Dedicated Freight Corridor Corporation of India Limited
Environmental and Social Review Summary
Dedicated Freight Corridor Corporation of India Limited – Eastern Dedicated Freight Corridor
This Environmental and Social Review Summary (ESRS) is prepared by MIGA staff and disclosed prior to the date on which MIGA’s Board of Directors considers the proposed issuance of a Contract of Guarantee. Its purpose is to enhance the transparency of MIGA’s activities. This document should not be construed as presuming the outcome of the decision by MIGA’s Board of Directors. Board dates are estimates only.
Any documentation that is attached to this ESRS has been prepared by the project sponsor, and authorization has been given for public release. MIGA has reviewed the attached documentation as provided by the applicant and considers it of adequate quality to be released to the public but does not endorse the content.
The Dedicated Freight Corridor Corporation of India Limited (DFCCIL or Project Enterprise) is a state-owned railway company in India with the mandate to construct, operate and maintain dedicated freight corridors (DFCs) including the Eastern Dedicated Freight Corridor (EDFC) supported by the World Bank (WB) and, the Western Dedicated Freight Corridor (WDFC) supported by JICA’s Overseas Development Assistance. The EDFC is the largest rail infrastructure project in India with approximately 1,840 kilometers (km) of electric high-speed freight-only railway system extending from Ludhiana to Kolkata.
The WB has been involved in the EDFC project since 2011; the engagement comprises four projects: EDFC I: Khurja to Kanpur (US$1.458 billion, closed); EDFC II: Kanpur to Mughalsarai (US$1.65 billion, closed); EDFC III: Khurja to Ludhiana (US$1.107 billion, closed) and the current Rail Logistics Project (RLP) for the completion of EDFC II and EDFC III (WB Project ID P177856) for US$245 million which was approved in June 2022. Under the RLP, WB will provide an additional US$10 million in the form of institutional capacity building support for DFCCIL and the Ministry of Railways.
The MIGA project will provide guarantees to commercial lenders for their non-shareholder loans to DFCCIL to finance, design and complete construction for the 393km double-track line from Bhaupur1 to Deen Dayal Updadhyay2 section (WB’s EDFC II) and the 401km single-track line from Sahnewal3 to Khurja section (WB’s EDFC III), and the last-mile connectivity of the EDFC corridor to multimodal logistics terminals (together, the Project). The Project includes civil works, stations, office buildings, tracks, and systems works to complete the construction and testing of the two sections of the EDFC corridor.
The MIGA Project corridor crosses three states – Punjab, Haryana, and Uttar Pradesh. The corridor is mostly parallel to the existing Indian Railways (IR) route with diversions to minimize displacement of people in densely populated areas. Agriculture is the dominant activity across the corridor; there is no sensitive environmental zone within the EDFC II and EDFC III projects’ area of influence.
The Project will be fully electrified with 2x25 kilovolt alternative current through overhead cables. Traffic management and supervision will be centralized in an operations control center to monitor real-time state of trains, power systems and signaling. Freight trains will be controlled by state-of-the-art computer-based interlocking and signaling systems.
Key Project components include rail tracks, overhead power cables, sub-stations, road-under-bridges (RUBs), and rail-over-bridges (ROBs), station buildings, signaling and control stations, loading and unloading yards, staff quarters, batching plants, sleeper plants, borrow areas, access roads, and ancillary buildings. The associated facilities identified for the Project are transmission lines to be constructed by Power Grid Corporation of India Limited to connect the overhead power cables to existing power infrastructure, and additional ROBs and RUBs to be constructed by IR and state-level entities.
As of August 2022, the construction of the MIGA Project sections, Ludhiana-Khurja and Kanpur-Mughalsarai, was 75-80% completed and the EDFC (excluding Sonnagar-Gomoh and Gomoh-Kolkata section) is anticipated to reach full commercial operation date by June 2023. EDFC I, which is not part of the MIGA Project, was commissioned in December 2020 and is operational between Bhaupur and Khurja.
The Project contractors are:
EDFC II: Civil contractor – Joint venture (JV) between GMR Infrastructure Limited and SEW Infrastructure Limited (GIL-SIL (JV)); System contractor – Larsen & Turbo (L&T); Project monitoring consultant – Systra - Mott MacDonald JV;
EDFC III: Civil contractors – JV between GMR Infrastructure Limited and Tata Projects Limited (GIL-TPL (JV)) and L&T; System contractor – L&T-Kyosan Consortium; Project monitoring consultants – Systra - MV Consulting (JV), Deutsche Bahn Engineering and Consulting and TYPSA-ICT-BARSIL.
This ESRS presents information relevant to the construction and operation of EDFC II and EDFC III. Where relevant, the term ‘EDFC project’ is used to reflect all three phases and collective documents/practices in place for the management of the entire corridor. This ESRS compiles and updates information previously disclosed by the WB for EDFC II, EDFC III and RLP, and presents the information against MIGA’s Performance Standards. The information in this ESRS is materially consistent with the previously disclosed information. EDFC I, EDFC II and EDFC III were implemented under the WB Safeguard Policies and the RLP is being implemented under the WB Environmental and Social Framework (2018); the RLP and the MIGA Project represent a transition to the WB Environmental and Social Standards and the MIGA Performance Standards respectively.
Early disclosure of project-related documents was done in June 2022 by MIGA. Additional information on the MIGA Project can be found in the Summary of Proposed Guarantee.
Project Map: Yellow Bars: Ludhiana-Khurja Section; Green Bars: Kanpur-Mughalsarai Section
This is a Category A project according to MIGA’s Policy on Environmental and Social Sustainability (2013). The E&S risks and impacts associated with the EDFC II and EDFC III projects include significant impacts related to land acquisition with physical/economic displacement of over 56,000 project-affected persons (PAPs); labor management and occupational health and safety issues; pollution management; influx of labor into local communities and community safety; and impacts on cultural heritage. Contextual issues associated with the Project include the potential for gender-based violence (GBV) and climate vulnerability. The Project is thus considered to have potentially significant adverse E&S risks and impacts which are diverse, irreversible, or unprecedented and is categorized as ‘high’ risk. These risks and impacts can be mitigated and managed by adhering to applicable Performance Standards (PSs), World Bank Group (WBG) Environmental Health and Safety (EHS) Guidelines and design criteria.
MIGA’s categorization of the Project is consistent with the WB’s categorization of the RLP as high risk.
While all PSs are applicable to this Project, current information indicates that the Project will have impacts which must be managed in a manner consistent with the following PSs:
PS1: Assessment and Management of Environmental and Social Risks and Impacts
PS2: Labor and Working Conditions
PS3: Resource Efficiency and Pollution Prevention
PS4: Community Health, Safety and Security
PS5: Land Acquisition and Involuntary Resettlement
PS6: Biodiversity Conservation and Sustainable Management of Living Natural Resources
PS8: Cultural Heritage
There is no indication or evidence of Indigenous People residing in or having cultural ties to the Project area, thus PS7: Indigenous Peoples does not apply.
The following World Bank Environmental and Social Standards have been applied by WB for the RLP project:
ESS1: Assessment and Management of Environmental and Social Risks and Impacts
ESS2: Labor and Working Conditions
ESS3: Resource Efficiency and Pollution Prevention and Management
ESS4: Community Health and Safety
ESS5: Land Acquisition, Restrictions to Land Use and Involuntary Resettlement
ESS6: Biodiversity Conservation and the Management of Living Natural Resources
ESS8: Cultural Heritage
ESS10: Stakeholder Engagement and Information Disclosure
In addition, the following World Bank Group (WBG) Environmental, Health, and Safety (EHS) Guidelines are applicable to the Project:
World Bank Group General EHS Guidelines (2007)
World Bank Group EHS Guidelines for Railways (2007)
The following documents were reviewed by MIGA:
Environmental Assessment Report: Mughalsarai – Bhaupur Section (2013)
Environmental Assessment Report: Sahnewal – Pilkhani Section (2015)
Environmental Assessment Report: Pilkhani – Khurja Section (2016)
Resettlement Policy Framework (2011; revised in 2015 and 2018)
Resettlement Action Plan: Mughalsarai – Bhaupur Section (2013)
Resettlement Action Plan: Sahnewal – Pilkhani Section (2015)
Greenhouse Gas Emissions Reduction Analysis for the Dedicated Freight Corridor (2011)
DFCCIL Environmental Management Framework: EDFC Ludhiana to Mughalsarai (2015)
DFCCIL Environmental and Social Audit and Gap Analysis Report (April 2022)
In addition to the Project documents above, MIGA reviewed WB project appraisal and monitoring documents, including disclosed documents, for EDFC II, EDFC III and RLP as well as reports from independent consultants. MIGA also conducted site visits to sections of EDFC III in April 2022 and October 2022.
MIGA’s due diligence review considered the E&S management procedures and documentation in place and being developed for the Project, and identified gaps, if any, between these and MIGA’s requirements. Where necessary, corrective measures, intended to close these gaps within a reasonable period, are summarized in the paragraphs that follow and in the Environmental and Social Action Plan (ESAP) attached to this ESRS. Through the implementation of these measures, the Project is expected to be designed and operated in accordance with MIGA’s PSs. Key E&S issues associated with the Project’s business activities are summarized in the paragraphs that follow.
MIGA also leveraged the WB’s appraisal of RLP including their identification of gaps and proposed actions in the Environmental and Social Commitment Plan (ESCP) disclosed in May 2022. Action items already covered in the ESCP are not repeated in this ESRS.
PS1: Assessment and Management of Environmental and Social Risks and Impacts
DFCCIL has E&S policies which govern the E&S-related aspects of its operations and indicate the standards applicable to the EDFC project. The policies include a Corporate Safety, Health, and Environmental Policy and a Corporate Environmental Policy. The policies are applicable to DFCCIL’s current and future activities.
Identification of Risks and Impacts
The identification of E&S risks and impacts for EDFC II and EDFC III, including the right-of-way (RoW), was primarily conducted through a series of environmental assessments – Environmental Assessment Report: Mughalsarai to Bhaupur Section (October 2013), Environmental Assessment Report: Sahnewal to Pilkhani Section (May 2015) and Environmental Assessment Report: Pilkhani to Khurja Section (April 2016). These assessments were conducted in line with Indian laws and regulations related to amongst other aspects, environmental protection, forest conservation, water, air, noise, and hazardous wastes. The assessments were also conducted in line with the WB Environmental and Social Safeguard Policies4 and Operational Policies (O.P). In particular, the assessments applied O.P 4.01: Environmental Assessment; O.P. 4.11: Physical Cultural Resources; O.P. 4.12: Involuntary Resettlement; and O.P. 36 Forests. In addition, the assessments were conducted in line with the IFC/MIGA Performance Standard 2: Labor and Working Conditions in relation to labor safety and workers’ accommodation.
Under Indian environmental permitting regulations, railways do not require environmental clearance from the Ministry of Environment, Forests and Climate Change; a ‘No-Objection Certificate’ (NOC) is however required from the State Pollution Control Board under the Water Act and Air Act. The relevant NOCs for the EDFC project have been obtained and are renewed by the Project contractors as required. Permits for diversions into forest land and tree felling were obtained by DFCCIL from the local authorities. For the quarrying activities in borrow areas, mining licenses have been obtained as per the prevalent national regulations.
The environmental assessments conducted for the Project sections addressed Project alternatives; consultation and disclosure; identification and assessment of environmental and social risks and impacts; and measures to avoid, mitigate or offset the impacts identified. The aspects identified and assessed included land use; air quality; biodiversity; hydrology and water quality; occupational health and safety (OHS); cultural resources; waste; noise and vibration; and geology. The environmental assessments also included a socio-economic baseline of the communities along the Project corridor. The environmental management plans (EMPs) included the environmental assessment reports identified measures to minimize the impacts associated with the Project.
A cumulative impact assessment (CIA) was conducted for the EDFC project (Mughalsarai to Ludhiana section) in 2016. Given the scale of the EDFC, the Project’s area of influence and potential developments cut across different regions and states along the EDFC corridor. The CIA identified anticipated/potential developments along the corridor such as logistics parks, industrial zones, thermal power plant, roads and highways, and waterways. Whilst the CIA did not identify significant impacts beyond those identified in the environmental assessments conducted for EDFC, the CIA identified potential mitigating measures and DFCCIL’s role in engaging with the various government agencies responsible for these potential developments.
Contextual risks identified for this Project include climate vulnerability and GBV risks; both of which are discussed under this PS and in subsequent PSs.
The acquisition of land for the Project has involved significant physical and economic displacement. Additional information on the land acquisition, community engagement and compensation is provided in subsequent sections – Stakeholder Engagement and PS5.
The Project crosses the states of Punjab, Haryana, and Uttar Pradesh - regions in India which are expected to see an increase in both the frequency and intensity of extreme weather events under climate change. These shifts in climate hazard occurrence have the potential to impact railway infrastructure and operations: overland and riverine flooding due to heavy rainfall could damage bridge foundations, cause slope failures, and inundate tracks and ancillary structures; heatwaves could increase heat stress on rail infrastructure and lead to the buckling and fracture of tracks; and fog during the winter months could result in low visibility leading to operational delays and accidents.
To mitigate these risks, multiple climate adaptation measures are being incorporated into the Project design, including: ensuring bridges and stormwater systems are designed to an appropriate return period and sufficient buffer is included to ensure high rainfall events will be conveyed safely; implementing erosion control measures to ensure land stability; and designing tracks based on minimum and maximum rail temperatures to reduce the risk of rail buckling or fracture. To evaluate how these measures can be further improved to boost the climate resilience of the Project, a climate risk workshop was conducted in 2018. The workshop included key stakeholders from DFCCIL and IR – resilience building measures were defined and supporting technical requirements were outlined. Though the recommendations from this workshop have not been adopted to date, DFCCIL continues to evaluate the findings and will take appropriate measures where climate risks are deemed high.
In 2018, gender-based violence (GBV) risks were assessed by the WB and an action plan to address GBV issues was developed and implemented. DFCCIL developed a GBV Policy and the EDFC project supports regular sensitization and awareness drives for the local communities on safety, harassment, GBV-related issues, legal recourse procedures and mitigation channels in collaboration with the Project contractors. DFCCIL has a GBV complaints process in place, and complaints boxes are situated at various locations across the Project such as construction sites, batching plants, workers’ camps, etc. All contract documents under the Project include a code of conduct with GBV requirements. GBV monitoring and consultation are conducted through selected community members such as teachers and social workers, who typically carry out monitoring and consultation activities twice a month. Additional information on GBV is provided in under PS2 and PS4, as relevant.
For the WB Rail Logistics Project (RLP), an Environmental and Social Audit and Gap Analysis Report was prepared by a consulting firm on behalf of DFCCIL in April 2022. This report presented an audit of the implementation of the EMPs and Resettlement Action Plans (RAPs), and compliance with the WB Safeguard Policies, as well as a gap analysis of requirements under the 2018 WB Environment and Social Standards (ESSs) which are applicable to the RLP project. The corrective measures to address the identified gaps have been included in a Corrective Action Plan (CAP) which is referenced in the Environmental and Social Commitment Plan (ESCP) disclosed by WB in May 2022 for the RLP project. Additional audit requirements have also been included for EDFC II, EDFC III and RLP in the WB ESCP.
Environmental and Social Assessment and Management System
DFCCIL has an Environmental Management Framework (EMF) for EDFC (Mughalsarai to Ludhiana section) which provides a framework for identifying, assessing, and managing E&S risks and impacts associated with the design, construction, and operation of the EDFC project. The EMF specifies applicable Indian regulations and the WB Safeguard Policies relevant to the Project. The EMF is implemented through various management procedures and plans at the DFCCIL level and contractor/sub-contractor level. In addition, DFCCIL has a Safety, Health and Environment Manual which governs safety, health and environmental (SHE) matters across the EDFC. For the operations phase, DFCCIL has developed an Operating Manual and an Accident Manual, as well as other operating documents.
Per the WB ESCP, DFCCIL has committed to developing an Environmental and Social Management Framework (ESMF) and associated documents which meet the requirements of the WB’s ESSs. The ESMF will also be applicable to associated facilities as required. The aspects to be covered under the ESMF include but are not limited to labor management and occupational health and safety; life and fire safety; security management; community health and safety; GBV and sexual harassment; and biodiversity management. Documents developed for operations will also be updated as required.
As indicated in ESAP item #1, DFCCIL will be required to include the MIGA Performance Standards in the EDFC ESMF and associated documents for construction and operations.
Project-specific management programs have been developed for the EDFC project at the DFCCIL level and at the level of the contractors and sub-contractors. As indicated above, DFCCIL has developed and implemented a SHE manual as well as management programs covering but not limited to labor and occupational health and safety; gender-based violence (GBV); and community health and safety. Contractors and sub-contractors are required to develop and implement E&S plans and procedures covering the management of relevant E&S risks and impacts. The Project contractors have E&S plans and procedures in place, including emergency plans for locations covered within their contracts. As indicated under ESAP item #2, the PSs will be cascaded down to contractors and sub-contractors through relevant contract documents and Project procedures and plans for new contracts.
Organizational Capacity and Competency
DFCCIL has a Social and Environmental Management Unit (SEMU) responsible for the overall management of E&S aspects of the EDFC project. The team is composed of one manager and two specialists. The SEMU team is supported by DFCCIL field officers and project management consultants who are responsible for implementation of E&S management programs in the field, and independent monitoring consultants who provide third-party monitoring for DFCCIL. Non-governmental organizations (NGOs) also provide support in the implementation of the resettlement plans as required. In addition, contractors and sub-contractors have officers responsible for the implementation of their respective environmental management plans, safety procedures and emergency plans. Training is coordinated by the SEMU, in conjunction with field officers and contractors and sub-contractors; on-site safety training is managed by the contractors. As part of the ESCP for the RLP, the WB has identified additional training needs for strengthening E&S capacity across the EDFC project and DFCCIL has committed to hiring additional staff for the SEMU team.
Emergency Preparedness and Response
DFCCIL’s environmental framework and SHE manual include requirements for managing emergency preparedness and response. At the DFCCIL HQ, emergency response is managed by the facilities team and an appropriate plan is in place to manage emergency scenarios. Across the EDFC project sites, emergency preparedness is managed by the contractors and sub-contractors, with emergency plans developed and implemented, and as appropriate, collaboration with local communities and authorities is included in the implementation of the plans. Emergency plans are documented in English and Hindi, and training sessions are organized at regular intervals. Additional emergency measures were developed and implemented in response to the COVID-19 pandemic.
Monitoring and Review
Monitoring of the implementation of management plans and the E&S performance of the EDFC project is coordinated by the SEMU, with support from field staff, consultants, and NGOs. DFCCIL has retained the services of consulting companies for the monitoring of the implementation of project EMPs and RAPs. Quarterly E&S performance reports covering the implementation of action plans, implementation of E&S procedures/plans and stakeholder engagement activities are provided to the WB, and contractors/sub-contractors are also required to prepare monthly reports. Monitoring data covers aspects such as air quality, noise, groundwater, and SHE statistics. Remedial actions are implemented as required to address performance gaps identified in the monitoring reports. As indicated above, a compliance audit/gap analysis was also conducted for the WB RLP in 2022. Going forward, compliance with the PSs will be reviewed as part of the ongoing monitoring of the Project, including monitoring by third-party consultants.
Stakeholder engagement was conducted as part of the environmental assessments undertaken for EDFC II and EDFC III. The assessments included the identification of various stakeholders including project-affected persons, community elders, regional and state authorities, and NGOs. Consultation, through focus groups and public meetings, was conducted on the key E&S impacts of the EDFC project. Project information was made available in English and Hindi. Community projects implemented by DFCCIL are also identified through consultation. A Stakeholder Engagement Plan (SEP) was developed in April 2022 as part of the WB RLP project. The SEP identifies various groups of stakeholders as well as relevant engagement strategies (means and frequency) and information to be provided to the stakeholders. The SEP includes a grievance redress mechanism (GRM) as well as monitoring and reporting requirements.
External Communications and Grievance Mechanism
External communication and grievance management are coordinated by the SEMU with support from field officers, consultants, and NGOs. The EDFC project GRM across the three phases (EDFC I, EDFC II and EDFC III) details the procedure for lodging and addressing complaints, as well as the means – email, text, phone, letters, verbal etc. – and grievance boxes are located across Project sites and within the communities in EDFC III. Grievance redress committees constituted of community members, local council leaders and DFCCIL staff, were also established across the Project. Although there have been some implementation issues, the GRM process is largely functional, with most grievances related to the land acquisition process. Per the ESCP for the WB RLP, DFCCIL has committed to implementing measures to improve awareness of the GRM and documentation of grievances.
Ongoing Reporting to Affected Communities
The mechanisms for ongoing reporting to affected communities are defined in the SEP. Ongoing reporting is done through public meetings, focus groups, and advert campaigns.
PS2: Labor and Working Conditions
As of October 2022, DFCCIL had approximately 3,100 direct workers, less than 3% of whom being women. In addition, there were over 6,500 contracted workers, including approximately 6,200 construction workers and 100 consultants to support and oversee construction. Skilled construction labor is largely composed of inter-state migrants, while unskilled contracted workers are sourced locally through registered labor contractors. It is anticipated that direct workers will increase to approximately 6,000 during operations.
Working Conditions and Management of Worker Relationship
DFCCIL’s direct workers are civil servants, whose terms of employment are defined as per national laws and regulations. A Labour Management Plan (LMP) consistent with Indian labor laws and ESS2 (which is largely consistent with PS2) was developed in April 2022 as part of the WB RLP Project. The LMP applies to all workers and includes provisions on terms of employment, working conditions, code of conduct, forced labor, child labor, training, incident and accident reporting, workers’ grievance arrangements, and applicable requirements for contractors and sub-contractors. In accordance with the WB ESCP, the LMP provisions and ESS2 requirements will be cascaded down to contractors and sub-contractors through the labor management plans to be developed by the contractors, as well as relevant contract and procurement documents. As indicated under PS1, the MIGA PSs will also be cascaded down to contractors and sub-contractors for new contracts. The Project’s performance against the requirements of ESS2/PS2 will be reviewed as part of the ongoing monitoring undertaken by third-party consultants during construction. In line with the WB CAP, the LMP will be amended to include requirements relating to non-discrimination and equal opportunity.
A GBV Code of Conduct (CoC) has been developed and all construction workers are required to acknowledge receipt of the CoC prior to starting work and abide by its provisions. GBV awareness training is provided to all contracted workers during induction, and follow-up sessions are carried out on a regular basis.
Construction workers may raise concerns using the complaint boxes installed across the different sites. As part of the WB ESCP and in line with the Project LMP, DFCCIL will enhance the existing grievance mechanisms and ensure that all Project workers have access to a workers’ grievance mechanism. Grievance registers will be maintained at all sites.
Over 6,000 construction workers live in 16 project workers’ camps5 and rented accommodation along the EDFC II and EDFC III sections, with most of the workers living in rented accommodation. Requirements for Project workers’ accommodation have been included in the LMP and contractor EMPs. As per the WB CAP, the requirements will be revised in line with the IFC and the European Bank for Reconstruction and Development Guidance Note on Workers’ Accommodation Process and Standards (2009). In addition, DFCCIL will collaborate with contractors to address gaps identified during the consultants’ monitoring visits for all worker accommodation facilities.
Indian law recognizes workers’ rights to form and join unions. There are no restrictions to forming or joining unions at DFCCIL. Currently, there are no unionized employees at DFCCIL; however, direct workers have access to a grievance mechanism through which they can raise any concerns to management. As indicated above, the grievance mechanism for construction workers will be enhanced.
Protecting the Work Force
DFCCIL’s commitments in relation to prohibiting child and forced labor are outlined in the LMP. The minimum employment age for direct, contracted, and sub-contracted Project workers is 18 years. No issues related to child or forced labor have been reported by the third-party monitoring consultants.
Occupational Health and Safety
Occupational health and safety (OHS) risks and hazards are addressed in DFCCIL’s SHE Manual, the Project LMP, and the site safety plans developed by the contractors for EDFC II and EDFC III. DFCCIL has also developed Silicosis Reduction Strategies for construction activities to manage potential exposure of workers to fine silica.
Contractors are required to prepare monthly SHE reports including incident/accident statistics. As of August 2022, no reportable accident or fatality have occurred across EDFC II and EDFC III. Quarterly monitoring is undertaken by third-party consultants to review the implementation of the contractors’ site safety plans. Corrective actions are implemented as required to address OHS performance gaps.
DFCCIL and contractors have developed and implemented policies and procedures to manage risks associated with COVID-19 including hygiene and sanitation measures, processes for isolation, periodic screening, and sensitization campaigns for staff.
Project EMPs include measures for managing OHS risks during operations including provisions to prevent and manage workers’ exposure to train traffic, noise, vibration, hazardous substances, electric and magnetic fields, electrical hazards, and occupational hazards associated with maintenance activities. In addition, DFCCIL has developed an Operating Manual, an Accident Manual, and other operating documents in line with Ministry of Railways requirements. The ESMF to be developed by DFCCIL will cover OHS requirements consistent with ESS2/PS2.
Workers Engaged by Third Parties
As presented above, DFCCIL has ongoing contracts with various contractors to undertake civil works and support construction. Sub-contracted workers are supervised by their own supervisors and report to SHE and labor welfare officers deployed by the main contractors. Project contractors have procedures and plans consistent with DFCCIL’s SHE Manual, Indian regulations, and WB requirements in place. As indicated above, the grievance mechanisms for construction workers will be strengthened. The SEMU is responsible for overseeing the implementation of project plans and procedures and overall contractors’ E&S performance. Contractors are required to submit monthly reports to DFCCIL on their E&S performance in accordance with the metrics specified in the contracts. DFCCIL will continue to collaborate with contractors to implement corrective measures as needed to address any gaps with PS2 requirements identified during the quarterly third-party monitoring.
No significant risks associated with harmful child labor, forced labor or occupational health and safety in the Project’s supply chain have been identified. All Project suppliers are required to comply with local laws. In addition, the Project’s procurement process is conducted in line with WB standards.
PS3: Resource Efficiency and Pollution Prevention
Potential pollution issues during the Project’s construction phase are those typically associated with construction sites such as dust, noise, oil spills and waste. All these impacts are limited and temporary and can be mitigated with standard mitigation measures which are included in the Project EMPs. During operations, the main issues include noise, water and energy consumption, waste management and management of hazardous materials.
The largest volume of resources and materials will be consumed during the construction phase. Energy for the construction phase is supplied by the power grid and diesel/petrol generators. During operations, the energy supply will be drawn from the national grid; some solar power will also be used for the central control center.
The Project is expected to produce more than 25,000 tons of CO2-equivalent per year during operations. DFCCIL will be required to monitor and report greenhouse gas emissions to MIGA on an annual basis.
The Project involves the use of significant volumes of ballast and earth for tracks and other civil works. Borrow earth is obtained from borrow areas in line with the guidelines detailed in the EMPs. Mining licenses were obtained for the borrow areas where required and remediation is done in line with the EMPs. As of September 2022, 1,153 borrow areas have been utilized for EDFC II and 1,537 for EDFC III, with 2,375 closed across both phases.
During the construction phase, water is required for construction activities, dust suppression, drinking water and domestic purposes. Water for the EDFC project is sourced locally and water abstraction permits have been obtained from the local authorities as required. Project plans and procedures also reflect the measures to minimize water consumption.
During the construction phase, air emissions from the Project are primarily dust/particulates from land clearing and earth works as well as particulate matter, nitrogen oxides (NOx), carbon monoxide (CO) and sulfur dioxide (SO2) from the combustion of fuels. The air quality assessment in the environmental assessments for EDFC II and EDFC III indicated that there will be temporary limited impacts on sensitive receptors. Measures to minimize these impacts were identified in the Project EMPs and applicable national standards are reflected in the EMF. In addition, Project plans and procedures reflect appropriate measures for minimizing air pollution. Air quality monitoring zones have been identified across the EDFC project corridor; data is collected routinely and included in monitoring reports submitted by contractors. Measures to minimize dust emissions from transportation of goods during operations are included in EMPs and covered in operating procedures. The ESMF to be developed will reflect the air quality, water quality and noise standards indicated in the WBG General EHS Guidelines.
Noise pollution is expected from the Project during construction and operations. The baseline noise assessment conducted during the environmental assessment indicated that there were no major noise-emitting sources apart from the existing IR lines; sensitive receptors identified included schools and places of worship. Noise attenuation analysis in the environmental assessments revealed that noise from the Project sites during construction will on the average be 55dBA or less. Measures to minimize noise impacts have been identified in the EMPs and Project plans and procedures. Noise monitoring zones have been identified across the EDFC project corridor; noise data is collected routinely and included in monitoring reports submitted by contractors.
Existing background noise levels along the Project corridor are estimated to be above 60dBA and during operations, noise levels are predicted to be higher, with potential impacts on sensitive receptors. In line with the EMPs, sensitive receptors within the Project right-of-way were relocated. Attenuation measures (noise barriers) have been identified for other sensitive receptors within 100m of the rail tracks and construction is ongoing. The noise barriers are expected to achieve 10-15dBA reduction to comply with local noise regulations. At the minimum, the barriers are expected to keep the increase noise levels due to the Project to below 3dBA per WBG General EHS Guidelines.
Wastewater generation during construction is primarily from sanitary and domestic water use, and the operations of batching plants; provisions have been made for wastewater management in line with Project EMPs and applicable national water quality standards are reflected in the EMF. To manage potential impacts of stormwater runoff and water stagnation, stormwater from the train tracks is channeled through lined and unlined drains constructed along the embarkments as part of the Project. Groundwater and surface water monitoring is conducted across the corridor; data is collected routinely and included in monitoring reports submitted by contractors.
Construction waste such as concrete, plastics, domestic waste, inert waste (rubble, spoil), recyclables (plastics, paper, metals) and small quantities of oil-contaminated rags are sorted on the Project sites. Concrete waste and plastics are reused on sites or for small community projects and siteworks. Unused waste is collected by licensed waste collectors for recycling and disposal as appropriate. General waste generation during operations is expected to be minimal; wastes that cannot be reused will be disposed of by licensed waste contractors. As part of the WB ESCP for the RLP, DFCCIL has committed to developing and implementing a Waste Management Plan in line with the requirements of ESS3, which is consistent with PS3.
Hazardous materials for the construction of the EDFC project include fuels and lubricating oils. Petrol/diesel for generators is stored in above-ground storage tanks fitted with containment bunds and other measures identified in the Project EMPs have been implemented to minimize any impacts. Where possible, oils are reused on site for lubrication. Project EMPs and documents prepared for operations also cover provisions for managing hazardous wastes as well as transportation of hazardous goods.
PS4: Community Health, Safety and Security
Community Health and Safety
Community health and safety risks during construction of the railway corridor relate to dust, noise and vibration, safety of bystanders and communities close to the construction sites, as well as risks associated with the influx of migrant labor including communicable diseases and GBV.
Measures to minimize impacts on community health and safety are included in the EMPs for EDFC II and EDFC III, as well as plans and procedures developed by Project contractors. The SEMU is responsible for overseeing contractors’ performance against Project E&S requirements. Measures to enhance the management of labor influx and community traffic safety risks have been included in the WB ESCP.
An action plan to address issues related to GBV during construction was prepared in 2018 and is being implemented along the corridor. DFCCIL’s GBV awareness program includes sensitization sessions in local communities to raise awareness on GBV issues including domestic violence, discrimination on gender, harassment, and legal recourse procedures. Self-defense training sessions are also provided to women and girls. Female community members are provided with a helpline number in case of GBV incidents.
Awareness programs are conducted by DFCCIL and Project contractors (under CSR initiatives) in coordination with district authorities on HIV/AIDS for the communities in proximity of the corridor. During the COVID-19 pandemic, DFCCIL and contractors responded by adopting suitable measures for hygiene and workplace safety to control spread of the pandemic.
The Project design was completed in line with relevant Indian Standards (IS) and IR standards. Project monitoring consultants are responsible for verifying that the Project is constructed in line with design specifications as per IS and IR standards; checks are conducted as sections are completed and completion reports are shared with DFCCIL. At the end of construction, the Project will be inspected and certified by the Commissioner of Railway Safety.
Community health and safety issues during operations are expected to include general rail operational safety, fire safety, transport of dangerous goods, safety at level crossings and pedestrian safety. National rail safety is overseen by the Ministry of Railways; DFCCIL has developed an Operations Manual and an Accident Manual for operations in line with the requirements of the ministry, which amongst other aspects, cover emergency response and safe transportation of goods. Project EMPs also include measures for the management of operational safety in line with WBG EHS Guidelines. The construction of RUBs, ROBs, pedestrian overpasses, safety barriers including at level crossings, and overall implementation of the rail safety management system are expected to minimize impacts on community safety. For operational sections of the EDFC project, emergency response measures are implemented in coordination with local authorities as required. Safety audits are conducted to assess compliance with safety procedures; these audits will also be conducted for the MIGA Project.
Security during construction is provided by private third-party contractors, who are unarmed. In the ongoing contracts, no issues related to use of security personnel have been reported. During operations, security will be provided by the Railway Protection Force, a paramilitary organization whose employees are armed in line with local regulatory requirements. Measures to enhance security management during construction and operations phases of the Project have been included in the WB ESCP.
PS 5: Land Acquisition and Involuntary Resettlement
EDFC II covers the Kanpur to Deen Dayal Updadhyay (Mughalsarai) section, a 393 km double-track section that traverses seven districts and 373 villages in the state of Uttar Pradesh. The RoW width is 20-40 meters in the sections parallel to existing IR tracks, and 40-60 meters in the detour sections. EDFC III is a 401 km track between Khurja in Uttar Pradesh and Sahnewal (near Ludhiana) in Punjab; the track traverses 366 villages. The Project area is plain fertile irrigated land of the Ganga-Jamuna doab and agriculture is the dominant land use.
The EDFC corridor was designed along existing IR tracks to minimize impacts, with diversions in some sections to avoid densely populated cities. The total land required for EDFC II is estimated at approximately 1,500 hectares, including 1,310 hectares of private land and 189 hectares of government land. For EDFC III, the estimated land requirement is approximately 1,400 hectares, including 1229 hectares of private land and 153 hectares of government land. Land acquisition for the Project resulted in the physical and economic displacement of 56,304 PAPs – 37,464 for EDFC II and 18,840 for EDFC III.
The land acquisition and resettlement process for this Project was carried out under the Indian Railways Act, 1989. The compensation and resettlement were done as per the terms of the National Rehabilitation and Resettlement Policy, 2007 and the Land Acquisition Act, 1894 (now repealed). In 2013, the 1894 statute was replaced with the Right to Fair Compensation and Transparency in Land Acquisition and Resettlement and Rehabilitation Act (RFCTLAR&R Act). In addition, the requirements of WB’s OP 4.12: Involuntary Resettlement were applied to the resettlement process.
Resettlement and Livelihood Restoration
DFCCIL has a Resettlement Policy Framework (RPF) which was developed in March 2011 and updated in May 2015 and December 2018. Under the RPF, individual Resettlement Action Plans (RAPs) were developed for the three sections of the Project (Mughalsarai to Bhaupur, Sahnewal to Pilkhani and Pilkhani to Khurja) with Entitlement Matrices (EMs) documented in the RAPs. The land acquisition process started in 2013 and almost all the land required for the Project has been acquired. As indicated in the WB ESCP, DFCCIL has committed to updating the RPF to meet the requirements of the WB’s ESS5, which is materially consistent with MIGA PS5.
The EMs recognized various groups of PAPs, including titleholders, non-titleholders, and vulnerable PAPs, and identified the relevant compensation measures in line with applicable laws and WB standards. Physically displaced PAPs were entitled to resettlement compensation which included a construction grant, a displacement allowance, and transportation support. Economically displaced titleholders were entitled to compensation for land and assets, as well as livelihoods assistance and training or training grants. Economically displaced non-titleholders were entitled to compensation for assets, livelihoods assistance and training or training grants. Under the RFCTLAR&R Act, physically and economically displaced titleholders were entitled to additional resettlement and rehabilitation assistance. Additional measures were also identified for vulnerable PAPs and marginal farmers.
As of September 2022, over 90% of the PAPs had received compensation and most grievances raised by PAPs have been resolved by DFCCIL. In addition, there are pending arbitration and court cases filed by PAPs. Delays in compensation have been attributed to inadequate documentation, untraceable PAPs, and the recent COVID-19 pandemic.
Over the years, gaps identified in the implementation of the resettlement process were articulated in a social rectification plan, the implementation of which is monitored by the WB. Following the audit and gap analysis conducted for the RLP project, the outstanding items from the social rectification plan have been incorporated into the CAP. In addition, a completion audit will be conducted per the WB ESCP. This process is designed to address any gaps in the implementation of the previous EMs with respect to national laws and WB OP 4.12.
PS6: Biodiversity Conservation and Sustainable Management of Living Natural Resources
The MIGA Project corridor cuts across the states of Uttar Pradesh, Punjab and Haryana. A significant portion of the corridor runs along existing IR tracks, with diversions to avoid densely populated areas. There are no legally protected sites or key biodiversity areas in the Project area of influence. No designated conservation areas were impacted by the diversions. The Project is not expected to have adverse impacts on any significant biodiversity values.
Potential Project impacts on biodiversity mainly relate to the loss of modified habitat due to land clearance during construction. Replanting along the Project RoW (‘green belt’) is undertaken by the Project contractors and monitored by the Project monitoring consultants on behalf of DFCCIL. Permits for diversions into forest land and tree felling were obtained from the local authorities. For EDFC II, the diversion into forest land amounted to approximately 3.5 hectares and for EDFC III, the total diversion is approximated as 277 hectares. Replanting is required under local laws and has been undertaken along the corridor by the respective state forest departments.
Measures for the management of vegetation growth during operations have been included in the Project EMPs. In addition, under the WB ESCP, DFCCIL has committed to developing a Biodiversity Management Strategy and a Biodiversity Management Plan which meet the requirements of ESS6, as part of the ESMF for new activities on the EDFC corridor.
PS8: Cultural Heritage
The Project construction impacted more than a hundred tangible cultural heritage sites, such as temples, mosques, shrines, and cremation sites. The sites were identified during the EA process under common property resources. Mitigation measures for the loss of access to and relocation of these sites were covered in the Project RAPs. Relocation was done in consultation with relevant stakeholders, including local communities.
Existing chance find procedures are in line with the requirements of national legislation. Contractors are required to consult the Archaeological Survey of India and the National Monuments Authority to seek ways to avoid, minimize or mitigate adverse impacts on archaeological and historical sites discovered during construction. Under the WB ESCP, DFCCIL has committed to developing a Cultural Heritage Management Strategy and a Cultural Heritage Management Plan as part of the ESMF for new activities.
The above listed documentation is available electronically as a PDF attachment to this ESRS at www.miga.org.
Local Access of Project Documentation:
Contact Person: ED/Infra-II
Company Name: DFCCIL
Address: 5th Floor, Supreme Court Metro Station Building Complex, New Delhi, 110001
Phone: 91 - 11 - 23454890
MIGA supports its clients (as defined in MIGA Policy on Environmental and Social Sustainability) in addressing environmental and social issues arising from their business activities by requiring them to set up and administer appropriate grievance mechanisms and/or procedures to address complaints from Affected Communities.
In addition, Affected Communities have unrestricted access to the Compliance Advisor/Ombudsman (CAO), the independent accountability mechanism for MIGA. The CAO is mandated to address complaints from people affected by MIGA-guaranteed business activities in a manner that is fair, objective, and constructive, with the goal of improving environmental and social project outcomes and fostering greater public accountability of MIGA.
Independent of MIGA management and reporting directly to the World Bank Group President, the CAO works to resolve complaints using a flexible, problem-solving approach through its dispute resolution arm and oversees project-level audits of MIGA’s environmental and social performance through its compliance arm.
Complaints may relate to any aspect of MIGA-guaranteed business activities that is within the mandate of the CAO. They can be made by any individual, group, community, entity, or other party affected or likely to be affected by the environmental or social impacts of a MIGA-guaranteed business activity. Complaints can be submitted to the CAO in writing to the address below:
Compliance Advisor Ombudsman
2121 Pennsylvania Avenue NW
Washington, DC 20433 USA
Tel: 1 202 458 1973
Fax: 1 202 522 7400