Validation of the Implementation and y Adequateness of the … · 2019-11-13 · Panama Canal...

FINAL REPORT

Panama Canal Authority

Validation of the Implementation and y Adequateness of the Mitigation Measures for the Panama Canal Expansion Program - Third Set of Locks Project

Environmental Resources Management World Trade Center, Piso 1 Área Comercial

Marbella, Calle 53

FINAL REPORT

Panama Canal Authority

Validation of the Implementation and y Adequateness of the Mitigation Measures for the Panama Canal Expansion Program - Third Set of Locks Project:

ERM Mid-Year Report 001

December 2008

ERM Project: 0091551

Environmental Resources Management World Trade Center

1st Floor, Commercial Area Marbella, Calle 53

TABLE OF CONTENTS

ACRONYMS 5

EXECUTIVE SUMMARY 7

1 IDENTIFIYING THE PROMOTER 9

2 INTRODUCTION 10

3 CANAL EXPANSION PROGRAM - BACKGROUND 11

4 OBJETIVE, SCOPE OF WORK AND METHODOLOGICAL ASPECTS 13

4.1 PURPOSE OF THE REPORT 13

4.2 SCOPE OF WORK 13

4.3 METHODOLOGICAL ASPECTS 16

5 VALIDATION OF SOCIAL AND ENVIRONMENTAL REQUIREMENTS OF THE PROJECT 18

5.1 DRY EXCAVATION OF THE PACIFIC ACCESS CHANNEL 18

FIGURE 5-1: DRY EXCAVATION OF PACIFIC ACCESS CHANNEL PROJECT PHASES. SOURCE ACP 18

5.1.1 Compliance Observations 20 5.1.1.1. Mitigation Plan Mesures 20 5.1.1.1.1. Water Quality, Noise and Vibrations Program 20 5.1.1.1.2. Soil Portection Program 21 5.1.1.1.3. Conservation of Water Resources Program 22 5.1.1.1.4. Wildlife and Flora Portection Program 22 5.1.1.1.5. Waste Management Program 25 5.1.1.1.6. Residue Management Program 26 5.1.1.1.7. Socioeconomic and Culturla Program 27 5.1.1.2. Monitoring Plan 30 5.1.1.2.1. Water Quality Monitoring 30 5.1.1.2.2. Noise Monitoring 31 5.1.1.2.3. Vibrations Monitoring 31 5.1.1.2.4. Soil Monitoring 32 5.1.1.2.5. Water Quality and Sediment Monitoring 32

5.2 WIDENING AND DEEPENING OF THE GATUN LAKE NAVEGATION CHANNEL AND CULEBRA 57

ENVIRONMENTAL RESOURCES MANAGEMENT AUTORIDAD DEL CANAL DE PANAMÁ DIC. 2008

i

TABLE OF CONTENTS

5.2.1 Compliance Observations 57 5.2.1.1. Mitigation Plan Measures 58 5.2.1.1.1. Air, Noise and Vibrations Quality Control Program 58 5.2.1.1.2. Soil Protection Program 58 5.2.1.1.3. Water Resources Protection Program 58 5.2.1.1.4. Flora and Fauna Protection Program 59 5.2.1.1.5. Waste Management Program 59 5.2.1.1.6. Material Management Program 59 5.2.1.1.7. Socioeconomic and Cultural Program 60 5.2.1.2. Monitoring Plan 61 5.2.1.2.1. Air Quality Monitoring 61 5.2.1.2.2. Noise Monitoring 61 5.2.1.2.3. Vibration Monitoring 62 5.2.1.2.4. Soil Monitoring 62 5.2.1.2.5. Water and Sediment Quality Program 62

5.3 WIDENING AND DEEPENING OF THE PACIFIC MARITME ACCESS CHANNEL 76 5.4 COMPLIANCE OBSERVATIONS 76 5.4.1 Mitigation Measures Plan 77 5.4.1.1 Air, Noise and Vibration Quality Control Program 77 5.4.1.2 Soil Protection Program 77 5.4.1.3 Water Resourcer Protection Program 77 5.4.1.4 Flora and Fauna Protection Program 78 5.4.1.5 Waste Management Program 78 5.4.1.6 Materials Management Program 79 5.4.1.7 Socioeconomic and Cultural Program 79 5.4.2 Monitoring Plan 80 5.4.1.2.1 Air Quality Monitoring 80 5.4.1.2.2 Noise Monitoring 80 5.4.1.2.3 Vibration Monitoring 80 5.4.1.2.4 Soil Monitoring 80 5.4.1.2.5 Water and Sediment Quality Monitoring 80

5.5 DEEPENING AND WIDENING OF THE ATLANTIC ENTRANCE 88

5.6 ELEVATION TO THE MAXIMUM LEVEL OF GATUN LAKE 88

5.7 DESIGN AND CONSTRUCTION OF THE POSPANAMAX LOCKS 88

5.8 REQUIREMENT REVISION OF RESOLUTION DIEORA IA-632-2007 ANAM 89

6. CONCLUSIONS 90


ii

TABLE OF CONTENTS

Annex 4-1, List of Documents Revised

Annex 4-2, List of Interviewed Individuals

Annex 4-3, Resolution DIEORA IA 632-2007 dated 9 November, 2007

Annex 4-4, Requirements Log

Annex 4-5, Phone Calls Log

Annex 5-1, Machinery Maintenance Logs

Annex 5-2, Photos

Annex 5-3, Portable Latrines Maintenance Logs

Annex 5-4, Safety Equipment Delivery Logs

Annex 5-5, Blasting Operations Plan

Annex 5-6, Hydro seeding and Production Control Log Developer by GRASSTECH

Annex 5-7, Ecologic Compensation Payments Log

Annex 5-8, Wild Life Rescues Log

Annex 5-9, Report on Waste Disposal Operations Conducted on Patacon Hill Dump Site

Annex 5-10, JCG Associates Work Order

Annex 5-11, Report on Environmental Noise Assay for PAC 1

Annex 5-12, Report on Environmental Noise Assay for PAC 2

Annex 5-13, Chemical Analysis of Natural Superficial Waters Report

Annex 5-14, Ecologic Compensation Payments Log

Annex 5-15, Authorization Note for the Wild Life Rescue and Relocation Plan

Annex 5-16, Report on the Noise Levels Evaluation for the Mindi Cutter Suction Dredge

Annex 5-17, Air Pollution Prevention Certificates for Dredging International’s Vessel

Annex 5-18, Handling Fauna Training Program

Annex 5-19, Results from Marine Water and Sediment Analyses


iii

TABLE OF CONTENTS

Annex 5-20, Air Quality Monitoring in Panama Canal Areas

FIGURES ANNEX

Figure 5-2, PAC 1 Work Site

Figure 5-3, PAC 2 Work Site

LIST OF TABLES

Table 1 - Inspections Schedule

LIST OF FIGURES

Figure 3-1: Executive Chronogram of Major Projects under the Expansion Program. Eighth Quarterly Advance Report on Canal Expansion Program Contracts

Figure 5-1: Excavation of Pacific Access Channel Project Phases


iv

ACRONYMS

ACP Panama Canal Authority

ANAM National Environmental Authority

APPC Pan American Association for Conservation

PAC 1 Pacific Access Channel Phase 1



CUSA Constructora Urbana, S.A.

D.E. Decreto Ejecutivo (Executive Order)

DECASA Desarrollo Ecológicos y Ambientales, S.A.

DGNTI Dirección General de Normas y Tecnología Industrial (General Bureau of Industrial Standards and Technology)

DI Dredging International

DIEORA Dirección de Evaluación y Ordenamiento Ambiental (Environmental Evaluation and Organization Bureau)

DIMAUD Dirección Municipal de Aseo Urbano y Domiciliario (Municipal Bureau of City and Residential Sanitation)

ERM Environmental Resources Management

EsIA Estudios de Impacto Ambiental (Environmental Impact Studies - EIA)

ETESA Empresa de Transmisión Eléctrica, S.A.

IDAAN Instituto de Acueductos y Alcantarillados Nacionales (National Institute of Aqueducts and Sewage Systems)

PMA Programa de Manejo Ambiental (Environmental Management Plan)


5

PNCC Parque Nacional Camino de Cruces (Las Cruces National Park)

IARM Sección de Manejo y Seguimiento Ambiental (Environmental Management and Follow-up Branch)

USDA United States Department of Agriculture


6

EXECUTIVE SUMMARY

This report describes the degree of compliance with, implementation and effectiveness of the mitigation measures implemented during the six-month period from May through October 2008. All validation tasks were carried out by Environmental Resources Management (ERM) under contract with ACP. The contents of this report is based on the revision of documentation provided by ACP, as well as on validation visits and interviews conducted during the months of September through November 2008, after the above mentioned contract was awarded in September 2008.

The information submitted by ACP includes the Environmental Management Plans (PMAs), which are part of the Environmental Impact Studies (EsIAs), the Resolutions by the National Environmental Authority (ANAM) authorizing the execution of the Project, the validation documents regarding working equipments active at present (contractors and ACP units), as well as documents from the Environmental Management and Follow-up Branch (IARM). These validation tasks included revising the contractors’ environmental follow-up reports, communications with the residents of the area, monitoring plans, receipts of ecologic compensation payments, reforestation contracts, mitigation actions, and training logs related to contractors and ACP personnel.

Activities currently underway correspond to Phases 1 and 2 of the Excavation of the Pacific Access Channel (PAC-1 and PAC-2), the Widening and Deepening of the Pacific Approach Channel, and activities related to the Widening and Deepening of Gatun Lake’s Navigational Channel and the Widening and Deepening of the Culebra Cut.

The report is organized by grouping the main components of the project in sections; that is to say, all works related to the excavation of the Pacific access channel are described in the same section, followed by all activities related to the widening and deepening of Gatun Lake and the Culebra Cut and, finally, all works associated with the widening and deepening of the Pacific approach channel. Each component’s description is includes a compliance matrix.

Components such as the design and construction of the locks, the dredging of the Atlantic approach channel, and the increase of Gatun Lake’s maximum operational level, which are still pending for execution, are mentioned in a general way on the report, indicating their current status.


7

Components such as the Movement and Leveling of Cartagena Hill (PAC-1) and the Widening and Deepening of the Panama Canal Pacific Approach Channel (Pacific Dredging), for which environmental impact studies were submitted prior to the Category III EsIA for in order to advance with the works, are evaluated based on Chapter 8 of the Category III EsIA for the Panama Canal Expansion Program - Third Set of Locks Project, given that said chapter includes all of the aspects that would be applied to either one of these components of the Expansion Project. Should there be any particular difference between the Category III EsIA and the other two Category II EsIAs, such difference is specifically mentioned herein

Based on the analysis of the methodology used for the reports submitted by PES prior to this report, ERM has decided to introduce two revisions to such methodology in order to enhance the report’s degree of accuracy.

Regarding the compliance with the proposed mitigation measures and the tasks associated to their follow-up, control and monitoring, ERM observed the following: all fauna rescue and relocation, revegetation, and reforestation plans have been successfully implemented. Additionally, interactions with the communities that might be affected by the project have been handled in a satisfactory manner.

On the other hand, indicated on the report are specific areas that should be looked into due to weaknesses observed both in the PAC-1 and PAC-2 (mainly those activities related to handling fuels and lubricants).

Also, ERM observed that the pilot dredging test within the Widening and Deepening of the Pacific Approach Channel component-conducted by Dredging International (DI)-was carried out prior to ANAM’s authorization of the Fauna Rescue and Relocation Plan for the Farfan Area Disposal Site.

The ACP personnel that assisted with the validation visits showed a high competency level and provided valuable information on the different activities and phases of the projects underway. ACP did not limit access to any source of information whatsoever and allowed ERM to review all the available information that ERM deemed relevant to the validation tasks. The staff of the contractors who were responsible for the environmental, health and safety areas also provided detailed information on their activities and did not restrict access to such information in any way whatsoever.


8

1 IDENTIFIYING THE PROMOTER

The promoter of this project is the Panama Canal Authority (ACP), an autonomous agency of the Panamanian Government, created by way of the Political Constitution of the Republic of Panama and organized under Act 19 of June 11, 1997. ACP is the entity responsible for promoting the execution of the mitigation measures described on the environmental management plans (PMAs) included in the environmental impact studies. Below is the general information on ACP: Promoter: Panama Canal Authority Location: ACP Administration Building, Altos de Balboa, Ancón, Panamá. Legal Representative: Mr. Alberto Alemán Zubieta Personal Identity Card: 8-404-837 Web Page: www.pancanal.com Contact person: Daniel Muschett Manager Environmental Management and Follow-up Branch (IARM) Phone number: (507) 276-1295 Fax number: (507) 276-1291 E-mail address: [email protected]


9

http://www.pancanal.com/

mailto:[email protected]

2 INTRODUCTION

This report presents the results of ERM inspections related to the implementation and effectiveness of the environmental impact mitigation measures for the Panama Canal Expansion Program (the Project), taken by ACP and their contractors during the months of May through October 2008. The first visits conducted by ERM’s technical team in coordination with IARM staff, took place in September 2008 and their purpose was to survey soil conditions in the different Panama Canal Expansion Project work sites and to develop a chronogram for validation tasks. Validation activities initiated on November 11, 2008 with a meeting between ERM and key follow-up personnel designated by IARM, a branch of the Resource Planning and Project Controls Division of the Engineering and Program Administration Department of ACP.

The issues discussed during this meeting included the formats and contents of the validation report, and the field inspections schedule. Validation visits to the different work sites were conducted between November 12 and 14, 2008. Several additional meetings were held with IARM’s manager and employees to discuss major observations, the structure of the report, and work plans.


10

3 CANAL EXPANSION PROGRAM - BACKGROUND

Through the construction of a third set of locks, the purpose of the Project is to guarantee that the Canal continues to be a competitive and growing business, able to take care of the future demand for its services, and to ensure that the Canal’s contributions to the Nation continue to grow and be sustainable in the long term, as well as that the waterway keeps its place as the cornerstone of the country’s maritime development. The main function of the new locks is to allow larger vessels to use the Canal. The Project, which was approved by popular vote in a national referendum conducted in 2006, started the construction activities in September 2007.

The works proposed constitute an integrated Canal PACacity expansion program; its three main components include: (1) the construction of two locks facilities with three chambers or steps, and three water reutilization basins for each of these steps; (2) the excavation of new access channels to the locks and the widening and deepening of existing navigational channels; and (3) the elevation of Gatun Lake’s maximum operational level by approximately 0.45m (1.5’)-which will increase the current 26.7m (87.5’) PLD level to 27.1m (89’) PLD. Figure 3-1 shows the progress of the different activities that this Project involves as of September 30, 2008.


11

The environmental studies, which included an extensive analysis of alternatives, were performed throughout several years and ended with the preparation and approval in 2007 of the Category III EsIA. ANAM approved said study by way of Resolution DIEORA IA - 632-2007, and authorized that the Project be executed. Panama’s environmental regulations require the socio-environmental mitigation measures included in the Category III EsIA and additional terms included directly the above-mentioned resolution, to be compulsory.

In order to document that these requirements are duly fulfilled, ACP has incorporated special clauses in the contracts that it enters into with specialized firms for the execution of all relevant works. These clauses are meant to provide for the compulsory compliance with and documentation of the environmental measures by the contractors. Additionally, ACP has established a socio-environmental overview system implemented by IARM, and contracted ERM Panama, S. A. to prepare mid-year reports on the application and effectiveness of the mitigation measures contained in the PMA and the corresponding resolution authorizing the EsIA.


12

4 OBJETIVE, SCOPE OF WORK AND METHODOLOGICAL ASPECTS

4.1 PURPOSE OF THE REPORT

The prime objective of this report is to provide information on the validation of the Application and Effectiveness of the Mitigation Measures established to guarantee the socio-environmental viability of the Project’s developing process for the six-month period ending December 2008. These measures include both those container in the PMA and those in the paragraph where the decision to authorize the EsIA of the Project works is established. The relevant validation activities are based on the review of the compliance reports, including plans and programs submitted by those contractors responsible for developing ACP works, reports by ACP, interviews with ACP personnel and Contractors, as well as visits to Project work sites to confirm the information received. Annex 4-1 presents a list of all documents reviewed to prepare this report, while Annex 4-2 shows a list of the individuals interviewed during the field inspection and working meetings. All mitigation measures implemented to this moment are related to the Project construction phase.

4.2 SCOPE OF WORK

To prepare this report, the included information’s closing date is October 31, 2008. For work scheduling purposes, it is assumed that future reports will maintain a similar structure and therefore the information’s cutting date for the mid-year report will be two months before the calendar-semester ends. To the effect of unifying all the reports and the contract’s startup, this first report will cover five months of activity; and the next report will continue as from where the first one ended and record the next six months of activity. Regarding the Project reference documents, it is worth mentioning that ACP advanced the performance of the environmental evaluations for some of the partial components of the Project, which were submitted to ANAM through separate environmental impact studies. The studies submitted to ANAM include the following:

• Category II Environmental Impact Study - Land Movement and Leveling of Cartagena Hill.

• Category II Environmental Impact Study – Widening and Deepening of the Pacific Approach Channel.

• Category I Environmental Impact Study - T6 Site Preparation Project;


13


14

• Category I Environmental Impact Study - Construction of Field Offices and Telecommunications Antenna; and

• Category I Environmental Impact Study - Construction of the Gatun Yacht Club - Gatun Locks.

In order to standardize the implementation of the requirements included in the PMAs and facilitate the subsequent validation of the mitigation measures, ACP agreed with ANAM that the evaluation of the compliance of all the components of the Expansion Project currently underway1 be pursuant to the PMA of the Category III EsIA-inasmuch the mitigation measures in the Category II study are also included in it. According to two Aide Memoirs dated August 26 and October 23, 2008, respectively, ACP informed ANAM of the use of the PMA included in the Category III EsIA to be used as reference for environmental compliance for all the components of the Canal Expansion (See Annex 4-3, Meetings Aide Memoirs).

For that reason, the Category III PMA was used to validate the environmental compliance for the different Project components, together with Resolution DIEORA IA 632-2007 of November 9, 2007 (See Annex 4-4).

ERM’s technical team that participated in the validating meetings held in November 2008 included the following: Dr. Andrés Meglioli – Project Director, Mr. Eduardo Cedeño, Manager, ERM Panamá, S.A., and Dr. Rene Ledesma, specialist in natural resources management. Additionally, Mr. José Miguel Guevara participated in the visits to the San Pablo Reach and the Cutter Suction Dredge Mindi, conducted on Thursday, November 13.

In summary, the work developed by ERM to prepare this report included:

Survey visit to the Project influential areas during the September 22-26, 2008 week.

Reading and review of relevant reports and documents (see the list on

Annex 4-1). Prior to visiting undergoing projects, ERM’s technical team conducted a thorough review of the monthly reports submitted

1 Except for the Final Report on the project related to the construction of field offices and the Gatun Yacht Club-Gatun Locks Road, which will be reported separately by PES because they are already finished.

by the contractors and their environmental experts. The reviewed monthly reports were delivered during the evaluation period (See Annex 4-1).

• In order to identify all implementation measures applicable to the

requirements under the PMA, ERM prepared a commitments log related to Chapter 8 of the Category III EsIA (See Annex 4-5).

• Review of the entire phone calls and e-mails log for phone number

800-0714 and e-mail address [email protected] installed by ACP to receive complaints, reports, and requests for information. Implementing this mechanism is considered important to document complaints and concerns expressed by the communities affected by the expansion works (See Annex 4-6).

• Meeting held on Tuesday, November 11, 2008 between the members

of the ERM team and IARM’s (from the Engineering and Programs Administration Department of ACP) prior to conducting the field visit for the purposes of extensively discuss the logistical requirements for visiting the Project influential areas and corroborate PMA implementation, define the scope of work, and introduce the report’s methodology and contents.

• Field visits to inspect the effectiveness of the implementation of the

PMA, and the plans and programs included therein, and to interview the Contractors and ACP staff who are responsible for executing the mitigation measures. The projects were inspected according to the following schedule:

Table 1 - Schedule of Inspections

Date Project

Wednesday, November 12, 2008, from 8:30am to 5:00pm

• Dredging of the Pacific Approach Navigational Channels. Dredging International de Panamá, SA

• Excavation of the Pacific Access Channel Phase 2. CILSA-Minera María

• Excavation of the Pacific Access Channel Phase 1 Constructora Urbana, S.A

Thursday, November 13, 2008, from 8:30am to 5:00pm

• Widening and Deepening of Gatun Lake and the Culebra Cut. Dredging Division - Panama Canal Authority and External Contractors.

• Camino de Cruces National Park. Native Species Reforestation Project - Ecologic Compensation of the Canal Expansion Program

Friday, November 14, 2008, from 8:30am to 5:00pm

• Excavation of the Pacific Access Channel Phase 2. CILSA-Minera María.

• Observation of the construction works to divert the Cocoli River.


15


4.3 METHODOLOGICAL ASPECTS

Based on the analysis of the methodology used to collect the information and prepare the monthly reports on the mitigation measures related to PAC-1 and PAC-2, ERM has decided to introduce two modifications to the methodology used by PES to submit the mid-year validation reports of the expansion project to ANAM. The purpose of these changes is to increase the report’s degree of accuracy; below is a summary of the proposed modifications to the methodology used:

• Adding a column to indicate Non Applicable (NA) measures.

Relevant explanations on why each measure is not applicable are included in the Comments column of the matrix.

• ERM has decided not to include a quantitative summary with the

general percentage of compliance with the implementing the mitigation measures. Prior to this the complying and non-complying measures were added and then a percentage was estimated.

This change will help to prevent that the PMA evaluation compliance be biased since when compliance estimates are made based on a simple average-given that the PMA does not have a weighting coefficient considering the importance of the measure, the correct way to proceed is to verify whether the measure is implemented or not and report its effectiveness through the Validation List and the observation of the implementation.

The methodology used to validate mitigation measures related to tasks performed by Dredging International in the widening and deepening of the Pacific approach, and the tasks related to the widening and deepening of Gatun Lake and the Culebra Cut performed by ACP’s Dredging Division, is similar to that used for PAC-1 and PAC-2; in other words, compliance matrixes have also been prepared in these cases. However, contrary to PAC-1 and PAC-2, dredging and deepening activities have just begun and are more specific tasks involving less activities and, therefore, the number of mitigation measures to apply is lower.

On the other hand, this compliance matrix only indicates those mitigation measures that are applicable today or would be applicable during some other phase of the component under evaluation, due to its particular nature.


16

Finally, in order to facilitate reading and evaluating the mitigation measures that have been implemented, the next section of this report presents each of the components of the Canal expansion works. Among these, because they are currently underway, the ones that stand out are the excavation works (PAC-1 and PAC-2), the operations to widen and deepen the Pacific approach, and the activities to widen and deepen Gatun Lake and the Culebra Cut. Each of these sections includes a mitigation measures compliance matrix.

Validation of the mitigation measures for the locks design and build, the widening and deepening of the Atlantic approach, the elevation of Gatun Lake’s maximum operational level, and the excavation of the Pacific access channel Phases 3 and 4 (PAC-3 and PAC-4) will be added to mid-year reports once the physical works associated to said components begin.


17


18

5 VALIDATION OF SOCIAL AND ENVIRONMENTAL REQUIREMENTS OF THE PROJECT

This section describes the compliance status of mitigation measures applicable to each project component. As described previously, each component is described independently and has its own compliance matrix.

5.1 DRY EXCAVATION OF THE PACIFIC ACCESS CHANNEL

The project consists on the dry excavation of 46 million m3 of material. This Panama Canal Expansion Project component is developed by phases or steps, and at present PAC 1 and PAC 2 phases are operative which are described in a summarized form below (Refer to Figure 5-1).

Excavación del Cause de Acceso del Pacífico 46M m3 de excavación seca

Excavación del Cause de Acceso del Pacífico 46M m3 de excavación seca

CAP 4CAP 4

CAP 2CAP 2

CAP 3CAP 3

CAP 1CAP 1

4+675 5+175 5+675 6+175 6+675 7+1753+175 3+675 4+1752+6752+1751+6751+1750+6750+175

ELEV

ACIO

NEL

EVAC

ION

140

- 40

- 10

20

50

80

110

140

- 40

- 10

20

50

80

110

CAP-2CAP-2CAP-4CAP-4

CAP-1CAP-1

CAP 3CAP 3

Fuente: Autoridad del Canal de Panamá.

FIGURE 5-1: DRY EXCAVATION OF PACIFIC ACCESS CHANNEL PROJECT PHASES. SOURCE ACP.

Regarding the PAC 1, the project executing company is Constructora Urbana, S.A. (CUSA); the contract was awarded on July 17th, 2007, and it is anticipated the project ending by January, 2010. Works consist on the

excavation of 7.4 million cubic meters from Cartagena Hill along 1,030 meters, between 1K+250 and 2K+280 stations. Construct a platform at 46m PLD with an average long and width of 740m by 280m; and a platform at 27.5m PLD of 280m by 140m. The contract includes the relocation of 3.8 kilometers of the Borinquen road, of two ways, and the cleanup of approximately 146 hectares of areas contaminated with munitions and explosives of consideration within the excavated disposal area T6 for the disposal of excavated material, the latter already concluded (Refer to Figure 5-2, Appendix of Figures, Working Area of PAC 1).

During 2008 third trimester, the contractor removed close to 1 million cubic meters of non classified material from Paraiso hill, totalizing at present a cumulated volume of 4.6 million cubic meters; the Borinquen road construction activities reflect a 46% progress.

On the other hand, the company responsible for PAC 2 is CILSA-Minera María, the contract award date was November 27th, 2007, and it is anticipated that the work will be complete in October of 2009. This is the second phase of the new Pacific Access Channel excavation. It consists on the excavation of 7.5 millions cubic meters of the new channel along 2,440 meters. In addition, the project contemplates the construction of 1.5 Km. of the Borinquen road phase 2, the construction of Cocoli river diversion channel of approximately 3.5 Km., the demolition of the existing bridge over the Cocoli river, the construction of a new crossing over the diversion channel with piles, the construction of rock dikes and retention dikes, the construction of the new alignment of the electrical line, and the removal and / or relocation of electrical utilities, communication lines, water lines, sanitary lines, ducts, and sewage services, etc. (Refer to Figure 5-3, Appendix of Figures, PAC 2 Working Area).

During 2008 third trimester, the consortium CILSA-Minera María removed approximately 1.2 million cubic meters of non classified material. Activities of gabions installation, demolition, removal and miscellaneous relocations were performed. Works of the new bridge over Bruja road, the new electrical line alignment, and the dry excavation, removal and non classified material disposal on the north zone were performed. Works on the Cocoli river diversion channel has continued with the hydroseeding and blankets placement as a measure for erosion mitigation and control at different project areas.


19

5.1.1 Compliance Observations

The following section summarizes the compliance status, by the promoter and the works contractors, of the PMA mitigation measures. At the end of the section, a compliance matrix is presented which illustrates in detail the mitigation measures following a comply or not comply format, and those observations and/or activities performed for the mitigation measures implementation. As previously discussed, a column is incorporated for measures considered as not applicable, this means those that have not been executed or implemented as the activity which generates the impact or the phase for which the measure corresponds have not been executed.

5.1.1.1. Mitigation Plan Measures

5.1.1.1.1. Water Quality, Noise and Vibrations Program

At this report elaboration date, the project is in compliance with all the applicable mitigation measures for air quality, noise and vibrations control (Refer to the Environmental Compliance Matrix, at the end of this section).

In relation to the air quality control measures, the implementation of the machinery maintenance program was verified (Refer to Appendix 5-1, Machinery Maintenance Registry); for this purpose, CILSA, contractor for PAC 2, has constructed a temporary maintenance workshop (Refer to Appendix 5-2, Photographs, Photo 1). On the other hand, the equipment and machinery have technical specifications for emissions control, exhaust system, and filters in good conditions. In relation to measures to prevent dust dispersion (particulate matter) working areas are kept in moist conditions as required (Refer to Appendix 5-2, Photographs, Photo 2), velocity is controlled, and wastes are not incinerated or burned in working areas.

CUSA, PAC 1 contractor, through CARDOZE & LINDO, performs all the projects machinery preventive maintenance, monthly follow up reports presented by the contractor includes the vehicular and equipment preventive maintenance registry for 250, 500, 1000, 2000, 3000 y 6000 hours of use, which are attached to this report (Refer to Appendix 5-1, Machinery Maintenance Registry).

At present, there have been no complaints reported of bad odors for any of the PAC 1 or PAC 2 work areas. The appropriate liquid waste handling from portable sanitaries was confirmed through their collection and cleanup (Refer to Appendix 5-3, Portable Sanitaries Maintenance Registry).


20

There were not observed non compliance situations for noise and vibrations controls, neither in PAC 1 nor PAC 2. For PAC 2, there are not communities located close to working areas, therefore, those measures related to sensible receptor are not applicable to this component; furthermore, at present, no complaints have been reported by third parties in relation to this environmental aspect.

Environmental noise measures performed by Envirolab, for PAC 1, measured for a period of 24 hours on the 5th and 6th of August 2008, both at the project site and at the community of Paraíso, resulted in lower levels than those established in the national reference standard, Executive Decree Nº1 of January 15th, 2004. On the other hand, no complaints or claims have been reported by closest communities due project possible noise effects. In addition, noise mitigation and control measures have been effective (Refer to Appendix 5-12, Environmental Noise Survey Report for PAC 1).

Records of the distribution of noise protection equipment to project workers, and deteriorated equipment replacement, both for PAC 1 and PAC 2, were reviewed (Refer to Appendix 5-4, Safety Equipment Distribution Record); in addition, drivers circulating within the project area have been instructed on the non necessary noise generation practices including horns, alarms and sirens avoidance.

In relation to the vibrations control, the Blasting Plan has incorporated mitigation and security measures indicated in the PMA (Refer to Appendix 5-5, Blasting Reports).

In relation to the measures for the restoration of the construction areas, they are not applicable to this phase as their implementation requires the conclusion of the construction works.

5.1.1.1.2. Soil Protection Program

There were not observed non compliance situations for this program. Measures for landslides, erosion and sedimentation control, slopes stabilization, and soil compaction have been properly implemented, both for PAC 1 as well as for PAC 2 (Refer to Appendix 5-2, Photographs, Photos 3, 4, 5, and 6).

It was confirmed through the records and reports review, as well through field visual inspection, that erosion control works are been implemented in the Cocoli river diversion area. In other project areas, energy dissipators and


21

rock filters are constructed in sites prone or susceptible to erosion. These temporary works for erosion and sedimentation control receive periodically maintenance.

Blankets and hydroseeding of Brachiaria humidicola y B. decumbes (50 y 50%) have been implemented for soils erosion and sedimentation control. GRASSTECH company is responsible for hydroseeding works, both in PAC 1 and PAC 2 (Refer to Appendix 5-6, Hydroseeding Control and Production Record prepared by GRASSTECH).

Blankets have been located and hydroseeding applied at different project areas, among them the Cocoli river diversion channel and at the Borinquen road new alignment (Refer to Appendix 5-2, Photographs, Photos 7, 8, and 9).

5.1.1.1.3. Conservation of Water Resources Program

MRA confirmed that the measures for the protection of water resources have been implemented effectively. Measures such as compaction of material, installation of drainage, installation of traps for tubs or washing machines, and construction of ditches on the roads hauling to control drainage patterns have been implemented.

As for the area affected by a landslide at the southern deposit site of PAC 2, which was reviewed during the inspection of ANAM for the first semi annual report by PES, has been taken as a delimitation of the area, placement of dead barriers and has restricted its use with the intention of refurbish the ground in the dry season and allow their recovery. This work could not be done in the rainy season because the soil conditions did not permit the safe, but are scheduled to be executed during the dry season

It was verified that the measures being implemented to control the deterioration of water quality and management of domestic sewage. The removal of portable toilets for the closure period or abandonment of the project, therefore not applicable at this stage of the project

5.1.1.1.4. Wildlife and Flora Protection Program

It was observed in the first report of PES that mitigation measures and compensation have been effectively implemented under this program. It has been complied with the measures to control loss of vegetative cover, including the payment of the ecological compensation pursuant to the


22

provisions of Resolution AG-0235-2003/ANAM for both the PAC 1 and PAC 2 (See Annex 5-7, Register CA1 Ecological Compensation Payment and PAC 2).

PAC 1 caused a disruption of 55.74 hectares, which planned to reforest 115 hectares within the Parque Nacional Camino de Cruces (PNCC), as a compensation measure. It is now completed and planting activities are being developed for cleaning and round cuts fire, was a reliance on the year 2008 and will remain running during 2009 in areas that are required, as specified by the contract.

On Friday, November 14, 2008 ERM, together with staff of the ACP, and Karina Vergara, Javier Morón, verified that the work of the reforestation project is being developed according to the schedule proposed in the Plan of Reforestation. The identification of sites to be reforested and the selection of species that are used in the planting are done in coordination with ANAM. After selecting the site, the ACP subcontracts the implementation of the program of reforestation and maintenance for a period of five years. On this site the subcontractor responsible for the implementation of the reforestation plan is the Company Geo Forestal, S.A. (See Attachment 5-2, Photographs, photos 10 and 11). Moreover, PAC 2 affected approximately 72 hectares of forest with 145 acres should be reforested as a means of compensation. From 2008, the Plan is being implemented reforestation of 30 hectares in the Altos de Campana National Park and is planned to reforest the 115 remaining in 2009. The review of monitoring reports of the project shows that to date the following activities have been completed: placement of the sign, soil sampling, monitoring the nursery in the community of El Limón and Chico, clearing land and planting of 30 hectares selected.

Regarding the use of biomass in different areas of the project, the remains were stacked and are put in a proper deposit in accordance with the provisions contained in the ESIA, some are used as energy sinks to reduce the effects of erosion at the site of deposition of material excavated from the South 2 PAC 2

Revegetation actions submitted by the contractor of PAC 1 and PAC 2 are designed to i) mitigate the impact of clearing and weeding, ii) implement a permanent measure to control erosion, and iii) create a favorable


23

environment as per landsPACe characteristics of the area. Revegetation is carried out in areas of slopes and shoulders of roads and other sites that may be required. The plan meets the requirements of materials and mixture of seeds and Brachiaria Brachiaria humidicola decumbes (50 and 50%), in addition to the use of fertilizers and nutrients.

Furthermore, the placement of blankets and hydro seed B. humidicola and B. decumbes (50 and 50%) was confirmed. These were placed in different areas of the project, including the diversion of the river channel Cocolí, this activity is carried out gradually according to the progress of the works. Revegetation tasks are performed by the company GRASSTECH, both in PAC 1 and PAC 2, through the hydroplanting on the slopes and filled the Borinquen road and the diversion of the Cocolí River. Also have done the work of fumigation, control of muleteers and fertilization. Regarding the implementation of the protection component of the wildlife, the Pan American Association for the Conservation (APPC) with support from the Institute for Neotropical Conservation and the United States Department of Agriculture (USDA) - Forest Service, International Institute of Tropical Forestry, has implemented plans for wildlife rescue and relocation of both projects. Most of the rescues and relocations were conducted in the early months of both projects to be cut and cleared when the affected areas, the results were reported in the first half-year report by the signature PES. Subsequently, there have been rescues and relocations in areas off during the filling of the lagoon of Cocolí River and work in the diversion channel. Among the rescued were: boa constrictor, boa arcoiris, Marmara, snake (Leptodeira sp), green and black iguanas, Babilla (crocodylus Cayman, etc.). (See Attachment 5-8, Wild Animals Rescued Register). Because the clearing and clearing of PAC 1 and PAC 2 was conducted at the beginning of the year, most of the activity took place for the redemption period for both cases the rescue of wildlife in the contract signing available for possible rescue and relocation of activities that are required due to the return of certain species to the work areas. The initial work area for the rescue of wildlife in the PAC 2 was 148.79 hectares between secondary forests, grasslands and shrublands mainly. As part of the relocation of fauna developed during the period of reference for the preparation of this report, on September 14 was a relocation of the animals had been rescued, and were able to be reinstated to their habitat natural. The relocation took place in the area of Gamboa, following the


24

procedures in the Rescue and Relocation Species Plan. With the relocation of staff were present ANAM of EcoAmbiente and the APPC (See Annex 5-2, Photo, Photo 12, 13 and 14).

Before relocation, the animals were evaluated by a morphometric analysis: weight and measure, as well as a physical analysis to determine if there were parasites, wounds or fractures. It is worth noting that in this relocation a boa was to release, which months earlier had been accidentally injured with a machete, this boa was attended by a veterinarian and kept under observation in the halls of the APPC for a few months to assess its recovery. Once it’s good condition, was taken to relocation. Compliance with these mechanisms and procedures support the efficient implementation of the measures outlined in the program for the protection of wildlife

In terms of disruption of wildlife, workers have been instructed not to use whistles, horns, etc. to avoid unnecessary noise. We have also verified the maintenance of equipment and motor system silencers. In relation to risk control and abuse of wild animals we observed the existence of informational signs on the speed limit for vehicular traffic. It is stressed that the implementation of the Plan achieved the effective rescue and relocation of the species found in the area of the project PAC 1 and PAC 2. It was confirmed that the implementation of the protection component of the fauna has been effective.

5.1.1.1.5. Waste Management Program

The program for management of solid wastes at the PAC 1 and PAC 2 construction sites specifies that the projects will follow ACP’s relevant regulations; and the ERM team has observed project compliance with those norms on their site visits. We noted the presence of trash baskets in each office area and at construction sites there were color coded 55 gallon drums for oily waste (grey for inorganic, green for organic, black for oil residue, and yellow for diesel). Final disposition of project solid waste is handled by the contractor Serviaseo who take the subject waste to the sanitary landfill at Cerro Patacón. The process is documented and resulting report has been reviewed by the ERM team.

Concerning PAC 1 and 2 disposal of domestic liquid waste, ERM confirms that the corresponding office buildings are serviced by the system maintained by IDAAN, the national water and waste water utility, and by


25

portable toilets with one portable toilet for every 20 workers at field locations, conversely.

Finally, the team confirmed through inspection that hazardous waste (used lubricants, tanks with non-operational filters, used filters, refrigerant, and damaged batteries) are being handled according to ACP and international norms, as required by the corresponding program.

In general the ERM team observed compliance with requirements for solid waste management throughout the project location, with only one deficiency in application of the program, namely that in a CILSA maintenance shop, at the moment of the field inspection, although there were signs posted identifying the location of waste recipients, there were no waste receptacles (See Annex 5-2, Pictdure No. 15).

5.1.1.1.6. Residue Management Program

This program establishes guidelines for storage and handling of the variety of different materials and substances required for project execution. No non compliance were detected in relations to the mitigation measures required for this program during the filed inspection; however a few situations requiring corrective measures were identified. Among the main aspects of the program observed the following are worth mentioning:

• Workers were found properly informed and trained on how to deal and eliminate sources of ignition that could generate risks such as: lights, cigarettes, friction, welding, sparks and chemical reactions, among others.

• During fuel transfer operations field inspections are conducted to ensure the proper operation of sumps and to verify the availability of emergency equipment, properly maintained.

• MSDS have been provided for proper handling chemical substances.

• Compressed gas cylinders have the required safety labels attached.

• The administrative building has been provided with a dining-coffee break area where personal can store their food. This area is cleaned on a daily basis. No complaints have been about inadequate food. A locker and change room is available with adequate space for workers.


26

• En general, adequate storage areas with proper emergency equipment (fire extinguishers, absorbent cloths, warning signs). However, small oil, lubricant, and refrigerant storage areas located adjacent to the mechanical maintenance shop in PAC 2 lacked secondary containment structures or berms that would limit the dispersion of hydrocarbons in case of a spill (see annex 5-2, picture No. 16)

• Diesel fuel tanks comply with technical specifications for their use and have a 110% PACacity berm in case of a spill. Nevertheless, in PAC 1 all berms contention valves were found open during the field inspection. Incase of a spill valves will allow the flow of hydrocarbons without any restriction to existing drainages. (See Annex 5-2, Picture No. 17).

• At the PAC 1 the lubricant dispensing location is sited directly on bare ground without an impervious layer to prevent infiltration and control spills. Hydrocarbon stains with diameters of more than 1 m were visible on the soil. The area should be graded and sealed with concrete such that any spills and/or rainfall runoff from the site flow to an oil water separator (See Annex 5-2, Pictures No. 18).

• Three fire extinguishers were found with expiration dates at PAC 1.

5.1.1.1.7. Socioeconomic and Cultural Program

Regarding measures to stimulate the national economy and increase revenue to the Treasury through the generation of jobs, the effectiveness of these is reflected among other things, the amount of labor, services and supplies purchased by local subcontractors CUSA and CILSA. This dynamic creates a positive multiplier effect on the national economy through the payment of salaries and services. At September 30, 2008, companies CUSA and CILSA Panama, SA have recruited 463 people between the administrative workers, factory workers (helpers, maintenance personnel and warehouse staff), and operators of heavy equipment.

In addition, CUSA and CILSA have contracted the services of the following companies:

• DESARROLLO ECOLÓGICO Y AMBIENTALES • ELECTRICA DE MEDELLIN • CARDOZE Y LINDO, S.A.


27

• TECNOLOGÍA SANITARIA, S.A • ENVIROLAB • AUSTIN CARIBBEAN, S.A. • ASOCIACIÓN PANAMERICANA PARA LA CONSERVACIÓN • ECOAMBIENTE S.A. • LIVING PANAMÁ, S.A. • MINERIA, EXPLOSIVOS Y SERVICIOS, S.A. • TECNILAB, S.A. • GRASSTECH • FUNDACIONES, S.A. • SERVIEQUIPO • PRO-ONE S.A. • MURGOS ARQUITECTOS S.A.

As for training, courses were held for staff induction of first admission, where there was briefed on the generalities of the company and the project, particularly on safety measures at work. On the other hand, was reported to staff on primary care facilities in case of emergencies or accidents in the workplace. EcoAmbiente Staff announced plans and programs, in environmental matters, are developed in the project area as part of compliance to the Environmental Management Plan.

The records show that during the month of September 2008 were given lectures on health and occupational safety on issues such as: African bees, care of hands, Standard 106 and 108 of the ACP, vector control, heart attack, injury and bleeding, human values and snake bites. They were issued to all CILSA staff working in the PAC 2.

In addition, lectures were given on environmental issues such as crime and environmental laws, control of vectors and pests, and forest logging, animal rescue, pollution and inappropriate disposal of batteries. These were issued by the appropriate staff of EcoAmbiente. The main purpose of these talks was to convey concepts and awareness of the importance and conservation of the environment.

Regarding the issues of health and occupational safety, CILSA has an adequate program of health and accident risk management and their facilities have nursing and ambulance.

For its part, the revised documentation for CUSA in the case of PAC 1, allows through the attendance list corroborate that courses have been made, training or skills to staff in the following areas: erosion control, forest fires,


28

archeology, control of oil and chemical spills, solid waste management and vector management. With respect to the implementation of measures to control the possible involvement of archaeological sites, the ACP complies with the provisions of the PMA and before the start of activities at known sites, completed the assessment and recovery of the remains in the area. These studies were conducted by professional archaeologists in accordance with relevant legislation of the Department of Heritage, using qualified technical teams that included the recognition, evaluation, and surveys and rescue work before and during construction of the project. In addition, ACP, since October 2008, remains the company's services JCG Associates for the purpose of analyzing archaeological sites that are detected during land movements that take place in areas of the expansion project (dry excavation and dredging) to assess and report on their archaeological, historical or cultural value (See Attachment 5-10, JCG Associates Work Order).

Regarding the implementation of measures for the control of unknown paleontological sites, the ACP meets the set in the PMA and to implement the measures, has contracted the Smithsonian Tropical Research Institute to conduct the study and rescue paleontological resources in dredging and excavation sites associated with the expansion project of the Panama Canal. These works include the search and classification of rock units according to their potential, exploration and rescue of paleontological remains and identifying them. Develop other activities such as the preliminary treatment of remains found, the creation of georeferenced database, the collection of rock samples for dating techniques measurement of stratigraphic columns and structural data collection and preservation of these resources.

Based on the review of ERM, the studies comply with professional standards for archaeological and paleontological work, and are carefully prepared with the required data, maps, technical drawings and references. In addition, we found that the reports describe the implementation of appropriate methods for the field conditions. The reports include analysis and discussion of the resources of the subject studied in relation to the literature on archaeological and palaeontological enlarged region around the project area, and includes recommendations for the future management of resources based on the professional opinion of the investigator.

As for relations with the Community, the ACP and the Contractors maintain a system of receiving complaints and queries as a way to address the concern that the operations of the expansion project could generate. Through the toll-


29

free 800-0714, or via email [email protected], questions or complaints can be sent to the ACP. The recording of calls and messages received by the ACP in the period from February to November 2008 were reviewed during the preparation of this report and are attached in the annexes (See Annex 4-6, Record of telephone calls). The records are maintained by the ACP in a tabular format that identifies: i) applicant's name, ii) an entity, iii) type of consultation, iv) the applicant's phone and iv) the name of the person who responded. As of the date of this report any complaints has not received from the community of Paraiso, Pedro Miguel or another to indicate an involvement in the activities undertaken by the contractor in charge of the project. The vast majority of submissions are received inquiries that focus on topics such as job applications, financial information of the project, and location of the visitor center, among others.

As for measures to offset the effect of public infrastructure, during the inspection of PAC 1, were observed work for the movement of the 230kV transmission line by the company ELECTRICAS DE MEDELLIN LTDA. This work is to build ten (10) voltage towers that will replace existing ones and give way to other activities of widening and expansion of the Canal, thereby giving effect to the measure to offset the effect of public infrastructure (See Appendix 5-2, Photographs, pictures 19.20, and 21).

5.1.1.2. Monitoring Plan

5.1.1.2.1. Water Quality Monitoring

With regard to monitoring activities planned for this component were observed the records of compliance with them.

According to the report of air quality monitoring, based on data collected by the Specialized Analysis Institute of the University of Panama for the ACP, were measured at the Miraflores Locks, Pedro Miguel and Gatun, Gatun firefighter’s station, the environmental office in Gamboa, the community of Paraiso and the construction area in Cocolí. Some of the stations of the monitoring network of air quality have been installed as part of current operations (See Annex 5-11, Air Quality Monitoring in Areas of the Panama Canal).

As for dry excavation work, due to its location, the initial reference station was Cocolí. At this station, which monitors PM10 and NO2, according to the results of monitoring they comply with all ACP guideline, for an average of 24 hours as for an annual average, except for the annual average of PM10,


30

which exceeded the guideline value. The data generated for this station is not complete because it not covers the entire period; in addition, the station is in the area of greatest movement of the project (limited to 5 meters of this area) which alters the representativeness of the results.

5.1.1.2.2. Noise Monitoring

With regard to the monitoring of environmental noise, such measurements are made by the company EnviroLAB for PAC 1. Based on the reviews of ERM, the report of monitoring complies with professional standards for this work. These are carried out following appropriate measurement methodologies of ISO 1996-2; include photographs representing the measurements, calibration certificates of equipment and results, which were compared with the national standard D.E. No. 1, January 15, 2004, which determine the noise levels for residential and industrial areas. The results of measurements show lower values than those established by the standard (See Appendix 5-12, Noise Test Report for the Environmental PAC 1).

With regard to the monitoring of environmental noise, these measurements are performed by qualified technical personnel employed by EcoAmbiente for the PAC 2. Based on the reviews of ERM, the reports of monitoring complies with professional standards for this work, they are made following appropriate measurement methodologies: Includes photographs of representative measurements, calibration certificates of equipment and the results were compared with the national standard, D.E. No. 1, January 15, 2004, which determine the noise levels for residential and industrial areas. The results of measurements show lower values than those established by the standard (See Appendix 5-13, Test Report for the Environmental Noise PAC 2).

5.1.1.2.3. Vibrations Monitoring Regarding the monitoring of vibration, these are calculated and monitored by the Contractor of the PAC 1 and the ACP in the events of blasting, using seismographs placed in areas of potential problems for structures such as transmission towers Line 230 Kv of ETESA. So far no structures have been affected by vibration. As part of the PAC 2, both the contractor and by the ACP do measurements of vibrations associated with blasting in sensitive structures to verify compliance with contract terms (See Attachment 5-5, Report of Explosives).


31

Furthermore, PAC 2, according to records reviewed by ERM, has complied with the monitoring program of whole body vibration, according to Standard DGNTI - COPANIT 45 - 2000 on the hygiene conditions and safety in work environments

5.1.1.2.4. Soil Monitoring The Program for Monitoring Soil as defined in ESIA Category III focuses on the evaluation of conditions that could lead to landslides, especially in the area of the Gaillard Cut, so the same does not apply to this component of the project.

5.1.1.2.5. Water Quality and Sediment Monitoring

The purpose of monitoring is to verify the efficiency and effectiveness of the implementation of preventive and remedial measures of the Program of protection of water resources. The monitoring and tracking water quality in water sources located in the project area by Aquatec Analytical Laboratories S.A. in August 2008, presents the results of laboratory tests (physico-chemical, bacteriological, organic and inorganic) of the following sampling sites: Cocolí River upstream and downstream, Rio Velasquez, Fountain Creek and No Name Creek and two sites in the navigation channel. The methods of analysis, collection and preservation of samples followed the recommendations of the Standard Methods for the Examination of Water and Wastewater, internationally accepted for this type of analysis (See Annex 5-14 Report of Chemical Analysis of Surface Water Natural) The results were compared with the findings of the monitoring conducted in April 2008, indicating an increase in water turbidity, characteristic of the rainy season. Based on the results discussed it can be concluded that the water quality of the effluent samples is good. Furthermore, the results reflect the absence of toxic agents like heavy metals and organic compounds and hydrocarbons. Finally, mitigation measures and programs relevant to the work of excavating the PAC 1 and PAC 2 and the status of implementation are detailed in the compliance matrix that is included below.


32

SEMESTER VERIFICATION REPORT OF THE IMPLEMENTATION AND EFFICIENCY OF THE MITIGATION MEASURES CONTAINED IN THE ENVIRONMENTAL IMPACT STUDY – LEVEL III

WIDENING AND DEEPENING OF THE PACIFIC ENTRANCE OF THE PANAMA CANAL Project: Panama Canal Expansion: Pacific Approximation Channel Phase 2 (PAC 2) Contractor: CILSA, S.A.

Project: Panama Canal Expansion: Pacific Approximation Channel (PAC-1/ Earthworks and Leveling Cartagena Hill Contractor: CONSTRUCTORA URBANA SA (CUSA)

Location: Project is located in the West bank, north from Cocoli and West from Miraflores Locks.

Location: Project is located at Corregimientos de Arraijan and Burunga, District of Arraijan, Province of Panama.

Report: ERM 001 – December 2008 Measures implemented from May 2008 to October 2008.

Phase: ■ Construction □ Operation □ Abandoned

Environmental Surveillance : ECOAMBIENTE S.A. Environmental Surveillance: ECOLOGICAL AND ENVIRONMETNAL DEVELOPMENT ( DECASA)

No. ANAM approval Resolution: DIEORA IA-632-2007. – Approval Date: November the 9th, 2007

Compliance MITIGATION MEASURES, MONITORING, SURVEILLANCE AND

CONTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES/COMMENTS Yes NO Not

Applicable MITIGATION MEASURES, CONTROL AND COMPENSATION PROPOSED IN THE PMA AND IN THE APPROVAL RESOLUTION Air Quality Control Measurements

1. All combustion motors shall be adequately maintained to maximize combustion efficiency and minimize contaminant emissions.

Contractor maintenance personnel had submitted maintenance registries for all the machinery and equipment utilized in the project. In PAC 1, maintenance is carried out by CUSA and CARDOZE & LINDO; Monthly follow up reports are submitted by the Contractor with all preventive maintenance conducted on the vehicles and equipment each 250, 500, 1000, 2000, 3000 y 6000 hours in use. In PAC 2 a Maintenance Center has been built in order to conduct all preventive maintenance due on the machinery, equipment and vehicles, official registries are kept on the Contractor field office.

X

2. Combustion motors (of the heavy equipment to be used for dry excavations) shall be provided with exhaust systems, and filters (when applicable) that are in good operating condition. It is recommended that the age of the equipment usage not exceed 10 years.

It was verified, according with the preventive maintenance due, that all equipment is in good operative conditions and the maximum allowable hours of use are fulfilled before preventive maintenance. Filters are replaced periodically. Most of the equipment and machinery, for both PAC1 and PAC2, are less than 10 years old.

X

3. During the dry season, wet working areas shall be maintained to minimize dust dispersion.

Water delivery trucks were available all the time. They were responsible of kept wet different areas of the project when it was necessary.

X

4. Establish adequate locations for storage, mixing and loading of construction materials, in a way that dust dispersion is prevented because of such operations.

Excavated material and other arids (stone, sand, rocks, etc.) were safely transported to the disposal sites established in both project PAC1 and PAC2.

X


33


34

Compliance MITIGATION MEASURES, MONITORING, SURVEILLANCE AND CONTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES/COMMENTS

Yes NO Not Applicable

5. Ensure that the loading and unloading of materials is done minimizing ambient dust dispersion.

It is verified at site that loading and unloading of materials are done correctly.

X

6. Material mixing equipment shall be hermetically sealed. It is verified that Material mixing equipment fulfills the specification required.

X

7. Stored materials (gravel, sand) shall be covered and confined to avoid their being wind-drifted.

Arid materials are covered and confined; excavation material is compacted in the sites reserved for this use in both PAC 1 and PAC 2.

X

8. ACP shall regulate the speed limit within the area of the Project. .

Informative Signs are used in all the Project areas showing the speed limit and transit direction. Personnel with flags give directions in the intersections to order the transit of heavy equipment and vehicles, in both projects PAC 1 and PAC 2.

X

9. Temporary roads shall be adequately compacted and humidified, or superficially treated and maintained..

Cleaning and moistening activities were conducted in the temporary roads at north and south of the projects. As well as compaction tasks to conditioning the surface of these roads.

X

10. Wastes shall not be incinerated on site. It is not allow by the contract to incinerate wastes at the working areas nor at any place nearby the construction sites. Each project has its installations and procedures to dispose according with the law its wastes.

X

11. A system of oxidizing catalyzes to reduce CO, HC and particle emissions shall be adapted to the filters of diesel vehicles and equipment used for the construction.

Equipments in use have their filters and catalytic converters as required by the specification.

X

12. Reduce idle time for engines in operation (measure specified in the Category III EsIA for Paraiso Hill PAC 1).

All operators have been informed that is not allow to keep running more than 15 minutes a vehicle which is not moving. Mr Franklin Socuret,who is in charged of CUSA’s equipment maintenance in PAC 1, reinforced this measure in a daily basis.

X

13. Avoid unnecessary usage of horns and exhaust adapters measure specified in the Category III EsIA for Paraiso Hill PAC).

Equipment available for this Project does not have horns and exhaust adapters.

X

Odor Control Measurements

1. Establish a vehicle fleet preventive maintenance program.

It was verified at site the mechanical maintenance provided to the equipment. It is oversee the procedures used for handling chemical substances (oil, grease, fuel, etc.)

X


35



There have been no reports of annoying odors due to chemical substances neither in PAC 1 nor in PAC 2.

2. Provide adequate engine maintenance to avoid generation of offensive odors and air emissions.

Preventive maintenance have been conducted for all the heavy equipment in use at both PAC 1 and PAC 2.

X

Noise Control Measurements

1. Assess, noise emission conditions, and critical sites, to define the need to establish additional control measures.

It is verified at site that all equipment and vehicles are in good conditions, operators and field personnel have their personal protection ware. Vehicles at the project do not have horns and exhaust adapters.

X

2. Maintain all rolling and construction equipment in good conditions and with adequate noise silencers.

For both Project is verify that heavy equipment receive an appropriate mechanical maintenance. In addition Contractor keeps registries of maintenance in their equipment in use.

X

3. Minimize, to the extent possible, the length of operation of noise emitting sources and avoid having idle equipment in operation.

It is verified at site that equipment and vehicles which are not working are immediately turn off. In addition instructions have been given to reinforced fulfillment of this measure and to create awareness of its importance to minimize air contamination by the motor fumes.

X

4. Organize the loading and unloading of trucks, and handling operations for the purpose of minimizing construction noise on the work site

It has been verified at site that this activities are being conducted properly without creating unnecessary noises.

X

5. Comply with the requirements and standards for noise control. There is a chronogram for monitoring noise level at the construction site and surrounding activities areas, this chronogram is been fulfilled.

X

6. Comply with the requirements, according the type of explosive utilized, concerning the distance of structures and populated centers, defined by their manufacturer and by the competent authorities

Explosive handling requisites are being followed.

X

7. Due to existing Canal operations, blasting operations shall be limited to a daily schedule between 0600 and 1800 hours.

Blasting plans are been followed. X

8. The Contractor shall comply with all Government standards, regulations and ordinances related to noise level controls applicable to any contract-related work.

Measures have been taken and noise levels are under the maximum permissible accordingly with the National Standard at both projects PAC 1 and PAC2.

X

9. On job sites that are near homes, work generating noise greater than 80 dB shall not be executed in the surroundings between eight o’clock at night (8:00 p.m.) and six o’clock in the morning (6:00 a.m.).

PAC 2 has no homes nearby. Meanwhile measurements in PAC 1 have been taken by EnviroLab. Data showed during August shows that noise levels are under the maximum allow by Law.

X

10. Communicate and coordinate opportunely with sensitive For PAC 1, before every explosion blast, Contractor notifies such activities X


36



receivers of required construction work that will produce high noise levels and could affect them.

to the populated communities nearby (Paraiso and Pedro Miguel), there are no sensible receptors (hospitals, elder homes, schools, etc.) in these communities.

11. Maintain the communities that are near to the Project development sites informed about the programming of construction work and activities of major noise generation.

Information is not limited to the nearby communities, but is spread nation wide TV programs, radio broadcasting, communicates to the Nation, newspaper supplements and through the ACP webpage. Communities and public institutions (Police and Firefighters) close to the project, Paraiso and Pedro Miguel are kept informed continuously about the explosion blast programmed associated to PAC 1. CUSA field office has a direct phone line (232-3561/232-3562) for communication with the community and general public. ACP also has a general reception of claims and questions where public can expose their worries or concerns about the construction operations at the toll free 800-0714. Questions or comments can also be sent to the email [email protected]. Moreover, there is a procedure for follow up complaints in the surrounding communities to the construction sites.

X

12. Avoid the unnecessary use of alarms, horns and sirens. Instructions have been given to the field personnel in order to avoid such kind of unnecessary noise. Periodical audits are conducted by the ACP to reinforce this measure.

X

13. Stationary equipment producing noise shall be located away from sensible receivers.

Both PAC 1 and PAC 2 are not using stationary equipment, in addition sensible receptors in PAC 1 are localized at least 450 m from site, meanwhile PAC 2 has no sensible receptors nearby.

X

Vibration Control Measurements

1. Limit the vibration velocity to that established in the contract documents (specification) for the purpose of protecting structures that could be potentially affected.

For both projects PAC 1 and PAC 2, registries are kept with all blasting information, including measurements done by ACP and Contractor seismographs, in order to fulfill the contract specifications.

X

2. The Contractor shall provide within his/her task group with a qualified blasting consultant to prepare and present for approval a blasting plan and to lead the blasting work, including initial blasting test supervision, with the objective of establishing baseline effects and conditions.

PAC 1 explosives specialist is Mr. Osvaldo Diaz. PAC 2 explosive specialist is the company Austin Caribbean. Blasting Plan has information regarding the site of blasting, time, weather conditions, kind of explosive used, seismograph measures during detonation, vibration caused by explosion.

X

3. Monitor vibrations in critical (sensitive) sites during the construction period.

A follow up has being conducted to the results of the vibration monitoring realized during July 2008 in PAC 2. Equipment maintenance is constantly verified. In addition, blasting plan for PAC 1 includes a monitoring of the vibrations perceived at the nearby structures.

X



37



4. Conduct structural integrity inspections prior to blasts on critical (sensitive) structures.

PAC 1 and PAC 2 specialist in charged of blasting have inspected the structures to assure its physical integrity.

X

5. Inform the public living and working in the vicinity about the possible effects of the project.

PAC 2 has informed to the personnel working at the Tucan Country Club about the explosion being conducted. PAC 1 visits nearby communities to deliver information regarding the activities conducted. Posters and banner with project information is placed at shopping centers, police departments, schools through out the area of influence of this project.

X

6. Notify the affected public when blasting works are to be performed.

Affected public was informed about the blasting plan conducted in PAC 1 and PAC 2.

X

7. Apply the Blasting Plan to be developed and implemented by the Contractor, and which shall be subject to ACP approval.

This measure is being fulfilled. Plan fulfillment is evaluated by personnel of the Contractor as well as by the ACP.

X

8. Appropriate quality control measures of blasts in order to ensure an adequate control process.

Controlled blasting is being conducted. X

9. Comply with requirements and regulations of competent authorities regarding the use of explosives.

Requirements for handling explosive are being fulfilled, in both PAC 1 and PAC2.

X

10. Comply with the requirements provided by the manufacturer for the handling of explosives and detonators.

These measures are being fulfilled as they are considered in the blasting Plan.

X

Soil Protection Program Bankments Settlement Control

1. Monitor slope deformation and movements.

It was verified that this issue is evaluated though visual inspection during the site visit and evidence of activities involving earth movements are being tracked.

X

Landslide Control 1. Stabilize slopes and construct terraces. It was verified during the site visit the application of these measures. X 2. Reduce slopes load and provide an impervious surface at the

site. Field visual inspection. X

3. Diminution in the descending grade of design of the most unstable slopes, utilizing a slope ratio that guarantees its stability.

Slopes at 2% and special configurations during excavation are being followed by CUSA field engineers as well as by the ACP Project Manager. The same applies to PAC 2.

X

4. Systematic installation of horizontal or inclined drainage in unstable slopes at spacing located according to the hydrogeological conditions of each site, to the depths of the faults, once they have been identified.

Field visual inspection. Drainage have been located X

Sedimentation and Soil Loss Control Soil conservation


38



1. During the rainy season, protect exposed soil surfaces with stabilizing material, such as screen, straw, and planting the areas subject to erosion.

At suitable areas, erosion control devices have been installed. Grasstech company is a subcontractor for both PAC 1 and PAC 2. This company realized erosion control activities as well as vector and plague control (fumigation).

X

2. Utilize water flow retention structures, such as riprap and stone paving, at the drainage structure inlets and outlets.

Riprap and gabions are being utilized at different places through out the project as a erosion control technique.

X

3. Place sediment traps inside the excavation sites which allow the accumulation of the eroded soil.

Sedimentation barriers are being used in several places along the Project as erosion control technique.

X

Slopes Stabilization 1. Slopes with cuts of up to 5 m in height shall be terraced

maintaining slope inclination at 1:3 to 3: This measure is being fulfilled. X

2. Stabilize the exposed side of slopes utilizing stabilizing materials, such as biodegradable mats.

Biodegradable mats for re-vegetation and erosion control have been used in several places in both projects.

X

3. Install underground drainage inside saturated slopes and reduce surface infiltration utilizing longitudinal sub-drainages at slope toes to avoid saturation of the soil profile.

Natural drainage patterns have being conserved using canalization, ripraps, and other artificial surface drainage systems. Saturated conditions have not been observed, thus underground drainage has not been ordered. Design for the Borinquen road includes tubular drainage and channel riprap protected.

X

4. Stabilization of sites prone to slope wash, sinking, landslides and other massive movements.

Field visual inspection and mandatory recommendations. X

5. Verify stabilization of cuts along new access roads in the construction areas

ACP personnel as well as Contractor personnel conduct inspections to verify stabilization of cut slopes.

X

Measures for control soil compactation 1. Perform the major number of earth moving during the dry season. This measure is being fulfilled for both PAC 1 and PAC2. X 2. Scarify topsoil in sites that lack vegetation to facilitate the natural

vegetation growth and regeneration. This measure is being fulfilled for both PAC 1 and PAC2.

3. Control the slope surface of the deposits to facilitate water drainage.

This measure is being fulfilled for both PAC 1 and PAC2. X

Measures for control soil contamination 1. All rolling equipment, including tractors, tanks, earth moving

equipment and vehicles for the maintenance and transportation of fuel and personnel shall be controlled by way of a detailed register that guarantees compliance with the specifications established by the manufacturers regarding the type and frequency of maintenance for each equipment that guarantees the operating efficiency of the motors. Additionally, greasing, supplying, and transferring of fuels and lubricants in the field shall

Maintenance program is being fulfilled.

X


39



be performed by trained personnel and shall only be done over surfaces especially enabled and watertight that allow for containment and collection of accidental spills. Contractors shall enable these areas and their design shall be approved by ACP. Collect and recycle lubricants and greases during and after maintenance action on rolling equipment. When the works are concluded, these installations shall be remedied, in case they contain hydrocarbon residues or other contaminant elements

2. Training of Specialized Personnel in Fuel Handling and Machinery and Equipment Maintenance.

Training courses have been conducted. Nevertheless reinforcement is still needed.

X

3. Control de duna sites and temporary installations. If justified by the magnitude of the spill or dump, the Contingency Plan shall be activated.

Fulfillment of this measure was verified at site for both PAC 1 and PAC2

X

4. Blasting control. If blasting utilization is necessary, they shall be executed with adequate control, place special canvases over the rocks before the blasts and dispose of the wastes generated in authorized dump sites.

Blasting Plan measurements and activities are been followed.

X

Water Resources Protection Program Measures to control the effects of excavations over quality of waters

1. Control and maintenance of machinery, and construction equipment.

ACP Maintenance Department has submitted records with the maintained done to the equipment assigned to this project. PAC 1 maintenance is being carried out by CUSA and CARDOZE & LINDO monthly surveillance reports submitted by the Contractor contains records for 250, 500, 1000, 2000, 3000 y 6000 used hours. PAC 2 has built a mechanical prevention center where all equipment and vehicles is assisted. Contractor keeps records of this maintenance.

X

2. Training of specialized personnel in the handling of fuel and maintenance of machinery and equipment.

ACP as well as PAC 1 and PAC 2 managers have trained their personnel. Informative meetings have been conducted to create awareness among workers to compliance with the environmental regulations.

X

Measures to prevent deterioration in water quuality during inland disposal of excavated material.

1. Compaction of dredge material.

Field inspections have been conducted for the compactation disposal site South 1, 2, Victoria and T6.

X

2. Installation of temporary and permanent drainages. Drainages have been provided as needed along the Project. X

3. Use of sedimentation traps.

Works within the General Plan of water resources and erosion control have been completed for the North slope area and Cocoli river diversion channel, this have helped to decrease the level of runoff sedimentation.

X


40



Measures to prevent deterioration of water quality due to deviation of Cocoli River. 1. Verify the slope is adequate to reduce sediment situation Visual Site inspection, this measure is been fulfilled. X Measures to control water quality deterioration due to Construction, Operation and Abandoned of temporary installations.

1. The adequate management of waste water, including sewage and grey water generated in the field installations and work fronts.

Equipment wash platform is being finish at the area of maintenance center in PAC 2. TecSan Company, subcontractor for both PAC 1 and PAC 2 is in charge of provide and maintain portable letrins.

X

2. Prevention of hydrocarbon spills and their treatment (oil/water separator if applicable) in workshops, and in any other area where equipment maintenance and machine construction works are performed.

Storage areas and protection dykes are adequate and fulfill its commitment, nevertheless, were detected at least two sites without protection dykes around hydrocarbons containers (55 gal). This situation was reported.

X

3. Construction of sedimentation traps on aggregate exploitation sites and rehabilitation of those sites.

In this phase of dry excavation, no activities requiring operations of concrete mix plant is needed, nor quarry operations are held.

X

4. Retention of fine sediments generated during crushing through sedimentation and wash water clarification basins, if applicable.

In this phase of dry excavation, no activities requiring operations of concrete mix plant is needed, nor quarry operations are held.

X

5. Retention and sedimentation of effluents generated when cleaning the concrete plants.

In this phase of dry excavation, no activities requiring operations of concrete mix plant is needed, nor are quarry operations held.

X

6. Removal of portable latrines at the end of the Project (measure specified in the Category II EsIA for PAC 11; for the rest of the components it is included in the environmental recovery post operation plan.).

This measure is not needed since Project has not finish yet.

X

Measures to control hydrological regime

1. Control the new drainage patterns. Lateral drainage channel were built along construction roads.

X

2. Channel runoffs through new drains. Design for disposal area Sur 1 and T6 are being carried out. These disposable areas are included in the General Plan for protection of the water resources and erosion control.

X

3. Utilize retention dikes, infiltration ditches, cross walls, among others.

North Slope and Cocoli diversion channel have finished. Infiltration channel and lateral drainage were built.

X

4. Provide adequate and opportune maintenance to the works.

Both PAC 1 and PAC 2 surveillance is applied to assure the timely maintenance of the Works built and to assure the effectiveness of the mitigation measures proponed to control the fluid regime at the project area.

X

Flora and Fauna Protection Program


41



Measures to control the lost of vegetation cover

1. The working area limits shall be clearly marked with stakes or flagpoles.

Working area limits are clearly marked with stakes or flagpoles in PAC 1 and PAC 2.

X

2. Comply with ecological indemnity in accordance with Resolution AG-0235-2003/ANAM.

All payments were made for the Project areas PAC 1 and PAC 2.

X

3. During the construction, moving equipment shall be operated in such manner that minimum deterioration is caused to the vegetation and surrounding soils.

Field observations are made to verify any deterioration of vegetation. All operators are communicated about the importance of this issue.

X

4. Train operators on the procedures of clearing the vegetation cover.

This measure was verified with Project registries. X

5. Under no circumstance shall vegetation be dumped in areas where drainage channels would be obstructed.

Vegetation materials are dumped and confined in adequate sites. X

6. Tree pruning shall be performed by trained personnel. Tree pruning was made at the end of Cocoli River diversion. The tasks were accomplished by experienced personnel following adequate safety measures.

X

7. Utilize part of the biomass (trunks and stakes) as energy dispersers to reduce the effects of hydro erosion, stakes and rods.

Biomass was used as energy disperser and reducing hydro erosion. Pruning remains were used tree trunks as dispersers of energy at in disposal site South 2

X

8. Reforestation and revegetation. Reforestation has been implemented in coordination with ANAM. The reforestation plans of PAC 1 and PAC2 have been effective. Re vegetation measures have been implemented through hydro-seeding.

X

Measurements for Control lost of forestry potential 1. Mark the trail area before performing the fell, thus guaranteeing

that the area to be felled is exactly the one necessary to realize the proposed works.

Compliance measures was followed according to documents, X

2. Include planting of forest native species in the Reforestation Plan. The reforestation plan is being implemented. X 3. Explore the alternative use of felled forest resource, or donate it

to a social welfare institution. Materials have been used in stabilizing slopes and practicing erosion and slide control.

X

4. Direct tree falls towards the direct impact area to avoid damage to trees in the adjacent areas which should not be impaired.

The cutting plan has been accomplished. X

Measures to control the loss of terrestrial habitat

1. Reforestation, as a means of compensation heeds both the vegetation cover loss and the habitat impairment, and offers an alternative in the areas where reforestation is to be carried out.

Project PAC 1 will affect 55.7 hectares of forest, for which 115 hectares of compensatory reforestation were planned within the National Park Camino de Cruces (PNCC in Spanish). At the time of this report, the Park areas have already been to be reforested after a careful preparation is now being prepared. After plantation maintenance activities include clearing, fertilization, planting, brush burning, and reseeding. Species and reforestation site selection have been made in coordination with jointly by

X


42



ACP and ANAM. These reforestation activities were confirmed with a field visit by the ERM team. ACP will support the reforestation process in this area for a period of five years and had contracted the company Geo Forestal, S.A. to execute this part of the program. Project PAC 2, an effort with el PAC 2.

Measures to control the disturbance of wildlife

1. Avoid unnecessary noise generated by whistles, horns, sirens, pipes, and running engines, etc.

It has been indicated to the workers not to use this type of equipment in an unnecessary manner in the work areas. Daily inspections are conducted as part of monitoring. It has been indicated through lectures to the workers with the effects of noise disturbance to the fauna of the area.

X

2. Verify that noise mufflers of motorized equipment (vehicles, equipment and machinery) are in good condition.

Met with the maintenance program. X

3. Coordinate the rescue of animals that enter the working areas.

Personal de la APPC (rescate de fauna), estuvo presente durante los trabajos en el área del proyecto. There has been bailouts wildlife effectively in both the PAC 1 and PAC 2. The rescued animals were relocated to similar habitat to the habitat of which were withdrawn. APPC personnel for both projects are available on request (for calls) when animals accidentally introduced to areas where works are carried out.

X

4. Train construction works personnel on wildlife protection and poaching prevention procedures.

Met with the training plan or training of staff. Induction program and training program.

X

5. Direct lighting towards specific worksites, avoiding lights on fauna habitat.

Night works comply with the measure. X

Measures to control the risk of abuse of wild animals 1. Strict velocity control shall be generally implemented for all

Project vehicles. Field observation and placement of signs indicating the speed limit. X

2. For the purpose of preventing the growth of vegetation that obstructs visibility, maintenance shall be provided to access road shoulders.

Placement of stones. Has been given the proper maintenance on the shoulders of roads. Inspection area.

X

3. Informative signs shall be produced regarding the crossing of fauna in pertinent.

Informational signs have been placed on the crossing of fauna in the sections relating to the project PAC 1 and PAC 2.

X

Measures for the Control of poaching

1. Prohibit workers to practice any type of hunting or fishing within the Project Area.

It has been brought to the workers through induction speech prohibitions within the project area. Similarly briefings are conducted in the field with workers.

X

2. Prohibit or regulate the use of firearms within the Project premises.

Within the contract for both projects, it is prohibited the entry of weapons to areas of work. It has been brought to the workers through induction of

X


43



the prohibitions within the project area. The health and safety personal of the contractor performs daily inspection in all areas of the project. Up to date has not reported any incident regarding the use of firearms in the work areas.

3. Comply with the laws and standards established by the Autoridad Nacional del Ambiente (Panama’s National Environmental Authority) on wildlife protection.

Is verified by inspection to be carried out to rescue animals at risk and then relocating them in appropriate places. Do not identify noncompliance with the laws and regulations on wildlife protection.

X

4. Place warning signs indicating hunting prohibition. Signs have been placed on the prohibition of hunting in different areas of the project. It has trained personnel in this field.

X

5. Implement an Environmental Training Program for the workers. Records show that there have been planned trainings on topics of environmental protection and health and safety in the workplace.

X

Measures to control the direct elimination of wildlife 1. Verify effective implementation of the wildlife rescue and

relocation operation. Wildlife rescue personnel is required to be on site during clearing operations both for PAC 1 and PAC 2

X

Waste Management Program

1. Verify proper solid waste management. Inspections area conducted to ensure that solid wastes are properly collected every week. Disposal records, are available for both, PAC 1 and 2 certifying final destiny of the waste, Cerro Patacon Sanitary Landfill

X

Training on solid wastes

1. Train workers with regard to solid waste management regulations before they start working.

Workers are train as soon as they initiate working period. Records are available. During the reporting period information announcements and leaflets have been placed indicating the way to classify residues at the Project area, initiative which has contributed to a better classification of the same.

X

Containers for solid waste collection 1. Establish a proper location for and labeling of solid waste

containers. Colored tanks have been placed to classify residues at the different Project sites.

X

Method of solid waste recycling

1. Contractor shall investigate recycling opportunities.

During these Project phases there is no significant generation of recyclable waste since the majority of the wastes are of domestic type and reduce volumes. Options are being investigated for heavy equipment tire recycling.

X

2. Contractor shall verify local recycling options.

During these phases of the Project there are no significant wastes being generated. The majority are of domestic origin.

X

Guidelines for the safe transport of solid wastes 1. Drivers of vehicles carrying solid waste shall avoid making Solid waste transportation for PAC is directly from the work site to the X


44



unauthorized and unwarranted stops along the transportation route.

Cerro Patacon landfill. PAC 2 uses a municipal service contractor for this purpose, in compliance with applicable regulations set by the county. For both cases, as of the report date, no complaints related to the operations have been received.

2. Vehicles transporting solid waste shall be equipped with the following features: cover (such as a tarps or nets) to prevent spilling solid waste along the route; be PACable of operating without breaking down in severe weather conditions; design PACacity shall be observed without overloading, and the vehicles shall be cleaned up frequently to prevent unpleasant emissions.

At PAC 1 minor quantities of refuse are produced. Solid wastes are transported in plastic bags to the Cerro Patacon sanitary landfill approximately twice per week due precisely to the low generation rate. Pay receipts are available. PAC 2 uses a municipal service for transporting their refuse, complying with county regulations.

X

Final Solid Waste Disposal 1. Residues shall be disposed off at the Cerro Patacón sanitary

landfill. Measures are being met. X

Wastewater

1. At short-term work sites, portable field toilets shall be provided at a rate of one per each 20 workers.

Portable latrines are available are different working fronts, both for PAC 1 and 2, in compliance with applicable safety and health regulations, as required in the contract specifications.

X

Hazardous waste

1. Verify that a hazardous waste management system is in place. Contractor collects hazardous waste in 55 gallons drums, in a area segregated for this purpose, where adequate measures for spill control haven taken.

X

2. Final elimination shall be authorized and performed at facilities designed for this purpose o recycling centers.

There is a hazardous waste management program in place. Recoil y SIASA, S.A. are the two companies responsible for collections, processing and/or reutilization of used oil for both PAC 1 and 2, respectively. During collections operations of hazardous waste, contractors personnel are on site.

X

3. Contractor shall pack and label all hazardous wastes in a secure manner.

Hazardous waste management program is being complied with. X

Inspection of the storage area of hazardous waste 1. Verify that periodic inspections are conducted at storage areas

and that they comply with established regulations. Daily inspections take place in all hydrocarbon storage areas, at the storage area, and also at the compressed gas cylinders areas.

X

2. Inspect on a regular basis tanks and containers used for residues.

Daily inspections take place in which tanks containing hazardous wastes are verify for compliance in accordance with the manual for handling of hazardous wastes and materials.

X

3. All drums and containers in the hazardous waste storage area shall be inventoried and listed in a permanent record

Measure being met, there is a system to control 55 gal drums with hazardous wastes.

X

4. No drum or container in the storage area that is marked “Hazardous Waste” may remain more than two months in that

Monitoring assures compliance of this measure. Drums are removed weekly.

X


45

Compliance MITIGATICONTRO

ON MEASURES, MONITORING, SURVEILLANCE AND L DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES/COMMENTS


location. Transportation of hazardous waste 1. The Contractor shall use drums and/or containers in good

condition. It was verified during the field inspection that the tanks and/or containers comply with usage requirements.

X

2. All containers shall be marked as hazardous by means of labels or decals.

Measure being met; verified during field inspection. X

3. A record shall be kept of all containers transported to their final disposal site.

There is proof of income and payment of the waste. X

Materials Management Program Procedures for handling 1. The movement of materials more than four meters long shall be

made by groups of workers, posting one employee at every four meters.

ACP complies with this measure X

2. 55 gallon drums may only be loaded manually, and drums with a larger storage PACacity shall be moved with wheelbarrows of other machinery.

Manual movement of 55 gallons barrels is not allowed. Informative sessions have been provided to workers in order to stress the importance of these measures.

X

3. The maximum load a worker may move manually may not exceed 50 pounds. Mechanical handling equipment shall be used for loads exceeding the allowed weight limit.

Handling of load which exceeds 50 pounds is not allowed. Informative sessions have been provided to workers in order to stress the importance of these measures.

X

4. Employees shall use the necessary protection equipment for the work they perform, especially when such work involves the movement of objects with sharp edges, slivers, nails, or other hazardous objects.

It was verified that employees had the proper equipment for handling the materials.

X

5. When using wheelbarrows, employees shall observe the following: • Ensure that the area over which the load will be moved is

flat. • When unloading onto containment areas, chocks must be

placed in the unloading area. • Never turn your back on a load.

Informative sessions have been provided in order to stress the importance of these measures.

X

Hazardous Materials Management Transport, storage and use of explosives

1. The Contractor submit all the necessary information confirming that the personnel performing activities requiring the use of explosives are qualified for such work, and are also familiar with the safety regulations on explosives.

PAC 2 has one blast specialist (Ing, Osvaldo Díaz). In PAC 1 CUSA develop its blasting plan which revised and certified by the firm Austin Caribbean. The Plan provides information related to the site, hour elevation, climatic conditions, explosives used, weight, seismograph information, estimation of vibrations.

X


46



2. Those in charge of the blasting have a device to detect electrical storms in a radius of 10 miles during the transportation, storage, and handling of explosives

This measure has been implemented in PAC 1 and PAC 2 X

3. The quality and manufacturing standards shall comply with Panama and international standards.

ACP complies with this measure. X

4. There shall be a shipping manifest for the explosives to be used, stating their date of shipment, their date of arrival, the name of the Contractor, the type and name of the hauler, and its classification according to United Nations standards.

ACP complies with this measure and with regulations. X

5. All shipping manifests for explosives shall clearly state the contents of the shipment, and their Material Safety Data Sheets shall be on the outside of each box.

ACP complies with this measure. X

6. The delivery of the explosives shall be planned in advance to avoid surpluses. This planning must be made with the assistance of a blasting plan stating the quantity of explosives, and starters, and the location at the plant.

Deliveries are planned according to the blasting program or plan. X

7. Any vehicle to be used by the Contractor to carry explosives shall be approved by the Panama Canal Authority.

ACP verifies and approves the explosives transportation to the Project areas. X

8. Storage facilities containing explosives shall display proper signage according to the type of facility and to the provisions of Publication #1 of the Institute of Makers of Explosives (IME).

There is no explosive storage in the Project areas. X

9. Explosives shall be used according to their storage date, giving priority to the oldest, provided they have not deteriorated.

This measure has been included in the blasting plan. X

10. At the time of the blasting, the perimeter shall have proper safety warning signage, barricades, and cones. In addition, the area shall have berms of a similar or larger diameter than that of the tires of the largest vehicle transiting the area.

ACP complies with this measure according to the Blasting plan in PAC1 and PAC 2. X

11. Blasting design and optimization rules established by the manufacturers for conditions such as the verticality of the holes, time fuses, and the properties of the explosives shall be followed. Likewise, each blast hole shall be inspected for obstructions.

ACP complies with this measure X

Materials Handling Flammable liquids, solvents and fuels

1. Eliminate all ignition sources that may generate hazards, such as, lamps, cigarettes, welding, friction, sparks, and chemical reactions.

Employees have been notified about safety procedures and norms to follow in their working areas, Safety and Environment personnel from contractors verify in the field compliance with these regulations.

X


47

Compliance MITIGCON

ATION MEASURES, MONITORING, SURVEILLANCE AND TROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES/COMMENTS


2. Flammable liquid and solvent storage areas shall maintain adequate ventilation in order to prevent the accumulation of vapors.

Sites where flammable liquids, solvents and fuels are storied have good adequate ventilation in PAC 1 and PAC 2

X

3. Storage areas shall have the necessary fire extinguishing equipment, appropriate for the type of material stored. In addition, all personnel must be knowledgeable about the use and location of this equipment.

Different areas of the Project have extinguishing equipment, which are revised monthly. Nevertheless, in PAC 1 and PAC 2 some extinguishers had expired dates dues.

X

4. Storage areas with oil, hydraulic fluids, solvents, paints, and other liquid items used on construction machinery shall be located in a specific area protected from the rain.

There is a designated area for hydrocarbons storage. X

5. Whenever the work requires the use of flammable liquids, solvents, and fuel in confined spaces, Panama Canal Authority regulations that apply to this type of space shall be followed..

Daily inspections do take place X

6. Dispensers shall be equipped with the appropriate grounded safety vent and valves with an automatic lock.

Dispensers are provided with safety vent and automatic lock.

X

7. Verify that fuel or any other hazardous liquid storage drums are kept inside a secondary container with a minimum PACacity of 110% of its volume.

PAC 1 and PAC 2 have tanks for diesel storage which comply with technical specifications with contention PACacity of 110%. Nevertheless in PAC 1 all berms contention keys were open at the moment of the inspection. In case of a spill open keys will allow the flow of hydrocarbons without restriction to periphery drainage.

X

8. The fuel unloading area for supplying storage tanks shall be waterproof and have a containment to control spills.

During inspections all safety and prevention possible measures are considered during fuel loading.

X

9. Verify that during the movement of fuel from trucks to tanks of fuel, it complies with:

• Check that the sumps in the unloading area are working properly.

• Make sure that there is emergency equipment (to control spills and fires) in good working condition.

• Check the stability of the fuel truck at the unloading platform.

• Check that the fuel truck has been grounded. • Check the fuel truck connections to the storage tank

intake. • Have a representative present during the entire fuel

unloading operation. • After transfer operations have been completed, and prior

to disconnecting the connecting hoses, make sure that the valves have been turned off.

Field inspections are performed to assure the compliance of the measure. Daily inspection is done to verify the condition of the sumps are working properly, emergency equipment to control spill is in good working condition including extinguishers and pads. No oil spills events have taken place. During the transfer of fuel the dispensing personnel is present to assure the adequate management.

X


48

Compliance MITIG TCON O

A ION MEASURES, MONITORING, SURVEILLANCE AND TR L DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES/COMMENTS


• Daily inspections shall be conducted at containment areas.

Compressed gas cylinders 1. All employees using compressed gas cylinders shall be

knowledgeable about the hazards of their handling, and the actions they must take in the case of an emergency.

An informative session about industrial safety took place, short inductions are conducted in different issues related to management materials

X

2. Periodic inspections shall be conducted on the alarm systems and sites where the equipment is located, to detect any gas leaks. These inspections shall be done according to the manufacturer’s recommendations.

In PAC 1 and PAC 2 safety personnel performs inspections to detect esPACe of gases.

X

3. All cylinders shall bear markings identifying their contents. Daily inspections are conducted to check labeling in gas cylinders. X 4. The following precautions must be taken during

transportation of compressed gas cylinders: • Do not drag, roll, or slide the cylinders on the ground, • Whenever they are moved manually, a cart especially

designed for such purpose shall be used, and each cylinder shall be moved separately, keeping its protective cover in place.

• Cylinder storage sites shall be well vented. • Access to cylinder storage sites shall be limited

exclusively to authorized personnel.

Inspection during the movement of cylinders. All cylinders are transported in carts according to the ACP procedure. Storage area has good ventilation. Storage area is locked with only authorized personnel access. Signs are used to warn about restriction in PAC 1 and PAC 2

X

5. Cylinder storage sites shall be well vented, dry, not hot, and away from incompatible materials, heat sources, and areas that could be affected during an emergency The sites of storage of the cylinders should be well ventilated, dry.

The implementation of this measure was verified on the field. X

6. Empty cylinders shall be stored away from full cylinders. However, the same safety standards must be applied to both.

The implementation of this measure was verified on the field. X

7. Access to cylinder storage sites shall be limited exclusively to authorized personnel. Also, the necessary safety measures shall be taken at such sites to prevent the cylinders from falling, being hit, or handled by unauthorized persons..

Access to the storage area is restricted only authorized personnel are allowed at the site.

X

No Hazardous Materials Handling Materials care worker 1. The Labor Code of the Republic of Panama requires the employer

to provide a safe place to store worker belongings that must be For PAC 2 there is a locker assigned for personal belongings. During the

X


49

Compliance MITIGATION MEASURES, MONITORING, SURVCONTROL DESCRIBED IN THE PMA APPR

EILLANCE AND OVAL RESOLUTION ACTIVITIES/COMMENTS


kept at the workplace by reason of the work. month of September more lockers are available for workers. In PAC 1 remote areas tents are available to be used for personal belongings.

Food handling 1. The areas to store these items shall be designed to keep them at

the temperature and humidity necessary to adequately preserve their contents.

There is a refrigerator for the use of employees in the building. X

2. Perform regular maintenance of refrigeration equipment. Maintenance personnel clean the refrigerator every 3 days and clean the cafeteria area.

X

3. Verify that all containers containing appropriate cover Stored food have closed containers to ensure hygiene conditions. X Inspección en la zonas de almacenamientos 1. Materials storage areas shall be inspected monthly to ensure the

proper storage of all materials, their inventory, and that the aisles between the stored materials are kept free from obstructions to allow access to them. These inspections shall be recorded and included in quarterly operation reports.

The Ecoambiente firm conducts field inspections to verify the implementation of measures of the EMP PAC 1 and PAC 2 and DECASA for PAC 2.

X

2. Inspections shall be conducted at fuel storage areas at least weekly by recording the condition of tanks, containment dikes, sumps, and all related equipment.

The Ecoambiente firm conducts field inspections to verify the implementation of measures of the PMA PAC 1 and DECASA for PAC 2.

X

3. Inspections of the personal use storage areas shall be conducted weekly for the purpose of ensuring their cleanliness, and their inspection documents shall be attached to the quarterly operation reports.

The Ecoambiente firm conducts field inspections to verify the implementation of measures of the PMA PAC 1 and DECASA for PAC 2.

X

Socioeconomic and Cultural Program Measures to Promote Employment

1. Promote the hiring of local manual labor according to recruitment requirements and general policies regarding the work and employment conditions, on the basis of the Equator Principles and the IFC Social and Environmental Sustainability Performance.

The measures effectiveness is reflected on the quantity of labor, services and deliveries acquired from local subcontractors by CUSA as well as by CILSA. This dynamic generates a multiplier positive effect on the national economy though the salaries payment and contracted services. Until September 30th, 2008 CUSA and CILSA Panamá S. A. have contracted 463 persons including administrative workers, manual workers (assistants, maintenance, and warehouse staff), and heavy equipment operators. Furthermore, CUSA and CILSA have contracted services from the following companies:

• DESARROLLO ECOLÓGICO Y AMBIENTALES • ELECTRICA DE MEDELLIN • CARDOZE Y LINDO, S.A.

X


50



• TECNOLOGÍA SANITARIA, S.A • ENVIROLAB • AUSTIN CARIBBEAN, S.A. • ASOCIACIÓN PANAMERICANA PARA LA CONSERVACIÓN • ECOAMBIENTE S.A. • LIVING PANAMÁ, S.A. • MINERIA, EXPLOSIVOS Y SERVICIOS, S.A. • TECNILAB, S.A. • GRASSTECH • FUNDACIONES, S.A. • SERVIEQUIPO • PRO-ONE S.A. • MURGOS ARQUITECTOS S.A. •

2. Include in the bid specifications the dissemination of employment opportunities to the country’s population through the mass media, as appropriate.

Have been incorporated into the RFP all activities necessary for the development of projects, which allow to anticipate the characteristics of the workforce that will require the project.

X

Measures to offset the impact of public infrastructure 1. Build new transmission towers prior to the start of the

construction phase to replace those that will be affected. For the PAC 1, the transmission towers of ETESA 230 kV line are being replaced.

X

2. Take the necessary precautions to ensure that public infrastructures are modified without affecting their service.

The replacement of ETESA 230 kV line, corresponding to PAC 1, is being executed without affecting the existing service. For PAC 2, the activities involving works on infrastructure used for public services have not initiated.

X

Measures to prevent the increased risk of diseases 1. Implement the Solid Waste Management Program of the

Panama Canal Authority for the identification of problems relative to the improper handing of solid waste and the design of alternatives using the proper technology according to the features of the region and the waste produced.

Both, PAC 1 and PAC 2, have an adequate waste management and final disposal.

X

2. Strengthen the disease vector control Program of the Panama Canal Authority and the Panama Ministry of Health (MINSA). The aim of this program is to reduce the morbidity associated with vectors, such as those of leishmaniasis, malaria, Chagas, and dengue fever disease.

Trainings and seminars on vectors controls have been given to PAC 1 and PAC 2 staff.

X

3. Keep health centers in the surrounding areas informed about the progress of the Project and the number of active personnel involved, so they may be prepared to provide emergency treatment, if necessary).

The measure is met. X


51



Measures to prevent the increase in the risk of accidents

1. Apply a strict policy of work safety education and information for Contractor and Subcontractor personnel

For PAC 1 as well as for PAC 2, the contractors have hygiene and safety staff responsible for workers training in all aspects related to safety at workplace and project areas.

2. Provide all workers with personal protection equipment according to Panama Canal Authority standards, and enforce their use at work sites

The staff has been provided with adequate safety equipment to perform their duties in all the project areas.

X

3. Install the appropriate signage at work sites. It was confirmed that working areas have been properly signalized X 4. Implement preventive maintenance programs for machinery and

equipment. It was verified that a preventive maintenance program have been implemented for the project machinery and equipment.

X

Mitigation measures for the increase in waste generation 1. Require that Contractors disseminate and enforce compliance

by their employees of the requirements established by the Panama Canal Authority in its Materials and Waste Management Manual

Both, PAC 1 and PAC 2, have an adequate waste management and final disposal.

X

2. Establish well defined areas to supply foods and beverages, in order to prevent littering in other Project areas.

Places have been defined for food and rest areas, also garbage cans at locations, properly identified for metal, organics, paper or cardboard, wood, glass and plastic wastes segregation and collection .

X

3. Install trash cans and signs in areas with greater worker and visitor density.


Measures to Mitigate the Effect in the LandsPACe 1. Implement an effective control of dust and gas emissions to

prevent the rising of gas clouds and/or particulate materials from chimney exhaust, as generated by activities such as excavation and blasting.

The measure is met through the execution of controlled blasting conducted in accordance with safety precautions and environmental safeguards.

X

2. Disseminate literature about the on going work at lookouts set up by the Panama Canal Authority


3. Improve the visual aspect of excavation slopes and fills with replanted vegetation.

The vegetation replanting plan is met as works progress. X

Measures to Control the Allocation of Known Archaeological Sites

1. The hiring of a professional archaeologist for the implementation of an Archaeological Rescue and Salvage Plan.

Since October 2008, ACP hired JCG Associates services in order to analyze sites with archaeological findings detected during earth movements in the expansion project areas (dry excavation and dredging) aiming to evaluate its archeological, historical or cultural value.

X

2. Archaeological rescue and salvage, if applicable, under a plan that includes various office and field activities; introduce informative material of ongoing Works in lookouts facilities.

Par rapport to this measure compliance, ACP complies with the PMA and before initiating activities on known sites, completed the remaining rescue. These works were performed by professional archeologists, using qualified technical equipments, and included the recognition, evaluation, survey

X


52



studies, and rescue, before and during the projects construction works. 3. A constant monitoring of earth movement for the purpose of

detecting other unreported archaeological sites. In PAC 1 as well as in PAC 2, monitoring requirements are met; monitoring is performed by CUSA, CILSA and ACP staff.

X

Measures to Control the Allocation of Unknown archaeological and paleontological sites 1. Stop the activity that generated the discovery, in a radius of at

least 50 meters. The measure has been communicated to the staff, particularly to those having heave equipment driving responsibilities

X

2. Contact a professional archaeologist or paleontologist, as appropriate, and notify the competent authority (National Historic Patrimony Directorate - DNPH-INAC.

Par rapport to the compliance of measures for unknown paleontology sites, ACP complies with the PMA and for the measures implementation has contracted the Smithsonian Tropical Research Institute (STRI) to perform the study and rescue of paleontology resources in excavating and dredging sites associated to the Panama Canal expansion project

X

3. The professional archaeologist or paleontologist shall take the pertinent actions to record the removed substrata and assess the undisturbed context over a prudential period that may not affect Project work, but also may not detract from the quality of a detailed professional recording of information about the discovered site or sites.

The STRI has performed works that includes the search and classification of rocks formations according to their potential, the exploration and rescue of paleontology remains, and their identification. Other performed activities are the preliminary recognition of remains found, a geo referenced data base creation, the collection of rock samples for their cross dating by geo chronologic techniques, the measure of stratigraphic columns, the structural data collection, and the preservation of such resources.

X

4. The promoter shall take action to preserve these resources in the manner they were at the initial moment they were found. The promoter shall protect these resources and be responsible for their preservation until the competent authority informs it about the procedure to be followed.

The measure is met.

COMPLIANCE MITIGATION MEASURES, MONITORING, SURVEILLANCE AND

CONTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES /COMMENTS YES NO Not

Applicable Measures specified in the resolution environmental DIEORA 632-2007 1. Comply with Law 1 of 3 February 1994, Forestal de la

República de Panamá. There are no evidences of non compliance with regards to this requirement in either PAC 1 and PAC 2

X

2. Prior to the commissioning of the works, the developer must Ecological compensation payments have been made in accordance with X


53

COMPLIANCE MITIGCON

ATION MEASURES, MONITORING, SURVEILLANCE AND TROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES /COMMENTS

YES NO Not Applicable

have paid in full the resulting amount to the relevant Regional Administrations of the National Environmental Authority as Ecological Indemnification, pursuant to the provisions of Resolution AG-0235-2003, in addition to the logging, uprooting and mangrove payment rates charged by the competent authority.

ANAM resolution.

3. As ecological compensation for the affectation of mangrove ecosystems, secondary forests, brushes and others found in terrestrial disposal sites, must replant twice the amount of vegetation and mangrove ecosystem affected, with species native to the area in sites selected in coordination with ANAM and must provide the appropriate maintenance thereof.

Reforestation plans have been implemented in an efficient manner. X

4. Comply with Law 24, of 7 June 1995. Wildlife Protection Law. There are no evidences of non compliance with regards to this requirement in either PAC 1 and PAC 2

X

5. Prior to the commissioning of the construction works and/or activities, usage of land and water disposal sites, canalization works, land movement and grading, vegetation clearing and all activities that involve affecting wild animals due to the execution of the Panama Canal Expansion Project, must conduct the rescue and relocation of the fauna; to that effect, the implementation of the Fauna Rescue and Relocation Plan must be coordinated with the relevant Regional Administrations of ANAM.

Both in PAC 1 and PAC 2 wildlife rescue plans have been executed. In addition, wildlife rescue activities continue as the works progress if the presence of animals is observed.

X

6. Every six (6) months while the mitigation measures established in the Environmental Management Plan and those included herein are under implementation, submit for the evaluation and approval of the corresponding Environmental Regional Administration a report on the application and efficiency of such measures, pursuant to the guidelines included in the Category III Environmental Impact Study and in this Resolution. Said report shall be prepared by a competent professional and independent from the project developer company to which such Environmental Impact Study corresponds.

This measure is being complied with. X

7. Inform ANAM of all modifications and changes in techniques and measures that may not be considered in the approved Category III Environmental Impact Study (EIS), for the purpose of confirming whether such modifications or changes require the application of Article 15 of the above-mentioned



54

COMPLIANCE MITI NG, SURVEILLANCE AND CON APPROVAL RESOLUTION

GATION MEASURES, MONITORITROL DESCRIBED IN THE PMA ACTIVITIES /COMMENTS


Executive Decree 209 of 2006. 8. Implement effective measures to protect all underground

water sources and aquifers located within the project area of influence.

There are no evidences of non compliance with regards to this requirement.

X

9. The developer is bound to prevent erosive effects on the soil of the dredged material deposit sites, as well as to implement effective measures and actions to control superficial run-off and sedimentation

Measures of the Soil Protection Program are being complied with, especially those aimed at soil erosion and sedimentation control.

X

10. Install a network of stations to monitor atmospheric emissions; these stations shall monitor the following parameters: nitrogen oxides (NOx), particulate material (PM), particulate material of less than 10 micras (PM10), sulphur dioxide (SO2), carbon monoxide (CO), and lead (Pb). The results of these monitoring processes shall be submitted to ANAM and other competent agencies every six (6) months while project works are underway.

Measure is being complied with. See Annex 5-11, Air Quality Monitoring in Panama Canal Areas.

X

11. Once a year submit to ANAM reports with the results of the monitoring activities conducted on water, soil, and air quality, noise and vibrations, during project construction and operation phases through the use of well recognized methodologies; present the respective custody chains, analysis methodologies utilized, measurement equipment specifications, and their respective gauging certificates, all of which shall be written in Spanish.


12. The project developer shall be responsible for the integrated management of waste materials from the project area during the project construction and operation phases. Temporary and/or final disposal of these waste materials into water bodies is hereby forbidden. Wastes shall be deposited only in sites that have been previously authorized by the competent authority

To date there is no record of a non compliance with regards to the handling of wastes.

X

13. Have all required signs in place in all work sites, materials storage and heavy duty equipment entry and exit sites, during the day and during the night, in coordination with the relevant authorities.

Project areas have been properly marked with signs, both in PAC 1 and in PAC 2.

X

14. Prior to the commissioning of any project works, implement all safety and industrial hygiene measures established in our country for the execution of projects of this type.

This measure is being complied with in PAC 1 and in PAC 2. X

15. Comply with the DGNTI COPANIT 44-2000 Technical There are no evidences of non compliances with regards to this X


55

COMPLIANCE MITIGCON

ATION MEASURES, MONITORING, SURVEILLANCE AND TROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES /COMMENTS


Regulations, which prescribes the hygiene and safety conditions required for noise-generating working environments

requirement in el PAC 1 or PAC 2.

16. Comply with Executive Decree 306 of September 4, 2002, “By which the Regulations for Noise control in Public Spaces, Residential or Living Areas, and in work environments where vibrations are generated, are established.”

There are no evidences of non compliances with regards to this requirement in el PAC 1 or PAC 2.

X

17. Comply with DGNTI-COPANIT-45-2000 Technical Regulations which establish the hygienic and safety conditions required for work environments where vibrations are generated.

There are no evidences of non compliances with regards to this requirement in el PAC 1 or PAC 2. X

18. Comply with Law 6 of January 11, 2007, which prescribes the Rules on the Management of Oily Residues derived from synthetically-based hydrocarbons for the territory of Panama.

There are no evidences of non compliances with regards to this requirement in el PAC 1 or PAC 2. X

19. The developer shall be responsible for maintaining vigilance and control on the enforcement of these environmental measures to protect biodiversity during all the different project phases, and shall advise all individuals who may occupy and transit the different project areas, regarding the preservation and protection rules required in order to maintain biodiversity.

This measure is complied with; IARM staff supervises and follows up the activities of the contractors, both in PAC 1 and in PAC 2. X

20. Conduct an inventory of the status of any potentially-affected structures, including the Centennial Bridge, and inspect the structures of said bridge after performing any blasting operations that might cause affectations thereto. Shall submit reports on the results of the inspections to the competent authorities before performing such blasting operations.

Structures that could be affected have been identified, preventive and mitigate measures have been taken by applying controlled blasting techniques and adequate planning. X


This measure is complied with; IARM staff supervises and follows up the activities of the PAC 1 and PAC 2 contractors.

X

22. Prior to the commissioning of the project, place a sign in a visible location within the project area, following the format attached hereto.

Signs with the format required by the resolution are placed in project site. X

23. At all times implement the Agreement between the National Environmental Authority and the Panama Canal Authority on the Coordination of the Environmental Impact Study-or studies, as the case may be-for the project(s) related to the


NVIRONMENTAL RESOURCES MANAGEMENT AUTORIDAD DEL CANAL DE PANAMÁ DIC. 2008

56

COMPLIANCE MITI D CON

GATION MEASURES, MONITORING, SURVEILLANCE ANTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION

E

ACTIVITIES /COMMENTS YES NO Not

Applicable Construction of a Third Set of Locks in the Panama Canal.

24. Comply with all of the existing Laws, Rules, Decrees, Regulations and Administrative Resolutions of the Republic of Panama, which are applicable for this type of project developments.

There are no evidences of non compliances with regards to this requirement in el PAC 1 or PAC 2.

X

5.2 WIDENING AND DEEPENING OF THE GATUN LAKE NAVEGATION CHANNEL AND CULEBRA CUT

ACP made periodical monitoring for the mitigation measures implementation specified in the PMA related to the Gatun Lake and Culebra Cut widening and deepening activities. The widening and deepening tasks in the Gatun Lake and Culebra Cut are executed with a combination of internal resources from ACP and external resources through the contractors. ACP performed inspections with ANAM´s representatives to determine the ecological compensation payment and to approve the wild life rescue plan.

The reports provided by ACP were reviewed by ERM, including the induction tasks annexes, maintenance records, accidents records and the educational conversations, and visited the work areas to interview ACP laborers and contractors. The outcome covered a period of time from April to September 2008. In the reported period, ACP´s Dredging Division dredged 2.9 million cubic meters in the San Pablo reach. At the end of September, according to the report, the dry excavation tasks began at the Gatun lake reach.

The Culebra Cut deepening tasks began in the month of April 2008 and they consisted in breaking a rock layer in the center, specifically in Cunette. To deepen this area, the rock layer has to be broken before it is dredge. The drilling and blasting tasks have been performed by the Thor barge, which belong to ACP. Until this date, the submarine blasting of 215,000 cubic meters of rock material in the Culebra Cut have been completed. This material will be dredged at a later time.

5.2.1 Compliance Observations

As indicated before in this report, the deepening works in the Gatun Lake and the Culebra Cut just began. On the other hand, the activities in these two working areas have a specific nature according with ACP traditional operations, for as many PMA mitigation measures are not applicable. Other measure will be implemented in the future as soon as the activities are fully developed and it is required. The outcome of the implemented mitigation measures are presented in a compliance matrix joined with the text.

The implemented mitigation measures correspond to the following


57

programs:

5.2.1.1. Mitigation Plan Measures

5.2.1.1.1. Air, Noise and Vibrations Quality Control Program

No situations for non compliance were detected. The application and the efficiency of the air quality control measures in the machinery, dirt control, noise and vibrations were verified. Dredging Division has preventive maintenance program for all the Division machinery, including the ones assigned to the Canal expansion works. The machinery movement in the San Pablo reach were carry out in the rainy season for the that reason the works areas did not need humidification.

No communities or houses are near the project activities, there would not be any impacts of this type generated by the project. In regards to the personnel, equipment has been given out to perform their tasks in low risk conditions for noise or vibrations.

5.2.1.1.2. Soil Protection Program

Until this date, all the measures established in the standards are accomplished. The program included landslide control measurement, soil erosion and sedimentation. The measurements for the soil pollution control will be discussed in the following semiannual report because it is only applied to San Pablo reach, area where the works have been performed for three days only in the month of September. No inappropriate practices or soil contamination were detected during the inspection visits in the month of November.

5.2.1.1.3. Water Resources Protection Program

The installation of a prefilter in the crude water supply system for the Barro Colorado Island was completed and the measures to reduce the turbidity during the dredging phase were verified. The dredging material disposal from the Mindi Cut and Suction dredge is performed according to what is established in the PMA. This material is disposed in the Frijoles site, area selected for this activity using small bays or creeks, forming small beaches that will naturally revegetate in a long term. (See annex 5-2; photographs 22 and 23).


58

5.2.1.1.4. Flora and Fauna Protection Program

ACP made the ecological compensation payments for vegetation lost. On the other hand, the reforestation works in Volcan Baru National Park (Chiriqui province) are planned to begin in the month of May 2009 (See annex 5-15, Payment records for Gatun lake Ecological Compensation).

In regards to the measures for the wildlife protection, a contract was adjudged to Asociación Panamericana para la Conservación (APPC) in the month of August for the wildlife rescue in the Gatun Lake. On the other hand, on September 24, ANAM approved the Wildlife Rescue and Relocation Plan for the Gatun lake Widening and Deepening Navegation Channel (See annex 5-16, Wildlife Rescue and Relocation Plan Approval note).

ERM interviewed professional personnel from APPC working at the San Pablo reach during an inspection visit and observed the fauna handling tasks. APPC also delivered a methodology training course to protect the wildlife for ACP personnel.

5.2.1.1.5. Waste Management Program

The solid waste, liquid and hazardous management is performed following the ACP internal standards and there were faults detected in the compliance. The solid wastes are removed by the Urban and Residential Sanitation Municipal Administration (DIMAUD, known in Spanish) and taken to the Patacon Hill landfill site. The used oil is processed in a water/oil separator and it is used in ACP´s thermal plant. Also, the hazardous and explosives wastes are handled according to ACP´s internal security standards.

5.2.1.1.6. Material Management Program

It is accomplished according to ACP´s environmental standards. ACP establishes the oil/lubricant and solvents procedures respectively. The environmental standards are as follow:

• ESM103 Environmental Standard for management and use of oil lubricants and hydrocarbon derivates. July 28, 2003.

• ESM-108 Environmental Standard for used solvents recovery and


59

management. August 11, 2003.

• Material and Waste Management Manual. Panama Canal Authority. October 2003.

5.2.1.1.7. Socioeconomic and Cultural Program

ACP Dredging Division has contracted 42 employees from April thru September 2008 and also contracted subcontractors additional services.

Pieces of wagon, rails, chains and telegraphic posts were recovered during the Rialto M. Christensen dredge operation in the San Pablo reach, east side of the navigation channel. This discovery was notified to the Historic Patrimony Administration of the National Culture Institute, on September 15, 2008 and coordination is being held at this moment this institution for the submittal of these resources (See annex 5-17, Note delivered to National Culture Institute).

On the other hand, a general good compliance was observed in the measures implementation to prevent the increase of labor accidents. Nevertheless, ERM noted in the inspection that one of the dredge operators on the Mindi Dredge was not using his ears protection in the machinery room. (See annex 5-2; photographs, photo 24).

According to the records revised by ERM, the first training speech was given on July 4, 2008 and it was focused on transmitting the Panama Canal Expansion Project Environmental Considerations. Additionally, training was held on July 2007, for the appropriate use of oil and fuel to minimize oil spills possibilities. The training for the adequate management of wildlife was held on September 29, 2008 by Roberto master, professional from APPC.

ERM confirmed the compliance with ACP’s internal standards for the material handling, accidents prevention and training for ACP Dredging Division operators.


60

5.2.1.2. Monitoring Plan

5.2.1.2.1. Air Quality Monitoring

The records for the compliance, in regards of the planned monitoring activities for this component were observed.

According to the air quality monitoring report, prepared with the data collected by the university of Panama Specialized Analysis Institute for ACP, the measurements were held in Miraflores, Gatun and Pedro Miguel Locks, Gatun Fire Station, Environmental Office in Gamboa, Paraiso community and Cocoli´s construction area. Some of the stations of the air quality monitoring net where installed as part of the actual operations. (See annex 5-11, Air Quality Monitoring in Panama Canal Areas).

Concerning the Gatun Lake and Culebra Cut widening and deepening navigation channel actual works, based on its position, the reference station is located in the Environmental Office in Gamboa. In that station, where PM 10 and NO2 is monitored, according to the monitoring results, all the ACP guide values are accomplished, in both the 24 hours average and the annual average.

5.2.1.2.2. Noise Monitoring

No environmental noise monitoring has been performed because the project activities are far away form the communities o homes.

In regards to the noise monitoring in the work areas, ACP performs periodic evaluations. The noise evaluation results on the Mindi Dredge indicate that many working areas require the use of ear protection equipment, because the noise generation levels are above the value standards. (Technical Rule DGNTI – COPANIT- 44-2000). The noise generating source for these levels can not be subdued because the activities are critical for the operation and it is strictly related to these type of work. For such reason, the preventive measures are directed to protect the workers with the use of ear plugs and ear protection devices. (See annex 5-18, Mindi Dredge Noise Evaluation Report).


61


62

5.2.1.2.3. Vibration Monitoring

The submarine blasting detonations in the Gatun Lake have been performed in sites far away from the communities or homes. No records are held.

5.2.1.2.4. Soil Monitoring

ACP holds a strict control of landslides in the Culebra Cut, continuing with the application of monitoring measures required in the PMA. (See annex 5-19, Procedure for Landslide Quick Response).

5.2.1.2.5. Water and Sediment Quality Program

ERM verified that the measures related to water quality preservation and monitoring has been efficiently implemented. Soon, the bimonthly water quality monitoring will begin in seven additional sampling stations.

The sediments monitoring will be performed annually, while the bents, plankton and fishes will be reported biannually, according to what is established in the PMA.

Following, the compliance matrix presents a complete summary of the mitigation measures implementation.


CONTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES REALIZED/COMMENTS Yes NO Not

Applicable MITIGATION MEASURES, MONITORING, SURVEILLANCE AND CONTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION Air Quality Control Measurments

1. All engines will be properly maintained to maximize combustion efficiency and minimize pollutant emissions.

ACP through its Dredging Division has a preventive maintenance program for all the equipment used in the Project.

X

2. Combustion engines (use of heavy equipment in the excavation dry) must be equipped with exhaust systems and filters (where applicable) in good operating conditions, recommending that it does not go over 10 years of use.

It is verified that according to the preventive maintenance requirements the equipments are in good operating conditions and comply with adequate time of use. Filters in the machines are replaced periodically..

X

3. In dry season, work areas will remain wet to minimize dispersion of dust

Equipment in the San Pablo reach was used during the raining season, making unnecessary to humidify the working areas. Site conditions do not require this activity.

X

4. No waste is incinerated on site. It is forbidden to incinerate waste in the working areas. Each Project has its own installations and specific procedures for short term storage and waste management.

X

Nuisance Odor Control

1. Establish a preventive maintenance program for vehicle fleet. ACP through its Dredging Division has a preventive maintenance program for all the equipment used in the Project.

X

2. Provide proper maintenance of the machinery and prevent the generation of nuisance odors polluting the environment.

Preventive maintenance is performed to all equipment used by ACP Dredging Division.

X

Noise Control Measurements 1. Verify noise conditions (assess).

Through field inspections is verified that all equipment is in adequate conditions and operators are using their noise protection equipment.

X

2. Keep all equipment and building stock in good condition and Through field inspections is verified that all equipment is in adequate X

SEMESTER VERIFICATION REPORT OF THE IMPLEMENTATION AND EFFICIENCY OF THE MITIGATION MEASURES CONTAINED IN THE ENVIRONMENTAL IMPACT STUDY – LEVEL III

“WIDENING AND DEEPINING OF GATUN LAKE AND DEEPINING OF CULEBRA CUT”

Contractor: Panama Canal Authority (ACP) – Dredging Division Report: ERM 001 – December 2008 Measures implemented from April to September 2008 Project: Panama Canal Expansion: Widening and Deeping of Gatun Lake and deepening of Culebra cut

EIA approval Date: November the 9th, 2007

No. Approval Resolution: DIEORA IA-632-07. Phase: ■ Construction □ Operation □ Abandoned

Location: Gatun Lake and Culebra Cut Environmental monitoring: ACP


63


64

COMPLIANCE MITIG NG, SURVEILLANCE AND ATION MEASURES, MONITORIROL DESCRIBED IN THE PMA ACONT PPROVAL RESOLUTION ACTIVITIES REALIZED/COMMENTS


with adequate mufflers systems. conditions and operators are using their noise protection equipment.

3. Minimize, where possible, the operating time of the sources of noise emission and equipment to avoid idle running

Based on field inspections it is verified that equipment that equipment that is not operating is not in a running mode unnecessarily. Specific instructions have been provided for this purpose.

X

4. The Contractor shall comply with all rules, regulations and ordinances in reference to government control of noise levels applicable to any work on the Contract.

There are not sensitive receptors (towns, public or private infrastructure) close to the working areas.

X

Vibration Control Measurement

1. Limiting the speed of vibration as set forth in the documents (specifications) of the contract to protect the structures that could potentially be affected

In the working areas of Gatun and Gamboa Reach there are not sensitive receptors ( town or public and private infrastructure) Measurements were taken of vibrations north of Culebra Cut and are available on the Geotechnical section.

X

2. Monitor vibration on critical sites (sensitive) during the period of construction.

In the working areas of Gatun and Gamboa Reach there are not sensitive receptors (town or public and private infrastructure) Measurements were taken of vibrations north of Culebra Cut and are available on the Geotechnical section.

X

3. Comply with the requirements and regulations of the competent authorities regarding the use of explosives.

There is compliance with the requirements for explosive handling. X

Soil Protection Program Bankments Settlement Control 1. Undertake monitoring of slope deformation and motion. Visual inspections and registry of evidence of activities is being performed. X Landslide Control 1. Stabilize slopes with a history of recurring landslides, reducing

the forces that encourage settlings digging at the top of the slope or "head" before the dredging of the base or "toe" of the underwater slope

ACP performs field inspections and slides inventory. This activity helps to identify sinking, undermining, cracks and other phenomena related to slope instability to establish corrective measures.

X

2. Reduce the burden without increasing infiltration into the slope and if necessary the sealing surface so as to reduce the infiltration of water into the slope after excavation. According to the Geotechnical Section of the ACP (2002) estimated that "for every meter to be excavated 34 feet below PLD is required to dig 4 to 5 million cubic meters of additional existing slopes."

No works have been initiated in this component therefore the implementation measures do not apply.

X

3. Decrease the degree of slope in the design of the most unstable slopes using a slope to ensure stability.

This measure is accomplished according to the geotechnical designs. Slope conformation is done according to the geological characteristics of exposed materials.

X

4. Systematic installation of horizontal drains on sloping or unstable slopes are located a spacing consistent with the


X


65

COMPLIANCE MITIGATION MEASURES, MONITORING, SURVEILLANCE AND TROL DESCRIBED IN THE PMA APPROVAL RESOLUTIONCON ACTIVITIES REALIZED/COMMENTS


hydrogeological conditions of each site, to the depth of the flaws when they have been identified..

Soil erosions and sedimentation Control Soil Conservation

1. Carry out the largest movement of land as far as possible during the dry season, prioritizing the start of operations in the areas of greatest slope of the sector such as Culebra Cut and the locks of the Pacific

This activity is programmed in the next six months. X

Slope Stabilization 1. Terrace slopes with cuts of up to 5 m high by maintaining

the inclination of 1:3 to 3:1 slopes. No works have been initiated in this component therefore the implementation measures do not apply.

X 2. Stabilize the exposed face of the slopes using

biodegradable materials such as mattresses. No works have been initiated in this component therefore the implementation measures do not apply

X 3. Install underground drains in the saturated slopes and

reduce infiltration into the sub-surface using longitudinal drains at the base of the slopes.


X

4. Sites likely to stabilize landslides, subsidence, landslides and other mass movements.

No works have been initiated in this component therefore the implementation measures do not apply

X

5. Verify stabilizing cuts roads No works have been initiated in this component therefore the implementation measures do not apply.

X Soil Contamination Control

1. Control and Maintenance of Machinery and Equipment Construction Project, which must be controlled through detailed records to ensure compliance with the specifications, set by manufacturers for the type and frequency of maintenance for each team to ensure efficiency operation of the engines. Collect and recycle lubricants and greases during and after the action of the rolling stock maintenance. When these works are finished such facilities must be remediate if they contain residues of oil or other contaminants

ACP through its Dredging Division has a preventive maintenance program for all the equipment used in the Project.

X

2. Staff Training Specialist Fuels Management and Maintenance of Machinery and Equipment

The training for personnel has taken place. X

Water Resources Conservation Program Turbidity reduction during dredging activities

1. Optimizing the cutting speed, balancing, suction and discharge

The maintenance programs to achieve an efficient process at Culebra Cut have been implemented.

X


66

COMPLIANCE MITIG T EILLANCE AND CON O RESOLUTION

A ION MEASURES, MONITORING, SURVTR L DESCRIBED IN THE PMA APPROVAL ACTIVITIES REALIZED/COMMENTS


3. Protect the cutting head or suction. The measure has been implemented. X 4. Optimizing the design of the cutting head. The measure has been implemented. X

Turbidity Reduction during water disposal

1. Download design pro flow density at the exit of the pipe Field inspection complies with this measure (Seer Annex 5.2, photos 22 y 23).

X

2. Curtains use controls sediment in sensitive areas. At the present the dredged material is disposed at Frijoles site. This site was identified as adequate and it is not considered a sensitive area, the measures will be implemented when required

X

3. Coverage of final disposal sites with rocky material at the sites to reach their full potential.


X

4. Coordination of the activities of dredging and deposition, to prevent the discharge of dredged material during the occurrence of fine weather and water currents effects

ACP plans to program all dredging activities to comply with this measure. X

Fauna and Flora Protection Program

Measurements to control lost of vegetation cover

1. Comply with ecological indemnity in accordance with Resolution AG-0235-2003/ANAM.

All payments were made for the Project areas. X

2. During the construction, moving equipment shall be operated in such manner that minimum deterioration is caused to the vegetation and surrounding soils.

Field observations are made to verify any deterioration of vegetation. All operators are communicated about the importance of this issue.

X

3. Train operators on the procedures of clearing the vegetation cover.

Informative talks have been provided to the personnel. X

4. Reforestation and revegetation. In may 2009 reforestation activities will start at Baru National Park in Chiriquí.

X

Measurement for of Lost forestry potential 1. The working area limits shall be clearly marked with

stakes or flagpoles. The compliance with this measure was verified at the field. X

2. Include planting of forest native species in the Reforestation Plan.


X

3. Direct tree falls towards the direct impact area to avoid damage to trees in the adjacent areas which should not be impaired.

The cutting plan is being followed. X

Control of terrestrial habitats lost 1. Reforestation, as a means of compensation heeds both

the vegetation cover loss and the habitat impairment, and offers an alternative in the areas where reforestation is to be carried out.

No works have been initiated in this component therefore the implementation measures do not apply

X


67

COMPLIANCE MITIGATION MEASURES, MONITORING, SURVEILLANCE AND CONTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES REALIZED/COMMENTS


Control of perturbation over the fauna

1. Avoid unnecessary noise generated by whistles, horns, etc

Workers have been warned to avoid these types of devices unnecessarily. Daily inspections are performed. Workers have been trained trough informative talks to avoid fauna perturbation with noise.

X

2. Verify the installation and maintenance of equipment mufflers motor.

The maintenance program is being followed. X

3. Coordinate the rescue of animals entering the work areas.

Personnel from APPC (fauna rescue) were present during the works in the project area. APPC personnel are available upon requirements when accidentally animals enter the project areas.

X

4. Train staff to work on procedures for protection of wildlife and prevent poaching.

Compliance with this measure was assured trough training according to the Induction and training program.

X

Measures for the Control of poaching

1. Prohibit employees from practice any type of hunting or fishing within the project area.

Workers have been advised trough induction and informative talks of prohibitions within Project areas. Training sessions have taken place at the field with workers.

X

2. Prohibit or regulate the use of firearms within the premises of the project.

It is prohibited the use of firearms to the working premises. X

3. Comply with laws and standards set by the National Environment Authority on the protection of wildlife

This is verified with inspections. The rescue and relocations of animals in risk is verified with inspections. No non compliances with the law on wildlife protection have been identified.

X

Waste Management Program

1. Supervise the proper management of solid wastes.

Through inspections it is assured that solid wastes are managed and disposed adequately. During the month of September informative signs were displayed showing proper disposal of wastes in the project area contributing for a better classification of garbage.

X

Solid Waste PACacitation 1. Verify safety meetings and training is provided to

Contractor personnel. Informative talks have been provided to the personnel.

X

Solid Waste Final disposal 1. Municipal Solid Waste in the Pacific area will be disposed

at Cerro Patacon Sanitary Landfill. This measure is being implemented. X

Liquid Effluent 1. Construction sites will be available at leas one portable Portable toilets are used in working areas in the reaches. X


68

COMPLIANCE MITIGAT NG, SURVEILLANCE AND CONTRO A APPROVAL RESOLUTION

ION MEASURES, MONITORIL DESCRIBED IN THE PM ACTIVITIES REALIZED/COMMENTS


toilet for each 20 workers. Material Management Program Hazardous Materials Management Transport, storage and use of explosive.

1. Quality and manufacture regulations must comply with Panamanian and international standards.

This measure is being implemented. . X

2. Explosive to be used shall comply with shipping, arrival date, name of the contractor, tope and name of transportation protocols, in accordance with UN norms.

This measure is being implemented and complies with national regulation. X

3. Documentation for explosive cargo must clearly indicate its contents, and additionally, in each external box an MSD shall be affixed.

This measure is being implemented. X

4. Vehicles used for the transport of explosive shall comply with ACP approval.

ACP verifies and approves explosive transportation to the Project areas. . X

5. Explosive storage areas must be clearly identified in compliance with IME Publication No 1 (Institute of Manufacturers of Explosives).

There is not explosive storage in the Project area. X

6. Whenever blasting is to take place, adequate signage, barricades and warning cones around the perimeter must be implemented. Additionally, berms o similar or bigger diameter of the tires of the biggest vehicle transiting the area.

Underwater explosions comply with measures and regulations established by ACP. X

Material Management Flamable, solvents and combustables

1. Eliminate all sources of ignition that could generate risk such as lights, cigarettes, sparks, and chemical reactions among.

Workers have been instructed to follow safety rules in their working areas Safety and Environment personnel monitor in the field the compliance of rules and procedures.

X

2. Flammable liquids and solvents storage areas shall be properly ventilated to avoid vapor accumulation.

Storages area in the floating equipment has all safety measures to prevent fires.

X

3. Storage areas shall have on site, FIRE extinguisher equipment according to the type of materials stored.

Dredges used in the Project have fire response equipment X

4. Cumplir con las regulaciones establecidas por la ACP cuando los trabajos requieran de la utilización de líquidos inflamables, solventes y combustibles.

Inspections are performed daily.

X

5. Verify that fuel storage tanks or other hazardous materials are properly stored with a secondary contention berm or structure

In San Pablo Reach it was observed the fuel storage for the bulldozer working in the area. Nevertheless due to the nature of works and location no containment walls for spills were established. (See Annex 5.2. photo

X


69

COMPLIANCE MITIG T CE AND CON O TION

A ION MEASURES, MONITORING, SURVEILLANTR L DESCRIBED IN THE PMA APPROVAL RESOLU ACTIVITIES REALIZED/COMMENTS


25). 6. Fuel dispensing areas shall be provided with an

impervious surface and a berm to prevent spills. All safety and prevention measures are considered during unloading. X

Non Hazardous Materials Management Material for employees

1. Republic of Panamá establishes that employer’s area required providing a safe area to store employee’s personal items, for those working on site.

ACP counts with installations for its employees to keep their personal belongings.

X

Socioeconomic and Cultural Program Measures for increases employment generations

1. Promote the hiring of local manual labor according to recruitment requirements and general policies regarding the work and employment conditions, on the basis of the Equator Principles and the IFC Social and Environmental Sustainability Performance Standards.

Works for widening and deepening of the Canal are directed by Dredging Division of ACP. From April to September 42 new employees were hired. The project required hiring of fauna rescue and rent of equipment.

X

2. Include in the bid specifications the dissemination of employment opportunities to the country’s population through the mass media, as appropriate.

For all works that in the process of being contracted, specifications have been incorporated showing the characteristics of type of labor required.

X

Measures to avoid labor diseases. 1. Implement the Solid Waste Management Program of the

Panama Canal Authority for the identification of problems relative to the improper handing of solid waste and the design of alternatives using the proper technology according to the features of the region and the waste produced.

ACP complies with all internal procedures to manage solid wastes. X

2. Strengthen the disease vector control Program of the Panama Canal Authority and the Panama Ministry of Health (MINSA). The aim of this program is to reduce the morbidity associated with vectors, such as those of leishmaniasis, malaria, Chagas, and dengue fever disease.

Talks and seminars take place every week in each workshop and floating equipment. Additionally workers receive training at the Ascanio Arosemena training center. Courses include bio-safety, vector control and handling of fauna.

X

3. Keep health centers in the surrounding areas informed about the progress of the Project and the number of active personnel involved, so they may be prepared to provide emergency treatment, if necessary.

ACP complies with the measure. X

Measures to prevent risks of work accidents 1. Apply a strict policy of work safety education and ACP has a program to prevent labor accidents. Program is implemented X


70

COMPLIANCE MITIG T D CON O

AT

ION MEASURES, MONITORING, SURVEILLANCE ANL DESCRIBED IN THE PMA APPROVAL RESOLUTIONR ACTIVITIES REALIZED/COMMENTS


information for Contractor and Subcontractor personnel by the Occupational Health and Safety office. 2. Provide all workers with personal protection equipment

according to Panama Canal Authority standards, and enforce their use at work sites.

Personnel have the appropriate safety equipment perform its duties in all project areas.

X

1. Install the appropriate signage at work sites. ACP complies with the measure; signs are visible in the locations. 2. Implement preventive maintenance programs for machinery

and equipment. It was corroborated that have implemented preventive maintenance of machinery and project team. X

Measures to minimize affectation to known archeological sites

1. The hiring of a professional archaeologist for the implementation of an Archaeological Rescue and Salvage Plan.

Since October of 2008, ACP has had the archaeological firm JCG Associates under contract on an on-call basis to address any archaeological discoveries that are made during construction (dry and wet excavation) as a result of earth moving activities.

X

2. Archaeological rescue and salvage, if applicable, under a plan that includes various office and field activities; introduce informative material of ongoing Works in lookouts facilities.

ACP is in compliance with this measure which appears in the PMA. Before starting the Project ACP completed the rescue of archeological discoveries in the area. This task was undertaken by professional archeologists using technical equipment in reconnaissance, evaluation prospecting and rescue before and during the construction of the project.

X

Measures to control affectation to archeological and paleontological sites 1. Stop the activity that generated the discovery, in a radius

of at least 50 meters. This measure has been communicated to all personnel in special those in charge of heavy construction equipment.

X

2. Contact a professional archaeologist or paleontologist, as appropriate, and notify the competent authority (National Historic Patrimony Directorate - DNPH-INAC).

In reference control measures of unknown paleontological sites ACP is in compliance with measures established in the PMA. To implement the measures Smithsonian Tropical Research Institute (STRI) has a contract with ACP for the rescue and study of paleontological resources of dredging and excavation sites associated with the expansion program.

X

3. The professional archaeologist or paleontologist shall take the pertinent actions to record the removed substrata and assess the undisturbed context over a prudential period that may not affect Project work, but also may not detract from the quality of a detailed professional recording of information about the discovered site or sites.

STRI has Developer works that includes search and classification of rock units according to its potential, also exploration and rescue of paleontological remains and identification of them, Other activities as preliminary curation of remains found and creation of geo referenced collection among other measures.

X

4. The promoter shall take action to preserve these resources in the manner they were at the initial moment they were found. The promoter shall protect these resources and be responsible for their preservation until

ACP complies with the measure.


71

COMPLIANCE MITIGATCONTRO

ION MEASURES, MONITORING, SURVEILLANCE AND L DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES REALIZED/COMMENTS


the competent authority informs it about the procedure to be followed.

Compliance MITIGATION MEASURES, MONITORING, SURVEILLANCE AND

CONTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES REALIZED/COMMENTS Yes NO Not

Applicable Measures contents in the resolution 632-2007

1. Comply with Act 1 of February 3, 1994, Forestry Law of the Republic of Panama.

No evidence of non compliance was found.

X

2. Prior to the commissioning of the construction works and/or activities, usage of land and water disposal sites, canalization works, land movement and grading, vegetation clearing and all activities that involve affecting wild animals due to the execution of the Panama Canal Expansion Project, must conduct the rescue and relocation of the fauna; to that effect, the implementation of the Fauna Rescue and Relocation Plan must be coordinated with the relevant Regional Administrations of ANAM.

All payments were made for the Project areas according to authorizing resolution.

X

3. As ecological compensation for the affectation of mangrove ecosystems, secondary forests, brushes and others found in terrestrial disposal sites, must replant twice the amount of vegetation and mangrove ecosystem affected, with species native to the area in sites selected in coordination with ANAM and must provide the appropriate maintenance thereof

Reforestation plans were implemented efficiently.

X

4. Comply with Act 24, of June 7,1995. Wildlife Protection Law.

No evidence of non compliance was found in the project. X

5. Prior to the commissioning of the construction works and/or activities, usage of land and water disposal sites, canalization works, land movement and grading, vegetation clearing and all activities that involve affecting wild animals due to the execution of the Panama Canal

The Project has executed all Fauna Rescue Plans. Fauna rescue continues to be implemented according to the advance of the project.

X


72

Compliance MITIGATCONTRO



Expansion Project, must conduct the rescue and relocation of the fauna; to that effect, the implementation of the Fauna Rescue and Relocation Plan must be coordinated with the relevant Regional Administrations of ANAM.

6. Every six (6) months while the mitigation measures established in the Environmental Management Plan and those included herein are under implementation, submit for the evaluation and approval of the corresponding Environmental Regional Administration a report on the application and efficiency of such measures, pursuant to the guidelines included in the Category III Environmental Impact Study and in this Resolution. Said report shall be prepared by a competent professional and independent from the project developer company to which such Environmental Impact Study corresponds.

ACP complies with the measure. This report is the proof of its fulfillment. X

7. Inform ANAM of all modifications and changes in techniques and measures that may not be considered in the approved Category III Environmental Impact Study (EIS), for the purpose of confirming whether such modifications or changes require the application of Article 15 of the above-mentioned Executive Decree 209 of 2006.


8. Implement effective measures to protect all underground water sources and aquifers located within the project area of influence.

No evidence of non compliance were found in the project. X

9. The developer is bound to prevent erosive effects on the soil of the dredged material deposit sites, as well as to implement effective measures and actions to control superficial run-off and sedimentation.

ACP has a rapid response procedure for slides, No evidence of non compliance was found in the project.

X

10. Submit before the Environmental Quality Protection Bureau of the National Environmental Authority (ANAM) and Competent Authorities, prior to initiating any effort, the work plan and activities chronogram for developing environmental monitoring on dredging and spilling activities, which documents shall include, but not be limited to, the following: the safety protocol for motor equipment fuel supplying; a dredged materials disposal scheme considering tides; an execution chronogram for

It will be reported when its implementation phase begins.

X


73

Compliance MITIGATCONTRO



the monitoring plan including the time schedule for materials disposal and for sedimentation and dispersion tests; monitoring equipment and staff specifications.

11. While dredging and materials disposal operations are underway, submit before the National Environmental Authority (ANAM-DIPROCA), annual reports on sediments and water quality monitoring activities, as well as the effects of these operations on the impacted area. These monitoring activities shall include but not be limited to physical, chemical and biological analyses of sediments on the following parameters: organic contents; tributyl tin; organo-halogen, organo-phosphorous, or organo-nitrogen pesticides; carbamates; piretroids; herbicides; polychlorinated biphenyls (PCB) and polyaromatic hydrocarbons

It will be reported when the corresponding phase of implementation begins.

X

12. Install a network of stations to monitor atmospheric emissions; these stations shall monitor the following parameters: nitrogen oxides (NOx), particulate material (PM), particulate material of less than 10 micras (PM10), sulphur dioxide (SO2), carbon monoxide (CO), and lead (Pb). The results of these monitoring processes shall be submitted to ANAM and other competent agencies every six (6) months while project works are underway.

ACP complies with the measure. See Annex 5-11. Air Quality Monitoring in Canal Areas.

X

13. Once a year submit to ANAM reports with the results of the monitoring activities conducted on water, soil, and air quality, noise and vibrations, during project construction and operation phases through the use of well recognized methodologies; present the respective custody chains, analysis methodologies utilized, measurement equipment specifications, and their respective gauging certificates, all of which shall be written in Spanish.


14. The project developer shall be responsible for the integrated management of waste materials from the project area during the project construction and operation phases. Temporary and/or final disposal of these waste materials into water bodies is hereby forbidden. Wastes shall be deposited only in sites that have been previously authorized by the competent authority.

No non compliance has been presented.

X


74

Compliance MITIGCON

ATION MEASURES, MONITORING, SURVEILLANCE AND TROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES REALIZED/COMMENTS


15. Prior to the commissioning of any project works, implement all safety and industrial hygiene measures established in our country for the execution of projects of this type.


16. Comply with the DGNTI COPANIT 44-2000 Technical Regulations, which prescribes the hygiene and safety conditions required for noise-generating working environments.


17. Comply with Executive Decree 306 of September 4, 2002, “By which the Regulations for Noise control in Public Spaces, Residential or Living Areas, and in work environments where vibrations are generated, are established.”


18. Comply with DGNTI-COPANIT-45-2000 Technical Regulations which establish the hygienic and safety conditions required for work environments where vibrations are generated.


19. Comply with Law 6 of January 11, 2007, which prescribes the Rules on the Management of Oily Residues derived from synthetically-based hydrocarbons for the territory of Panama.



ACP complies with the measure; IARM personnel supervise and monitor the compliance of the widening and deepening of Gatun Lake and Culebra Cut. X


ACP complies with the measure; IARM personnel supervise and monitor the compliance of contractors.

X

22. Prior to the commissioning of the project, place a sign in a visible location within the project area, following the format attached hereto.

Signs are adjusted to the requirements. X


75

Compliance MITIGCON

ATION MEASURES, MONITORING, SURVEILLANCE AND TROL DESCRIBED IN THE PMA APPROVAL RESOLUTION

E

ACTIVITIES REALIZED/COMMENTS Yes NO Not

Applicable 23. At all times implement the Agreement between the

National Environmental Authority and the Panama Canal Authority on the Coordination of the Environmental Impact Study-or studies, as the case may be-for the project(s) related to the Construction of a Third Set of Locks in the Panama Canal.


24. Comply with all of the existing Laws, Rules, Decrees, Regulations and Administrative Resolutions of the Republic of Panama, which are applicable for this type of project developments.

No evidence of non compliance were found in the project X

5.3 WIDENING AND DEEPENING OF THE PACIFIC MARITME ACCESS CHANNEL

Dredging International de Panamá, S.A. (DI), is responsible for the execution of the program awarded on April 1, 2008, with an expected deadline of September 2012. The program considers the widening of 225 meters and deepening of 15.5 meters below the Medium Low Water of the access to the Pacific navigational channel and partial construction to the southern access to the Pacific Pospanamax locks. The improvements to the navigational channel and the construction of thee southern access to the New Locks will allow a safer and prompt transit of Pospanamax.

DI began the operation with the construction of the site office and the arrival of the crane “Aramis”, which required the installation and set up of refurbished modules and revision of the floating equipment. Recently, only trial runs have taken place during the reported period. Given this situation, ERM only has done quarterly report covering the activity from July 18, 2008 until October 18, 2008. As explained in the Methodology, the compliance matrix reflects validation of a limited quantity of mitigation plans which have being applied until now in the program.

The methodology employed by the contractor for the implementation of environmental normative, included physical inspections of the installations, oversee Contractor activities, implementation of training activities, executing monitoring programs over water quality, sediments, marine biology, as well as waste controls and activities related to wild life rescue and relocation.

5.4 COMPLIANCE OBSERVATIONS

As previously indicated, the widening and deepening just began thus several mitigating measures included in the PMA have not being implemented. The results of the mitigating measures implemented are included in a compliance matrix at the end of this section.

For the validation of the implementation of the mitigating measures for the Pacific Access of the Panama Canal, ERM revised the information available provided by ACP, visited DI offices , and interviewed contractors and ACP personnel, as well as personnel from DI (health managers, Safety Managers and Environmental Managers). DI executes their environmental control and safety activities with its own personnel.


76

The implemented mitigating measures correspond to the following programs:

5.4.1 Mitigation Measures Plan

5.4.1.1. Air, Noise and Vibration Quality Control Program

The majority of the related measures in this program have not being applied given these activities are restricted to the pre operative phase of the Project. According to the report, the machinery has being equipped with specialized filters certified for low emissions. (Annex 5-20, Certificate for the Prevention of Air Pollution (Air Pollution Prevention) for the ship Dredging International).

The Dust control measures have not being implemented because the construction activities for the site offices in the Project area were done through out the rainy season. No detection of foul odors has being detected, and there are no expectations of odors being a problem in this operation. In relation to the vibrations and noise, as of the moment no explosions have being executed for future dates; and the machinery and equipment are inspected by the contractor to verify these do not provoke excessive noise.

5.4.1.2. Soil Protection Program

It was observed the contractor established barriers to limit soil erosion in the areas near the site office. According to the information provided by DI, the personnel has being trained for lubricants and oil spills prevention to avoid contamination of the soil. No Fuel supply operations or vehicle maintenance were observed during the validation visits.

5.4.1.3. Water Resourcer Protection Program

The measures implemented to prevent the deterioration of the quality of water due to the construction and operations of the site offices include the installation of a black and gray water treatment system to management the ones originating from the offices. The waters are collected in a septic tank and then filter through a bed and finally are release to a superficial drainage.

The other mitigating measures for the hydro resources have not initiated given the dredging activity has not began, thus these measures do not currently apply to this period. These will be reported as applicable in future reports.


77

5.4.1.4. Flora and Fauna Protection Program

During the initial construction of the program, DI has implemented mitigating measures for the protection of the flora. The access road (Rodman way) was traced avoiding areas with mayor vegetation, and thus avoid cutting down trees. As per the protection of fauna, DI has given training ti the company personnel, as well as sub contractors to minimize the fauna impact. The documentation for the training of fauna management is included in Annex (Annex 5-21, Training in the Management of Fauna).

As per the implementation of the measures for the protection of fauna, on July 31 2008, the Panamanian Association for the Conservation (APPC) with the support from the Institute for Neotropical Conservation y el United States Department of Agriculture (USDA), - Forest Service, International Institute of Tropical Forestry, presented a final report from the rescue works and relocation of the wildlife in the Cocolí Area aside from the deposit site Velásquez pacific sector of the Canal de Panamá, where the site offices will be installed. The working area covered 4.9 hectares of grasses, bushes and exposed soil, in the site for the construction of the site offices. Among the relevant results of this plan, it can be highlighted the rescue of the following species: two iguanas, one manglatero cat, one caiman, a common frog, a snake and one viper equis.

• Care and transfers were done for the animals; and

• Presentations were given to the field personnel DI, which consisted in offering information about the rescue process of the fauna, as well as Basic recommendations as to how to proceed in case of finding wildlife in endangered species.

It is important to highlight that this rescue achieved an effective relocation of the species found in the area of the Project. (Annex 5-22, Fauna Rescue Plan (Site Facilities Area) of DI Company).

Finally is was observed on the site visits, that DI was conducting a trial run for Dredging, prior the approval from ANAM, of the Rescue and Relocation Plan for Fauna of the deposit site for material (Farfán).

5.4.1.5. Waste Management Program

Solid wastes are mainly recycled. The recycling duties are undertaken by the company Aseo capital (organic waste) and Reciclaje DJ (inorganic waste and


78

oil). ERM verified the activities related to the recycling duties of the site4 offices of DI. The liquid waste, specifically lubricants, are collected on special recipients and later extracted from the site by the company DJ to be recycled. The personnel from the ship have received training to manage lubricants. The ship uses the services the company Petro Jadee, S.A. for the management of waste and gray water coming from the toilets.

In order to handle dangerous residues, DI plans to follow directives from ANAM; up until now no dangerous residues have being generated.

5.4.1.6. Materials Management Program

The ACP Environmental Norms are complied with for the management of the oils/lubricants and solvents respectively. These environmental norms are the following:

• ESM103 Environmental Norm for the management and use of lubricant oils and hydrocarbons derivatives. July 28, 2003.

• ESM-108 Environmental Norm for the recovery and management of solvents used. August 11, 2003.

• Manual for the Management of Waste and Materials. Autoridad del Canal de Panamá. October 2003.

5.4.1.7. Socioeconomic and Cultural Program

The information provided by DI reflects that as of October 2008 they have hired 113 persons. No arqueological remains have being detected in the operation areas. DI informed that it had not received any complaints from the community in relation to the activities that had being developed up until the moment.

As to the aspects concerning the mitigation of risks related to work accidents, DI requires that all personnel from the company use the adequate protection equipment for each task and to this purpose a list of the areas which highlights what equipment needs to be used in these areas. ERM observed good compliance with the use of protection equipment. ERM also could corroborate the daily inspections done the security personnel from DI, and additionally it revises the assistance rolls for the training seminars. DI


79

maintains records of all the accidents. The records analyze the causes and recommend corrective actions and preventive. DI also complies with the duties of training the personnel for residue and solid waste management.

5.4.2 Monitoring Plan

5.4.2.1. Air Quality Monitoring

In relation to the planned monitoring activities for these components, the records of compliance were observed.

According to the report monitoring the Quality of Air, compiled from data collected by the Specialized Analysis Institute of the University of Panama for the ACP, measurements were taken at the Miraflores Locks, Pedro Miguel and Gatun, the fire station of Gatun, the environmental office at Gamboa, the Paradise community and the area of construction Cocolí Some of the stations of the monitoring network of air quality have been installed as part of current operations. (See Annex 5-11, Air Quality Monitoring in Areas of the Panama Canal).

5.4.2.2. Noise Monitoring

The noise monitoring will be carried out when the operational phase of the project begins.

5.4.2.3. Vibration Monitoring

During this period no blasting was carried out related to this project. Thus no measurements of vibration have being taken.

5.4.2.4. Soil Monitoring

The Soil Monitoring Program as defined in the EIA in Category III focuses on the evaluation of conditions that could lead to landslides, especially in the area of the Gaillard Cut, so that the same would not apply for this component of the project.

5.4.2.5. Water and Sediment Quality Monitoring

Regarding the monitoring of water quality and sediment, the first sampling of water quality has been made in the second week of October. In addition, there were seven samples to determine the turbidity and water quality.


80


81

Sampling water on three different depths. These results will serve as a baseline for comparison and future monitoring and verifying the effectiveness of mitigation measures. In addition, samples of marine sediments which were analyzed by color, size, and bacteriological content (See Annex 5-23, Results of Analysis of Marine Water and Sediments).

Then, Performance Matrix presents a complete overview on the implementation of mitigation measures.

SEMIANNUAL REPORT ON THE IMPLEMENTATION AND TESTING OF THE EFFECTIVENESS OF MITIGATION MEASURES OF THE

ENVIRONMENTAL IMPACT STUDY - CATEGORY III WIDENING AND DEEPING OF THE PANAMA CANAL PACIFIC ENTRANCE

CONSTRUCTION COMPANY: DREDGING INTERNATIONAL / PANAMA REPORT: ERM 001 – December 2008 Measures implemented from May to October 2008

PROJECT: Panama Canal Expansion Project: Widening and Deepenig of the Panama Canal Pacific Channel of the Panama Canal

APPROVAL DATE OF EIA: August 7, 2007

ANAM APPROVAL RESOLUTION No. : DINEORA IA-314-2007. PHASE: ■ CONSTRUCTION □ OPERATION □ ABANDONMENT LOCATION: Corregimientos of Arraijan and Veracruz, Arraijan District, Province of Panama.

ENVIRONMENTAL MONITORING: Dredging International / Panama


CONTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES/COMMENTS YES NO Not

Applicable MITIGATION MEASURES, CONTROL AND COMPENSATION PROPOSED IN THE PMA AND IN THE APPROVAL RESOLUTION DREDGING measures Measures to reduce turbidity Cutting and suction dredge:

− Optimize cutting speed, swinging suction and discharge. − Protect the cutting or suction head. − Optimize design cutting head.

Suction hopper dredger: − Optimize speed, sucking mouth and pumping deposit − Limiting overflows and / or loading hopper − Reduce water intake − Using a flow rate of return − Reduce the air content in the mixture overflow..

In the period covered by this report have not been reported dredging activities.

X

Measures to reduce potential effects of blasting − Use a sound system whose intensity grows gradually to

keep the fish, reptiles and mammals outside the danger zone.

In the period covered by this report have not been reported blasting activities.

X

− Build sediment control dumps, being kept clean and free of obstructions.

− Monitor the concentrations of suspended solids in water

X


82


83

COMPLIANCE MITIG TCON O

A ION MEASURES, MONITORING, SURVEILLANCE AND TR L DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES/COMMENTS


− Fill disposal sites at a level below the height of the crown of the dam.

− Build intermediate cross walls − Use sedimentation ditches

Measures for the effects of vibration due to Explosives − Establish vibration limits by sector − Have a qualified consultant to provide a blasting plan and

to begin the work of blasting. − Restrict times blasting limit loads snapshots, provide

adequate breaking materials and ensure precise drilling blasting holes, plan delivery to and from the site to minimize impacts.

− Monitor vibration in critical spots. − Conduct inspections of structural integrity before blasting

in critical structures. − Informing about the possible effects, quality control

measures, precautions to be taken, and the channels of communication.

− Notify the affected public when the work of blasting will be conducted.

− Observe limits on the hours of blasting. − Develop and implement a blasting plan.

In the period covered by this report have not been reported blasting activities.

X

Measures for the Control of Air Quality

1. All engines will be maintained properly to maximize combustion efficiency and minimize the emission of pollutants.

During the construction phase of the facilities of DI offices, the Company CYASA, SA was responsible for the maintenance of equipment, vehicles and machinery during this period. At present this company is responsible for this activity.

X

2. Combustion engines (of heavy equipment to be used in the excavation dry), must have exhaust systems and filters (where applicable), in good operating conditions, recommending that no more than 10 years of use.

Is verified, according to preventive maintenance that the equipment is in good operating conditions and meets the right time of use. Machinery filters are replaced regularly.

X

3. The fuel storage tanks must be equipped with emission control systems of volatile organic compounds.

During the field inspection there were no fuel storage tanks in the project areas.

X

4. No waste will be incinerated on site. It is prohibited to incinerate waste in their areas of work. Each project has facilities and procedures for temporary storage and waste management

X

Measures to control nuisance odors 1. Establish a program of preventive maintenance of fleet

vehicles. The Company CYASA, S.A. is responsible for the implementation of preventive maintenance of all machinery and vehicles used in the project

X


84

COMPLIANCE MITIGATION MEASURES, MONITORING, SURVEILLANCE AND CONTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES/COMMENTS


during this period. 2. Provide proper maintenance of the machinery and prevent

the generation of nuisance odors polluting the environment. There has been preventive maintenance. X

Measures to control noise

1. .Check noise conditions (assess). It is inspected in field, that the machinery is safe and that the operators use their equipment to protect against noise.

X

2. Keep all equipment and building stock in good condition and adequate systems silencers.

The Company CYASA, S.A. is responsible for the implementation of preventive maintenance of all machinery and vehicles used during this period in the project.

X

3. Minimize, if possible, the operating time of the sources of noise emission and avoid idle equipment in operation.

It is verified in field that the machinery that is not running, is not with the engine running unnecessarily. Have also been instructed to comply with this measure and the importance of compliance.

X

4. Limit blasting operations at a time between 7:00 am and 6:00 pm and on weekends between 10am to 6pm.

In the period covered by this report there has been no blasting. X

ENVIRONMENTAL R MESOURCES ANAGEMENT AUTORIDAD DEL CANAL DE PANAMÁ DIC. 2008

COMPLIANCE MITIGATION MEASURES, MONITORING, SURVEILLANCE AND CONTROL DESCRIBED IN THE PMA APPROVAL RESOLUTION ACTIVITIES/COMMENTS


Measures outlined in the environmental resolution 632-2007 1. Comply with the Law 1 of February 3, 1994, Forestry of the

Republic of Panama. In the project, there is no evidence of violation of this rule. X

2. Comply with the Law 24, June 7, 1995. Wildlife Act In the project, there is no evidence of violation of this rule. X 3. Before commencement of works and / or construction work,

use of disposal land and water sites, pipe works, motion and leveling of land, vegetation clearance and all involving wildlife affected by the development of the Expansion project of the Panama Canal must make the rescue and relocation of wildlife, which should be coordinated with the regional administrations of the ANAM, the implementation of the Plan of Wildlife Rescue and Relocation.

The project ran Relocation Plan Rescue and wildlife applicable to the construction of field offices. Also continue to rescue animals as they advance the work and observe the presence of species in the areas of work. However, regarding the initiation of the dredging test, it was done without the approval of the rescue and relocation of wildlife by the ANAM.

X

4. Submit every six (6) months, to the relevant Regional Environmental Administration, for assessment and approval, during the implementation of the mitigation measures in the Environmental Management Plan, and those included in the operative part of this resolution, a report on the implementation and effectiveness of such measures, as outlined in the Environmental Impact Assessment Category III and in this Resolution. This report shall be prepared by a qualified professional and independent of the Company Promoter of the project to which the Environmental Impact Assessment in question corresponds.

The measure is met; this report is the result of compliance with the measure.

X

5. Inform the ANAM of the amendments or changes in the techniques and measures that are not covered in the Environmental Impact Assessment (ESIA) Category III approved, in order to verify if these require the application of Article 209 of this Executive Order 2006 .


6. Submit to the Department of Quality Environmental Protection of the National Environmental Authority (ANAM) and competent authorities, before the commencement of any activity, the work plan and schedule of activities for the development of environmental monitoring of dredging and dumping, which should including but not limited to: the security protocol for the supply of fuel for motor equipment; scheme of dredged material disposal taking into account the

Will be presented when its implementation phase corresponds.

X

85

section of the tides; timeline for implementing monitoring plan that includes a timetable of disposition and of the sedimentation and dispersal tests; specification of equipment and personnel used for monitoring.

7. Submit to the National Environmental Authority (ANAM-DIPROCA) during the dredging and disposal of material, annual reports of the quality monitoring of sediment and water, in addition to the effects on the impacted area. This monitoring should include analysis of physical, chemical and biological sediments but not limited to the following parameters: organic content; Tributyltin, halogenated organic pesticides, phosphorus, nitrogen, carbon, pyrethroids, herbicides, polychlorinated biphenyls (PCBs) and polyaromatic hydrocarbons

Will be presented when its implementation phase corresponds.

X

8. Installing a network of stations for monitoring air emissions, this network of stations must monitor the following parameters: nitrogen oxide (NOx), particulate matter (PM), particulate matter less than 10 microns (PM10), sulfur dioxide (SO2), carbon monoxide (CO) and lead (Pb). The result of surveys conducted, must be submitted to the Competent Institution in ANAM biannually for the duration of the work.

The measure is met. See Annex 5-11, Monitoring Air Quality in the Panama Canal Area.

X

9. Submit annually to the ANAM, reports with the results of surveys conducted on water quality, soil, air and vibration during the construction and operation phase of the project using methods of recognized references, submit the respective chains of custody, the analysis methodologies used, specifications of measuring equipment and calibration certificate concerned, all of these must be presented in Spanish.


10. The developer of the project will be responsible for the management of waste to be produced in the project area during the construction and operation of the project. It is prohibited the provisional and / or end disposal of waste in or near the causes of water bodies. The waste must be deposited at sites approved by competent authority.

To the date there has been no breach by improper handling of wastes.

X

11. Implement security measures and industrial hygiene established in our country for this type of project, prior to the commencement of works.


12. Comply with the Technical Regulation DGNTI COPANIT 44-2000, set for hygiene and safety conditions in work

There are no evidences of the failure of the standard.

X


86


87

E

environments where noise is generated. 13. Comply with Executive Order 306, September 4, 2002,

"through which establishes rules for the control of noise in public spaces, residential areas or room, as well as in work environments.

There are no evidences of the failure of the standard.

X

14. Comply with the Technical Regulations DGNTI COPANIT 45-2000, set for hygiene and safety conditions in work environments where they generate vibrations.

There are no evidences of the failure of the standard. X

15. Comply with Law 6 of January 11, 2007, which states on the handling of oily residue from synthetic oil based on the national territory.

There are no evidences of the failure of the standard. X

16. The developer will be responsible for maintaining surveillance and control for compliance with these measures of environmental protection to biodiversity above mentioned in all phases of the project and to warn all those who occupy the land and passing in the project area, the conservation rules and protection required for the maintenance of biodiversity.

Met with the measure, IARM staff conducts surveillance and monitors the activities of deepening and widening of the Pacific access channel. X

17. The developer will be responsible for maintaining surveillance and control for compliance with these measures of environmental protection to biodiversity above mentioned in all phases of the project and to warn all those who occupy the land and passing in the project area, the conservation rules and protection required for the maintenance of biodiversity.

Met with the measure, IARM staff makes surveillance and monitoring of contractors.

X

18. Place before starting the implementation of the project, a sign in a visible place within the project area, according to the attached format.

There are signs in the format attached to the resolution environment.

X

19. Run at all times the Agreement between the National Environmental Authority and the Panama Canal Authority for the Coordination of the Study (ies) of the Environmental Impact of the plan to build a third set of locks on the Panama Canal.

Is satisfied with it.

X

20. Comply with all Laws, Decrees, Rules and Administrative in the Republic of Panama for the development of this type of projects.

Not presented evidence of a breach of these rules applicable to the project.

X

5.5 DEEPENING AND WIDENING OF THE ATLANTIC ENTRANCE

This component of the proposed expansion of the Panama Canal has not started work, so its inclusion in the process of environmental monitoring will be done timely when it begins its work.

5.6 ELEVATION TO THE MAXIMUM LEVEL OF GATUN LAKE


5.7 DESIGN AND CONSTRUCTION OF THE POSPANAMAX LOCKS



88

5.8 REQUIREMENT REVISION OF RESOLUTION DIEORA IA-632-2007 ANAM

With regard to the commitments in the resolution approving the environmental impact study, it was observed that essentially are satisfied with the measures set out in it. Compliance is achieved through the implementation of PMA mitigation measures, the most prominent:

• Law 1 of February 3, 1994, Forestry of the Republic of Panama.

• Before starting the work, the resulting amount was canceled in the correspondent regional administrations of the National Environmental Authority, as an ecological compensation as set out in resolution AG-0235-2003.

• Law 24 of June 7, 1995. Wildlife Act.

• Installation of a network of stations for monitoring air emissions, this network of stations monitors the following parameters: nitrogen oxide (NOx), particulate matter (PM), particulate matter less than 10 microns (PM10), sulfur dioxide (SO2), carbon monoxide (CO) and lead (Pb).

• The Technical Regulation DGNTI COPANIT 44-2000, set for hygiene and safety conditions in work environments where noise is generated.

• The Technical Regulation DGNTI COPANIT 45-2000, set for hygiene and safety conditions in work environments where they generate vibrations.

• Law 36 of May 17, 1996, "which establishes controls to prevent environmental pollution caused by fuel and oil."

In the matrices shown in the preceding sections, each component, details the level of implementation or enforcement of the different applicable requirements depending on the resolution approving the EIS Category III.


89


90

6. CONCLUSIONS

The verification activities verified compliance on the ground of the commitments in the PMA and the Resolution of Approval. The PMAs include mitigation measures, monitoring plans, tracking, monitoring and control that are designed to reduce, mitigate and / or offset impacts on the physical, biological, socio-economic and cultural might occur during the execution of the Canal expansion project. Verification visits included the review of plans to control air emissions, noise, vibration, erosion and sedimentation, refurbishment of construction sites, water quality and wastewater management, revegetation, reforestation, wildlife rescue, maintenance roads, and rescue and exploration of potential archaeological and cultural. It also reviewed the implementation of risk prevention plans, contingencies, and environmental education.

ERM in general has confirmed that mitigation measures are implemented effectively in relation to the commitments in the PMAs.

However, there have been some activities that require an improvement in surveillance tasks and monitoring. Of particular interest are the fuel storage areas in the PAC-1 and PAC-2. Also found that the site of deposit approved by ANAM for the discharge of Pacific dredged material has been tested download material dredging without having passed the Wildlife Rescue Plan submitted to the ANAM.

For a project of the magnitude of this one can conclude that it has a high level of compliance and that the few failures are detected minor, not requiring a high level of effort for correction.

Validation of the Implementation and y Adequateness of the … · 2019-11-13 · Panama Canal...

Documents

Transcript of Validation of the Implementation and y Adequateness of the … · 2019-11-13 · Panama Canal...