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Screening categories and rationale for classification
The Project was initially screened as requiring Initial Environmental Examination (IEE). Based on the outcomes of the environmental due diligence, it has been concluded that environmental and social issues associated with this large-scale residential development can be readily identified and mitigated by adequate measures. Therefore, the Project was classified as B/0 that requires an environmental analysis of the site and the Project, and public information on the potential impacts and mitigation measures.
Due diligence undertaken and outcomes
The environmental due diligence for the proposed residential development included an independent environmental consultant’s review of the site and the Project (June 2008), ESD specialists’ site visit (26 June 2008), attendance of public hearings (31 July 2008) by EBRD representatives, as well as a review of several other reports commissioned in association with the Project, such as preliminary traffic study, marketing report and a geological survey.
It was concluded that the site is suitable for the development; the Project has been structured in compliance with national environmental standards as well as good international practice; environmental impacts are mainly associated with the construction activities and can be readily addressed; the Project does not involve any resettlement; and social impacts are satisfactorily addressed through the Project structure which provides for public buildings such as schools and kindergartens, recreational areas and safety of pedestrian traffic. Waste water treatment provisions are adequately in place for the Project with the EBRD's involvement in Southwest Wastewater Treatment Plant which will enable the city to fully meet EU urban wastewater discharge standards overtime. An Environmental and Social Action Plan (ESAP) has been finalised and agreed with the Sponsor.
The planning and actions undertaken show that there are adequate provisions within the Project to manage the incremental traffic on local roads. Traffic management is being developed by the City. This includes the reconstruction of relevant intersections connecting new roads to the existing road network. The City has commissioned a detailed traffic management study for the area, which is to be completed in the nearest future. Separate public hearings are to be held by municipality over traffic impacts and design solutions during and upon the development of a larger area that the Project is a part of. The Borrower is committed to follow any recommendations issued by the City based on the outcomes of the study.
The area where the Project is located has been earmarked for residential development under the St. Petersburg Development General Plan which was approved by the regulatory authorities and had been subject to extensive public consultation. Public disclosure of the proposed Project was carried out through a local newspaper on June 23rd, 2008 as well as notice boards, personal notifications to the members of the local council and potentially affected landowners in accordance with the Russian regulatory requirements and public hearings which took place at Moskovskiy District Administration Building in St. Petersburg on July 31st, 2008.
Monitoring
The Bank will evaluate the Project’s compliance with the applicable environmental and social requirements during the lifetime of the Project by reviewing annual environmental reports (AER) prepared for the Project as well as monitoring visits where necessary and adequate. AER will cover
(i) on-going performance of Project-specific environmental, health and safety programmes if applicable, and
(ii) the status of implementation of environmental mitigation measures as well as ESAP if required.
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