Government of India Ministry of Environment. Forests & Climate Change

F. No. J-1 1011 /347/2010-IA-11 (I)

To/ .._/11\e Vice President

M/s KCP Limited, Plot No. 116 A/ A, Road No. 12, MLA Colony, Banjara Hills, Hyderabad- 500 034, Andhra Pradesh. Email: project@kcp.co.in Tel: 040-23310799

Indira Paryavaran Bhawan JorBogh,LodhiRoad

New Delhi - 11 0 003 E-mail: tchand20_03@yahoo.co.uk

Tel: 011-24695313

Dated: 26'h August 2014

Subject: Expansion of Integrated Cemen t Plant for production of Clinker ( 1 .32 MTPA to 3.06 MTPA), Cement (1.52 MTPA to 3.52 MTPA), installation of 36 MW (2x18 MW), coal based captive power plant ot M/s KCP limited at village Muktyala, Jaggayyapeta Mandai, Dist . Krishna, Andt1ra Pradesh- Environmental Clearance - regardino.

Sir,

This is with reference to your letter d(:ted 30.o8.20 12 along with copies of EIA-EMP report and subsequent letters dated 22.6.2013 and 9.12.2013 seeking environment clearance under the provisions of EIA Notification, 2006 for the aforesaid project. The ToR was awarded by MoEF vide letter of even no. dated 20.10.2010 for preparation of EIA-EMP report.

All the Cement P!ants (?. 1.0 MTPA) are listed at S.No. 3(b) under Category 'A ' of the schedule of EIA Notification. 2006 and appraised by the Expert Appraisal Committee (Industry) of MoEF&CC.

2. The Ministry of Environment and Forests has examined the application for the project cited above. It is noted that M/s. KCP Limited have proposed for expansion of Clinker ( 1 .32 MTPA to 3.06 MTPA). Cement (1.52 MTPA to 3.52 MTPA), & coal based captive power plant of 2x18 MW capacity at Village Muktyala, Jaggayyapeta Mandai, District Krishna, Andhra Pradesh. The proposed expansion will be carried out within their existing premises of 40 Ha. The additional area requirement for the proposed expansion is 7.65 ha and it's owned by the proponent. The proposed power plant will be located adjacent to the cement plar.t. No Rehabilitation and Resettlement is involved. No Forest land is involved. No Defense Installation, Biosphere Reserve, National Park/Wild Life Sanctuary, Ecologically Sensitive Area is located within 10 km radius of the project site. The Krishna and Paleru rivers are located at a distance of 2.1 km and 3.2 km from the project site respectively. The reserved forests located in the study area are- Budavada (1.1 km distance from the project site). Balusupadu (4.8km distance from the project site), Jaggayyapeta Extension (3.5km distance from the project site), Kuntimaddi(4.4 km distance from the project site), Ginjupalle (6.4km distance from the project site), Chintapalem (8km distance from the project site) and Venkatayapalem (4.6km distance from the project site). Total cost of the project is Rs.460

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crores. Rs.35 crores and Rs.8 crores is earmarked for capital cost and recurring cost per annum towards the environmental pollution control measures. Rs.24 crores is earmarked for the implementation of CSR activities for a period of five years.

3. The raw materials required are Lime stone- 4.5 MTPA, Laterite - 0.157 MTPA, Iron ore-0.0176 MTPA. Gypsum- 0.176 MTPA and Coal for cement plant - 0.56 MTPA. The lime stone will be sourced from the captive mines by road. The coal for the cement plant will be sourced from M/s Singareni Collieries Comf)arYy Limited and the imported coal will also be used. The coal requirement for the power plant is imported coal - 0.18 MTPA (or) indigenous coal - 0.43 MTPA (sourced from M/s Singareni Collieries Company Limited by rail). The Clinker will be manufactured by calcination of Limestone in the Kiln at about l400°C. Total power requirement o f the unit will be 36 MW, which will be met from the Captive power plant.

4. It is noted that for control of air emissions, the pollution control devices such as bag house system for cleaning of raw mill/kiln flue gas, coal mill and cement mill will be provided. To control the fugitive dust generated from the material handling areas, bag filter system along with ventilation will be provided. All the flue gas outlets will be provided with the state of art air pollution control equipment to maintain the particulate emission level below 50 mg/Nm3.

5. The total water requirement is 3196 m3/day which will be met from Krishna river/ bore wells/mine pit and recycling the wastewater. A total wastewater generation is 506 m3/day. Out of 506m3/day, 206 m3/day wastewater will be recycled to cemen t plant for reuse in the process and remaining 246 m3/day will be used for gardening at plant. existing mine & colony. The domestic wastewater wil! be treated in the STP. t--lo liquid effluent will be discharged outside the plant premises. There ore no endangered, endemic or threatened spec!e::. exist in t~:e stuf'1~' t_!f&:.t

6. The dust generated in the air pollution cor.frol equipment in the cement plant will be recycled back to the process. The ash generated from the power plant (0.20 MTPA) will be used for cement production. Used oil will be sold to registered recyclers. The total green belt area after the expansion will be 16.42 ha.

7. The proposal was considered by the Expert Appraisal Committee (Industry) in its 4th meeting held during 4-5th April 2013, 12th meeting held durir.g 30th September -1st October 2013 and further reconsidered in its 18th meeting held during 28-30th April 2014. The Committee recommended the proposal for environmental clearance subject to stipulation of specific conditions along with other environmental conditions. Public Hearing/Public Consultation meeting was conducted by the Andhra Pradesh Pollution Control Board on 4.7.2012.

8. Based on the information submitted by you, presentation made by you and your consultant M/s. B.S.Envi-Tech - Hyderabad, the Ministry of Environment and Forests hereby accords environmental clearance to the above project under the provisions of EIA Notification dated 14th September 2006 subject to strict compliance of the following Specific ond Gcne;ol conditions:

A.

i.

SPECIFIC CONDITIONS

Continuous stock monitoring facilities to monitor gaseous emissions from the process stacks shall be provided. After expansion. limit of PM shall be controlled within 50 mg/Nm3 by installing adequate air pollution control system. Electrostatic precipitators to clinker cooler, bag house to raw mill/kiln and bag filters to cool mill and cement mill. Low NOx burners shall be provided to control NOx emissions. Regular calibration of the instruments must be ensured.

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ii. Waste Heat Recovery Boiler (WHRB) for the proper and full utilization of gases generated from the kiln shall be installed and a compliance in this regard shall be submitted Regional Office at Bangalore within 3 months from the date of issue of the letter.

iii. The National Ambient Air Quality Standards issued by the Mini;;try vide G.S.R. No. 826(E) dated 16th November, 2009 shall be followed.

iv. Secondary fugitive emissions shall be controlled and shall be w ithin the prescribed limits and regularly monitored. Guidelines/Code of Practice issued by the CPCB in this regard shall be followed.

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v. Arsenic and Mercury shall be monitored in emissions, ambient air and water.

vi. The coal yard shall be lined and covered.

vii. Efforts shall be made to reduce impact of the transport of the raw mate rials and end products on the surrounding environment including agricultural land. All the raw materials including fly ash shall be transported in the closed containers only and shall not be overloaded. The company shall have separate truck parking area. Vehicular emissions shall be regularly monitored.

viii. Total fresh water requirement afte' the proposed expansion of the cement and captive power plant shall not exceed 31 ?6 m3Jday which wil l be sourced from Krishna river/ bore wells/mine pit and recycling the wastewater. Prior permission shall be obtained from Central Ground Water Authority for the ground water drawl. A five year water management plan shall be made so as to achieve reduction in ground water withdrawal.

ix. Efforts shol! be mode to further reduce water comi.:.lmptiol) by, using .air . cooied condensers. Ail the treated wastewater silall be recycled cind reused in the process and/or for dust suppression and green belt development and o ther plant related qctivities etc. No process wastewater shall be discharged outside the factory premises and 'zero' discharge shall be adopted.

x. Efforts shall be made to make use of rain water harvested. If needed, capacity of the reservoir shall be enhanced to meet the maximum water requirement . Only balance water requirement shall be met from other sources.

xi. Regular monitoring of influent and effluent surface, sub-surface and ground water shall be ensured and treated wastewater shall meet the norms prescribed by the State Pollution Control Board or described under the Environment (Protection) Act, 1986 whichever are more stringent. Leachate study for the effluent generated and analysis shall also be regularly carried out and report submitted to the Ministry's Regional Office at Bhopal, SPCB and CPCB.

xii. All the bag filter dust. raw mill dust. coal dust. clinker dust and cement dust from pollution control devices shall be recycled and reused in the process a nd used for cement manufacturing. Spent oil and batteries shall be sold to authorized recyclers I reprocessors only.

xiii. All the fly ash shall be utilized as per Fly ash Notification, 1999 subsequently amended in 2003 and 2008. ·Efforts shall be made to use fly ash maximum in making Pozzolona Portland Cement (PPC).

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xiv . A detailed study on chemical composition of coal used particularly heavy metal and radio activity contents sholl be carried out through a reputed institute and report shall be submitted to Regional Office of the Ministry at Bangalore. Only after ascertaining its radioactive level shall fly ash be supplied for utilization in cement manufacturing.

xv. Efforts shall be made to use low-grade lime, more fly ash and solid waste in the cement manufacturing.

xvi. An effort shall be made to use of high calorific hazardous waste in the cement kiln and necessary provision shall be made accordingly.

xvii. As proposed, green belt over 33 % of the total project area shall be developed within plant premises with at least 10 meter wide green belt on all sides along the periphery of the project area, in downward direction, and along road sides etc. Selection of plant species shall be as per the CPCB guidelines in consultation with the DFO.

xviii . All the recommendations made in the Charter on Corporate Responsibility for Environment Protection (CREP) for the Cement plants shall be implemented.

xix. All the commitments made to the public during the Public Hearing I Public Consultation meeting held on 4.7.2012 shall be satisfactorily implemented and a separate budget for implementing the same shall be allocated and information submitted to the Ministry 's Regional Office at Bangalore.

xx. At least .5 % of the total cost of the project shall be earmarked towards the Enterprise Socio! CQmrnitrnartt /ESC) basAd on Jo~ol needs ond action plan with financial and physical breakup/details shall be prepared and submitted to the ,'llinistry's Regional Office at Bangalore. Implementation of such program shall be ensured accordingly in a time bound manner

xxi. Risk and Disaster Management Plan along with the mitigation measures shall be prepared and a copy submitted to the Ministry's Regional Office at Bangalore, SPCB and CPCB within 3 months of issue of environment clearance letter.

xxii. To educate the workers, all the work places where dust may cause a hazard shall be clearly indicated as a dust exposure area through the use of display signs which identifies the hazard and the associated health effects.

xxiii. Provision shall be made for the housing of construction labour within the site with all necessary infrastructure and facilities such as fuel for cooking, mobile toile ts, Safe drinking water, medical health care, creche etc. The housing may be in the form of temporary structures to be removed after the completion of the project.

B. GF.NERAl CONDITIONS

1. The project authorities must strictly adhere to the stipula tions made by the Andhra Pradesh Control Board and the State Government.

ii. No further expansion or modifications in the plant shall be carried out without prior approval of the Ministry of Environment and Forests.

iii. At least four ambient air quality monitoring stations should be established in the downward direction as well as where maximum ground level concentration of PM10, PM2.s. S02 and NOx are anticipated in consultation with the SPCB. Da ta on ambient air

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quality and stack em1ss1on shall be regularly submitted to this Ministry including its Regional Office at Bangalore and the SPCB/CPCB once in six months.

iv. Industrial wastewater shall be properly collected, treated so as to conform to the standards prescribed under GSR 422 (E) dated 19th May, 1993 and 31 st December, 1993 or as amended form time to time. The treated wastewater shall be utilized for plantation purpose.

v. The overall noise levels in and around the plant area shall be kept well within the standards (85 dBA) by providing noise control measures including acoustic hoods, silencers, enclosures etc. on all sources of noise generation. The ambient noise levels should conform to the stondo1ds prescribed under EPA Rules, 1989 viz. 75 dBA idaytimej and 70 dBA (nighttime).

vi. Occupational health surveillance of the workers shall be done on a regular basis and records maintained as per the Factories Act.

vii. The company shall develop rain water harvesting structures to harvest the rain water for utilization in the lean season besides recharging the ground water table .

viii. The project proponent shall also comply with a ll the environmental protection measures and safeguards recomrrended in the EIA/EMP report. Further, the company must undertake socio-economic development activities in the surrounding villages like community development programmes, educational programmes, drinking water supply and health care etc.

ix. Requisite funds shall be earmarked lowards capital cost and recurring cost/annum for environment pollution control measlles to implement the conditions stipulated by the Ministry o f Environment and Forests as well as the State Government. An implementation schedule for implementing all the conditions ~·tipu!ated hereir. shall be submitted to th~ Regior.a! Office of 1!-e ~-1 ir.istry ot 8ong61o: -'· The fu: td~ so p!O·/ided shall not be diverted for any other purpose.

x. A copy o f clearance letter shall be sent by the proponent to concerned Panchayat, Zila Parishad/Municipal Corporation, Urban local Body and the local NGO, if any, from whom suggestions/representations, if any, were received while processing the proposal. The clearance letter shall also be put on the web site of the company by the proponent.

xi. The project proponent shall upload the status of compliance of the stipulated environment clearance conditions, including results of monitored data on their website and shall update the same periodically. It shall simultaneously be sent to the Regional Office of the MOEF at Bangalore. The respective Zonal Office of CPCB and the SPCB. The criteria pollutant levels namely; PM10, PM2.s, S02, NOx (ambient levels as well as stack emissions) or critical sectoral parameters, indicated for the projects shall be monitored and displayed a t a convenient location near the main gate of the company in the public domain.

xii. The project proponent shall also submit six monthly reports on the status of the compliance of the stipulated environmental conditions inclvding re~u[ts of monitored data {both in hard copies as well as by e-mail) to the Reg!onal Office of MOEF, the respective Zonal Office of CPCB and the SPCB. The Regional Office of this Ministry at Bangalore I CPCB I SPCB shall monitor the stipulated conditions.

xiii. The environmental statement for each financial year ending 31st March inForm-Vas is mandated to be submitted by the project proponent to the concerned State Pollution

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Control Board as prescribed under the Environment (Protection) Rules, 1986, as amended subsequently, shall also be put on the website o f the company along with the status of compliance of environmental conditions and shall also be sent to the respec!ive Regio:1al Office of the MOt:F a t Bar.galore by e-mail.

xiv. The Project Proponent shall inform the public that the project has been accorded 01-wir(:-nmental clearance by the Ministry ond copies of the clearance le tter are e~vailable w'th t'IE:: SPCB end m ov a lso be seE.·n (:Jf Website of fhe Minish' o f Environment end Forests at htrp:/envfor.nic.in. This shall be advertised within seven days from the date of issue of the clearance letter. at lea st :n two local newspapers that are widely circulated in the region o f which one shall be in the vernacular language of the locality concerned and a copy of the :.ame should be forwarded to the Regional office at Bangalore.

xv . Project authorities shall inform the Regional Office as weil as the Ministry, the date of fina 'lciol closure and final approval of the p roject by the concerned authorities and the date of commencing the land development work.

10. The Ministry may revoke or suspend the clearance. if implementation of any of the above condi tions i;, not satisfactory.

1 i The Ministry :~;se.-ves 1he right to stipulate additional conditions if found necessary. The Cornpony 1n ,..1 t:me bourd rn cnner shall implement these conditions.

(heV(~r;!: ~.·r · c',_ ,_-:f.:~c: · ~f 0 0!'ution) r\CI, 1<,'?i, the Air (P~evenlic•' E. 1.·ontro! of Polluti:)n} Act. 198·:, 7hc :.:r. ·.,t:~~<Hr1ent ~oro+Gc1::..J. j /\...:. i, ·~ .... ~·':~~ . : ... ·zardous 'tVc:; rc:i t ~\,,r1 i''h:Jg crti cr,hl iUi'"'tt~li(!Q

and Transbour>dary Movement) f,~ule: :. 200?. and tile Public (Insurance) Lio~·i ifY .Act, 1991 c!ona wi1h their amendments and rules . a· ' -----~ - _.-:;:::::.>--

---- .... -· _-:::--(Dr. T. Chandini)

Scientist F

1. The Secretary. Sta te Department of Environment. Government of Andhra Pradesh, ivlantraioya, Hyderabad.

2. The C~ain·. ·Jn, Centra< Pollution Control Board, Parivesh Bhavan, Ci'\0-cum-Office Comolex. East Arjun t' logar, Dellli-11 0032.

3. Tl•e Chairman, Andhra Pradesh State P0llution Control Boord, 2 nd Floor, HUDA Complex, Maitrivaram, S C?.Nagor, Hyderabad- 500 038.

4. The Addit:oncl Principal Chief Conservator of Forests (Central), Regional Office (SZ), Kendriya Sadan, IVth Floor, E&F Wing, 17'" Main Road, Koramangala, Bangalore-560034.

5. lv~onitoring Cell, Ministry o f Environment and Forests. Paryavaran Bhavan, CGO Complex, ~-'ew D0lhi 11 0001

6. Guard file/ Record fi le/Monitc:·ing file.