ENVIRONMENTAL SCOPING REPORT FOR THE PROPOSED DEVELOPMENT OF A STEEL SMELTER IN COLENSO, ALFRED DUMA MUNICIPALITY - Prepared for: Tower Iron and ...
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ENVIRONMENTAL SCOPING REPORT FOR THE PROPOSED DEVELOPMENT OF A STEEL SMELTER IN COLENSO, ALFRED DUMA MUNICIPALITY Prepared for: Tower Iron and Steel PREPARED BY: FUZE ENVIRONMENTAL SERVICES CC Date: 16 October 2019 1
Document Details: Name of Document Environmental Report: Proposed Construction of a Steel Smelter in Colenso, Alfred Duma Municipality. Environmental Assessment Practitioner Details EAP Company Name Fuze Environmental Services Consultant managing the Jenitha Girdary Application EAP Consultant Contact Email: jenitha@fuzeenvironmental.co.za Details Cell: 0820831691 BB 188 King Senzangakhona Circle, Umlazi, Durban, 4066 Cell: 0820831691 Fax: 086 519 094 Qualifications and BA Geography Experience Jenitha has been employed in the environmental management sector since 2007. Her 12 years of work experience extends to undertaking Environmental impact assessments, Basic assessments, compiling EMPs, undertaking site visits and field work, permits applications, ECO work, environmental law, legal screenings, co-operative governance, public participation, rehabilitation project management, quality management, and financial management. Signature: Project Director Nokuthula Nyuswa – BSc Geology Proponent Details Applicant name Malcolm de Beer – Tower Iron and Steel Representative Sibuniso Khumalo – Chrida Trading (project manager) Contact Details (project Tel: 0604351200 manager) Email: chrida.trading@gmail.com 2
Executive Summary: 1.Introduction Tower Iron and Steel proposes to construct a smelter at the old Eskom Power station site in Colenso. Site identification Coordinates: 28 44’ 03.16’’ S and 29 49’42.82’’ E. The site size is 35ha. 2. Applicable Legislation: The project will require environmental authorisation from the KZN EDTEA. A Scoping and EIA process is required prior to authorisation being issued. The project will be subject a waste management licence application is terms of the Air Quality Act, 2004, a water use licence from Department of Water and Sanitation and possibly a Waste Management Licence in terms of the NEMA: Waste Act. 3. Description of Activity: The activity will involve the construction and operation of a steel smelter. The plant will be a primary production plant, utilizing iron ore. Iron ore based steelmaking represents about 60-70% of the world steel production. The main raw materials are iron ore, coal, limestone and steel scrap (from within the plant). The main production routes are ironmaking iron ore based on the Blast Furnace (BF) followed by steelmaking in the Basic Oxygen Furnace (BOF). In the BF, coke is the reducing agent of iron ore. Limestone or dolomite (fluxes) are added into the blast furnace where they react with iron ore impurities, such as silica. Steel is produced from pig iron, scrap and lime in the BOF, where oxygen is blown to burn off the carbon. In BOF the reactions between oxygen, carbon (carbon as gaseous carbon monoxide), silicon, manganese, phosphorus and some iron as liquid oxides produce oxidized compounds that react with lime or dolomitic lime to form slag. At the end of the refining operation, after steel pouring into a ladle, the slag is poured into a vessel and is subsequently tapped into a slag pot. The Applicant, TSI, plans to bring the existing technology/plant from an operation in Limpopo for use in the new Colenso smelter. Iron ore will be sourced from a mine owned by the TSI. ➢ The steelmaking basic process steps are: - Coking of various grades of coking coal - Agglomeration of Iron Ore fines by sintering - Iron making in BF -Lime & dolomite calcination in calcining plant -Steel making in BOF -Refining liquid steel in LF followed by VD -Continuous casting of liquid steel to billets and slabs -Processing of slabs and billets in the plate & coil and rod mill ➢ Facilities required: -Coke Ovens & By-products Recovery Plant (COBP) -Sinter Plant -Air separation plant -Blast Furnace and Basic oxygen furnace -Lime/dolomite calcining Plant -Steel Melt Shop -Continuous Casting -Rolling Mill Service and Infrastructure required are Electricity, Water, Waste, Storm water. 4. Alternatives: There are no site alternatives as the property has been purchased form Eskom for the smelter construction. Alternative technology could be an open hearth or cupola furnace, or electric arc furnace, which are not suitable for primary production or are too resource and energy intensive. 3
5. Public Participation: Public Participation undertaken thus far involved placing site notices to garner public interest in the project. A newspaper advert will be placed in a local newspaper. A background document was submitted to DWS, DAFF, EKZNW, DOT, the municipalities but no comment has been received except from DAFF. 6. Need and Desirability: The project will create jobs for locals as well as well stimulate the economy. 7. Description of affected environment: -There will be a change of land use from a defunct industrial site to an active industrial site. -The access road includes Sarsar road and Sir George street. -Water, electricity and waste services will be required. -The existing grass and tree cover on site will be removed to accommodate construction and operation of the plant. No cattle grazing or sand mining will be allowed to continue on the property due to safety reasons. -The Thukela river forms the northern boundary of the site, there is also a tributary on the outer eastern boundary (lies outside site area). No discharges are expected to occur to the river or tributary. Job creation is expected during operation and construction. Operation of the smelter can produce major air emissions, affecting air quality and contributing to climate change, and causing noise. Air emission abatement technology is required to reduce air pollution and prevent impacts on human health. 8. Impact Assessment: Impacts are expected on: -Geology and Soils -Surface and ground water -Visual -Ecology (fauna and flora-biodiversity) -Air quality (dust emission, noise and health and safety issues) -Socio-economic and traffic Specialist studies done at the EIA stage (included as well in the EMPr), will provide mitigation measures and comment on whether the project should be authorised or not. 9. Plan of Study for EIA The study will include commissioning of specialist studies (air quality, heritage and paleontology, hydrology, ecology, geotechnical, and operational management plans). The EIA will assess impacts in terms of their extent, duration, probability, reversibility, intensity in order to rank its significance. Public participation will include site notices, newspaper advert, hosting of public meeting, and distribution of draft EIA report to all IAPs and authorities and other registered persons; the EIA will also be made available at the library 4
Table of Contents 1. INTRODUCTION ............................................................................................................................. 8 1.1. Introduction and terms of reference .............................................................................................. ..8 1.2. Terms of reference ........................................................................................................................ ..8 1.3. Scope of Work and Methodology ..................................................................................................... 8 2. APPLICABLE ENVIRONMENTAL AND PLANNING LEGISLATION ........................................... 9 2.1. The Constitution, Act No. 106 of 1996, Section 24 ......................................................................... 9 2.2. National Environmental Management Act No. 107 of 1998 (NEMA), ............................................. 9 2.3. The Environmental Conservation Act, Act 73 of 1989………………………………………………….8 2.4. The EIA Regulations, December 2014…………………………………………………………………10 2.5.The National Environmental Management Air Quality, Act 39 of 2004………………………………..10 2.6. National Heritage Resources Act No 25 of 1999 ........................................................................... 13 2.7. The KwaZulu Natal Amafa And Research Institute Act, 05 of 2018…………………………………13 2.8. Conservation of Agricultural Resources Act No 43 of 1983 ........................................................... 14 2.9. National Water Act No 36 of 1998 (NWA)...................................................................................... 14 2.10. National Environmental Management Biodiversity Act, No 10 of 2004……………………………. 14 2.11. KwaZulu Natal Nature Conservation Ordinance 15 of 1974…………….………………………….15 2.12. National Forest Act Act no. 84 of 1998..………………………………………………………………15 2.13. The Development Facilitation Act 67 of 1995)………………………………………………………..15 2.14. National Health Act, 2003 Act No. 61 of 2003…………………………………………………………15 2.15. Scoping and EIA process……………………………………………………………………………….15 3. DETAILED DESCRIPTION OF THE PROPOSED ACTIVITY .................................................... .18 3.1. Site location .................................................................................................................................. .18 3.2 Site baseline status quo…………………………………………………………………………………..19 3.3 Proposed Layout…………………………………………………………………………………………..19 3.4 Process and Technology description…………………………………………………………………….21 3.5. Service and Infrastructure Requirements ...................................................................................... 29 3.5.1 Water ........................................................................................................................................ .29 3.5.2. Electricity ................................................................................................................................... 29 5
3.5.3. Waste ........................................................................................................................................ 29 3.5.4. Storm water ............................................................................................................................... 29 3.5.5. Roads ........................................................................................................................................ 29 4. DESCRIPTION OF ALTERNATIVES ........................................................................................... 31 4.1 Site alternative ............................................................................................................................... 30 4.2. Layout alternative .......................................................................................................................... 31 4.3. Scheduling alternative…………………………………………………………………………...............32 4.4 Technology alternatives……………………………...........................................................................32 4.5 Process/Input alternatives………………………………………………………………….....................33 4.6. No go Option………………………………………………………………………………......................33 5. PUBLIC PARTICIPATION ........................................................................................................... .34 6. NEED AND DESIRABILITY.……………...…………………………………………………................36 7. DESCRIPTION OF THE AFFECTED ENVIRONMENT ...............................................................37 7.1. Admisitrative description………………………………………………………………………………….37 7.2. Location, existing land use and status, access and services ....................................................... 37 7.3. Climate ......................................................................................................................................... 38 7.4. Topography...................................................................................................................................39 7.5. Geology…………………………………………………………………………………….....................39 7.5. Surface and groundwater .............................................................................................................. 40 7.6. Ecology .......................................................................................................................................... 41 7.7. Visual impacts ............................................................................................................................... 43 7.8. Air quality, dust and noise ............................................................................................................. 44 7.9. Heritage and Archaeological…………...........................................................................................44 7.10 Socio-economic……………………………………………………………………………....................46 8. PRELIMINARY ENVIRONMENTAL IMPACT ASSESSMENT........................................................49 9. CONCLUSION..................................................................................................................................54 10. DRAFT PLAN OF STUDY FOR EIA PHASE..................................................................................56 11. References…………………………………………………………………………………………………59 6
Annexures: Annexure A: Draft Layout plans and SG diagram Annexure B: Site images Annexure C: Proof of public participation Annexure D: CV of EAP List of Tables: Table 1: Details and expertise of EAP (page 7) Table 2: Preliminary listed activities applicable to project (page 9) Table 3: Energy content of fuels and energy carriers (page 22) Table 4: Materials required for production and sources (page 24) Table 5: input and outputs for each component (page 25) Table 6: expected potential air emissions (page 26) Table 7: Waste generated and storage (page 27) List of Figures: Figure 1: Locality (page 17) Figure 2: SG diagram (page 17) Figure 3: Site layout view 1 (page 18) Figure 4: Site layout view 2 (page 19) Figure 5: Facility illustration 1 (page 19) Figure 6: Facility illustration 2 (page 20) Figure 7: Steelmaking process from iron ore (page 21) Figure 8: NFEPA wetlands and watercourses on site Figure 9: Vegetation type on site Figure 10: C Plan for study area Figure 11: Palaeontological sensitivity map Acronyms: TIS: Tower Iron and Steel (Applicant) EDTEA: KZN Department of Economic Development, Tourism and Environmental Affairs DEA: Department of Environmental Affairs CA: Competent Authority DOT: Department of Transport DAFF: Department of forestry and fisheries DWS: Department of Water and Sanitation SR: Scoping report (DSR-draft scoping report; FSR-final scoping report) S&EIR: Scoping and Environmental Impact Report EIA: Environmental impact assessment EIAR: Environmental impact assessment report EMPr: Environmental management program report UDM: Uthukela District municipality ADM: Alfred Duma Local municipality AEL: Air/atmospheric emissions license WML: Waste management license PP: Public Participation PPP: Public Participation process IAPs: Interested and affected parties 7
1. INTRODUCTION 1.1. Introduction and terms of reference Tower Iron and Steel (Pty) Ltd (the Applicant) is proposing to develop a steel smelter in Colenso, northern KZN. The development will include all associated services and infrastructure. In line with environmental legislation, Tower Iron and Steel (Pty) Ltd has appointed Fuze Environmental Services as the independent environmental consultants, to undertake the necessary environmental impact assessment process for the proposed development and receive environmental authorisation in terms of the National Environmental Management Act, 2008. Details and expertise of the Environmental Assessment Practitioner (EAP) Table 1: The following consultants are involved in the scoping phase of the development (CV and undertaking by the EAP is attached as Appendix D): Name Company Qualification and Field of expertise Jenitha Girdary (Lead EAP) Fuze Environmental Environmental consultant; BA Services Geography, 12 years’ experience in undertaking Environmental Impact Assessments, Monitoring and Auditing. 1.2 Terms of Reference: A full S&EIA is required for this development, the undertaking of which Fuze Environmental has been appointed as EAP. Fuze Environmental is responsible for undertaking the environmental authorisation process and submission of the final S&EIR reports to the CA. This report comprises the scoping aspect of the assessment. 1.3 Scope of Work The scope of work was undertaken according to the EIA regulations, 2014. An Application for authorisation in terms of the National Environmental Management Act, 1998 and the Environmental Impact Assessment Regulations, 2014 (as amended) will be submitted to the KZN Department of Economic Development, Tourism and Environmental Affairs (EDTEA). The EIA reference number will be assigned to the final scoping report following lodgement of the application form, preceding receipt of all comments on this draft scoping report. Thereafter, the EIA stage will commence. Scope of work includes baseline description of environmental aspects. 8
2. APPLICABLE ENVIRONMENTAL LEGISLATION, POLICY AND PLANNING The application is governed by certain legislation. For the development and activities to comply with legislation, it is necessary that the impact of the development be known before the Competent Authorities can take a decision in issuing authorisation. Applicable legislation, regulations and guidelines includes the following: 2.1. The Constitution of the Republic of South Africa (Act No. 108 of 1996)- Section 24 The Constitution of South Africa, Section 24, states that every person shall have the right to the following: • An environment that is not harmful to their health nor wellbeing; and • To have that environment protected for the benefit of present and future generations, through reasonable legislative and other measures, that – − prevent pollution and ecological degradation; − promote conservation; and − secure ecologically sustainable development and use of natural resources while promoting justifiable economic and social development. This report will seek to assess both positive and negative impacts on the receiving natural and anthropogenic environments, to enable a fair and equitable decision to be issued by the CA based on these impacts. 2.2 The Environment Conservation Act (Act No. 73 of 1989) The Environment Conservation Act allows the Minister to provide regulations regarding various aspects of the environment. 2.3 National Environmental Management Act No. 107 of 1998 (NEMA), The NEMA 107 of 1998 has been promulgated in part to: • Provide for co-operative environmental governance by establishing principles for decision making on matters affecting the environment; • Institutions that will promote co-operative governance and procedures for coordinating environmental functions exercised by organs of state, and; • To provide for matters connected therewith. Furthermore, Section 2 of NEMA dictates that environmental management should adhere to the following: • Avoid, minimize or remedy disturbance of ecosystems and loss of biodiversity; • Avoid degradation of the environment; • Avoid jeopardizing ecosystem integrity; • Pursue the best practicable environmental option by means of integrated environmental management; • Protect the environment as the people’s common heritage; • Control and minimize environmental damage; - Pay specific attention to management and planning procedures pertaining to sensitive, vulnerable, highly dynamic or stressed ecosystems, and - That a risk-averse and cautious approach is applied, which takes into account the limits of current knowledge about the consequences of decisions and actions The EIA process and report is a tool for compliance with the NEMA. 2.4 The Environmental Impact Assessment Regulations of December 2014 (as amended) 9
The Environmental Impact Assessment regulations of 8 December 2014 as amended (GNR 326) in terms of NEMA, specifies that an environmental assessment is required before any listed activity contained there-in is undertaken. The regulations set out the procedures and criteria for the submission, processing, consideration and decisions of environmental assessment applications. In particular, the regulations promulgated in terms of sections 24(2) and 24D of the National Environmental Management Act, 1998 (Act 107 of 1998), and the EIA Regulations, Listing Notice 1, (GNR 327), and Listing Notice 2 (GNR 325), require that the proposed activities be subject to an Environmental Impact Assessment. As such all listed activities from Listing Notices 1 and 2 are included in the EIA application, of which a scoping report is a pre requisite. The proposed development possibly triggers the following activities, as included in the application for authorisation form: Table 2: Preliminary Listed Activities applicable to project Number and Activity (in Description of each listed activity date of relevant terms of the notice: relevant or notice) GNR 327, Listing Notice 1, It is possible that there may be temporary storage of a dangerous December 2014 Activity 13 substance on site during construction, and operation, exceeding 80 (as amended) cubic meters but not more than 500 cubic meters. These will include fuel. GNR 327 Listing Notice 1, The smelter may possibly need to develop and operate facilities and December 2014 Activity 25 infrastructure for the treatment of effluent, wastewater or sewage with a (as amended) daily throughput capacity of more than 2 000 cubic metres but less than 15 000 cubic metres. This will be confirmed at EIA stage. GNR 325 Listing Notice 2, The activity will comprise of the construction of a steel smelter plant, December 2014 activity 6 including the construction of an administration block and smelter plant, (as amended) pool and drainage. An air emissions licence is required prior to continuation of smelting activities. GNR 325 Listing notice 2, The proposed site is approximately 35ha in extent. It is expected that December 2014 activity 15 around 15ha will be initially cleared for construction and operational (as amended) aspects, but this area could increase to over 20ha in future. Listed activities as stated above, are described as activities that may not commence without environmental authorisation from the Competent Authority. Note that all activities requiring a BA (GNR 327 Activities) will be included in the S&EIR and assessed thereunder. Should additional activities emerge during the scoping process, these will be included in the application form. 2.5 National Environmental Air Quality Act, (No. 39 of 2004) The National Environmental Management Air Quality Act (NEMAQA) makes provision for the publication of the Listed Activities and Minimum Emission Requirements, which require applicants to apply for and obtain an Atmospheric Emissions License (AEL) from the District or Metropolitan Municipality, via the South African Atmospheric Emission Licensing and Inventory Portal (SAAELIP). SAAELIP is an online portal for the management of Atmospheric Emission Licences (AEL) as well as the estimation and reporting of atmospheric emission inventories in terms of the AQA. SAAELIP provides a seamless integration between the management of Atmospheric Emission Licences and the reporting of atmospheric emissions into the National Atmospheric 10
Emission Inventory System (NAEIS), application and submission of Atmospheric Emission Licences online, application status tracking, submission of emission compliance reports online, and tracking historical versions of all applications and emissions reports. The following listed activities, which may be applicable to the project, require an Atmospheric Emissions Licence in terms of the AQA, are identified below: Subcategory 4.5: Sinter plants Subcategory 4.6: Basic Oxygen furnace steel making Subcategory 4.8: Blast furnace operations Subcategory 4.9: Ferroy alloy productions Subcategory 4.10: Foundaries Subcategory 4.11: Agglomeration operations Subcategory 4.12: Pre-reduction and direct reduction South Africa has published a National Climate Change Response White Paper (October 2011) that presents the Government’s vision for an effective climate change response and the long-term, just transition to a climate resilient and lower-carbon economy and society. South Africa used the Air Quality Act to regulate greenhouse gas emissions. Declaration of GHGs as priority air pollutants: The Minister declared the following greenhouse gases as priority air pollutants and require a person falling within the category specified in the notice to prepare and submit to the minister a pollution prevention plan for approval, in terms of section 29(1) read with section 29(4) of the National Environmental Management: Air Quality Act, 2004 (Act No. 39 of 2004): Carbon dioxide (CO2); Methane (CH4); Nitrous oxide (N2O); Hydrofluorocarbons (HFCs); Perfluorocarbons (PFCs); and Sulphur hexafluoride (SF6). The iron and steel industry is an emitter of some of the priority pollutants. Annexure A of the Act identifies steel and iron production (Ai) as a person required to submit such a plan if the emission of greenhouse gases are in excess of 0.1 Megatonnes (Mt) annually, reported as carbon dioxide equivalents, and/or if so directed by the Minister. Note that this plant is not expected to exceed the limits for which reporting is required. There are various applicable regulations published under the AQA, which must be compiled with when applying for an AEL and operating a facility by an an emitter (including steel and iron production). These are: -National Pollution Prevention Plans Regulations -29 (3) of the Act -National Greenhouse Gas Emission Reporting Regulation- in terms of section 53 (aA), (o) and (p) read with section 12 of AQA (the steel plant will be required to report should the emission exceed the specified limits) -Greenhouse Gas Emission Monitoring (compliance reports during operation must be submitted through SAAELIP and will form part of the national inventory) International Policy and Frameworks: South Africa has ratified several multilateral environmental agreements relating to air quality and is obligated to implement the conditions of these agreements. 11
South Africa’s commitments in the international arena address three major air quality issues, namely, greenhouse gases and associated climate change; stratospheric ozone depletion and persistent organic pollutants. United Nations Framework Convention on Climate Change (UNFCCC): The United Nations Framework Convention on Climate Change (UNFCCC) provides the framework for addressing climate change as a global issue. It provides a broad consensus for establishing institutions and practices to address climate change by introducing processes of on- going review, discussion and information exchange. South Africa ratified the UNFCCC in August 1997, and is classified as a non-Annex 1 Party, or a developing country. South Africa has obligations as stated in Article 4 Paragraph 1 of the UNFCCC, including the preparation of the National Communication, which incorporates an inventory of greenhouse gases (GHGs), need for implementation of national ang regional programs for climate change mitigation and adaptation. In December 2015, countries across the globe committed to a new International Climate Agreement at the UNFCCC Conference of the Parties (COP21) in Paris, which is called “The Paris Agreement”. In preparation for the Paris Agreement, countries agreed to publicly outline what post-2020 climate actions they intend to take under a new international agreement, known as their Intended Nationally Determined Contributions (INDCs). IPCC is an international body for assessing the science related to climate change. It was set up in 1988 by the World Meteorological Organization (WMO) and United Nations Environment Programme (UNEP) to provide policymakers with regular assessments of the scientific basis of climate change, its impacts and future risks, and options for adaptation and mitigation. The IPCC assessments provide a scientific basis for governments at all levels to develop climate related policies, and they underlie negotiations at the United Nations Framework Convention on Climate Change (UNFCCC). The assessments are policy-relevant but not policy-prescriptive. They may present projections of future climate change based on different scenarios and the risks that climate change poses and discuss the implications of response options, but they do not prescribe to policymakers what actions to take. The proposed steel plant will be an emitter and must incorporate best available techniques to reduce its emissions and become more efficient. South Africa has a role to play in achieving the required 20C reduction, as required by 2050, which is mainly achievable by reducing CO2 emissions. Additionally, industries across the world, particularly iron and steel, are the largest emitters and need to continue efforts at emission reduction. South Africa is also signatory to the Montreal Protocol on Substances that deplete the Ozone Layer; the Stockholm Convention on Persistent Organic Pollutants; and the Minamata Convention, which was signed in Minamata, Japan. Noise Control Regulations The National Environmental Management: Air Quality Act 39 of 2004 (NEMAQA) contains noise control provisions under Section 34. The Noise Control Regulations give all the responsibilities of enforcement to the Local Provincial Authority, where location specific by-laws can be created and applied to the locations with approval of Provincial Government. Where province-specific regulations have not been promulgated, acoustic impact assessments must follow the Noise Control Regulations. 12
These regulations define the following: Ambient Sound Level: the reading on an integrating impulse sound level meter taken at a measuring point in the absence of any alleged disturbing noise at the end of a total period of at least 10 minutes, after such meter had been put into operation; Zone Sound Level: a derived dB(A) value determined indirectly by means of a series of measurements, calculations or table readings and designated by a local authority for an area; and Disturbing Noise: a noise level which exceeds the zone sound level or, if no zone sound level has been designated, a noise level which exceeds the ambient sound level at the same measuring point by 7 dB(A) or more. With the above definitions in mind, regulation 4 of the Noise Control Regulations stipulate that no person shall make, produce or cause a disturbing noise, or allow it to be made, produced or caused by any person, machine, device or apparatus or any combination thereof. All noise monitoring and assessments are currently done in accordance with the SANS 10103:2008 and 10328:2008. In terms of SANS, an industrial district is classified as ‘F’ with a ‘70’ dB(A) for outdoors during daytime and a 60 dB(A) for outdoors for night. Noise emissions from the plant must be in accordance with accepted norms for noise emissions and all noise measurements must be done in accordance with these guidelines. 2.6 National Heritage Resources Act No. 25 of 1999 The National Heritage Resources Act established the South African Heritage Resources Agency (SAHRA) in 1999. SAHRA’s undertaking is to protect heritage, archaeological, paleontological (including meteorites), structures older than 60 years and human remains as resources of potential national significance. The act also requires a heritage and archaeological impact study to be done in order to determine whether any resources as listed above will be impacted and sets forth procedures prior to disturbance of any such resources. SAHRA also introduced an integrated, interactive system for identification of areas of possible cultural interest and management of resources. A Heritage and desktop paleontological report is commissioned for the project, and any alterations to buildings/structures older than 60 years, or any relocations to graves, will be subject to a permit. 2.7 The KwaZulu Natal Amafa And Research Institute Act, Act 05 of 2018 The Act has the purpose to provide for the conservation, protection and administration of both the physical and the living or intangible heritage resources of the Province of KwaZulu-Natal. The proposed project may impact on graves, structures, archaeological and palaeontological resources that are protected in terms of sections 37, 38, 39, and 40 of the KwaZulu-Natal Amafa and Research Institute Act, 2018. Permits will be required prior to alteration or destruction of such resources. All heritage/cultural findings of high significance will be excluded from development, including all graveyards. 13
2.8 Conservation of Agricultural Resources Act No 43 of 1983 The aim of this act is to provide for the conservation of the natural agricultural resources of South Africa”…by the maintenance of the production potential of land, by the combating and prevention of erosion and weakening or destruction of water sources, and by the protection of the vegetation and the combating of weeds and invader plants. This act will require that all wetlands that may be located on site are maintained as development free zones where possible, that erosion is prevented in the first instance and rehabilitated where prevention was unsuccessful, and that pollution of soil is prevented and rehabilitated where accidental pollution has occurred. 2.9 National Water Act No 36 of 1998 (NWA) The NWA allows for the nation’s water resources to be protected, used, developed, conserved, managed and controlled. In undertaking these actions, the Act requires that several factors need to be taken into account including the protection of aquatic and associated ecosystems and their biological diversity as well as reducing and preventing pollution and degradation of water resources, particularly chapter 4. Section 21 of the Act identifies certain developmental and operational activities that require authorization (licensing) from the DWS, including certain activities within 500m of a wetland or within a watercourse (regulated areas). A water use must be licensed unless it is listed in Schedule I, is an existing lawful use, is permissible under a general authorization, or if the authority waivers the need for a license. The water uses to be authorized which could be applicable to the proposed development are listed below and will be confirmed at the EIA stage: 21(b): Storing water; 21(c): Impeding or diverting the flow of water in a watercourse (for wetlands within 500m of the project boundary) 21(g): Disposing of waste in a manner which may detrimentally impact on a water resource; 21(i): Altering the bed, banks, course or characteristics of a watercourse; (for wetlands within 500m of the project boundary) The National Water Act / DWS has also produced requirements for pollution prevention plans, which must be incorporated into the operational plans for the development. A water use licence application will be lodged with DWS parallel to the submission of the final EIR to the CA and after confirmation of all water uses requiring a licence. The application will comply with regulation GNR267 of the NWA. 2.10 The National Environmental Management: Biodiversity Act (Act 10 of 2004) (NEMBA) The Act provides for “the management and conservation of South Africa’s biodiversity within the framework of NEMA, the protection of species and ecosystems that warrant national protection, and the use of indigenous biological resources in a sustainable manner, amongst other provisions”. NEMBA states that the loss of biodiversity through habitat loss, degradation or fragmentation must be avoided, minimised or remedied. The loss of biodiversity includes inter alia the loss of threatened or protected species. NEMBA lists 225 threatened ecosystems based on vegetation types present within these ecosystems. Should a project fall within a vegetation type or ecosystem that is listed, specific actions in terms of NEMBA are triggered. Based on the preliminary sensitivity screening undertaken, as well as the pre-disturbed nature of the proposed site, none of the threatened ecosystems occur within the immediate development footprint of the study site. The riparian area is to be excluded from development. 2.11 KwaZulu Natal Nature Conservation Ordinance (Ordinance 15 of 1974) The Nature Conservation Ordinance (NCO) makes provision for protected areas (including private nature reserves) and protection of flora and fauna. The KZN Nature Conservation Ordinance No. 14
15 of 1974 also contains plant schedules (schedule 10, 11 and 12) for protected indigenous flora requiring permits prior to removal/relocation. Should any protected plants be removed to accommodate development of the steel smelter, then a permit must first be obtained by Ezemvelo KZN Wildlife in terms of the NCO. 2.12 National Forest Act (Act no. 84 of 1998) (NFA) The purposes of the National Forests Act are to: (a) promote the sustainable management and development of forests for the benefit of all; (b) create the conditions necessary to restructure forestry in State forests; (c) provide special measures for the protection of certain forests and trees; (d) promote the sustainable use of forests for environmental, economic, educational, recreational, cultural, health and spiritual purposes; (e) promote community forestry; (f) promote greater participation in all aspects of forestry and the forest products industry by persons disadvantaged by unfair discrimination. The NFA proposes listed tree species that require a permit prior to removal, as well as prior to destruction of trees located in a ‘forest’. A forest is defined as a group of three or more indigenous tree species with interlocking canopies, exceeding 1.6m in height. Should any listed tree species, or any ‘forests’ need to be removed to accommodate construction, permits must be secured from DAFF prior to such destruction. 2.13 The Development Facilitation Act (Act 67 of 1995) The Development Facilitation Act (Act 67 of 1995) (DFA) sets out a number of key planning principles which have may have a bearing on assessing proposed developments in light of the national planning requirements. The planning principles most applicable to the study area include: -Promoting the integration of the social, economic, institutional and physical aspects of land development; -Promoting integrated land development in rural and urban areas in support of each other; -Promoting the availability of residential and employment opportunities in close proximity to or integrated with each other; -Optimizing the use of existing resources including such resources relating to agriculture, land, minerals, bulk infrastructure, roads, transportation and social facilities; -Contributing to the correction of the historically distorted spatial patterns of settlement in the Republic and to the optimum use of existing infrastructure in excess of current needs; -Promoting the establishment of viable communities; and -Promoting sustained protection of the environment. 2.14. National Health Act, 2003 (Act No. 61 of 2003) This Act refers to the performing of environmental pollution control by municipalities. Municipal health services are defined as including the responsibility for environmental pollution control. The responsibility for municipal health services rests with metropolitan and district municipalities. National and provincial departments of health have the duty to perform environmental pollution control. Air quality management falls within environmental pollution control, due to the possibility of causing health impacts. The proposed steel plant has the potential to affect human health through emissions, improper waste disposal and handling practices. The AEL will regulate the amount of emissions permitted from the plant, so that human health is not adversely affected. 2.15 The Scoping and EIA Process and Impact Assessment Methodology (EIA Regulations, December 2014, as amended) 15
A Scoping and Environmental Impact Assessment Reporting process (S&EIR) is a process of collecting, organising, analysing, interpreting and communicating relevant information to the competent authority. The competent authority needs to be presented with all the available information to obtain an independent and objective view of the potential environmental impacts that could arise as a result of the construction of the proposed development. In addition, a S&EIR is a tool that incorporates the views and requirements of the general public and all interested and affected parties. This scoping report is inclusive of background research on the proposed development area, consultation with key stakeholders and appointment of specialists. Public Participation is conducted to identify the concerns of all I&APs at the initial scoping stage (carried forward and addressed in detail at the EIA stage). All issues thus far are included in this report. Positive and negative impacts shall be investigated and means to mitigate negative impacts and enhance positive impacts will be addressed in the EIA phase, which shall follow from this scoping phase. As per the EIA regulations, the objective of the scoping process is to, through a consultative process- (a) identify the relevant policies and legislation relevant to the activity; (b) motivate the need and desirability of the proposed activity, including the need and desirability of the activity in the context of the preferred location; (c) identify and confirm the preferred activity and technology alternative through an identification of impacts and risks and ranking process of such impacts and risks; (d) identify and confirm the preferred site, through a detailed site selection process, which includes an identification of impacts and risks inclusive of identification of cumulative impacts and a ranking process of all the identified alternatives focusing on the geographical, physical, biological, social, economic, and cultural aspects of the environment; (e) identify the key issues to be addressed in the assessment phase; (f) agree on the level of assessment to be undertaken, including the methodology to be applied, the expertise required as well as the extent of further consultation to be undertaken to determine the impacts and risks the activity will impose on the preferred site through the life of the activity, including the nature, significance, consequence, extent, duration and probability of the impacts to inform the location of the development footprint within the preferred site; and (g) identify suitable measures to avoid, manage or mitigate identified impacts and to determine the extent of the residual risks that need to be managed and monitored. The following methodology was adopted for this Environmental Scoping report: • Conducting a preliminary meeting with the relevant environmental authority; • Undertaking a site inspection; • Conducting a baseline assessment of environmental attributes and potential impacts and mitigation • Identifying potential Interested and Affected Parties (IAP’s), and relevant authorities; • Supplying Background information to IAP’s and relevant authorities; • Advertising (Local newspaper and displaying on-site notices at strategic locations); • Identification and brief evaluation of impacts and alternatives; • Compilation of this draft Environmental Scoping report and plan of study for the EIA in accordance with the EIA regulations and objectives of the scoping phase; and • Circulation of this draft scoping report for a 30-day comment period Baseline Description of Environmental aspects: Collection of baseline information was undertaken during a site inspection conducted during August 2019 in order to establish the sensitivity of the environment to potential impacts and to determine restrictions that the environment may have on the development. Information on the biophysical and socio-economic parameters was gathered during this site inspection and desktop study. Information was also obtained from existing reports, aerial photography, municipal development and framework plans and the 1:50 000 topographical maps for the area. The baseline environmental parameters/attributes investigated were: 16
• Land-use; • Topography; • Geology and Soils; • Surface and groundwater; • Ecology (fauna, flora, wetlands and watercourses); • Air Quality; • Noise; • Visual; • Heritage and cultural; • Socio-economic; and • Safety and security. The EIA phase will focus on a detailed and comprehensive analysis of report of the environmental attributes, identified impacts and issues of concern, identified herein. The CA would either accept or reject the final Scoping Report (and subsequent EIA report), based on the information provided. In the event of a rejection, the report will be amended according to the CA requirements and resubmitted. Once the final Scoping Report has been accepted, the EIA phase will commence proper. The various environmental impacts that would arise as a result of the proposed development will be identified and evaluated in terms of their relative extent, severity and significance, within the EIA phase. Activities within the framework of the proposed development, and their respective construction and operational phases give rise to certain impacts. For the purpose of assessing these impacts, the development will been divided into three phases at the EIA phase as follows.- ▪Pre-construction phase/preliminary activities: Planning stage ▪ Construction phase: activities to be conducted during the actual construction of the development and immediately after construction is completed ▪ Operational phase: activities conducted when the development is operational Impact Assessment Methodology to be adopted The methodology that will be used to rate the impacts at the scoping stage is qualitative. Each category is divided into different levels. These levels are assigned various criteria. These criteria were drawn from the National Environmental Management Act, 1998 (Act No.107 of 1998) as amended and the Environmental Impact Regulations, 2014. The impacts shall be discussed further at the EIA phase, employing a qualitative and quantitative approach. 17
3. DETAILED DESCRIPTION OF THE PROPOSED ACTIVITY 3.1 Site Location The proposed site is located on Lot 947, Colenso. Colenso is located within Alfred Duma local, and Uthukela district municipalities. Co-ordinates for centre point of site: 280 44’ 03.16’’ S and 290 49’42.82’’ E. The total size of the site is 35ha. Site Figure 1: locality showing the town of Colenso and the site. Refer to Annexure A for locality. 18
Figure 2: SG diagram and site configuration. Refer to annexure C, for coordinates for boundary of site 3.2 Site Baseline status quo The proposed development comprises of the construction of a steel smelter plant, an admin building and associated infrastructure. The existing structures on site comprise of pools/dams, manholes, coal hoppers, remnants of foundations, and cooling towers, previously under Eskom ownership. The towers will be used as per TIS, as will the pools. Gravel access roads are located within the property. The total size of the site is 35ha, however, initially, only 15ha is expected to be used, but the extent will increase following an increase in production. A railway line and servitude form the southern border, with the Tugela river creating the northern border. Eskom pylons and servitude are also noted on site. The old Eskom substation is located to the west of the site. Old Eskom abandoned buildings and houses are noted to the south, south west and north west of the site boundary. The site itself was part of the old, decommissioned Eskom Colenso power plant, which also had a village to cater for the workers at the plant. A recent swimming pool and sports ground were noted on the eastern boundary of the site. A graveyard was also noted on site. 3.3 Proposed layout The proposed development consists of a new smelter plant and admin building, comprising of offices, boardroom, washrooms, canteen, parking, ingress and egress points, loading, stockpile areas, and delivery zones. Refer to Appendix C for various layouts and illustration. Figure 3: Site layout view 1 19
Figure 4: site layout view 2 Figure 5: Facility illustration 1 20
Figure 6: Facility illustration 2 3.4 Technology and Process description The plant will be a primary production plant, utilizing iron ore. Iron ore based steelmaking represents about 60-70% of the world steel production. The main raw materials are iron ore, coal, limestone and steel scrap (from within the plant). The main production routes are ironmaking iron ore based on the Blast Furnace (BF) followed by steelmaking in the Basic Oxygen Furnace (BOF). In the BF, coke is the reducing agent of iron ore. Limestone or dolomite (fluxes) are added into the blast furnace where they react with iron ore impurities, such as silica. Steel is produced from pig iron, scrap and lime in the BOF, where oxygen is blown to burn off the carbon. In BOF the reactions between oxygen, carbon (carbon as gaseous carbon monoxide), silicon, manganese, phosphorus and some iron as liquid oxides produce oxidized compounds that react with lime or dolomitic lime to form slag. At the end of the refining operation, after steel pouring into a ladle, the slag is poured into a vessel and is subsequently tapped into a slag pot. The Applicant, TSI, plans to bring the existing technology/plant from an operation in Limpopo for use in the new Colenso smelter. Iron ore will be sourced from a mine owned by the TSI. 21
Figure 7: Steel making process from iron ore: ➢ The basic steelmaking process steps are: - Coking of various grades of coking coal - Agglomeration of Iron Ore fines by sintering 22
- Iron making in BF -Lime & dolomite calcination in calcining plant -Steel making in BOF -Refining liquid steel in LF followed by VD -Continuous casting of liquid steel to billets and slabs -Processing of slabs and billets in the plate & coil and rod mill ➢ Facilities required: -Coke Ovens & By-products Recovery Plant (COBP) -Sinter Plant -Air separation plant -Blast Furnace and Basic oxygen furnace -Lime/dolomite calcining Plant -Steel Melt Shop -Continuous Casting -Rolling Mill ➢ Description of Process* Integrated primary steelmaking is characterized by networks of interdependent material and energy flows between the various production units including sinter plants, coke oven plants, blast furnaces and basic oxygen steel making plants with subsequent casting. Steel making from integrated plants are characterized by iron making and subsequent steelmaking processes. Table 3: Energy content of fuels and energy carriers: Fuel Unit LHV (MJ/unit) Energy Unit Energy intensity carrier (MJ/unit) Coke kg 28.435 Fresh water t 2.51 Cleaned coal kg 26.344 Oxygen m3 11.72 Steam (low pressure) t 3.763 Nitrogen m3 11.72 BF gas m3 3.763 Argon m3 – Coke gas m3 16.726–17.981 Blow m3 0.88 Electricity kWh 3.6 Source: Lee et al, 2017 Integrated steelworks: The blast furnace is the main operational unit producing iron (pig iron). The two types of iron ore preparation plants are sinter and pellet plants. Coke and powdered coal are the main reducing agents in the blast furnace. The slag from the furnace is granulated, pelletised or tapped into slag pits. The liquid iron is transported to a basic oxygen furnace where carbon content is lowered. Upstream ladle desulphurization of the pig iron and downstream ladle metallurgy of the steel may also be applied. On leaving the basic oxygen furnace the liquid steel is cast either into ingots or by means of continuous casting.* 23
Sinter Plants: Sintering involves agglomerating the furnace charge, which consists of a mixture of fine ores, additives, iron-bearing, recycled material from downstream operations such as course dust and sludge from blast-furnace gas cleaning, mill scale, casting scale etc., to which coke breeze is added for ignition purposes. Sinter plant operations include: -Blending and mixing of raw materials; -Sinter strand operations; -Hot sinter screening and cooling Coke Oven Plants: Coal pyrolysis involves the heating (1,000 – 1,100 ) of coal in an oxidation free atmosphere to produce gases, liquids and a solid residue (char or coke). This produces blast furnace and foundry cokes. Coke is the primary reducing agent in blast furnaces active both as a support material and a matrix through which gas circulates in the stock column. The coke making process can be subdivided into: -Coal handling -Battery operation (coal changing, heating/firing, coking, coke pushing, coke quenching) and coke handing and preparation -Collection and treatment of coke oven gas -Coke oven water flows. Blast Furnace: A blast furnace is a closed system into which iron bearing materials (iron ore, lump, sinter), additives (slag formers such as limestone) and reducing agents (coke) are continuously fed from the top of the furnace shaft through a charging system that prevents escape of blast furnace gas. A hot air blast enriched with oxygen and auxiliary reducing agents (coal, powder, oil, natural gas and in a few cases plastics) are injected on the tuyere level providing a counter-current of reducing gases. The air blast reacts with the reducing agents to produce mainly carbon monoxide, which in turn reduces iron oxides to metal iron. The liquid iron is collected in the hearth along with the slag and both are cast on a regular basis. The liquid iron is transported in torpedo vessels to the steel plant and the slag is processed to produce aggregate, granulate or pellet for road construction and cement manufacture. The blast furnace gas is collected at the top of the furnace. It is treated and distributed around the world to be used as a fuel for heating or electricity production. The main operations are: -Charging of raw materials; -Generation of hot blast -Blast furnace operation -Direct injection of reducing agents -Casting -Slag processing Basic Oxygen Steel Making and Casting The Basic Oxygen Furnace (BOF) is then used to produce steel. The objective in oxygen steel making is to burn (oxidise) the undesirable impurities in the metallic feedstock. The main elements oxidised are carbon, silicon, manganese, phosphorous and sulphur. The production of steel by the BOF process is a discontinuous process involving the following steps: -Transfer and storage of hot metal; -Pre-treatment of hot metal (desulphurisation); -Oxidation in the BOF (decarburisation and oxidation of impurities); -Secondary metallurgical treatment; 24
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