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

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EXECUTIVE SUMMARY<br />

INTRODUCTION<br />

<strong>Azura</strong> <strong>Power</strong> West Africa Limited (‘<strong>Azura</strong> <strong>Power</strong>’), a Nigerian-registered<br />

subsidiary of Amaya Capital Limited (‘Amaya’), proposes to develop a 450 MW<br />

Open Cycle Gas Turbine (OCGT) <strong>Power</strong> <strong>Plant</strong> on the outskirts of Benin City, <strong>Edo</strong><br />

State, Nigeria. The Project comprises a power plant, a short transmission line<br />

connecting the power plant to the adjacent Benin North Substation, and a short<br />

pipeline spur connecting the power plant to the Escravos Lagos Pipeline System.<br />

The proposed site for the Project is located in the north-eastern outskirts of Benin<br />

City, <strong>Edo</strong> State in Nigeria. The Project site is adjacent to the Ihovbor <strong>Power</strong> <strong>Plant</strong><br />

which is currently under construction under the auspices of the National<br />

Integrated <strong>Power</strong> Project (NIPP).<br />

The Project requires an EIA in terms of the Nigerian <strong>Environmental</strong> <strong>Impact</strong><br />

Assessment Act No 86 (1992) and in order to fulfil World Bank requirements for<br />

financing. The purpose of the EIA is to ensure that potential environmental and<br />

social impacts associated with development of the Project are identified, assessed<br />

and managed appropriately. Mitigation measures are then developed and<br />

incorporated into the project to eliminate, minimise or reduce adverse impacts<br />

and, where practicable, to enhance benefits. <strong>Azura</strong> <strong>Power</strong> has appointed<br />

<strong>Environmental</strong> Accord (EnvAccord) and <strong>Environmental</strong> Resources Management<br />

Limited (ERM) to develop the EIA, the main results of which are presented in<br />

this executive summary.<br />

PROJECT OVERVIEW<br />

The Project will comprise a 450 MW (net) gas-fired power plant a short<br />

transmission line (less than 1 km) connecting the power plant to the Benin North<br />

substation (adjacent to the Project site) and a short underground gas pipeline<br />

spur (circa 1km in length) connecting the power plant to the country’s main gas<br />

trunk line, the Escravos Lagos Pipeline System (ELPS).<br />

The Project and this EIA do not include the Benin North substation which is<br />

currently being constructed under the management of the National Integrated<br />

<strong>Power</strong> Project (NIPP). This substation was initiated and funded prior to the<br />

establishment of <strong>Azura</strong> <strong>Power</strong> and its construction and operation is not<br />

dependent upon the <strong>Azura</strong>-<strong>Edo</strong> IPP.<br />

PROJECT JUSTIFICATION<br />

The project is justified primarily on the basis of the need for additional electricity<br />

supply to meet and support the growing demand for power in Nigeria to<br />

support economic growth.<br />

AZURA EDO IPP<br />

I<br />

DRAFT EIA REPORT

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