EBRD’s environmental specialist conducted an Initial Environmental Examination, which verified that the environmental issues associated with the project can be readily identified, assessed and mitigated. The new plant will be constructed in industrial zone, where a number of other industrial plants are already in operation. There are no protected areas or other known environmentally sensitive areas within the range of potential impact from the plant. No residential areas are located in the vicinity of the site. The project has been designed to high standards of energy and resource efficiency and to meet Russian and European Union environmental standards. For the above mentioned reasons the project is not expected to result in significant adverse environmental impacts and EBRD has classified the project B/0, requiring an environmental analysis of the project.
The environmental appraisal has been based on the assessment of the environmental impacts (OVOS) and the technical-economic substantiation of the investment (TEO) prepared in accordance with the requirements of the Russian law. This documentation has been prepared for the complete manufacturing plant with capacity of 8 million tyres per year, which Nokian Tyres Plc plans to achieve with further investments by 2018. EBRD’s environmental specialist also visited the project site and observed the public hearing held in accordance with Russian environmental impact assessment procedure.
The possible environmental issues arising from tyre manufacturing operations include emissions of curing fumes into the air and waste, as well as local noise and odour problems. In new plants like this, these issues can be efficiently mitigated with plant design and technology. The chosen technology conforms to EU and international environmental and safety standards of tyre manufacturing. Products and functions are designed to minimise environmental impacts of production, use and disposal. The contractors will be required to adhere to international standards and work practices and will be closely supervised. The environmental impacts of the project have been assessed to be insignificant and efficiently mitigated. Nokian Tyres Plc was the first tyre manufacturer in the world to obtain certification of its environmental management system to British Standard BS 7750 (previous to ISO 14001) and is committed to adopt and implement ISO 14001 Environmental Management System in Vsevolozhsk Plant.
The project site is located in Kirpichyj zavod industrial zone about 10 km from the centre of the town of Vsevolozhsk. Soil analysis conducted as part of the geological study did not show any elevated concentrations of radioactive substances, heavy metals or hydrocarbons and verified that the site is suitable for the construction and operation of the plant.
The Plant will use up to 12,750 tonnes rubber (60%), carbon black and other fillers (30%) and additional chemicals (10%). In the first phase of manufacturing, the plant will not involve rubber mixing operations, but will be supplied with rubber compounds as raw materials from Nokian Tyres Finland. Other raw materials are sourced from various suppliers in Europe, in Far East and in Russia.
The air emissions from the plant consist of dust, vulcanisation and emissions from the steam boiler. Dust emissions will be efficiently mitigated and controlled through ventilation and filtration systems. Solvent fume (Volatile Organic Compound) emissions will be negligible due to minimised use of solvents. Fugitive emissions from tyre vulcanisation will be limited, but foul-smelling. However, because there are no permanent residential areas within close range to the plant, this will not cause significant nuisance to local population. The emissions from the steam boiler will be insignificant due to use of natural gas as fuel. The plant is not expected to have a significant impact on the ambient air quality in the surrounding areas. The combined effect of air pollution with other sources located in Kirpichyj zavod industrial zone will also remain within regulatory limits.
Due to closed cooling water system, the amount of wastewater is minimised. The overflow water from the cooling system flows through a pre-treatment system consisting of filtration and oil separation before it is discharged together with the domestic wastewater into the municipal sewage network. Rain and storm water will be collected through a separate drainage system in a sedimentation lagoon before it is discharged to the municipal sewage network. Pre-treated wastewater is designed to meet the applicable regulations with regard to all parameters.
The plant will generate significant amount of waste. Solid waste management will be organised in accordance with the principles of waste minimisation and recycling. The majority of the waste is non-vulcanised rubber waste, which can be to large extent recycled within the plant. Scrap rubber tyres will be delivered to specialised companies to be re-used as construction material. Household waste and production waste that is not suitable for recycling will be disposed of in accordance with regulatory requirements. Hazardous waste management will be outsourced to licensed companies. Used oils will be collected into the waste storage facility located in the garage complex. Waste storage or handling will not have a significant effect on the environment outside the plant's territory.
Chemicals will be stored in steel, plastic containers surrounded by a concrete secondary containment preventing any leakage of chemicals from contaminating soil or groundwater.
Noise abatement has been taken into consideration in the project design and the plant layout. Significant noise sources, such as compressor plant, steam boiler, manufacturing equipment and cooling system condensers will be installed in noise suppressing enclosures ensuring that noise levels at the perimeter of the plant will meet regulatory limits.
Transportation to and from the plant will be carried out by both rail (60%) and road (40%). The increase of road and rail traffic has been assessed to be negligible and not to cause significant disturbance to the surroundings.
The plant will adhere to Nokian Tyres Plc’s corporate occupational health and safety standards and Russian worker health and safety regulations. All necessary measures will be implemented to achieve healthy working conditions. All those working on the Company’s premises are required to observe its protection instructions. The Company will provide training and guidance and supervise the instructions are followed. Employees´ health is also taken care of by means of education and guidance and regular independent workplace surveys.
Due to the presence of dust in the manufacturing process the fire safety precautions have been carefully taken into consideration in the project design. Fire detectors will be installed at all process equipment where fire hazard is present. Sprinkler systems will be installed in all production buildings. Staff will be trained in fire prevention and fire-fighting.
The plant will have a positive socio-economic impact by creating direct jobs for 300 (by 2006) and indirect employment for approximately 100 persons.
In accordance with its corporate policies, Nokian Tyres Plc is committed to operate as a good corporate citizen and maintain open dialogue and close relationship with the surrounding community and local population. It will keep the community informed via its website and other forms of communication.
Nokian Tyres Plc will monitor and report the environmental impact of the project and its operation in accordance with Russian environmental law and with Nokian Tyres corporate environmental reporting standards, based on ISO 14001 and EMAS environmental and safety management systems. 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 (AERs) covering: (i) ongoing environmental, health and safety performance; and (ii) the status of implementation of environmental mitigation and improvement measures. The Bank’s representatives will also conduct periodic site supervision visits when deemed appropriate.
The project has undergone an environmental impact assessment and public consultation in accordance with Russian OVOS law. As part of this procedure, environmental information of the project was disclosed to public 30 days prior to a public meeting on the environmental impacts of a project. The competent Russian environmental authorities will take the public comments into consideration when defining the conditions and requirements for the project design and implementation in the planning, construction and operation permits. No significant issues of concern on the project have been raised by the public to date
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