EIA Nail Eia Tesf

Steel wool Manufacturing Project
ENVIRONMENTAL IMPACT ASSESSMENT

REPORT
ON
NAIL FACTORY
LOCATION: OROMIA REGIONAL STATE, FINFINE

SURROUNDING SPECIAL ZONE GELAN, TOWN
ADIMINSTRATION
PROMOTER- FEHAM GENERAL TREDING PLC
SUBMITTED: GELAN TOWN ENVIRONMENT, FOREST AND
CLIMATE CHANGE AUTHORITY
BY: TATU CONSULTING AND TRADING PLC
JANUARY, 2021
GELAN, ETHIOPIA
1
Environmental Impact Assessment Report for Steel wool manufacturing project
TABLE OF CONTENTS
ACRONIMS.....................................................................................................................................8
EXECUTIVE SUMMARY...............................................................................................................9
CHAPTER 1...................................................................................................................................11
1. INTRODUCTION...................................................................................................................11
1.1. Approach to the Study..........................................................................................................12
1.1.1 Objective of the Study....................................................................................................12
General Objective................................................................................................................12
Specific Objective...............................................................................................................12
1.1.2. Methodology.................................................................................................................13
1.2. Environmental Scoping...................................................................................................15
1.3. Limitations.......................................................................................................................15
1.4. Report Structure..............................................................................................................16
CHAPTER 2...................................................................................................................................17
2. LEGAL AND POLICY FRAMEWORK.................................................................................17
2.1. Economic Development Policies and Strategies..............................................................17
2.1.1 The National Economic Development Strategy..............................................................17
2.1.2 Ethiopian Investment Strategy........................................................................................18
2.2 Environmental Policies and Strategies..................................................................................19
2.2.1 Constitution....................................................................................................................19
2.2.2 The Conservation Strategy of Ethiopia (CSE)................................................................20
2.2.3 The Environmental Policy of Ethiopia...........................................................................20
2.2.4. Sectorial Policies and Strategies....................................................................................21
2.2.4.1. National Health Policies and Strategies...........................................................21
2.2.4.2. Ethiopian Water Resources Management Policy.................................................22
2.2.5. Legislative Instruments..................................................................................................22
2.2.5.1. Proclamation on institutional arrangements.....................................................23
2.2.5.2. Proclamation on Environmental Impact Assessment, proclamation No.
299/2002 23
2.2.5.3. Proclamation of Environmental Pollution Control, Proclamation no. 300/2002.....24
2.2.5.4. FDRE Solid Waste Management Proclamation No 513/2007..........................25
By TATU Consulting and Trading PLC 2

2.2.5.5. The FDRE Occupational Safety &Health (Labour Law 377/2003).................25

2.2.5.6. The FDRE Public Health Proclamation No. 200/02.........................................25
2.2.5.7. The FDRE Water Resource Management Proclamationo.197/2000........................26
2.2.5.8. Regional/Oromia Proclamation (Proclamation No. 176/2012 and 177/2012). .26
2.2.6. Environmental Impact Assessment Guideline Document........................................27
2.2.7. Ethiopia's Growth and Transformation Plan (GTP),......................................................27
2.3. Institutional Frame Work.........................................................................................................29
2.3.1. National.........................................................................................................................29
2.3.1.1. Environmental Protection Council...................................................................29
2.3.1.2. Commission of Environment, Forest and Climate Change..............................30
2.3.2. Regional......................................................................................................................30
2.3.2.1. Zone.................................................................................................................30
2.3.2.2. Town................................................................................................................30
2.3.2.3. The Kebele.......................................................................................................31
2.3.2.4. Community Based Organizations (CBOs).......................................................31
CHAPTER 3...................................................................................................................................32
3. PROJECT DESCRIPTIONS.......................................................................................................32
3.1. Background to the Project...............................................................................................32
3.1.1. Project Goal.............................................................................................................32
3.1.2. Location...................................................................................................................32
3.1.3. Project Objective.....................................................................................................32
3.1.3.1. General Objective...................................................................................................32
3.1.3.2. Specific Objectives..........................................................................................32
3.1.5. Nature and Scope of the Project...............................................................................33
3.2. The Nature of Raw Materials, and Production Processes of the Project...................34
3.2.1 Raw Material..................................................................................................................34
3.2.2 Descriptions of production processes.............................................................................34
3.3.Plant, Equipment and Machinery..........................................................................................35
3.4.Plant Capacity and Production Program..............................................................................35
3.5. Utilities............................................................................................................................35
3.6. Project life cycle Activities..............................................................................................36
3.6.1. Pre -construction phase activities.............................................................................36

3.6.2. Construction Phase Activities..................................................................................36

3.6.3. Operation Phase activities........................................................................................36
3.6.4. Decommissioning Phase Activities..........................................................................37
3.7. Organization Structure....................................................................................................38
CHAPTER 4...................................................................................................................................41
4. DESCRIPTIONS OF BASELINE ENVIRONMENTAL CONDITIONS...............................41
4.1. Physical Environment......................................................................................................41
4.1.1. Location...................................................................................................................41
4.1.2. Climate....................................................................................................................42
4.1.3. Water course in the site............................................................................................42
4.1.4. Soil Types................................................................................................................42
4.1.5. Air quality...............................................................................................................42
4.1.6. Wind Direction........................................................................................................43
4.1.7. Ambient Noise.........................................................................................................43
4.1.8. Hydrology................................................................................................................43
4.1.9. Land use and land cover..........................................................................................43
4.2. Biological Environment...................................................................................................44
4.2.1. Flora and Fauna.......................................................................................................44
4.2.2. Proximal Conditions of the Project Site...................................................................44
4.3. Socio-Economic Conditions............................................................................................44
4.3.1. Human Population and Settlement Pattern...............................................................44
4.3.2. Education levels.......................................................................................................45
4.3.4. Land use..................................................................................................................46
4.3.5. Roads Infrastructure and Network Access...............................................................46
4.3.6. Water Supply...........................................................................................................47
4.3.7. Electricity................................................................................................................47
CHAPTER 5...................................................................................................................................48
5. ENVIRONMENTAL IMPACTS IDENTIFICATION.............................................................48
5.1 Potential Positive Impacts.....................................................................................................48
5.1.1. Socio-Economic Benefits........................................................................................48
5.1.2. Employment Creation opportunity...........................................................................50
5.1.3. Marketing................................................................................................................50

5.1.4. Community Development........................................................................................50

5.1.5. Source of Government Revenue..............................................................................50
5.1.6. Supply of Innovative and Quality Products.............................................................50
5.1.7. Technology Transfer................................................................................................51
5.1.8. Save the Country’s Foreign Exchange.....................................................................51
5.2. Adverse Impact Assessment.............................................................................................51
5.2.1. Constriction Phase Adverse Impact.............................................................................51
5.2.1.1. Impact on land uses.........................................................................................51
5.2.1.2. Air pollution impact.........................................................................................51
5.2.1.3. Impact on Water Quality..................................................................................52
5.2.1.4. Impact on Solid waste......................................................................................52
5.2.1.5. Impact on Noise and dust.................................................................................52
5.2.1.6. Impact on Accident..........................................................................................52
5.2.1.7. Impact on flora and fauna................................................................................52
5.2.1.8. Impact on Women’s Perspective......................................................................53
5.2.1.9. Materials transportation...................................................................................53
5.2.1.12. Sewage and litter management........................................................................54
5.2.2. Impacts of the Operation Phase...............................................................................54
5.2.2.1. Environmental Risk during Production............................................................54
5.2.2.2. Noise......................................................................................................................55
5.2.2.2. Liquid waste....................................................................................................55
5.2.2.3. Impact on Solid waste......................................................................................55
5.2.2.4. Health and Environmental Risk during Production..............................................55
CHAPTER 6...................................................................................................................................56
6. PROJECT ALTERNATIVE ANALYSIS.................................................................................56
6.1. Alternative of the proposed project Vs the no Project Alternative........................................56
6.2. Cessation Phase of the Project:.........................................................................................56
CHAPTER 7...................................................................................................................................57
7. MITIGATION OF SIGNIFICANT IMPACTS........................................................................57
7.1. Construction Phase impacts mitigation measures...........................................................57
7.1.1. Impact on land uses.................................................................................................57
7.1.2. Impacts on Water Resources....................................................................................57

7.1.3. Impact on Air Quality..............................................................................................57

7.1.4. Impact on flora and fauna........................................................................................58
7.1.5. Nuisance and Noise.................................................................................................58
Mitigation Measures;..........................................................................................................58
7.1.11. Sewage and litter management............................................................................61
7.2. Operational Phase Impacts mitigation measures.............................................................61
7.2.1. Noise.......................................................................................................................61
7.2.2. Air quality............................................................................................................61
7.2.3. Liquid Water........................................................................................................61
7.2.4. Solid waste..............................................................................................................62
7.2.5. Working Environment/ Workplace Risk..............................................................62
CHAPTER 8...................................................................................................................................63
8. ENVIRONMENTAL MANAGEMENT AND MONITORING PLAN.......................................63
8.1. Environmental Management Plan........................................................................................63
8.1.1. General Overview....................................................................................................63
8.1.2. Construction Phase..................................................................................................63
8.1.2.1. Site Preparation Management..........................................................................64
8.1.2.2. Solid and Liquid Waste Management..............................................................64
8.1.2.3. Air pollution and dust management.....................................................................64
8.1.2.4. On site cultivation and infrastructure...............................................................64
8.1.2.5. Health and risk management............................................................................64
8.1.3. Operation phase.......................................................................................................65
8.2. Management Plan of the Operation Process...................................................................71
8.3. Monitoring plan and implementation program................................................................71
8.3.1. Use the Best Available Technology.........................................................................72
8.3.2. Environmental Management Unit/Cell....................................................................72
8.3.3. Environmental Liaison Officer (ELO).........................................................................73
8.3.4. Site Safety and Environmental Manager (SSEM)....................................................73
8.3.5. Monitoring the environmental management plan and Budget.................................74
Chapter 9.........................................................................................................................................76

9. Conclusions and Recommendations........................................................................................76

9.1 Conclusions.........................................................................................................................76
9.2 Recommendations................................................................................................................76
REFERENCES................................................................................................................................77

ACRONIMS
ASL Above Sea Level
ADLI Agricultural Development led-Industrialization
CSE Conservation Strategy of Ethiopia
EA Environmental Assessment
EIA Environmental Impact Assessment
EISR Environmental Impact Study Report
EMB Environmental Management Branch
EMP Environmental Management Plan
CEFCC Commission of Environment, Forestry and Climate Change
EPC Environmental Protection Council
EPE Environmental Policy of Ethiopia
ETB Ethiopian Birr, the National Currency
FDRE Federal Democratic Republic of Ethiopia
EXECUTIVE SUMMARY
The promoter of the project is FAHEM General Trading PLC, the company is engaged
in production and sales of a wide range of nail and steel products. In consideration of the
ever-increasing demand for steel products at household and industrial level, the company

aims to produce nail, galvanized roofing sheets, pipes, reinforcement bars, window and
door frames, trusses, hand tools, implements, and various metal fabrications.
To make the vision happen, the owner had made detailed and extensive study and decided
to participate in manufacture these products by taking conducive investment policy of
Ethiopia as opportunity.
The project is established in, Gelan town, Finfine Special Zone, Oromia Regional State on
a land of 15,000m2 with initial capital cost of ETB 85 million birr 30% of the capital
investment cost will be from the owner equity and 70% of the capital is a loan from banks
as stated in the feasibility study report. The project will create job opportunities for 275
permanent and temporary employees. The company planned to manufacture nail and steel
products for national market of import substitution.
The methodology used follows the conventional pattern for industrial development project
EIA study and meets the requirements of CEFCC’s Environmental Impact Assessment
guideline. Data collection both from primary and secondary sources; identification and
analysis of significant environmental issues on the basis of those data; choosing mitigation
and enhancement measures; and developing environmental protection, monitoring and
management plans are the methodological approaches followed in conducting the EIA
study.
This environmental and social impact assessment (ESIA) study was conducted according
to legal requirements of the EIA proclamation of the government of the Federal
Democratic Republic of Ethiopia, proclamation No.299/2002. This report is also submitted
to the Oromia National Regional State, Environment, Forest and Climate Change
Authority of Oromia according to the requirement of the proclamation.
The fundamental objective of the environmental assessment is to ensure that the proposed
Nail and Steel products manufacturing project is environmentally sound and contributes to
the development of environmental assets. It is also expected to provide a means whereby
the overall environmental performance of this project can be enhanced.
According to the findings of environmental assessment, it is reasonable to conclude that

environmental impacts of Nail and Steel products manufacturing Project in Gelan town,

will be moderate, of moderate magnitude, moderate intensity and moderate sensitivity;

they would be duly mitigated by incorporating the suggested measures. Implementing the
environmental management plan (EMP), which forms an integral part of the EIA process,
will ensure the environmental compliance of the company.
The implementation of the project will bring several beneficial impacts while the negative
impacts can be reduced to an acceptable level through a holistic planning and
implementation of the environmental management plan. Thus, it can be concluded that the
project benefits by-far outweighs its adverse socio-economic and socio-ecological impacts
as these two can be mitigated by proper utilizations of the suggested mitigation measures.
Based on the conclusions of the EISA study and on the assessment made with professional
judgment, it is safe to recommend approval of the project; because the Project is promoted
by the company will deliverer benefits of economic gains while sustainably modifying the
social and physical environment. Therefore, as long as the promoter implements the
proposed mitigation measures and recommendations, the remaining impacts of the project
will be maintained at an acceptable level and the project contributes significantly in the
development of industry sector in the country and ensures the socio-economic benefit both
in the short and long term.
CHAPTER 1
1. INTRODUCTION
The promoter of the project is planning to produce different types of nail and steel products
and sales of a wide range of product. In consideration of the ever-increasing demand for

Nail and Steel products in the country, the company decided to establish a modern Nail and
Steel products manufacturing plant that can produces the above indicated products.
To make the vision happen the owner had made detailed and extensive study and decided
to participate in manufacturing nail and steel products, by taking conducive investment
policy of Ethiopia as opportunity.
The project is established in , Gelan town, Finfine Special Zone, Oromia Regional State
with initial investment capital cost of ETB 85 million birr, on an area of 15000m 2. The
project will create job opportunities for 275 permanent and temporary employees.
It is vivid that the project will have sound economic benefit. However, the establishment of
this manufacturing plant will also have environmental effect during different stages of the
project implementation. Therefore, the purpose of this report is to incorporate the
environmental effects of the project and mitigation measures that need to be taken at each
stages of the project.
The Environmental study for this project; reducing the burden of environmental impacts
and necessarily the development is to become sustainable. As resources become limited,
environmental impacts become more complex, environmental impact assessment has
become of ever increasing importance as a tool for development and decision making.
In practice, environmental impact assessment is applied primarily to prevent or minimize

the adverse effects of major development projects. It is also used as a planning tool to
promote sustainable development by integrating environmental considerations into a wide
range of proposed actions. Most notably, the use of policies and plans to focus on the
highest levels of decision making and take care of the environment in considering
development alternatives and options. More limited forms of environmental impact
assessment can be used to ensure that smaller scale projects, conform to appropriate
environmental standards or site and design criteria.
The aim and objective of Environmental impact assessment can be divided into two
categories. The immediate aim of EIA is to inform the process of decision making by
identifying the potentially significant environmental effects and risks of development

projects. The ultimate (long term) aim of EIA is to promote sustainable development by
ensuring that development projects do not undermine critical resource and ecological
functions or the wellbeing, lifestyle and livelihood of the communities and people who
depend on them.
1.1. Approach to the Study

1.1.1 Objective of the Study
General Objective
The objectives of this study are to identify and ensure the impacts of; Nail and Steel
products manufacturing project are adequately and properly considered and, to design
mitigation based on EIA principles and guidelines. Consequently, this process serves to
bring about administrative transparency and accountability, community participation and
sustainable development.
Specific Objective
 To assess the baseline environmental condition of the project land and the surrounding
area.
 To evaluate impacts associated with the implementation and subsequent operation of
the project.
 To forward improvement measures for identified negative impacts and formulation of
environment management and monitoring plan and to give relevant recommendations
regarding measures to be taken to minimize adverse impacts and encourage beneficial
impacts.
 To propose mitigation measures for identified impacts
 To formulate environmental management and monitoring plan for proposed mitigation
measures
 To give relevant recommendation regarding adverse impacts and encourage beneficial
impacts
1.1.2. Methodology
To facilitate the permitting process, proponents are required to provide adequate
information on their proposal to serve as a basis for decision-making. It is in fulfillment of

this requirement that this report has been prepared by the consultancy, design, testing and
commissioning of Nail and Steel products manufacturing plant. To facilitate this, site
inspections, consultations, visual assessments and evaluation procedures were undertaken.
The study team visited the project site and subsequently carried out in depth assessment of
the likely environmental implications of the proposed plant development. The team also
interacted and discussed possible environmental and socio-economic impacts of the
proposed project with a number of stakeholders in order to:
 Identify key environmental concerns relating to the proposed project; and

 Highlight the concerns of the relevant stakeholders in the preparation of the
Report.
The environmental impact of the project is prepared based three phases.
Phase-I
The first phase started by acquiring existing project documents (feasibility study report,
pre-operational and operational activities, etc), location and topographic maps, soil &
water test reports, hydro- metrological data and hydro-geological data of the project area.
This was followed by an intensive desktop review of available documents. The procedural
EIA guidelines (2003), EIA review guidelines (2003) and Environmental Policy and Law
of Ethiopia, EIA guidelines for such sector industries have been reviewed.
Guideline for socially and environmentally responsible production Nail and Steel products
materials was thoroughly studied in order to design the structure of the report. Checklists
to collect data and design of successive phases of studies were designed based on the
information obtained from the desktop review and others.
Phase-II
Any available information and data that describe the most relevant features of the project
and the area where the project is to be implemented were collected using the prepared
checklist during the second phase of this study. These include important features of the
project that would have direct impact on the environment i.e. information on; Nail and
Steel products manufacturing industry.

In addition, visual and scientific information was gathered on the biophysical and socio-
economic conditions of the project area from proponent and credible government
institutions.
Phase-III
The last phase of the study has been allocated to synthesis and analysis the collected
information based on the available standards, legal requirement, etc. This enabled to
predict the possible environmental impacts that could result during the construction and
throughout the operation life of the project.
Possible mitigation measures were also identified to prevent, reduce or minimize the
predicted environmental impacts. Furthermore, environmental impact assessment findings
and the mitigation measures that are recommended to address the impacts were also
included. In addition monitoring and/or auditing mechanisms are designed to those impacts
that need an ongoing monitoring in the life span of the project and to address the
unforeseen environmental impacts in the study.
The Socio-Economic Investigation
The social impact assessment was carried out after initial review of the feasibility study and
socio-economic report developed by Regional Government of Oromia Bureau of Finance
and Economic Development. The public consultation was carried out with the surrounding
people of the project.
Environmental impact Identification methodology
Identification of key impacts bring together the previous steps with the aim of ensuring that
all potentially significant environmental impacts (adverse and beneficial ) are identified and
taken into account in the process. To identify the project environmental and social impacts,
all the proposed activities during preconstruction, construction, operation and demolition
phases have been considered. In addition, concerns and issues raised by members of the
community and/or project stakeholders during consultation were included in the process. To
achieve this, several key inputs were used including project design documentation,
feasibility study conducted on the project and similar projects implemented elsewhere.
Following identification of all project activities, legal, environmental and socio-economic

receptors are identified. The key inputs for the identification of the receptors include the
legislative review, the environmental baseline, the socio-economic baseline and stakeholder
consultation.
1.2. Environmental Scoping

The scoping concerns identifying the project area sensitive environmental component from
field observation, public consultation and literature review. The study includes detailed
characterization of existing status of environment in an area of 1km radius around
proposed project for various identified environmental components viz. air, noise, water,
land, biological and socio-economic. So that the environmental examination and
environmental scoping exercise has been carried out with the following main objectives:
 To define the limits of the study area ( area of the influence)

 To define list of Valued Ecosystem Components within the study area
 To define list of activities, type and magnitude of the proposed project
 To define list of Impacts to be studied
 To delineate post-project environmental quality monitoring programme
1.3. Limitations
Even though some progress is made regarding EIA, management and monitoring on
manufacturing of Nail and Steel products, there are a lot of things to be done to realize
objectives of the proclamation in developing countries like Ethiopia. Some of the
challenges in undertaking the study are:
 Getting sufficient and reliable primary data,

 Lack of systemic networking among concerned government organizations so as to
accomplish the study as per the guideline of EIA,
 Having complete knowledge and perfect skill on scientific analysis of
environmental impact.
1.4. Report Structure

The main body of the EIA report is structured under different chapters (including
Introduction part). Chapter-2 discusses about a description of the policy and legal

framework. Chapter-3 states about the description of the project and the site, while chapter
four reviews the baseline environment of the project under consideration. The
identification and description of impacts and deals with the mitigation measures for the
negative impacts is covered under Chapter-5 Under this chapter the potential negative
impacts mitigation measures are covered. Chapter-6 is the chapters that discuss the project
alternative of the project. Chapter-7 of the report is the environmental mitigation of the
adverse impact of project. In the 8th chapter concerns of the environmental management
and monitoring plan of the project is discussed. In the 9 th chapter; the major conclusion and
recommendations are highlighted under the conclusion and recommendation section. This
is followed by references and site plan of the proposed project and licenses of the
consulting firm have been annexed
CHAPTER 2
2. LEGAL AND POLICY FRAMEWORK

General Overview
This section covers the policy, legislative and institutional issues that are most relevant to
manufacturing projects in general and Nail and Steel products manufacturing project in

particular. The first part looks at the National Economic Development policy and strategies
and sectoral policies and strategies related to the project. The second section focuses on
existing environmental policies and strategies at the national and regional/sectoral levels
including the Ethiopian Growth and Transformation Plan. Finally, the third part
presents the existing institutional frame work for Environmental Protection and
Management.
2.1. Economic Development Policies and Strategies

2.1.1 The National Economic Development Strategy
The guiding strategy under the National Economic Development is known as the
‘Agricultural Development led-Industrialization’ (ADLI). This strategy further developed
into sectoral strategies that include Agriculture, Industry, Mining, Population growth,
technological progress, Economic and Social infrastructure, etc. The following can be
identified as the core elements of the agro-industrial development strategy component of
ADLI (MoPED, 1993).
o The promotion of labor intensive technologies and utilization of domestic raw

materials;
o Determination of the composition of industrial output based on the needs and

income levels of the population; and
o Government intervention to motivate the choice of labor intensive technology

that makes extensive use of domestic raw materials.
ADLI has provided that the basis for the development of the other national and sectoral
policies and strategies that have direct relevance to the development of export oriented
agriculture and its products in the country.
2.1.2 Ethiopian Investment Strategy

There had been a number of investment proclamation and regulations issued by
government as the country started to move away from ‘centralized economy’ to ‘free
market economy’ (since 1992). These policy issues influence the project in different
aspects.

Above all; the following two documents that constitute the building blocks of the current
Ethiopian investment strategy, directly affect investment in the country in general.
o Proclamation No.37/1996: Investment proclamation of the federal Democratic

Republic of Ethiopia; and
o Regulation No. 7/1996: Council of Ministers regulations to provide for

investment Incentives.
According to the Investment Proclamation No.37/1996, the objective of the investment

policy of the federal Democratic Republic of Ethiopia(FDRE) are designed to improve the
living standard of the peoples of Ethiopia through the realization of sustainable economic
and social development. Article 13 of the proclamation specifies the required information
for submitting an application for investment permit. The first sub-article under article 14,
prescribes the procedure for issuance of investment permit, states the following:
Upon receiving an application for investment permit made in full compliance with the
provisions of Article 13 of this proclamation, and after ascertaining within 10 days that
the included investment activity would not be contravening the operational laws of the
country and that, in particular, it complies with conditions stipulated in environmental
protection laws, the appropriate investment organ shall issue an investment permit to the
applicant.
The Council of Ministers regulation No.7/1996 provides the terms and conditions under
which investment incentives is provided for investors. The investment incentive is divided
into the following two categories: exemption from income tax and exemption from
customs duty on imported machinery and equipment. The exemption from income tax is
based on the following two criteria. The first criterion is the class of the investment as
pioneer investment, promoted investment, or expansion and upgrading of existing
investment. The second criterion is the location of the investment with respect to its
potential contribution to equitable distribution of regional development.
In 1998, the government of FDRE issued the following proclamation and regulations with
the objective of amending the investment proclamation and regulation issued in 1996.

o Regulation No. 116/1998: A proclamation to amend the investment proclamation;
o Proclamation No. 35/1998: Council of Ministers Regulations on Investment Areas

Reserved for Domestic Investors.
o Regulation No. 36/1998: Council of Ministers Regulations to Amend the Investment

Incentives Regulations.
2.2 Environmental Policies and Strategies

2.2.1 Constitution
The constitution of the Federal Democratic Republic of Ethiopia provides the overriding
principles and legal for all legislative frame-works in the country. The concept of
sustainable development and the environmental rights of the people are enshrined in the
constitution by the following articles that stipulate the rights of peoples in country.
Article 43: The Rights of Development
1. The Peoples of Ethiopia as a whole, and each Nation, Nationality and People in
Ethiopia in particular have the right to improved living standards and to sustainable
development;
2. Nationals have the right to participate in national development and, in particular, to be

consulted with respect to policies and projects affecting their community;
3. All international agreements and relations concluded, established or conducted by the

State shall protect and ensure Ethiopia’s right to sustainable development; and
4. The basic aim of development activities shall be to enhance the capacity of citizens for
development and to meet their basis needs.
Article 44 - Environmental Rights
1. All persons have the right to live in a clean and healthy environment.
2. All persons who have been displaced or whose livelihoods have been adversely affected
as a result of State programs have the right to commensurate monetary or alternative
means of compensation, including relocation with adequate State assistance.

These constitutional provisions have served as the guiding principle of all activates that are
related to policy formulation, strategy development and the formulation of legislative and
institutional framework for environmental protection.
2.2.2 The Conservation Strategy of Ethiopia (CSE)

The CSE, approved by the Council of Ministers in 1996, provides a comprehensive and
rational approach to environmental management in a very broad sense, covering national
and regional strategies, sectoral and cross sectoral policies, action plans and programs as
well as providing the basis for development of appropriate institutional and legal
frameworks for the implementation (MEF/Ministry of Economic Development and Co-
operation 1996, MoEDAC). It also deals with providing a strategic framework for
integrating environmental planning into a new and existing policies and projects.
It mainly recognizes the importance of incorporating environmental factors into

development activities from the beginning so that planners may take into account
environmental protection as an essential component of economic, social and cultural
development.
2.2.3 The Environmental Policy of Ethiopia

The major policy framework document with respect to environmental management of
Ethiopia is the Environmental Policy (EPE) of the FDRE approved by the Council of
Ministers in April 1997. The Policy was prepared under the joint-effort of the Minster of
Environment, Forestry and Climate Change (MEFCC) and the Environmental Planning
Unit (EPU) of the then Ministry of Economic Development and Co-operation (MoEDC).
The policy contains elements that imply the importance of main streaming socio-ecologic
aspects in development programs. More specifically, there are two cross-sectoral policies
components with a mainstreaming effect in the EPE. Article 4.6 of EPE covers different
aspects of the importance of incorporating environmental costs and benefits in the
development planning process. Under this Article, the initiation of a pilot project on the
application of Environmental Accounting in Ethiopia was identified as one of the policy
directions. Furthermore, Article 4.6 states (EPA/current MEFCC 1997, 21):

To explicitly consider in 5-, 10-, and 100- years time perspective the economic costs &
benefits to the environment in the planning of all major development programs, projects
and activities.
Article 4.9 of EPE covers the policy directive on EIA. The Article contains eleven sub-
articles covering different aspects of EIA and the conditions under which EIA must be
performed. Article 4.9.g (EPA1997, 23) provides a provision:
To create a by law on EIA process which requires appropriate Environmental impact

statements and environmental audits for private and state development projects.
The sectoral policies of EPE contain policy directions that may ensure the promotion of
sustainable industrial development in the country. More specifically, Article 3.8 of EPE
provides policy directions for the control of hazards materials and pollution from industrial
waste. This sectoral policy emphasizes the importance of pollution prevention and
minimization as the primary approach for pollution control. To this effect, Article 3.6(a)
states (EPA/current MEFCC 1997, 15):
To adhere to the precautionary principle of minimizing and where possible preventing

discharge of substances and to disallow the discharge when they are likely to be
hazardous.
Article 3.8.m, more specifically (EPA/current MEFCC 1997, 16) states:
To promote waste minimization processes including the efficient recycling of materials

wherever possible.
2.2.4. Sectorial Policies and Strategies
2.2.4.1. National Health Policies and Strategies

Article 2 of general policy states the ‘development of the preventive and promotive
components of health care’ as one of the basic policy component. The promotion of
occupational health and safety (Article 2.2.2) and the development of Environmental
Health (Article 2.2.3) are identified as priority policy areas for the health sector.

Article 5.2 states that the promotional and preventive activities shall address ‘prevention of
Environmental pollution with hazardous chemical wastes’. Article 1.3 of the Health sector
strategy that was developed in 1995 states the following under Environmental and
occupational Health and safety’ (TGE, 1995):
Agricultural schemes and industries will be expected to have strong health prevention and
promotion program. Starting from inception, an appropriate health advice has to be
sought & incorporated in the project. Guidelines, standards, regulations & legislations
will be prepared in order to assist the community, planners, builders, agricultural schemes
and industries on safe disposal of waste, minimizing environmental pollution and
incorporating appropriate health and safely standards in housing and work premises.
2.2.4.2. Ethiopian Water Resources Management Policy
The Federal Government of the Democratic Republic of Ethiopia issued a comprehensive

& integrated water resources management policy in 1998. The policy document outlines
the following as the general policy objectives (FDRE, 1998:1)
o Development of the water resources of the country for Economic and social Benefits
of the people on equitable & sustainable basis;
o Allocation and apportionment of water based on comprehensive and integrated plans

and optimum allocation principles that incorporate efficiency of use, equity of access,
and sustainability of the resources.
o Combating and regulating floods through sustainable mitigation, prevention,

rehabilitation and other practical measures.
o Conserving, protecting and enhancing water resources and the overall aquatic
environment on sustainable basis.
2.2.5. Legislative Instruments

The Federal Government of Ethiopia is in the process of passing number of proclamations
that are aimed at providing the legislative instruments for the implementation of the

national environmental policy objectives and strategies. The following environmental

protection proclamations were enacted by the council of Representative of FDRE.
2.2.5.1. Proclamation on institutional arrangements

This proclamation establishes the CEFCC as an autonomous Federal Minster with the
objective of formulating Environmental policies, strategies, legislatives, standards and
directives. The proclamation also provides for the establishment of the Environmental
Council to ensure integration of Environmental concerns with development policies,
strategies and plans, as well as co-ordination among sectors.
The Environmental Council is chaired by the prime minister (or his designate) and is
composed of the relevant line ministries, heads of other government agencies and
representative of trade associations and NGOs. The executive Director of CEFCC will
serve as member and secretary of the Environmental Council.
Further-more, the proclamation requires every competent agency to establish or designate

its own environmental unit, which shall ensure collaboration with CEFCC and be
responsible to co-ordinate and follow up that activities of the agency are taking place in
harmony with this proclamation and other Environmental requirements.
2.2.5.2. Proclamation on Environmental Impact Assessment, proclamation No.

299/2002
Environmental impact assessment is used to predict and manage the environmental effects
which a proposed development activity as a result of its designed sitting, construction,
operation, or an ongoing one as a result of its modification or termination, entails and thus
helps to bring about intended development; WHEREAS, assessment of possible impact on
the environment prior to the approval of a public instrument provides an effective means of
harmonizing and integrating
Environmental, economic ,cultural and social consideration into a decision making process
in manner that promotes sustainable development, WHEREAS, the implementation of the
environmental rights and objectives enshrined in the constitution would be fostered by the
prediction and management of likely adverse.
Environmental impacts and the maximization of their socioeconomic benefits, whereas,
environmental impact assessment serves to bring about administrative transparency and

accountability, as well as to involve the public and , in particular communities in the

planning of and decision taking on developments which may affect them and its
environment.
2.2.5.3. Proclamation of Environmental Pollution Control, Proclamation no.

300/2002
This proclamation is mainly based on the right of each citizen to a healthy environment, as
well as on the obligate of on to protect the environment of the country. The primary
objective of the proclamation on environmental pollution control is to provide the basis
from which the relevant ambient environmental standards applicable to Ethiopian can be
developed, and to make the violation of these standards punishable act. The proclamation
states that the ‘polluter pays principle – PPP’ will be applied to all persons and require no
one to pollute or cause any other person to pollute the environment by violating by the
relevant environmental standards and the authority or the relevant regional environmental
agency may take an administrative or legal measures against a person who releases any
pollution to the environment.
The proclamation also showed or indicated different pollution control measures that
enforce different individuals and government institutions not to pollute the environment.
The proclamation also identified those sectors that require environment standards, which
include the following;
 Standards for the discharge of effluent into water bodies and sewage systems
 Standards for the type of and amounts of substance that can be applied to the soil
or be disposed of on or in it;
 Standards for noise providing for the maximum allowable noise level taking in to
account the settlement patterns;
 Waste management standards specifying the level allowed and methods to be
used in the generation, handling , storage, treatment , transport and disposal of
the various types of waste;
 MEFCC may prescribe different environmental standards for different areas as it
may find necessary to protect or rehabilitate the environment
Under this proclamation, the MEFCC is given the mandate for the creation of the function
of environment inspectors. These inspectors (to be assigned by MEFCC or regional

environmental agencies) are given the authority to ensure implementation and enforcement
of environmental standards is related requirements.
2.2.5.4. FDRE Solid Waste Management Proclamation No 513/2007

The objective of this proclamation is to enhance, at all levels, capacities to prevent the
possible adverse impacts while creating economically and socially beneficial assets out of
solid waste. Some of the important provisions include:
Table 4: Solid Waste Management
Obligations Liabilities Regulating Laws

Any person shall obtain a permit from the concerned body of without obtaing authorization , aperson who
an urban administartion priort to his engagement in the implement a solid waste managemnt project that
collection, transportation, used or disposal of solid waste requires special permit before its implementation 513/2007 part2, sec 4.2
Head of each house hold shall ensure recyclable solid wastes as determined in a directive issued by the relevant
are segregated from those tant are destined for final disposal environmental agency commits an offence and
and are taken to the collection sites designated for such waste shall be liable to the relevant provision of the
Criminal Code 513/2007 part 2, sec 11.1,11.3
It is prohibited to dispose of litter on streat, waterways, bus
stops, trainstations,sport field, water bodies in urban areas or
in other public places while litter bins are available 513/2007, part 5, sec 17
2.2.5.5. The FDRE Occupational Safety &Health (Labour Law 377/2003)

Under this legal provision, duty placed on the Employer is to take the necessary measure to
safeguard adequately the health and safety of the workers with the following obligations
and liabilities.
Table 5: Occupational Safety Health
OBLIGATIONS LIABILITY APPLICABLE LAWS

(1)S ha ll ta ke a ppropria te s te ps to e ns ure tha t worke rs a re (1) S ha ll be lia ble for e mployme nt La bour proc la ma tion No.
prope rly notifie d c onc e rning the ha z ards of the ir re s pe c tive injurie s , I.e ., oc c upa tiona l a nd 377/2003 Artic le s 92 to 112.
oc c upa tions a nd the pre c a utions ne ce s s a ry to a void a c c ide nt oc c upa tiona l dis e a s e s , irre s pe c tive of
a nd injury to he a lth; (2) S ha ll e ns ure tha t dire c tive s a re give n fa ult on the pa rt pf the e mploye r; (2)
a nd a ls o a s s ign s a fe ty offic e r; (3) Es ta blis h a n oc c upa tiona l S ha ll be lia ble to pa y c ompe ns a tion to
s a fe ty a nd he a lth c ommitte e of which the c ommitte e 's the e mploye r if injury ha s be e n c a us e d
e s ta blis hme nt s ha ll be de te rmine d by the Minis te r; (4) P rovide a s a re s ult of the fa ult of the e mploye r.
worke rs with prote c tive e quipme nt, clothing a nd othe r m a te ria ls
a nd ins truc t the m to us e ;
(1) Register employer accident and occupational diseases and 1) Shall be liable for employment Labour proclamation No.
notify to the labour inspection of the same; (2) Arrange injuries, I.e., occupational and 377/2003 Articles 92 to 112.
according to the nature of the work, at his own expense for the occupational diseases, irrespective of
medical examination of newly employed workers and for those fault on the part pf the employer to pay
workers engaged in hazardous work; (3) Ensure that the work compensation and medical expenses;
place and premises do not cause dander to health and safety of (2) Shall be liable to pay compensation
workers; (4) Take appropriate pre executions to ensure that all to the employer if injury has been
the processes of work shall not be a source or cause of caused as a result of the fault of the
physical, chemical, biological, ergonomical and psychological employer.
hazards to the health and safety of the workers.
2.2.5.6. The FDRE Public Health Proclamation No. 200/02

Table 2: The Proclamation place duty on the owners of the site with obligations and Liabilities:

OBLIGATIONS LIABILITY APPLICABLE LAWS/section

1) S hall not dis pos e wa s te in a ny manne r whic h c onta minates the (1) Liable to pa y fines from birr 1000 P ublic He alth P roc lamation No.
environment or affect the hea lth of s ocie ty; (2) S ha ll c ollec t was te in a up to 9,000; (2) impris onme nt from 200/02 Artic les 11, 20(2);
s pecially de s igna te d pla ce and in a ma nner which doe s n't a ffec t the thre e months to thre e ye a rs ; and Commerc ial Regis tra tion and
he alth of the s ociety; (3) S hall put in pla ce c le an, a de qua te a nd (3)S us pe ns ion or ca nc ellation of Bus ines s Lice ns ing P roclamation
ac ces s ible toilet fa cilitie s to its cus tomers bus ine s s lic ens e No. 686/2002 Artic les 39/2
(1) S ha ll ens ure the ava ilability of occupa tional hea lth s ervic es to his Fine 1000 to 9000 birr and P ublic He alth proclama tion No.
employee s ; (2) Us e of mac hinery or ins trume nt which gene ra tes impris onment from one month to one 200/02 Artic les 11, 20(2)
exces s ive nois e is prohibite d; (3) If us e s s uch mac hinery s hall ins tall yea r.
nois e reducing a ppara tus or ins trument
Without the authorization from the authority or from the relevant regional Proclamation No 299/2002,
environmental agency, no person shall commence implementation of any Environmental Impact
project that requires environmental impact assessment as determined in Assessment Proclamation
a directive issued pursuant to artcle 5 (See 5.1 and 5.2 of this
document) of this proclamation.
2.2.5.7. The FDRE Water Resource Management Proclamationo.197/2000

Table 3: Discharge of Hazardous Waste
This proclamation places duty on the owner of the facility using water for the industry or
for any other purpose that may cause pollution:
Discharge of Hazardous waste

Obligations Liabilities Regulating Laws
Any person using water for industry or for

any other purposes which may cause
pollution shall have an obligation :
1.to install and use waste treatment method ;
to discharge only the type and volume of treat- Liabilitites are to be determined in accorance to theProc.No. 300/2002
ed waste permitted ; Criminal Code Proc.No. 197/2000
to allow the Supervising Body to take the treat- Arts. 2(10),(11),(12)
But thought this law does not make any reference
ed waste discharge sample at any time to it 17(1)(d),
2. To renew the treated waste discharge permit the liabilities on Proc. No. 300/2002,(see Reg.115/2005, Arts.
every two years , not later than one month 5, 11, 12 , 13
prior to its expiry.
2.2.5.8. Regional/Oromia Proclamation (Proclamation No. 176/2012 and

177/2012)
The Oromia Regional state has established an “Oromia, Environment, Forest and Climate
Change Authority” (OEFCCA) that has prime responsibility for ensuring sustainable
development in the region. The OEFCCA has its branch offices in the administrative
zones; woreda’s and in twelve selected cities of the region. The twelve cities where
OEFCCA has branch offices consist of Adama, Sebeta, Burayu, Gelan, Asela, Jimma,

Legetafo, Sululta, Gelan, Bishoftu, Shashemene and Nekemte. The Oromia regional state
has adopted the Federal Proclamation on Environmental Impact Assessment and on
pollution control, called ‘Oromia National Regional state Environmental Impact
Assessment Proclamation No. 176/2012’ and ‘Oromia National Regional state
Environmental Pollution Control Proclamation No.177/2012’. In addition to the framework
proclamations, the OEFCCA is preparing detailed regulations on EIA and pollution control
which are currently drafted and being discussed in house. Clearly the region has an
environmental and social management system that requires for conducting EIAs for
development projects. The enforcement of this requirement for environmental assessment
is spearheaded by OEFCCA and its branch offices at Zonal, City and Woreda levels.
2.2.6. Environmental Impact Assessment Guideline Document

The guide to EIA document that was prepared by CEFCC provides a background to EIA
and environmental management in Ethiopia. In effect, the document aims at being a
reference material to ensure effective environmental assessment and management practice
in Ethiopia for all parties who engage in the process. The basic objective of the guide is:
 Providing all interested parties with a consistent approach in EIA;
 Providing background information for the context of EIA in Ethiopia;
 Assisting proponents in identifying their EIA responsibility;
 Assisting communities and NGO groups in realizing their environmental rights with
regard to EIA;
 Assisting the authority in determining their roles and responsibilities as decision

makers in the EIA process; and
 Assisting in decision-making with regard to cost and benefits of proposed

development projects.
2.2.7. Ethiopia's Growth and Transformation Plan (GTP),

Ethiopia's Growth and Transformation Plan (GTP) is a medium term strategic framework
for the five-year period (2010/11-2014/15). Under cross cutting part of the plan, there
exists a separate component for Environment and Climate change as explained below;

Environment and Climate Change
 Strategic Direction
Environmental conservation has vital contribution for sustainability of development. In this

context, building a carbon neutral and climate resilient economy and enforcement of
existing environmental laws are priority actions in connection to the environmental
conservation.
 Objectives
The objectives of the plan is to formulate policies, strategies, laws and standards, which
foster social and economic development to enhance the welfare of humans and the safety
of the environment sustainably, and to spearhead in ensuring the effectiveness of the
process of their implementation.
 Implementation Strategy
a. Adaptation to climate change
Climate is a major environmental resource that affects nearly all human activities.
Ethiopia's contribution to the increased concentration of greenhouse gases in the
atmosphere is negligible. But it is highly sensitive to climate change and variability.
Ethiopia has large arid and semi-arid areas as well as development sectors which have
already suffered much from the vagaries of climatic variations and are likely to suffer
seriously due to the occurrence of a shift in climate.
Thus, the adverse impact of climate change in general setback the development already
gained. The impact in climate change is inevitable for at least the next few centuries.
Therefore, the formulation and implementation of a climate change adaptation program is a
dictate of Ethiopia's survival.
b. Mitigation of climate change
Ethiopia has one of the lowest per capita rates of consumption of fossil fuel in the world.
Its contribution to climate change is, therefore, negligible. Although compared with the

rest of the world Ethiopia's contribution to atmospheric pollution that causes climate
change has been negligible its impact is going to increase with the growth of
industrialization. Therefore, Ethiopia should do all it can to avoid emissions of
atmospheric pollutants and pursue a clean path of development.
Ethiopia has resources and environmental conservation practices that do not entail climate
change and that could also mitigate emissions of greenhouse gases. Therefore, Ethiopia's
contribution to the mitigation of the climate that is being induced by industrialized
countries has been increasing. Ethiopia can generate much more electricity than it needs
from hydropower, wind and geothermal power and thus not only mitigate its contribution
to climate change but also export clean electricity to neighboring countries to help them in
their shares of climate change mitigation action. Ethanol and biodiesel production can
increase many folds without competing with food crops for agricultural land. On the other
hand, the once deforested lands in the last 20 years or so, especially in Northern Ethiopia
have been reforested. In general, Ethiopia has socio-economic development sectors that
have a potential to mitigate climate change.
2.3. Institutional Frame Work

2.3.1. National
The administrative structure of FDRE is based a Federal system that has nine regional
states and two special city administrations. Environmental protection activities are directed
and managed at the national level through three levels of institutional arrangements. These
are namely, the Environmental Protection Council, the Commission of Environment,
Forestry and Climate change (CEFCC) and Inter-Ministerial Commission Coordinating
Mechanisms.
2.3.1.1. Environmental Protection Council

The proclamation for the establishment of the Environmental Protection Authority
establishes Environmental protection council to ensure the integration of Environmental
concerns with development policies, strategies and plans as well as coordination among
sectors. The council is composed of the Ministry of Agriculture, Ministry of Trade and
Industry, Ministry of Health, Ministry of Mines and Energy, the Commission of Science

and Technology, the Ministry of Water Resources and CEFCC. An official to be

designated by the government chairs the council.
2.3.1.2. Commission of Environment, Forest and Climate Change

The Commission of Environment, Forestry and Climate Change (CEFCC) is the competent
Environmental Agency at the Federal level in Ethiopia established by proclamation No.
9/1995. Article 5 of the proclamation states the following as the objective of the CEFCC.
The objective of the authority shall be to ensure that all matters pertaining to the country’s
Social and Economic activities are carried out in a manner that will protect the welfare of
human beings as sustainably protect, develop and utilize the resource bases on which they
depend for survival.
2.3.2. Regional
The Oromia regional state is one of the nine regions under the Federal system of the
Federal Democratic Republic of Ethiopia. Oromia has a total area of about 353,6275 km 2,
which covers about 32% of the country’s area coverage. Oromia Environment, Forest and
Climate Change Authority is established through proclamation No.147/2009 to regulate
environmental protection issues in the region. Article 5.1 of the proclamation mandates the
of the region to ‘formulate policies, strategies, programs, or guidelines pertinent to
environmental protection and follow up its implementation up on approval, while Article
5.12 mandates the bureau to ‘regulate and follow up that any processing activity is planned
and implemented without damaging the environment and disordering its balance. When it
comes to EIA, the national provisions indicate the Federal MEFCC devolves responsibility
to the regional environmental offices, especially for projects that fully under the
jurisdiction of the regional governments.
2.3.2.1. Zone
There are eighteen zones in Oromia region in which Oromia Special Zone Surrounding
Finfinne is the one to mention. The zone administration is the highest organ in zone
administration hierarchy.

2.3.2.2. Town
The project is found in Gelan town, in its industrial area. The highest administrative
structure of the town is the town council, which is established consisting of the
administrative arm and a cabinet. The town Environmental Protection, Forest and Climate
Change Authority is responsible for the monitoring of environmental protection at the
town level.
2.3.2.3. The Kebele

The kebele associations () has their own council consisting of the administrative structure
and the cabinet members. The main responsibilities of the Kebele’s include: promoting
urban development, executing government policies and facilitate their implementation and
conducting tax collection
2.3.2.4. Community Based Organizations (CBOs)

Similar to the other rural parts of Ethiopia, community based organizations are present
with the aim of providing services of one kind or another to the community. Among the
notable once are the farmer’s cooperatives, woman’s association, youth associations and
community Edir associations. The woman and youth association works in close
cooperation with the farmers’ association they usually work with their respective members
in improving their social and economic wellbeing as well as promoting relevant
government policies. The community Edir (burial Society) is one of the oldest traditional
institutions which are unique to the country. The principal function of these associations is
to organize funerals of its deceased members and usually they undertake all responsibilities
from feeding the mourners to digging the graves and providing financial and moral support
to the families to which death has taken place. And it also creates a loan service to the
members in need.

CHAPTER 3
3. PROJECT DESCRIPTIONS
3.1. Background to the Project
3.1.1. Project Goal
The proponent proposed this project with the overall goal of taking advantage of
opportunities of producing manufacturing Nail and Steel products to be the most
successful producer of superior quality products to earn maximum benefits from local
markets.
3.1.2. Location
The project site is located in Industrial Zone, Gelan town, Finfine Surrounding Special
Zone, Ormia Regional State.
The main justifications behind the selection of this location are;
 Strategically located to the central and largest market of the nation (Addis Ababa)
 Relatively advanced development in infrastructure (Power, Water, Telephone
internet, road etc.
 All asphalt road to the nearest market outlets
 Nearest to International Airport Bole
 Availability of huge skilled labor force
 Conducive investment policy and governance
 Environmentally fit to manufacture Nail and Steel products

3.1.3. Project Objective
3.1.3.1. General Objective

The main objective of this factory is to manufacture, cost effective, market oriented, client
based products of Nail and Steel products for house hold and industrial use which can
substitute the import products.
3.1.3.2. Specific Objectives

 To undertake the production of Nail and Steel products products to serve as the
source of government revenue through business income tax.
 To serve as a role model for other investors who wants to invest in similar business
undertakings.
 To contribute somewhat to the governments objectives of reducing the problem of
un-employment through creating employment opportunities to the citizens both on
permanent and temporary basis.
 To bridge the demand gap of Nail and Steel products used for construction,
agricultural and industry activities products in the country.
 To contribute in the import substitution policy of the government by locally
producing products mainly Nail and Steel products that were imported earlier.
3.1.4. Project Justification
Metal Then, once cut, the profiles are grouped together side by side on support tables or in
baskets and conveyed to an ageing chamber or tunnel where they stay at a present
temperature and for a preset time for a heat treatment so their molecular structure can
stabilize and the extruded metal can reach mechanical characteristics.
After this treatment, the profiles are recovered and conveyed to other process such as
anodizing and other mechanical conditions. Then finally the finished products passed to
the structuring section and the other products can be arranged for transport.
The project is envisaged to establish structural metal products manufacturing plant. The
major products to be manufactured in the plant are construction, agriculture and other
industrial structural products.

3.1.5. Nature and Scope of the Project

Conducive investment policy of the country and experience in importing and distributing
various Nail and Steel products items from abroad and from domestic market is one the
driving force for the owner to establish the stated project. Moreover, owner had made
detailed and extensive study and decided to participate in machineries products. Now,
more than ever before, the company knows the concept of import substitution by
producing Nail and Steel products here in Ethiopia.
The owner has planned to manufacture different Nail and Steel products like house hold
and industrial use. Then the company has obtained appropriate suppliers for the Nail and
Steel products.
3.2. The Nature of Raw Materials, and Production Processes of the Project
3.2.1 Raw Material
Materials requirement of the plant would initially comprise of local sheet, angular and rod
steel metals from local market. It is proposed that the plant should simple components that
would not compromise the quality of the product.
3.2.2 Descriptions of production processes

Nail and Steel products is produced by pulling metal rods through a serious of metal dies
that slice in to the roads and cut away unnecessary metal a process known as drawing.
The rod is thus reduced to fine strand with the swarf or metal that is peeled away utilized in
other products. Cutting of steel wires in to finely shaved Nail and Steel products an
approximately 50ft(15.2m) long machine called Nail and Steel products cutting machine.
The metal rods spools and wrap on the side of circular spools machine. Then Nail and
Steel products production process passes through process of spooling, cutting slicing,
shaving, threading and finishing.
Flow chart of Production process
Into
Material Sizing and
spooling cutting
raw storage grading

Threade
Combing shaving
machine
Fig. flow sheet of the Nail and Steel products production process
3.3.Plant, Equipment and Machinery

The factor will have one extrusion production line. The list of machineries and
equipment’s are listed as shown below.
 Spooling machine
 Weighting scale
 Generator
 Wiring machine
 Smoothing machine
 Electrical cutter
 Electrical hydraulic press
 Packing and finishing machine
3.4.Plant Capacity and Production Program

Based on the overall market assessment and the demand gap figure of the company
expected to produce 2800 tons of Nail and Steel products and other related products in 300
working days of a year, 1 shift of eight hours per day. The rest of the calendar days are left
for cleaning and maintenance. The working days have been estimated based on market
demand and discounting planned maintenance from the calendar days of the years..
3.5. Utilities
A number of utilities would be put in place in order to ensure smooth functioning of the
factory. These utilities include:
 Water Supply, 1500m3 /annum
 Supplementary Electricity supply, 300KW

 Telephone lubricants
 Oil and lubricants
 Paved Road Transportation,
 Drainage Facility
3.6. Project life cycle Activities
3.6.1. Pre -construction phase activities

The pre-construction activates includes site survey, resettlement and re-allocation
activities, land clearing and leveling to make ready for construction work activities.
3.6.2. Construction Phase Activities

The proposed Nail and Steel products plant shall comprise an office-building, Laboratory
room, guardroom, parking, construction materials complex plant building, storage room,
action hall, waste collecting pit, water supply, wastewater collection, and treatment and
disposal systems. The Site is located within the industries area and no formal residential
area exists nearby. The land for proposed Nail and Steel products plant is presently lying
vacant settled under industry zone. The area around the site is mostly being used for
industry development.
The infrastructure works will typically include:
 clearing of the site

 excavation for foundations,
 construction materials products technologies
 placing a foundations and execution of general civil works to house the screening
and treatment facilities,
 installation of treatment facilities
 Construction of building and installation of equipments.
3.6.3. Operation Phase activities

Activities performed to change a raw material in to output production are called production
process. Production process, which is practiced by most of the manufacturing, is similar. In
broad, production process comprises per-production, on- production and postproduction.
A. Pre-production

Preparation and arrangement of resource are under this stage. The question what to do?
Where to do it? When to do it? Who to do it? All are answered at this phase of production
process.
A well prepared and arranged resource result in production cost reduction and meeting due
time.
Some of these activates involved at this stage are:-
 Making a design
 Material selection
 Purchasing of raw material
 Adopting flexibility of production places
 Hiring of skilled workers
 Inspection of raw material
B. On-production
The already prepared and arranged materials, machineries and human resources are
organized to start the real production process. The strength of this stage depends on the
per-production stage. It needs a managerial skill to coordinate the resource to achieve
desire product.
Some of the activities involved in the stage are
 Clearing raw materials according to the specified demand

 Processing the row material to the product
 Quality control of the product.
C. Post production
Post production in the final stage where preparation of product for distribution under taken.
Now the product has got the required design but needs good packaging appearance.
Some of the activities involved in this stage are:-
 Packaging
 Advertising
 Marketing etc.
Note: Quality inspection activity in practical in all stages to keep the quality of the product
and to decrease scrap and reworks.
D. Quality Assurance
The top line manufacturing units will set up an international standard laboratory for its
products

3.6.4. Decommissioning Phase Activities

Decommissioning activities will have implications for the physical characteristics and land
use of the site. By their nature, such projects have the potential to change the site
significantly. Issues to consider include: the effect on landscape character of the area,
which may be considerable improved by the removal of unsightly and derelict structures.
Soils may be compacted by the operation of heavy plant, or may become contaminated
with toxic materials or reduced in quality by mixing with demolition waste, such as bricks
and concrete
3.7. Organization Structure

The organizational structure of the project is designed by including all the necessary
personnel under the right division. At the top of the organizational structure, there will be
manager with the responsibility of supervising the overall activity of the plant. Depending
up on the nature of the center and the amount of work to be performs; there exist auxiliary
units under the general manager.
Employees under each unit will be supervised by the department head that is accountable
for the general manager. General Manager is appointed by the owner
Owner/s
Secretary General
Manager
Manufacturing Admin. & Marketing &

Dept. Finance Dept. Sales Dept.
Prod. Dep 1 Prod. Dep 2 Admin. & Finance section

HRM Section
Dept.
Perfab Section
Marketing Sales Section
Section
Fig: Organizational Structure
Hence the following section deals with the duties and responsibilities of some departments.

1. Manager
Duties and responsibilities
 She/he will plan, organize, direct and control the overall activities of the factory
 She/he will devise policies and strategies that will enable the factory to be
profitable.
 She/he will incorporate modern technological innovation that will facilitate the
service delivery of the project center and increase customer’s satisfaction.
 He/he will plan, organize, direct and control the human and non-human resources
of the plant so as to achieve the short and long run objectives of the organization.
2. The Manufacturing Department
Duties and responsibilities:-
It is the core department of the project and it has three main sections Production line one
(Nail and Steel products products manufacturing). The department has the following
responsibilities.
 Design and prepared prototype for all products based on the plant standard and
customer preferences
 Use modern manufacture, processing and technologies that will enhance the quality
of products.
 Produce quality product that will enable the center competent both in the domestic
and international market.
 Use appropriate technology to manage its products.
 Control on the quality of raw materials, inputs, quality of the product and also the
overall production process.
 Produce products in least cost so that the profitability of the center is guaranteed.
 Moreover control over the quality of the final products
3. Administration and Finance Department
 Will plan, organize direct and control the financial transaction of the plant by using
the entire necessary document.
 Will develop sound financial control system by developing modern financial
control systems.

 Will prepare the annual financial statements and prepare condensed reports for the
general manager, owner and other concerned government body.
 Will control the human and non human resources of the plant, which include:
effective handling of the different inventories of the machineries, equipments, raw
materials, finished products, and devise strategies of controlling against fraud and
damage.
 Manage and execute the company national and international procurement
procedure
 Administer and control the company logistic resource
 Effectively administer the company Procurement process domestically as well as
internationally.
 Manage the public relation of the company/factory with external
parties/stakeholders
 Provide and manage general supportive service to the plant.
4. Commercial Department
 Will handle the overall marketing activities of the organization which include
planning, organizing, directing, and controlling.
 Provide cost estimates in estimation of pricing.
 Gather information on new product design, profile
 Approval of new products profile & brand plan analyzes market research.
 Plan and execute sales.
 Will develop effective customer handling strategies
 Will design and implement effective advertisement and promotion schemes
 Will develop the marketing strategies for future project center’s development.
Conduct both foreign and domestic market research for expanding the sales of the
company

CHAPTER 4
4. DESCRIPTIONS OF BASELINE ENVIRONMENTAL

CONDITIONS
Environment means surroundings, which are comprised by living things and physical
conditions. Pertaining to nail and steel products manufacturing baseline environmental
conditions comprise bio-physical, socio-economic and cultural aspects. The study area
comprises the project site and all surrounding areas that will be under significant influence,
i.e. where the environmental impacts of the proposed project can be felt particularly the
direct one
4.1. Physical Environment
4.1.1. Location
The proposed nail and steel products manufacturing factory is to be located in Gelan town,
in Industrial zone on 15,000m2 area. Gelan is one of the reforming cities of Oromia found
in the Special Zone of Oromia National Regional State, 25kilometers South East of Addis
Ababa along the Addis Ababa –Bishoftu old asphalt road.
Galan town in situated the East direction bordered by Dukem town; Dambi hills in the South,
Abu sera PAs in the South west, Wedenso Mountain and Abayi Silto peasant ‘Administration in
the North east, Dongora river or Koye Abo condominiums in the North; Akaki sub city & Akaki
River in the West & North West
Astronomical location: Galan town is located in between 804’00’’ – 805’30’’N latitude

and 38046’0’’- 38053’0’’ E longitude.
Landscape and Topography

Topography is very important to identify areas suitable for proposing land for different land use
categories. In this regard, the topography of Galan town is known to have rugged terrain nature
landscape. The highest point of Galan town is about 2373 m above sea level which is situated in
the central part of the town on Bushu hills whereas the lowest one is about 2051m above sea
level located in the western age of the town.
Preparing landscape design on Bushu hills provide Galan town a additional beauty which
in turn attract people to prefer the town for industrial, social and residential destination.
4.1.2. Climate
The climate of the town is characterized by two distinct seasonal weather patterns. The
main wet season, locally known as Kiremt, extends from June to September, contributing
about 70% of the total annual rainfall. A minor rainy season, locally known as belg,
contributes moisture to the region from mid-February to mid-April. The remaining months
are dry season. Data on temperature, wind direction and speed of Galan town is not
available and an attempt has been made to adapt the climatic condition of Addis Ababa_
Akaki which is the nearest metrological station.
Temperature: The mean maximum annual temperature of the town is about 26.40c and the
mean minimum temperature is 13.3 0c. Therefore, the mean annual temperature of the town
is 200c which is found between tropical and subtropical climate. This kind of temperature is
ideal for human habitation.
4.1.3. Water course in the site

The nature of the proposed project site is flat type at the top and sloppy to smaller gorges.
The proposed project will impact on the water bodies towards the downstream discharge
and the site will be affected by the proposed project. However, People in the vicinity of the
project site have no problem of drinking water as the tap water in town is safe to drink.
4.1.4. Soil Types
From field observation, the soil and its layer around the project sites are identified as black
cotton soil types. The black cotton soil in the site is characterized with very hard and crack
when dry, but become sticky and high elasticity and high degree of swelling often when

wet. The project site is potentially good for the proposed project construction if
recommendation for earthwork, foundation design, and floor slab support are implemented
attentively.
4.1.5. Air quality
Air quality measurements are not available, but around the site the vehicle traffic is very
significant on the main road at about 500m adjacent to the project site and infrastructure
constructions and different industries in the project area that release dust particles, bad
odor, CO2 and CO gases which may affect the air quality of the surrounding areas. Since
the site is industrial zone the cumulative effect of different industries may be very high that
may affect the surrounding community.
4.1.6. Wind Direction

From field observation and consultation, the wind direction is towards West for most of the
seasons. The wind speed calculated in the area is 0.55km/hr towards west direction.
4.1.7. Ambient Noise

The sound or noise could be generated from various sources but with respect to this project
the main source identified is the infrastructure constructions, nearby existing industries and
transport noise. The transport noise originates from road traffic from various vehicles and
other infrastructure constructions produce disturbances to more people than any other noise
sources
4.1.8. Hydrology
The main water source of the project is ground water through boreholes. As a result, there
won’t be a water problem in the area. The water table is close and the recharging rate is
quite high. According to the information obtained from the town administrator the main
water supply for the project is water pipeline prepared for the investment site.
4.1.9. Land use and land cover
Land use refers to the economic purpose the land is utilized by the society, while the land
cover refers to the natural or manmade factors occupying the land. Land use/land cover
plan refers to the best allocation of the land to its best alternative uses. Information about

the land use and land cover obtained from the Gelan town land administration shows that
the area around project site set aside for industry zone. Still the local community uses
some area not occupied and late to investment for grazing. The surrounding area also has a
potential to grow short – cycle crops especially teff
4.2. Biological Environment

The long-standing annual crop cultivation, population pressure and sole dependence on
bio-mass fuel as the energy source; have severely depleted the flora and fauna resources of
the area. Major proportion of the land is covered by crops, while communal grazing
grounds are also left at intervals. The limited dense forest cover is mainly exotic and
plantation tree cover; either of Eucalyptus or Juniperus tree species before the area is
allotted zone. Currently, the project site is mainly crop land and grassland with no
vegetation around.
4.2.1. Flora and Fauna
The immediate impact zone of the project comprises mostly of manmade habitats and
therefore the floral diversity was found to be low. There is no natural forest and/or plant
species occurring on the proposed site area and no wildlife population found at or on the
project site as the existing land use is industrial zone.
4.2.2. Proximal Conditions of the Project Site
There are no reported protected areas, historical or archeological resource in the project
area. During the field visit, the study group did not encounter site of historical, cultural,
and archeological importance located along the project area. However, infrastructure
investments and residential areas are found close to the project site. The present project is
however, in accordance with the city development plan
4.3. Socio-Economic Conditions

4.3.1. Human Population and Settlement Pattern
Before analyzing the population composition of Galan town it is vital to look at town
population size based on the newly demarcated town boundary by this strategic plan.
Calculating both the existing population number and projecting the future town population

is so difficult, due to the unique characteristics of the town. This town was only some kind
rural growth center settlement before a few years, and it has achieved the current level,
only through rapid growth of not more than ten years. On the top of this, there is no any
relevant CSA data regarding the town existing population number as well as the past
population growth trend. So in unusual way this study has relied on the report from town
administration about its population size and characteristics.
Accordingly, the town administration estimated the population size of the town to be
76,800 in the year under study. The total household number of this town was also
estimated to be 21,333 in the year under study. The average household size was 3.6, which
was relatively lower than the regional 3.9 and federal 3.8 average household sizes during
the same period.
4.3.2.Education levels
The participation rate of the Gelan town population’s in different educational levels is
greater than the regional level. However, rapid population growth, which results in
increasing the size of the school age population, continuous challenging the government’s
effort of meeting one of the sustainable development goal. In Galan town there were eight
education institution of different level. There were two KG, five first cycle primary
schools, six full primary school(1-8), one secondary School (9-10) and preparatory School
(11-12) at the beginning of the planning period. There is also one TVET and one college
level education institution in this town. The following table shows the education institution
(Rift valley university collage) in the town.
Health Facilities
There are 11 health care institutions in Galan town. The majority of health institutions or
about 7 of health institutions are owned by private investors. Likewise, there were privately
owned three clinics and 4 drug stores in this town. On the other hand, 1 health center and 3
health posts were also owned by government. No health institution is owned by NGO or
FBO.
4.3.3. Fuel Stations
The presence and absence of a fuel stations would be reflected on the economy of an urban
center in a lesser extent than the presence of banks and or insurance. However, the number

of fuel stations found in an urban center contributes to indicating on the level of service
that is rendered in the urban center. It also encourages transport sector. Based on field
survey the town has two fuel stations.
4.3.4. Land use
The land use in Gelan town comprises cultivation, grazing land and settlement areas. The
cultivated land is confined to well drain brown soils, occurring on upland and hills. The
land uses are mainly for crop production and livestock grazing. The major crop is teff. As
the study team observed in the field the current land use of the project area is mainly
grazing land farm land, currently prepared for industry zone. Moreover, some minor land
portion is occupied by infrastructures/main road and other access road. At the moment the
area is allocated for industrial purpose.
4.3.5. Roads Infrastructure and Network Access
The mobility challenges of the developing world are considerably different than those in
wealthier, advanced countries, and so are the challenges of coordinating transportation and
land use. Rapid population growth, poverty and income disparities, overcrowded urban
cores, poorly designed road networks, spatial mismatches between housing and jobs,
deteriorating environmental conditions, and economic losses from extreme traffic by
congestion are among the more vexing challenges faced by developing cities that could be
assuaged through improved coordination of transportation and urban development. The
cardinal features of integrated and sustainable transport and urbanism everywhere
accessible urban activities and safe, attractive walking and cycling environ are particularly
vital to the welfare and prosperity of urbanites in the world’s poorest countries.
Existing Road: Roads are the vital component of a transport system and have two basic
traffic service functions. This includes to provide traffic mobility and to create access. To
attain the desired result, the coverage and quality of roads should need consideration.
The coverage and quality of road in the Galan town remains in a good condition. Most
gravel surfaced collector and local roads that exist in the urbanized part of the town is
currently changed to cobblestone. However, roads in areas recently incorporated as part of
the town are in poor condition.

A good example in this case include; Mareno, Chafe Tuma, Tullu guracha, dhaga sade and
the like are not properly designed and constructed as urban street.
4.3.6. Water Supply
Galan town has been getting water supply system from different sources a) Groundwater
(boreholes) and b) springs in some village areas. The study area has groundwater
potential as analysis shows. Galan town has not been using the resource in any
developmental activities.
From data collected by questionnaire and information from the society, there were water
supply shortages in the town. There were a lot of industries and hotel services in the town.
Because of this reason, the water consumption and demand has been increasing from time
to time.
According to the data collected from Galan town water supply bureau, the town has been
getting water supply from four (4) deep wells. These are found in the localities of Caffe
Tuma, Kora Mariam, Kospy and behind Wood Land. The underground water potential of
the study area can be extracted from 180m (minimum) to 600m (maximum) depth. There
were five reservoirs with carrying capacity of 500m³, 500m³, 200m³ and (200m 3 and 25m³)
in the localities of Gara Bushu, Kora Mariam, Chaffe Tuma and dambi respectively.
4.3.7. Electricity
An electric light is a device that produces light by the flow of electric current. It is the most
common form of artificial lighting and essential to modern society, providing interior
lighting for buildings and exterior light for evening and night time activities. For
mentioned services, the city has street light, length of two wire line, length of three wire
line, length of four wire lines, length of high voltage line and Transformers.

CHAPTER 5
5. ENVIRONMENTAL IMPACTS IDENTIFICATION

Prediction of impacts is the most important step of environmental impact assessment.
Predictions are superimposed over baseline environmental status to derive ultimate
environmental scenario. The impact of the proposed project under construction and
operation have been considered and discussed in this chapter. Both beneficial (positive)
and adverse (negative) impacts on various components of environment due to proposed
project are identified, based on the nature of the various activities associated with
construction and operation of the proposed project.
Identification of significant impacts from the proposed project is an eminent step in the
process of environmental impact assessment. This provides a way forward to other
elements of EIA study such as quantification and evaluation of site specific impacts
exclusively from proposed project. As the first step towards the prediction and assessment,
the various activities during the construction and operational phase, which are likely to
cause an impact on these parameters, have been listed. The next step would be to evaluate
quantitatively and qualitatively the impact imposed on the various aspects of the
environment.
5.1 Potential Positive Impacts

Safe and healthy environment has a direct relationship with sustainability of any
development undertakings. As much as possible, all development projects should have
minimum adverse impacts on environmental resources and human health. Like any
development projects, this project has positive impacts on the environment and the
community nearby. The potential positive impacts of the project can be explained as
follows.
5.1.1. Socio-Economic Benefits

The project will have significant contribution towards the development of social and
economic aspects of the country. The plant has a plan to create employment opportunities
for a number of skilled and semi skilled workers. As determined in the manpower

requirement part, the total number of employees required for the overall project is 275
persons and most of the unskilled labor will be people from the project area. This
contributes to improving the livelihoods of the villagers and the employees in a number of
ways.
The project will have positive linkage with other sectors as it manufactures Nail and Steel
products for the local market. Thus, the project has a big role in foreign currency saving. It
will manufacture quality Nail and Steel products manufacturing which substitute the
imported similar items. Moreover, the plant's production plans are supported by continuous
research and development works which is aimed at identifying best manufacturing
practices and developing new products or innovative works along with the manufacturing
methods and technical specifications. The plant will have qualified manpower that has
technical knowhow and experience in similar fields.
Provision of up to date training will be one of the major tool to upgrade employees’ skill
which enable them to cope up with ongoing technology in construction materials and
machineries industry. Through training more staff, professional skills will improve
productivity. There will be training center to be established in the company compound.
The training center will be equipped with essential learning materials and thus students can
easily develop their skills by closely observing the manufacturing practices undertaken in
each of the working unit of the plant.
As indicated before, one of the raw materials of the plant will be local metal and others.
The other major benefit of the project is its ability to generate significant amount of tax to
the government. In view if this facts the project should get financial assistance from
Banks.
Besides creating employments opportunity for 275 workers and their family, the
development and implementation of the project is critical to the production of much of the
nations’ goods and services. In Ethiopia, there is low access to such construction materials
by local investments.
Poverty reduction: As a result of creation of jobs the project will have a meaningful
impact on poverty reduction as the project area is inhabited by largely unemployed and
marginal farmers, the employment priorities would focus on households subsisting below
the poverty line.

Education opportunity particularly girls: The increased income from the employment in
the project will improve substantially the living standard of the immediate area. Due to
their improved income families can afford to send their children to schools and supply their
school needs adequately.
Utilization of the available labor force in the area: This will enhances the benefits at local
level. Out sourcing commercial activities around the location for local competitive service
providers maximizes the social benefit of the project as well.
5.1.2. Employment Creation opportunity

The project will employ 275 workers during the implementation periods. The company’s
manpower comprises of skilled, semi skilled and unskilled laborers.
5.1.3. Marketing
The company will create markets in Construction based products manufacturing which are
critical to the production of much of the nation’s goods and services as nearly every
workplace in every house and industry uses some form of these materials.
The company uses link with construction materials manufacturing other industries in the
country for creating technology and skill exchange in which some of these manufacturers
specialize in creating items that require particular skill to make themselves to sell to a wide
variety of other manufacturers that our company get advantages of involving in such
market
5.1.4. Community Development

The implementation of the project is expected to contribute to the development of
institutions that would provide social services to the surrounding community. Since the
project is expected to involve workers this by itself induces the establishment of social
service giving centers.
5.1.5. Source of Government Revenue

To redistribute income, the government collects different forms of taxes from different
business undertakings and individuals as income tax. Among the different forms of taxes,
business income taxes, payroll tax and VAT are collected from undertaking business

activities. Therefore, the project will serve as sources of revenue for the regional state of
Oromia.
5.1.6. Supply of Innovative and Quality Products

By producing quality, durable and affordable Nail and Steel products products; it will
benefit the users to get these products. Besides, the benefit of these products has good
characteristics compared with other substitute products.
5.1.7. Technology Transfer

By producing these products in Oromia region, the project will train and develops the
capacity of the technical staffs. By doing this, the company will add value in technology
transfer in this area.
5.1.8. Save the Country’s Foreign Exchange

By minimizing the market demand and supply for Nail and Steel products manufacturing
plant will help to reduce the nation’s foreign exchange cost to import these products. This
will save the foreign exchange resource of the nation. Moreover, the nation can generate
foreign currency when the factory start exports its products to international market.
5.2. Adverse Impact Assessment
5.2.1. Constriction Phase Adverse Impact

The proposed Nail and Steel products manufacturing plant shall comprise an office-
building, Laboratory room, guardroom, parking, construction materials complex plant
building, storage room, action hall, septic tank, water supply, wastewater collection, and
treatment and disposal systems. The Site is located within the industries area and no formal
residential area exists nearby. The land for proposed Nail and Steel products
manufacturing plant is presently settled under industry zone. The area around the site is
mostly being used for industry development.
5.2.1.1. Impact on land uses

Land clearing and leveling as well as dumping of excavated soil materials can be a cause
for the alteration of landscape integrity in the project area. The land clearing work involves
movement of top soils and removal of grasses. Such activities can be a possible impact
origin for alteration of landscape integrity.

5.2.1.2. Air pollution impact

There will be an increase in SPM level along with SOx (from vehicle exhausts) due to
transportation of construction material at site. The construction activities will increase the
SPM level in the surrounding environment because of the excavation and filling work.
During the construction activity the major impact on the air environment will be due to
increase in the fugitive emissions.
5.2.1.3. Impact on Water Quality

Although it will be much lower than that of required for the operation phase of the project,
the construction phase of the project requires relatively high volumes of water which will
have a substantial impact on existing groundwater sources. In addition to this, during the
construction phase of the project, foreign materials like oil, grease, fuel, byproducts from
the construction process and thrown of solid wastes can be originated. The materials are
potential threats for groundwater quality degradation.
5.2.1.4. Impact on Solid waste

Littering of unused construction materials and workers personal garbage are mostly
common in construction phase. Hence, these unsightly and remnant construction materials
could pose a safety hazard.
5.2.1.5. Impact on Noise and dust

Vehicles and construction machinery; dirt access roads would result Nuisance factor to
neighboring communities.
5.2.1.6. Impact on Accident

Short duration increase in the traffic in the process of delivering supplies to the
construction site coupled with the concentration of casual labour can potentially increase
accident. Moreover, visibility problem that may be caused by dust storm during clearing
and land leveling may create accident problem in the site operation.
5.2.1.7. Impact on flora and fauna

Stripping of vegetation and cutting trees and introduction of plants that are foreign to the
environment will affect the biodiversity of the immediate area. Potential impacts are
associated with the loss of plant communities, grasses, and increase in natural instability of

plant communities. Because of the fact that the project site is already marked as investment
zone for industries, native vegetation cover is none existence; the project site neither
contained wildlife habitat nor indigenous plant species to be disturbed. Therefore, the
construction phase has no or minimum impact on flora and fauna.
5.2.1.8. Impact on Women’s Perspective

The proposed project is beneficial for women. But some adverse impacts may arise due to
additional work load and responsibilities as a result of immigrants in the area. Women in
the area might are expected to risk of sexually transmitted diseases
5.2.1.9. Materials transportation

The various materials required for construction and building (e.g., iron and steel, cements
and bricks, woods and woody poles, etc.) will be obtained from sources elsewhere and
transported to the site. Transportation of these materials, typically in over-laden and
sometimes uncovered trucks, usually results in undue road wear-and-tear. In the case of
fine earth materials, dusting and spillages occur on the roadways between source and site.
Dusting degrades local air quality and material spillages worsen driving conditions and
increase the risk of road accidents. These occurrences represent indirect, short-term,
reversible, negative impacts on public health and safety.
5.2.1.10. Materials storage

The improper sitting of stockpiles and storage of sand, gravel, cement, etc., at the
construction sites could lead to fine materials being washed away, during heavy rainfall
events, into the drainage system and ultimately into the adjacent environment. This would
not only represent a waste of materials but would also contribute to turbidity and
sedimentation with consequent negative impacts on nearby water quality and possibly the
ecology of the nearby water environments. Hazardous and flammable materials (e.g.
paints, solvents, etc.) improperly stored and handled on the site are potential health hazards
for construction workers and spilled chemicals would have the potential to contaminate
soil and inhibit plant growth in localized areas. It is anticipated that refueling or
maintenance of large vehicles will take place on the construction site and therefore there
will be a requirement to store fuel and lubricants in a safe manner on the site.
5.2.1.11. Construction waste disposals

Solid waste generated during site preparation and construction work would include cut
grasses and typical construction waste (e.g. wreckages, concretes, iron and steel wastes,
wooden scaffolding and forms, bags, cartoon waste, earthwork soil wastes, etc.). This
waste would negatively impact the site and surrounding environment if not properly
managed and disposed of at an approved dumpsite. Cleared grasses burned onsite would
generate smoke, possibly impacting negatively on ambient air quality and human health.
Grasses and soil wastes, if allowed to accumulate in drainage ways, could cause localized
pooling and flooding. Pooling of water, in turn, would create conditions conducive to the
breeding of nuisance and health-threatening pests such as mosquitoes. Poor construction
waste management constitutes a short-term, possibly long-term, negative impact.
5.2.1.12. Sewage and litter management

Inadequate provision of toilets for use by workers can lead to ad hoc defecation in secluded
areas on the site, thus creating of unsanitary conditions and sources of fly infestation.
Improper disposal of food cartons and other domestic forms of construction camp garbage
or wreckage could lead to littering of the site and pollution of adjacent areas.
5.2.2. Impacts of the Operation Phase

5.2.2.1. Environmental Risk during Production
The impacts that could arise from the project are mainly during the operation phase of the
project. However, as explained earlier, the raw materials that will be used for
manufacturing of Nail and Steel products products. Assembled Products made up of such
components do not involve any kind of reaction, chemical, or liquid that has contaminating
or adverse impacts on local surrounding environment and health conditions of nearby
residents.
By products of these items could perhaps be solid wastes and small pieces of leftovers
from cutting and they can be recycled or disposed easily at appropriate site designated for
solid waste disposal in the town. The use of non-toxic chemicals and color pigments
alleviate strain on the environment.
Our approach is to seek to design out polluting materials and processes and increasingly to
adopt sustainable materials instead. We have planned a number of initiatives to put in place
during production process.

 Material selection policy

 Uses of recycled materials
 Control and monitoring of restricted substances.
By working with the environmental authority we will strive to continually identify
environmental impacts throughout the lifecycle of products and explores solutions to these
impacts that benefit both the environment and business.
5.2.2.2. Noise
During operational stage possible noise generation will be as a result of vehicular
movement to and from the premises and also from the generators that would be installed to
provide alternative power supply.
5.2.2.2. Liquid waste
In the process of Nail and Steel products don’t use water, the emission levels is low. Water
is mainly used for cooling of process machineries and sanitation purpose but not in the
process itself. Therefore, the wastewater contains insignificant level of pollutants.
The only possible impact of these materials manufacturing plant may be the temperature of
the wastewater as it contains heat while cooling process equipment’s.
5.2.2.3. Impact on Solid waste
The solid wastes generates in production process are: (scraps) non -toxic metallic
materials, it can easily be collected and handled for reuse. The majority of solid wastes
generated from production process shall be collect appropriately and recycled.
5.2.2.4. Health and Environmental Risk during Production

Employees’ health hazard impacts particularly impacts that can make workers handicap
will have a cumulative socio-economic impacts. The cumulative impact of employee’s
health hazard particularly, work area caused accidents related partial or total hand caped
will have significant social impact on the worker and economic impact for his/her family in
particular.

CHAPTER 6
6. PROJECT ALTERNATIVE ANALYSIS

The sustainability goal of the project can be addressed if and only if the project is
environmentally, socially and economically viable. To achieve this; the team considered
different project alternatives and analyzed them from these three sustainability dimensions.
The alternative analysis focused on those significant negative impacts of the project (i.e.
solid and liquid pollution, and workmanship health hazard). As environmental pollution
and human health hazards are prominently non-significant impact and related with the
nature of raw material use; due emphasis is given to solid and liquid waste management
and constant keeping of the project site cleanliness were considered and evaluated.
6.1. Alternative of the proposed project Vs the no Project Alternative
The benefits attainable by implementation of this project would outweigh the

consequences of environmental damages related to the project. This is justified by the
possible avoidance of and/or minimizing the significant adverse impacts through
implementation of the appropriate mitigation measures. Therefore, the no-go project option
is discarded. Thus, the project area with the project outweighs the problems enumerated.
6.2. Cessation Phase of the Project:
Up on permanent discontinuation of the project, the following impacts will be envisaged.

Loss of job opportunities: The direct and indirect employment opportunity created for
citizens will be lost. Families who happen to be entirely dependent on the income
generated from the proposed project will be directly or indirectly affected. Reduction of
income tax.
No further negative environmental impacts of the site
Solid wastes, liquid wastes, emission of various matter and gases and further pollution of
the site will stop up on cessation of the project. All sorts of complain arising from the
operation of the project will no more be there.

CHAPTER 7
7. MITIGATION OF SIGNIFICANT IMPACTS

7.1. Construction Phase impacts mitigation measures
7.1.1. Impact on land uses
Mitigation Measures;
The above impacts can be avoided or minimized by undertaking the following mitigation
measures:
 Restoration and maintenance of soils and grasses by planting appropriate tree

species as hedges around the premises.
 Dumping excavated soil materials on selected site.
 Minimizing the movement of vehicles particularly outside the premise of the
project site to avoid further destruction.
7.1.2. Impacts on Water Resources
The following measures mitigate the impacts:
 Limit the use of water or withdrawal to the amount that will not adversely affect the
ecological balance,
 Support rehabilitation of quarry site by collecting selected construction materials
from legal quarry site,
 Carefully excavation, storage and reuse of soils in order to protect the ground water
resource not to be polluted.
7.1.3. Impact on Air Quality

To avoid consequence of visibility loss during operation, suggested option is to sprinkle

water on fresh construction spoil, and instructing site workers on the procedures of
construction and safety percussion.
7.1.4. Impact on flora and fauna
Though the impact on vegetation is none existence, to avoid grass and top soil damage
during the construction activities, the project remain to the following measures:
 Record the amount of grasses and top soils removed in order to reclaim or plant
again.
 Prepare green area or garden in the premise in order to be an example in keeping
the environment.
 Enhance awareness creation on importance of vegetation and soil/water
conservation.
 Plant trees around the factory site.
7.1.5. Nuisance and Noise

Noise impacts can be minimized by:
 Conduct explosive operation during the day time where most of the people are in
the field,
 Keep buffer to accommodate unavoidable noise that can occasionally occur above
background level,
 Ensure adequate, noise control should be placed at the project site while planning
and design stage.
 Positioning noisy operations and equipment away from noise-sensitive areas, in

insulated plant rooms where possible;
 Positioning tunnel sheds carefully as the larger fans required in tunnel sheds may
cause concern in noise-sensitive areas;
 Keeping equipment well-maintained;

 Scheduling noisy activities to occur during the day where practicable.

7.1.6. Work Area Accidents
The following proposed measures mitigate the impact:
 Train and equip some of the workers to voluntarily serve as a traffic service person
during the beginning and end of daily work,
 Aware workforce on the safety issues during site operation and on road safety,
 Put in place necessary signpost on site and near the gate.
7.1.7. Women’s Perspective
Awareness creation among the women community and also for the workers deployed in
the area would minimize the impacts. Availing condoms at the project premises &
promotion of its use shall be undertaken in collaboration with the local health institutions.
7.1.8. Materials transportation

 All fine earth materials must be enclosed during transportation to the site to prevent
spillage and dusting. Trucks used for that purpose should be fitted with tailgates
that close properly and with tarpaulins to cover the materials. The cleanup of
spilled earth and construction materials on the main roads should be the
responsibility of the Contractor and should be done in a timely manner (say within
2 hours) so as not to inconvenience or endanger other road users. These
requirements should be included as clauses within the contracts made with relevant
sub-contractors.

 The transportation of lubricants and fuel to the construction site should only be
done in the appropriate vehicles and containers, i.e., fuel tankers and sealed drums.
 As far as possible, transport of construction materials should be scheduled for off-
peak traffic hours. This will reduce the risk of traffic congestion and of road
accidents on the access roads to the site.
 Appropriate traffic warning signs, informing road users of a construction site
entrance ahead and instructing them to reduce speed, should be placed along the
main road in the vicinity of the entrance to the project site.
 Flagmen should be employed to control traffic and assist construction vehicles as
they attempt to enter and exit the project site.
7.1.9. Materials storage
 The stockpiling of construction materials should be properly controlled and

managed. Fine grained materials (sand, etc.) should be stockpiled away from
surface drainage channels and features.
 Safe storage areas should be identified and retaining structures put in

place prior to the arrival and placement of material.
7.1.10. Construction waste disposals

A site waste management plan should be prepared by the contractor prior to

commencement of building works. This should include the designation of appropriate
waste storage areas, collection and removal schedule, identification of approved disposal
site and a system for supervision and monitoring.
 Preparation and implementation of the plan must be made the responsibility of the
building contractor with the system being monitored independently.
 Special attention should be given to minimizing and reducing the quantities of solid
waste produced during site preparation and construction.

 To reduce organic waste, softer vegetation may be composted onsite and used for
soil amendment during landscaping.
 Grasses and combustible waste must not be burned on the site.
 Reusable inorganic waste (e.g. excavated sand) should be stockpiled away from
drainage features and used for in filling where necessary.
 Unusable construction waste, such as damaged pipes, form work and other
construction material, must be disposed of at an approved dumpsite.
7.1.11. Sewage and litter management
 Proper solid waste receptacles and storage containers should be provided in

sufficient numbers, particularly for the disposal of lunch and drink boxes, so as to
prevent littering of the site.
 Arrangements should be made for the regular collection of litter and for its disposal
only at the dump site/s.
7.2. Operational Phase Impacts mitigation measures

7.2.1. Noise
The stand-by generators would be placed in a honeycomb structure and each plant set
would have a silencer and lagging (sound proof casing) around the engine to control noise
generation. It is therefore unlikely that the generator would increase the ambient noise
levels significantly above the existing range of 38.4-67.8 dB (A).
Take following operational measures at noise sources:
 Maintain devices and pieces of equipment regularly
 Meet plant standards/rules and follow instructions for the operation of particular
devices and equipment (keeping the doors and other openings on the buildings during
plant operation open, the run/operation of devices and machines in the designed
mode of operation, etc.)
7.2.2. Air quality
Sulphur dioxide (SO2), smoke, carbon monoxide (CO) and other gaseous pollutants will
constitute major emissions when the generator comes on-line following a power outage.

Adequate dispersion of gases is anticipated in view of the high prevailing wind speed that
exists throughout the year. A stack height of at least 5 m (from ground level) will be
connected to the generator exhaust to enhance dispersion of gaseous and particulate
emissions.
7.2.3. Liquid Water
 Provide for separate liquid waste sewerage canals and construct liquid waste collecting
pit and septic tank
 During production process water is used for cooling the process machineries and it will
be recycled again for re -use. Waste leakage water and waste water generated during
cleaning the production equipment’s will be collated in pit and can be used for
greening the factory compound.
7.2.4. Solid waste
Wastes from the Nail and Steel products products manufacturing project shall be 100%
recycled or reused as inputs for the factory sustainable operation. Humanitarian waste and
other scarp materials generated in the factory collected in a collecting pit and their disposal
is based on the town municipality solid waste disposal practice
7.2.5. Working Environment/ Workplace Risk

Of vital important in the whole operations is the cleanliness and tidiness of the working
environment. The psychological risk/ damage happen during production and machinery
handling will be improved by continual training of workers and by taking action of safety
measure. There are normal precautions to take, such as making anti-skid floors, regular
scrubbing of floors, cleaning the buckets, tables and working area nothing is too much.
Light levels must be at sufficiently high so that working personnel can see exactly what
they are doing and so that they can identify problems.
Moreover, issues related to workers’ health and safety shall receive high attention from the
company. No Volatile chemical compounds found in the materials that are used in the
manufacturing process of machinery assembling and spare parts production.

CHAPTER 8
8. ENVIRONMENTAL MANAGEMENT AND MONITORING PLAN

8.1. Environmental Management Plan
8.1.1. General Overview

Environmental management is concerned with implementation of the measures necessary
to minimize or offset adverse impacts and to enhance beneficial impacts. Unless the
mitigation and benefit enhancement measures identified in the EIA are fully implemented,
the prime function of EIA, which is to provide a basis for shaping the project so that
overall environmental performance is enhanced, cannot be achieved.
In order to be effective, environmental management must be fully integrated with the

overall project management effort at all levels, which itself should be aimed at providing a
high level of quality control, leading to a project which has been properly designed and
constructed and functions efficiently throughout its life. Hence, the overall goal of the
Environmental Management Plan (EMP) of Mr. Abayneh Tsige project is to minimize
adverse impacts of the project by managing and implementing the proposed impact
alleviation measures and good working practices.
Under this section specific management activities of the operation phase is to overcome
possible impacts of the project are outlined.
8.1.2. Construction Phase

During constructions and installation of the machineries, the contractor will be responsible
for implementing the environmental mitigation measures proposed in this EIA study
report. The construction supervisor shall monitor impacts and their proper implementation
of mitigation measures. He/She will be fully responsible for ensuring that all the works to
be carried out in accordance with the specifications and drawings, that the environmental
impacts will be taken into consideration and that good working environment established. It
is also proposed that an environmental inspector to be arranged by the proponent. The

major environmental management issues to be undertaken during the construction phase

are presented in the following subsections.
8.1.2.1. Site Preparation Management

The site preparation for erection of machinery will be done by taking care of soil, land and
human health safety.
8.1.2.2. Solid and Liquid Waste Management

All solid and liquid wastes generated from the construction activities should be managed
properly. Solid wastes must be collected and burnt in a burn pit specially created for this
purpose. These burning pits must be placed away from the groundwater well head and the
seasonal wetland and covered up after completion of the construction work.
All the used materials from the plant and equipment must be collected and burned or
buried in specially secured landfill effectively sealed from the surroundings.
Environmental inspector has to ensure the proper implementation of these activities and
submit report on the status of environmental management to the company and concerning
local authorities.
8.1.2.3. Air pollution and dust management

The construction action is the major source of dust emission and air pollution. However, it
can be managed by:
 Discarding construction wastes will be in an appropriate or authorized waste

management facilities/land fill sites. Preventing the generation of air pollution
during the construction period will also be managed by water sprinkling.
 Besides, appropriate technology that helps to collect dust and emit gas (different
size fans) will be installed to prevent excessive emission of gases and dust
collection.
8.1.2.4. On site cultivation and infrastructure

As much as possible, attention should be given to save the indigenous resources found on
the industrial site and the natural tree planted at the boundary of the project site.

8.1.2.5. Health and risk management

Health and risk management should be done to avoid unnecessary impact on human health.
Providing health facility (protective gears, mobile clinic or first aid service depending on
the size of workforce) is the main element of health and risk management.
8.1.3. Operation phase

Most of project environmental management activities will be carried out during the
operation phase, although environmental impacts at this stage are also significant
(including environmental pollution and human health impacts).
The objectives of the environmental management program at this phase of the project are:
protection of the environment from solid wastes and other pollutants, protection of workers
from work area health hazard, efficient use of water sources, waste management (including
of recycling) and improve the environmental performance of the company. The consultant
proposes an Environmental and Safety Management Unit (ESMU) in the company’s
structure to operate the environmental management program at this stage of the project.
Co-ordinate and administrate all aspects of the environmental management programs;
develop further an environmental oversight capability within the company and facilities for
the implementation of companywide Environmental Management System (EMS).

Steel wool Manufacturing Project
Table- 4. Environmental management plan

Adverse Quant Budget
Specific activities to
Projec Environme Mitigation itative Responsible
implement the unit Time frame Remark
t stage ntal Measures amoun (birr) body
mitigation measures
Impacts t

Watering and
safe disposal Project
Constr
of excavated The site cleared shall be Feb Owner/contra
uction Until the
materials periodically watered to ctor
construction is
Dust reduce emission of dust
phase M2 100 5000 completed
emissions particles

Dumping excavated
Project Until the
materials at selected
M2 150 5000 Owner/contra construction is
suitable site and re-
ctor completed
shaping,
Mar
Avoid unnecessary Project
exposure or access to M2 7500 5,000 Construction Owner/contra During any time
Careful
Impact on sensitive habitat. ctor
protection of
fauna and Regular inspection or
plants and Project
habitat monitoring should be
animals M2 7500 5,000 Construction Owner/contra During any time
carried out in sensitive
ctor
areas
Damping wastes at proper
Operat Proper waste
disposal site/Construction During Project
ion Solid wastes management M3 250 20,000 During any time
of incinerator and operation Owner
phase system
incinerating wastes
3. 66
4.
Reduced air emissions by Bag

15 50,000
installing filter bags filters
Use good quality fuel and Bag During

Air 10 25,000 Project owner
lubricants filters operation
emissions
Install filter
from stack
bags
and
generator
Suppress dust generations During

Bag
at project sites by using 15 50,000 Project owner
filters
dust suppressing tools

Operation
Purchase sound During

equipment/ machinery for
project
Deci
10 5,000 Operation Project owner
Bell
Noise
pollution
Proper noise
reduction Operate well maintained During
Deci
system engines, vehicles, trucks 10 5,000 Project owner
Bell
and equipment.
Operation
1. By TATU Consulting and Trading PLC 67

2.
Reduce traffic speed on

unpaved roads through Deci During
10 5,000 Project owner
communities and at Bell
project sites
Operation

Switch off engines of

vehicles/trucks and earth- Deci During
10 5,000 Project owner
moving equipment when Bell
not in use.
Operation
Maintain the outside During

Thermal Insulating the
temperature from No 1 15,000 Project owner
pollution Generator
reheating furnace to 600c
Operation
Proper scraps
Material materials Recycling and reusing of During
M3 30 20,000 Project owner
scraps management scarp wastes
system Operation

2.
Provide containers for

temporarily storage of During
M3 100 10,000 Project owner
Liquid waste oil from vehicles operation
wastes( oil, Proper waste and equipment
liquid and management
grease system
discharges)
Dispose of waste
chemicals/oil through
recognized oil marketing 1000
company or approved
agent
No garbage/refuse, oily
wastes, fuels/waste oils During
M3 2,000 5,000 Project owner
should be discharged into operation
Proper water drains or water body
Domestic management
Maintenance and cleaning
water system(septic
of vehicles, trucks and During
pollution tank No 50 5,000 Project owner
equipment should take operation
construction)
place offsite.
Provide toilet facilities During
No 30 5,000 Project owner
for construction workers operation

Use suitable Personal
During
Protective Equipment No 30 5,000 Project owner
operation
Impacts on (PPE).
Proper health
Human
occupational
Health and
safety system
Safety
Train all workers in safe During
No 34 5,000 Project owner
methods of working. operation

2.
Train all construction and

During
operation workers in safe No 34 5,000 Project owner
operation
methods of working.
Adequate sanitary
facilities will be available
During
for workers and open No 34 5,000 Project owner
operation
range defecation will not
be countenanced
All workers will be

sufficiently trained in the
During
safe methods pertaining to No 34 5,000 Project owner
operation
their area of work to
avoid injuries.
Total 246,500

2.
8.2. Management Plan of the Operation Process

Most of project environmental management activities will be carried out during the operation
phase, since this is when long term significant impacts (including environmental pollution
and human health hazard) can be expected to arise.
The objective of the environmental management program at this phase of the project are:
protection of the environment from debris and other pollutants, protection of workers from
work area health hazard, efficient use of water sources, waste management and improve the
environmental performance of the company.
The study consultant team proposes an Environmental and Safety Management Unit (ESMU)
in the company’s structure to operate the environmental management program at this stage of
the project as.
 coordinate and administer all aspects of the environmental management programs;

 develop further an environmental oversight capability within the company; and
 Facilitate for the implementation of companywide Environmental Management
System (EMS).
A three person staff comprising civil/chemical engineering expert, environmentalist and
health officer would be sufficient to perform the environmental management program. The
unit requires additional support from other departments.
Sufficient budget should be allocated for environmental monitoring activities (br.130, 000).
Regular internal auditing and monitoring should be made and audit report should be
submitted to the town environmental protection agency on quarter basis.
8.3. Monitoring plan and implementation program

Monitoring a project or a program and its surrounding is a tool for decision making not an
end product. Pertaining to the proposed Nail and Steel products manufacturing project, the
monitoring will involve both quantitative and qualitative data, as appropriate to the nature of
the information. Both due to its significance and comprising different components, the
production stage, environmental management, monitoring and implementation programs are
presented in detail.
Environmental monitoring is very essential part of the project implementation. It helps to

follow up the implementation of the proposed mitigation measures, as they are required and

to anticipate possible environmental hazards and/or to detect unpredicted impacts over time.
Such monitoring has to be carried out by the Company’s Environmental and Safety
Management Unit (ESMU) in a regularly bases. The company’s top management together
with affiliated units of the Oromia Environment, Forest and Climate Change Authority
(OEFCCA) and representatives of the local community’s cabinet should have to carry out an
occasional monitoring on the performance of the environmental management plan. Random
monitoring on selected environmental indicators by OEFCCA also important as it is essential
for auditing the environmental protection program of the company.
The ESMU as the central point in monitoring the environmental management plan of the
operation phase of the project; the responsibility of the unit will be ensuring the
implementation of all the proposed mitigation measures. The unit should focus at least on the
following main environmental management plan themes:
Even though the project’s establishment is to generate returns to owner, the company will
also be committed to minimize potential negative impacts on the environment & the
community. Therefore, project is committed to sustainably produce Nail and Steel products
products in the region. To that end, the company will:
8.3.1. Use the Best Available Technology

 Apply industry best practices in its operations.
 Comply with regional, national and international environmental laws &

regulations.
 Rehabilitate the environment affected by its activities.
 Engage effectively work with local environmental conservations and

management.
8.3.2. Environmental Management Unit/Cell

Apart from having an EMP, it is also necessary to have a percent organizational set up
charged with the task of ensuring its effective implementation. A separate department
consisting of officers from various disciplines shall be created to coordinate activities
concerned with the management and implementation of the environmental control measures
of the proposed plant operation.

Basically, this department shall undertake monitoring of the environmental pollution levels
by measuring stack emissions, ambient air quality, water and effluent quality, noise level etc.,
departmentally or by appointing external agencies wherever necessary. In case, the monitored
results of environmental pollution are found to exceed the allowable values, the
Environmental Management Cell shall suggest remedial action and get these suggestions
implemented through the concerned plant authorities.
The Environmental Management Cell also co-ordinate all related activities such as collection
of statistics with respect to health of workers and population of the region, forestation and
green belt development.
To achieve the objective of pollution control, it is essential not only to provide best pollution
control systems but also to provide trained manpower resources to operate the same. Training
facilities would be strengthened for environmental control which would cover the items listed
below.
 Awareness of pollution control and environmental protection.
 Operation and maintenance of pollution control equipment.
 Knowledge of norms, regulations and procedures.
 Occupational health and safety.
8.3.3. Environmental Liaison Officer (ELO)

The ELO shall be the focal point for all environmental matters in relation to implementation
of the engineering component of the proposed Nail and Steel products production project. It
shall be the responsibility of ELO to ensure that the design provided for implementation and
reviewed is in the EIA/EMP report conforms to those in the conceptual plan. At the end of
the review, using relevant checklists (prepared by the QAE), and the design presented for
implementation may be approved, referred or rejected if considered environmentally
unjustifiable.
8.3.4. Site Safety and Environmental Manager (SSEM)

The contractor responsible for project execution (Construction and commissioning) shall
provide a Site Safety & Environmental Manager (SSEM), working in functional interface
with the engineering Contractor’s Team and interface with the Company’s ELO.

Site Safety and Environmental Manager will be responsible for the development and
implementation of the environmental activities relevant to construction described in the EMP.
He/She will report to the Contractor Site Representative. The SSEM’S environmental
responsibilities shall include the following:
 To ensure that all construction personnel involved with construction related activities
are aware of the objectives and appropriate environmental requirements.
 To acknowledge the project organization with the environmental policy of the project.
 To execute internal environmental auditing.
 To carry out site inspections.
 To manage the waste streams as described.
 To compile and issue documents and reports required to design and run environmental
training.
 To liaise with construction department and management.
 To liaise with sub-contractors.
 To plan and carry out, when necessary, studies and/or environmental expertise. The
Contractor’s office will provide qualified resource support as and when required.
8.3.5. Monitoring the environmental management plan and Budget

The aim of monitoring the EMP is to determine the adequacy of the past and present tasks, so
as to plan for the future. The evaluations will address the subjects of staff, progress of
working activities and changes to work plans. The environmentalist and safety officer will
present the evaluation report for the company’s top management on monthly bases. In
general, a total sum of 130, 000 Birr budget is allotted for monitoring and regulatory
purposes by the company.
The budget breakdown is as follows in to two parts
A. Company Based cost ( Internal)
No Paramet Activity Frequen Institution responsible Budget

er to be cy
monitor birr
ed
1 Solid  Assess Nail and Steel biannua Proponent, environmentalist, 10,000

waste products waste and other l regulatory body
solid wastes,
 Recycle/reuse solid waste
2 Water  Limit ambient water biannua Proponent, environmentalist, 25,000
quality quality test parameter l health office,
 Collect and prevent

wastewater from being regulatory body

discharged to ambient
area
3 Air  Limit ambient air Yearly Proponent, environmentalist, 10,000
quality quality test parameter once regulatory body
 Conduct air quality
assessment
 Limit dust emissions to
below standards
4 Soil  Limit soil disturbance Once Proponent, environmentalist, 15,000
disturba  Reuse removed topsoil yearly regulatory body
nce for economic and
environmental
conservation purposes
5 Health Assess incidences, status Yearly Proponent, environmentalist, 5,000
hazards and trends of diseases in once health office,
and the project area,
spread regulatory body
of Assess employees health
diseases safety and utilization of
safety devices
Total environmental 6500065000

monitoring cost
B. External company cost
S/No Description of Activity Cost
1 Annual seedling purchase 5,000.00

2 Environmental assistance 20,000.00
3 Social contribution for local community 40,000.00
Total 65,000.00

Chapter 9
9. Conclusions and Recommendations
9.1 Conclusions
This document generally attempts to show the environmental impacts and the controlling
measures of the Nail and Steel products manufacturing project established at Gelan town
Administration industrial zone. Remedial measures to control significant environmental
impacts associated with the company production processes are also suggested.
The implementation of the project will bring several beneficial impacts including creating job
opportunity and reducing poverty, contributing to national economic growth through
construction materials production; foreign currency savings, etc. It also has negative impacts
through increasing health hazards if safety materials are not properly used. These negative
impacts can be reduced to an acceptable level through a holistic planning and implementation
of the environmental management plan. Thus, it can be concluded that the project benefits
by-far outweighs its adverse socio-economic and socio-ecological impacts as these two can
be mitigated by proper utilizations of the suggested mitigation measures.
9.2 Recommendations
To enhance the potential benefits and social acceptability of the project, avoid or minimize
the adverse impacts of the project and reduce the impacts of the existing environmental
conditions on the project, it is recommended that the proposed mitigating measures are
properly implemented at the right time. To ensure its proper implementation regular
environmental monitoring and audit are also recommended.
In addition, the company should create harmonious relationship between the local community
and the project by holding regular discussions with local elders so as to develop strong
linkages with and avoid unexpected conflicts and complaints from local communities. In
collaboration with the local government and the affected community, the company should
support development efforts like construction of social services such as health and education
facilities in the project site.

REFERENCES
1. Constitution of the Federal Democratic Republic of Ethiopia, Proclamation No.
1/1995.Addis Ababa, Ethiopia.
2. Environmental Protection Authority (EPA) (1996), Conservation Strategy of Ethiopia,
Addis Ababa, Ethiopia.
3. Environmental Protection Authority (EPA) (1997), Environmental Policy of Ethiopia:
Addis Ababa, Ethiopia.
4. Environmental Protection Authority (EPA) (2000), Guideline Document: Environmental
Assessment and Management; EPA, Addis Ababa, Ethiopia
5. Federal Democratic Republic of Ethiopia. (2002), Environmental Pollution Control
Proclamation. Proclamation No. 300/2002, Addis Ababa, Ethiopia.
6. Federal Democratic Republic of Ethiopia (2002), Environmental Impact Assessment
Proclamation. Proclamation No. 299/2002. Addis Ababa.
7. FDRE EPA, 2003. Guideline for reviewing environmental impact study reports (final
drafts), Addis Ababa.
8. MEDAC/EPA (1997). The conservation strategies of Ethiopia, Vlume1. The resource
base, its utilization and planning for sustainability, Addis Ababa.
9. Otterstrom T. and P.Kosk. (1994). “Ekono Energy Ltd & Soil and Water Ltd. Assessment
of External Costs of Energy Production in Finland”. Report prepared for the SIHTI 2
Project.

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Steel wool Manufacturing Project

ENVIRONMENTAL IMPACT ASSESSMENT

LOCATION: OROMIA REGIONAL STATE, FINFINE

PROMOTER- FEHAM GENERAL TREDING PLC

SUBMITTED: GELAN TOWN ENVIRONMENT, FOREST AND

CLIMATE CHANGE AUTHORITY

BY: TATU CONSULTING AND TRADING PLC

By TATU Consulting and Trading PLC 2

2.2.5.5. The FDRE Occupational Safety &Health (Labour Law 377/2003).................25

By TATU Consulting and Trading PLC 3

3.6.2. Construction Phase Activities..................................................................................36

By TATU Consulting and Trading PLC 4

5.1.4. Community Development........................................................................................50

By TATU Consulting and Trading PLC 5

7.1.3. Impact on Air Quality..............................................................................................57

By TATU Consulting and Trading PLC 6

9. Conclusions and Recommendations........................................................................................76

By TATU Consulting and Trading PLC 7

ASL Above Sea Level

ADLI Agricultural Development led-Industrialization

CSE Conservation Strategy of Ethiopia

EIA Environmental Impact Assessment

EISR Environmental Impact Study Report

EMB Environmental Management Branch

EMP Environmental Management Plan

CEFCC Commission of Environment, Forestry and Climate Change

EPC Environmental Protection Council

EPE Environmental Policy of Ethiopia

ETB Ethiopian Birr, the National Currency

FDRE Federal Democratic Republic of Ethiopia

By TATU Consulting and Trading PLC 8

According to the findings of environmental assessment, it is reasonable to conclude that

By TATU Consulting and Trading PLC 9

will be moderate, of moderate magnitude, moderate intensity and moderate sensitivity;

By TATU Consulting and Trading PLC 10

In practice, environmental impact assessment is applied primarily to prevent or minimize

By TATU Consulting and Trading PLC 11

1.1. Approach to the Study

By TATU Consulting and Trading PLC 12

 Identify key environmental concerns relating to the proposed project; and

By TATU Consulting and Trading PLC 13

The Socio-Economic Investigation

By TATU Consulting and Trading PLC 14

1.2. Environmental Scoping

 To define the limits of the study area ( area of the influence)

 Getting sufficient and reliable primary data,

1.4. Report Structure

By TATU Consulting and Trading PLC 15

2. LEGAL AND POLICY FRAMEWORK

By TATU Consulting and Trading PLC 16

2.1. Economic Development Policies and Strategies

o The promotion of labor intensive technologies and utilization of domestic raw

o Determination of the composition of industrial output based on the needs and

o Government intervention to motivate the choice of labor intensive technology

2.1.2 Ethiopian Investment Strategy

By TATU Consulting and Trading PLC 17

o Proclamation No.37/1996: Investment proclamation of the federal Democratic

o Regulation No. 7/1996: Council of Ministers regulations to provide for

According to the Investment Proclamation No.37/1996, the objective of the investment