Azura-Edo Independent Power Plant Environmental Impact ... - IFC

contract workers. An additional number of employment and contract
opportunities will be required for Project servicing and support, and will be
generated through local economic development and investment. Through
targeted training and capacity building, the Project expects that the majority of
jobs during the operation phase will be offered locally, as a priority, or
regionally. This is expected to have a significant impact on local employment
levels and local economic development.
Decommissioning will necessitate elimination of employment positions and
subcontracts directly associated with the Project, as well as related economic
activities in the region.
Impact Significance
Positive impacts to employment and economy during the operation phase of
the Project could be of major significance, bringing much needed development
and opportunities to the area. This means, though, that the impact of
decommissioning on the employment and economic situation of the area
could be of equal significance, and negative. This could go beyond simple
reversal of positive impacts, as Project activities will have made it impossible
for people to return to the primarily agricultural livelihoods practiced before
Project development. Particular issues could include:
• Loss of direct and contracted employment positions and service/supply
contracts;
• Loss of indirect business opportunities and associated employment;
• Decline in economic productivity and household income; and
• Decline in regional and local economic activity.
The extent of impacts will be regional, since the majority of the affected
workforce and businesses will be regionally-based. Without initiatives to
encourage development and economic diversification, the duration of impacts
would be long term, if not permanent. The probability of the impacts
occurring, based on pre-Project levels of economic activity, is considered to be
likely and the overall magnitude is considered to be moderate.
Because the Project will have reduced the viability of agriculture as an
alternative livelihood in the area, the sensitivity rating for receptors of this
impact is moderate - high.
As such, the significance of the impact of Project decommissioning on
employment and economy is considered to be negative and minor.
7.13.4 Impact Description and Significance: Summary
Table 7.25 provides a summary of the significant impacts likely to arise during
construction, operation and decommissioning prior to the implementation of
mitigation measures (see Chapter 8).
AZURA EDO IPP
7-68
DRAFT EIA REPORT