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

operation of the Project. The implementation of recommendations provided
as a result of the EIA and the Environmental and Social Management Plan
(ESMP) will aid in achieving environmental, economic and social
sustainability.
2.4.1 Environmental Sustainability
The power plant will be fuelled by natural gas, with a small amount of diesel
fuel reserved for instances in which the generators may need to be “blackstarted”
in the event of a grid-collapse. Natural gas has a much less damaging
impact on the environment than other fossil fuels (eg coal or heavy fuel oil).
More specifically, it emits lower levels of greenhouse gas emissions, as well as
other air and tropospheric ozone pollutants.
The use of gas as the feedstock will also help to address the problem of gas
flaring that commonly occurs in Nigeria as a result of oil extraction.
The power station has been designed to allow for a conversion into a
combined cycle power station at a later date. Conversion to combined cycle
will increase energy output by approximately 50 percent with no increase in
fuel consumption or carbon emissions. Furthermore, the envisioned cooling
technology for the combined cycle power station is air based (to minimize
water consumption).
The gas turbines required for the power plant are not manufactured in
Nigeria, or anywhere else on the continent. Plant and machinery will be
sourced by the appointed Engineering, Procurement and Construction (EPC)
contractor. However, Azura will request that the EPC contractor source raw
materials locally to the extent possible as this contributes to the local economy
and reduces unnecessary transportation of materials and resulting emissions.
2.4.2 Economic Sustainability
As previously indicated, there is a high demand for supply of power in
Nigeria in order to support national economic growth. In addition to the
employment and investment opportunities such projects will bring, the
proposed Project will contribute to wealth generation and industrial growth in
the region and assist in meeting the national electricity demand.
The Project is expected to add a significant number of employment
opportunities to the local labour market. It is envisioned that at the peak of
construction up to 500 workers will be employed by the Project. Around 70
percent of the workers will be hired from the local communities within a 30
km radius of the site. The EPC contractor will be made responsible for the
selection and management of all sub-contractors. Azura Power will however,
reserve the right to review all suppliers of major equipment and materials
(specified in the bidder’s proposal or subsequently identified during the
design phase) and to reject any suppliers where they do not meet desired
AZURA EDO IPP
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DRAFT EIA REPORT