment should be installed in the boiler house - Biogas pipelines should be inspected for leaks and corrosion regularly - Exhaust gas analyzer has to be properly maintained - Flow meters are to be appropriately maintained and regulated in accordance with national standards - Compliance with best practices to minimize venting - Proper location of manure storage and gas collection facilities (at a distant from populated areas, human quarters, working areas, etc.) - Employment of best practice methods for organic waste storage to reduce odor - Design, operation and maintenance of manure storage and gas collection facilities: - Compliance with best practice methods for biogas collection to avoid venting, minimization of pipe distances (e.g. locating gas collection facilities as near as possible to energy recovery facilities), frequent monitoring to prevent/minimize biogas leakage during normal operation conditions - React on complaints from neighbors

- Odor

The products generating foul smelling basically consist of nitrogen compounds (in particular ammoniac and amine) and sulfur compounds (hydrogen sulfide and mercaptan), and smaller quantities of volatile organic compounds such as aldehydes, ketones; the odor may be generated also by raw gas

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Surface water, groundwater, and soil contamination from digester, pre- and post-storage tanks, and raw manure transpiration (if applicable)

- To selects properly location of facility: this should be quite close to the livestock farm where the waste is produced (it is an advantage if the waste from the pen can be washed out with water and then run with gravity directly into the inlet of the biodigester) but away from human quarters. - A storage structure must also have sufficient capacity to ensure that manure can be stored long enough so that manure is not applied over the winter months - natural hazards - floods - earthquakes -To select properly location of facility - it should be situated on a slope and not on the low land - technical design of heating house resistant to 7 grade earthquake (in case if the facility is installed inside the building) - Appropriate design, operation and management of preand post-storage tanks (e.g., for the latest - availability of secondary containment, impermeable linings in slurry containment ponds) - Size of the storage facility and storage period must be adequate to meet farm requirements during the nongrowing season

-pre- and post storage tanks/ ponds, biodigest camera

- post-storage tank: thought the discharge of effluents from anaerobic digestion before their further processing, if applicable (contamination by BOD, nitrogen and phosphorus compounds, and pathogen release due to leaching of organic wastes - mainly, Mycobacterium avium paratuberculosis if dairy manure, and Salmonella spp if swine and poultry manures is used for biodigestion). Liquids may be suitable for a discharge into the water if

- Use of impermeably lined settling ponds; use of impermeably lined evaporation ponds in arid zones followed by composting, pasteurization, etc. - Employment of best practice methods for organic waste storage (e.g. composting, where applicable)) to reduce pathogens

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they receive a sufficient level of treatment to reduce quantities of biological oxygen demand (BOD), suspended solids (SS), and total nitrogen (TN). - pre-storage tank/ biodigester camera, transportation through leaching and seeping of raw manure and organic wastes (contamination by nutrients (mainly, ammonia). Excess of nutrients in soil and respectively water, results in eutrophication affecting aquatic ecosystems in downstream water bodies - transportation through spills of raw manure The nuisance risks associated with manure transportation include dust, spillage and physical impact on roads. Traffic during dry, windy periods can result in significant dust generation. Whether manure is wet or dry, spillage may come in the form of seepage, overloading or blowing - Biodigest camera and pre-storage tank must be placed in an open area and should not be near any water body - Loading tank should be absolutely leakproof; walls to be made of cement/ concrete, floor of cement mixture with sand and/ or rock - Where possible, to cover opened storage facilities

Soil/ water contamination by nutrients

Increased nutrient load on farmlands (if off-farm waste is imported)

- In case of pipeline manure transportation, inspect regularly pipelines to avoid leakages - In case of manure over-the road transportation, inspect transport vehicles and application equipment for wear or damage prior to each use - Make necessary transport repairs timely - Whatever the case, appropriate management techniques and equipment are required to keep the roads and ditches free of manure spillage; this may include: smaller loads, covered loads, or sealed end-gates on the manure truck. - Take all reasonable precautions to minimize the risk of manure spills during transportation and report any spills to local environmental authorities immediately after they occur - In the event of excessive spillage, clean-up measures, such as sweeping, will be required - To apply on lands properly calculated amount of fertilizers - Waste disposal practices planned/carried out on site: these include compliance with best agricultural practices in case of use of effluents as soil conditioners or fertilizers to avoid over-fertilization of soil and water bodies

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Water resources

Acoustic

Water use for production purpose: biogas production is quite water consuming process (water is added to raw manure to facilitate fermentation process) Noise from boiler operation

To control strictly water use

Occupational safety

Leakages are a potential problem of all biogas production facilities; however particular attention should be given to the design, operation and maintenance of small-scale facilities, which will generally operate under less strict environmental, health and safety controls than large-scale operations - Methane emissions from waste storage to avoid: explosions & risk of fires

- Boiler should be contained within an enclosed boiler housing building - On site hearing conservation training for employees The access to the biodigester needs to be restricted for animals, children, and also covered by roof to prevent sunlight which can damage the plastic; it is advisable also to put a fence around the facility (in case if the facility is not installed in the building) - Proper design, operation and maintenance of waste storage facilities - Compliance with good practice methods for waste handling to avoid venting of methane - Fire prevention measures in place (e.g. storage facility clearly marked with Fire Hazard signs and located away from possible ignition areas, emergency equipment on site, availability of secondary containment, etc.) - Training of personnel - Proper design, operation and maintenance of gas collection and storage facilities - Use of the best applicable methods for biogas collection to avoid venting - If possible, to minimization of pipe distances (e.g. locating gas collection facilities as near as possible to energy recovery facilities) - Fire prevention measures in place (e.g. gas storage facility clearly marked with Fire Hazard signs and located away from possible ignition areas, emergency equipment, availability of secondary containment, etc. - Ensure employees are aware of the hazards associated with the installation - Emergency routines planned or established, particularly

- Raw gas emissions during biogas generation to avoid: - asphyxiation & poisoning (carbon dioxide & hydrogen sulfide) - explosions & risk of fires (methane)

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those implemented in case of fire, explosion, or medical emergencies including first aid treatment for poisoning or asphyxiation - Ensure safety equipment is readily accessible and in working order, and personnel are fully trained in the use of safety equipment. - Work instructions and engineering controls should be implemented to minimize gas release risk. - Gas leak monitoring equipment should be installed in the boiler house - Frequent monitoring to ensure biogas leakage during normal operation conditions is held at near-zero levels - Emergency procedures to deal with gas leaks and fires must be established. - Biogas pipelines should be inspected for leaks and corrosion regularly - Adequate boiler and biogas supply operator training must be provided - Emergency routines planned or established, particularly those implemented in case of fires and explosions (alerting/evacuation of local community in case of accidental releases that lead to methane build up) - To ensure permanent technical control to prevent likely failure of equipment

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Annex 6
Monitoring Plan

Phase

What parameter is to be monitored? Ambient Air Quality: CO2 CH4

Baseline

Where will the parameter be monitored? In the receiving airshed from emissions source taking into account prevailing wind directions

How will the parameter be monitored?

Monitoring programs should apply national methods for sample collection and analysis

When will the parameter be monitored? Before the projects commence ment

Why is the parameter being monitored? To assess background pollutants level in order to differentiate between existing conditions (e.g. air pollution by CH4 from open anaerobic lagoons) and projectrelated impacts

Cost Install Operate

Institutional Responsibility Install Operate

Included in the project cost

Designated environmental agency

Noise level as above as above

as above

Included in the project cost

Local Center for Preventive Medicine

To assess background pollutants level 50

as above as above At the site and in the potentially affected residential area/ areas

(pollution may arise from open anaerobic lagoons at farms) in order to differentiate between existing conditions and projectrelated impacts To assess background noise level in order to differentiate between existing ambient conditions and projectrelated impacts To assess noise impact and undertake mitigation measures, if

Construction

Noise level

In the receiving airshed from emissions source

Monitoring programs should apply national methods for

Daily

Included in n/a the project cost

Local Center for Preventive Medicine

n/a

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sample collection and analysis Ambient air quality: dust SO2 In the receiving airshed from emissions source In the operation site and receiving watershed as above as requested

needed

Operation

Ambient air quality:

CO2 - to avoid gas accumulation which can result in asphyxiation CH4 leaks from biogas storage system to avoid its accumulation which can

Monitoring program should apply national methods for sample collection and analysis. - especially (for gas in concentration lowlands measuring may be used portable gas - especially detection in gas instruments) storage and as above gas transporta tion facilities

Monthly

To assess impact on air quality and undertake mitigation measures, if needed To assess impact on air quality and undertake mitigation measures, if needed To ensure safety (risk of explosion & fire) and reduce losses if any as it is strong GHG

Included in n/a the project cost

Designated n/a environ mental agency

n/a

Owner of the facility

n/a

Designated environ mental agency as above

To avoid poisoning

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Effluents

result in its mixing with air in highly explosive concentrations of 5-15 vol.% as above H2S (these emissions are assumed to be very small) Effluent quantity water

Weekly Monitoring program should apply national methods for sample collection and analysis Monitoring program should apply national technical standard as appropriate To assess impact on underground water quality and To quantify the degree of waste stabilization

n/a

Owner of the facility

n/a

Owner of the facility

suspended solids (SS), biological oxygen demand (BOD), chemical oxygen Groundwater demand (in case of (COD), biodigester phosphates (Psystem PO4), accidents) ammonium N-NH4

Effluents (in case of own wastewater treatment facilities / or facilitys connection to the local waste water collection system)

as appropriate To assess quality of effluent water to undertake mitigation measures, if needed

n/a

as above

n/a

as above

Effluent water

n/a

as above

n/a

Designated environ mental agency

In the receiving groundwat er

For gas concentration

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Biogas pipelines

shed Nitrogen and Phosphorus compounds, pathogens ( coli form Pipelines/ bacteria, total number Flaring or pathogens) efficiency/ Flow rate

measuring could be used portable gas detection instruments

Monthly/ Monthly/ Weekly

undertake mitigation measures, if needed To prevent leaks and corrosion which can provoke explosion

n/a

as above

n/a

Gas service

leaks and corrosion De-commissioming

N/A

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Annex 7

Minutes of the consultation meeting on the EMP Summary

Location Chisinau, Ministry of Environment Objective To describe the project, including EMP and solicit feedback n/n 1 2 3 4 5 6 7 8 9 Participants Name, Institution Valentin Plesca, Project Manager, Project Management Team, Ministry of Environment Pavel Gavrilita, Carbon Finance Unit, Head of Office Irina Gropa, Carbon Finance Unit Veronica Pentea, Ministry of Agriculture and Food Industry Valentina Tapes, State Ecological Inspectorate Tatiana Belous, Environmental Consultant, Institute of Ecology and Geography of the Academy of Sciences Dumitru Drumea, NGO Center for Strategic Environmental Studies ECOS Tatiana Plesco. Ministry of Environment Andrei Isac, PMT Summary conclusions Discussions and consultation were mainly focused on project technologies applicable for Moldova, affordability of biodigesters for farmers, monitoring responsibilities and cost, opportunity for sale of surplus electricity into the national grid as well as project sustainability Comments The EMP was appreciated by participants. No recommendations was made towards its improvement or further clarification

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