Presentation For the Moldova Safeguards Training Workshop October 28-31, 2008

1. Relationship between World Bank and national Environmental Assessment requirements The Case of Moldova By Victor B. Loksha Consultant Europe and Central Asia Region The World Bank Presentation For the Moldova Safeguards Training Workshop October 28-31, 2008

2. Regulations on EIA/SEE in ECA countries • Environmental Impact Assessment (EIA) systems of many Europe and Central Asia (ECA) countries have common roots and are similar • In a large group of countries, including Moldova, the EIA systems are based on the state ecological “expertise” (review) system (SEE) developed in Soviet times • The screening procedures are typically weak leading to arbitrary treatment of projects: • No clear criteria for what kind of activities need to be subject to SEE, so practically all projects with even very minor impacts must undergo SEE • At the same time, in some countries (including Moldova) the requirement of EIA (or “full EIA”) is applied only to very high environmental impact projects

3. ECA traditional approach to EIA • Detailed (final) EIA is available only after the engineering design phase is completed • Final EIA is often based on complex models: • Analysis of project activity in combination with background environmental quality is usually required • The cumulative concentration is compared with maximum allowable concentrations (e.g., of air pollutants) • Standard computer models developed by the State Hydrometeorological Service must be used for this

4. ECA traditional approach to EIA (cont’d) • SEE approves the project twice: • At the stage of feasibility study • At the stage of detailed design documentation • The environmental protection plan (EPP) is part of the detailed design documentation

5. EIA and Project Cycle: Standard Practice in Many ECA Countries Preparation Final EIA, including the mitigation measures (EPP) Planning/Feasibility Environmental Permit Project Identification Operation Supervision of Construction/Implementation Monitoring Preliminary Environmental Impact Assessment Construction Permit Detailed Design

6. Moldovan Regulations on EIA/SEE • EIA (“OVOS”) in Moldova is regulated by two laws and a series of regulations and guidelines: • The Law on Protection of the Environment: No. 1515-XII, 1993 with amendments • Other laws and regulations: • Law on SEE and EIA (1996) • Regulation on Environmental Audit of Enterprises (1998) • Regulation on Public Participation in Decision Making (2000) • Resolution on the Approval of the Instruction for Organization and Implementation of the SEE No. 188 approved 10.09.2002 • Moldova is a party to the Espoo Convention on EIA in a transboundary context

7. Institutions in charge of SEE/EIA in Moldova • The Ministry of Ecology and Natural Resources is the institution responsible for EIA • The Ministry has an Ecological Inspectorate which includes a special division on State Ecological Expertise • For particularly complicated projects that require a full EIA, the Pollution Prevention Division from the Ministry’s central body is in charge of reviewing the EIA

8. Moldovan Government regulations /1/ require that: • EIA documentation is developed at early planning stage • EIA is a mandatory part of planning and project documentation (PPD) • Note: Literal applicability of this norm can be problematic since most projects reviewed by SEE do not require an EIA per se (“full EIA”) • PPD must contain a section on environmental protection • Positive decision of the SEE is required to start preparation of the environment section of PPD • /1/ Resolution on the Approval of the Instruction for Organization and Implementation of the SEE, №. 188, approved 10.09.2002; published in Monitorul Oficial № 014 on 07.02.2003

9. Moldovan vs the Bank’s EMP requirements • Moldovan Environmental Law has no provision for preparation of an Environmental Management Plan (EMP)per se • Moldovan legal and regulatory framework does have provisions for an Environmental Protection Plan (EPP) • EPP defines the mitigation measures based on EIA • EPP is integrated into project development cycle: • Technical solutions presented to SEE must be substantiated on the basis of environmental impact reduction… • The documentation presented to SEE must contain sufficient and well substantiated environmental protection measures to ensure environmental safety for the entire project cycle • Resolution on the Approval of the Instruction for Organization and Implementation of the SEE, №. 188, approved 10.09.2002; published in Monitorul Oficial № 014 on 07.02.2003

10. Moldovan environmental mitigation requirements • The Government regulations (Instructions) specify types of environmental protection measures required for each environmental media • E.g., the project documentation must contain the following information on water resources management: • Measures for coastal zone management • Measures for riverine and estuarine management • Measures for sediment management • Measures for possible accidents in water supply and wastewater management • Measures for fish protection • Measures to reduce water consumption

11. Moldovan environmental mitigation requirements (cont’d): • The project documentation must contain the following information on air quality management: • Technological measures: • Filter and scrubber equipment • Dispersion enhancement • Reduction of fugitive emissions • Planning measures: • Siting of residential and industrial objects according to the prevailing wind direction • Allowing for a sanitary protection zone supported by calculations and adjusted to wind direction and buffer zone allocation

12. Moldovan environmental mitigation requirements (cont’d): • The project documentation must contain the following information on waste management: • Measures for protection from waste pollution • Utilization / burial of industrial wastes in specially designated sites • The project documentation must contain the following information on protection of flora and fauna: • Measures (e.g., revegetation) for protection of soils, water and air sheds envisaged in the PPD as measures to protect the genetic fund of plants and animals

13. Moldovan vs the Bank’s EMP requirements • Differences in scope of the Bank’s typical EMP and Moldovan environmental action plan – how significant are the differences? • Legal status: the Bank’s EMP is legally binding • Provision on EMP in the Loan Agreement • Different process for arriving at mitigation measures: • The Bank’s EMP is derived from EIA study • The Moldovan EPP is also based EIA but the Government regulations/instructions also contain lists of required types of mitigation measures • Different timing: • The Bank requires EIA/EMP earlier in the process • This allows for better disclosure • Different scope and content of EMP vs EPP

14. The Moldovan EPP is mostly limited to this What is typically included in the Bank standard EMP? • A brief project description • Mitigation or pollution control plan • Including responsibilities and costs • Monitoring requirements • Including responsibilities and costs • Institutional arrangements to be used to implement the EMP • Responsibilities • Institutional strengthening (training) arrangements • Reporting requirements • Schedules • Public consultation summary (minutes of meetings with affected groups and stakeholders, etc.).

15. What are the implications? • When the country has no provision for a legally binding EMP: • Environmental mitigation measures are more difficult to enforce • When monitoring plan is not included: • The effectiveness of mitigation measures cannot be assessed • When institutional responsibilities are not assigned: • It is difficult to ensure accountability, monitor compliance, or reward good performance • When costs are not estimated: • It is less likely that the mitigation measures will be adequately financed • When public consultation is not documented: • It is less likely that consultation will be timely and adequate

16. Concluding remarks on EMP • There are no legal obstacles for expanding the Moldovan EPP to the World Bank’s EMP • How to do this? • Expand the scope of the Moldovan EPP to include: • Clearly assigned responsibilities • Monitoring requirements • Cost estimates • Training requirements • Public consultation requirements • The practical implementation of such an expanded EPP/EMP will remain a challenge… • … but the interests of the environment will be better served

17. Other aspects of environmental legislation/regulation in Moldova Moldova has “made visible progress in adopting new legislation but issues of compliance and enforcement will undoubtedly arise...” Environmental Impact Assessment Systems in Europe and Central Asia Countries. The World Bank, 2002

18. Other aspects of environmental legislation/regulation in Moldova (cont’d) Areas of good progress made in Moldova: • Analysis of alternatives • Strategic Environmental Assessment • Implementation monitoring: • Requirement in the law for environmental authorities to monitor implementation of SEE and/or compliance with EIA requirements • Public participation • Moldova is a party to the Aarhus Convention • Moldova’s Regulations on Public Participation in Environment Decision-Making introduced in 2000 are best practice in NIS countries

19. Thank You!