ENVIRONMENTAL AND SOCIAL MANAGEMENT PLAN RDF AYALA FARM Methane Recovery and Power Generation Project Ref. No. 5979-0023 CPA-43 Methane Recovery and Combustion with Renewable Energy Generation from Anaerobic Animal Manure Management Systems under the Land Bank of the Philippines' Carbon Finance Support Facility June 2019 LIST OF ACRONYMS BOD Biological Oxygen Demand CDM Clean Development Mechanism CER Certified Emission Reduction CFSF Carbon Finance Support Facility CMR Compliance Monitoring Report CPA Component Project Activity DECORP Dagupan Electric Corporation DENR Department of Environment and Natural Resources DNA Designated National Authority DP Discharge Permit ECC Environmental Compliance Certificate EMB Environmental Management Bureau EPMD Environmental Program and Management Department ESMP Environmental and Social Management Plan ESSF Environmental and Social Safeguards Framework LBP Land Bank of the Philippines MOA Memorandum of Agreement MRF Methane Recovery Facility MSDS Materials Safety Data Sheet PCO Pollution Control Officer P.D. Presidential Decree PoA Program of Activity PPE Personal Protective Equipment PTO Permit to Operate R.A. Republic Act SMR Self-Monitoring Report SPA Subproject Agreement TSD Treatment, Storage, Disposal TSS Total Suspended Solids WTF Water Treatment Facility i TABLE OF CONTENTS List of Acronyms i Table of Contents ii List of Tables iv List of Figures iv List of Maps iv List of Images iv List of Appendices iv Purpose of the Document v 1. Project Summary 1 1.1. Proponent Profile 1 1.2. Pig Farm Profile 2 1.3. Existing Environmental Conditions 3 1.3.1. Project Site 3 1.3.2. Land Classification and Use 4 1.3.3. Climate 5 1.3.4. Topography and Soil 5 1.3.5. Water Resources 5 1.3.6. Natural Hazards 5 1.3.7. People and Communities 5 1.4. Project Description 5 1.4.1. Components and Design 5 1.4.2. Operation 6 2. Environmental Management 8 2.1. Impacts Assessment 8 2.1.1. Positive 8 2.1.2. Negative 8 2.2. Due Diligence 9 2.2.1. Legal Framework 9 2.2.2. Environmental Management and Monitoring Plan 11 2.2.3. Contingencies 18 2.2.4. Occupational Health and Safety 18 2.3. Monitoring, Auditing, and Reporting 18 3. Social Due Diligence 19 ii 3.1. Consultation and Participation 19 3.2. Grievance Redress Mechanism 19 3.3. Information Disclosure 20 3.4. Equal Opportunity 20 3.5. Resettlement 20 3.6. Others 20 4. ESMP Review and Updating 21 5. Institutional Arrangements 22 5.1. The Proponent 22 5.2. LANDBANK 22 5.3. DENR 22 5.3.1. EMB 23 5.4. World Bank 23 6. Accountability Statement 24 References Appendices iii LIST OF TABLES Table 1 Specifications of RDF Ayala Farm’s Wastewater Treatment Facility-Methane Recovery Facility Table 2 Environmental documents and statutory requirements regulating the operation of RDF Ayala Farm Table 3 Permits ensuring the safety of RDF Ayala Farm’s facilities and operation Table 4 Environmental Management and Monitoring Plan of RDF Ayala Farm LIST OF FIGURES Figure 1 Site layout of RDF Ayala Farm Figure 2 Wastewater treatment process of RDF Ayala Farm LIST OF MAPS Map 1 Philippine map showing the location of the Province of Pampanga Map 2 Municipality of Ayala (highlighted in red) showing the location of the project site Map 3 Satellite image of Ayala Farm (15°13'53.61"N, 120°41'52.59"E) and its vicinity LIST OF IMAGES Image 1 Satellite image of RDF Ayala Farm showing areas (low: yellow; moderate: orange; high: red) at risk to flooding APPENDICES A Project Design, Plan and Specifications B Guidelines for the Operation and Maintenance of the MRF C Public Consultation Records iv PURPOSE OF THE DOCUMENT This Environmental and Social Management Plan (ESMP) is prepared as part of the requirements of the Safeguards Framework for Clean Development Mechanism (CDM) projects implemented under the Carbon Finance Support Facility (CFSF) of the Land Bank of the Philippines (LBP). The Environmental and Social Safeguards Framework (ESSF) was developed to ensure the establishment of protection, compliance, and mitigation measures for relevant environmental and social aspects of projects under the CDM program which covers the Methane Recovery and Power Generation Projects in pig farms. Scope Since the Project is a key component of RDF Ayala Farm’s wastewater treatment facility (WWTF) – which handles the primary waste the piggery produces (manure) – this ESMP will cover the operations of the entire pig farm described herein. It will, however, highlight the management of impacts attributable to or associated with the Project. v 1 PROJECT SUMMARY The Methane Recovery and Power Generation Project of RDF Ayala Farm owned by RDF Feed, Livestock and Foods, Incorporated is an initiative developed under LANDBANK’s CFSF. Its goal is to capture greenhouse gases, particularly methane from piggery wastewaters that would otherwise dissipate into the atmosphere, and convert them into electrical energy. 1.1 Proponent Profile Proponent: RDF Feed, Livestock and Foods, Incorporated Business Address: Nepo Commercial Complex, Angeles City,Pampanga CEO: Robert H. Lo, DVM Farm Name: RDF Ayala Farm Project Site: Brgy. San Agustin Magalang, Pampanga, Philippines Farm Coordinates: 15°13'53.61"N, 120°41'52.59"E Project Type: Livestock Project Philippine Standard Industrial Classification: 0145 - Hog Farming Contact Persons RDF Ayala Farm Safety Officer Manager: Ariel Perigrino Telephone No.: 0998 988 9504 Pollution Control Officer: Dr. Ronald Dizon Telephone No.: (63) 998 988 9507 LANDBANK Lending Programs Management Group: Emellie V. Tamayo Designation: Head / First Vice President Telephone No.: (632) 405-7309 Fax No.: (632) 528-8542 Environmental Program Management Department: Prudencio E. Calado III Designation: Head / Assistant Vice President Telephone No.: (632) 405-7339 Fax No.: (632) 528-8484 1 1.2 The Pig Farm Farm area: 57, 783 sq. m. Production: Breeder Farm Housing type: Tunnel-vented Capacity : 2,200 sow level Average population: 7,736 heads Start of operation: 2008 Number of employees: 21 RDF Feed, Livestock and Foods, Incorporated (RDFFLFI) is a medium scale enterprise that evolved from a commercial livestock production to fresh and processed meat retail operation. The swine business unit of RDFFLFI started in year 2001, under the trade name E-pig with integrated breeding, farrowing and fattening operations. RDF Ayala is one of the four pig farms (and one of the two breeding farms) of RDFFLFI. It is currently able and licensed (as per its Environmental Compliance Certificate) to house a maximum of 30,000 heads. The farm is powered through a grid by Pampanga Electric Cooperative, Inc. I (PELCO I), but also utilizes electricity from biogas through the project. Water for its operations is mainly sourced from deep wells within and without its premises. Figure 1 shows the layout and basic facilities of the farm. Figure 1. Site layout of RDF Ayala Farm 2 1.3 Existing Environmental Conditions 1.3.1 Project Site The Project has been built inside the premises of RDF Ayala Farm Inc. (15°13'53.61"N, 120°41'52.59"E), a 19.05 ha property in Brgy. San Agustin, Magalang, Pampanga. Pampanga is in the island of Luzon, northern Philippines (see Map 1). Map 1. Philippine map showing the location of the Province of Pampanga (Image from Wikipediaa) Map 2. Municipality of Magalang, Pampanga (highlighted in red) showing the location of the project site(Image generated using Google Mapsb) 3 1.3.2 Land Classification and Use The Project’s location is classified as agro-industrial [Zoning / Locational Clearance]. In its vicinity are croplands and quite a number of houses and churches (see Map 3). Map 3. Satellite image of RDF Ayala Farm (15°13'53.61"N, 120°41'52.59"E) and its vicinity (Image generated using Google Earth) Image 1. Satellite image of RDF Ayala Farm showing areas (low: yellow; moderate: orange; high: red) at risk to flooding (Image generated using NOAH websiteb) 4 1.3.3 Climate The climate here is tropical. Most months of the year are marked by significant rainfall. The short dry season has little impact. According to Köppen and Geiger, this climate is classified as Am. The temperature here averages 27.1 °C. In a year, the average rainfall is 2349 mm. (climate-data.org) 1 1.3.4 Topography and Soil The Farm sits on a relatively flat land. The soil series in Magalang are composed of Arayat Soil Series which is Fine loamy, smectitic (ca.), isohyperthermic, VERTIC EQUIAQUENT. 1.3.5 Water Resources The closest surface water to the property is the San Agustin creek 500 m away from the farm. The water is used for irrigation and farm related activities. 1.3.6 Natural Hazards The area where the Farm is situated is not frequented by typhoons (low typhoon incidence). Almost half the property’s ground, from its southern perimeter northward, is at risk from low to medium (0.5 m) flooding. 1.3.7 People and Communities There are a few, sporadically situated houses within the 500 m radius of the Farm. 1.4 Project Description The Project covers the installation and operation of an anaerobic digester system and its ancillary facilities including post-treatment wastewater lagoons and a biogas-fueled electricity generation system. The biodigester and the power generation unit are collectively referred to herein as methane recovery facility (MRF). 1.4.1 Components and Design RDF Ayala Farm’s wastewater treatment process features three phases: ▪ Pre-Treatment, which involves mechanical removal of indigestible materials from and the breaking down of relatively large digestible particles in wastewaters prior to entering the reactors; ▪ Anaerobic digestion, or the disintegration of biodegradable materials in the wastewaters through biological processes facilitated by microbes which thrive in the conditions promoted by the reactor; and ▪ Post-Treatment of biogas, effluent, and sludge resulting from anaerobic digestion. In general, the WWTF is mainly composed of a collecting tank, a covered concrete lagoon (hybrid channel), and a series of earthen clarifying lagoons (see Image). The interior of the biodigester is similar to a scaled up sand trap. A biogas generator set basically consists the MRF. Overall, the anaerobic digester have been intended to accommodate wastes generated by the farm’s maximum pig population (2,200 sow level) and capture enough biogas to run the project’s facilities with a net energy requirement of zero. The design and layout of the WWTF are in the construction plans in Appendix A. Properties and specifications of the WWT-MRF, including capacities, outputs, and efficiencies, will be detailed in the succeeding version of this ESMP (see Section 4). 5 Table 1 presents the general aspects and technical features of each of these systems. Table 1. Specifications of MS Farm’s Wastewater Treatment Facility-Methane Recovery Facility Phase Process Component No. of Units Description / Equipment concrete pre-storage 6 x 6 x 8 m (height) Pre-treatment settling 1 settling tank --- equipped with submersible pump earthen lagoon, lined and covered with 1 mm anaerobic digestion / Anaerobic treatment reactor 1 HDPE fermentation 3,930 m3 scrubber system 1 - Biogas combustion generator set 1 150kva earthen lagoon lined with 1mm HDPE - 30 x 45 x 3m Post- clarification (settling, Effluent open lagoon 3 - 30 x 45 x 3m treatment aeration) - 30 x 45 x 3m earthen ditch lined with 1mm HDPE - 30 x 45 x 3m Sludge drying drying bed 1 1.4.2 Operation The waste produced from the pig houses of the farm is treated in an enclosed anaerobic wastewater treatment facility consisting of a collection tank, a biogas digester and post treatment lagoons. The digester is covered by high-strength plastic material (HDPE) to collect the biogas and prevent atmospheric gases from leaking into the tank. Inside the biodigester, wastewaters are continuously stirred by incoming and outgoing wastewaters, thus preventing sedimentation. This consequently results in minimal formation of sludge inside the chamber. Through hydraulic pressure created by influent, partially treated wastewaters exit the biodigester into the adjacent settling lagoon where they are stored indefinitely or until drawn to be used in the farm. Biogas trapped in the biodigester is directed to gas collecting tank. When needed, gas from this tank is drawn to a gas conditioning equipment using a blower, and then to one of the generator sets that converts it to electrical energy used in the farm. The biodigester has been designed to efficiently degrade organic solids in wastewaters. Hence, provision for sludge extraction and management will be established when the need arises. Figure 2 illustrates the current processes involved and the project components employed in the wastewater treatment and power generation process in RDF Ayala Farm. 6 Figure 2. Wastewater treatment process of RDF Ayala Farm 7 2 ENVIRONMENTAL MANAGEMENT 2.1 Impact Assessment 2.1.1 Positive RDF Ayala Farm provides employment opportunities to residents of the Municipality of Magalang and in the province of Pampanga and even to people from nearby provinces. It also generates significant revenue for the local government. The project in particular improved the pig farm’s method of handling manure and liquid waste. Compared to open lagoons, the biodigester has significantly amended the farm’s wastewater treatment process, resulting in better effluent quality. Foul odors from effluents have also been greatly abated, improving the environment for both workers and livestock, as well as for neighboring communities. Moreover, using biogas-generated electricity also reduces the farm’s reliance on the grid (and on power from conventional fuels), translating to savings for the piggery business. By providing a mechanism to capture methane and using it as a source of energy, the project has lowered Ayala Farm’s overall carbon footprint. With inputs coming from about 7,736 hogs (current average), through the project, the farm is estimated to be capable of reducing greenhouse gas emissions equivalent to 1,278 tCO2e annually. Finally, having been being registered as a component project activity (CPA) in the CDM Program, RDF Ayala Farm has an opportunity to earn monetary incentives by selling carbon credits to World Bank. It may also opt to trade its carbon credits in the wider carbon market. Economy Using biogas-generated electricity lessens the Farm’s reliance on the grid, translating to savings for the piggery business. Sludge on site eliminates the need to purchase fertilizer for the Farm’s vegetation. Selling it as soil amendment presents an opportunity to generate additional income. Further savings is also gained from reusing treated effluent. Moreover, having been being registered as a component project activity (CPA) in the CDM Program, RDF Ayala Farm has an opportunity to earn monetary incentives by selling carbon credits to World Bank. It may also opt to trade its carbon credits in the wider carbon market after the Program. Lastly, RDF Ayala Farm provides employment opportunities to residents of Brgy. San Agustin and generates revenue for the local government. 2.1.2 Negative Certain aspects of the pig farms’ and the project’s operations inevitably result in potential harm to the environment, including generation wastewaters; hazardous and non-hazardous wastes; air pollutants; foul odors, noise, dust and other nuisance; and depletion of natural resources. These pose inherent risks to environmental quality and natural ecosystems and to health and safety of workers, communities, and livestock. A. Wastewater Generation Wastewaters saturated with dissolved manure and feed materials are primarily generated from raising around 7,736 pigs through intensive farming methods. B. Solid Wastes Generation Pig manure, sludge from treatment of wastewaters, and carcasses (non-infectious) make up the bulk of solid wastes generated in the Farm. 8 C. Hazardous Wastes Generation Generation of potentially hazardous wastes mainly result from veterinary activities and use of various chemicals for cleaning and for maintenance of machineries. Biological materials from diseased pigs also pose significant risks to the health of workers and livestock. D. Generation of Air Pollutants Emissions from diesel- and biogas- fueled generator sets which supplement the grid for the Farm’s power requirements are the main sources of air pollutants in the Farm. E. Risks to Environmental Quality ¬ Pollution. The inadvertent release to the environment (through breaches and leaks) of the wastes listed above, especially of nutrient-rich materials, may cause serious damage to the quality of affected soil and aquatic resources. ¬ Global warming. Large amount of biogas, mostly composed of potent greenhouse gases, are produced during the anaerobic decomposition pig manure and other organic compounds. If allowed to escape to the atmosphere, these gases will contribute to the furthering of the deteriorating effects of global warming. Moreover, the use of power from the grid consumes non-renewable fuels which generate greenhouse gases when processed for electricity production. ¬ Resource depletion. Intensive farming demands for significant volume of freshwater. Neglectful sourcing and use of water in the Farm could deplete water resources. ¬ Site risks. The project site is a typhoon prone area. Strong winds may damage WWTF and MRF causing release of pollutants. Long periods of heavy rainfall could overtop wastewater lagoons and wash off sludge piles. F. Health and Safety (Methane Recovery Facility) Biogas is a mixture of gases produced during anaerobic digestion. It is mainly composed of methane and carbon dioxide, but other gases (nitrogen, hydrogen, hydrogen sulphide, ammonia, etc.) may also be present at lower concentrations. ¬ Fire and Explosion. The MRF presents a major fire and explosion hazard in the farm owing to the high concentrations of biogas (primarily consists of methane which is highly flammable and combustible) that it is designed to capture and process. Risk of explosion is elevated in areas where biogas is compressed in containers for storage. ¬ Asphyxiation and Poisoning. Methane and carbon dioxide are asphyxiants, substances that cause suffocation by displacing oxygen in the ambient air. Furthermore, carbon dioxide and hydrogen sulfide are considered poisonous when inhaled at high concentrations. In the farm, risks of asphyxiation and gas poisoning are high in the areas associated with the MRF and in confined spaces and poorly ventilated areas where fugitive biogas may collect. ¬ Infection and Infestation. Handling and processing of manure, wastewaters, and sludge exposes workers to various pathogens and parasites. G. Health and Safety (General Operations) ¬ Odor, Noise, Dust 2.2 Due Diligence RDF Ayala Farm commits to undertake due diligence in its dealings and operations through compliance with relevant regulatory safeguards and implementation of the environmental management and monitoring plan in Table 2 and of other relevant provisions herein. 2.2.1 Compliance to Regulatory Instruments (Legal Framework) The Farm operates in the context of laws prescribing the regulatory safeguards in the following tables. Table 2 lists relevant national legal instruments concerned with environmental protection, 9 whereas Table 3 lists permits issued by local government agencies that mainly address health and safety aspects of the Farm and the Project. Table 2. Environmental documents and statutory requirements regulating the operation of RDF Ayala Farm DOCUMENT PARTICULARS / STATUS Environmental Compliance Reference No. 03PA-0301-20016-116A (amended) Certificate (ECC) Issuing Agency EMB Region 3 Date of Issuance September 21, 2015 Valid Until - no expiration - Conditions  area of operation: 57,783 m2  maximum population: 2,200 sow level  submission of SMR and CMR  register as Hazardous Waste Generator  creation of EMF Discharge Permit (DP) Reference No. DP-17G-03PA-1870-R Issuing Agency EMB Region 3 Date of Issuance May 30, 2017 Valid Until July 30, 2019 Conditions  effluent wastewater flow rate: 88 m /day 3  receiving body of water: San Agustin Creek  submission of SMR and CMR Permit to Operate (PTO) Air Reference No. Application Process Pollution Source Control Issuing Agency EMB Region 3 Installations Date of Issuance Valid Until Conditions Water Permit Reference No. Application Process Issuing Agency National Water Resources Board Date of Issuance - Valid Until - no expiration - Conditions ( P.D. 1067 Water Code) Hazardous Waste Generator ID Registration No. Application Process Approving Agency EMB Region 3 Date of Approval Valid Until - no expiration - Conditions PCO (Pollution Control Accreditation No. COA No. - 17F-03PA-0318 Officer) Accreditation Issuing Agency EMB Region 3 Certificate Date of Issuance February 3, 2014 Valid Until June 28, 2020 CMR Compliance Monitoring Report EMB Environmental Management Bureau P.D. Presidential Decree Table 3. Permits ensuring the safety of RDF Ayala III Farm’s facilities and operation DOCUMENT PARTICULARS Business Permit Permit No. Available Issuing Agency Office of the Mayor - Municipality of Magalang Date of Issuance January 2019 Valid Until December 31, 2019 Prerequisites compliance with the requirements of the following: • Building Permit • Occupancy Permit • Locational / Zoning Clearance • Fire Safety Inspection Certificate • Health and Sanitary Certificate Zoning Clearance Registration No. Available Approving Agency City Planning and Development Office Date of Approval Fire Clearance Reference No. Available Issuing Agency Bureau of Fire Protection Regional Office 3 Date of Issuance Valid Until Prerequisites compliance with R.A. 9514 (Revised Fire Code) Sanitary Permit Permit No. Available Issuing Agency City Health Office – Municipality of Magalang 10 Date of Issuance Valid Until Prerequisites ▪ compliance with P.D. 522 (‘Sanitation Requirements’), P.D. 856 (Code on Sanitation), and pertinent local ordinances Environment and Natural Resources Office Presidential Decree Republic Act 2.2.2 Environmental Management Plan Table 4 summarizes the measures intended to address the environmental impacts and risks identified in Section 2.1.2. Adequate training will be given to concerned employees to ensure that the content of this environmental management plan will be properly carried out. 11 Table 4. Environmental Management and Monitoring Plan of RDF Ayala Farm SOURCE / PARAMETER / RESPONSIBLE REPORTING TO Cost, Php IMPACT MANAGEMENT MONITORING METHOD FREQUENCY ACTIVITY INDICATOR ENTITY A. Wastewater a.1 generation of pig raising water conservation strategies quantify wastewater produced monthly volume of wastewater Safety officer PCO wastewater produced > reported in SMR regular inspection and maintenance of water delivery system wastewater treated in WWTF treated effluent used as liquid fertilizer a.2 generation of general farm and water conservation strategies - check siphoning and hauling records every 5 years volume of sewage hauled Safety officer domestic wastewater, domestic activities gray water regular inspection and maintenance of water delivery system siphoning and hauling of sewage to a wastewater treatment facility B. Solid Waste b.1 generation of pig raising, feed minimize feed wastage , quantify (dried) sludge produced every harvesting / amount of sludge Safety officer PCO manure, sludge wastage, WTF disposal produced regular inspection and maintenance of feed delivery system manure treated in WWTF b.2 generation of injuries, adverse observe sound pig raising practices and biosecurity measures - weigh disposed materials daily / every weight of materials Safety officer PCO (non-infectious) environmental hauling disposed carcasses, blood conditions, etc. regular inspection and maintenance of equipment that regulates pig environment disposal through burial b.3 generation of general farm and on-site segregation quantify / weigh solid wastes disposed of weekly / every quantity of and details on Safety officer general solid wastes domestic activities (recyclables and residuals) disposal wastes generated, stored, and disposed of PCO > reported in SMR adequate collection bins, storage area 12 reduce, reuse, recycle / selling of recyclables composting of biodegradable wastes disposal through barangay collection C. Hazardous Materials c.1 generation of facility and monitor resource usage to avoid expiration of chemicals, etc. quantify each type of hazardous waste quarterly quantity of each Safety officer hazardous, toxic equipment operation produced / stored and disposed of (check hazardous waste type materials and maintenance, hazardous waste manifests) stored and disposed PCO pest control > reported in SMR will dispose through accredited TSD c.2 generation of veterinary activities, disposal through burial infectious, pathological outbreaks materials, carcasses D. Air pollution d.1 generation of WTF, anaerobic combustion using biogas-fueled engine - quantify power produced daily kWh produced Safety officer PCO biogas digestion d.2 generation of air vehicles, stand-by operate equipment, machineries according to manufacturer’s instruction review inspection and maintenance record monthly number and details of Safety officer PCO pollutants generator sets (fossil machinery issues noted fuel combustion) regular inspection and maintenance of equipment E. Risk of Environmental Degradation e.1 (risk of) surface e.1.1 wastewater prevention of leakage, overtopping, spillage, effluent sampling and testing by an EMB- annually effluent quality farm technician PCO water and groundwater collection, transport, accredited laboratory indicators: BOD, TSS, quality degradation, treatment, disposal - more frequently ammonia, phosphate > reported in SMR disruption of soil during rainy properties, season (must meet standards for contamination Class C^ effluent) regular inspection and maintenance of WTF and equipment provided adequate drainage for rainwater maintain vegetation (serves as filter strips) around lagoons operates WWTF- MRF according to designer /contractor’s instruction 13 ensures effluents meet EMB standards e.1.2pathological regular inspection of disposal site review inspection and maintenance record monthly number and details of Safety officer PCO wastes, carcass leak / breach incidents disposal, leachate - more frequent during rainy season e.1.3handling, use of suitable containers with labels review inspection and maintenance record monthly number and details of Safety officer PCO transport, storage, leak / breach incidents disposal of hazardous and infectious materials secured collection and storage area will make MSDS available on-site for ready reference uses of materials according to registered use / manufacturer's instruction will develop and observe safety protocols safety will install signage, warnings will provide a spill kit on site will prepare a contingency response plan will provide adequate staff training on handling of hazardous materials e.2 (risk of) pollution biogas collection, constructed gas collection system with impermeable and durable materials review inspection and maintenance record monthly number and details of farm technician PCO from fugitive biogas storage, combustion leak / breach incidents - more frequent during typhoon season operates WTF + MRF according to supplier/contractor’s instruction regular inspection and maintenance of MRF F, Health, Safety and Other Concerns f.1 odor - nuisance, f.1.1 pig houses, regular cleaning, disinfection of pig houses review complaints register every two weeks number and details of Safety officer PCO discomfort, health manure odor complaints issues - more frequent during typhoon (windy) season employs tunnel ventilated buildings maintains vegetation that serves as natural buffer provision and use of appropriate PPE f.1.2 WTF, effluent, biogas trapped and combusted through MRF MRF 14 will ensures adequate retention time of wastewaters in the biodigester constructed gas collection system with impermeable and durable materials regular inspection and maintenance of WWTF -MRF prevent leakage, overtopping, spillage, (see e.1.1) maintains vegetation that serve as natural buffer provision and use of appropriate PPE f.1.3decomposing disposal through burial materials (placental materials and carcasses) prevent leakage of leachate (see e.1.2) provision and use of appropriate PPE f.2 noise - nuisance, f.2.1 pigs maintains vegetation that serve as natural buffers - review complaints register monthly number and details of Safety officer PCO discomfort noise complaints provision and use of appropriate PPE f.2.2 vehicles, operates equipment, machineries according to manufacturer’s instruction machineries limit operation of loud equipment during day time (as much as it is practical) regular inspection and maintenance of equipment and machineries provision and use of appropriate PPE f.3 dust - nuisance, f.2.1 pig houses, cautious handling of dust-generating materials - review complaints register monthly number and details of Safety officer PCO discomfort, health feed handling dust complaints issues - more frequent during typhoon (windy) season use of appropriate containers, covers, barriers employs mechanical / tunnel ventilation system in pig buildings limit dust-generating activities during day time, low wind movement (as much as it is practical) provision and use of appropriate PPE f.2.2 composting use of appropriate containers, covers, barriers areas, dried compost handling cautious handling of dust-generating materials 15 limit dust-generating activities during day time and low wind movement (as much as it is practical) provision and use of appropriate PPE f.4 pest and vermin decomposing odor control measures (see f.1) - review inspection records and complaints monthly number and details of Safety officer PCO proliferation / materials and register incidents, complaints infestation - nuisance, sources of odors - more frequent health issues during rainy season pest, vermin control measures regular inspection of farm facilities, surroundings f.5 health hazards, handling, transport, will provide adequate training on handling of hazardous, infectious - review incident reports, inspection monthly number and details of PCO - (risk of) contracting storage of materials records and complaints register, results of illness, injury incidents, infectious diseases, hazardous and employees’ regular health checks complaints sustaining injuries, infectious materials, livestock outbreak movement of carrier pests and vermin, handling of ill pigs provision and use of appropriate equipment for handling and storage of hazardous, infectious materials, including PPE enforces, practicesbiosecurity measures, health and safety protocols measures for safe handling of hazardous and infectious materials (see e.1.2&e.1.3) pest and vermin control measures (see f.4) regular inspection of farm facilities, surroundings provides regular health checkups for employees will report and record disease, injury incidents f.6 explosion, fire biogas collection, constructed WTF + MRF with impermeable and durable materials - review inspection and maintenance monthly number and details of PCO - hazard storage, combustion records, incident reports explosion, fire incidents operates WTF-MRF according to supplier/contractor’s instruction regular monitoring of pressure within the MRF system regular inspection and maintenance of MRF will prohibit ignition sources (smoking) near the MRF will install signage and warnings considering installing a flare will report and record explosion, fire incidents f.7 drowning hazard open ponds, will install signage and warnings - review incident reports monthly number and details of PCO - 16 lagoons, tanks drowning incidents will report and record drowning incidents f.8 freshwater farm activities water conservation strategies (see a.1) - quantify volume of freshwater monthly volume of freshwater bookkeeper PCO depletion consumption consumed > reported in SMR uses effluent as soil amendment f.9 consumption of pig raising and energy conservation strategies quantify power consumed monthly kWh consumed bookkeeper PCO non-renewable general farm resource (fossil fuels activities > reported in SMR for power) using power generated using biogas through MRF BOD Biological Oxygen Demand EMB Environmental Management Bureau MSDS Materials Safety Data Sheet PCO Pollution Control Officer PPE Personal Protective Equipment SMR Self-Monitoring Report TSD Treatment, Storage, Disposal TSS Total Suspended Solids 17 2.2.3 Contingency Response Below is overview of RDF Ayala Farm’s current preparation and action plan in response to the following: a. Fire – Fire extinguishers are in strategic locations around the farm. Pig sheds have taps from which water for putting out fires can be sourced. b. Earthquake - The open grounds within the farm may serve as evacuation area for when an earthquake occurs. c. Outbreak - The farm’s veterinarian or animal production specialist (provided by the integrator) is immediately notified to assess the situation and give instructions for the workers to carry out. d. Power outage - A standby diesel-fueled generator is able to supply the farm’s electricity needs, in addition to the biogas genset. e. Health emergencies - A first aid kit is available at the site for minor health issues. Farm personnel have access to vehicles which can be used for transporting cases that may need more advanced medical care. Most emergency services can be accessed in the Municipality of Magalang proper after about a 25 to 30-min drive from the farm. In the interim, RDF Ayala Farm hereby commits to develop a more comprehensive contingency preparedness and response plan that will address incidents of fire; natural hazards (earthquake); outbreak; health emergencies; and environmental emergencies (leaks and spills of wastewaters and hazardous wastes, WWTF- MRF system breakdowns). This plan will be appended in the succeeding version of this ESMP. 2.2.4 Occupational Health and Safety In addition to the health and safety measures presented in Table 3, RDF Ayala Farm will develop a more comprehensive health and safety risk management plan which will deal with general occupational health and safety issues associated with work in the pig farms. Health complaints and accidents will be recorded in a register and will serve as indicators of the plans effectiveness, together with results of workers’ annual health check-ups. This plan will be appended in the succeeding version of this ESMP. . 2.3 Monitoring, Reporting and Auditing The proponent will perform the monitoring plan in Table 3 and conduct regular inspection of its facilities not only for internal purposes but also to satisfy the requirements of the EMB for periodic self-monitoring reports (SMR). In addition, assessments will also be initiated during or immediately after incidents that may have compromised the integrity of the farm’s facilities, especially of WWTF-MRF, and caused the release of pollutants in the environment. A registry of such incidents and other environmental emergencies and accidents will be maintained in the farm and its details reported in the SMR. The SMR will contain the results of audits on the Farm’s environmental performance in terms of resource utilization, waste management, regulatory compliance, and fulfillment of environmental commitments among others. Copies of this document will be tendered to EMB quarterly, as well as to LBP-EPMD (Environmental Program and Management Department) for reference and review purposes. The PCO, Dr. Ronald Dizon, has been tasked to ensure that the farm is compliant with pertinent environmental regulations, including those listed in Table 3, and is performing its environmental commitments, including the implementation of this ESMP. During the implementation of the CDM Program, LBP-EPMD will conduct monitoring activities in the farm at least twice a year to help the Proponent execute, identify gaps in, and improve and update this management plan. 18 3 SOCIAL DUE DILIGENCE RDF Ayala Farm aims to operate in a manner that is not only environmentally sustainable but socially acceptable as well. Below are some of the Proponent’s efforts towards achieving this goal. 3.1 Consultation and Participation Stakeholders of the Project were identified and invited by the Proponent, together with LBP-EPMD, through letters and notices to the consultative meeting held on July 27, 2017 at Oriental Hub, 663 Sta. Cruz, Magalang, Pampanga. The meeting was attended by at least 20 individuals from various institutions, including local officials and residents of communities near the project site. All relevant information, especially those that pertain to the Project’s environmental and social impacts, was communicated to the stakeholders during the consultations. The issues and queries they raised were all satisfactorily addressed by the Proponent and other presenters. Details of the points discussed in the meeting are in the minutes in Appendix B, as well as some photos documenting the event. 3.2 Grievance Redress Mechanism The Safety officer, Ariel Perigrino, is hereby designated as the main contact person for grievances, feedbacks, and queries related to the project. She is to ensure that the details of complaints and the actions made to address the same will be recorded completely and truthfully in a register. Such information shall be part of the regular monitoring report for the Project and will be made available to relevant stakeholders. The proponent will make every effort to settle any concern at the project level. Should its attempts be unsuccessful, issues will be raised to the following third party institutions for arbitration and possible resolution: Office of the Barangay Chairman Complaints shall be entertained in the barangay where the farms are situated. The barangay office concerned will facilitate the negotiation process and LBP-EPMD will ensure that the complainant is properly represented. Municipal Office Should no agreement be reached at the barangay level, the matter will be elevated to a municipal government office. Depending on the nature of the complaint, grievances may be addressed to the Municipal Health Office, Agriculturist Office, Environment and Natural Resources Office, or other relevant municipal agencies. LBP LBP through EPMD will take part on the resolution process only after the aggravated party has gone through the previous levels and finds the decisions rendered there unacceptable. EPMD will coordinate with the proponent to ensure that issues regarding the latter’s project are resolved to the best interest of the complainant. To further ensure the proponent’s accountability, contact details of the farms’ management and LPB- EPMD shall be provided to stakeholders during consultations and through postings at public notice boards in Barangay San Agustin’s community hall and at RDF Ayala Farm’s main gate. For this project, the following individuals will serve as grievance administrators: Prudencio E. Calado III Head/Assistant Vice President, LBP-EPMD Telephone No.: (632) 405-7339 Fax No.: (632) 528-8484 Ariel Perigrino Safety Officer: RDF Ayala Telephone No.: 0998 988 9504 19 3.3 Information Disclosure This ESMP and other relevant information regarding the project will be published in LANDBANKS’s website where it can be readily accessed by the public. Printed copies of this document will be submitted to EMB Region 3 and will also be available in Barangay San Agustin office, in LANDBANK’s library (1598 M.H. Del Pilar cor Dr. J. Quintos St., Malate, Manila, Philippines), and in the World Banks InfoShop. 3.4 Equal Opportunity RDF Ayala Farm is an equal opportunity employer, not regarding gender, age, disability, and ethnicity in evaluating and hiring potential employees. Presently, RDF Ayala Farm workforce is consisted of 17 males and 3 females. Most of the male workers take on manual, physically demanding work such as animal handling and facility maintenance. 3.5 Resettlement The project is located inside the premises of RDF Ayala Farm, a private property. No individual was displaced for nor were there any indigenous peoples affected by the establishment of the farm and the project. 3.6 Others Employees of RDF Ayala Farm receive standard basic salary at the minimum, 13th month pay, and other regular statutory benefits, in addition to free food and lodging at the farm. 20 4 ESMP REVIEW AND UPDATING This ESMP shall be reviewed annually and will be updated subject to the results of the semiannual monitoring activities conducted by RDF Ayala Farm and LBP-EPMD. Reviews may be done more frequently or earlier than schedule, especially after events resulting in significant adverse effect to the environment. In the first updated version of this ESMP, which will be published in the last quarter of this year (2019), the following information and documents will be provided: - properties, specifications, and performance parameters of the WWT-MRFs; - WWTF-MRF Operations Manual; - cost of implementing the Environmental Management and Monitoring Plan; - Contingency Preparedness and Response Plan; and - Health and Safety Risk Management Plan - Biosecurity protocol 21 5 INSTITUTIONAL ARRANGEMENTS 5.1 The Proponent The proponent, RDF Feed, Livestock and Foods, Inc., will be responsible in all the aspects of the project, including the implementation of this ESMP. It will shoulder all costs associated with the construction and operation of the project, internal monitoring activities, and meeting various statutory requirements. Specifically, it shall / it shall cause the accomplishment of the following: • exercise environmental and social due diligence in implementing the Project • incorporate sound practices in environmental, health, and safety management • comply with relevant national and local laws and satisfy regulatory obligations • perform diligent environmental and system monitoring • prepare and submit on schedule accurate monitoring reports to EMB and LBP • cooperate with the LBP and other regulatory agencies by providing assistance and correct and relevant information regarding the Project and its environmental performance for reference, review, and monitoring purposes • promote transparency by maintaining open lines of communication with project stakeholders and giving them access to relevant information • initiate resolution of conflicts that may arise as a result of the Project’s operation The Proponent, in close coordination with LBP, shall implement the Project based on LBP’s ESSF and on the agreed activities and timelines stipulated in the memorandum of agreement (MOA) and subproject agreement (SPA) between the said entities. 5.2 LANDBANK LBP shall serve as the financial and technical intermediary for the CDM Program of Activity (PoA) under which the Project of RDF Ayala Farm is being implemented. It shall provide the Proponent carbon and investment finance assistance for the installation of an anaerobic wastewater treatment facility equipped with a biodigester and methane-fueled power generator. Moreover, it shall act as the entity in charge of project validation and verification activities, and of collation of relevant information and monitoring data for the undertakings mentioned. Specifically, LANDBANK, through EPMD, shall: • make available financing facilities to the Proponent, subject to existing lending policies of LBP • coordinate and facilitate communications and transactions between the Proponent and World Bank or other Carbon Buyers, Designated Operational Entity, and when necessary, with other project partners • administer the agreements (MOA, SPA) forged between LBP and the Proponent • provide technical support and relevant trainings to farm owners and personnel in partnership with other institutions • ensure compliance of the Project and its proponent with the rules governing PoAs and with its commitments in the MOA and SPA • ensure compliance of the Project and its proponent with relevant standards and regulations and environmental commitments by conducting onsite monitoring and evaluation and desk reviews • provide assistance to the Proponent in complying with statutory requirements for the Project • ensure the Project’s sustainability by monitoring the long-term implementation of the safeguards specified in this ESMP and its environmental performance in general • gather, collate, and review pertinent information and documents (including safeguard instruments, reports, and permits and clearances) concerning the Project • participate in conflict resolution initiated by the Proponent • prepare and submit monitoring reports to World Bank regularly • satisfy its obligations under the Emissions Reduction Purchase Agreement between LBP and World Bank LBP shall assist the Proponent in its implementation of the Project based on LBP’s Safeguards Framework and on the agreed activities and timelines stipulated in the MOA and SPA. 5.3 Department of Environment and Natural Resources The Department of Environment and Natural Resources (DENR) is the primary government institution mandated to manage and protect the Philippines’ environment and natural resources. It is also the Designated National Authority (DNA) of the CDM Program in the Philippines. As DNA, its main role is to review and endorse PoAs to the United Nations Framework Convention on Climate Change. 22 5.3.1 Environmental Management Bureau Through the EMB, DENR sanctions and regulates the activities of the Project by means of various legal instruments. EMB also leads (whether or not as part of a Multi-partite Monitoring Team) the periodic monitoring of the Project’s compliance and impacts, including the fulfillment of the commitments stated in this ESMP. Prior to construction, EMB was the agency tasked to review and evaluate the environmental soundness of the Project and authorize its establishment through the issuance of an Environmental Compliance Certificate. 5.4 World Bank The World Bank is the main Carbon Buyer of the Project, but will also serve as an advisor to LPB in carrying out the latter’s responsibilities as the coordinating and managing entity for CDM projects. The Bank will conduct regular monitoring, audits, and appraisals on the Project’s safeguards performance against its established policies, as well as provide technical guidance to LBP and to the Proponent. 23 6 SUB-PROJECT ACCOUNTABILITY In line with Section 3.02 on Sub-Project Development and Operation by the Sub-Project Entity, Item (q) of the Sub-Project Purchase Agreement (SPA) signed by the Farm Management, the Sub-Project Entity (Farm Management) agrees and undertakes to: (q) implement and operate the Sub-Project in compliance with the World bank Operational Policies, including without limitation and as applicable, the Environmental Management Plan, Resettlement Plan, Indigenous Peoples Plan, and any other requirement resulting from the application of the World Bank Operational Policies. Having signed the SPA, the Farm Management is accountable to comply with the commitments stated in this document. 24 REFERENCES 1 en.climate-data.org 2 vm.observatory.ph 3 dbmp.philrice.gov.ph/soils 4 noah.up.edu.ph (ESRI Base Map) Maps and Images Sources a https://en.wikipedia.org/wiki/File:Ph_locator_map_pangasinan.png b https://www.google.com/maps c Google Earth Pro d http://noah.up.edu.ph/#/section/geoserver/flood25 APPENDICES A Project Design, Plan and Specifications B Health and Safety Risks Management Plan of CPA 53 Pig Farm C Public Consultation Records - Notices - Attendance - Minutes D. Site Evacuation Plan APPENDIX A Project Design, Plan and Specifications APPENDIX B Health and Safety Risks Management Plan of CPA 53 Pig Farm Hazard Possible Harm Source / Prevention / Minimization* Person/s Cause Responsible physical noise discomfort, hearing pig squeals  wear appropriate PPE (ear protection) Farm Personnel damage running  install noise-control devices when Safety officer machineries and applicable Farm Personnel vehicles  regular equipment inspection and maintenance  equipment housed in enclosed structure, if applicable  schedule shifting duties  install signage and warnings  wear appropriate PPE (ear protection) vibration discomfort, ergonomic running  ensure all loose equipment are securely Safety officer and nerve injuries, machineries placed Farm Personnel fatigue  perform regular equipment inspection and maintenance  install signage and warnings electricity shock, electrocution, faulty  get services of a licensed electrician Safety officer burns machineries and Farm Personnel power lines  consult equipment manual  perform regular equipment inspection and maintenance improper use (or  restrict access to equipment servicing) of electrical  install signage and warnings equipment  train staff (consult equipment manual)  wear appropriate PPE heat burns running  use insulation where possible Safety officer machineries (hot Farm Personnel surfaces, vapors,  install machine guards liquids)  install signage and warnings  wear appropriate PPE (such as long sleeved shirts) discomfort, heat working in  adequate hydration and rest breaks Safety officer exhaustion, heat stroke enclosed spaces with limited ventilation dust irritation, respiratory feeds, ambient  calm work pacing to avoid exciting the Farm Personnel distress / diseases dust pigs  thorough cleaning of indoor spaces  PPEs (mask) poor lighting eye strain, can’t see unlit /  install light sources Safety officer hazards inadequately lit Farm Personnel areas  carry portable light sources  work during daytime whenever possible chemical harmful discomfort (odor), degrading  observe measures for odor control TSMD gases, dust, asphyxiation, poisoning, organic wastes Safety officer vapors respiratory distress /  install signage and warning labels Farm Personnel hazardous (inhalation) diseases substances  train staff (on handling hazardous (cleaning and substances and wastes and working in pest control confined spaces; review MSDS / product chemicals, information sheets) veterinary  wear appropriate PPE (mask) medicines, fuels, hazardous  ensure first aid kits are readily available wastes, etc.) fuel burning  perform regular equipment inspection Safety officer (machineries, and maintenance vehicles) fugitive gases  perform regular inspection and Safety officer maintenance of biogas system hazardous irritation, burns, hazardous  use proper labeling, containers, and TSMD substances poisoning, skin substances storage Safety officer (contact, problems (cleaning and ingestion) pest control  restrict access to chemical and hazardous waste storage chemicals, veterinary  train staff (handling hazardous medicines, fuels, substances and wastes; review MSDS / hazardous product information sheets) wastes, etc.)  only competent staff should administer veterinary medicines  ensure first aid kits are readily available  PPEs (gloves, eye glasses) biological pathogens / various infectious pathological  observe proper disposal of animal and TSMD infectious diseases, parasites, materials / tissues veterinary wastes Veterinarians agents, irritation sick animals Safety officer toxins and  implement quarantine measures animal excretions other and fluids  good housekeeping practices products (disinfection) manure (wastewaters)  practice hygienic practices (especially hand hygiene) sludge  perform workers’ regular health veterinary wastes examination (especially sharps)  train staff (on animal handling, proper waste handling and disposal) potential disease carriers (objects,  wear appropriate PPE (gloves, mask, people, dust) goggles) insects, pests,  proper disposal of odorous wastes Farm Personnel vermin  good housekeeping practices  implement pest control measures ergonomic ergonomic ergonomic injuries repetitive actions,  use aid of appropriate equipment for Safety officer stress forceful lifting/moving heavy objects Farm Personnel exertions, sustained  use of proper lifting techniques awkward posture  implement buddy system at work  ensure job rotation / adequate rest (in between tasks) improper use of  train staff (consult manuals) Safety officer equipment Farm Personnel use of faulty  repair or replace equipment Safety officer equipment other accidents and contingencies slips, trips, injuries, wounds, spills (slips)  maintenance of walkways Safety officer falls contusions various objects, Farm Personnel  daily safety briefings and regular debris (trips) trainings heights, slips (falls)  barricading of work areas  wearing of appropriate PPE entanglement injuries, wounds, machineries  install machine guards Farm Personnel strangulation  tie back long hair  wear long sleeve shirts  avoid wearing loose-fitting clothes and personal accessories  regular equipment inspection and maintenance blows, injuries, wounds, pig handling  use animal restraints Safety officer punctures contusions Farm Personnel  ensure enough space to maneuver  train staff (animal handling techniques)  wear appropriate PPE (boots, gloves, etc.) sharps sharps injuries, wounds veterinary  ensure only trained personnel conduct Safety officer activities, waste veterinary activities Farm Personnel handling  wear appropriate PPE (gloves, goggles) fires burns faulty electrical  comply with requirements and TSMD systems, regulations of fire authorities Lead Man explosions, fugitive gases,  provide adequate and proper accidental (multipurpose) fire protection equipment ignition  designate smoking areas away from digester, gas tanks, and electrical equipment and storage of combustible materials (compost, sludge, chemicals)  regular clearing of vegetation near farm structures  install signage and warnings  train staff (on contingency plan and proper equipment use)  perform regular inspection and maintenance of electrical systems and equipment blast blast injuries excessive  keep sources of heat, including Safety officer pressure in machineries, at a safe distance from Farm Personnel biodigester, biogas facility fugitive gases, contained gases  prohibit smoking and use of cellphones around biogas system and gas storage in confined facilities spaces, fires  perform regular inspection and maintenance of MRF  install signage and warnings * Shaded rows / items applicable for Anaerobic Digestion System APPENDIX C Attendance Minutes APPENDIX D Site Evacuation Plan Evacuation Site RDF Ayala Farm Point Persons: Safety officer: Ariel Perigrino - 0998 988 9504 Biodigester and GenSet Supplier: Alterna Verde Corporation (AVC) - (045) 455 4022 Local Emergency Contact Details: Municipality of Mabalacat City Police Station: 0948 552 4384 Municipality of Magalang Fire Station: +63 45 331 2888 Mabalacat City District Hospital: +63 45 331 2801