World Bank Documentdocuments.worldbank.org/curated/pt/375121468752787089/pdf/multi... · The EA has been carried out by Det Norske Veritas AS and PT Elnusa Ehaesindo. The gas distribution

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TECHNICAL REPORT

MIGAS

ENVIRONMENTAL ASSESSMENT STUDYFOR THE WEST JAVA GAS DISTRIBUTION

PROJECT

PT PERUSAHAAN GAS NEGARA (PGN)

DRAFT FINAL

REVISION No. 01

PREPARED BY DET NORSKE VER1TAS ASIN CO-OPERAnON WITH ELNUSA EHAESINDO

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DRAFT FINAL TECHNICAL REPORT *

Table of Contents Page

I EXECUTIVE SUMMARY ..............................................1

1.1 Abstract 1

1.2 Introduction 1

1.3 Policy, Legal and Administrative Framework I,I 1.4 Description of the Gas Distribution Project 2

i 1.5 Environmental Baseline Description 2

,, 1.6 Safety Baseline Description 3

1.7 Social and Economic Baseline Description 3

1.8 Communities and Cultural Baseline Description 3

1.9 Pollution Baseline 4

1.10 Environmental Impacts on Land Use 4

1.11 Environmental Impacts from Pollution 4

A 1.12 Accidental Events - Assessment of Safety and Environmental Risks 4; 1.12.1 Safety risks 4

1.12.2 Environmental risks 4

1.13 Impacts on Social and Economic Conditions 5

1.14 Impacts on Communities and Culture 5

* 1.15 Analysis of Alternative Options 5

- 1.16 Environmental and Safety Mitigation Plan 6

s 1.17 Environmental and Safety Management within PGN 61.17.1 PGN organisation 61.17.2 Gas distribution project 61.17.3 Contractors 61.17.4 Environmental and Safety Monitoring Programme 7

Q 1.18 PGN Commitments on Environment and Safety 7

2 INTRODUCTION ............. 8

2.1 Purpose of This Report 8

2.2 Overview of the Trans South Sumatera - West Java Gas Development Project 8

2.3 Brief Description of the PGN Gas Distribution System 9

2.4 Methodology of the Environmental Assessment Study 10

2.5 Report Structure 12

3 POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK ................................ 13

3.1 The EA Concept and its Role in Industrial Development and Action 13

3.2 Indonesian Environment and Safety Legislation, Regulations and Authorities 14

3.3 The World Bank's Environmental Policies and Guidelines 19

3.4 Safety and Environmental Permits 20

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J 4 DESCRIPTION OF THE GAS DISTRIBUTION PROJECT .................................... 214.1 Activities and Geographical Area Included in the EA Studv 214.2 Pre Construction 244.2.1 Project Management 244.2.2 Procurement Philosophy 244.2.3 Design Philosophy 264.3 Construction 28

4.4 Operation and Maintenance 31

4.5 Decommissioning of Installations 32

4.6 Environmental Effects of Gas Consumption 32

4.7 Summary of Releases to the Environment 33

5 ENVIRONMENTAL BASELINE ........................ 35

5.1 Introduction 35

5.2 Geography 35

5.3 Climate 355.4 Soil 36

5.5 Land Use 385.6 Biology 40

. 6 SAFETY BASELINE DESCRIPTION ........................ 41

6.1 Introduction 41

6.2 Safety in Design 41

6.3 Baseline Accident Statistics 41

7 SOCIAL AND ECONOMIC BASELINE ............................. 44

7.1 Introduction 44

7.2 Infrastructure 44

7.3 Population and Human Settlement 45

7.4 Employment 47

7.5 Economic Situation 49

8 COMMUNITIES AND CULTURAL BASELINE .................................... 51

8.1 Introduction 51

8.2 Organisation and Management of Local Communities 51

8.3 Land Ownership 51

8.4 People 52

8.5 Cultural Heritage and Values 52

9 POLLUTION BASELINE .................................... 54

9.1 Air 54

9.2 Soil 55

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9.3 Water 55

s 9.4 Noise 55

9.5 Conclusions 56

i 10 ENVIRONMENTAL IMPACTS ON LAND USE .57

10.1 Pre Construction 5710.2 Construction 57

10.3 Operations 59

10.4 Conclusions 60

10.5 Recommendations 60

11 ENVIRONMENTAL IMPACTS FROM POLLUTION .61

11.1 Introduction 6111.2 Activities of Potential Impact 61

11.3 Releases to Air 6211.3.1 Construction 6211.3.2 Operations 63

11.4 Releases to Water 6511.4.1 Construction 6511.4.2 Operations 6611.5 Releases to Land 6711.5.1 Construction 67

11.6 Operation 68

; 11.7 Noise 6811.7.1 Construction 6811.7.2 Operations 69

11.8 Conclusions 69


s 12 ACCIDENTAL EVENTS - ASSESSMENT OF SAFETY ANDENVIRONMENTAL RISKS ................... 72

12.1.1 Introduction 72

12.2 Safety Risk Assessment 7212.2.1 Introduction 7212.2.2 Hazard Identification 7312.2.3 Pipeline Failure Scenarios and Impacts 75

12.3 Environmental Risk Assessment 7712.3.1 Construction 7712.3.2 Operations 77

12.4 Conclusions 8012.4.1 Safety 8012.4.2 Environmental 81


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12.5.1 Safety 8112.5.2 Environment 81

13 IMPACTS ON SOCIAL AND ECONOMIC CONDITIONS .................................... 83

13.1 Introduction 8313.2 Pre-Construction 8313.3 Construction 8313.4 Operations 8513.5 Conclusions 87


14 IMPACTS ON COMMUNITIES AND CULTURE .......................................... 8914.1 Introduction 8914.2 Pre Construction 8914.3 Construction 89

14.4 Operations 9014.5 Conclusions. 9014.6 Recommendations 90

.. 15 ANALYSIS OF ALTERNATIVE OPTIONS .......................................... 91

15.1 Introduction 9115.2 Alternative Investment Plans 91

15.3 Alternative Routing 9115.4 Design 92

15.5 Conclusions 9315.6 Recommendations 93

V 16 ENVIRONMENTAL AND SAFETY MrTIGATION PLAN .................................... 9416.1 Introduction 9416.2 Environment Mitigation Plan 94

16.3 Safety Mitigation Plan 99

j 17 ENVIRONMENTAL AND SAFETY MANAGEMENT .103

17.1 Introduction 10317.2 General Organisational and Management Structure in PGN 10317.3 Environmental Management in PGN 10517.3.1 Comparison with ISO 14001 10517.3.2 Conclusions 10717.3.3 Recommendations 108

17.4 Safety Management in PGN 10917.4.1 Comparison with ISRS 10917.4.2 Conclusions III17.4.3 Recommendations 111

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17.5 Environmental Management Plan 11217.5.1 Gas Distribution Project 11217.5.2 Contractors 11317.5.3 Emergency Response 113

17.6 Safety Management Plan 11317.6.1 Gas Distribution Project 11317.6.2 Inspection and Maintenance 11317.6.3 Emergency Response 114

$ 18 ENVIRONMENTAL AND SAFETY MONITORING PROGRAMME .................1 15

18.1 Introduction 115

18.2 Environmental Monitoring Programme 115

18.3 Safety Monitoring Programme 121

19 REFERENCES ......... 125

APPENDICES

APPENDIX A GLOSSARY OF TERMS AND ABBREVIATIONS

APPENDIX B LIST OF EA PREPARERS

a APPENDIX C INDONESIAN ENVIRONMENT, HEALTH AND SAFETY PERMIT

SCHEDULE

APPENDIX D INDONESIAN ENVIRONMENTAL QUALITY STANDARDS

APPENDIX E SITE VISIT DETAILS

APPENDIX F SITE VISIT PHOTOGRAPHIC PLATES

2 APPENDIX G SAFETY CONSEQUENCE ASSESSMENT

APPENDIX H SAFETY AND ENVIRONMENTAL HAZARD DATA SHEETS

- APPENDIX I PUBLIC CONSULTATION DETAILS

> APPENDIX J LIST OF PGN'S PROJECT COMMITMENTS

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1 EXECUTIVE SUMMARY

1.1 Abstract

This report contains an Environmental Assessment (EA) of a natural gas distribution systembeing planned on West Java.

The main environmental impacts of the project are:

* nuisance and physical disturbance along the pipeline routes duting construction:* a potential for accidents from gas leaks during operation.The main environmental benefit of the project is less air pollutioln than when using fuel oil andcoal, which are the fuel alternatives if natural gas is not made available.

1.2 Introduction

The EA has been carried out by Det Norske Veritas AS and PT Elnusa Ehaesindo.

The gas distribution system is part of the Trans South Sumatera - West Java Gas Developmentproject, and will be owned and operated by Pt. Perusahaan Gas Negara (PGN).

PGN is seeking financing from the World Bank, and the EA has for this reason been carried outaccording to the World Bank guidelines and directives.

These pipelines are routed alongside existing roads, through mainly urbanised or industrial areasinterspersed with agricultural and farming activity. The terrain is generally flat or gentlyundulating crossed by several major rivers and numerous natural streams or man-made canalsand drainage channels. There are no known conservation or environmentally sensitive areasaffected by the proposed extension of the existing gas distribution system.

The Consultant has made a number of recommendations to PGN in order to avoid or mitigatenegative impacts. The impact assessments discussed below are based on an adoption of theserecommendations by PGN.

1.3 Policy, Legal and Administrative Framework

The EA addresses the construction and normal operations of the gas distribution pipeline, as wellas scenarios for possible accidental events.

As part of the EA, a review of Indonesian environmental legislation and regulations applicable tothe project was undertaken. The Indonesian EA statement (AMDAL) is broadly consistent withthe corresponding EA requirements in other countries. PGN will prepare an AMDAL report forthe gas distribution project.

Indonesian safety guidelines for gas pipelines have recently been revised by MIGAS in order toincorporate a voluntary requirement for safety quantitative risk assessment (QRA).

The World Bank has adopted environmental guidelines for environmental assessments to befollowed by recipients of their loans.

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PGN will comply with all existing Indonesian safety and environmental legislation andregulations, according to World Bank guidelines.

1.4 Description of the Gas Distribution Project

The gas distribution system is planned to be built in 1998 - 2001. The plans are still flexible andsome changes are expected. A summary of the present plans is given in the table.

I Jakarta/B ogor area. Zone 1 189 mmscfd 16km

Scrang-Anyer-Cilegon-Kopo arca. Zone 2 94 mmscfd 106 km

Karawang-Cikampek-Purwakarta-Subang area. Zone 3 215 mmscfd 125 km

The pipelines will be routed through mainly urban areas and alongside main roads with heavytraffic in some areas. Existing dwellings and buildings are frequently close to the roads and thismay present problems during construction and operation. The pipeline route crosses numerousrivers and streams and some major highways and railroads. These crossings are not expected topresent significant problems during construction.

The pipeline will be designed to ASME B31.8 Class 4 standard, consistent with denselypopulated urban areas where multi-storey buildings are prevalent and traffic is heavy. This designclass is appropriate for the area of operation and caters also to future developments.

The distribution pipelines will be made of welded steel. Pipe diameter will be mainly 16". Thepipelines will be buried with a minimum cover of 1.5m.

Water crossings will be by steel bridges. For major road and highway intersections and railcrossings, thrust boring may be employed.

The pipeline will be pigged, cleaned and pressure tested, using fresh water supplied from localwater mains where available, otherwise river water will be used with filtering and removal ofsuspended solids.

PGN carry out regular patrols of its existing pipelines and will also carry out regular controls ofthe proposed gas distribution pipelines.

An odorant (THT), which PGN already have experience of using, will be injected into thedistribution system for detection of leaking gas.

PGN have established a project team for the gas distribution project responsible for planning.

1.5 Environmental Baseline Description

West Java has a tropical climate with moderate temperature distinction between the seasons. Themonsoon season is from October to the end of April, and the dry season from May to September.Monthly rainfall varies from 100 to 400 mm.

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Land use along the routes is:

Rural 34 % Urban 28% Industrial 22%Agricultural 9% Forestry' 5% Tourisiii 2%

Whilst several protected species of flora and fauna can be found in West Java. none are likely tobe found directly along the planned pipeline routes.

1.6 Safety Baseline Description

The gas distribution system is designed for compliance with the technical and safetyrequirements set by the latest edition of the American Society of Mechanical Engineers (ASME)B3 1.8 Gas Transmission and Distribution Systems.

PGN have reported 7 accidents since 1974. Three of these accidents have occurred in highpressure distribution systems (>7 bar). Two of the accidents resulted from third party impact andthe other was due to material defect.

1.7 Social and Ecornomic Baseline Description

The total population in 1995 was 4,189,000 in Zone 2 and 3,291,000 in Zone 3. Populationdensities are high, ranging from 600 to 5,800 per square km. Population growth is rapid.

Employment in these zones is mainly in the agricultural sector, providing 32% of the jobs.Industry, trade, hotels, restaurants, services and construction sectors contribute 58%. The utilitiessector (gas, electricity and water) provides less than I % of the total

The economy in West Java grew at around 8 % over the period 1994 to 1995.

Manufacturing industry in West Java is particularly important to the economy of Indonesia andcontributes around 30% cf the Gross Domestic Regional Product. Agriculture contributes 16 %and utilities around 2%.

1.8 Communities ain d Cultural Baseline Description

Rural or urban village (keluruhan) is the lowest level of formal government administrativeorganisation in West Java. Non govemmental organisations that contribute to villageorganisation and managernent are common.

The land ownership system in West Java is generally in the form of private property owned byfamilies or individuals.

* The original people of West Java are known as the Sundanese, who remain the most dominantethnic group.

The majority of the population in West Java as a whole are Moslems. Other religions includingChristianity, Hinduism and Buddhism are followed by smaller numbers of the population.Sundanese culture is strongly associated with the Islamic religion.

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1.9 Pollution Baseline

The amount of pollution baseline data available is limited. But as pollution caused by the gasdistribution pipeline is not likely to be significant the lack of pollution baseline data is notconsidered to be important.

1.10 Environmental Impacts on Land Use

The main land use impacts to the pipeline route are associated with potential solid waste andliquid effluent waste disposal along the pipeline route and lack of land reinstatement.

Land will be acquired for the offtake stations only. In total 7.500 m2 in three different locationswill be acquired.

PGN will prepare a land reinstatement plan as part of the detailed design phase in order to ensurethat land in urban and non-urban areas returns to its original condition as quickly as possible, andto reduce the levels of erosion and pipeline failure risk.

1.11 Environmental Impacts from Pollution

Construction activities are likely to cause localised noise nuisance.

Disposal of contaminated trench and hydrostatic testing water may cause localised river andagricultural land pollution during construction, if not carried out properly.

Construction wastes will be reused, recycled or disposed of at officially approved sites.

Natural gas combustion by customers produces smaller quantities of gaseous pollutants per unitof energy supplied than other fossil fuels currently used. In addition no solid wastes are producedby gas combustion. These are important environmental benefits of the project.

1.12 Accidental Events - Assessment of Safety and Environmental Risks

1.12.1 Safety risks

The major safety hazard associated with gas distribution pipeline project is from accidentalreleases of natural gas. The flammable hazard associated with natural gas releases is of primaryconcern for human safety.

The PGN failure rate per 1,000 km-year is comparable to the U.S. gas transmission and theEuropean Gas Pipeline Incident Data Group pipeline failure rate data.

Pipeline routing, pipeline sectionalisation and third party impacts are the most important factorsto be considered for limiting safety risks.

1.12.2 Environmental risks

Accidental release of the odorant (THT) added to the gas can give a local air pollution problemclose to the injection station. Any methane lost by leaks or ruptures is a potential asphyxiant andwill contribute to greenhouse gas emissions.

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The amounts of THT stored at odorising plant will be limited to I tonne and measures to preventand contain spills will be implemented.

1.13 Impacts on Social and Economic Conditions

The gas distribution pipeline will be constructed along an existing government ROW. Some landacquisition is required for the three planned offtake, metering and regulation stations.

Construction workings ame likely to cause temporary nuisances ancd disruptions to residents andeconomic activity along t.ie pipeline route.

PGN estimate total investment costs for the project of US$ 120 million over a two year period.This corresponds to a small fraction of the construction and manufacturing sectors in West Java.

It is estimated that a total of 1,215 man years of effort (from 1998 to 2001) will be required inorder to design and construct the gas distribution pipeline and ancillary plant.

Current plans for Zones 2 and 3 include supplying 156 principally industrial customers with atotal of 500 mmscfd of gas.

The gas supplied will be used for industrial expansion and to replace other formns of presentenergy supply (e.g. fuel oil, coal, wood, etc.).

1.14 Impacts on Comnmunities and Culture

Public consultation has been started by PGN. They will include the general public, localgovernment and non-government organisations in Zones 2 and 3 according to the World Bank'srequirements. Public consultation is a means for mitigating impacts on communities and culture.

The construction activities may cause a disturbance to local cultural activities. These impacts arenot likely to be significant.

1.15 Analysis of Alternative Options

The "zero option" would be not to build a gas distribution system at all. The energy demnand mustthen be met by other sources, such as coal, fuel oil, combustible wastes and wood. Compared touse of natural gas, these fuels would cause a significant increase in emission of air pollutants andthus have a significant negative impact on local and regional air quality. In addition, the emissionof greenhouse gases (mainly carbon dioxide) is lower when burning natural gas.

The option of routing the pipelines remote from roads is normally not recommended as it willcreate a land acquisition problem, access roads must be built and service lines to the customerswill be long. Investment costs will increase. However, there could be sections where a routeremote from very densely populated areas should be considered.

The technologies and design standards used in the project-are acceptable. They will be furtherrefined by the appropriate use of Quantitative Risk Assessment during the detailed designprocess, where this is required by the standards.

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1.16 Environmental and Safety Mitigation Plan

Tables summarising the priorities for the environmental and safety and mitigation plans for thepre-construction, construction and operations phases are presented in the report. The plans arebased on conclusions and recommendations from the preceding impact sections.

1.17 Environmental and Safety Management within PGN

1.17.1 PGN organisation

PGN do have some elements of an Environment Management System (EMS), and have severalof the key elements of a Safety Management System (SMS).

PGN will evaluate implementing institutional changes in the future in order to improve safetyand environmental performance. This may involve establishing an environmental department formanaging environmental issues, and will require long term commitment and development.Introduction of an EMS based on ISO 14001 will be considered. This will be throu-gh.areviewconducted bv consultants.-

Training programs in environment and safety management should be established. Shiort courseswill be sufficient for most personnel categories. Specialist will need extensive training, inIndonesia and possibly abroad.

1.17.2 Gas distribution project

PGN will appoint a safety and environmental manager within the organisation of the gasdistribution project.

Due to the very little time available, first priority will be given to develop separate environmentaland safety management systems in accordance with the general requirements of ISO 14001 forthe gas distribution project.

PGN will create safety and environmental (SE) responsibilities within the organisation of the gasdistribution project. SE management will generally be according to the ISO 14001 EMS model.A basic set of procedures will be established in order to ensure compliance with the requirementsof Indonesian legislation, mitigation plans and monitoring programmes detailed in this EA study.

PGN have existing emergency response plans for their other existing pipeline systems. Thisemergency response plan (including THT aspects) will be amended accordingly for the gasdistribution project and communicated to PGN staff, local authorities and the public.

1.17.3 Contractors

PGN will develop a set of contractual clauses to control the performance of Contractors withinSE. These clauses will be part of the contract between PGN and the Contractors.

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1.17.4 Environmentil and SafetY Monitoring Programme

The monitoring program;ne will provide PGN management with information in order to assesscompliance with Government, World Bank and corporate safety and environmental policies.objectives and regulations.

Important elements of the monitoring programmes presented in the report are:

* establish baseline documentation of the state of the pipeline route;* records of regulations and permits;* records of consultations with local population and leaders;* records of reactions from the community including response;* monitoring of contractors activities;* records of incidents/accidents including corrective actions taken.

1.18 PGN Commitments on Environment and Safety

The Consultant has proposed a number of commitments to be made by PGN on environmentaland safety aspects of the gas distribution pipeline project. These are listed in Appendix J of thereport. PGN has decided tv carry out a review of these commitments.

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2 INTRODUCTIO'N

2.1 Purpose of This Report

The purpose of this report is to present the Environmental Assessment (EA) of a gas distributionsystem being planned on West Java. The gas distribution system is part of the Trans SouthSumatera - West Java Gas Development project, and will be owned and operated by Pt.Perusahaan Gas Negara (l'GN).

PGN is seeking financing from the World Bank, and the EA has for this reason been carried outaccording to the World Bank guidelines and directives.

The EA has been carried out by Det Norske Veritas AS and PT Elnusa Ehaesindo for PGN,under acontract with the D)irectorate General of Oil and Gas (MIGAS).

2.2 Overview of the Trans South Sumatera - West Java Gas DevelopmentProject

The first stage of upstream gas development includes several onshore gas fields in SouthSumatera, including collecting pipelines, processing and compressiig. These installations will beowned and operated by Pertamina and supply gas to PGN at Pagar Dewa.

The second stage of upstream gas development includes gas fields in Central Sumatera,transported to Pagar Dewa in a future pipeline planned and owned by PGN.

PGN is planning a new Gas transmission pipeline from Pagar Dewa to Cilegon on the West coastof Java. Construction of the transmission pipeline is planned to stwrt in 1998, and operations in2001. It will be connected to the existing Pertamina gas pipeline system in West Java. Twopartially overlapping EA reports are being prepared for the Gas transmission pipeline, oneaccording to Indonesian regulations and one according to the World Bank guidelines anddirectives.

The purpose of the PGN gas distribution system, subject to the EA findings of this report, is tomake gas from Sumatera available to the markets on Java.

The construction of the lyas distribution system will be based on the market situation. PGNprefers to have contracts with gas customers before construction starts. The plans are thereforeflexible and depend upon future contracts.

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2.3 Brief Description of the PGN Gas Distribution SYstem

It is intended to expand PGN's existing gas distribution system in WVest Java by the constructionof new pipelines and branch lines in the system. The purpose of thlis proposed expansion is todeliver additional natural gas brought in from the Pertamina operated gas fields in South Sumatraestimated at 250 mmscfd to major industrial growth areas in West Java. Currently, PGN issupplying about 110 mmscfd to industrial and commercial customers in the Jakarta/Bogor area ofWest Java, receiving its supplies from offshore and onshore gas fields in West Java through thePertamina Transmission Network and six offtake stations at Tegal Gede, Cimanggis, Walahar,Cibinong, Bitung and Serpong. The demand for gas is expected to grow from the present gasutilisation of I 10 mmscfd to at least 500 mmscfd over the next seven years.

To meet this growing demand, extension of the current distribution network is required toachieve this ramp up. Gas from the Pertamina South Sumatra gas fields is expected to beavailable from the year 2002, but could also be supplied from other additional sources.

The new PGN gas pipelines, ranging from Nominal Pipe Size (NPS) 6" to 16" in diameter covertwo main areas, namely the Serang-Anyer-Cilegon-Kopo area (Zone 2 extension) west of Jakartaand the Karawang-Cikampek-Purwakarta-Subang area (Zone 3 extension) east of Jakarta. Inaddition, a relatively short branch line will be constructed in the central Zone 1 of Jakarta/Bogor.Gas to the two regions are supplied at potential supply quantities of 189, 94 and 215 mmscfdrespectively for Zones 1, 2 and 3 based on a ASME #150 class pipeline system (nominaloperating pressure of 5 to 16 bar). Three new metering and pressure regulating off-take stationsat Cikande and Cilegon in Zone 2 and at Pasir Jadi in Zone 3 are planned as part of the extension.Figure 2.1 shows the existing Pertamina and PGN gas distribution system and the proposedextensions of the PGN distribution system. The expansion plans do not require any addition ofcompression facilities.

According to PGN marketing survey results, the PGN gas distribution system is intended to serveonly industrial users for steam raising, heating and process applications, typically manufacturingplants engaged in. the production of ceramics, textiles, chemicals, food, paper and metals.Potentially, there are estimated 409 additional industrial customers that the extended distributionsystem could serve.

PGN has good experience with managing gas distribution system with approximately 1500 kin ofdistribution pipelines, of which about half comprise low pressure distribution lines of steel, castiron, ductile iron and polyethylene construction. Recently, PGN completed a major expansion ofthe high pressure distribution system in East Java at Surabaya. The proposed expansion plans forWest Java are, by comparison, on a similar scale and therefore not expected to pose new anddifficult challenges to PGN. The West Java expansion plans are presently still on a Master Planlevel and preliminary engineering has yet to be completed. It is therefore assumed for the purposeof this assessment that this new distribution network expansion will proceed according to PGN'spreviously established design philosophies, construction methods and operational proceduresused for the existing pipelines.

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The proposed extension of PGN's West Java gas distribution netlvorki has been initiated as thePEMJADIG West Java Project and xvill basically comprise a total of 255 km of buried, coatedsteel pipelines located in the eastern and western halves of West Java. on either side of Jakarta.These pipelines are routed alongside existing roads that passes through mainily urbanised orindustrial areas interspersed with agricultural and farming activity. The terrain is generally flat orgently undulating crossed by several major rivers and numerous natural streanis or man-madecanals and drainage channels. There are no known conservation or environmentally sensitiveareas affected by the proposed extension of the gas distribution system.

2.4 Methodology of the Environmental Assessment Study

Site specific environmental informnation used in this EA has been provided from a site survey.The log from the survey is included in Appendix E. Appendix F contains a selection ofphotographs taken durinig the survey. Baseline information on legislation, environment andsocio-economic and cultural aspects has been obtained through reviews prepared by IPB at theAgricultural University of Bogor and by Elnusa, based on a scopes of work prepared by DNV.

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Figure 2.1: Existing and Planned Gas Distribution Networks in West Java

O DCW po0ulafedpieces 1 . mlingPGN Oistrbulonnelwodr

ODCW Ufbanareas "tVwrE N eingP4flhrbn p rel.1DCW Roads P

EleviCW rivors 0 20 Kilome_Elevation cont ou rs

hi~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~i

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In order to provide a readily accessible database for all information compiled through theEnvironmental Assessment, an application in ArcView GIS (Geographical Information System)was created. In this application, field observations. base maps and information received fromPGN were included, forming the basis for discussions, analysis and presentation.

The report is also harmonised towards international standards on EA reports, including initer altathe use of graphics. maps, and references to complementary scientific work. The technicalassessment of the project is based on information provided by PGN. The documentation on thereceiving environment is based on the current knowledge of the West Java environment. In thiscontext, the reviews prepared by IPB as part of the screening and scoping have beencontributions of significant importance. The assessment of the likely impacts is based oninternational scientific experience and in-house research.

The EA has been carried out by Det Norske Veritas AS (DNV), assisted by Pt. Elnusa Ehaesindoand IPB in Indonesia. A list of EA preparers is included in Appendix B.

2.5 Report Structure

The report is structured to provide the reader easy access to the results and conclusions of theassessment.

The next section of the report describes the legislative framework for an EA carried out inIndonesia and according to the requirements of The World Bank.

Then follows a technical description of the project. All discharges to water, emissions to the airand solid waste production are identified and quantified where possible.

In the sections that follow, details are given of the baseline conditions of the area that will beaffected by the development of the gas distribution system.

Having described the environment and the discharges and emissions to which it will be exposed,the following sections discuss the environmental impacts that could be expected firstly fromplanned activities such as construction and operations and thereafter from accidental events. Theaccidental event assessments are based on the probabilities for a pipeline rupture/major release ofgas.

The abandonment of installations after their useful operational life has been completed is alsodiscussed in general termr;.

The final main sections deal with the Environment and Safety Mitigation plan that will beimplemented to mitigate any impacts that have been identified, the Management plan and theMonitoring plan.

Additional information is given in the Appendices. Appendix A includes a glossary of terms andabbreviations used freque ntly throughout this report.

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3 POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK

3.1 The EA Concept and its Role in Industrial Development and Action

One major objective of an EA is to provide decision makers wilh an indication of the likelyconsequences - both negative and positive - of their actions. Consequently, EA is perhaps themost important predictive tool, which can prevent today's decisions resulting in unacceptableenvironmental impacts tomorrow.

The EA should be considered as a process [Hansson & Moe, 19961. This includes the initial stepof identifying, from a broEd range of potential problems, a limited number of priority issues to beaddressed by the EA. Subsequent to the identification of these issues, further effort should beplaced on surveys to provide infornation conceming the selections made in the scoping process.The concluding assessmeni. will rely on impact prediction.

EA has for several years been recognised in the mainstream of national development andenvironmental concerns.

In most countries the EA process is linked to application for siting, building or operation permits,often confined to assessment of compliance with existing regulations and standards.

To comply with the different enactments and regulations required, which is evidently beneficialfor all participants involved, transparency and stringency of the legislative framework aregenerally considered as cnicial. This is especially important for developers of multiple sectorialprojects.

The following describes general characteristics of this EA:

* The EA is a process, which has the overall objective of providing the basis for rationaldecision making and environmental management strategy.

* The EA approach, which is utilised in this study, is in accordance with accepted internationaland national standards.

* An EA is a multi-disciplinary study and its success in connection with any given developmentproposal depends largely on the ability to identify at an early stage the most important keyissues, which should be iocused upon.

* The EA process should result in a report, which is concise and limited to significantenvironmental issues. The main text should focus on findings, conclusions andrecommendations, supported by summaries of the data collected and citations for anyreferences used in interpreting those data.

The EA addresses the construction and normal operations of the Gas Distribution Svstem, as wellas scenarios for possible accidental events.

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JJKAI- I rINAL I 1Uk-iNILAL X%1'UK 1

3.2 Indonesian Environment and Safety Legislation, Regulations andAuthorities

This Section contains a brief overview of the environmental regulations and. in addition, acorresponding overview of safety regulations.

The 1945 Constitution forms the basis for all Indonesian Acts and Regulations.

Structure of Regulations

The basic Provisions are stipulated through Acts, which further define the guiding principles inthe Governmental Regulations.

General guidelines are established through Decrees from the Minister of the Environment, whichare further elaborated on specific guidance (for every sector of Government) by a MinisterialDecree, e.g. the Minister of Energy and Mining for the energy and mining sector.

The Director General of Oil and Gas (for the Govemment), or the President Director ofPertamina (for the Industry) may establish specific guidance for the oil and gas sector.

The Environment Act (Act no. 4 of 1982) concerning Basic Provisions for the Management ofthe Living Environment is the guiding rule for environmental management in Indonesia. Itcontains basic provisions for further environmental regulations.

Article 16 of the Environment Act stipulates that environmental impact assessments are requiredfor any plan, which is considered likely to have a significant impact onI the environment.

Several other aspects are addressed through separate acts.

The protection of the living environment will be based on environmental quality standardsestablished by legislation.

Environment

The Environment .Ministry (LH) and the enforcement agency, The Environmcntal ManagementAgency (BAPEDAL), are the two agencies dedicated specially to environmental management atthe central government level.

As part of the environmental assessment, a review of Indonesian environmental legislation andregulations applicable to the project was undertaken. Relevant regulations are presented in Table3.1.

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Table 3.1: Relevant Indonesian Environmental Regulations

Stage Type Reference Topic Relevant parts

Planning Govcrnment No. 51 Description of Environmental AllRegulation Assessment procedures - ANIDAL

Planning Ministerial Decice. No. 11.1994 The type of businesses or activities Appendix I No. 1. (8-Minister of the No. 39. 1996 required to prepare an EA I I). Appendix. 11Environment.l

Planning Ministerial Decree. No. 14. 1994 General guidelines for the AllMinister of the preparation of EAEnvironment

Planning Ministerial Decree. No. 56. 1994 Guidelines for the determination of AllMinister of the significant impactsEnvironment

Plannina Ministerial Decr-e. No. 2. 1992 Guidelines for the control of AllMinister of the exploration and exploitation of oilEnvironment and gas mining

Planning Ministerial Decnre. No. 391. 1995 Procedure for the approval of EA AllMinister of the studies and its elementsEnvironment

Operations Joint Ministerial No. 183 = 09 of Implementation of the monitoring of AllDecree. Ministern; of 1993 environmental impactsHealth and Ministerof Environment

Operations Ministerial Decree. No. 12, 1994 General guidelines for ENIA and AllMinister of the EMO proceduresEnvironment

Operations Ministerial Decree. No. 35 and 35A. Program for cleaner rivers General referenceMinister of the 1995Environment

Operations Ministerial Decre-. No. 02. 1992 Guidance for supervision of oil and AllMinister of Mines and gas E & P operations

___________ Energy

Operations Decree of the Director No. 131. 1995 Guides for EMA and EMO plan AllGeneral of Oil anclGas

Table 3.2 contains a list of relevant environmental standards.

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Table 3.2: Relevant Indonesian Environmental Standards

Type Reference Topic Relevant parts

Presidential Decree No. 55. 1993 Land acquisition for development Allprojects

Act No. 20. 1961 Land expropriation All

Act No 4 1982 Basic provisions for EM Anicle 17. Generalguidance

Government No. 20. 1990 The control of water pollution Allregulation I

Ministenal Decree. No. 2. 1988 Guides for environmental standards General referenceMinister of theEnvironment

Ministerial Decree. No. 3, 1991 Effluent quality standard for existing Appendix 4. 15. 16Minister of the operationsEnvironment

Ministerial Decree. No. 13. 1995 Emission standard for stationarv AllMinister of the sourcesEnvironment

Ministerial Decree. No. 51. 1995 Effluent standard for industry General referenceMinister of theEnvironment

Ministerial Decree. No. 42, 1996 EMuent standard for oil and gas AllMinister of theEnvironment

Ministerial Decree. No. 48. 1996 Standard for noise AllMinister of theEnvironment

Ministerial Decree. No. 50. 1996 Standard for odor, smell AllMinister of theEnvironment

Provincial/Govemors Local regulations Local environment standards South Sumatera.Decree Lampung and West

Java

Appendix D contains Indonesian standards for ambient air, water and noise.

Indonesia is signatory to several international environmental initiatives and agreemcnts.

As the gas distribution system will follow existing roads, in a developed area, only theInternational Convention for Global Climate Change is considered relevant for the gasdistribution system.

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The Indonesian Environmental Assessment System

The Gas distribution system is subject to two partially overlappincg EA processes. established by

* The Government of idonesia;

* The World Bank.

At the time when this report was prepared, the gas distribution system was at an early planningstage and an EA according to the Indonesian regulations had not been started. But an IndonesianEA will be required latei, and a brief overview of the process is thus appropriate.

The Indonesian EA is termed AMDAL (Analisis Mengenai Danipak Lingkungan, EnvironmentImpact Assessment Study). The exact reference to the regulation is included in Table 3.1. Theregulation is much in line with corresponding regulations in a large number of countries in allparts of the world.

The AMDAL consists of four documents:

* Terms of Reference (KA, ANDAL).

* EA Statement (ANDAL, Analisis Dampak Lingkungan)

* Environmental Management Plan (RKL, Rencano Ken gelolan Liiigkungan)

* Environmental Monitoring Plan (RPL, Rencano Pemartana Lingkulgan)

The KA ANDAL is a scciping document, used to assess the need for and scope of the ANDAL.

PGN will prepare an AI,DAL for the gas distribution project according to the schedule providedin Table 3.3.

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GAS DISTRIBUTION PIPELINE EA PERUSAIIAAN GAS NEGARA

DRAFr FINAL TECHINICAL REPORT

Table 3.3: AMDAL Schedule for the Gas Distribution ProjectNo Activities 1997 1998

Jun Jul Aug Sep Oct Nov Dce Jan Feb Mar Apr -May Jun Jul1. Preparation Tender Document

2. Invitation lo Tender

3. Submission and Opening Document

4. Evaluation

5. Notification of Award l _ _ __ .

6. Study Conducting

7. Data Collection

8. Field Survey

9. Data Analysis

10. Reporting

IL Interim Report

12. Dala Rcporl

13. Draft Report

14. Final Report

15. Presentation at DPE

16. Recommendalion

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Safety

The basic provisions for safety regulations in Indonesia was Act no. I of 1970. The Departmentof Manpower has the authority to control occupational safety and health. Tlhrough theGovernment Regulation no. 19 of 1973, the Government delegated the control of occupationalhealth and safety in the oil and gas industry to the Department of Mining (at that time), whichdelegated it further to tLe Director General of Oil and Gas (MIGAS). The Minister of MiningDecree no. 2 of 1975 pertains the work safety at pipelines including ancillary facilities outsidethe mining areas.

MIGAS is presently (1997) revising the safety guidelines for gas pipelines. In lieu of specificgovernment guidelines the industries, i.e. PGN and Pertamina, use recognised internationalstandards and established oil and gas industry practices.

Specific Safety Regulations

As part of the environmenital assessment, a review of Indonesian safety standards and regulationsapplicable to the project was undertaken. These are presented in Table 3.4.

Tatble 3.4: Relevant Indonesian Safety Regulations

Type Reference Topic

Government No. 45, 1985 Materials utilised in oil and gas activitiesReculation

Ministcrial Decree. No. 2. 1975 Work safety at pipe transmission and itsMinister of Mining facilities for oil and gas activities operated

outside mining area

No. 300, 1997 Includes a requirement for safety QRA(Amendment to when not using Indonesian national designabove) standards.

Ministerial Decrees No. 6, 1991 Inspection on installation. equipment andMinister of Mini ng technique utilised in oil. gas and geothermal

activities

Decree of Director No. 52. 1979 Establishment of the Director for TechnicalGcneral of Oil ard Oil and Gas mining as the head ofGas inspectors for oil and gas mining activities

3.3 The World Bank's Environmental Policies and Guidelines

The World Bank has adoDted environmental guidelines to be followed by recipients of theirloans. EA is implemented in the World Bank's operations on specific projects or sectors tonational environmental st-7ategies and action plans. The World Bank policy stipulates thatprojects with severe environmental impacts would not be financed without the implementation ofmitigating measures acceptable to the Bank.

The Bank has published environmental guidelines for a number of sectors, to be complied within projects financed by the ]3ank.

The Bank is normally requires a project to comply with all national environment and safetyregulations.

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L)RAFT HNAL l-ECHNICAL KEPORT

This EA report for PGN's planned -as distribution project is prepared to form the basis for theWorld Bank evaluation of the project and has been prepared to satisfy the World Banki directive:

* OD 4.01. Environmental Assessment (October 1991)

The EA prepared by the consultant, and the project plans and descriptions formulated by theproponent, form the basis for the World Bank review.

In reviewing the project, the World Bank may request changes to be made to the EA, in terms ofe.g. level of detail and issues addressed. However, the Bank may also request changes in theproponents project design and plans. A revised environmental assessment is prepared, and putforward for a new review by the Bank, which either will request further changes, or approve theassessment.

3.4 Safety and Environmental Permits

The gas distribution project has just past the planning stage. Consequently PGN have not yetobtained any health, safety and environmental permits.

A list of health, safety and environmental permits required by PGN for the gas distributionproject is provided in Appendix C. Appendix C also contains a permit schedule which detailswhen permits will be applied for, the responsible permit application authorities and when thepermits could be received.

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4 DESCRIPTION OF THE GAS DISTRIBUTION PROJECT

4.1 Activities and Geographical Area Included in the EA Stud)

Figure 4.1 provides an overview of the geographical locations in West Java where it is planned tobuild the gas distributior pipeline. Areas B and C that appear on tlhe map refer to zones 2 and 3respectively. Zone I is in and around Jakarta.

The Zone I expansion will basically entail a short branch line into the existing Jakarta market. InZone 2, the new distribution pipelines will traverse industrial development corridors betweenwest Jakarta and the Cilegon/Merak area, including Anyer, Serang, Cikande, Balaraja, Jatiuwungand Tangerang. In the Zone 3 expansion, the new distribution lines will service industrialdevelopment zones east of Jakarta including Bekasi, Karawang, Cikampek and Purwakarta.

Expansion of the existing, gas distribution system will involve the following main components:

a. Zone 1 expansiona

A total of 16.25 km of service pipelines ranging from NPS 2" to 16" and serving potentially 325customers in the existing supply zone of Jakarta/Bogor. A summary of the pipeline sizes andtheir corresponding lengths in Zone I is given in Table 4. 1.

Tab le 4.1 Zone 1 Gas Distribution System Expansion

Diameter Number of Total (mi)________2 ___ Customers =

16 I 50

1 2 I 50

10 1 50

8 4 200

6 9 450

4 53 2,650

2 256 12.8(K)

Total 325 16,250

b. Zone 2 expansioni

A new NPS 16 main dist^ibution pipeline extending from Balaraja, which ties into the end of theexisting distribution system, is proposed extending to Serang and on to Bojanegara in Cilegon,with a 10" branch pipeline to Anyer from Cilegon and a 16" branch pipeline to Kopo fromCikande. Additional spur lines of NPS 6 and NPS 8 join the main and branch distribution line atseveral points. Total pipeline length in this zone is expected to be III km.

Two metering and pressure regulating offtake stations at Serang/Cikande and Cilegon areplanned. The pipelines can potentially serve up to 60 new customers.

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GAS DISTRIBU-rON PIPELINE EA PERUSAHAAN GAS NEGARA

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Figure 4.1: Overview Map of the Gas Distribution Project/ DCW populaied places

fOCW Urban areas. ,DCW RoadsA\,'OCW rivers

Elevation contours 0 20 Kilomete

Page

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L)RAFr HINAL -1 -ECHNICAL KEPORT

A summary of the pipeliiie sizes and their corresponding lengths in Zone 2 is given in Table 4.2.

Table 4.2 Zone 2 Gas Distribution System Expansion

Diameter _Year of Construction Total(kmn)

1998 1999 2000 2001

16 81.00 - 0.40 81.4()

10 12.80 2.40 - 15.20

8 _ 1.90 1.90

6 3.25 1.65 2.30 7.20

Total (km) 97.05 4.45 4.2 105.7

c. Zone 3 expansioni

NPS 16 main distribution pipeline extending from the end of an existing distribution pipeline atKerawang to Purwarkarti and on to Jatihulur. A pipeline branclies off at Purwakarta -to midwaybetween Campaka and Subang at Pasir Jadi. A number of other branch and spur lines of NPS 12,10, 8, 6 and 4 are also tied into this main distribution line. Total pipeline length in this zone isexpected to be 126 km.

A metering and pressure regulating offtake station at Pasir Jadi is planned. The pipelines canpotentially serve up to 56 new customers in the area.

A summary of the pipeline sizes and their corresponding lengths in Zone 3 is given in Table 4.3.

Tablei 4.3: Zone 3 Gas Distribution System Expansion

Diameter Year of Construction Total (kn)

1998 1999 2000 20101

16" 9.2 41.3 - - 50.5

14" - - - -

12" 0.8 27.05 - 27.85

10" _ 8.2 - - - 8.2

8" - 5.3 2.25 - 7.55

6" 9.6 1.2 - - 10.8

4" - 6.1 2.15 12.3 20.55

Total (km) 27.8 53.9 31.45 12.3 125.45

Page 23C':\MKi(ASjd.do


4.2 Pre Construction

4.2.1 Project Management

PGN will establish a project tearn for the PEMJADIG West Java project. This team willcomprise of a Project Manager, two Construction Managers each supervising 2 site managers andan assistant engineering manager, an Administration Manager supervising an assistantadministration manager, transport and logistics assistant manager and an evaluation/reportingassistant manager, and a Finance Manager supervising an assistant finance and accountingmanager and a treasury assistant manager. Figure 4.2 shows the Project Team organisationalchart. Based on the required functions, a total of 16 managers are required.

To fill the project positions, the intention is to second personnel from PGN's main and branchorganisations and relocating project personnel involved with the recently completed East JavaDistribution Network project to this project. The project team requires personnel experienced inthe management of construction of distribution pipeline networks and it is acknowledged byPGN that some staff may.lack the necessary experience. To compensate for this, training ofproject personnel will be emphasised and monitored during the course of the project.

Dedicated'Quality Assurance (QA) and Safety and Environment (S&E) manaiiiefniefunctionsfor the Project Team are not yet defined? The activities associated with these functions will bemonitored by the construction site teams to ensure full compliance with Indonesian legislation,assisted by a third party consultant to undertake quality control aspects of the work.

4.2.2 Procurement Philosophy

Based on PGN's market survey of gas demand and the Pertamina gas supply commitments, theschedule for completion of this gas distribution network expansion in West Java is targeted forMarch 2001. Due to the relatively short time frame available, the project is intended to be a fast-track project and consequently, the procurement philosophy will necessarily be dictated by thisconsideration.

The procurement philosophy will be based on turnkey approach for supply and installation, withthree separate intemational competitive bid tenders for supply and installation of the pipelinesand MRS offtakes. The design of Zone I spur line will be performed by PGN Project Teamwhich will also undertake to define the scope of work for the Zone 2 and 3. However, taking intoaccount the limitations of manpower availability within PGN and the level of experience needed,the detailed engineering and quantity survey services for the Zone 2 and 3, expansion works willbe awarded to a third party Design Consultant. The responsibilities of this Design Consultant willinclude obtaining necessary permits, preparation of alignment drawings and engineering details,calculate bill of quantities, prepare technical specifications, prepare tender documents andprovide technical assistance to the PGN project team during construction and commissioning.

The supply and installation tenders will comprise tender packages for the following:

* supply and installation of distribution pipelines in Zone 2;

* supply and installation of distribution pipelines in Zone 3;

* supply of MRS offtake and Supervisory Control and Data Acquisition (SCADA) system.

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DRAFT FINAL TECHNICA]L REPORT

The scope of supply and installation for the distribution pipelines include the following:

* supply of coated steel pipes;

* supply of fittings, bends, tees, flanges;

* supply of line valves and branch valves;

* supply of temporary pigging facilities;

* installation of pipelines and associated fittings;

* testing and commissiconing.

The scope of supply for the MRS offtake and SCADA system includes the following:

* offtake metering and pressure regulating station. This includes gas odorisation andchromatography units;

* SCADA system.

Though international bidding will be carried out, contract awards will most likely be made tolocal contractors based on past experience, as such contracts do not normally appeal tointernational contractors.

In addition to the above international competitive bid tenders for the main distribution system,local contractors are reqjuired for the supply of service lines and associated MRS units toindividual customers. This work is dependent on the needs of individual customers in terms ofcapacities and delivery pressures and also the need for conversion or addition of presentcustomer facilities to gas buming. Presently, PGN has approved Installers to undertake suchwork and handled by the individual PGN branch offices for new customers. Currently, only 10Installers are approved by PGN. However, based on PGN estimates. about 25 approved Installerswill be required to cater to the total projected number of 409 new customers. Given the currentnumber of approved Installers and potential customer demand on the PGN branch offices,bottlenecks may result. T'herefore, phased installation of service lines by PGN will be requiredand the flexibility for customers to directly engage contractors for service line and MRSinstallation is being considered by PGN. Plans to increase the number of installers will also berequired to avoid delays to customers, but at the same time maintaining proper training andensuring competence and qualifications of the new approved installers.

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C:.WIKAS\mgu gd.dA


Figure 4.2: PGN Project Organograim

| PROJECT lMANAGER

ADMINISTRATION FINANCE CONSTRUCTIONMANAGER MANAGER :'MANAGER

Administration 1 Finance & Site ManagerAssistant Manager | Accounting Manager

Transportation & Logistic Assistant Treasury Site ManagerAssistant Manager Manager

Evaluation & 1 AssistantReporting Manager Engineering Manager

4.2.3 Design Philosophy

(a) Design Standards

Detailed engineering for the distribution pipelines will be carried out as a minimum according tothe applicable Indonesian standards for pipelines (equivalent to the ASME B31.8 Standard -1986 edition). However, where requirements are more stringent in the latest edition of the ASMEcode, these will be followed. In addition, PGN's codes of practice and construction standards fordistribution facilities will be applied. These are mainly based on standards from the Institution ofGas Engineers and British Gas codes of practice.

(b) Metering and Pressure Regulation Stations

The distribution networks will be supplied via metering and pressure control off-take (MRS)stations directly from the existing Pertamina transmission pipeline. The new facilities will befitted with gas odorisation stations, flow control and computerised metering, pressure regulation,with full safety features to cater for all foreseeable equipment failure scenarios, appropriateinstrumentation and remote SCADA monitoring/ control systems. The offtake stations will besized to deliver the design capacity under minimum inlet and maximum outlet pressureconfiguration.

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LJ)AFI- rlNAL I tLUMNJUA L ItbrUK I

An offtake station typically includes remote SCADA system. gas chroinatography andodorisation units. The odorant used is Tetrahydrothiophene (THT) which is automaticallyinjected at a rate of 16 mg/M3. The SCADA system is linked by UHF radio to PGN's centralcontrol and monitoring station in Jak-arta. It is planned that the SCADA system is used only foron-line monitoring of process flow rates and temperatures.

The proposed new three offtake stations at Cikande, Cilegon and Pasir Jadi will be based on thisstandard layout and designed according to international standards. At the time of reporting, theexact locations of these stations have yet to be finalised, but expected to be of about 2500m2 insize each. Land acquisition, in connection with these new offtake stations will be required. Someof this land may be purcthased from existing Pertamina owned sites.

Within specific industrial estates, boundary metering and pressure regulating stations will beinstalled, depending on the supply and delivery pressure requirements of the customers in theseestates and the relative supply economics. Industrial customers will be supplied via individualpressure regulating and rnetering units located within the customers boundary limrits and will besized to deliver the reqaired maximum gas loads under minimum anticipated inlet pressureconditions. Final design will be to an appropriate international standard and will incorporate arange of safety features to ensure full downstream protection in the event of a component failure.

These safety features will include:

3 local monitoring and shutdown

* pressure relief devices for high pressure systems and venting

* Pressure regulating and relief devices will be designed according to ASME requirements.

(c) Distribution Pipelines

Several alternatives of network layout and capacity requirements were evaluated by PGN andcurrently the approach is to adopt a network based on an ASME #150 system with maximumworking pressure of 16 bar and a design flow capacity of about 500 mmscfd. This is based onPGN's review of their engineering policy with regards to maximum operating pressure of theWest Java distribution system. This was in view of the system being located in more urbanisedareas than in East Java anid in many cases operate in close proximity to population centres andproperty. This pressure restriction has being considered also in anticipation of impendingregulations by MIGAS specifying more stringent requirements of pipeline operating pressuresand proximity of high pressure pipelines to buildings.

The pipelines will be routed through mainly urban areas and alongside main roads with heavytraffic in some areas. Existing dwellings and buildings are frequently close to the roads and thismay present problems dturing construction and operation with encroachment on the pipelineright-of-way. Numerous rivers, streams and man-made canals and drains intersect the proposedpipeline route. In a few areas, major highway intersection crossings and railroad crossings will berequired. These crossings are not expected to present significant problems during construction asthe crossings are not expected to exceed lOOm.

Based on current preliminary engineering by PGN, pipeline parameters are given in Table 4.4.

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1J1KAr I rlNAL I t;li-NILAL trUK I

Table 4A: Pipeline Sizes and Grade

Pipeline Wall Thickness Grade Design Class* Design FactorDiameter (ins) (nmm)

6 7.1 B 4 0.3

8 9.5 B 4 0.3

10 9.5 B 4 0.3

12 12.7 B 4 0.3

16 12.7 B 4 0.3

* according to ASME B31.8

The pipelines are designed for Class 4 locations which pertain to urban areas where multi-storeybuildings are prevalent, traffic is heavy or dense and where there may be numerous other utilitiesunderground. This design class is appropriate for the area of operation and caters also to futuredevelopments. Notwithstanding, the application of a more stringent class location, the designfactor adopted by PGN of 0.3 is also more stringent than the ASME recommended design factor.

Sectionalisation valves will be installed on the main distribution pipelines. Manually operatedisolation valves will be provided at both ends of major crossings in addition to in-line valves attee branches and end of service lines

The pipelines will be protected from extemal corrosion by suitable external coating and cathodicprotection by sacrificial anode and impressed current systems.

4.3 Construction

(a) Standards and Code of Practice

Construction will be carried out following, as a minimum, provisions contained in the IndonesianStandard SPM 50.54.02 which is based on the 1989 ASME B31.8 code, supplemented by PGN'sin-house specifications and the latest edition of ASME B31.8. These specifications cover thefollowing areas:

* linepipe material;

* elbows and tees;

* in-line valves;

* external corrosion PE coating;

* welding;

* sacrificial anodes;

* supply of impressed current system;

* trenching and burial;

* crossings and casings.

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DRAFT FINAL TECHNICAL. REPORT

(b) Supplv and Instsillation of Distribution Pipelines

The distribution pipelines are of welded steel construction, which are externally coated with coaltar enamel. The pipelines will be installed by the traditional cut andl fill method, and buried witha minimum cover of l.5mr. The pipelines will only be exposed at water crossings and within theboundaries of metering and pressure regulating stations. The major typical activities associatedwith supply and construction are briefly described as follows:

* manufacture and coating of linepipe

Pre-coated linepipes are delivered to a storage site and held temporarily before beingdespatched to site for installation.

* preparation of pipeliine route

The necessary local pi rmits will be obtained by PGN. Some initial public consultation hasbeen performed by PG3N and further consultation is planned (see Appendix I for furtherdetails). All public consultation is being conducted according to the World Bankrequirements.

Surveys and marking of the pipeline route are carried out. Extra precaution duringconstruction therefore needs to be taken with respect to traffic safety and to minimiseconstruction impacts such as noise and dust to surrounding population.

Installation works will be carried out by several teams simultaneously at several locationsalong the pipeline route to reduce construction time.

- trenching and weldingr

At each site, trenches are dug along the designated pipeline alignment to the required depth toprovide minimum cover of 1.Om. Generally, on this project, manual tools and labour will beused for this activity: Mrhere necessary, a backhoe may be employed to assist in difficult areas.However, it is envisaged that use of mechanised equipment will be mninimal for trenching.Where necessary, trenc [ supports will be used to ensure stability of trench sides. Trenches areopened at lengths of about 500 m along which are strung individual pipe joints in preparationfor welding. Trenches are opened ahead of pipe-welding and carried out simultaneously asother activities on the pipeline construction are performed. Spoils from the trenching areplaced along the trench side and re-used for burial.

The pipe joints are welded, inspected and, if necessary repaired, before being lowered into thepre-prepared trench in sections. The trench is filled up with in-situ soil and ground surfacerestored to previous condition.

The existing pipeline rcutes are marked by small stone markers approximately lOOm spacingand sign posts every 500m. In some areas, such as major crossings and near other utilities,additional signs are posted indicating the presence of buried high pressure gas pipeline andcompany contact details in case of leakages being detected. It is intended that stone markersare replaced by sign postings since stone markers do not give adequate warning messages andfurthermore are easily d isplaced, as evident along existing pipeline routes.

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* Installation of cathodic protection

The cathodic protection system in the form of ground zinc anode beds or impressed currentsystem is installed at designated locations and connected to the pipeline. Design is based onfield surveys of soil resistivities and pH values.

* Crossings

The types of crossings expected are water crossings, road highway intersections and railcrossings.

The water crossings will be by steel pipe bridge which ranges from a simple single beam spancrossing for small streams and man-made canals to multi-span latticed supports for widerrivers. Pipe-bridges are utilised for crossings not exceeding lOOm. No water crossingsexceeding lOOm are expected on this project.

For major road highway intersections and rail crossings, where several are expected in Zone 2,thrust drilling will be employed. This technique basically involves tunnelling by directionaldrilling equipment, under the obstruction where overhead crossings and cut-and-filltechniques are not permitted or possible. Usually, a pilot hole is created which defines thepath to be followed by the pipeline and this is increased gradually by repeated drilling. A pipestring is pulled through when the hole of appropriate size is created. This is a well establishedtechnique but requires careful engineering to establish proper pipe profiles. Complexity anddifficulty of operations increases exponentially with crossing distance and pipe size.

* Commissioning

Upon completion of whole sections of the pipeline between sectionalisation valves, thepipeline is pigged, cleaned and pressure tested, using fresh water supplied from local watermains where available. Water from natural sources such as rivers and streams may be used butwould require filtering. No inhibitors or bactericides will be added to the test water as the testwater will be expelled from the line immediately after completion of pressure testing.Temporary pig launchers and receivers will be installed for this purpose.

The pipeline is dried and filled with nitrogen after completion of pressure testing of allsections of the line.

(c) Supply and Installation of Metering and Pressure Regulation Stations

Activities associated with the construction of the MRS offtakes are similar to civil andmechanical engineering works associated with building and process equipment construction.This includes:

* foundation works for buildings;

* construction of buildings housing process equipment and administration offices;

* installation of process equipment, SCADA system;

* testing and commissioning of process equipment and SCADA system.

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4.4 Operation and Maintenance

(a) Procedures and I'lans

For the existing distribui:ion system, PGN has the following emergency response proceduresavailable:

* incident/accident reporting procedure;

* response in the event of incidents/accidents:

* gas escapes.

Accident/incident statistics are also compiled on a monthly and annual basis by PGN. Thisinformation is submitted to MIGAS.

PGN will amend its exist ng Operation and Maintenance Manual lor the West Java distributionpipelines to accommodate the expanded gas distribution system. This document will address thefollowing main issues:

(i) Operation and Maintenance Structure

This area deals with the management structure of the responsible organisation within PGN.Duties and responsibilities of key positions are identified and outlined.

(ii) Maintenance Philosophies, Procedures and Schedules

This covers all necessary maintenance functions for pipelines and above-ground installations incompliance with design code and manufacturer specifications such -as:

* pipeline routine maintenance activities and frequency;

- pipeline condition monitoring;

- on-line inspection activities and equipment;

* pipeline equipment servicing of valves, filters, regulators, metering systems and otherinstrumentation;

(iii) Operating Philosophies and Procedures

This covers operational activities and include:

* operational procedures;

* emergency procedures covering loss of supply, emergency shutdown, pipeline damage andrepair, communications failure;

* Permit-to-Work system;

* Standby requirements.

Page 31


(iv) Training

Requirements for training of staff are outlined to ensure adequate competence is maintained forvarious functions. This will include:

* project management;

* development of procedures;

* safety management awareness;

* use of inspection and maintenance equipment;

* incident/accident reporting investigation;

* fire-fighting and first-aid;

* staff training schedule.

(v) Records

Administration records of implementation of maintenance and training plans will be kept.

(b) Leakage Surveys

PGN carries out regular patrols of its pipelines. Visual inspection frequency is approximatelyweekly to monthly. An odorant (THT) is injected into the distribution system at all off-takestations. which allows physical detection of leaking gas. Leakages in the system are oftendetected through reports made by the general public and surveys are then carried out usingsurface gas detection and bubble leakage test.

4.5 Decommissioning of Installations

Decommissioning of the installations is not likely to cause problems beyond what is normal forinfrastructural installations such as the types involved i.e. pipelines, metering, regulating andofftake stations. As decommissioning is several decades into the future, when environmentalrequirements and technologies will no doubt be different from today, details of decommissioningwill not be discussed in this report.

4.6 Environmental Effects of Gas Consumption

The gas distribution system will mainly supply industries. Some existing industries use oil andpossibly coal and other solid fuels, and consequently substitution by gas will thus have a positiveimpact on air quality. Use of natural gas will reduce emission of carbon dioxide, relative to oiland coal, although there could be an increased emission of methane depending on gas leaks andother losses.

Natural gas combustion produces less carbon dioxide per unit of energy produced than any othertype of fossil fuel. No solid wastes are generated from natural gas combustion. Natural gas is aclean fuel.

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4.7 Summary of Releases to the Environment

Table 4.5 summarises all releases associated with the gas distribution project over all phases(pre-construction, construction, and operation). No releases to the environment are expectedduring the pre-construc tion phase.

The environmental imracts resulting from the releases described are discussed in more detail inSection 11.

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Table 4.5: Summary of Potentially Polluting Releases to Air, Land and Water

Medium Phase Release Type Source Substance Released

Air Construction Fugitive Construction during dry condilions dust (soil particles)

Intermittent Mobile gencrator plant and working activities. noise

Operation Continuous Gas combustion by customers. combustion products

Fugitive Small leaks natural gas / THT

Intermittent SCADA system fuel oil back-up generator. combustion products

Intermittent Cold venting. natural gas

Accidental Pipeline failure. natural gas

Accidental Odorising plant. Tctrahydrothiophene

Water Construction Intermittent Hydrotesting. contaminated watcr

Intermittent Trench water. soil and oil containinatcd water

Intermittent Bridge construction. solid wastes

Accidental Odorising plant. Tetrahydrotliiophene

Land Construction Interminttent Removal of vegetation. Vcgelaltion waste

(Waste) Intermittent Removal orconcretc surfacc. concreic rubble

Intermitent Hydrolesting soil, spent welding rods, millcuttings, tape and oxide scale.

Intermittent Trench water. soil and oil contaminated water

Operation Accidental Odorising plant. 'etrahydrothiophene

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5 ENVIRONMENTAL BASELINE

5.1 Introduction

This Section provides a Drief description of the general environmental characteristics of WestJava and the gas distribution pipeline environs.

5.2 Geography

The geography of West Java is often characterised into three distinct regions:

* north coast region;

* central mountain region;

* southern mountain region.

The planned gas distribujtion pipeline route will pass through the north coast and centralmountain regions.

5.3 Climate

West Java has a tropical climate with little distinction between the seasons. The temperature andrelative humidity are fairly uniform throughout the year. In general the climate in the northerncoastal region is hotter and more humid than in the central mountain region. Table 5.1 provides asummary of the general climate in areas where the gas distribution pipeline will be constructed.

Table 5.1: General Climatic Conditions in West Java

Location Temperature Relative Wind Speed WVind._______________ (0c) Hunmidity (%) (nm/sec) direction

Cilamaya 1 30 -31 79 - 83 1.0 - 1.2 South-WesM

Cilamaya 11 30- 31 80- 83 1.0- 1.3 North-West

Tegal Gcde I 30 83 - 85 0.1 -0.3 East

Tegal Gede I 30 83 - 85 0.1 - 0.3 East

Pamulang 30- 31 74- 79 0.8 - 1.5 North

Wanaherang 30 - 32 78 - 81 0.5 - 1.0 West

Bitung 31 - 32 75 - 77 1.5 - 2.7 South-West

Cileo n 30 -31 75 - 78 1.3 - 2.5 West

Seasons in West Java are characterised in terms of monsoons, which bring increased rainfall tothe area. The monsoon season is from October to the end of April, and the dry season from Mayto September. Rainfall statistics typical of the region where the gas distribution pipeline will beconstructed are given in Table 5.2 [IPB, 1997].

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Table 5.2: Rainfall Statistics From Cikampek Station (1982-1988)

Month Average Monthly (nun) Average Rainy Days

January 323.4 22

February 412.4 25

March 274.2 20

April 223.7 18

May 212.9 16

June 146.3 12

July 117.1 9

August 123.8 9

September 92.5 8

October 149.8 13

November 232.3 15

December 246.1 17

Total 2,554.518

5.4 Soil

The main soil types likely to be encountered along the pipeline routing along West Java arepresented in Table 5.3 [Java Exploration Soil Map, 1960]. The main soil types are described:

1. Alluvial

Alluvial soil possesses little or no soil developing profile and normally exhibits bad drainageproblems. Alluvial soil is commonly found in northem beaches of West Java.

Alluvial soil is yellow brown in colour with a dusty clay structure and is high in organic content.Alluvial soil generally has a high pH level, high nitrogen content (decreasing with deptlh), highphosphate content (increasing with depth), low potassium, low calcium content and lowmagnesium content.

Alluvial soil is of good quality for growing rice providing it is treated with lime to reduce acidity.

2. Latosol

Latosol soil has a soil developing profile and in general possess good physical characteristics(soil permeability and resistance to erosion), but poorer chemical characteristics. Latosol soil isfound in high rainfall areas and is often associated with regosol, yellow red podzolic and litosolsoil types. In mountainous areas latosol soil is often associated with aquifers.

Latosol soil is brownish red in colour with a granulated texture. Latosol soils generally have ahigh pH, medium nitrogen content (increasing with depth), low phosphate content (at all depths),and low levels of potassium and calcium.

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Latosol soils are used tc develop food crops, estate crops and teakwood forestry. Food crop

production is improved with the use of fertilisers.

3. Podzolic

Podzolic soil has bad physical and chemical characteristics, low permeability and is sensitive toerosion. Podzolic soil is found in dry regions and is often associated with latosol and litosol soiltypes. Podzolic soil types are frequently found in north Java and in volcanic/mountainousregions.

Pozdolic soil is yellowish red in colour with a dusty clay structure which may be either loose orhard depending upon the level of iron and manganese concretion. Podzolic soils generally have aslightly acidic pH, low to high nitrogen content and low phosphate. potassium and calciumcontents.

Podzolic soils require fLIl fertilisation and plastering in order to be useful for agriculturalpurposes. Other land uses include estate and forestry use.

4. Regosol

Regosol soil has little or no soil profile development, low soil permeability, and is sensitive toerosion. Regosol soil is found in volcanic areas and is often associated with litosol soil.

Regosol soil is ash or brownish grey in colour with a loose sandy clay structure. Regosol soil ispH neutral (becoming mcre acidic with depth), low organic content, medium nitrogen contentand low calcium content.

Regosol soils are generally associated with the forests.

Table 5.3: Typical Soil Types in West Java

Zone Location Soil Type

Zone 2 Cilegon alluvial, latosol, and regosol

Balaraja podzolic yellow red

Scrang podzolic yellow red. regosol and latosol

Ariyer regosol

Zone 3 Kirawang alluvial, podzolic yellow red

Cikampek latosol, regosol, and podzolic yellow red

Ptirwakarta podzolic yellow red complex, latosol and litosol.latosol and podzolic yellow red

SLbang latosol, regosol, podzolic yellow red and podzolicyellow red complex, latosol and litosol

Many of the soil types enicountered along the planned pipeline route have the potential forerosion and are typically low in pH (acidic).

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5.5 Land Use

Land use along the planned gas distribution pipeline route falls into the following generalcategories:

1. Urban, consisting of housing and businesses and high population density.

2. Industrial, consisting of chemical, petrochemnical, refining, textile, power generation and steelindustries and industrial estates.

3. Agricultural, consisting of paddy fields, cassava, soya bean and coconut plantations.

4. Rural, consisting of roadside housing, businesses (including markets) and interspersedagricultural use. Rural areas have low associated population densities.

5. Forestry, consisting of development areas for public use.

6. Tourism, consisting of chalets, apartments and recreational facilities associated with coastalareas.

Land type maps are provided in Figures 5.1 (zone 2) and 5.2 (zone 3). Figure 5.3 presents asummary of the land type distribution along the pipeline route (zones 2 and 3). Zone I isexclusively industrial.

Figure 5.1: Zone 2 Land Type Usage

s t -~~7, Wea.MdWM

Mmnai~u >Wi~M LAND ATcungn T ESA

* 19 - 0 10 Kilonrtels

gilan~~

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Figure 5.2: Zone 3 Land Type Usage

> _/ / / * 01 - 0> tLANDN'\ ~~~TYPES A~

0 10 Kilosnters

,0

Figure 5.3: Land Type Distribution (Zones 2 and 3)

TourismForestry 2%

5%Agricultural

9% _

_ - _ ~~~~~~~~Rural_ _ 3 4 %~~~~~~34

Industrial22%

Urban28%

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flf S *n l. aSr IS.f* .S..fl 4 J*fl

The land use data was collected during site visits along the pipeline route. Detailed notes fromthe site visits are presented in Appendix E. Some of the photographs taken are included inAppendix F.

Around 50% of the land usage can be described as urban and industrial with the remaining landusage being non-urban (predominantly rural and agricultural).

5.6 Biology

Most of the vegetation in land associated with the pipeline development is domestic orcultivated. Cultivated land in West Java can be further categorised as irrigated land (paddy field),plantation/gardens, forest, and bush vegetation.

Land along the pipeline route can be categorised as being predominantly bush or scrubvegetation.

Domestic animals in agriculture are mainly cow, buffalo, sheep, horse, chicken and duck.Wildlife includes boar, monkey, leopard cat and rabbit. Reptiles and amphibians include snakesof several kinds and serta monitor lizard (Varanus salvador). Types of fish in the area include eeland fresh water catfish.

Conclusion

Whilst several protected species of flora exist in West Java none are likely to be found along theplanned pipeline route.

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6 SAFETY BASE]LINE DESCRIPTION

6.1 Introduction

This chapter provides an assessment of PGN's current safety management system and is based oninformation obtained from discussions with PGN and documents furnished for review. Thisassessment is intended to form a baseline reference from which future changes to the systemarising from the gas distr-ibution project can be measured.

6.2 Safety in Design

The gas distribution system is designed for compliance (as a minimum requirement) with theIndonesian Pipeline Standards which is the equivalent of the American Society of MechanicalEngineers (ASME) Cocle B31.8 Gas Transmission and Distribution Systems (1989 edition).However, PGN will utilise the latest edition of the ASME code, supplemented by specificationsand standards from the Institution of Gas Engineers and British Gas. In addition, PGN hasexisting procedures anc specifications covering construction, commissioning, operation andmaintenance. Compliance with legislative requirements is also ensured.

There are presently no statutory requirements in Indonesia for formal quantitative riskassessments (QRA) to be performed as part of design. For natural gas pipelines, consequenceassessments are normally sufficient to determine impact distances arising from a number ofdifferent pipeline failure scenarios. These assessments are used as a guide for routing pipelines.Appendix G provides results of consequence assessments performed as part of this study for themain 16" distribution line. This appendix is included as a background document for the moreextensive QRA to be perf ormed in the future.

For the offtake stations, HAZOPS (hazard and operability study) and related QRA will beperformed during the detailed design process to establish the suitability of location and facilitylayout and design from safety considerations and impact to surrounding population. Such studiesare also useful in assessing the most appropriate solutions for operational issues such asemergency shutdown and maintenance. Risk mitigating measures can then be identified duringdesign where necessary to render risks as low as reasonably possible (ALARP).

6.3 Baseline Accident Statistics

Statistics for the period 1974-1997 are provided by PGN and shown in Table 6.1.

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Table 6.1: PGN Major Incidents 1974-1994

PGN Year Locatprn Briei Description Operation Construction Remedial Action- Branch Accident LoainBIfDsrpinl'ressure PeriodRedilAto

I Jakarta 1981 MT Mechanical excavator whilst clearing rubbish 8 Bar 1978 Pipe replaced with new section.Haryono excavated to an excessive depth without due care andStreet attention and punctured an S" sieel pipeline. No

________ ________ _____ persons injured or property damaged. - ____2 Jakarta 1984 Cidcng A bolted gland joint on the 8" pipeline suffered from I Bar 1900 The boll joint rubber sealing ring was replaced. This pipelineTimnur leakage. The escaping gas was ignited by a street has since been abandoned and replaced with new mild sicel_ ____ _ _ Street vendor preparing food, pipeline.3 Cirebon Jan - 97 Snmadik During heavy rains and flooding a large tree was 2 Bar 1992 Pipeline was temporarily abandoned until repairs to britge wereun Street uprooted and crashed into a pipe bridge destroying the completed.

polyethylene transmission system. No persons injured__ _ _ _ or Dproery danmaRcd. _ _ _ _ _ _

4 Jakarta 1988 Jend A The high pressure distribution pipeline was punctured 9 Bar 1983 A temporary repair using a leak clamp was iiia(le imimediately.Yani St by a pile driving machine constructing a highway A new 12" pipeline was installed and commiissitned and the Bflyover. No persons inured or property damaged. abandoned.S Jakarta 1989 Datn Gas leakage from a flanged 8" valve on the high 9 Bar 1981 Flanged valve was replaced.

Mogot St pressure network was ignited by a passer-by stnoking a Designs for the high pressure networks now incorporate weldcigarette and discharging the lit stub. There was a end valves.resultant fire and closure of a main thoroughfare. No

_________ _________ - persons injured or property damaged. _6 Jakana 1982 0 Mada VV galvanised iron street lamp connection corroded. 8mnBar 1959 Service disconnected froom pipeline and plugged at main.St/Haya From the resultant leakage, a pedestrian smoking close

in Wuruk to the leak site ignited ihe escaping gas. None injuredor propert damaged.

7 Jakarta June - 95 Saleniba An old cast iron under slung hridge crossing was 2ntBar 1960 The open pipe en(ls were gtnpped witl, pernlt3iant cn(l caps, TheTengah removed by unknown persons. The escaping gas was old cast iron and sitel low pressure nctwoik supplic(l from theSt ignited by thrce young fishernmen one of whom died as PGN stalion in Anyer have since been abandoned.a result of the burns received in the fire. _ _

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The reportable incidents are serious occurrences requiring immediate notification to PGNheadquarters and cover the following scenarios:

* any occurrence caused by gas supplied leading to loss of life or serious injurv;

* accidental injury or ceath of employee whilst on duty;

* any explosion or fire due to gas supplied resulting in serious structural damnage or majordisruption to the public;

* any interruption in supply or supply failure to more than 200 customers or to a singlecustomer taking more than 1.0 mmscfd;

* any other occurrence with publicity implications.

The statistics show a bias of accidental gas leakage related incidents fiom the low pressuredistribution system within the Jakarta area, probably reflecting the age of the low pressure gasdistribution system in this area. Gas leakages from the high pressure system are mainly caused byexternal third party accidental damage. Comparison of incidents on a per km-year basis gives abetter comparison of the relative frequency of pipeline accidents and also facilitates bench-marking with international statistics (see Section 12).

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7 SOCIAL AND ECONOMIC BASELINE

7.1 Introduction

This Section describes the social and economic (socio-economic) baseline conditions for theprovinces in West Java that the planned gas distribution pipeline is routed through. Descriptionsare provided for the following socio-economic baseline conditions:

* infrastructure;

* population and humai settlement;

* employment;

* economic situation.

7.2 Infrastructure

The existing level of infrastructure in West Java provides the potential for investment fromnational and international business. The existing level of infrastructure has already encouraged awide diversity of industries to be attracted to the province.

The overall level of infrastructure development in West Java is considered to be good andincludes:

* communication facilities;

3 roads and transportatiDn;

* education;

- health;

* accommodation;

* utilities (gas, electriciiy and water).

Telecommunication and communication facilities are abundant with many public phones andpost offices existing. The Indonesian govemments satellite development programme has led to ahigh quality international telecommunications service.

In 1995 most roads in West Java were asphalted, and were of a moderate to good quality. Thereare many buses and cars. Travel agencies and rental car companies are also prevalent. There isalso an extensive provincial rail network providing passenger and freight services.

The availability and quality of higher education facilities in West Java is vcry good withrenowned Universities (Bogor and Padjadjaran) located in-the province. In 1995 there were 22Universities, 3 Institutes, 77 Colleges, 43 Academnies and 2 Polyteclinics [CBS, 1996].

Health facilities are readily available through out West Java with around 3500 medical doctorspractising in West Java in 1995/96 [CBS, 1996].

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The availability of hotels and accommodation is considered to be good in most West Javan cities.

The number of electricity generation properties in West Java were 10.863 in 1991/1992increasing to 15,965 in 1995/1996. The quantity of electricity sold amounted to 12.747 630,139kWh in 1995/1996 [CBS, 1996].

7.3 Population and Human Settlement

The population level and breakdown of population in terms of sex and number of households theWest Javan provinces affected by the pipeline development are described in Table 7. 1 [CBS,1996].

Population number densities by village and area for 1995 are given in Table 7.2 [CBS, 1996].Data collected in 1995 show that there were 772 villages (desa) and 42 special villages(kelurahaan) in zone 2, and 744 villages and 27 special villages in zones 2 and 3 [CBS, 19961.

Table 7.3 gives an estimate of the projected population increase expected between 1996 to theyear [CBS, 19961. Based on Table 7.3 the overall population level is estimated to grow by around8.5% by 2000.

West Java province is considered to have one of the highest population densities of all provincesin Indonesia. Population growth is rapid, for example, population dcnsity in West Java rose from784 persons per km2 in 1991 to 820 people per km 2 in 1995, an increase of 4.6% in 5 years. Thepopulation growth in Java as a whole has led to the Indonesian governments transmigrationpolicy where people living in Java are encouraged, through economic incentives, to live in lesspopulated regions (e.g. Kalimantan, Sulawesi, Irian Jaya, etc.) of Indonesia.

Despite the transmigration programme, no specific regulations exist prohibiting the spontaneousmigration of people from one part of Indonesia to another. Indonesian people are free to migrateto any other part of Indonesia, with Jakarta and West Java being amongst the most attractiveplaces for people to move to.

In addition to the transmigration programme population control in Java is achieved through theimplementation of the family planning programme.

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Table 7.1: Population Statistics. 1995.

Location No. of House-holds Population

Zoi e 2:

Serang 336.961 1.533.589

TaneerangM' 379.175 1.61.774

Tan gerang(2) 207,724 973.420

Subtotal 923,860 4,188,783

Zone 3 :

Subang 331,387 1,209,471

Purwakarta 139,710 578,255

Karawang 345,179 1,503,773

Sub total 816,276 3,291,499

Total 1,740,136 7,480.282

"' Regeicy Tangerang. 12) Municipality Tangerang

Table 7.2: Population Densities, 1995

Location Per Village Per Sq km

Zone 2:

Sei ang 3,722.3 817.5

Taiigerang" 5,322.1 1,920.4

Tangerang'2t 12,321.8 5,784.9

Zoirie 3:

Subang 4,837.9 648.5

Purwakarta 3,011.7 595.1

Kat awang 4,946.6 952.7

" ' Regency Tangerang. (21 Municipality Tangerang

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Table 7.3: Year 2000 Population Projections

Population (Thousands)

1997 20001

Zone 2:

Serang 1,704.7 1,797.5

Tangerang"') 2,680.1 3,107.1

Tangerang(2) 1,321.5 1,524.2

Subtotal 5,706.3 6,428.8

Zone 3:

Subang 1.249.1 1,256.4

Purwakarta 618.0 637.1

Karawang 1,615.6 1.656.1

Subtotal 3,482.7 3,549.6

Total 9189.0 9978.4

'"' Regency Tangermng. '2' Municipality Tangmng

7.4 Employment

Table 7.4 shows the employment distribution of the working population over the main industrialsectors that are prevalent in the provinces through which the distribution pipeline will be routed[CBS, 19961. Distribution of the average employment distribution for zones 2 and 3 is shown inTable 7.5.

Employment in the areas affected by the planned distribution pipeline is dominated by theagricultural sector that provides around 32% of the employed working population.

The other main contributors to employment in the area include trade, hotels, restaurants, industry,services and construction. These sectors contribute on average around 58% of the areasemployment opportunities.

At present the utilities sector (gas, electricity and water) does not provide significant employmentopportunities to the working population of the area (less than 1% of total).

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Table 7.4: Working Population Employment Distribution, 1995

Location Industrial Sector and Percentage Employment Contribution

Agri. Mining & Industry Electricity, Cons- Trade, Hotel Transport Bank & Services Ot1ersculture Quarrying Cas & itruction & Restaurant Financial

Waler Intermediaries

Zone 2:

Scrang 38.1 0.9 12.6 0.8 7.7 18.9 5.9 0.5 14.6 ()I

Tangerang 8) 18.7 1.4 18.0 1.3 8.1 22.2 7.6 2.5 20.1 0.3

Tangerang (2) 4.1 1.0 33.0 1.2 8.0 23.3 7.1 2.3 19.6 0.4

Zone 3: e _ .

Subang 57.5 1.2 8.1 0.1 7.6 14.0 4.1 0.3 7.3 0.(

Purwakaria 41.6 3.2 14.6 1.4 9.4 13.0 6.4 0.5 9.9 . I

Karawang 33.2 2.7 14.1 0.8 7.3 22.9 7.1 0.3 11.7 0.0

Average (%) 32.2 1.7 16.7 0.9 8.0 19.1 6.4 1.1 13.9 n.2") Regency Tangerang. '2' Municipality Tangerang

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Table 7.5: Average Employment Distribution in 1995

,Industry Average (%)Zone 2&3

Agriculture 32.2

Trade, Hotel and Restaurant 19.0

Industry 16.72

Services 13.9

Construction 8.0

Transpori 6.3

Mining & Quarrying 1.7

Bank & Financial Intermediaries 1.1

Electricity, Gas & Water 0.9

Other 0.2

7.5 Economic Situation

Economic performance in West Java, expressed as Gross Domestic Regional Product (GDRP) isillustrated in Table 7.6 for 1994 and 1995 [CBS, 1996].

Based on the information in Table 7.6 GDRP growth trends from 1994 to 1995 are described inTable 7.7. The economy in West Java grew at around 8.4% over the period 1994 to 1995.

Manufacturing industry is particularly important to the economy of West Java and contributesaround 30% of the GDRP and 32% of the GDRP growth. By comparison agriculture providesaround 16% of the GDRP at a GDRP growth rate contribution of only 5%.

Disproportionalities exist in the agricultural sector, which despite providing a significant level ofemployment has a relatively modest contribution to GDRP.

The present trend in the West Java economy is one of increasing industrialisation at the expenseof traditional industries such as agriculture.

The contribution of the utilities (electricity, gas and water supply) sector to GDRP is around 2%with a small GDRP growth rate of 1%. Utilities presently only provide a relatively smallcontribution to GDRP and GDRP growth.

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Table 7.6: GDRP of West Java (1993 Prices)

Rank by Industrial Sector GDRP (Million Rupiah) Contribution

GDRP 1994 1995 to GDRP

l Manufacturirg Industry 16.704,115 19,159.240 30.6%

2 Trade, Hotel and Restaurant 10,797.261 11.577.618 19.1%

3 Agriculture, Livestock, Forestry and Fishery 8,989.698 9,350.686 15.7%

4 Construction 5,342,375 5,461,635 9.2%

5 Mining and Quarrying 3,538.119 3.464,618 6.0%7c

6 Transport & Communication 3.314,599 3,569,072 5.9%

7 Finance, Dwellings, and Business Services 2,836.519 3,019,396 5.0%

8 Electricity. Gas & Water Supply 1.303,723 1.390,037 2.3%

9 Services 5.342,375 541.635 5.2%

= TOTAL 56,385,039 60,840,114 100.0%

Tatble 7.7: GDRP Growth (1994/1995) in West Java

Rank by Industrial Sector Growth in Contribution toGDRP Sector GDRP Growth

I_______Manufactuiing Industry 14.7% 32.1%

2 Trade, Hotel and Restaurant 7.2% 10.2%

3 Agriculture, Livestock, Forestry, and Fisheries 4.0% 4.7%

4 Construction 8.1% 3.8%

5 Transport and Communication 7.7% 3.3%

6 Finance, Dwellings and Business Services 6.4% 2.4%

7 Services 2.2% 1.6%

8 Electricity, Gas & Water Supply 6.6% 1.1%

9 Mining and Quarrying -2.1 t 1.0%

TOTAL 8.4% 100.0%

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8 COMMUNITIES5 AND CULTURAL BASELINE

8.1 Introduction

This Section provides baseline information on the communities and culture of the provinces ofWest Java crossed by the planned gas pipeline distribution route. The following community andcultural baseline issues have been described:

* organisation and management of local communities;

* land ownership;

* people;

* cultural heritage and values.

8.2 Organisation anid Management of Local Communities

Rural village (desa) or "special" village (in urban areas) organisation and management isconsidered to be the lowest level of formal government administrative organisation in West Java.Rural and special village communities consist of less formal govemmental organisations knownas RW (Rukun Warga) and RT (Rukun Tetangga). Village organisation and management isbroken down into a number of RW's (which are in tum also broken down into a number of RT's(neighbourhoods). An RI' is the lowest level of village government with all inhabitants in WestJava being organised under formal and informnal village government structures.

In addition to fornal and informal village govemment, it is also common to find otherorganisations that contribute to village organisation and management. These include co-operativeorganisations, religious o rganisations, youth organisations, women's organisations, sport clubs,foreman's organisation, fisherman's organisations etc. Thus, besides formal leaders such as thevillage head; informal leaders, especially religions leaders and adat leaders, may have a verystrong influence in the community, especially in rural areas.

8.3 Land Ownership

The land ownership systemn in West Java is generally in the form of private property owned byfamilies or individuals. That private property is a dominant type of land ownership in West Javais not a new phenomena. A survey conducted by the Dutch colonial government in 1869 foundthat in most villages in West Java, privately owned land was far more prevalent then commercialland ownership [Harsojo, 1983].

Land ownership is often proven by a legal letter such as certificate, but may also be ownedtraditionally without any brmal legal letter. Certain land such as land beside roads or mangroveforest, etc. is owned by the government and belongs to the state.

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In many villages in West Java, there is another type of land ownership. namelv communalproperty. Communal property can be differentiated into three categories:

* titisana, land given to villagers who deserve to receipt it as a rewvard for their services for thecommunity (called sikep);

l bengkok, land where village government officials only have right of use;

* awisan, land is a type of communal land specially assigned for cemetery keepers (kuniceni).

8.4 People

The original people of West Java are known as the Sundanese. The Sundanese remain the mostdominant ethnic group in West Java.

Although of a less significant representation it is also important to note that many other ethnicgroups live in West Java. Important amongst these ethnic groups are Central and East Javanpeople who migrate to industrial areas and cities in West Java in order to find work. Many ofthese Javanese migrant workers live temporarily in West Java, but others have becomepernanent inhabitants.

There are also many people of Chinese origin living permanently in West Java. The Chinese aretypically active in more "formal" sectors of the economy and are therefore mostly found in cities.

8.5 Cultural Heritage and Values

Since the most dominant ethnic group in West Java is Sundanese, the description providedfocuses on this ethnic group.

Sundanese speak the Sunda language (bahasa Sunda). The language is still widely used in dailylife both in rural as well as urban areas.

Sundanese culture is rich with many kind of arts. A well known traditional dancing calledJaiporlgait is still very popular. Puppet of Wayang is also very common.

Sundanese culture is strongly associated with the Islamic religion. Due to the long associationwith Islam it is difficult to separate religion and culture. Both aspects are strongly rclated andhave become Sundanese custom, and culture [Harsojo, 1983]. Consequently ceremonies relatedto life such as weddings, birth, dead, circumcision, etc. are strongly influenced by the Islaniicreligion.

It is important to note that majority of the population in West Java as a whole are Moslems. Adescription of the number and type of Moslems and Moslem worship living in the provinces ofthe planned pipeline route is given in Table 8.1.

Other religions including Christianity, Hinduism and Buddhism are also followed by smallernumbers of the population living in West Java. Table 8.2 provides a description of the number ofreligious places of worship in the pipeline provinces.

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Table 8.1: Moslem Worship Type and Number (1995)

Location Type of Worship Facilities Total

Mosque Musholla Langgar

Zone 2:

Serang 2,133 4,166 - 6.299

Tangerang 1 1,146 4,706 - 5,852

Tangerang 2 337 999 - 1,336

Subtotal 3,616 9,871 - 13,487

Zone 3:

Subang 1,356 3,202 488 5,046

Purwakarta 905 2,388 - 3,293

Karawang 1,148 3,191 - 4,339

Subtotal 3,409 8,781 488 12,678

Total 7,025 18,652 488 26,165

Table 8.2: Non-Moslem Worship Facilities Type and Number (1995)

Location Type of Worship Facilities Total

Protestant Catholic Hindu BuddhistChurch Church Temples Temples

Zone 2:

Scrang 14 I 1 6 22

Tangerang I 15 3 2 34 54

Tangerang 2 12 2 1 20 35

Subtotal 41 6 4 60 111

Zone 3:

Subang 28 2 - 2 32

Purwakarta 18 3 1 2 24

Karawang 27 4 - II 42

Subtotal 73 9 1 15 98

Total 114 15 5 75 209

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9 POLLUTION BASELINE

9.1 Air

A summary of ambient air quality measurements for some of the regions in West Java where thegas distribution pipeline project is planned are provided in Table 9.1 [IPB, 19971.

Table 9.1: Summary of Ambient Air Quality Measurements

Locations SOz (ppm) NO2 (ppm) 03 (ppm) Dust (mg/m3)

Lowest measured 0.0001 0.0001 0.0008 0.114

Highest measured1 0.0016 0.00245 0.0096 0.332

Number of 0 0 0 1 of 24measurementsexceeding airquality standards

Quality Standard 0.1 0.05 0.1 0.260

24 h 24 h 1 h 24 h

Measurements from:

CiIanava L Cilamnava 11 T?gal Gede I and Tegal Gede 11 in Karasang Disutri:

Painulagung. tVna Herang and Biung in Tangerang District: and Cilegnn in Serang Districz.

The data indicate that am,bient air quality levels for sulphur dioxide, nitrogen dioxide and ozoneare significantly lower than the Indonesian air quality standards for each of these air pollutants.

The ambient dust levels recorded are consistently high (0.114 to 0.332 mg/m3) in all areas.Exceedance of the Indonesian air quality standard for dust (0.26 mg/m3 ) occurs in Cilamaya, butdust levels are also very high in Cilegon. It is likely that the high dust levels are indicative of thedry climate that exists in West Java. The dust particle size is unreported and it is therefore notpossible to draw any conclusions from possible health effects resulting from exposure to finedust (PM2 .5 and PM1O) particles.

It is worth noting that all of these areas, excepting Cilegon, are rural. The location of the airmonitoring locations for Cilegon are unknown but it is unlikely (on the basis of the lowmeasurements recorded) to be in the centre of Cilegon or adjacent to a road or highway.

It is likely that air quality levels in the urban centres of Merak, Serang, Karawang and Purwakartaare significantly worse (for all pollutants) than the measurements recorded for rural areas.

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9.2 Soil

Soil type and properties infornation has been reported in Section 6. No soil quality data lhas beenfound in the general literature. However, topsoil along the pipeline route is likely to containsignificant levels of lead, consistent with its roadside location and emissions of lead fromvehicular traffic using leaded fuel.

PGN have not yet conducted a soil survey prior to pipeline construction for this project. PGNwill measure soil pH and resistivity in order to assist the detailed design process for thedistribution pipeline.

A knowledge of the physical and chemical properties of the soil to be excavated is importantsince it assists in the effective planning of the pipeline design and construction activities. Inparticular, the following are important:

1. The physical properties of the soil. Knowledge of soil rheology can assist in determining thepossible extent of erosion after the pipeline has been constructed. This is a particular issue inhilly areas (such as exist in Merak) where ground slippage may be a potential problem.

2. The chemical properties of the soil. There is a possibility that the pipeline trench at somelocation passes through soil that is heavily polluted from previous activities. Chemicalanalysis of the soil can then assist in determining the most appropriate waste disposal strategyfor excavated soil not used for backfilling.

Visual observations made during visits along the planned distribution pipeline route showed thatin many areas the existing pipeline route was frequently well covered with scrub vegetation andgrasses. It is likely that in many areas along the pipeline route existing levels of soilcontamination do not appear to have any observable effect on the growth of scrub vegetation.

In some areas (notably some market areas associated with Zone 2 villages) it was observed thattopsoil had become contaminated with oil as a result of human activities.

9.3 Water

No surface water quality or quantity data for the rivers that will be crossed has bcen obtained.

No ground water quality or quantity data has been obtained. PGN plan to perform a coarse surveyof ground water flows as part of the detailed design process.

Water quality effects from the gas distribution project are limited and it is not envisaged thatambient water quality data collection will be required in the future.

9.4 Noise

A summary of noise survey data is provided in Table 9.2. No information on duration or timing(i.e. day or night) of the Table 9.2 measurements are available.

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Table 9.2!: Summary of Noise Survev Measurenmenits

Location dBA Location dBA

Cilamaya 1 54 - 60 Cilamava II 56 - 64

Tegal Gede 1 62 - 70 Tegal Gede II 62 - 68

Pamulang 53 - 57 Wana Herang 42 - 5 1

Bitung 60 - 65 Cilegon 55 - 61

The noise data in Table 9.2 is taken from predominantly rural regions along the gas distributionpipeline route. The Indonesian noise standard for housing and residential areas (see Appendix D)is 55 dBA. All of the rural areas indicated in Table 9.2 exceed this standard already, although it isuncertain whether the measurement locations are associated with residential areas. On this basisit is likely that urban no .se levels in Merak, Serang, Karawang and Purwakarta will also exceedthe Indonesian national noise standard. Noise from traffic is the most likely cause of the quitehigh noise levels measur.d.

9.5 Conclusions

The amount of pollution baseline data available is limited. But, as pollution caused by the gasdistribution pipelines is not likely to constitute significant impacts, the lack of pollution baselinedata is not important.

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10 ENVIRONMENTAL IMPACTS ON LAND USE

This Section discusses the impacts on land use from the planned gas distribution project for thefollowing phases:

* pre-construction;

* construction:

* operation.


Land for offtake stations will be purchased from existing government owned land (atSerang/Cikande and Pasir Jadi). Some land acquisition from Krakatau Steel may be required inorder to construct the Cilegon offtake station.

No pre-construction lancl use impacts are expected since no additional land acquisition will berequired, as the pipeline will be constructed along an existing govcrnment owned pipeline routethat runs alongside an ex isting road network.

PGN have performed a fast track land acquisition assessment (LAA) according to World Bankrequirements, for the gas distribution project [PGN, 1997]. The LAA presents an estimate of thepresent land use, the quantity of land affected, the numbers of affected people, families andbusinesses; the number cof affected structures (e.g. paved roads, properties, crops, trees, etc) andthe level of land reinstatement, resettlement and compensation required. The results of the LAA(with respect to land use) are summarised as follows:

I No land acquisition will be required for the installation of metering facilities on customer'spremises.

2 In total 7500 m2 of land will be acquired for the offtake stations at Cikande (2500 m2 ),Cilegon (2500 mi2) and Pasir Jadi. (2500 mi2 ).

3 The land required for purchase has been costed at US$ 700,000 (Rp 1,750,000,000) by PGN.

4 No land will be acquired for pipeline construction.

5 No structures or propl.rties will be demolished during pipeline construction.

PGN has already perfoimed some initial public consultation in Zones 2 and 3 in order tocommunicate project details to the general public and local govemment and to invite commnent.Further public consultation is planned by PGN. A more detailed description of the publicconsultation process that has and will be performed by PGN is given in Appendix I.

10.2 Construction

The pipeline construction activities have the potential to cause temporary impact on landassociated with the pipeline route and nearby privately owned land and property. These types ofland use impact are now discussed:

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1. Land use impacts to privately owned property and land

The pipeline route runs adjacent to privately owned propertv and land. In mnany cases,particularly in urban centres, the working width is narrow (typically less than 10m) andencroachment on private property and land is likely.

Potential impacts on privately owned property and land include:

* storage of excavated soil which may spill over on to, or encompass adjacent property andland;

* storage and placement of materials and equipment on property and land;

* releases of potentially polluting trench water, hydrotesting water and waste solids ontoadjacent property and agricultural land;

* interference with existing infrastructure including: irrigation drains, utilities, roads and railtrack.

Agricultural land consists of around 9% of the total land types adjacent to the pipeline route. It ispossible that some crops may be sensitive to the potentially polluting liquid effluents that may bedischarged potentially resulting in crop damage or taint in the areas of discharge.

As part of the paddy field water cycle fisheries may be established. The disposal of liquideffluent to these fisheries may lead to loss of fish or fish taint.

The planned pipeline route will cross irrigation drains in agricultural areas. PGN plan to bury thepipeline under irrigation drains. There may be some temporary loss of irrigation to agriculturalland as a result of these activities.

The planned pipeline route will run alongside existing utilities (sewage, water andtelecommunications) infrastructure. PGN plan to obtaining existing plans and maps of existingdevelopments but there will still exist the potential to damiage utilitv infrastructure.

Roads and rail crossings will be encountered along the planned pipeline route. The pipeline willbe buried under major roads and rail track, leading to minimum disturbance. Roads in urbanareas may potentially be crossed by cutting the road surface and laying the pipeline. This mayresult in significant disturbance and contribute to road traffic congestion.

2. Land use impacts to pipeline route

The main land use impacts to the pipeline route are associated with:

* potential solid waste disposal along the pipeline route;

* insufficient land reinstatement along the pipeline route.

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Solid waste management will be the responsibility of the construction contractor. In order toreduce costs it is possibJe that the contractor may want to backfill the solid wastes generated intothe trench. The practice of backfilling wastes generated from construction activities could leadto:

* reduced soil integrity, potentially leading to soil collapse and erosion;

* increased soil cornpaction, caused by the burial of excess soil and wastes and leading toreinstatement problems;

* reduced pipeline integrity, potentially leading to pipeline damage caused by pipelineimpingement with rubble and stones.

The effects of burying solid wastes, such as vegetation and metallic components, that maydecompose or degrade cver time could lead to reduced soil stability, soil collapse and erosion.Erosion risks may be significant in hilly regions, notably in Merak and around Purwakarta.

Most of the land along the existing pipeline route can be classified as being either semi-natural orurban. Semi-natural land consists of land that has been worked before, and is likely to containscrub vegetation with l:ttle or no special flora, floral diversity, or environmental features ofinterest. In addition to excess solid waste burial along the pipeline route, the over compaction ofsoil may be caused by heavy equipment running over reinstated land or reinstating soil whilst it iswet

Overly compacted soil, in particular topsoil, could significantly increase the timescales forreinstatement and recovery of semi-natural vegetation. Carefully planned reinstatement willprobably lead to rapid natural recovery probably in less than one year. PGN do not yet have anydetailed plans (e.g. seeding, fertiliser use, etc.) for enhancing and promoting the recovery of thesemi-natural environment along the pipeline route.

Over compaction and mounding of soil in urban areas is likely to cause problenms with thereinstatement of level concrete and paved surfaces. Reduced soil integrity may cause landsubsidence problems in the future leading to damage of concrete and paved surfaces.

10.3 Operations

It is likely that in the future land use will undergo increasing urbanisation and industrialisation atthe expense of more tradi tional rural and agricultural land uses. The land use change process mayin itself be promoted or accelerated by the existence of the gas distribution pipeline (and existingroad network).

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10.4 Conclusions

1. Land use impacts resulting from the pre-construction phase are likely to be insignificant.

2. Land use impacts during construction phase activities may temporarily affect privately ownedland adjacent to the working width along the pipeline route. Potential impacts include thestorage or spillage of construction wastes, materials and equipment on to private property andland.

3. Some short term impacts may occur to agricultural land as a result of irrigation water supplydisruption where construction work is required under irrigation drains. Where boringtechniques are not used road crossings in urban areas may lead to increased traffic congestion.

4. Inadequate land reinstatement along the pipeline route (through burial of solid wastes andexcess soil) could cause loss of soil integrity leading to erosion; increased soil compactionleading to mounding; and potential future loss of pipeline integrity as a result of impactionwith buried rubble and stones.

5. Soil collapse and erosion along the pipeline route is likely to be of most concern in the hillyareas that exist in Merak and outside Purwakarta. The rapid reinstatement of vegetation toerosion vulnerable regions is essential in order to reduce soil erosion during the operationalphase.

6. Recovery times for natural vegetation could be effected by soil compaction as a result ofburying excess soil or heavy compression of the top-soil.

7. Mounds caused by burying excess soil and solid wastes in urban areas could lead to problemsreinstating level pavement and concrete surfaces. Loss of soil integrity could lead to the futurecollapse of reinstated pavement and concrete surfaces.

8. PGN have not yet prepared a reinstatement plan detailing their strategy for enhancing therecovery of the natural environment that exists along the pipeline route.

10.5 Recommendations

I. PGN will not allow polluted liquid effluents to be disposed onto agricultural land. Thispollution related issue is discussed in more detail in Section 11 and will be implemented byPGN through clauses in the contract of the construction contractor (see Section 17).

2. PGN will not allow solid wastes generated as part of the construction activities (exceptingexcavated soil) to be intentionally buried in the pipeline trench. This pollution related issue isdiscussed in more detail in Section II and will be implemented by PGN through clauses in thecontract of the construction contractor (see Section 17).

3. PGN will prepare a land reinstatement plan as part of the detailed design phase in order toensure that land in urban and non-urban areas returns to its original condition as quickly aspossible, and to reduce the levels of erosion and pipeline failure risk.

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11 ENVIRONME2N'TAL IMPACTS FROM POLLUTION

11.1 Introduction

This Section evaluates ar.d assesses the potential pollution impacts to the environment resultingfrom planned (routine, fugitive and intermittent) releases to air, land and water. Pollution impactsto the environment resulting from unplanned or accidental releases to air, land and water aregiven in Section 12.

11.2 Activities of Potential Impact

Potentially polluting releases to air, land and water are summarised in Table 11.1 for theconstruction and operational phases. No potentially polluting releases are expected during thepre-construction phase.

Table 11.1: Summary of Potentiallv Polluting Releases

Phase Activity Release

Air Land Water

Construction Removal of vegetation V

Removal of top-soil or concrete surfaces V V

Trench excavation and soil stockpiling l

Storage of excavated soils

Disposal of trench water V

Pipeline welding V V

Hydrotesting

Trench backfill v

Underground boring V

Bridge construction

Operation Gas combustion by customers

offtake station

Odorising plant =

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11.3 Releases to Air

11.3.1 Construction

Potentially polluting substances that could be released to air from pipeline construction activitiesinclude:

* dust:

* welding rod flux gases;

* combustion products including carbon dioxide, carbon monoxide, particulate matter, sulphurdioxide. nitrogen oxides and water.

The types of nuisance likely to be associated with dust releases are:

* Health related, mainly through the direct inhalation of dust.

* Property related, through the settlement of dust on property.

It is highly unlikely that dust generated over the short timescales associated with pipelineconstruction will have any significant effect on flora, and in particular crop yield in agriculturalareas.

Releases to air expected from construction activities and their potential to pollute theenvironment are described as follows:

1. Removal of top-soil or concrete surfaces

Top-soil is likely to be removed using manual labour. The removal of top-soil and its placementinto storage stockpile areas for subsequent backfilling could generate some dust during dryconditions.

Concrete surfaces, found predominantly in urban centres, are likely to be removed using acombination of pneumatic drilling and manual labour (pick axes and concrete cutters). Theresulting concrete debris will be loaded into skips or specially created pits, this operation also hasthe potential to generate dust in dry weather.

Pneumatic drilling of concrete surfaces (if used) is likely to cause a more dust nuisance than top-soil removal.

2. Trench excavation and soil stockpiling

Trench excavation is likely to be performed using manual labour. Excavated soil will be workedinto piles ready for stockpiling. Excavation and stockpiling of dry soil could result in somerelease of dust to air.

3. Storage of excavated soils

Excavated soil will be stored adjacent to the pipeline trench and maintained for backfilling. Dustcould be generated from wind blowing over dry exposed soil stockpile surfaces.

Page 626 Nnwemr 19Y7. M1igujddu


4. Pipeline welding

Releases to air resulting from pipeline welding will be limited to metal fumes and gases releasedfrom welding. These gases are an occupational health concem to the welders but the overallemission level is likely to be relatively small. Environmental impacts from this source are likelyto be insignificant.

5. Pipeline drying

Following hydrotesting the pipeline will be dried by blowing nitrogen through it. Nitrogen is nota toxic hazard and no en-v ironmental impacts are expected.

6. Trench backfill

Trench backfilling is likely to be done using manual labour. This activity will not causesignificant dust release to air.

7. Ancillary equipment

Power generation equiprrent and vehicles used during the pipeline construction phase will, as aresult of the combustion of fuel oil and gasoline, release to air: carbon dioxide, nitrogen oxides,carbon monoxide, sulphur dioxide, particulate matter and water. Release of these combustionproducts to air is likely to lead to an insignificant environmental impact.

Dust settled on roads can be re-suspended by vehicular agitation causing a secondary nuisanceproblem. Dust re-suspension may be through vehicles used by the construction contractor, butwill more likely result fromn other sources of traffic.

11.3.2 Operations

Substances that could be released to air as a result of operational activities associated with thedistribution pipeline, offtake stations and gas usage include:

- gas combustion products: nitrogen oxides, carbon monoxide, carbon dioxide and water.

* natural gas (predominantly methane);

* tetrahydrothiophene (THT);

Detailed safety and environmental hazard data sheets are provided in Appendix H for natural gasand THT.

A description of the releases to air and their potential to pollute the environment is now given:

1. Gas combustion by cus;tomers

Releases to air of the combustion products resulting from gas usage by customers is the mostsignificant environmental impact (and benefit) associated with the operational phase and perhapsthe entire project.

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In comparison with the combustion of other fossil fuels (coal, oil, etc.) gas combustion offers thefollowing advantages:

* lower level of carbon dioxide released per unit of energy supplied;

* no particulate matter released;

* no sulphur dioxide released;

* no solid wastes generated;

* no damage to ground or surface water from spills.

Natural gas emits less carbon dioxide (CO2) per unit of energy than any other fossil fuel (seeTable 11.2) and is widely seen as a greenhouse solution, e.g. switching to gas from other fossilfuels [Australian Gas Industry, 1997].

Table 11.2: CO2 Emissions by Fossil Fuel Type

Fuel Type Enission Factor

Kt CO2/PJ

Brown coal 95

Black coal 91

Fuel oil 74

Automotive diesel fuel 70

LPG 59

Natural gas 51

I Pi= ixiol' J

2. Cold venting of natural gas from offtake stations

Waste natural gas is likely to be infrequently released to air from pressure relief vents at theofftake stations. The dominant component of natural gas is methane, which is a greenhouse gaswith around 200 times the global warming potential of carbon dioxide. Due to relatively smalland infrequent releases cold venting contributions to the global warming effect will be negligible.

Cold venting has safety implications due to the flammable and explosive nature of natural gas.Alternatively, failure to vent is likely to have a greater safety impact due to the increasedpotential of pipeline rupture and release possibly in urban centres. Natural gas does not pose atoxic safety hazard, its effects are through asphyxiation only. Asphyxiation effects are highlyunlikely due to the atmospheric dispersion of releases.

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3. Emissions from generators at offtake stations

Diesel powered generators will be used at the offtake stations in order to provide uninterruptedpower supply for the SCADA systems. The generators are likely to operate at a low power ratingand the diesel engine will emit relatively small quantities of carbon dioxide, carbon monoxide,sulphur dioxide, nitrogen oxides, particulate matter and water. Environmental impacts frompower generation emissions are expected to be insignificant.

4. Odorising plant

THT is added to natural gas in order to aid detection of natural gas leaks by people. THT odorsare detectable by people down to I ppb [US EPA, 1982]. Small leaks or fugitive releases of THTfrom the odorising plant leading to the olefactory detection of THT are unavoidable because ofits very low odor threshcld. It is likely that THT odors will be continuously detectable by onsiteworkers entering the odorising plant building. Due to the likely distance of the proposedodorising plants from population centres, THT odor is highly unlikely to be an odor nuisance tooff-site populations.

Small fugitive releases oF- THT to air are expected to be rapidly oxidised by hydroxyl radicals inthe atmosphere [US EPA, 1982]. Environmental impacts from fugitive THT releases to air arelikely to be insignificant.

Accidental spillages of THIT liquid and their impacts on the environment are discussed in Section12.

11.4 Releases to Waiter

11.4.1 Construction

The following substances could be released to water (either directly or more likely in associationwith water) as a result of construction phase activities:

* soil and metal oxide scales;

D fuel oil;

* spent welding rods and plastic tape;

* soil contaminants that could include oil, pesticides and heavy metals (particularly lead).

A description of the releases to water and their potential to pollute the environment is now given:

1. Disposal of trench water to drains and rivers

Rain water or groundwater accumulating in trenches during and following trench constructionmay be disposed of by pumping directly to storm water drainage systems in urban areas. Thedisposal of trench water on land in non-urban areas is discussed in Section 1 1.5.1.

The trench water is likely to contain suspended solids from soil in the trench. The trench watermay also become contaminated with fuel and lubricating oils from the vehicles and equipmentused by the construction contractor. Trench water may also contain contaminants already presentin the soil; these contaminants could include oil, pesticides and heavy metals.

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Contaminated trench water entering storm water drains will most likely be routed directly to riverwithout any form of treatment.

Suspended soil solids associated with the trench water are unlikely to have a significant impacton river or sediment quality.

River water and sediments may become contaminated with oil and possibly pesticides and heavymetals. No contaminated soil survey information exists. Consequently, the significance of anyresulting environmental impacts is uncertain but probably not large except in the case ofincidental oil spills.

Commercial fish farrns may be established in paddy fields during the appropriate stage of the ricegrowing water cycle. Disposal of trench water to paddy field fish farms may lead to fish loss ortaint. Water quality criteria exist in Indonesia for water that may be used for fisheries andlivestock (Appendix D). Water quality criteria are suggested amongst others, for oil and grease(lmg/l), and lead (0.03 mg/I) the most likely heavy metal to be found in roadside soil. Therecommended water quality levels are for maximum concentrations.

2. Hydrotesting

It is planned that mains water will be used for hydrostatic testing. PGN will not add anti-corrosion additives or methanol to hydrotesting water.

After hydrotesting the pipeline will be pigged, and the hydrotesting water screened to removesolid debris (including mill cuttings, spent welding rods, plastic taping, stones and rubble). As aresult of pigging and solids removal, the hydrotesting water could become contaminated with:

* lighter solids, including soils and metal oxide scales;

* soil contaminants including oil, pesticides, and heavy metals.

The still contaminated hydrotesting water will be released to storm water drain in urban areas. Innon-urban areas hydrotesting water will be disposed of t6 land, this is discussed in detail inSection 1 1.5.1.

Contaminated hydrotesting water entering storm water drains will most likely be routed directlyto river without any form of additional treatment. In addition to the impacts discussed previouslyfor trench water disposal to river, receiving river sediments may become contaminated withmetal oxide scales downstream of the outfall. This is unlikely to produce a significantenvironmental impact.

4. Bridge construction

Bridge construction activities may result in wastes such as materials used for scaffolding, spentwelding rods and plastic tape being disposed of to river. This could lead to contamination ofsediments and banksides.

11.4.2 Operations

No releases to water are expected during the operational phase.

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11.5 Releases to Land

11.5.1 Construction

Solid wastes will be gernerated during the construction phase. Waste management will be theresponsibility of the cons:ruction contractors.

Based on historical experience it is likely that the contractors will try (unless otherwisecontrolled) to dispose of wastes by the cheapest route available. This is likely to involve theburial of wastes in the pipeline trench and dumping at the closest convenient land or river site asopposed to disposal at public government approved waste disposal sites. This waste disposalpractice and its effects on land-use has been discussed in detail in Section 10.

A description of the likely solid wastes generated and all potential releases to land is now givenfor the construction phase.

1. Removal of vegetation

Includes scrub vegetation, trees and tree routes removed from the initial clearing and sitepreparation activities will generate domestic type waste.

It is likely that the vegetation waste will either be burnt when dry, buried in the trench or left atthe roadside. Some waste wood will probably be used as fuel.

2. Removal of concrete surfaces

Rubble and debris resulting from the removal of concrete surfaces in urban and industrial areaswill generate waste.

3. Disposal of trench water on land

Rain water or groundwate r accumulating in trenches during and following trench construction islikely (in the absence of a suitable nearby river) to be disposed in non-urban areas by pumpingthe water directly to adjacl.nt land. The trench water is likely to contain:

* suspended solids from soil in the trench (extremely likely constituent);

* fuel and lubricating oil~s leaked from ancillary vehicles and equipment (likely constituent);

* contaminated soil possibly containing oil, pesticides and heavy metals (possible constituent).

As long as there is no additional contamination of the trench water througlh contaminated soilcomponents and only light oil sheens exist then environmental impacts to land are expected to beinsignificant. The disposal of excessively oily water to land may lead to soil damage andcontamination.

Disposal of trench water containing contaminated soil and/or oily water to agricultural land maycause crop damage to the: areas where water has been applied. Water quality criteria exist inIndonesia for agricultural land usage (Appendix D). No oil or grease levels are suggested, butlevels for lead (the most likely roadside heavy metal contaminant) of 1mg/l are suggested as aguideline. The recommended water quality levels are for maximum concentrations.

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4. Hydrotesting

The filtering of hydrotesting water is likely to produce the following wastes:

* spent welding rods;

* mill cuttings;

* stones and rubble.

Unless otherwise controlled these wastes are is likely to be buried with the pipeline in thepipeline trench.

5. Trench backfilll

Waste soil will be left over following backfilling. In non-urban areas it is likely that the wastesoil will still be buried through increased compaction and mounding. The effects on land-use andreinstatement have been discussed in Section 10.

6. Underground boring

Underground boring will produce soil as a waste product. It is likely that the soil will be buriedalong the nearby pipeline route. This is unlikely to result in a significant environmental impact.

7. Bridge construction

Wastes from bridge construction activities could include spent welding rods and plastic tape.These wastes may be released directly to water (see earlier discussion).

11.6 Operation

No releases to land are expected for the operational phase.

1 1.7 Noise

11.7.1 Construction

Noise generation during the construction phase could cause nuisance to people living or workingnear to the planned pipeline route. The noise nuisance issue may effect urban and industrial areas(accounting for around 50% of the total pipeline route) where relatively high human populationlevels exist, or within rural areas where the existing ambient levels are lower than urbanenvironments.

The main noise issue associated with pipeline construction is likely to be from power generationequipment used for pipeline welding. British Standard 5228 suggests that the sound power sourceof the power generation equipment is around 102 dB (unshielded), this corresponds to a noiselevel of 68 dB at 50m from the noise source [BS 5228, 1992]. Pipeline welding power generationequipment will probably be kept in a lorry or truck allowing ease of mobility. Pipeline stringingis also a significant noise source.

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Ambient noise levels in rural areas (see Section 9) already exceed the Indonesian national noisestandard of 55 dBA for housing and residential areas. It is probable that urban noise levels mayalso be in excess of the same noise standard. For short term activities a 10 dB relaxation ofambient noise levels is normally considered acceptable. It is considered that the constructionactivities identified will generate significant levels of noise in excess of the ambient and nationalnoise standard. It is therefore important that PGN take all reasonable measures to ensure thatnoise nuisance is reduced to within 10 dBA of existing ambient noise levels.

The mobile pipeline welding generators should be housed in high performance acousticenclosures. If the enclosures can not provide sufficient attenuation then a barrier should surroundthem. Barriers may be rovided by constructing a wall of straw bales or sand bags positionedclose to the generator. In order to be effective the wall should be greater than the height of thegenerator and about 5 limes the height in length. Attenuation of about 10 to 15 dBA can beachieved with this type of screening [BS 5228, 1992].

All construction activities with the potential to generate noise should be shielded from nearbyproperty. Natural barriers (e.g. trees and bushes) may provide a benefit whilst man-made barrierssuch as soil stockpiles make effective acoustic screens. For small plant such as pumps, soilstockpiles of around 2mr high and 6m wide can provide attenuation of about 10 dBA [BS 5228,1992].

PGN plan to work in urban centres from 8:00 to 17:00 hrs each day of the week, includingweekends. As a consequence, people will not be disturbed by noise during normal sleepinghours.

No explosives are planned to be used in order to blast excavate trenches.

11.7.2 Operations

PGN do not propose tc, develop compression plant associated with the proposed offtake andmetering stations. Some noise may be generated from flow through pipes during metering butthis will be insignificant.

Noise nuisance is not likely to be an issue during operations.

11.8 Conclusions

Air

1. Dust generated by the construction activities during dry conditions is a potential source ofshort term air pollution and nuisance to people, properties and business close to constructionactivities.

2. The most significant environmental impacts (and benefits) during the operational phase arisefrom the combustion of the distributed gas by the predominantly industrial customer. Theenvironmental impacts of using gas as an alternative-source of energy are significantly lessthan the environmental impacts associated with using other fossil fuels.

3. Releases to air during operations at the offtake stations, include: fugitive releases of THTfrom odorising plant, natural gas pressure relief venting, and power generation combustiongases. Environmental impacts from these releases are not expected to be significant.

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Water

1. The main liquid effluent releases to water are hydrotesting wvater and trench water fromconstruction. Liquid effluent releases to river may occur in urban areas (via storm waterdrains) or non-urban areas (directly to river). In non-urban areas liquid effluent releases toland is an option where no river exists. Liquid effluent releases to river are not expected toproduce a significant environmental impact, unless significant levels of oil are associated withthe released water.

2. Liquid effluents from trench water are likely to be harmful to water in paddy fields that mayhave a value as a fishery. Trench water disposal could potentially lead to fish taint or loss.Indonesian water quality criteria for fisheries and livestock suggest maximum concentrationlevels for oil and grease (I mg/1) and lead (0.03 mg/I).

3. It is undesirable to dispose of solid wastes from bridge construction and other activities towater.

Land

I. A variety of soil and liquid wastes are generated that could be disposed of to land. Thesewastes include domestic type wastes (vegetation), construction wastes (spent welding rods,mill cuttings, metal oxide scales, concrete debris, soil, stones and rubble), used hydrotestingwater and trench water. No toxic wastes are likely to be generated, except spent lubricants andoily wastes.

2. The construction contractors will be responsible for disposal of the wastes generated. Unlessotherwise controlled the contractors are likely to choose the cheapest waste disposal optionavailable and dispose of liquid effluent wastes to drain, water and land.

3. Liquid effluents containing contaminated soil and/or oily water have the potential tocontaminate land. Release of these liquid effluents to agricultural land may cause crop taint ordamage to the areas where the effluent has been disposed. Indonesian water quality criteria foragricultural water give a maximum concentration of I mg/l for lead.

Noise

I. The generation of noise is an unavoidable by-product of the construction activities. Short termnon-compliance with ambient noise standards during construction is accepted in manycountries. Noise generation has the potential to cause nuisance to local property owners andbusinesses.

2. There will be no night-time noise since construction work will be limited to normal workinghours.

3. Noise generated during the day is particularly likely to effect urban and industrial areas due totheir relatively high population densities. Urban and industrial areas account for around 50%of the total planned pipeline route. The most significant noise source is likely to be fromgenerating equipment associated with pipeline welding. Other activities including pipelinestringing are also significant sources of noise.

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Construction Contracto rs Clauses

1. Pollution controls during pipeline construction activities will be the responsibility of theconstruction contractcr. PGN will ensure that pollution controls for releases to air, water andland (see recommendations that follow) will be implemented through clauses in the contractof the construction contractor (see Section 17).

Air

1. PGN will suppress dust generation during dry conditions using appropriate controls such as:

* water sprays;

* secured sheets;

* good housekeeping.

2. PGN will develop operating procedures for suppressing dust releases during pipelineconstruction activities.

Water

1. PGN will ensure that solid waste materials associated with bridge construction activities willnot be disposed of to river water.

2. PGN will ensure that liquid effluents (trench and hydrotesting waters) will not be disposed ofto paddy field fisheries that may operate during the rice growing water cycles.

Land

1. PGN will ensure thai. liquid effluent from trenches and hydrotesting water will not bedischarged to agricultural land.

2. PGN will formulate a waste management plan and procedures for the construction contractorsin order to ensure that:

* re-cyclable and re-usable wastes are not disposed;

* unusable wastes aie segregated and disposed of at public government approved facilities;

* waste disposal when appropriate occurs at registered facilities approved by localgovernment.

Noise

1. PGN will ensure that normal working hours in villages and urban areas will be. limited inorder to avoid disturbanice at night and for too much of the weekend.

2. PGN will ensure that all items of plant (including power generators) will be in good conditionand operated with all fitted enclosure fastened. Machinery in internittent operation will beturned off when not in use.

3. PGN will develop operating procedures for suppressing noise emissions during pipelineconstruction activities.

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12 ACCIDENTAL EVENTS - ASSESSMENT OF SAFETY ANDENVIRONMENTAL RISKS

12.1.1 Introduction

This Section discusses the risks of unplanned or accidental release events to safetv and theenvironment.

Safety risks associated with accidental natural gas releases are of major concern because:

* natural gas (consisting mainly of methane) is a hazardous substance which is flammable andexplosive;

* Around 50% of the distribution pipeline will be through heavily populated urban andindustrial areas in West Java.

The main discussions in this Section will focus on a description of the safety residual risks andhow these are addressed.

12.2 Safety Risk Assessment

12.2.1 Introduction

The safety risk assessment examines the hazards related to natural gas distribution and thevarious scenarios related to accidental release of natural gas into the environment. This considersthe effects of residual risks i.e. the risks remaining after all relevant acts, regulations, codes andstandards for the safe operation of the pipeline system have been met in the design.

The scope of this safety risk assessment is therefore to present a description of the residual risksthat are associated with the operational phase of the gas distribution pipeline. A consequenceanalysis of gas leaks is performed for the 16" main line and based on this assessment, a buildingproximity distance is delermined which provides a guide for establishing the detailed routing ofthis pipeline. .paLof,Lgntinuing effort to improve its Safety Management System, PGN alsointends to establish guidelines for routing of pipelines based on risk assessments as a parallelactivity to this project. This work aims to establish in-house criteria for building proximitydistances and the appropriate risk mitigation measures that can be taken.

In the case of the three offtake stations, QRA and HAZOPs will be carried out as part of thedetailed design process to verify the location of these stations in relation to risk exposure to thesurrounding population.

Page 726 Nawmi. IW7. N/mtg,pJd.doc


12.2.2 Hazard Identification

Types of Hazardous Materials

Hazardous materials can be classified according to the type of hazard which they create. Themain types are:

* flammable materials, which can be ignited to give various types of fires and explosions,

* toxic materials, which may form clouds of vapour which could cause harm through inhalationor absorption through the skin;

* reactive materials which may form flammable or toxic products when reacted with othermaterials released or already present, such as water or air.

The most hazardous material associated with the gas pipelines is natural gas, which consistsmainly of methane. At the offtake stations, the liquid odorant THT is also a hazardous material.Safety and environmental hazard data sheets for methane and THT are given in Appendix H.

Hydrogen sulphide, a toxic gas sometimes present in natural gas, is not known to be present inthe gas supplied by Pertamina.

This safety risk assessment will focus on the hazards associated with accidental releases ofnatural gas by the pipelines.

Accidental release of natural gas can result in the following scenarios:

* ignition upon release resulting in a jet fire;

* if un-ignited upon release, a flammable gas cloud is formed if not adequately dispersed byprevailing wind conditions. Being lighter than air, releases are easily dispersed into theatmosphere. Ignition may be delayed with a resultant flash fire.I Under normal atmospheric conditions, natural gas clouds are generally not explosive in nature.

However, if released into confined spaces, an explosive situation can be created.

The main hazards to safety associated with natural gas releases are flammability and potentiallyexplosive consequences which may lead to loss of life, property or injury.

Historical Failure Data For Buried Pipelines

Experience with failures of buried pipelines used for transmission of natural gas is illustrated bydata in Table 12.1.

Based on a UK Health and Safety Executive (H&SE) contract research report (No. 82/1994), theaverage failure rates for onshore gas pipelines from various sources are given in Table 12.1[H&SE, 1995].

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The European Gas Pipeline data are based on pipelines with design pressure greater than 15 barg.In the U.S., under federal regulations, reporting is required onlv for major incidents resulting indeath, serious injury or substantial third party damage in transmission pipelines operating abovea design factor of 0.2. T'he British Gas data are based on onshore gas transmission pipelineexperience with a design pressure greater than 7 barg. The European Gas Pipeline lncident DataGroup (EGIG) data also shows a marked increase in failure frequency of pipelines with wallthickness of less than 5 mm. Given that external interference is typically responsible for mostfailures (see Table 12.3), ai thinner pipeline will be more susceptible to external impacts.

Table 12.1: Failure Frequencies According to Different Sources

Data Source Failure frequency Database

(per 1000 km year) (1000 km year)

EGIG 0.575 1470

US Gas Transmission 0.74 n.a.*

British Gas 0.11 250

* not availab, c

PGN Experience

Table 12.2 gives an inventory summary of high pressure (in excess of 1 barg working pressure)steel gas pipelines in the Jakarta region [PGN, 1994].

PGN's historical incident records are presented in Section 6. The records suggest that for highpressure steel distribution pipelines (those with operating pressures in excess of I barg) in theJakarta area, there were 3 incidents of leakages for the period 1974 to 1994. Two incidents weredue to external interferenze and one from material defect. Using the operational data in Table12.2, this gives a failure frequency of about 0.98 per 1000 km-year. Using the U.S. criteria forreporting of incidents, there was one incident in the case of the PGN distribution system thatinvolved injury or property, damage. This gives a failure rate of 0.33 per 1000 km-year.

In comparing with the intmrnational failure rates shown in Table 12.1, it is noted that the PGNdata is based on a relatively small distribution pipeline database of about 3000 km-year andtherefore very sensitive to the number of failure cases. The PGN database also includesdistribution pipelines operating at relatively lower pressures down to 1 barg compared to theBritish Gas and EGIG data for transmission systems at pressures higher than 7 barg. The PGNfailure rate of 0.33 to 0.98 per 1000 km-year is comparable to the U.S. gas transmission andEGIG pipeline failure rate data.

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Table 12.2: Existing PGN Gas Pipelines in the Jakarta region*

Year of Length of pipelines Length x AgeConstruction constructed (km) (km-year)

1979 40.000 720

1980

1981

1982 _

1983 5.500 77

1984

1985 71.603 860

1986 18.258 201

1987 0.925 _

1988 21.073 190

1989 22.740 182

1990 30.044 210

1991 27.472 165

1992 60.557 303

1993 28.241 113

1994 6.213 19

TOTAL 332.626 3.050

12.2.3 Pipeline Failure Scenarios and Impacts

Gas leakages in the distribution system may arise due to one or a combination of the followingpossibilities:

* pipeline damage with resulting release;

* leakage through valves and flanges;

* leakage through fittings, regulators.

An analysis of data from the U.S. Office of Pipeline Safety on typical causes of damage to gasdistribution pipelines is given in Table 12.3 [Office of Pipeline Safety, 1995]. Table 12.3 showstypical statistics from one year of operation.

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Table 12.3: Distribution Pipeline Incident Summarv

(U.S. Office of Pipeline Safety, 1995)

CAUSE No. of Incidents % of Total

Internal corrosion 0 0

External ,:orrosion 3 3

Damage lrom outside forces 66 68

Construciion operating error 5 5

Accidentailly caused by Operator 6 6

Accidentally caused by others 17 18

TOTAL 97 100.M0

Based on historical experience, the largest cause of leaks in buried gas pipelines is externalimpact, mainly arising r'rom third party influence. As far as gas distribution pipelines areconcerned, external impacts due to third party damage represent the greatest risk to safeoperation of gas pipelines.

One call systems have proven useful for avoiding third party interference. The two basic types ofone-call systems in current use are:

v pipeline/operator one call - such a system is set up by utilities or operators, to channel allexcavation and development inquiries through a central point;

* private based one cal] - such a system is run by private organisations, possibly through aconsortium of utilities, where the organisation has the task of supplying infomnation and/orassistance from relevant utilities to persons carrying out work.

The frequent and clear sign posting of the pipeline route is also a good measure for reducing thirdparty impacts. This risk rmitigating measure will have a significant effect on reducing the failurefrequency. Other failure modes, particularly intemal and external corrosion effects will be fullymitigated during the detailed design phase.

Resulting scenarios from natural gas releases that could impact on human safety include:

* jet fires due to ignited ileleases;

* fireballs from full bore rupture of pipeline and immediate ignition;

* releases ignited late on open ground resulting in a flash fire;

* gas migration into nearby buildings with delayed ignition resulting in explosion and/or flashfire.

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Each of the above scenarios will have a different conditional probability of occurrence dependingupon the release characteristics and the availability and distribution of ignition sources in therelease area. The consequences and impact on human safety from each of the release scenarios isdependent upon prevailing wind direction and the distribution of human populations adjacent tothe release location. Based on the consequence assessment performed, as presented in AppendixG, a building proximity distance (BPD) of 10m from the main 16" pipeline was established. Forsmaller diameter pipelines, the BPD will be smaller. This defines the minimum distance tooccupied buildings which the pipeline should approach and provides a guide to route the mainline in populated areas. This measure will appreciably reduce the overall safety risk.

In addition, sectionalisation of the pipeline will enable critical sections of the pipeline to beisolated following an accidental release of natural gas thereby reducing the total release inventoryand reducing risks to safety. Other mitigating measures will include provision of adequate andsufficiently sensitive leak detection facilities that will be used in order to identify leaks and theirlocation and to rapidly isolate the section of pipeline where the leak has occurred. PGN plan touse metering of flows, pressure and temperature at offtake stations and SCADA which can giveearly warning of leaks.

In the case of offtake stations, gas releases may arise due to:

* failure of valves, flanges and fittings;

* failure of regulators;

* over-pressure;

D failure of piping within station;

- human error.

Given the concentration of valves, fittings and flanges at an offtake station, the layout of suchstations should be designed to minimise escalation of any fires resulting from the above causes.In addition, there is also the risk of release of the chemical odorant, THT which is a flammablesubstance. HAZOPs and Quantified Risk Assessments (QRAs) will be performed during detaileddesign of these facilities to evaluate the safety impacts to the surrounding population and ifnecessary implement risk mitigating measures.

12.3 Environmental Risk Assessment

12.3.1 Construction

No environmental risks from accidental releases are expected during the construction phase.

12.3.2 Operations

Hazardous substances that could be accidentally released to the environment during operationsinclude:

* natural gas (predominantly methane);

* tetrahydrothiophene (THT).

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The environmental risks associated with the hazardous substances detailed above are discussedfor accidental events that may occur during the operational phase:

(i) Natural gas releases from pipeline and offtake, metering and regulation stations

The safety risks associaled with accidental natural gas releases from the pipeline and offtakestations have been discussed in detail earlier in this Section.

An environmental hazard sheet for natural gas is given in Appendix H.

Natural gas is non-toxic but could lead to asphyxiation in sufficient quantities (to people,livestock and wildlife). Fowever, the most significant contributor to the environmental risk fromaccidental releases of nalural gas will be due to its flammable and explosive hazards. The mainenvironmental risk associated with accidental natural gas releases is to the man-madeenvironment (property, business, structures, etc.).

(ii) THT releases fro'm odorising plant

An environmental hazard sheet for THT is given in Appendix H.

Odorising plant include THT storage in drums of around 200 kg capacity. Based on aconsumption rate of 448 g/mmscfd required to maintain a THT concentration of 16mg/m3 Table12.4 summarises the THT' usage by zone of operation.

Table 12.4: THT Consumption by Zone of Operation-

Zone Capacity THT Consumption

(mmscfd) (kg/day) (2010 kg drums/week)

I 189 85 3

2 94 42 1.5

3 215 96 3.5

| TOTAL 498 223 8.0

The main accidental release events (and their failure modes) that could lead to the release ofliquid THT to the enviror ment include:

* complete failure of storage drums (caused by, for example, dropping impact as a result ofcareless unloading practices during delivery leading to the breakage of drum seals) leading tocomplete loss of inventory;

* spillage of THT (caused by careless handling leading to the drum being tipped over);

* leakage of storage druins (caused by corrosion of seals or puncture of drum);

* full bore rupture or leakage of piping connecting the THT drum to the THT injection plant(caused by flange or valve failure).

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Leaks and spillage have a greater likelihood of occurring than complete failures. Releases ofliquid THT to the environment will produce a spreading surface pool of THT. Pathways to theenvironment from THT pool spreading include:

* evaporation to air;

* run-off to drain and sewer.

* drainage and uptake to soil and groundwater;

* run-off to surface water;

Each of the above pathways will also reduce the rate and extent of pool spread through theiraction as sinks for THT.

Due to its high boiling point it is likely that the majority of THT spillage will remain in the liquidphase, with small quantities vaporising to air. Impacts to the atmospheric environment will bereduced since the THT will be dispersed and rapidly degraded by hydroxyl radicals in the air [USEPA, 1993]. However, THT odor thresholds are very low (lppb) and odors may be detected bydownwind populations following a release.

THT is highly flammable and ignition of THT pools would lead to pool fires, which may causedamage to the man-made environment (i.e. PGN property), and escalation (or knock-on) damagerisk to the offtake station.

Impacts to sewer following the accidental release of THT to drains could lead to the generationand build up of THT vapours leading to a potential explosion risk resulting in damage to thesewer network.

Impacts to soil and land are primarily associated with drainage and contamination, although THTdoes not adsorb onto soil. Drainage through soil is greater for sand than it is for coarse clays.Groundwater contamination is a potential problem if the site lies above an aquifer. The damageto groundwater could be particularly severe if the aquifer is abstracted for drinking water,agricultural or industrial uses.

Little information is available to infer impacts to water. However, due to its low boiling pointand low octanol water partition coefficient, THT is unlikely to bio-concentrate. THT will also bemetabolised by microbes (biodegraded). The factors suggest that environmental recovery timesare likely to be relatively short leading to short termn impacts to water only.

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12.4 Conclusions

12.4.1 Safety

1. Safety risks during construction will be limited to those encountered during manualconstruction work.

2. The major safety hazard associated with gas distribution pipeline project is from accidentalreleases of natural gas. The flammable hazard associated with natural gas releases is ofprimary concern for human safety.

3. An assessment of PGN's historical accident statistics has determined a gas distributionpipeline failure rate of 0.33 to 0.98 per 1000 km year with the major contributory cause fromexternal third party influence. This is comparable to the average failure rate based on U.S. Gastransmission data. Based on recent US experience the main cause of gas distribution pipelinefailure is due to third party impact. This failure mode contributes to around 68% of all gaspipeline failures. PGN's major incident records also indicate that external third party impact isthe major contributor to pipeline failure. Appropriate risk mitigating measures will beconsidered during detailed design to reduce the influence of third parties such as sign postingand implementation of one-call systems to control third party construction activity within thepipeline vicinity. Such measures will reduce the failure frequency significantly.

4. Following the accidental release and ignition of natural gas released to the environment anumber of ignited gas release scenarios of concem to safety can occur. These scenariosinclude fireballs, jet fires and flash fires, the occurrence of which are dependent upon whetherlate or early ignition of the gas release occurs and the extent of gas accumulation. Theconsequence and impact to human safety of the release scenaiios discussed are dependentupon a number of ervironmental variables. These variables include the availability anddistribution of ignition sources, the direction and speed of prevailing wind, and mostimportantly the density and distribution of people adjacent to the release event.

5. The most important risk mitigation factor is pipeline routing. Based on consequenceassessments of various pipeline failures, an impact distance in terms of building proximitydistance (BPD) of lOm is established. This building exclusion zone is used to assist indetailed routing of the pipeline. Pipeline sectionalisation is also an important design parameterfor reducing and controlling safety risks. PGN plan to use metering facilities and SCADA inorder to detect and provride warning of gas leaks.

6. An SMS is an effective generic way of managing safety risks. Further discussion of SMS as ameans of risk mitigation is given in Section 17.

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12.4.2 Environmental

1. No construction related activities are likely to give rise to significant environmental risksresulting from accidental releases.

2. Accidental releases of natural gas during operations could lead to damage to the man-madeenvironment through flammable and explosive hazards. By comparison, asphyxiation risks topeople, livestock and fauna are of lower concern.

3. Accidental THT releases from drummed storage and operational failures will lead toenvironmental risk exposure to air, land, sewer and water. Ignited THT releases could lead tofire risks to PGN property and further escalation affecting the offtake and metering facilities.

4. THT storage should be minimised and THT storage areas should be sufficiently removed fromthe main offtake stations. Based on THT consumption rates (Table 12.4) it is reasonable thateach odorising plant should be able to operate with THT site inventories of around I tonne(i.e. 5x200 kg drums).

12,5 Recommendations

12.5.1 Safety

1. The detailed routing of the pipeline will take into account the impact distances of pipelinefailures. These impact distances in terms of Building Proximity Distances (BPD) will bedefined for each pipeline size under normal working pressure.

2. PGN will mitigate the potential for third party impacts by using a one call system and frequentsign posting marking along the pipeline route.

3. HAZOP and QRA studies of the offtake stations (including gas and THT safety hazards) willbe performed during detailed design in order to assess the suitability of layout, design andsafety systems such as gas detection, fire-fighting capabilities, emergency shut-down. Thesafety risks determined will be compared with a range of risk criteria consistent withinternationally accepted requirements.

12.5.2 Environment

1. THT storage drums will be maintained in concrete bunded areas capable of receiving avolume 150% of the volume of the largest storage drum contained. This will significantlyreduce the environmental risks to land, Water and sewer.

2. The number of THT drums stored at each site at any one time will be limited to a maximumquantity of one (1) tonne, equivalent to 5x200kg drums. This limitation will also reduce thesafety risk.

3. Loading procedures will be established in order to reduce the potential of drums containingTHT being carelessly handled resulting in spills. Drums of THT being delivered to PGN willbe inspected for levels of corrosion (particularly at the drum seals) and mechanical defect.Drums exhibiting undue levels of corrosion or mechanical defect will be returned immediatelyto the supplier.

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4. Emergency response procedures to prevent and mitigate releases to the environment will bedeveloped in conjunction with safety procedures. This will ensure that safety andenvironmental concerr[s are correctly balanced in order to prevent undue risk to the safety ofon-site workers or emergency response personnel.

5. Environmental procedures for emergency response will include the clean-up and disposal ofTHT spills.

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13 IMPACTS ON SOCIAL AND ECONOMIC CONDITIONS

13.1 Introduction

This Section evaluates and assesses the potential impacts and benefits to social and economicconditions. The assessment is divided into three phases:

* pre-construction;

* construction;

* operations.

13.2 Pre-Construction

Experiences elsewhere have shown that land acquisition is one of the main impacts on socio-economic conditions as a result of pipeline projects. The gas distribution pipeline will beconstructed alongside existing government owned roads. Consequently, no land will be acquiredalong the pipeline route.

Some land acquisition niay be required for the three planned offtake stations at Cilegon,Serang/Cikande and Pasir Jadi. PGN estimate that each offtake station is expected to requireapproximately 2500m2 of land. PGN will purchase the land from existing government ownedland (Serang/Cikande and Pasir Jadi) and from Krakatau steelworks (Cilegon).

No land acquisition will be required for the installation of metering facilities, as these will be oncustomers premises.

Overall, the socio-economic impacts resulting from land acquisition are expected to be relativelysmall for the gas distribution project.

PGN have already performed some initial consultation with local authorities and will continue toconsult the public, local aLathorities and non-govemmental organisations before constructing thegas distribution pipeline. PGN plans to use a two tiered public consultation process. This willenable all potentially affected people and authorities to present their concerns about the projectand for PGN to assess and respond to these concerns. Further details of the consultation processare given in Appendix I.

Public consultation is arn effective process for ensuring that socio-economic impacts areidentified at an early stage and mitigated.

13.3 Construction

Noise and dust nuisances (discussed in detail in Section 11) may temporarily effect business andeconomic activities by causing a disruption to trade. This is likely to be of particular concernwhere pipeline routing is close to homes, properties and small businesses.

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Construction workings may temporarily impede economic activity, through causing physicalobstruction or access to small businesses (shops, offices, restaurants, etc.). Impacts on economicactivities are most likely when pipeline routes run close to the entrances to small businesses inurban centres.

Construction activities are likely to impede pedestrian passage, perhaps forcing pedestrians on toroads where they will experience a greater risk of injury from road accidents.

As part of the construction phase, pipes and materials will be transported to working locationsalong the pipeline route. These mobilisation activities may impact on communities in urbancentres through contributing to traffic congestion and possibly causing road accidents. In order toreduce these impacts PGN will ensure that all material movements are done in accordance withpolice and transportation authority requirements and that all necessary permits will be obtained inadvance. Material movements will be done outside periods of heavy traffic congestion in -urbanareas.

PGN estimate [PGN, 1996] total investment costs for the project of US$120.0 million, this sum.Assuming the investment will be over a two year period (i.e. the duration of the constructionphase) and all manufactured items and other inputs are provided or produced in West Java; it isestimated that the project could provide the following short term benefits to the economy of WestJava over the two year construction phase:

* contribute around 0.2% annually to GDRP (basis 1995);

* contribute around 0.5% annually to manufacturing and construction industry GDRP (basis1995);

PGN are likely to utilise two construction contractors for the main pipelines, one independentcontractor to procure and construct the offtake metering stations and SCADA network andvarious local individual contractors to install service lines. PGN's estimate of the numbers ofpersonnel/operators required to complete the work withifn the proposed time is given in Table13.1.

Table 13.1: Estimated Personnel Requirements during Construction Phase

Work Phase Year

198 1999 2000 2001

Design Consultant 40

Mainline Construction Zone 2 150 250

Mainline Construction Zone 3 150 250

Construction QA/QC 25 25

offtake Metering and SCADA 50 50

Service lines and MRS installation 75 75 75

Total 40 400 650 125

Personnel requirements for Zone I are not available.

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LJ,Ars I rIL I rfnrl1IL^, rP.:ruK

Following on from Table 13.1, construction activities are likely to provide job creation benefitsfor the local community. Construction activities involve mostly manual labour, potentiallyresulting in the provision of temporary short term work for local low skilled workers.

Construction activities are also likely to provide economic benefits to local communities. Theinformal sector that includes small shops (warung) which sell food, cigarettes, etc. is likely toexperience increased purchase of small low cost goods as a consequence of the dailyconsumption of construci ion workers. Proprietors of temporary accommodation facilities are alsolikely to experience an upturn in business through providing hotel accommodation primarily tothe skilled workforce.

13.4 Operations

The most important socio-economic benefits of the project are associated with the operationalphase of gas distribution. PGN's projection estimates [PGN, 1996] for the potential Zone 2 and 3customer and potential gas demands are given in Table 13.2. The potential projected gas demandby customer sector is illustrated in Figure 13.1.

Figure 13.1: Potential Gas Demand

Others

Textile

Met:al

Cerarmic

Fertiliser

Chernical

Industrial Estate

0 200 400 600 800

Potential Gas Demand (mmscfd)

At present PGN are still developing the gas market in West Java, and there exist uncertainties inthe data presented in Table 13.2 and Figure 13.1. PGN are confident that the existing market canreadily absorb the increased gas supply proposed. According to the market survey results themain projected consumer is expected to be industrial estates who are likely to purchase around70% of the proposed gas supply. However, PGN expect that not all of the potential demand fromthe industrial estate sector will be realised. PGN expect the main customers for the gas to bemedium sized industrial consumers.

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Table 13.2: Projected Zone 2 and 3 Customer and Potential Gas Demand

Industry Zone 2 Demand Zone 3 Demand Total Demand

Customers Mmscfd Customers mmscfd Customers mrnsef(

Industrial Estate 16 207.270 24 570.150 40 777.420

Chemical 27 63.427 I 1 31.905 38 95.332

Feriiliser - - 2 68.000 2 68.0(0)

Ceramic 6 17.788 7 31.132 13 48.920

Metal 12 5.209 3 26.764 15 31.973

Textile 10 5.324 22 23.676 32 29.000

Paper 1 0.634 2 15.851 3 16.485

Wood - - 2 16.130 2. 16.130

Sleel 2 1.200 I 0.580 3 1.780

1Others 2 0.145 5 1.054 7 1.199

Food j - 0.250 I 0.250

Total 76 300.997 80 785.492 156 1,086.489

PageV

_N

The gas supplied will be used to replace other forms of energy (e.g. fuel oil, coal, wood, etc.), orused for new developments such as power generation, steam raising, or even combined heat andpower (CHP) projects.

The gas distribution network may encourage expansion of the existing industrial infrastructure.as for example road developments have already done in West Java. However, it is noted that theproposed PGN gas tariffs (including the recent gas price rise in 1996) mean that gas is nowpriced only slightly cheaper than fuel oil.

The price of fuel oil has been subsidised by the Indonesian government with no price rises duringthe nineties. PGN estimate that the price of fuel oil is set to rise before gas supply from thedistribution network commences. Assuming that fuel oil prices rise, the lower price of gas willencourage industrial cor sumers to use gas as an alternative source of energy supply.

PGN plan to create a n.w regional division to manage the gas distribution in West Java in anefficient and effective rnanner. The West Java operational region will be set up to control andoperate 7 separate districts in West Java creating around 84 new job positions.

It is expected that the gas distribution network will provide an upturn in growth for the utilities(electricity, water and gas supply) sector in West Java and will create employment in order toservice the new business created. The wealth created by gas sales and use will contribute toregional economic growth.

13.5 Conclusions

1. The pipeline route will be constructed alongside existing roads and no land acquisition will berequired.

2. PGN have begun ancl will continue to perform a full public consultation process according tothe tiered requirements of the World Bank. This will help provide an effective measuretowards mitigating socio-economic impacts.

3. Physical obstruction to property and business caused by construction activities could lead totemporary loss of business.

4. Physical obstruction luring construction could lead to increased risk of pedestrian injury fromroad traffic accidents,

5. There are likely to be both short and long term benefits to the regional economy as a result ofthe gas distribution project. Construction phase activities are likely to contribute significantlyover a two year period to regional economic growth in the construction industry.

6. Short term low skilled employment prospects will be created during the pipeline constructionphase.

7. There is likely to be some increase in cash flow to local economies as a result of expenditurefrom construction workers. Sectors of the economy likely to benefit are the informal sector(shops, restaurants, etc.) and the temporary accommodation sector (hotels).

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1. PGN will ensure that all construction activities are conducted in a manner designed to reduceimpact on local communities and businesses as far as is reasonably practicable. This will beimplemented by PGN through clauses in the contract of the construction contractor (seeSection 17).

2. PGN will ensure that the construction contractors will perform construction work atreasonable times of the day in order to ensure that noise and dust nuisances are minimised toall people and businesses that may be affected along the pipeline route. This will beimplemented by PGN through clauses in the contract of the construction contractor (seeSection 17).

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14 IMPACTS ON 'COMMUNITIES AND CULTURE

14.1 Introduction

The pipeline project has limited potential to impact or provide benefit to the communities andculture of West Java. This Section will evaluate and assess the potential impacts and benefits tocommunities and culture over the following project phases:

* pre-construction;

* construction;

* operations.


There will be no land acquisition along the pipeline route. As a result no impacts to localcommunities and culture are expected.

Some impacts on commlinities and culture may be experienced at the locations of the plannedofftake stations where limited (7500 m2) land acquisition may be required.

In order to improve the effectiveness of the public consultation process thc management andorganisational structures of villages and special villages (discussed in Section 8) have beenobserved. Further details of the public consultation process are provided in Appendix I.

Public consultation is an effective process for identifying and mitigating impacts on communitiesand local culture.

14.3 Construction

Noise and dust nuisances (discussed in Section 11) are likely to impact on communities andcultural events, potentially causing a short tern disruption particularly in urban areas.

In general, the construction activities are likely to cause some obstruction to community andcultural activities. These may include temporary obstruction to places of worship, communitymeeting places and cultural ceremonies, parades and processions. The impact on communitiesand culture is likely to be greatest in urban areas.

In accordance with the Indonesian governments job creation policy it is expected that many ofthe temporary jobs created for pipeline construction activities will be for local people. It ishowever possible that a limited number of jobs may be filled by people from other parts ofIndonesia, particularly Central and West Java. There exist only subtle differences between thecultures and community structures of Central, East and West Java. Overall, it is unlikely thatthere will be any resulting impact from migrant workers on West Java communities and culture.

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14.4 Operations

Permanent employment is likely to be generated in the industrial and utilities (gas supply) sectorsas a result of the planned gas distribution network This additional employment may contributemarginally to migration of workers from Central and East Java.

Migrant workers typically live near their place of work, send money back to their families andreturn home for special occasions and holidays. Some migrant workers may settle in West Javapermanently, but the majority are likely to be classified as temporary residents. The effects ofmigrant workers on local communities and culture is likely to be small.

14.5 Conclusions

1. The construction activities may temporarily prevent access and disturb places of worship orcommunity meeting places as well as obstructing religious and cultural processions, paradesand ceremonies.

2. Public consultation is an effective process for identifying and mitigating community andcultural impacts.

3. Limited numbers of migrant workers from Central and East Java may find temporaryemployment during the construction phase, and more permanent employment in the industrialand gas supply sectors during the operational phase. Overall, the impacts on West Javacommunities and culture are not likely to be significant.


Recommendations are the same as those made in Section 13 but will include due consideration offactors associated with communities and culture.

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15 ANALYSIS OF ALTERNATIVE OPTIONS

15.1 Introduction

According to the World Bank OD 4.00 Annex A, the environmental assessment will include "asystematic environmental comparison of altemative investments, sites technologies and designs"[World Bank, 1989].

If the transmission and distributions systems are not built, energy must be supplied from othersources. One important el'fect of making natural gas available will be that existing industries canconvert to natural gas from present fuels which otherwise will be more polluting.

15.2 Alternative Investment Plans

The "zero option" woulcl be not to expand the existing gas distribution system at all. In thisscenario, the energy demnand must be met by other sources, such as coal, fuel oil, LPG,combustible wastes and wood. Compared to use of natural gas, these fuels would cause asignificant increase in emission of air pollutants and thus have a significant negative impact onlocal and regional air quality. In addition, the emission of greenhouse gases (mainly carbondioxide) is lower when using natural gas. Natural gas combustion does not generate particulatematter releases or solid wastes for disposal.

PGN have considered a number of alternative technical and gas supply investment options,including:

- Option 1, ASME #30) gas pipeline, ASME Class 4 design, delivering 250 mmscfd naturalgas;

- Option 2, ASME #151) gas pipeline, ASME Class 4 design, delivering 25Q mmscfd naturalgas;

* Option 3, ASME #30) gas pipeline, ASME Class 4 design, delivering 500 mmscfd naturalgas;

* Option 4, ASME #150 gas pipeline, ASME Class 4 design , delivering 500 mmscfd naturalgas.

PGN have performed a preliminary costing of each of the above options and have selected option4 which is to deliver larger quantities of natural gas at lower working pressure, but also at ahigher investment cost ('US$ 89.4 million). This option has been chosen by PGN in order tominimise operating pressujres in urban regions, which promotes safety.

15.3 Alternative Routing

According to PGN's plans, the gas distribution pipelines will be routed along existing roads. Analternative would be to avoid the roads, at least for some sections. Table 15.1 provides asummary of the advantages and disadvantages of not constructing the pipeline along existingroads.

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Table 15.1: Environmental and Safety Comparison of Alternative Pipeline Routings

Routing Advantages Disadvantages

Along roads Close to customers Many pcople exposed toinconveniences and accidents.

Government landlFuture urbanisation could increasenumber of people exposed to safety

Access for construction and risks.maintenance Is likely to go through denselyNo impact on agriculture or natural populated urban centres increasingresources safety risks.

Away from roads Few people exposed to Remote from customers.inconveniences and accidents. Land acquisition and resettlemcnt.

Possible to select routing where Access roads must be built.future change in area classificationand encroachment by new buildings Impact on agriculture or naturalare unlikely. resources.

Higher costs.

Of primary concern with pipeline routing is the safety of the general public arising from residualrisk, e.g. risk from accidental failures which are not normally designed for, such as third partyinfluence. This can be improved through routing of the main high pressure lines around urbancentres and if unavoidable, to implement risk mitigating measures such as maintaining aminimum separation distance from occupied buildings, adequate sign posting andimplementation of one-call system to co-ordinate third party construction activities along thepipeline route. The final route selection will be a balance between safety concerns, investmentcosts and delivery to customers.

15.4 Design

PGN presently plan to use the latest edition of ASME B31.8 code as a minimum design standard,together with PGN specific codes of practices and guidelines as part of the detailed design. Theadoption of ASME B31.8, which is an internationally accepted design practice, will ensure thatthe main design parameters satisfy intemational requirements.

PGN has also adopted the highest Class 4 design level (as defined in ASME B31.8) for the newpipelines assuming urban environmental conditions throughout the project life-cycle. This willensure that future urbanisation and changing demographic conditions along the pipeline routewill not, in future, have an impact on the design of the pipelines and their safety zones.

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15.5 Conclusions

1. Use of natural gas will give lower emissions of air pollutants than alternative fuels and willproduce no solid wastes.

2. In general, routing the pipelines along existing roads seems better than routing throughagricultural land and forests provided the appropriate safety impact distances are maintained.

3. In terms of residual risk, pipeline routing through heavily populated urban centres poses agreater risk to safety than in less urban areas. It is necessary therefore to maintain a minimumseparation distance to occupied buildings in order to address the consequences of pipelinefailures in urban areas.


1. PGN will use the latest ASME B3 1.8 standard as a minimum standard for ensuring that keydesign parameters satisfy international standards. PGN will design the entire pipelineexpansion system tc ASME Class 4 level which will ensure that future urbanisation andchanging demographic conditions will not compromise safety considerations throughout theentire pipeline life-cycle. However, these standards do not take into account conditions andvariables specific to local conditions in terms of the residual risk, and this will beindividually assessed.

2. Separation distances or building proximity distances will be established by PGN forindividual pipe sizes based on consequence assessments (see Appendix G) and used as aguide in routing of the different pipelines. PGN will also compare alternative routings on thisbasis.

3. Alternative process layouts, designs and locations of the offtake stations will be assessed onthe basis of safety risks. PGN will use safety focused HAZOP and.QRA studies as designevaluation tools.

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16 ENVIRONMEN;!TAL AND SAFETY MITIGATION PLAN

16.1 Introduction

This Section presents the: priorities for the environmental and safety and mitigation plans. Theplans include the hardware and management controls required in order to mitigate significantsafety and environmental impacts and risks from planned and un-planned events for all projectphases

The environmental and safety mitigation plans are based on the recommendations from thepreceding sections and represent commitments that PGN will carry out.

Some synergies exist between the safety and environmental mitigation plans developed. Allsynergies are cross-referenced between the two plans. The mitigation plans will not be treated asseparate entities.

16.2 Environment Mvitigation Plan

Environmental mitigation plans are given for:

3 pre-construction (Table 16.1);

- construction (Table 16.2);

* operation (Table 16.3).

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Table 16.1: Pre-construction Phase Environmental Mitigation Plan

Aspect Impact Hardware Controls Management ControlsLand use (Section 10) Legal compliance Government and local permits. Register of Indonesian environmental

legislation, regulations and codes of practice.

Register of World Bank loan conditionsaffecting the environment.

Register of permits required (see AppendixC), permits received, and permits applied for.

Procedures for maintaining registcrs.Pollution (Section I I) Legal compliance See land use. See land use.Socio-economic (Section Public concern about Public consultation: Public consultation plan and procedures (see13) planned pipeline Local paper advertisements, flyers to affected Appendix 1).

households and public meetings. Procedures for collecting and handling publicConsultations and agreement with local feedback (further questions and complaints).population and leaders.

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Table 16.2: Construction Phase Environmental Mitigation Plan (Continued)

Aspect Impact Hardware Controls Management ControlsLand use (Section 10) Waste disposal No discharge of hydrotesting water to Waste management plan and procedurcs for

agricultural land. construction contractors.

No unauthorised disposal of excess soilexcavated from trenches.

No burial of solid wastes in pipeline trench.

Land reinstalement Turf removal and storage, seeding, use of Land reinstatement plan and procedurcs foracceptable fertilisers (if needed), soil grading, construction contractors.minimise soil compaction and loosening of top-soil.

Reinstate road and soil surfaces.

Pollution (Section I I) Dust nuisance Water spraying of working surfaces and Construction plan and operational proceduresuncovered stockpiles during dry conditions. (dust mitigation) for contractors.

Good housekeeping.

Noise nuisance Use sound attenuated machinery including Construction plan and operational procedureswelding power generation equipment. (noise mitigation) for contractors.

Restrict working hours during nights and Operational and maintenance procedures forholidays. noise generating equipment and activitics.

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Table 16.2: Construction Phase Environmental Mitigation Plan (Continued)

Aspect Impact Hardware Controls Management Controls

Pollution (Section I I) Efiluent water disposal No release to agricultural land, or paddy field Hydrotesting procedures for constructionwater. contractors.

No release of excessively oily water to drains or Trench water disposal procedures forriver. construction contractors.

Solid waste disposal. Prevent spills of diesel fuel and lubricating oils Waste management plan and procedurcs for

Solid wastes (e.g. from bridge construction) construction contractors.will not be disposed of to rivers.

Segregation and grading of spoil and wastes.

Re-use and recycle wastes (e.g. excess massesfrom trenches, welding rods, concrete rubble).

Dispose of unusable solid wastes to localgovernment approved land fill.

Socio-economic (Section Public complaint. Formal (written) and informal (verbal) Procedures for collecting, processing and13) responses to complaint. responding to public complaints.

Pedestrian road accidents Barriers separating walkways from road. Working procedures and practices for

Warning signs to road trafric. construction contractors.See safety mitigation plan.

Business loss Financial compensation. See also next below. Compensation procedures.

Business interruption and Reduce trench open time by working in shorter Working procedures for constructionaccess to premises sections. contractors.

Walkways over open trenches to facilitateaccess.

Communities and culture Disruption to religious and Construction schedule.(Section 14) cultural events

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Table 16.3: Operation Phase Environmental Mitigation Plan

Aspect Impact Hardware Controls :-Nlanagement ControlsA I_ rA1e%e1Uen;a:C1 r ei gus luivabe Scc aisto saietiy miitigation pian. See aiso saiety mitigation pian.(Section 12)

TTHT release Concrete hunding for THT storage drums Inspection and maintenance procedurcs for(bunding volume will be 150% of the volume THT storage bund.of the largest drum). THT delivery (inspection and unloading)

Storage of THT drums will be limited to I procedures.tonne per site.

Emergency preparedness and response planEmergency response equipment (adsorbents, and procedures.protective clothing, temporary storage). THT spill reporting procedures.

See also safety mitigation plan. See also safety mitigation plan.

Socio-economic Public concern regarding See environmental management planPGN's operations

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16.3 Safety Mitigation Plan

Safety mitigation plans are given for:

* pre-construction (Table 16.4);

* construction (Table 16.5);

* operation (Table 16.6).

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Table 16.4: Pre-construction Phase Safety Mitigation Plan

Aspect Hardware Controls Management Controls

Detailed Design Material and technical specifications. Standards (ASME B31.8), codes of practicePipeline routing (avoidance of denselv and guidelines.populated areas if possible). HAZOP, HAZID, HAZAN and QRA studiesDepth of cover. as specific input to detailed design process

where required (see Section 12).Sectionalisation and block valving. Safety procedures and requirements for

Corrosion control (cathodic protection and construction contractors.sacriricial anodes). Soil surveys for pH andresistivity will be used as an input to corrosionprotection design.

Leak detection systems.

Prcssure control equipment.

Legal Requirements Register of Indonesian safety legislation andregulations.

Log of safety permits required (see AppendixC), obtained and applied for.

Project Management Quality planning and control.

Develop project safety management systemaccording to Section 17 requirements.

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Table 16.5: Construction Phase Safety Mitigation Plan


Contractor Working procedures and practices forconstruction contractors contractor to ensuresafety for workers and future reliability ofpipeline.

Incident and accident Incident/accident reporting procedures.reporling.

Performance testing Non-destructive testing of pipeline welds.

Function test of safety equipment.

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Table 16.6: Operation Phase Safety Mitigation Plan


Third party impact Frequent and clear signposling. One call system.

Inspection and Walking surveys and air surveillance along Operations and maintenance manual.Maintenance route. Systematic inspections and maintenance.

Corrosion (cathodic protection) testing.

Pipeline condition testing.

Inspection of safety equipment.

Incident and accident Incident/accident reporting procedures.reporting.

Emergency response Testing of emergency response plan. Emergency response plan and procedures(see also environmental mitigation plan).

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17 ENVIRONMENTAL AND SAFETY MANAGEMENT

17.1 Introduction

The aims of this Section of the report are to:

I. Describe the existing general organisational and management structure in PGN.

2. Describe the existing Environmental Management System (EMS) in PGN using theinternational standard for EMS (ISO 14001) as a standard for reference [ISO 14001, 1996].

3. Describe the existing safety management system (SMS) in PGN using some of the keyelements in DNV's International Safety Rating System (ISRS) as a standard for reference.

4. Develop an environmental management plan and a safety management plan for the gasdistribution project.

Detailed auditing of PGN's EMS and SMS has not been performed as part of this study. Thecoarse management information gathered has been through discussions with PGN staff. As aresult only general features of PGN's EMS and SMS have been determined and developed uponin the environmental and safety management plans.

17.2 General Organisational and Management Structure in PGN

PGN's organisational arid management structure for the Head Office in Jakarta as of October1996 is given in Figure 17.1.

PGN is under the control of the President Director with company directors responsible for thedirectorates of Developnient, Operations, Finance and General Affairs. Each directorate is furthersplit into divisions. Divisional details are given in Figure 17.1.

Project teams (i.e. gas distribution and gas transmission projects) and regional PGN offices(Branches) report directly to the President Director who will transfer infornation back down theline through the directorates to the divisions.

There exists a Training Centre and an Audit group which provide facilities and resources to beused by the directorates, divisions, projects and regions. The Audit group provides apredominantly financial accounting/auditing function although in theory it may also providetechnical audit support.

The Business Information and Assessment Centre (BIAC) is responsible for preparing andgathering environmental information for submission to the authorities (AMDAL and MIGAS) orthe PGN board.

In general, the Branches have a similar, but reduced organisational structure to Head Office. TheBranch structure includes a Branch Manager responsible for technical, marketing and financedivisions.

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Figure 17.1: PGN Head OfM1ce Organisational and Management Structure (October 1996)

- [~~~~~RUIf 1R3V-FEE0WBF11IWI7F7] F~J7 uuio~- F ~~~n J flNtE

Mi) qI IMN|N IMN |) IFN (1IIY *) | MON §IN'N IN I1N ILKN || IIQ| N mNN|

: jIRAM tg | L j L_1 (M1 lN IMN cA WM W | II>N | | LPe

PageI

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The gas distribution project organisational structure and management has been discussedpreviously in Section 2.

17.3 Environmental Management in PGN

17.3.1 Comparison with ISO 14001

The principles of Environmental Management according to ISO 14001 are detailed in Figure17.2.

Figure 17.2: ISO 14001 EMS Model: Standards and Clauses

/tContinual/ mprovement

b /E~~~~~~nvironmental Policy

Management Review

/ v { f/ * ~~~~~~~~~~Environmental aspect 9

/ r 7 * ~~~~~~~~~~~~Legal and other requirements r

/ At / * ~~~~~~~~~~~~~Objectives and targets ;

/ + / * ~~~~~~~~~~~Environmental management r j^-- >.era! la^vv:sXs t / programmes

Checking and ImplementationCorrective Action and Operation

* Monitoring and measurement* Non-confoimnance and * Structure and responsibility

corrective nnd preventive Training, awareness and/ action 3 / competence

* Records * Communication/ •* EMS audits jF / * EMS documentation

/ / * ~~~~~~~~~~~~~~Operatiotial control /

/ A i / *~~~~~~~~~~Emergency preparedness/

/ . < ~ ~~~ and response

Page 1056 NnwhAVr tW. Mhi"a&Jdd.ac


The existing PGN environmental management system is described, compared and evaluatedthrough coarse comparison with the standards and clauses of ISO 14001 (see Table 17.1 forresults).

Table 17.1: Coarse Comparison of PGN EMS With ISO 14001 Requirements

ISO 14001 Clause CommentsStandard

4.0 General No formal EMS in PGN management structure (including gasdistribution project)..

l4.l Environmental No environmental policy.Policy Legislative compliance only.

|4.2 Environmental 4.2.1 Environmental No corporate identification of environmental aspects.Planning aspects Project specific identification of environmental aspects through

AMDAL EA where required.

Gas distribution project aspects contained in this report.

4.2.2 Legal and other Full compliance with AMDAL requirements.

requirements No register of legislation demonstrated, knowledge implied.

Register of legislation (Section 3) and permits (Appendix C)for distribution project contained in this report.

4.2.3 Objectives and To comply with all Indonesian environmental legislation.targets regulations and standards that affects PGN and the distribution

project.

4.2.2 Environmental None yet.management programme

4.3 Implementation 4.3.1 Structure and No formal Environment Manager or position in PGN.and Operation responsibility Environmental investigation. monitoring and reporting the

responsibility of BIAC. No environmental responsibility, roleor job descriptions recorded in BIAC. Implied environmentmanager head of BIAC.

Distribution project manger implied environmental manager forthe project, but no formal role and responsibilities.

4.3.2 Training, awareness No environmental training programme.and competence Government environmental training courses (basic.

intermediary and advanced) have been attended by limitednumbers of PGN staff.

PGN staff interviewed appear to be aware of the importance ofenvironmental issues with respect to AMDAL EA requirementsonly.

No environmental awareness training for PGN distributionproject staff or construction contractors.

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Table 17.1: Coarse Comparison of PGN EMS With ISO 14001 Requirements

ISO 14001 Clause CommentsStandard

4.3 Implementation 4.3.3 Communications By letter internally and to AMDALIMIGAS. Noand Operation communication to the general public by end of September

1997.

Consultations with local government started in August 1997.

4.3.4 ] nvironmental No EMS manual.documentation

4.3.5 lDocument control No document control procedures.

4.3.6 Operational control No formal operational control.

Legal requirements and AMDAL monitoring requirementsappear to be drivers for operational control.

No inclusion of environmental aspects in operational andmaintenance manual.

4.3.7 Emergency No emergency response procedures for accidents to thepreparedness and environment.resporse

4.4 Checking and 4.4.1 Mv1onitoring and As provided by AMDAL requirements on a projcct by projectCorrective Action measurement basis.

4.4.2 Non conformance Non-conformance to AMDAL requirements rcported inand corrective and quarterly environmental report that is distributed to AMDALprevertive action and MIGAS.

4.4.3 Rlecords AMDAL reporting records..

No procedures for the identification, maintenance anddisposition of environmental records.

4.4.4 EMS Audit No EMS audits.

PGN (BIAC) and MIGAS (spot checks) perform technicalaudits and reviews.

4.5 Management No top level management review of EMS.

l Review Only management concern is compliance with Indonesian

environmental legislation, regulations and standards.

17.3.2 Conclusions

1. PGN do not yet have a formal EMS, a demonstrable corporate environmental policy, or ademonstrable environniental policy for the distribution project.

2. PGN require full compliance with all Indonesian environmental legislation, regulations and'standards, and where appropriate international standards and guidelines.

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3. PGN do not yet have an Environmental Manager in their organisational structure or for the gasdistribution project. It is reasonably common practice for organisations to integrate health,safety and environmental management responsibilities through a common S&E (Safety andEnvironment) Manager.

4. PGN undertake environmental reviews and audits (BIAC) in order to satisfy the AMDALrequirements. However these reviews and audits may not be sufficient to provide PGN withthe assurance that its performance not only meets, but will continue to meet its legal (andpolicy) requirements. To be effective reviews and audits need to be conducted within astructured management system and integrated within overall management activity.

5. The development and implementation of an organisational EMS for PGN will require asignificant amount of work and would require the full commitment from senior managementof PGN in order to be successful.

17.3.3 Recommendations

1. PGN recognise the need to strengthen their organisational environmental management andwill review and investigate the possibility of developing an EMS according to the ISO 14001management model.

2. PGN will establish an environmental department for managing institutional environmentalissues and affairs. Two or three competent environmental specialists will man thedepartment. Each specialist will receive training, be given a well defined role and beprovided with opportunities for career development.

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17.4 Safety Management in PGN

17.4.1 Comparison with ISRS

An SMS should includlo the part of the general management system which includes theorganisational structure, responsibilities, practices, procedures and resources for determining andimplementing safety policy (including accident prevention) [EC, 19971.

The following issues should be assessed by a SMS:

* organisational and personnel: the roles and responsibilities of personnel invoived in themanagement of hazards at all levels in the organisation. The identification of training needs ofsuch personnel and the provisions of the training identified. Involvement should includeemployees, and where appropriate subcontractors.

* identification and evaluation of major hazards: adoption and implementation ofprocedures for systematically identifying major hazards arising from normal and abnormaloperation and the assessment of their likelihood and severity.

* operational control: adoption and implementation of procedures and instructions for safeoperation, including maintenance of plant, processes and equipment.

* management of change: adoption and implementation of procedures and instructions forplanning modifications to, or the design of new installations, processes or storage facilities.

* planning for emergencies: adoption and implementation of procedures to identifyforeseeable emergencies by systematic analysis and to prepare, test and review emergencyplans to respond to suclh emergencies.

* monitoring performance: adoption and implementation of procedures for the ongoingassessment of compliance with the objectives set by the operator's safety policy and SMS, andthe mechanism for investigation and taking corrective action in case of non-compliance. Theprocedures should cover PGN's system for reporting accidents or near misses, particularlythose involving failure of protective rneasures, and their investigation and follow-up on thebasis of lessons learnt.

* audit and review: adoption and implementation of procedures for periodic systematicassessment of the safety policy and the effectiveness and suifability of the safety managementsystem; the documented review of performance of the policy and the SMS and its updating bysenior management.

A qualitative review of PON's SMS was made in order to establish a baseline understanding ofthe existing SMS. The SNMS assessment is purely qualitative and is based on discussions withPGN staff or from informaJion provided by PGN. No formal audits were performed to attempt toquantify or rate the system.

Page 1096 Nrn*ar 1997. M/mips_gdAx


The number of SMS elements are assessed based on DNV's International Safety Rating System(ISRS) which provides a generic outline of the requirements of an effective SMS. ISRS is asafety management auditing tool used routinely by DNV consultants and a large number ofprocess industry operators around the world to audit, review and develop effective SMS. Theexisting PGN SMS is evaluated against seven key elements of ISRS in Table 17.2.

Table 17.2: Comparison of PGN's Safety Management System With ISRS

Element Conmments

Leadership and A general safety policy statement is not available. However, management instructionsAdministration pertaining to compliance of legislation are laid down and made known to all levels in the

organisation.

The Company safety function is held by the Maintenance and Safety Work Division(MSWD) under the Directorate of Operations. A separate and dedicated Safety departmentwith reporting line to the President Director is recommended. This separates the functionalresponsibilities for Safety from the Operational and Maintenance responsibilities. Tileresponsibility for compiling and analysing accident and incident statistics should also beunder this new function instead of presently the responsibility of the BIAC.

Safety Management procedures and routines are contained in a number of differentdocuments. It is recommended that a central Safety manual ouilining all the main elementsof the company's safety management system and cross referencing to specific proceduresthat are in place.

Planned Inspections Inspection Plans and maintenance schedules are available and an Operations andand maintenance Maintenance manual has been developed for other PGN distribution and transmission

pipelines. PGN plan to develop an Operations and Maintenance Manual for the plannedgas distribution project.

Accident/ Incident Procedures for accident and incident reporting are available. Accident and incidentinvestigation statistics are compiled on a monthly, quarterly and annual basis and submitted to company

management and to the authorities (MIGAS).

Emergency Procedures for various emergency situations are available in a draft PGN document. ThisPreparedness outlines a broad response plan for various emergency classes, with individual

responsibilities of emergency control team stated. Public relations, customer welfare, post-incident reporting and training are also addressed in the plan.

Rules and work permit A Permit-to-Work system will need to be developed by PGN to maintain safe workingconditions during maintenance and operation. It is nol clear if such a system is availablepresently. This system needs to be established before commencement of operation,implemented and personnel made familiar with the systcm.

Personal Protective It is not clear if PPE needs have been systematically identified and laid down in work rulesEquipment (PPE) and enforced.

Page 1 106 Nowh. IW7l. Mluipjdi

DRAFr FINAL TECHNICAI. REPORT

17.4.2 Conclusions

1. PGN already have in place some of the elements and procedures required for an SMS, but donot yet have a formal structure and review process for effective safety management. PGN donot yet have a demonstrable safety (or accident prevention policy), or a demonstrable safetypolicy for the gas distribution project.

2. PGN require full compliance with all Indonesian safety legislation, regulations and standards,and where appropriate (i.e. through the securement of foreign loans) international standardsand guidelines.

3. PGN have a Safety Manager in their organisational structure, and a group with a responsibilityfor safety during operations (MSWD).

4. The development of an organisational SMS within PGN will continue to be a significant andlong term commitment.

17.4.3 Recommendaitions

1. PGN recognise the need to strengthen their safety management and will continue to improveand develop their organisational SMS in the future.

Page 111

6 Novenwr 199. 19 liiFa dn


17.5 Environmental Management Plan

The main elements of the Environmental Management Plan are as follows:

17.5.1 Gas Distribution Project

(i) PGN will develop an EMS based on ISO 14001 for the gas distribution project.

(ii) PGN will develop an environmental policy for the gas distribution project that can becommunicated to employees, regulators, contractors, suppliers, customers and the generalpublic.

(iii) PGN will create an S&E management function as part of the gas distribution projectorganisation (see Figure 17.4). The S&E manager will report directly to the ProjectManager and will manage a small team of safety and environmental specialists.

(iv) PGN will adopt the environmental mitigation plan detailed in Section 16 for mitigatingenvironmental impacts at the pre-construction, construction and operational phases.

(v) PGN will adopt the environmental monitoring programme to be detailed in Section 18.

(vi) PGN will create and make known to the public a mechanism for receiving and taking careof complaints.

Figure 17.4: Gas Distribution Project Organisational Structure

ProjectManager

Administration Finance Construction S&EManager Manager Manager Manager

q Administration l 1 AccounungManager l 1 SiteManager l 1 S&ESpeshlists lAssistant Manager AconigMngrSt aae & pcait

Transportation and Assistant Treasmy Site ManagerLogistic Manager

Assistant Manager

ss'sta~~~~~~~~~~~~~~~AsitnAdministration ||Engineering ManagJer lAssistant Manager

Page 1 126 NO1IRr IW7. rnaqa_pddoc

DRAFr FINAL TECHNICAL ]REPORT

17.5.2 Contractors

A list of clauses that PGN will place with the pipeline construction contractors are given inAppendix J.

17.5.3 Emergency Response

Whilst accidents resulting in impact to the environment are of possible concern (see Section 12for details), emergency response is primarily a safety related issue associated with the operationalphase of the gas distributimn network. Emergency response plans are given as part of the safetymanagement plan detailed overleaf.

17.6 Safety Manageiment Plan

The main elements of the Safety Management Plan are as follows:

17.6.1 Gas Distributicn Project

(i) PGN will develop an SMS based on ISO 14001 for the gas distribution project. At presentno ISO standard exists for safety management but the overall structure of an SMS can bedeveloped using ISO 14001 as a model.

(ii) PGN will develop a safety policy (including accident prevention) policy for the gasdistribution project that can be communicated to employees, regulators, contractors,suppliers, customers and the general public.

(iii) PGN will create an S&E management function as part of the gas distribution projectorganisation (see Figure 17.4). The S&E manager will report directly to the ProjectManager and will manage a small team of safety and environmental specialists.

(iv) PGN will fully adopt the safety mitigation plan detailed in Section 16 for mitigating safetyimpacts at the pre-co,astruction, construction and operational phases.

(v) PGN will fully adopt the safety monitoring programme to be detailed in Section 18.

17.6.2 Inspection and M%aintenance

In accordance with past gas distribution projects, PGN will prepare an Inspection andMaintenance manual and conduct regular inspection and maintenance work including:

* continual recording of the data relevant for plant safety and their evaluation;

* walking surveys/aerial sulrveillance of the route at regular intervals;

* examination of all equipment serving the safe operation of the pipeline at regular intervals;

* monitoring the effectiveness of cathodic corrosion protection;

* regular inspection of pipeline condition (detection of any corrosion, minimum wall thickness,cracks, laminations, dents and folds).

Page 1 13

6 N osew I997. Nt js_gd.n


17.63 Emergency Response

PGN will prepare emergency response plans and procedures dealing with accidental releases ofnatural gas and other chemicals (e.g. THT).

The emergency response plans and procedures will include the followitig details andrequirements:

* organisational details, including the names and positions of persons authorised to setemergency procedures in motion and the person in charge of co-ordinating the onsitemitigatory action;

* name or position of the person with responsibility for liasing with the authority responsible forthe external emergency plan:

* name or position of the person with responsibility for liasing with the press and general publicduring emergency conditions;

* for foreseeable conditions or events which could be significant to bring about a majoraccident, a description of the action which will be taken to control the conditions or eventsand to limit their consequences; including a description of the safety equipment and resourcesavailable;

- arrangement for limiting the risks to persons on site including how warnings are to be givenand the actions persons are expected to take on receipt of warning;

* arrangements for training staff in the duties they will be expected to perform, and wherenecessary co-ordinating this with the emergency services;

* arrangements for providing assistance with mitigatory action.

The emergency response plan will be tested under simulated emergency conditions. Theemergency services (fire brigade and hospital staff) will also be involved in testing.

Page 114

6 NwiMf f99. M*a_O.dOC


18 ENVIRONMENTAL AND SAFETY MONITORING PROGRAMME

18.1 Introduction

This Section presents the environmental and safety monitoring programmes. Monitoring isrequired to provide PGN management, the Indonesian authorities and the World Bank withinformation in order to assess compliance with:

* corporate safety and environmental policies, objectives and targets;

* national and relevant international safety and environmental legislation, regulations,standards, and guidelines;

* corporate standards, guidelines and codes of practice adopted by PGN for safety and theenvironment;

* Environmental mitigation and management plans for the West Java gas distribution project.

The monitoring programmes presented in this Section is based on inspections and observations.No measurements are included.

The monitoring programmes for each phase of the project are specified according to thefollowing requirements:

1. Aspect and impact of concern to be monitored.

2. Inspections and observations to be made.

3. Frequency.

4. Responsible authority in PGN.

18.2 Environmenftal Monitoring Programme

As part of the requirement of the Environmental Managemcnt Plan to incorporate themanagement philosophies of ISO 14001 into the gas distribution project management, PGN willdevelop monitoring and measurement procedures in order to ensure that:

1. All observations are recorded in pre-defined and standard formats and according to schedule.

2. All records are documented within the document control system in order to ensure that theymay be readily accessed by PGN staff or the regulatory authorities for use and inspection.

Environmental monitoring programmes are presented for the:

* pre-construction phase (Table 18.1);

* construction phase, including construction contractors-(Table 18.2);

* operation phase (Table 18.3).

Page 115

6 Nowatr I997. Mumgas.Xd.dne


In order for the environmental management plan and environmental monitoring programme to beeffective PGN will also ensure that the following environmental management components andstructure and are in place:

1. Non-conformance procedures in order to report deviations to the appropriate authority in PGNand/or the regulator where required.

2. Corrective and preventative actions and procedures in order to remedy identified non-conformance's from the environmental monitoring programme.

3. Compliance audits in order to ensure that monitoring programmes are being followed to therequired conditions and standards.

4. Periodic management review of the monitoring programmes findings in order to assesscompliance with legislation, regulations, standards, corporate policy, and gas distributionproject policy.

Page 1 16

A N9VMI6v W7. MftnoW_p&*w

GAS DISTRIBUTION PIPELINE EA PERUSAHAAN GAS NEGARA 4DRAFT FINAL TECIINICAL REPORT

Table 18.1: Pre-construction Phase Environmental Monitoring Programme

Aspect Impact Subject Frequency ResponsibleLand use (Section 10) Not relevant Baseline documentation of pipeline route. Documented Once Project Manager

by photograpis, video recordings and descriptions etc.

Legal compliance Number and description of environmental permits Continuous Project Managerobtained and outstanding. This will be based on thepermits register provided in Appendix C.

Pollution (Section I I) Legal compliance. Number and description of safety and environmental Continuous Project Managerpermits obtained and outstanding.

Socio-economic (Section Public nuisance Number and description of promotional activities Continuous Project Manager13) Number and description of consultations with local

population and leaders.

Number and description of complaints and furtherquestions received.

Outstanding actions from public consultation plan.

PageA N,nvnnIh 111N7 Kinll-ira5.


DRAFr FINAL TEC1HNICAL REPORT

Table 18.2: Construction Phase Environmental Monitoring Programme

Aspect Impact Subject Frequency Responsible

Land use (Section 10) Waste disposal Location and description of any waste dumped outside Continuous S&E Managerdesignated localities.

Land reinstatement Location and description of non-conformance to land Continuous S&E Managerreinstatement plan and procedures.

Pollution (Section I I) Dust nuisance Location and description of non-conformance with Continuous S&E Managerdust mitigation procedures.

Effectiveness of dust mitigation controls.

Record dust nuisance complaints.

Noise nuisance Location and description of non-conformance with Continuous S&E Managernoise mitigation procedures.

Effectiveness of noise mitigation controls.

Record noise nuisance complaints.

Liquid effluent Location and description of liquid effluent releases to Prior to disposal S&E Managerdisposal. agricultural land.

Record observed level of oil in liquid effluents interms of no oil, surface oil sheen (rainbow colouredsurface) or slicks (black/brown coloured surface).

Location and description of excessively oily liquideffluent released to drain or river.

Number, location and description of land owner.complaints and PCiN or contractor responses.

Page.~~~~~~~~~~~~~~~~~~~~~~~~~~~~~Nwnw 141 Dn



Table 18.2: Construction Phase Environmental Monitoring Programme

Aspect Impact Subject Frequency Responsible

Pollution (Section I I) Solid waste disposal. Number, location and description of solid wastes Conlinuous S&E Managerdisposed lo water.

Number, location and description of non-conformitieswith waste management plan and procedures.

Socio-economic (Section Public complaint Number, location and description of public complaint Continuous S&E Manager13) and solutions.

Pedestrian road Record non-conformities to pedestrian safety Continuous S&E Manageraccidents mitigation plan in the environmental mitigation plan

(Section 16).

Number, location and description of pedestrianaccidents potentially or actually caused byconstruction activities for accident investigation.

Business interruption Number, location and description of business loss Continuous S&E Managerand access to premises. complaints and solutions.

Number and description of non-conformities withworking procedures for construction contractor thatmay result in impact.

Communities and culture Disruption to religious Number, location and description of interruptions to Continuous S&E Manager(Section 14) and cultural events. religious and cultural events.

Page I

t. Nll,emhr 667.l lIVn"gas4


DRAFTI FINAL TECHINICAL REPORT

Table 18.3: Operational Phase Environmental Monitoring Programme

Aspect Impact Subject Frequency ResponsibleAccidental rcleases Natural gas release. Sec safety monitoring programme(Section 12)

THT release. THT storage bund integrity. Annually Odorising plantInspection of THT drum delivered. Record condition On delivery. manager.and number of defective drums returned to supplierand reason.

Stock count of THT per odorising plant.

Number of THT spills. On spillage.

Availability and condition of cmergency response Annually.equipment.

See also safety monitoring programmes

Page I

- 6 NK,,wnfhr 1)91. /mijta-


18.3 Safety Monitoring Programme

Safety monitoring programmes are presented for:

* pre-construction phase (Table 18.4);

* construction phase, including construction contractors (Table 18.5);

* operation phase (Table 18.6).

Safety monitoring programmes will follow the same management and control philosophy asindicated earlier for the environmental monitoring programme.

Page 1216 NoaleI, 1997. MImig&s _d.,k.

I

GAS DISTRIBUTION PIPELINE EA PERUSAIIAAN GAs NEGARA

DRAFt FINAl. TECHNICAL REPORT

Table 18.4: Pre-construction Phase Safety Monitoring Programme

Aspect Subject Frequency Responsible

Detailed Design Soil survey data including pH and resistivity data Once Project Managercollected along the pipeline route.

Audit and review of design against ASME, Indonesian Not specified Project Managerstandards, PGN standards, codes of practice andrequirements.

Legal Compliance Number and description of safety permits obtained and Continuous Project Manageroutstanding.

Project Management Audit and review of design process in order to ensure Not specified Project Managerproject is compliant with legal and corporaterequirements.

Page INownitkh>. 097. Vt1/ma%.j

GAS DISTRIBUTION PIPELINE EA PERUSAIJAAN GAS NEGARA

,1DRAFr FINAL TECHNICAL REPORT

Table 18.5: Construction Phase Safety Monitoring Programme

Aspect Subject Frequency Responsible

Conractor - Monitoring of contractors activities against satety tLontinuous S&, Maanagerrequirements and working procedures and practices.

Record location and description of non-conformances.

Incident and accident Record location and description of incident/accident Continuous S&E Managerreporting. according to procedures for reporting.

Performance testing Monitoring of contractors activities against safety Continuous S&E Managerrequirements and working procedurcs and practices.

Record location and description of non-conformances.

Page

h N,ivnmhr 16)7. I Xmp

I

GAS DISTRIBUTION PIPELINE EA PERUSAHIAAN GAS NEGARA

DRAIWY FINAL TECHNICAL REPORT

Table 18.6: Operations Phase Safety Monitoring Programme

Aspect Subject Frequency ResponsibleThird party impact Location and description of any plans for construction Continuous Branch staff

achivitics by third parlies. Report to Branch Manager.

Monitor sign posting for damage. Report location and Annual Branch staffdescription of damage to Branch Manager.

Occupational health Record non-conformities to personal protective Continuous Branch Managerequipment (PPE) usage.

Compliance monitoring against occupational health Annual Branch Managerpolicy and plan.

Inspection and Report survey results. Annual Branch ManagerMaintenance

Incident and accident Record location and description of incidentl/accident Continuous Branch staffreporting according to procedures for reporting.

Report any non-conformities to incident/accidentreporting and investigation.

Emergency response Report findings of emergency response plan tesis. Not specified Branch Manager

Page

6 Nowmtkl 1997. tmiPar.

i V.

DRAFr FINAL TECHNICAI. REPORT

19 REFERENCES

1. ASME B31.8 1986, " Gas transmission and distribution systems-.

2. Australia Gas Industry, 1997; Internet Address: www.!as.asn.au/page3d.htwi

3. BS 5228, 1992; "Codes of Practice for Noise Control", Part 2 1-4, 1992.

4. CBS, 1996, "West Java in Figures, 1995", Central Bureau of Statistics.

5. EC, 1997, "Discussicn document on the possible content of an EC Instrument dealing withmajor accident hazards arising from pipelines".

6. Hansson and Moe, 1996, INSROP Sub-programme Il: Environmental Factors. Conceptualdesign and current s:atus. Pp. 205-211 in Kitagava, H. (ed.): "International Northem SeaRoute Programme - INSROP - Symposium, Tokyo 1995 (IST'95)". IST'95 Conf. Proc.

7. H&SE, 1995, "Risks i or Hazardous Pipelines in the UK.", H&SE Report No. 82/1994, 1995.

8. IPB, 1997, Information and data provided by IPB during the project.

9. ISO 14001, 1996; "Environmental Management System - Specifications".

10.Java Exploration Soil Map, 1960; Research Agency for Soil and Fertiliser.

I 1.US EPA, 1982, "ITC/US EPA Information Review #307 (Addendum A)Tetrahydrothiophene", page 3, 1982.

12.Harsojo, 1983, "Kebudayaan Sunda" dalam Koentjaraningrat, Manusia dan Kebudayaan diIndonesia. Penerbit Djambatan, Indonesia.

13.PGN, 1994, "PGN Table 17 "Rekapitulasi Panjang Pipa Berdasarkan Tekanan (Tahun 1994)".

14.PGN, 1996, "Plan of Development".

15.PGN, 1997, "Land Acquisition Assessment (LAA) Report for Development Project of WestJava Gas Distribution Network.", PGN Planning Division, Jakarta, 3 0 th July 1997.

16.World Bank, 1989; "Operational Directive on Environmental Assessment", OD 4.00, October1989.

Page 125

6 Novcf*ntr 1997. D1rW%as_d.doc

APPENDIX A

GLOSSARY OF

TERMS AND ABBREVIATIONS

APPENDIX A: GLOSSARY OF TERMS

1 APPENDIX A - GLOSSARY OF TERMS AND ABBREVIATIONS

1.1 TERMS

Hazard: A property or situation that in particular circumstances could lead to harmof safety, property or the environment.

Impact: The adverse effects or harm as the result of realising a hazard whichcauses the quality of human health or the environment to be impaired inthe short or longer term.

Probability: The mathematical expression of chance.

Frequency: The number of times in which a given situation or event may occur in agiven period of time.

Risk: A combination through multiplication of the probability, or frequency, ofoccurrence of a defined hazard and the magnitude of the impacts of theoccurrence.

Risk Estimation: Concemed with the determination of the impact of a hazardous eventtaking into account the probability, or frequency of occurrence.

Risk Evaluation: Concerned with determining the significance and acceptability of theestimated risks.

Risk Assessment: Consists of risk estimation and risk evaluation.

Risk Management: The process of implementing decisions about accepting or mitigating(reducing) risks.

Page 1

6 Novwuw 19W7. MlAppadac

APPENDIX A: GLOSSARY OF TERMS

1.2 ABBREVIAT'IONS

ASME American Society of Mechanical Engineers

BAIC Business Assessment and Information Centre

CBS Centre of Business Statistics

DNV Det Norske Veritas

EA Environmental Assessment

EMS Environmental Management System

HAZAN Hazard Analysis

HAZID Hazard Identification

HAZOP Hazard and Operability

IPB University of Bogor

GIS Geographical Information System

GDRP Gross Domestic Regional Product

MIGAS Ministry of Mines and Energy, Directorate General Oil and Gas

mmscfd million standard cubic feet per day (1I mmscfd = 28,300 standard m3 /day)

MRS Metering and Regulation Station

MSWD Maintenance and Safety Works Division.

NPS Nominal Pipe Size

PGN Pt rum Gas Negara

QRA Qujantitative Risk Assessment

SCADA Supervisory Control and Data Acquisition

SMS Safety Management System

THT Tetrahydrothiophene

WB World Bank

Page 2

6 Nonwer I997. Mlappadom

I

APPENDIX B

LIST OF EA PREPARERS

Draft Final Report

APPENDIX B: LIST OF EA PREPARERS

1 APPENDIX B - LIST OF EA PREPARERS

Dr Ivar Nestaas, Project Manager, DNV

Dr Mark Vine. EA Specialist, DNV

Edwardus Ng, Safety and Pipeline Specialist, DNV

Geir Skeie, EA Specialist, DNV

Capt. Drs. Max Maloringan, Elnusa

Heidir Husni, Project Support, Elnusa

fr. Rilus A. Kinseng M.A., Socio-Economist, IPB

Ir. Sutjahyo, Agronomist, IPB

PGN staff

British Gas plc

Page I

6 Nkwvdmtr 1997. NI4appdnc

APPENDIX C

INDONESIAN

ENVIRONMENT, HEALTH AND SAFETY

PERMIT SCHEDULE

APPENDIX C: PERMIT SCHEDULE

I APPENDIX C - INDONESIAN ENVIRONMENT, HEALTH ANDSAFETY PERMIT SCHEDULE

The health, safety and environmental permits required by PGN for the gas distribution project arepresented in Table 1. Table I also provides the schedule for obtaining the permits.

Page I

E. ,r~n~ IW. Maqcd

GAS DISTRIBUTION PIPELINE EA

Draft Final Rep,

APPENDIX C: PERMIT SCHEDULE

Table 1: HSE Permit Requirements and Schedule

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GAS DisTRIBUTION PIPELINE EA

Draft Final RepiAPPENDIX C: PERMIT SCHEDULE

Table 1: HSE Permit Requirements and Schedule

1AMROMMENIAL MON11.11114MAN~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~11

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_ ~ ~~~~~~~~~~~~~~~~~~~~~~~ - ,N .t* 17M

APPENDIX D

RELEVANT INDONESIAN

ENVIRONMENTAL QUALITY STANDARDS

APPENDIX D: INDONESIAN STANDARDS

I APPENDIX D - RELEVANT INDONESIAN ENVIRONMENTQUALITY STANDARDS

1.1 Air Quality Standards

ATTACHMENT 1II DECREE OF THE MINISTER OF STATE FORTHE ENVIRONMENT OF THE REPUBLIC OFINDONESIA

NUMBER KEP-02/MENKLHIIl/1988DATE : 19JANUARY 1988

AMBIENT AIR QUALITY STANDARlDS

No Parameter Measurement Air Qtuality StandardPeriod

I Suiphur Dioxide (SO2) 24 hour U. I p ppm (260) pg/rn')

2 Carbon Monoxide (CO) 8 hour 2() ppm (2260pg/m')

3 Nitrogen Dioxide (NO2) 24 hour 0.05 ppm (92.5 p/rn')

4 Ozone (0)0 I hour 0.0I pprn (200 p l/m'

5. Dust 24 hour 260 pg/in'

6 Lead (Pb) 24 hour 60 pg/rn')

7 Hydrogen Sulphide (H2S) 30 minutes 0.03 ppm (24 p l/m')

8 Ammonia (NH.) 24 hours 2 pptn (1360 p g/mn)i

9 Hvdrocarbon 3 hour 0.24 ppm (060pg/rn')

REMIARKS

Measuremcnt Pcriod refcrs to thc averaging time. Hourly measuremenits are measurel using the gecomctricmcan method.

H,S standard is not applied for ccrtain place which contains natural H2S.

Page I

6 N,'smltBr IYfl. MiappJ.k'x


Water Quality Standards

PRESIDENT OF THE REPUBLIC OF INDONESIA

APPENDIX TO GOVERNMENT REGULATION OF THE REPUBLIC OFINDONESIA

NUMBER 20 of 1990

DATED JUNE 5, 1990

Notice: Category C: Water that may be used for fisheries and for livestock.

3. CIRITERIA OF WATER QUALITY CATEGORY C

No. Parameter Unit Max. Conc. Notes

PHYSICAL

I. Temperature OC Normal water

temperature + 3 °C

2. Dissolved Solid Substances mg/I 1000

CHEMICAL

b. INORGANIC CHEMICALS

1. Mercury mg/I 0.002

2. Free Ammonia mg/i 0.02

3. Arsenic mg/l 1

4. Fluoride mg/l 1.5

5. Cadmium mg/l 0.01

6. Free Chlorine mg/l 0.003

7. Chromium (Hexavalent) mg/A 0.05

8. Nitrite, as N mg/l 0.06

9. Dissolved Oxygen (DO) mg/l * *Higher than 3is required

10. pH 6 - 9

_I. Selenium mg/l 0.05

12. Zinc mg/l 0.02

13. Cyanide mg/I 0.02

14. Sulphide. as H2S mg/i 0.002

15. Copper mg/i 0.02

Paoe 2

6 N0vmnCEr 1997. Navd.dtn


3. CRITERIA OF WATER QUALITY CATEGORY C

No. Parameter Unit | Max. Conc. Notes

16. Lead mgA | 0.03

b. ORGANIC CHEMICALS

I. BHC mg/i 0.21

2. DDT mg/I 0.002

3. Endrin mg/I 0.004

4. Phenol mg/i 0.001

5. Oil and Grease mg/l I

6. Organophosphate and Carbamate mg/A 0.1

7. Methylene Blue Active Substance me/I 0.2

(surfactant)

RADIOACTIVITY

I. Gross Alpha Activity Bq/l 0.1

2. Gross Beta Activity Bq/A 1.0

Particulars = not requiredjg = microgrammg = milligramml = milliliterI = litergmho = micromhosBq = Bequerel

Page 3

6 Novebe 1997. Mtappddoc


Notice: Category D : Water that may be used for agricultural purposes and mayalso be utilised for small business in cities, industries, and hvdro- electric generation

4. CRITERIA OF WATER QUALITY CATEGORY D

No Parameter Unit Max. Conc. Notes

PHYSICAL

1. Electrical Conductivitvf pInho/cm 2250 Depending on species of2 CC vegetation. Max-imum

(25 ) capacity is for tolerantspecies

2. Temperature °C Normal water According to localtemperature conditions

3. Dissolved Solid Substances mg/l 2000 Depending on specics

of vegetation.

Maximum capacity is

for tolerant species

CHEMICAL

b. INORGANIC CHEMICALS

I . Mercury mg/Q 0.005

2. Arsenic mg/I l

3. Boron mg/l I

4. Cadmium mgA 0.01

5. Cobalt mgyA 0.2

6. Chromium (Hexavalent) mg/I 1

7. Manganese mgA 2

8. Na (alkali salt) mgAI 60

9. Nickel mgAI 0.5

10. pH 5 - 9

11. Selenium mg/I 0.05

12. Zinc mg/I 2

13. Sodium Absorption Ratio (SAR) mg/I 18 Depending on species ofvegetation.

Maximum capacity is fortolerant species

14. Copper mg/I 0.2

15. Lead mgA I

Page 4

6 NovLmhkr 1997. IWaprJ.doc


4. CRITERIA OF WATER QUALITY CATEGORY D

No Parameter Unit Max. Conc. Notes l

16. Residual Sodium Carbonate mg/l 1.25 - 2.50 Maximum 1.25 for sensitive(RSC) species.

Maximum 2.50 for lesssensitive species

RADIOACTIVITY

1. Gross Alpha Activity BqAi 0.1

2. Gross Beta Activity Bql 1.0

Particulars - = not required,ug = microgrammg = milligramml = milliliterI = literJ±mho = micromhosBq = Bequerel

1.3 Soil Quality Standards

No soil quality standards are available in Indonesia.

Page 5

h No,et IW7. Mfap&dm


Noise Standards

APPENDIX - I: DE]CREE OF THE MINISTER OF STATE FOR THEENVIRONMENT OF THE REPUBLIC OF LNDONESIA

NUMBER K1P-48/MENLH/l/1996

DATE NOVEMBER, 25 Ih 1996

NOISE LEVEL STANDARDS

|egional Allocation/ Noise Level

Activity Area dB (A)

a. REGIONAI, ALLOCATION:1. Houses aid residential 55

2. Services and trade 70

3. Offices and business 654. Green and open space 505. Industry 706. Government and public facilities 607. Recreation 708. Specific

- Airport )

- Railway *)- Harbour 70

-Culturecl pledge 60

b. ACTIVITY AREA

1. Hospital or similar 55

2. School or similar 55

3. Religious places or similar 55

Notice

Ac^ording through Minister of State for Transportation of The Republic of

Inconesia Decree

Page 6

6 NoWmh 19.9t 7. JdaPid.d4w

APPENDIX E

SITE VISIT DETAILS

APPENDIX E: SITE VISIT DETAILS

1 APPENDIX E - SITE VISIT DETAILS

1.1 Introduction

The entire planned pipeline distribution route was visited over a two day period in April bymembers of the project team. The site visits were:

* day 1: Zone 2 network;

* day 2: Zone 3 network;

In addition the following PGN facilities were visited:

1. Bitung Offtake and MRS (day 1)

2. Tegal Gede Offtake and MRS (day 2)

3. Walahar Offtake (day 2)

Photographs, slides and video footage was taken at various locations along the pipeline route (seeAppendix G).

Detailed site visit notes are provided as a reference to the observations made. These details havebeen used as the basis of information presented in the main report.

1.2 Zone 2 Site Visit Notes

Date of Survey: 15th April 1997

Participants : Max Maloringan (ELNUSA)

Agus (PGN)

:M Vine (DNV)

E Ng (DNV)

Duration of Survey: 0530 - 2000 hrs

Area Surveyed: Zone 2 Pipeline Route, West Java

Balaraja - Serang - Anyer

Serang - Merak

Page

A Navg*.wvr 1997. WaW.doc

APPENDIX E: SITE VISIT ]DETAILS

Notes Collected:

1. BITUNG OFFITAKE, METERING & REGULATING STATION

This is one of 6 Stations in Zone 2. The others are at G Macan, Serpang, Taman Kudus,Kemayoran, Ketapong.

Of the 6, only 2 are Offtake Stations i.e. Bitung and Serpang. The rest are MRS. Region 1&2Control Centre is at PGN Main Office at Jakarta.

The process schematic ol the Bitung Offtake Station is

Inlet Isolating Valve -- Filter-- Metering -- Shut-Off Valve -- Active Regulating --Monitor Regulating -- Relief Valve -- Outlet Isolating Valve.

Cold venting from the relief valve is to a vent stack.

Odorant THT is injected. Normal storage of THT at site is normally about 1.5 m3 but 6 drums ofTHT were observed at BITUNG. Dosage is 16 micro-gm per m3 . (THT - Tetrahydrothiophene).Strong smell of THT at thie injection area. No THT bunding - accidental spillages couldpotentally run-off to land

Existing Pertamina Pipeline is 24" and PGN offtake pipeline is 8".

Inlet Pressure - 17 bars; Outlet Pressure - 9 bars; Flow rate in PGN pipeline - 20 mmscfd

Inlet Temp - 27deg C Outlet Temp - 24 deg C.

PGN Gas is supplied to Industrial users e.g. SRKI, Toyo Asahi, Intai Elektrik, Indo Keramiks

The BITUNG Station services about 220 customers

There is a SCADA link with PGN Control Centre via UHF link.

Pictures and video taken of Site (Location 1), Piping area, THT dosing facilities, SCADAsystem.

2. FUTURE OFFITAKE STATIONS

Three Offtake Stations art' planned for the Zone 2 gas distribution expansion project i.e. atCilegon, Serang and Cikande. (Meeting with Neil Errington on 12Mar - he indicated there willbe 4 offtakes; 2 in Zone 2 and 2 in Zone 3).

3. PIPELINE ROU1'E SURVEY DETAILS

0.0 km Balaraja - start of Pipeline (Marker at end of existing Pipeline).

Location is ir industrial area interspersed with local dwellings. Traffic is heavy onthe 2 lane motorway. Pictures and video. Location 2.

2.0 km Shoe Factory (Tai Wah)

3.0 km Cangkudu town

Page 2

6 NONVm7 1"97. NJapPf.doc


4.5 km Ceramics Factorv (Doulton Fortuna)

5.2 km 30m River Crossing (Jembatan Gembong). Pictures and video.

Location 3.

5.5 km Small river crossing

6.4 km Drain

7.2 km Padi Fields. Area generally less populated.

9.1 km 1Om River Crossing (Jembatan Cimanggisan)

Village Jayanti. Pictures and video. Location 4.

10.5 km 30m River Crossing over Ci Durian. Pictures.

Crossed Serang-Tangerang district boundary.

11.2 km Cikande town. Major Road Junction. Tumed left heading to Kopo.

Road is metalled, 2 lane motorway.

12.5 km Large Chemical Plant (P.T. Aneka Chloroindo Chemicals)

Textile Factory (P.T. Frans Puratek)

13.4 km Industrial site clearing

Textile Factory (Fibertech Intemusa)

13.6 km Cikande Farm

14.2 km Chemicals Factory (Putra Sakti Chemicals)

Largely industrial Area

14.6 km Plastics Factory (P.T. Dystar Polkirk)

15.1 km Chemicals Factory (P.T. Oskasa)

Textile Factory (P.Y. Budi Texindo Prakarsa)

School

Wood Products Factory

Area interspersed with padi fields and villages

18.1 km Cable Manufacturer ( P.T. Citra Mahasurya)

19.1 km School

19.5 km Cassava Processing Plant (P.T. Citra Indo Kasava)

25.1 km Clearing

26.5 km Probable end of pipeline. Pictures and video. Location 5.

Headed back to Junction.

Page 3

6 Nnsveth.r IW7. Ml pp.duc


0.0 km At Road/ Pipeline JLunction

4.6 km Large Industrial Site (Modern Cikande Industrial Estate)

4.8 km Kampong

9.1 km Large Factory

9.4 km 1Om River Crossing

9.8 km Major Toll Highway Crossing. PGN will probably use directional drilling

method. Pictures. Location 6.

Kg Kragilon

12.1 km lOOm River Crossing (Ci Ujung) - bad smell from water. Rubbish disposal acrossstream.

13.7 km Ujung Toll Road Junction on the left.

14.3 km 20m River Crossing

16.6 km Electronics FEactory (Phillips TV)

P.T. Kolon hLda

19.9 km Minor Town - Ciruas

21.3 km Padi Fields. Pictures. Location 7.


24.0 km Sm Small river Crossing

24.1 km Major Town - Serang

Road Junction. Road Crossing.

Bus Station.

25.0 km Major Road Crossing. Flyover toll road highway.

25.8 km Serang Towr,. Road running beside rail tracks.

Mainly low-rise urban area with 2-3 storey buildings. 4-lane 2 way motorway.

26.2 km Rail Crossing,

27.0 km Major Road I]ntersection and crossing

27.7 km Road Crossing

29.1 km Roundabout

29.3 km Road change; to 2 lane.

29.9 km 1Sm River C:rossing

30.7 km Road Crossir g

31.0 km I Om Small river Crossing (outskirts Serang).

32.2 km Drain crossing

Page 4

6 No,wmhr 1997. MJapr.dmc



34.8 km lOm Small river Crossing.

Town - Keramatwatu

36.1 km Irrigation Drain

Padi fields

36.7 km Minor Road Crossing

37.3 km Irrigation channel crossings



Foliation becomes denser

40.1 km Pictures. Location 8.


41.1 km Drain

Power Transmission line crossing. From Suralya Power Station.

41.7 km 5m Small river Crossing


Major Town - Cilegon

4 lane, 2-way motorway

42.7 km Drain

Padi fields

42.9 km Padi fields

43.3 km Padi fields

43.5 km Major Road Crossing. Flyover crossing padi fields and rail tracks.

4 lane motorway

45.6 km Major Road Crossing. Road Junction.

47.1 km Branching off to Anyer. Pipeline goes on to right side of road to Anyer.

Major customers located on the right of road to Anyer.

47.4 km Drain

48.0 km Krakatao Steel Factory (viewed on right)

48.2 km Drain

48.5 km Drain

49.1 km Drain

Page 5

f Nowai,w,v 19Y7. WW.*K.

APPENDIX E: SITE VISIT D)ETAILS

49.2 km Drain

49.8 km Rail Crossing ( 2 tracks)

50.6 km Drain

51.0 km Krakatao Industrial Estate entrance.

51.2 km Drain

51.7 km Padi fields

52.1 km Padi fields

52.9 km Small river Crossing



54.2 km Drain


55.0 km Pipeline construction activities (left side). Pictures and video.

Location 10.

55.7 km Rail Crossing


Rural area - some housing.




56.9 km River Crossing

57.1 km Drain

57.5 km General Cargo Harbour

Pipeline Construction works in progress. Pictures and video.

58.7 km Drain

58.9 km Drain

59.3 km Factories:

P.T. Polyprirma Karyaneka

P.T. Ploypet

P.T. Sarakyu Indonesia

59.7 km Power Generation Facility.

Page 6

6 NMwvvmktr 1997. Wsappedt


OH Power Transmission Line Crossina

Factorv - P.T. Asahumas Subenta Chemicals

Area is grenerally industrial plants.

60.3 km Factories -

P.T. Lautan Otsuka

P.T. Donging Chemical

P.T. Tripolyta Indonesia

Generally chemical factories in the Anyer area

60.8 km Drain crossing - Cooling water from P.T. Tripolyta (P.T. Chandra Asri)

61.7 km Town - Anyer


62.5 km Anyer Kota (city centre)

63.3 krn Small river Crossing


63.7 km Drain

Resort - coconut plantations and villas.



67.9 km Anyer Light-house. Probable end of pipeline.

Area is generally resort area and sparsely populated. Pictures and video.Location 9.

0.0 km Junction on-route to Merak (outskirts of Cilegon).

4 lane motorway

Residential area (holiday type villas)

2.0 km Entrance to Krakatao Steelworks.

2.7 km Road Intersection

OH Power Transmission Line Crossing

4.3 km Drain

4.5 km OH Power Transmission Line Crossing



Page 7

h Nrnwmhr 1997. aWp.c.dAm


6.8 km Pertamina Supply Depot and Transit Terminal

7.1 km Large petrochemical complex

7.8 km Rail Crossi ig

Bunker Storage Terminal

8.0 km Drain

Petrochemical complex (left side)

Timber yard (right side)

8.1 km Drain

9.6 km Hotel

10.1 km Town - Merak

By sea. Vessel Anchorage area.

10.3 km Drain


11.3 km Pertamina Oil and Refined Products Depot

11.6 km Ferry Terminal

11.7 km Rail Crossirig

13.7 km Small river C.rossing


16.0 km Polorida Resort entrance

16.9 km River Cross; ng

17.7 km Housing area

19.1 km Power station

20.3 km Hill top. Pictures and video. Location 11.

20.8 km Hill top. Rural area some housing

21.3 km Housing increasing

23.7 km Hill top. Indljstrial area (petrochemical complex on left side)

24.8 km Bridge

26.4 km Small river (Crossing

Padi fields

29.2 km Probable pipeline end. Pictures and video. Location 12.

Page 8

f Now=Nmr IW7. Iapp:.droc


1.3 Zone 2 Site Vist Notes

Date of Survey: 16th April 1997

Participants Heidir Husni (ELNUSA)

Sulistyo Elly (PGN)

Mr Sucahyo (IPB)

M Vine (DNV)

E Ng (DNV)

Duration of Survey: 0600 - 2000 hrs

Area Surveyed: Zone 3 Pipeline Route, West Java

Karawang - Talukjambe - Cikampek - Purwakata - End

Purwakata - Wk. Jatiluhur (end)

Purwakata/Campaka junction - Campaka - Pertarnina UEP mI

Notes Collected:

I. GENERAL ISSUES

Tie in at Cilegon (Zone 2) to existing Pertamina metering station.

No pipeline pigging planned by PGN.

PGN plan to provide a pipeline marker every 500m.

Zone 3 pipeline receives gas directly from Pertamina gas field (UEP HI) near Campaka.

2. TEGALGEDE OFFTAKE AND METERING, BEKASI

Example of a PGN offtake station (capacity 60 mmscfd) . Offtake from Pertamina pipelineupstream of Pertamina compression facility. Initial filtering of offtake gas. No pressureregulation. Metering for pressure, temperature and flow rate). THT odorant injection. THTdrum connected to injection facility. Accidental spillages-of THT from injector collected on drippan. Strong smell of THT.

Pictures and video taken of Site (Location 1), piping area and THT dosing facilities.

3. WALAHAR OFFTAKE STATION

Visited at end of trip. Future metering station planned. Pictures and video taken. Location 6.

Page 9

6 Nnt4mcr I97. MWainvA


4. PIPELINE ROUTrE SURVEY DETAILS

0.0 km Karawang - start of pipeline (16" pipe). Pipeline on right hand side of road

(Jalan Kosambi - 2-way; 2 lane). Existing pipeline from W'alahar Station

(16"). Valved tie in point. Pictures and video taken. Location 2.

Texmaco (tex;tile factory)

Housing

0.1 km River crossing (At. Walahar)

Housing

Light industry (e.g. corrugated paper production)

4.5 km Padi fields (limited)

Housing

5.6 km Timber yard

5.9 km 50m river crcssing (Ci. Lalawi)

Housing and light industry


Housing




9.7 km Rail crossing and Pertamina pipeline crossing

10.2 km River crossing

Housing

I 1.0 km Small river cro)ssing


Housing and shops

12.7 km Road crossing. Right to Cikampek town centre.

13.1 km Turned right. Rail crossing.

14.4 km Housing

15.7 km Housing

16.6 km Purwakarta border

Page 1 0

6 Novnicr 1997. M/a1pm.d


17.7 km Toll road junction

Forest

Some markets on right

22.2 km Housing (not dense)

24.2 km Forest/housing

Housing, warehouse and restaurants

26.1 km Left turn to Campaka. Continued heading towards Purwakarta.

26.7 km Rail crossing (flyover)

Housing getting denser as Purwakarta is approached

28.6 km Cable and water/sewer pipe laying in Purwakarta suburb. Pictures and video taken.Location 3.

29.7 km Turned right - detour around Purwakarta town centre

30.6 km Road junction

Urban

31.6 km Road junction

33.4 km T junction. Tumed right.

33.8 km 50 m river crossing (Ci. Lalawi)

34.0 km Tumed right

Pipeline becomes 8"

34.4 km Road junction. Turned right.

Houses

36.2 km Fewer Houses, some new industry (e.g. textile)

36.7 km 15 m river crossing (Ci. Kao)

36.9 km Road fork

37.1 km Houses

Textile industry

38.5 km Large textile company (on right)

39.4 km Probable end of pipeline. Indorama textile company. Pictures taken.Location 4. Clarify PGN routing - PGN GIS map indicates a longerpipeline route than travelled.

Route to dam (following remaining pipeline arm) mostly rural with some housing initially.

Reset odometer to zero. Turned right to Campaka

Page 1

6 Nnwei,e 1997. Wta."A

APPENDIX E: SITE VISIT DE:TAILS

0.0 km Pipeline on lIft hand side of road

Housing

2.0 km Major river crossing (K. Jati). "K." Kali, abbreviation for small river.

3.7 km Industry (left side)

Housing

4.7 km Padi fields

Town - Campaka

4.9 km Housing

5.4 km Factory

Housing

6.1 km Factory

Housing

6.5 km Paint chemicals site

6.9 km Factory

7.3 km Factory

Housing decreasing, increasingly more rural (jungle)

8.2 km River crossing

8.4 km Padi fields

8.5 km Grazing sheep



10.7 km Padi fields

11.0 km Housing

12.3 km River crossing (Ci. Lamaya)

12.8 km Factory

Housing

13.5 km Factory

Increasing dev'elopment - shops, etc.

Housing

14.0 km Padi fields

14.1 km Housing and fields

14.8 km Forest

Page 12

h Nosw:rnfer 1997. ?,Vape.Gnc


14.9 km Housing (sheep grazing on left)

15.3 km Housing

16.1 km Padi fields

Turn left

Ceramics Association (last supply point)

Pertamina offtake station and gas well (UEP IIN) with gas flaring

Probable pipeline end. Pictures taken. Location 5.

Future distribution plans may extend further to Subang using Pertaminaofftake.

Page 13

6 No.wntm 197. M alppc.k

APPENDIX F

SITE VISIT

PHOTOGRAPHIC PLATES

APPENDIX F: PHOTOGRAPHS

1 APPENDIX F - SITE VISIT PHOTOGRAPHIC PLATES

1.1 Zone 2

The geographical locations of the photographs taken during the zone 2 site visit are given inFigure 1.

Figure 1: Location of Photographs (Zone 2)

C1 10 0 10 Kilometers N

f njer- // s ' -

Zone 2 photographic plates are now provided.

Page I

6 No.shrn, 1997. i*IIld~oc


Plate 1: THT Storage Bitung MRS (Location 1)

Plate 2: Bitung Offtake and Regulation (Location 1)

Page 2

6No~wm~r 1997. ?.ItappZ.dv~


Plate 3: Odorising Plant at Bitung (Location 1)

I - - .'

~~~~~~4 . # i.- .

Tw..,',*..*'' .- ,*i:

Page 3

6 Nnv-mhr 1997. WaM Ld

APPENDIX F: PHOTOGRAPSIS

Plate 4: Start of Pipeline at Balaraja (Location 2)

CPagye 4

6 Nove.her 1997. M.a,_dcc


Plate 5: Start of Pipeline at Balaraja

.' ', '\ \ \''''' .

i~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ _

.~~~~~~~~ Nmu~~19. : Spdu

APPENDIX F: PHOTOGRAPHIS

Plate 6: Serang - Tangerang Boundarv and River Crossing (Locatioli 3)

Plate 7: End of Pipeline Branch -to Kopo (Location 5)

Page 6

6 Nim br 1W7. Wia m.p.d


Plate 8: Road to Anyer (Location 9)

1_ ~~~~~~~~~~~~~~~~~~~~~~~~-- .-i

Plate 9: Typical Pipeline Construction Activities

4,- v E- ,_r1 ¢ ' i _- -v,*

FC:~~~~~~~~~~~~~~~~~~ -,'-M- '14-

Page 7

N.wsrmr 1W7. wapr.do1c

APPENDIX F: PHOTOGRAP HS

Plate 10: Pipeline End at Anyer L.H.

Page 8

6 N,ow..h 1997. Wappfdoc


Plate 11: Hill-top in Merak (Location 11)

- {~~~~~~~~-i

't < ,_ {_ i- **vB~Oct

_-* Eu 1<' *

- >l (;*n-*-;f_ ; r1 -... ';r';.--- --

- Ht_sf \ -- .XV<13 * ).,

Plate 12: Import Facility Merak (Location 11)

_ ~ ~~~~ ~ ~~~ ~ ~ ~ ~ ~ ~ ~ ~~~~~~~~~~~ -,em~ _97 ,M, ppL. .


Plate :13: End of Pipeline at Bojonegara (Location 11)

1.2

Page 10

6 NnOVmhcr 19Y7. %VappldX.


Zone 3

The geographical locations of the photographs taken during the zone 3 site visit are given inFigure 2.

Figure 2: Location of Photographs (Zone 2)

0 10 Kilotneters < ]

_: Z3- 5K

V- - \ - J < 3 {J~~~~~~~IPEU UJ /0 IN

Zone 3 photographic plates are now provided.

Page 11

A NarnOw IW7. WWWdo


Plate 14: Tegal Gede Odorising Plant (Location 1)

Page 12

1, No,m%h. P697. WappLAIOk.


Plate 15: Tegal Gede Offtake and Metering Station (Location 1)

LOW,~~~~~~~~~~~~~~>

"-~~~~~~~~~~~~~~~~ -;

nj"~~~~~~~~~~~-

F'i

-~~~~~~~~~~~~~~~~~~~~~~~~

Plate 16: Karawang Existing PGN Bridge Crossing (Location 2)

q.

_, >t * _

Page 13

.. Nown.*&v I.7 .WaLdo


Plate 17: Pipeline Start Karawang (Location 2)

Plate 18: Cable Laying (Location 3)

Page 14

6 No,vmi 1"?. ;amfdm


Plate 19: End of Pipeline at Jatiluhur (Location 4)

- ~ Z.

. f-. , ,. is- - _9L

'~~~~~~~~~~~' ~ ~ ~ ~ '

-I, , -- .

Plate 20: Bridge Crossing Walahar

Page 15

A NovuW.r 1. MILd

APPENDIX G

SAFETY CONSEQUENCE

ASSESSMENT

APPENDIX G: SAFETY CONSEQUENCE ASSESSMENT

Table of Contents

I APPENDIX G - SAFETY CONSEQUENCE ASSESSMENT ....................................1

2 INTRODUCTION ............................................. I

3 PIPELINE DESCRIPTION .............................................. 2

4 HAZARD IDENTIFICATION .............................................. 34.1 Hazardous Properties of Methane 34.2 Leak Causes 34.3 Failure Case Selection 4

5 FREQUENCY ANALYSIS ........................ 5

6 CONSEQUENCE MODELLING ........................ 66.1 Releases of Flammable Material 66.2 Human Impact Criteria 66.3 Dispersion Criteria 7

7 RESULTS ....... 87.1 Vapour Cloud Dispersion 87.2 Consequence Zones 18

8 CONCLUSIONS ............ 19

9 REFERENCES .. 21

Page I

6 NowluIr IW7. KVMa.ow


1 APPENDIX G - SAFETY CONSEQUENCE ASSESSMENT

2 INTRODUCTION

PT Perusahaan Gas Negara (PGN) has commissioned DNV to undertake an EnvironmentalAssessment for their proposed gas distribution system expansion in West Java, Indonesia. Aspart of the study, a preliminary safety review of the pipeline is required to address the risksrelated to operation of the proposed gas distribution system comprising mainly of a 16"distribution main line totalling about 150 km in length and several branch lines of smallerdiameters.

This Appendix presents DNV's assessment of risk zones pertaining to the 16" main distributionline and their potential impact to population in the immediate vicinity of the pipeline. The scopeof this study is limited to the buried parts of the pipeline and does not include areas withequipment above ground level at Metering/ Regulating or Offtake Stations. This will be thesubject of a separate study during the detailed design phase.

The purpose of this Appendix is to serve as a background document for PGN to perform the riskassessments of their Offtalce stations during the detailed design phase.

Page 1

6 Nntrr I9t7. /appgidc


3 PIPELINE DESCRIPTION

Material: Natural gas (model as methane)

Pipeline diameter: 16" OD

Pipeline length: 150 km

Design pressure: 16 barg (ANSI 150#)

Working pressure: 10 barg

Working temperature: 300C

Flow capacity: 500 mmscfd

Page 2

6 Nowgict IW7. &MfVpr.d


4 HAZARD IDENTIFICATION

4.1 Hazardous Properties of Methane

Pure methane is a colourless, odouriess gas which has the pertinent properties shown in Table 4.1(Sax & Lewis 1989, Lees 1980).

Table 4.1 : Key Properties Of Gaseous Methane

- PROPERTY MATERIAL

Molecular Weight 16.05 (g/mol)

Boiling point -161.5 °C

|Density at 15 °C and I atm. 0.68 kg/mrl

Lower Flammability Limit (mole %) 5.3 %

Upper Fiammability Limit (mole %) 14 %

Auto-Igniition Temperature 650 °C

Minimum Ignition Energy 0.29 miJ

4.2 Leak Causes

In general, the main potential causes of leaks can be categorised as:

o Defects introduced during design or construction. These may be a result of:- Design errors missed by the design certification or HAZOP type exercises.- Material defects in the steel missed by quality control during manufacture.- Construction defects introduced by faulty welding or impact damage during

construction on site- Wear-out defects introduced by prolonged, possibly, faulty use.

Significant defects of this type should be detected in the quality control process, in the hydro-testof the fixed facilities, or in the preventative maintenance. However, historical experienceindicates that some defects are overlooked, and may be revealed during operation. They can beminimised by careful inspection, testing and construction procedures.

* Corrosion through th- containment. This may be:- External, as a result of failure or absence of anti-corrosion coating or cathodic

protection.- Internal corrosiDn, e.g. due to moisture trapped inside intermittently used equipment.

These causes tend to occur late in life. They are minimised by careful inspection andmaintenance, and the appr-opriate mitigative actions.

* Impacts, affecting niainly above-ground equipment, and may be due to:- Nearby maintenance or construction work.- Excavating work (which may affect buried equipment, especially pipelines)- Aircraft or hel:icopter crashes, although these are relatively unlikely except close toairports.

Page 3

6 Nnm -r 199F7. M/g.doc


These can be minimised by physical protection measures such as encasement and prominentmarking of the location of buried equipment; also segregation of the installation from otheractivities in the planning process, and careful operating procedures for nearby work.

* Natural Hazards, including:- Subsidence- Landslide (typically in heavy rain)- Earthquake (in general)- Flooding (which may promote corrosion)

* Operational Overload, typically due to a combination of factors such as:- Pressure surges due to sudden valve closure, e.g. in emergency shutdown.- Thernal expansion.- Failure of pressure relief or blowdown valves.

* Fatigue due to cyclical loads produced by:- Diurnal temperature variations.- Vibration produced by nearby machinery or road vehicles.

* Sabotage by terrorists, vandals or disaffected workers or members of the public. Thisappears relatively unlikely as the pipeline is buried, but as in any country the politicalclimate may change rapidly.

4.3 Failure Case Selection

The following failure cases are considered:

D 3 hole size leaks (5mm, 25mm and 100mm)

v Full bore rupture

All releases are modelled as in the open air and only momentum releases are modelled.

Page 4

6 N"01*1M 1"7. MIA.doc


5 FREQUENCY ANALYSIS

DNV Technica's generic data on the frequencies of failures of different items of equipment ispresented in DNV Techn.ca's frequency database. Appropriate frequencies have been selectedfor this pipeline.

Failures are defined in ge]ieral as events where an equipment item ceases to perform its intendedfunction correctly. In this study, the only failures covered are leaks and fires. Failure to operate isnot included if this does not result in leaks or fires.

Frequencies are defined in general as the expected number of events per calendar year.

Leak sizes are defined as diameters of holes whose area is equal to that of the leak. For example,a crack 1 mm wide x 20 mm long would be expressed as a 5 mm diameter hole.

Table 4.1: Leak Frequencies By Hole Size For 16" Pipeline

LEAK FREQUENCY BY HOLE SIZE (per m year)5 Smmu | 25mm n 100 nun | Full bore Total

Frequency 4.3 x 10.8 1.1 x 107 1.1 x lo-, 7.8 x 109 1.7 x I0o-{ Percentage 1 25 64 6.4 4.6 100

The failure rate for buried piping is based on available historical data for cross-country pipelines.The source of data used in the U.S. Department of Transportation information on the U.S. GasTransmission Lines 1970-80. Information regarding these lines is collected by the U.S. DoTHazardous Information System from their incident report forms. The data is stored in acomputerised form and covers around 400,000 km of gas pipelines. The pipeline failure ratesused have been taken from a previous in-depth analysis of these data by DNV Technica.

This gives a leak frequencyr of 1.7xl0- 7 per m year. For a pipeline length of 150 km, the total leak

frequency is 0.026 (=1.7 x 10 7 x150 000) per year or once in 39 years.

Page 5

6 Noem,nr 1997. M/appg.w


6 CONSEQUENCE MODELLING

6.1 Releases of Flammable Material

If a gas release is ignited, various fire and explosion events may occur. The resulting eventsdepend on the material type, the rate and nature of release, time at which it is ignited and thenature of the surrounding structure. A small range of characteristic outcomes is considered here:

* Jet Fires result from a pressurised leakage of a flammable gas. Because of the high fluid exitvelocities, jet fires are often termed as 'momentum controlled' fires due to the fact that themomentum force prevails over the buoyancy force in large parts of the flame plume. However,at some distance from the exit, the gas velocity is reduced at which point the buoyancy force isdominant. The fire from this point behaves more like a buoyancy controlled jet fire.

* Flash Fires (or Cloud Fires) result from a delayed ignition of a release of gas or vapourforming a cloud, which disperses downwind. The flash fire may burn back through thepremixed gas cloud towards the fuel source and stabilise there, provided it does not cause anexplosion. Flash fires are thus very transient in nature and have a short duration, usually lessthan a minute. The main hazard from a flash fire is thermal radiation to human beings,although some superficial property damage may also occur.

* Fireball. The atmosphere edge burning of a fuel-air cloud in which a significant fraction ofthe energy is emitted in the form of radiant heat. The inner core of the fuel release consists ofalmost pure fuel whereas the outer layer in which ignition first occurs is a flammable fuel-airmixture. As buoyancy forces of the hot gases begin to dominate, the burning cloud rises andbecomes more spherical in shape.

D Explosions. These are characterized by the sudden uncontrolled and rapid release of energy ina small volume leading to the generation of a pressure- wave of finite amplitude, whichpropagates away from the source. Associated with an explosion is a flame front, whichtypically propagates at high speed. The explosion severity changes with changing levels ofconfinement and obstacles in the path of the propagating flame front.

6.2 Human Impact Criteria

Single value impact criteria have been used to indicate the impact of thermal radiation in thisstudy. This criteria normally applied to people offsite and have been used such that within thecriterion envelope there is a fixed percentage of fatalities, and outside it there are zero. Fordifferent type of fires, a criterion based on thermal radiation flux (kW/m ) is used.

* Radiation Effect of 37.5 kW/m2 Taken as the criterion for inunediate fatality. At this level,the pain threshold is virtually instantaneous, and second degree burns on exposed skin occurin about 8 seconds. The Eisenberg probit predict 50% lethality in about 20 seconds.

Page 6

6 Nowmhkr 1W7. WaMI.d

APPENDIX G: SAFETY CON SEQUENCE ASSESSMENT

* Radiation Effect o1' 12.5 kW/m2 Taken as radiation intensity for escape actions lasting afew seconds. At this level, the pain threshold is reached in about 4 seconds. and seconddegree burns on exposed skin in about 40 seconds. The Eisenberg probit predicts 50%lethality in about 80 seconds.

* Radiation Effect of 4 kW/m2 Taken as radiation intensity for escape actions lasting morethan a few mninutes in normal clothing. At this level the pain threshold for exposed skin isreached in about 15 seconds. Second degree burns on exposed skin would be expected afterabout 2 minutes.

6.3 Dispersion Criteria

For vapor cloud, concentrations of vapor in air, LFL (Lower Flammable Limit) and 0.5 LFL areused. The 0.5 LFL is used to allow for fluctuation in the vapor concentration during dispersion.

Page 7

6 Novbtmr 1997. MWappg.doc


7 RESULTS

7.1 Vapour Cloud Dispersion

The consequence and dispersion calculations have been carried out using the DNV Technicasoftware PHAST. PHAST is a commercially available programn satisfying the qualityrequirements as stated in ISO 9001. The dispersion of the vapour cloud is modelled for 4different wind categories. These are defined as D/l, D/5, D/1O and F/l, where for example D/lrefers to stability class D at a surface wind speed of I m/s;

Table 7.1 shows the case identifiers, leak sizes and the weather conditions for different scenarios:

Table 7.1: Release Cases and Scenarios

Case Identifier Hole Size Stability Wind SpeedL _________________ . _______________ I C ategory (1/s)

Cl-5 D 1.0 S mm leak D 1Cl-5 D 5.0 5 mm leak D 5Cl-5 D 10.0 5 mm leak D 10C1-5 F 1.0 5 mm leak F ICI-25 Dl.0 25mmleak D ICI-25 D 5.0 25 mm leak D 5CI-25 D 10.0 25 mm leak D 10CI-25 F 1.0 25 mm leak FCl-100 D 1.0 100mmleak DCI-l00 D 5.0 100 mm leak D 5CI-100 D 10.0 100 mm leak D 10Cl-100 FI.0 r 100mmleak F ICl-FB D 1.0 Fullbore Rupture DCl-FB D 5.0 Fullbore Rupture D 5Cl-FB D 10.0 Fullbore Rupture D 10Cl-FB F 1.0 Fullbore Rupture F I

The results of the PHAST modelling analysis are presented in Figures 7.1 to 7.18.

Page 8

6 Novvem* 1997. MW ip.doc

APPENDIX G: SAFETY CONJSEQUENCE ASSESSMENT

Figure 7.1: Natural Gas Dispersion Contours

Vertical Profile along Centreline PHAST ProfessionalStudy: MIGAS

2: . iMaterial: METHANECase: C1-5VWeather: D 1.0 mis

H 1.5 Concentrations (Mol%)

_ 2.65g 5.30h 1 14.0

ns 0.5

m

0

0 1 2

Distance in m


Vertical Profile along Centreline PHAST Professional

Study: MIGASMaterial: METHANE

, _ . Case: Cl-SH 1 ^t Weather: D 5.0 m1s

He Concentraions (Molt%,)

g 5.30h 14.0

n

m

0.-01

Distance in m

Page 9

6 Novemhr 19Y7. M/appd.k1c




Study: MIGAS0.8 Material: METHANE

Case: C1-50.7 ~~~~~~~~~~~~~~~Weather:. DlO.0 i

H 0.6e _ Concentrations (Mol%)

I 0.5 / 2.65D 5430

h 0.4 : 14.0t

0.3f

n 0.2 /m 0.1 1

0*6 0.1 0.2 0.3 0.4 0.5 0.6 0.7

Distance in m

Figure 7A: Natural Gas Dispersion Contours

Vertical Profile along Centreline PHAST ProfessionalStudy: MIGAS

2 Material: METHANECase: C1-5Weather: F 1.0 mIs

H 1.5e Concentrations (Mol%)

2.655.30

h 1 ~~~~~~14.0

i~~~~~~~~~~~in 0.6 .

m

0 '0 1 2

Distance in m

Page 10

6 Nowmhff 197. MtpM.dwc

APPENDIX G: SAFETY CON!SEQUENCE ASSESSMENT

F igure 7.5: Natural Gas Dispersion Contours

Vert cal Profile along Centreline PHAST ProfessionalStudy: MIGAS

10 Material: METHANECase: 01-25Weather: D 1.0 mis

He Concentrations (Mol%)

Figure 7.6: NaturalGasDispersionContous2.65V 5.30

h 14.0t~~~~

n

6._ _ _ _ _ _ _ _ _ _ _ _ Study: MIGAS' ~~~~~~~~~~~~Material: METHANE

* Case: C1-25H : Weather: D 5.0 mJs

0 Distance in m

6~~~~~~~~~~~~~~~~~~~~~~ No- Study MIpp.AS

2.65g / ~~~~~~~~~~~~~~~~~5.30

Ii 3 i~14.0

t7

2:n

m1

0 1 2 3 4 5 6

Distance in m

Page II

6 NOwmtr 1997. MIa~pp.doc




4 Study: MIGASMaterial: METHANE

3.5 - , Case: C1-25Weather: DI 0.0 mIs


2.6 2.65g ~~~~~~~~~~~~~~~~~~5.30

h 2 14.0t

1.5

n1

m 0.5

0 0 1 2 3 4

Distance in m




Case: C1-2510 Weather: F 1.0 MIS


i n 2.65

g 5.30014.0

n

m

0-0 10

Distance in m

Page 12

6 N,OWIW7. W&tlApOC

APPENDIX G: SAFETY CON SEQUENCE ASSESSMENT


Verti:al Profile along Centreline PHAST ProfessionalStudy: MIGASMaterial METHANECase: Cl-1 00

s 35 - ^ Weather: D 1.0 mJs


i = ~~~~~~~~~~~~~~~~~2.659025 5l30

h 14.0

n

m

0-0 '10 20 30 40

Distance in m


Vertical Profile along Centreline PHAST ProfessionalStudy. MIGASMaterial: METHANE

3 _Case: Cl-10020 - ^ Weather: D 5.0 mIs

H e Concentratons (Mol%)

15 ~2.651 ~~~~~~~~~~~~~5.30

h ~~~~~~~~~~~~~~~~~~14.00 10 7

n5-

m

0-0 10 20

Distance in m

Page 13

6 NnwuIikr 1997. Mdapp{.dn'



Vertical Profile along Centreline PHAST ProfessionalStudy: MIGASMaterial: METHANE

1 - - , Case: Cl-1 00Weather: Di 0.0 mIs

He / Concentrations (Mol%)

10 10r 5.30h 1 .

S

n

m.70 -

Distance in m




40- . j Case: C1-10040 ~ -^Weather: F 1.0 mIs

He 330 Concentrations (Mol%)

i = 2.65q 5.30

20 _ I 14.0

n10

m

0 10 20 30 40 -

Distance in m

Page 14

h NovahLr 1997. Mbap.doc


Figure 7.13: Natural Gas Release Rates From Full Bore Rupture

FULLBORE RUPTURE DEPRESSIJRISATION

200.00

180.00 - _

160.00

140.00

., 120.00

C 100.00

Q 80.00

60.00

40.00

20.00 _ - _

0.00

0 50 100 150 200

Elapsed Time (seconds)

Figure 7.14: Radiation Levels From Fireball Scenario

Radiation vs Distance PHAST Professional

R so lMateriat: METHANEa Case: Cl-FPB-FIREBALL

dKEi 40 -a -Radiation

o 30 - . \ Height: 0.000 (m)n \ Maximum distance: 200.000 (m)

Angle from wind: 0.000 (deg)i 20 - . \ Observer inclin: Variablen Observer orient: Variable

kw 10

q 00 100 200

m

Distance in m

Page 15

6 Novcwh.r 1997. Wapp.doc





50 - . '^ Case: Cl -FeH 0 . ^Weather: D 1.0 mis

He 40 Concentrations (Mol%)

2.65g ~~~~~~~~~~~~~~~~~~5.30

h 30 14.0t

20-n

0 10 20 30 40 50

Distance in m



30 Study: MIGASMaterial: METHANE

Case: Cl-FB

25 - Weather: D 5.0 mIs

H-e 20 - - _ Concentrations (Mol%)

i = ~~~~~~~~~~~~~~~~~2.65g 5.30

15 14.0

10 n

m

0 10 20

Distance in m

Page 16

6 Nm" W 1W. Wam.tgv

APPENDIX G: SAFETY CO1SEQUENCE ASSESSMENT


Ver:ical Profile along Centreline PHAST ProfessionalStudy: MIGAS

Material: METHANECase: Cl-FBWeather: Dl 0.0 mis


i = ~~~~~~~~~~~~~~~~~2.65B 5.30h 10 =14.0t

n

m

0 -0 10

Distance in m

figure 7.18: Natural Gas Dispersion Contours

Verl:ical Profile along Centreline PHAST Professional

60 Study: MIGASMaterial'. METHANECase: Cl-FB

so Weather: F 1.0 mIs

He 40 - Concentrations (Mol%)

i = ~~~~~~~~~~~~~~~~~2.659 5.30II 30 - 14.0

20-

rn

0 10 20 30 40 50

Distance in m

Page 17

A Nowemht. 1997. M/iap.dx-


As a summary, maximum distances from center of release to the 0.5 LFL envelope are presentedin Table 7.2. These values are used to estimate the gas ingress toward nearby buildings.

Table 7.2: Maximum Distances To 0.5 LFL Envelope

SCENARIOS TYPE OF RELEASE MAXIMUM DISTANCES FROM CENTER TO0.5 LFL ENVELOPE (m)

|______________ _________________ Height (Horizontal) Radius (Vertical)

5 mm leak Continuous 2.1 0.425 mm leak Continuous 10 2100 mm leak Continuous 40 8Fullbore rupture Continuous 55 10

7.2 Consequence Zones

The distances (for downwind center-line at ground level) to the radiation effects of 37.5 kWlm2 ,12.5 kW/m2 and 4 kW/M2 are presented in Table 7.3 for the fire scenarios.

Table 7.3: Distances To Heat Radiation Effects

SCENARIOS TYPE OF RELEASE DISTANCES TO RADIATION EFFECTSFIRE 2 (m) l

RATE (kg/s) 37.5 kW/mI 12.5 kW/m2 4 kW/m2

5 mm leak JetFire 0.03 1.0 1.3 2.7

25 mm leak Jet Fire 0.8 2.5 6.3 13.2

3 00 mm leak Jet Fire 13 10.1 25.3 52.9Fullbore rupture Jet Fire 20 16.3 31.6 66.1

Fullbore rupture Fireball - 76 136 200

Note that for the case of fullbore rupture, the pressure of the pipeline will depressurize rapidly. The release ratereduces from 200 kg/s to 40 kg/s within first S seconds and down to 20 kg/s at 50 second. A fireball can occur onlyif the release ignites immediately and continues with a jet fire. Thus, two fire scenarios may occur in the case of afull bore release.

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6 N0m_ 1497. WMPPIWC


8 CONCLUSIONS

I The results of the gas vapor dispersion calculations show that the 0.5 LFL cover a zone with aheight of 55 m and a radius of 10 m for the worst case scenario i.e. a full bore rupture of thepipeline. A delayed ignition, will cause a fire flash back to the source. Or it may ingress intothe nearby building and cause a confined explosion when ignited. But the probability of thistype of explosion is very low, because natural gas is very buoyant (i.e. lighter than air). Inaddition, the probabilit:y of a full-bore rupture is very low (4.6% of the total leak frequency).

2 For full bore releases, if the gas vapor ignites immediately, a fireball will be formed. The fatalradiation effect distarce (37.5 kW/m2 ) and the injury effect distance (12.5 kW/m2 ) of thefireball are 76 m and 136 m respectively. The fireball will only last for a short duration (lessthan 30 seconds). It may cause immediate fatality to people nearby but it is unlikely that theshort duration of the fireball will cause escalation affecting other facilities from thermalradiation effects.

3 The consequences ancl impact of small, medium and large leaks are not as severe as full boreruptures. These gas leaks will form jet fires when ignited. The results of the impact modelingshow that the fatal raciation effect distances (37.5 kW/m2 ) and the injury effect distance (12.5kW/m2 ) of jet fires will be very short. These scenarios will only cause fatality to the personnelwithin a radius of 25 m (based on radiation of 12.5 kW/m2) and cause buildings to catch firewithin 10 m (based on radiation of 37.5 kW/m2).

4 The analysis is conservative because the releases are assumed to be to the open environment. Inreality, an underground gas release will be affected by the burial depth and the porosity of thesurrounding soil medium. When this gas reaches the ground level, the momentum of the jetrelease is lost. Gas dispersion through the soil medium is a very complicated process and forthe purpose of this study, release into the open environment provides an upper bound estimateof impact distances. Nevertheless, if the release is caused by extemal impact in an open trench(e.g. excavation by rriechanical equipment) then a release model in the open environment isapplicable. In this case, the impact distances from jet fires will be reduced by the shieldingeffect from the pipeline trench sides.

5 A review of vapour cloud incident statistics by British Gas (Harris et al. 1989) indicated therewere no recorded vapour cloud explosions in open environment which have involved eitherpipeline natural gas or liquefied natural gas (LNG). The absence of such events is possibly dueto the fact that, metlhane, the main constituent of both LNG and pipeline natural gas, isgenerally considered to be of low reactivity (characterised by various combustion propertiessuch as burning veloc ty and minimum ignition energy) when comparing with other gases suchas liquefied petroleum gas and ethylene which have been involved in vapour cloud explosionincidents.

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h Nnvefftr I9Y7. Mlappg!tjoc


6 In the UK, land use planning zones for pipelines are based on a standardised approach usingmultiples of the minimum distance from normally occupied buildings or building proximitydistance (BPD) (Ref: The Institution of Gas Engineers, IGE/TD/l, Ed .3:1993). The BPD isbased on a simple (steady state) fire model using a level of thermal radiation of 32 kW/mm,within which normally occupied buildings are not permitted. Based on this critieria, zones arethen defined for proposed developments near natural gas pipelines. For BPDs of between 3 to13.5m which is the case here, an inner zone of 1xBPD and an outer zone of between 1 to 2BPD are defined. Developments within the inner zone are not recommended. Adopting thisapproach, the inner zone limit for the 16" distribution pipeline is defined as being a distance oflOm from the pipeline centre-line. This distance also compares well with the distance to the 0.5LFL, based on worst case full bore rupture gas dispersion considerations, within which gasmigration into buildings poses some risk of confined explosion.

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6 Nowv IW7. M/appMdac


9 REFERENCES

1. U.S. Department of Transportation, Information on the U.S. Gas Transmission Pipeline, 1970-80, U.S. DoT Hazardous Information System.

2. DNV Technica Repori C965 (Feb 1987)

3. Harris R. J., Wickens M. J. (1989), " Understanding Vapor Cloud Explosions - AnExperimental Study", Midlands Research Station, Communication 1408, November 1989.

4. The Institution of Gas Engineers, Steel Pipelines for high pressure Gas transmission,Recommendations on transmission and Distribution Practice, IGEITD/1 Edition 3:1993.

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6 Now*a .19n.

I

APPENDIX H

SAFETY AND ENVIRONMENTAL

HAZARD DATA SHEETS

APPENDIX H: HAZARD DATA SHEETS

1 APPENDIX H - SAFETY AND ENVIRONMENTAL HAZARD DATASHEETS

1.1 Natural Gas

METHANE SAFETY AND ENVIRONMENTAL HAZARD SHEET

Physical Properties Melting Point - I 830C

Boiling Point -161.50C

Flash Point -1 750C

Auto-ignition temperature 595 °C

Flammable Limits in Air 5 to 15%

Molecular Weight 16

Solubility in Water 0.0023 gIlO0 ml

Chemical Properties Unreactive towards other chemicals and water. No self reaction (highlystable).

Safety Hazards Flammable.

Explosive in confined areas.

Low toxicity to human health.

Asphyxiant.

Safety Effects Inhalation in high concentrations causes headache, laboured breathing,unconsciousness.

Safety First Aid Treatment for burs and asphyxiation.

Protective Equipment Compressed air/oxygen apparatus; fireproof suit, gloves.

Environmental Fate Warm vapours disperse rapidly in air.

Not seriously harmful to aquatic life.

Accident Prevention Eliminate all ignition sources (no smoking, flares. sparks or flames) inimmediate area.

Emergency Actions Do not extinguish fire unless release can be stopped.

Use foam, dry chemical, carbon dioxide. halogenated extinguishing agent,water spray or fog.

Cool fire exposed containers with water spray.

Page I

h, Nowiuthr IW7. Mlaphdoc

APPENDIX H: HAZARD DA1'A SHEETS

1.2 Tetrahydrothiophene

TETRAHYDROTHIOPHENE (THT) SAFETY AND ENVIRONMENTALHAZARD SHEET

Physical Properties Melting Point -96°C

Boiling Point 1 190C

Flash Point 120C

Molecular Weight 88.17

Odour Threshold I ppb

Chemical Properties V/hen heated to decomposition it emits toxic fumes of SOx.

Safety Hazards Highly flammable.

V'apour explosive with air.

Harmful by inhalation, in contact with skin and if swallowed.

IlTitating to eyes and skin.

Hazardous properties of natural gas with THT is more dangerous on account ofnatural gas not THT. However, the hazards associated with handling and storageof THT should not be underrated.

Safety Effects Inihalation:

Elizziness, nausea, irritating, headache, coughing, iieuro-toxic.

Skin:

Skin burns, irritating, absorbed, defats skin.

E,yes:

B urns, irritating.

Coral:

_Irftating. headache, nausea, coughing.Safety First Aid Iiihalation:

Fresh air, oxygen, doctor, keep at rest.

Skin:

Eloctor, wash with water, isolate clothes, soap, take shower/bath.

Eyes:

DZoctor, wash with water.

Oral:

Fresh air, oxygen, doctor, do not vomit.

Page 2

6 Nowmher I 947. M/WppLdo

APPENDIX H: HAZARD DATA SHEETS

TETRAHYDROTHIOPHENE (THT) SAFETY AND ENVIRONMENTALHAZARD SHEET

Protective Equipment Compressed air/oxygen apparatus; fireproof suit, gloves, avoid contact withsubstance.

Environmental Fate Atmosphere:

Expected to rapidly oxidise by hydroxyl radicals in the atmosphere (US EPA/ITC.1982).

Terrestrial:

Little tendency to sorb to soil.

Breakthrough occurs in sand and decreases in coarse clays (Royal Society ofChemistry, UK).

Biological:

Salmonella Ames Assay test: No mutagenicity to strains TA98. TAIOO, TA1535and TA 1537 at a concentration of 1 ml/plate. Also non-inutagenic to strain WP-2uvrA- of E. Coli (US EPA/ITC, 1982).

Other:

Microbial metabolism probably involves oxidation of the sulphur and the aliphaticcarbons (US EPA/ITC, 1982).

Because of its low boiling point and low octanol water partition coefficient itshould not bioconcentrate.

Accident Prevention Eliminate all ignition sources (no smoking, flares, sparks or flames) in immediatearea.

Emergency Actions Block/mark roads and danger; keep upwind; warn cattlement/water managers;keep out of lower areas.

Use of water spray when fighting fire may be inefficient. Small fires: drychemical, C02, water spray or alcohol resistant foam.

Move containers away from fire area if it can be done without risk.

Prevent entry into waterways, sewers, basements or confined areas.

Absorb or cover with dry earth, sand or other non-combustible material andtransfer to containers.

Use clean non-sparking tools to collect adsorbed material.

Burn in a chemical incinerator equipped with an afterburner and scrubber but exertcare in igniting as this chemical is highly flammable.

Page 3

6N rmnh 1997. M/ap1d(ic

APPENDIX I

PUBLIC CONSULTATION DETAILS

APPENDIX 1: PUBLIC CONSULTATION DETAILS

APPENDIX I - PUBLIC CONSULTATION DETAILS

1 IMPLEMENTATION METHODOLOGY

Public consultation concerning the West Java gas pipeline distribution project will be as follows:

* Stage 1: General Consultation

* Stage 2: Special Consultation

Each consultation stage is now described in greater detail.

2.1 Stage 1: General Consultation

General consultation has been started by PGN at the local government level as part of the routineco-ordination meeting activities, which are usually organised by the Regent. These localgovernment meetings are used to discuss local development issues.

The first meeting was held in Karawang on the 1st September 1997. The minutes from thesemeeting are attached to the end of this Appendix.

2.2 Stage 2: Specific Consultation

The stage 2 Specific Consultation process is planned as follows:

1. PGN publishes the meetings via advertisements in local Indonesian newspapers. Theadvertisements allow sufficient time for all interested parties to attend. PGN also informs thelocal government offices (BAPPEDA, Pertanahan, Bina Marga, Perkeraan Umum) and otherlocal utility enterprises (PDAM, PLN, etc.) of the place, intended time and agenda of theproposed meetings. The letter shall be copied to the next two levels of local govemment i.e.the Camat (subdistrict head) and Lurah (village chief) for their information and action ifrequired.

2. PGN provides attendees of the public consultation meetings with reasonable travelling andsubsistence expenses. A per diem allowance will be set, dependent on the distances travelled.

3. The meeting agenda will be as follows:

* Introduction by Senior PGN employee.

* Description of Consultation Process and Stage 2 Procedures.

* PGN's Safety Record.

* Description of Project and PGN/GOI's Objectives.

* Description of Environmental Benefits of Project.1

A Nflmtr 1997. MIW.O


* Description of Er vironmental Impacts of Project.

* Outline of Construction Methods and Proposed Timetable.

* Description of Project Impact.

* Questions and Answers (questions were answered during the meeting if possible, oranswered in the meeting's official minutes).

* Closing Address.t

4. PGN will ensure thai capable staff minutes all meetings. Video recordings of thle meetingswill be produced. This ensures that an accurate record of the proceedings is available forreference in case of any dispute. Photographic records of the meetings will also be made andarchived by PGN.

PGN will form a small committee to deal with the issues arising from the public consultationprocess. The committee will consist of a Chairman, Secretary and a small number ofhelpers/assistants. This committee will formally log all incoming correspondence and beresponsible for communicating the necessary replies. PGN will set down standards for the timein which they will reply to queries, issues and problems identified by the public. To facilitate thecontact information, PGN will publicise contact telephone numbers and addresses.

2.3 Public Consullation Schedule

In accordance with the natural gas distribution pipe construction plan in West Java, therealisation of the public information will be around the third quarter of 1997. This will beexecuted on the Regency areas which will be passed by the distribution pipe network, i.e. inPurwakarta, Serang, Karawang and Cilegon. There will be two presentations per Regency.Specific consultation will be given closer to the time when the pipe construction is started, whichis estimated to be in the year 2001.

Table I gives PGN's intended schedule for stage I and 2 public consultation.

2

6 Nrnwemtr 1997. MIappi.dac

GAS DISTRIBUTION PIPELINE EA

Draft Final Rep


Table 1: PGN's Public Consultation Schedule for the Gas Distribution Project

'rype of A lendanfce Information Location Duration DATECoinsultation AE~I8IL oain (days)

1997 1998 1999 2000 2001Jul Aug | Sp ct Nov Dc _n | n

Stage I Local government *Market and Cilegon I - -

General Potential customer infrasiructure _Consultation in (he area development Serang I - -

* Distributionsystem operation Karawang I -

and maintenance __ _ __.-

*Environment Purwakarta I1. Specific People representative - Construction Along the 18Consultation in the area activilies pipeline ____

Local Government - Distribution routesystem operation -

Page

NowmW 1'r". Ms

LOGO' PT PERUSAHAAN GAS NEGARA (PERSERO)HEAD OFFICE

Dear Sir: The Director of Development Jakarta: 3 September 1997

From: The Headl of Planning Division

Subject: Public Consultation Report Annex:

Official Memo

No.: 099/065/7323/1997-09-11

Herewith we would like to report the execution of "Public Consultation" perfornance of PT.Perusahaan Gas Negara (Persero/Co Ltd) in Karawang City on 1 " September, 1997 asfollows:

Place: Data Room Pamda (Regional Government) KarawangJI. Jenderal A Yani (By Pass)

Participants: 39 local govemment representatives including BAPEDAL, as per list ofattendance

1. The materials wh ich was presented consisted of:

' Introduction to PT. PGN Perserow The history of Company Development

' Field of Businessr Organisationw Mission and Vision

1. Company Programs:

E Transmissior

Distribution

3. Natural Gas Utili sation Development Plan in West Java

4. Discussion/Question-Answer (enclosed)

From the discussion (question/Answer) carried out, it is concluded as the following:

It is necessary to do similar activity periodically in other regions in order for PT. PerusahaanGas Negara (Persero) to be more widely known, and its program could be enclosed in theregional RUTR concemed.

Discussion / Question-AnswerNo. Questioner Question Answer

I Drs. H. N. Aris 1. Is the installation of gas distribution pipes in West Java I. The execution of gas distribution pipe extcnsion is meant lo slartSunarna (Head of the extension of the available pipelines with pipe lines available, by paying attention to their capacity.Bappeda/RegionalDevelopment Bureau) When the time comes all gas pipe lines in West Java will he

integrated (connected to each other)2. Is it necessary to release the land for the pipe lines The natural gas distribution installed by PGN is located in DMK,

development? therefore it does not need land release.2. E.E. Supandi W (Head of I. How are the tolal resources of the available gas affected if it is If no new reserves are found, the continuous use of gas will

Environmental) used continuously? decrease the total available resources.2. How is the Quality Assurance of the usage of new gas If we distribute the gas from the ncw gas field, the gas must he

resources ? prior processed, hence the specification is in accordance withavailable gas specifications .

3. Priyatun (Head of Bank If the Industrial Estate needs gas, will there be a new pipeline The gas supplied by PON to its customers will he done by theJabar/West Java Branch) installation or will they use mobile tanks? distribution pipe lines.

4. Anggar B Why did PGN not install the pipe previously in the industrial At the moment almost all industrial estate data (estate objectives)(Head of Industry and Trade estate so that could be promoted? have already been collected by PGN and monitored constantly forOffice) its development.

The decision to install the gas pipes to an estate will he determiinedby the following factors:* Estate development* The gaso usage potential* The availability of sufficient gas supply.

Should there be some estate which will he developed. priority olpipe installation is prepared in this casc. The fast development andcloseness of existing lines will be made a priorily.

0 w- ~~~~~~~~~~~~~~~~~~~~~, 'p

Discussion / Question-Answer

No. Questioner Question A nswer5. Harun Firdaus (H-cad of I. tIow does PGN installiplace the pipe at locations where there The standard procedure of gas pipe installation is generally as

PDAM/Disiribution of are other utilities such as PDAM; electrical cable, telephone follows:Drinking Water Co) cables, etc. * Location survey

* Pipe tracing mapping* Co-ordination with related Regional Government and orFice.. Permits procession

! e~ ! .. . a ! v ' l.........This is so that the gas pipe is installed in the permitted location.

2. How is the regulation for the pipe installation close to or 2. The gas pipes installation must be in accordance to the companycrossing over the other facilities such as PDAM? Is it the same regulation (PT. PGN. Persero) enclosed in Drr. Wherte thewith the Pertamina pipes where the other facilities must be 4 working procedure is one where digging is already organised,metres over or below the Pertamina pipes. connecting, testing etc. In a certain condition, where in a hole

there is other facilities/utilities, therefore a technical regulationis made (as per condition), hence either the PGN pipe or olherutilities are safe, (not disturbing each other).

3. The Pertarnina pipe in its ROW has special regulations,therefore the other utility crossing the ROW mitst fulfil therequirements.

That is all that could be informed, thank you very much for your attention.

Head of Planning DivisionBambang BanyadoyoNIPG. 086581037

CC:1. General Director2. Head of PT. PGN (Persero) Jakarta Branch

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APPENDIX J

LIST OF PGN'S PROJECT COMMITMENTS

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APPENDIX J: PGN COMMITMENTS

I APPENDIX J - LIST OF PGN'S PROJECT COMMITMENTS

In the environmental assessment, the Consultant has made a number of suggestions. TheConsultant recommends the most important ones to be adopted as commitments by PGN. Theseare listed below. The contractors obligations are listed in detail, to ensure that all specificrecommendations from the assessment report are included, and also to serve as a checklist forcontractors in their development of S&E management systems.

I. Base pipeline design on the Indonesian Standard SPM 50.54.02 and the latest edition ofASME B31.8.

2. Undertake Quantitative Risk Analysis of the pipelines including offtake stations during theengineering phase as required by Indonesians standards. This in order to assess the level ofsafety risk from the operations and how the detailed design process can make safety risks aslow as reasonably practicable (ALARP), or negligible, e.g. through different route options. Ifthe QRA shows unacceptable risks, alternative routing or pipeline design will be selected.Minimum separation distances to occupied buildings will be established from the analyses.

3. Take precautions to prevent and limit spills of the odorant compound THT, including amaximum limit of 1 tonne THT stored at each site.

4. Mark the pipelines with frequent sign posting.

5. Install and operate a one call system to mitigate third party impacts.

6. Adopt the environmental management plan outlined in section 16 of the report.

7. Adopt the safety management plan outlined in section 16 of the report.

8. Strengthen the organisational environmental management and review developing an EMSaccording ISO 14001.

9. Evaluate establishing a small environmental department for managing institutionalenvironmental issues and affairs. Provide each environmental specialist with training, a welldefined role and opportunities for career development.

10. Instigate a review of the present safety management system.

I1. Develop an environmental policy and an environmental management system based onelements of ISO 14001 for the gas distribution project.

12. Create an environmental management function as part of the gas distribution project. Theenvironmental manager will report directly to the project manager.

13. Create and make known to the public a mechanism for receiving and take care of publicreactions.

14. Develop a safety policy for the gas distribution project. Review further development of thesafety management system for the gas distribution project, based on ISO 14001.

15. Create a safety management function as part of the gas distribution project organisation. Thesafety manager will report directly to the project manager.

16. Conduct scheduled inspection and maintenance manual according to the inspection andmaintenance manual.

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APPENDIX J: PGN COMM rTMENTS

17. Prepare emergency response plans and procedures dealing with accidental releases of gas andchemicals (e.g. THT). Carry out regular exercises in emergency response

18. Report environmental and safety non-conformance to the authorities

19. Adopt the environmental and safety monitoring programme detailed in the report (Section18)

20. Implement audits of environmental and safety performance and management

21. Carry out periodic top management reviews of environmental and safety perfonrance andmanagement

22. Implement public consultation on safety and environment according to the plan given inAppendix I.

23. Prepare a waste management plan to be followed by the contractors.

24. Prepare a land reinstatement plan to be followed by the contractors.

25. Audit the safety and environmental performance of the contractors.

26. Take on the respons.ibility that construction activities are conducted in a manner designed toreduce impact on local communities and businesses as far as reasonably practicable.

27. Establish a mechanism for encouraging good environmental and safety perforTnance by theContractors. A bonus system could be considered.

28. Include contractual clauses in PGN's contracts with contractors, placing obligatioiis on thecontractor to:

i. Establish all appropriate safety and environmental management systenm for this job.

ii. Comply with Indonesian safety and environmental regulations, as listed by PGN.

iii. Not discharge hydrotest water or contaminated trench water to agricultural land,including padi field fisheries.

iv. Not bury solid waste in the pipeline trench (excavated soil excluded).

v. Use appropriate measures such as water sprays to reduce dust emissions during dryconditions.

vi. Ensure good housekeeping

vii. Not discharge solid waste associated with bridge construction activities to riverwaters.

viii. Keep plani. and machinery in good condition and equipped with appropriatesilencers, sound absorbers and shields.

ix. Switch off niachinery when not in use.

x. Provide safe and unrestricted access to properties and businesses affected byconstruction activities.

xi. Provide roadside warnings and pedestrian walkways alongside pipeline constructionactivities.

xii. Reinstate land after the job is completed, according to plans prepared by PGN.

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APPENDIX J: PGN COMMITMENTS

xiii. Collect and dispose of hazardous wastes including oils according to regulations.

xiv. Place waste which has to be landfilled at appropriate sites.

xv. Recycle and reuse waste where possible.

xvi. Limit normal working hours in villages and urban areas in order to keep disturbanceat night and during holidays at a minimum.

xvii. Keep a log documenting how the contractual obligations are taken care of.

xviii. Accept inspection and audits of their operations by PGN.

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and dispose of hazardous wastes including oils according to regulations.

vaste which has to be landfilled at appropriate sites.

:e and reuse waste where possible.

- iorznal working hours in villages and urban areas in order to keep disturbnt and during holidays at a minimum.

-_a log documenting how the contractual obligations are taken care of.

.nt inspection and audits of their operations by PGN.

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Documents

World Bank Documentdocuments.worldbank.org/curated/pt/375121468752787089/pdf/multi... · The EA has been carried out by Det Norske Veritas AS and PT Elnusa Ehaesindo. The gas distribution