To support the increased use of natural gas in Hong Kong from 2020 onwards, Castle Peak Power Company Limited (CAPCO) and The Hongkong Electric Co., Ltd. (HK Electric) have identified that the development of an offshore liquefied natural gas (LNG) receiving terminal in Hong Kong using Floating Storage and Regasification Unit (FSRU) technology (‘the Project’) presents a viable additional gas supply option that will provide energy security through access to competitive gas supplies from world markets. The Project will involve the construction and operation of an offshore LNG import facility to be located in the southern waters of Hong Kong, a double berth jetty, and subsea pipelines that connect to the gas receiving stations (GRS) at the Black Point Power Station (BPPS) and the Lamma Power Station (LPS). To demarcate the works between different parties, the following Further Environmental Permits (FEPs) were issued for the Project:

§ the double berth jetty at LNG Terminal under the Hong Kong LNG Terminal Limited (HKLTL), joint venture between CAPCO and HK Electric (FEP-01/558/2018/A) – construction commenced on 27 November 2020;

§ the subsea gas pipeline for the BPPS and the associated GRS in the BPPS under CAPCO (FEP-03/558/2018/B) – construction commenced on 23 September 2020; and

§ the subsea gas pipeline for the LPS and the associated GRS in the LPS under HK Electric (FEP-02/558/2018/A) – construction commenced on 13 December 2020.

This is the Monthly EM&A Report presenting the EM&A works carried out during the period from 1 to 30 June 2022 for the Project in accordance with the Updated EM&A Manual. A summary of monitoring and audit activities conducted in the reporting period is listed below:

Activities	Number of Sessions
*For FEP-01/558/2018/A*
Environmental Site Inspection	2
*For FEP-02/558/2018/A*
Environmental Site Inspection	2
*For FEP-03/558/2018/B*
Environmental Site Inspection	2

Environmental auditing works, including regular site inspections of construction works conducted by the ET, audit of implementation of Waste Management Plan, and review of the acceptability of operating speeds and marine travel routes of working vessels, checking of compliance with the approval conditions given by the Director of Environmental Protection for the entry of working vessels within marine parks in pursuant to Condition 3.1 of FEP-01/558/2018/A, Condition 3.4 of FEP-02/558/2018/A and Condition 3.4 of FEP-03/558/2018/B, were conducted in the reporting period, as appropriate. No non-compliance of environmental statutory requirements was identified.

Breaches of Action and Limit Levels

No marine water quality monitoring was conducted in the reporting period and hence there were no breaches of Action and Limit Levels for marine water quality monitoring in the reporting period.

Since construction phase marine mammal monitoring was completed in November 2021, there were no breaches of Action and Limit Levels for marine mammal monitoring in the reporting period.

Environmental Complaints, Notification of Summons and Successful Prosecution

There were no environmental complaints, notification of summons and successful prosecutions recorded in the reporting period.

Reporting Changes

There were no reporting changes in the reporting period.

Forecast of Impact Predictions

As informed by the Contractor, construction activities to be undertaken in the next reporting period of July 2022 include the following:

FEP	Land-based Works	Marine-based Works
FEP-01/558/2018/A	§ Topside installation works § Piping installation works § System Commissioning	§ Nil
FEP-02/558/2018/A	§ Nil	§ Rock armour placement § Final Hydrotest
FEP-03/558/2018/B	§ System Commissioning § Backfilling	§ Post-trenching § Rock Armour Placing

Potential environmental impacts arising from the above upcoming construction activities in the next reporting period of July 2022 are mainly associated with dust emission from construction activities and stockpiles, waste management, site surface runoff, wastewater discharge, and elevation in suspended solids and disturbance to marine mammals due to marine-based works.

1. Introduction

1.1 Background

The Environmental Impact Assessment (EIA) Report for the Project was submitted to the Environmental Protection Department (EPD) of the HKSAR Government in May 2018. The EIA Report (EIAO Register No. AEIAR-218/2018) was approved by EPD and the associated Environmental Permit (EP) (EP-558/2018) was issued in October 2018.

An application for Further Environmental Permits (FEP) were made on 24 December 2019 to demarcate the works between the different parties. The following FEPs were issued on 17 January 2020 and the EP under EP-558/2018 was surrendered on 5 March 2020.

§ the double berth jetty at LNG Terminal under the Hong Kong LNG Terminal Limited (HKLTL), joint venture between CAPCO and HK Electric (FEP-01/558/2018/A) ([1])– construction commenced on 27 November 2020;

§ the subsea gas pipeline for the BPPS and the associated GRS in the BPPS under CAPCO (FEP-03/558/2018/B) ([2]) – construction commenced on 23 September 2020; and

§ the subsea gas pipeline for the LPS and the associated GRS in the LPS under HK Electric (FEP-02/558/2018/A) ([3]) – construction commenced on 13 December 2020.

The location of these components is shown in Figures 1.1, 1.2 and 1.3.

1.2 Scope of the EM&A Report

This is the Monthly EM&A Report for the Project which summarises the key findings of the EM&A programme during the reporting period from 1 to 30 June 2022 for the construction works for the Project in accordance with the Updated EM&A Manual and the requirements of the Further Environmental Permits (FEP-01/558/2018/A, FEP-02/558/2018/A & FEP-03/558/2018/B).

1.3 Organisation Structure

The organisation structure of the Project is shown in Annex A. The key personnel and contact details are summarised in Table 1.1 below.

Table 1.1 Contact Information of Key Personnel

Party	Position	Name	Telephone
CAPCO / HKLTL (For FEP-01/558/2018/A and FEP-03/558/2018/B)	Senior Environmental Manager	Karen Lui	2678 8282
HK Electric / HKLTL (For FEP-01/558/2018/A and FEP-02/558/2018/A)	Head of Mechanical Engineering, Projects Division	Norman Chan	3143 3819
Environmental Team (ET) (ERM-Hong Kong, Limited)	ET Leader	Raymond Chow	2271 3281
Independent Environmental Checker (IEC) (Mott MacDonald Hong Kong Limited)	IEC	Lydia Chak	2585 8473
Contractor (CNOOC Offshore Oil Engineering Co. Ltd.)	Environmental Manager	H Y Tang	6111 5789
Contractor (CNOOC Offshore Oil Engineering Co. Ltd.)	Environmental Officer	Kelvin Cheung	9060 1020

1.4 Summary of Construction Activities

The programme of the construction is shown in Annex B .

As informed by the Contractor, details of the major construction activities undertaken in the reporting period are listed in Table 1.2 below:

Table 1.2 Major Construction Activities Undertaken in the Reporting Period

FEP	Land-based Works	Marine-based Works
FEP-01/558/2018/A	§ Topside installation works § Piping installation works	§ Nil
FEP-02/558/2018/A	§ Nil	§ Rock armour placement
FEP-03/558/2018/B	§ Piping installation works § Telecommunication installation works § Backfilling § System Commissioning	§ Rock armour placement

The environmental mitigation implementation schedule (EMIS) is presented in Annex C.

1.5 Summary of EM&A Programme Requirements

The status of EM&A Programme for all environmental aspects required under the Updated EM&A Manual are presented in Table 1.3. The requirements of relevant environmental monitoring, including monitoring parameters, Action and Limit Levels, Event and Action Plan(s), environmental mitigation measures, etc. are presented in Section 2.

Table 1.3 Summary of Status for the EM&A Programme under the Updated EM&A Manual

Aspects	Relevant FEP(s)	Status
Water Quality
Baseline Monitoring	FEP-01/558/2018/A FEP-02/558/2018/A FEP-03/558/2018/B	§ Completed
Efficiency of Silt Curtain System	FEP-02/558/2018/A FEP-03/558/2018/B	§ Completed for cage-type silt curtain for dredging operation (under FEP-02/558/2018/A and FEP-03/558/2018/B) § Completed for cage-type silt curtain for jetting operation (under FEP-02/558/2018/Aand FEP-03/558/2018/B) § Completed for floating silt curtain for jetting operation (under FEP-02/558/2018/Aand FEP-03/558/2018/B)
Construction Phase Monitoring	FEP-02/558/2018/A FEP-03/558/2018/B	§ Completed for FEP-02/558/2018/A § On-going for dredging / jetting operations for FEP-03/558/2018/B
Post-Construction Monitoring	FEP-02/558/2018/A FEP-03/558/2018/B	§ To be implemented upon completion of construction works for the Project
Monitoring for Hydrotesting for the Subsea Gas Pipelines	FEP-02/558/2018/A FEP-03/558/2018/B	§ To be implemented during hydrotesting for the subsea gas pipelines
First-year of LNG Terminal Operation	FEP-01/558/2018/A	§ To be implemented during LNG Terminal operation
Maintenance Dredging	FEP-01/558/2018/A	§ To be implemented during maintenance dredging
Waste Management
Audit of Waste Management Practice	FEP-01/558/2018/A FEP-02/558/2018/A FEP-03/558/2018/B	§ On-going
Ecology
Baseline Monitoring (Vessel-based Line Transect Survey and Passive Acoustic Monitoring)	FEP-01/558/2018/A	§ Completed
Construction Phase Monitoring (Vessel-based Line Transect Survey and Passive Acoustic Monitoring)	FEP-01/558/2018/A	§ Completed
Post-Construction Monitoring (Vessel-based Line Transect Survey and Passive Acoustic Monitoring)	FEP-01/558/2018/A	§ To be conducted during post-construction phase
Marine Mammal Exclusion Zone Monitoring	FEP-01/558/2018/A FEP-02/558/2018/A FEP-03/558/2018/B	§ Completed for FEP-01/558/2018/A (marine mammal exclusion zone with 500m radius) and FEP-02/558/2018/A (marine mammal exclusion zone with 250m radius) § On-going for marine dredging / jetting operations for FEP-03/558/2018/B (marine mammal exclusion zone with 250m radius)
Environmental Site Inspection
Regular Site Inspection	FEP-01/558/2018/A FEP-02/558/2018/A FEP-03/558/2018/B	§ On-going
Records of Operating Speeds and Marine Travel Routes for Working Vessels	FEP-01/558/2018/A FEP-02/558/2018/A FEP-03/558/2018/B	§ On-going
Environmental Log Book	FEP-01/558/2018/A FEP-02/558/2018/A FEP-03/558/2018/B	§ On-going

1.6 Status of Other Statutory Environmental Requirements

The environmental licenses and permits, including further environmental permits, registration as chemical waste producer, construction noise permits, wastewater discharge license, marine dumping permits, etc., which were valid in the reporting period are presented in Annex D. No non-compliance with environmental statutory requirements was identified.

2. EM&A Results

The EM&A programme for the Project required environmental monitoring for marine water quality and marine mammals as well as environmental site inspections for air quality, construction noise, water quality, waste management, marine ecology, landscape and visual, and hazard to life impacts. As no dredging / jetting operations were conducted in the reporting period, marine water quality monitoring and marine mammal exclusion zone monitoring were not scheduled to be undertaken in the reporting period. Environmental site inspections and audit on waste management practice were conducted in the reporting period, and the findings are presented below.

2.1 Environmental Site Inspection

Regular environmental site inspections were carried out with the Contractor and Project Proponents to confirm the implementation of appropriate environmental protection and pollution control mitigation measures for air quality, construction noise, water quality, waste management, marine ecology, landscape and visual, and hazard to life impacts under the Project. In the reporting period, six (6) sessions of environmental site inspection were carried out for the review on the mitigation measures implemented on 1, 7, 16, 22 and 28 June 2022. The Independent Environmental Checker (IEC) attended the environmental site inspections as the IEC audits on 1, 16 and 22 June 2022 during the reporting period. The environmental protection and pollution control mitigation measures were implemented properly. The key observations from site inspections and Contractor’s follow-up actions are summarised in Table 2.1. The environmental mitigation implementation schedule (EMIS) is presented in Annex C.

Table 2.1 Key Observations from Site Inspections and Contractor’s Follow-up Actions

Item	Description	Contractor’s Follow-up Action(s) Taken
*FEP-01/558/2018/A*
1	Emission of dark smoke from the exhausts of working vessel, Qi Ye 6, was observed. The Contractor was reminded to maintain all plants and/or equipment in a good condition.	Maintenance was conducted and no dark smoke was observed after maintenance work.
*FEP-02/558/2018/A*
-	Nil	N/A
*FEP-03/558/2018/B*
-	Nil	N/A

2.2 Waste Management Status

Waste management audits were performed with reference to the Waste Management Checklists for the corresponding Waste Management Plans detailed in Annex E during the regular environmental site inspections carried out in the reporting period. No non-compliance for Contractor’s waste management practices was identified during the audits.

The quantities of different types of waste generated and dredged marine sediment for the three FEPs are summarised in Tables 2.2, 2.3 and 2.4 with reference to the waste flow tables prepared by the Contractor. General refuse was generated under FEP-01/558/2018/A, and general refuse and inert C&D materials (public fill) were generated under FEP-03/558/2018/B in the reporting period. Detailed waste flow tables are presented in Annex F.

Table 2.2 Quantities of Waste Generated for FEP-01/558/2018/A

Inert C&D Materials Generated (in ‘000kg)
Month/Year	Total Quantity Generated		Hard Rock and Large Broken Concrete		Reused in the Contract		Reused in other Projects	Disposed as Public Fill		Imported Fill
June 2022	0		0		0		0	0		0
C&D Wastes Generated
Month/Year	Metals (in ‘000kg³)	Paper / Cardboard Packaging (in ‘000kg³)		Plastics (in ‘000kg³)		Chemical Waste					Other (e.g. general refuse) (in ‘000kg)
						(in ‘000kg³)			(in ‘000L)
June 2022	0	0		0		0			0		33.04

Table 2.3 Quantities of Waste Generated and Dredged Marine Sediment for FEP-02/558/2018/A

Inert C&D Materials Generated (in ‘000kg)

Month/Year

Total Quantity Generated

Hard Rock and Large Broken Concrete

Reused in the Contract

Reused in other Projects

Disposed as Public Fill

Imported Fill

June 2022

C&D Wastes Generated

Month/Year

Metals

(in ‘000kg³)

Paper / Cardboard Packaging

(in ‘000kg³)

Plastics

(in ‘000kg³)

Chemical Waste

Other (e.g. general refuse)

(in ‘000kg)

(in ‘000kg³)

(in ‘000L)

June 2022

Marine Sediment Generated (in ‘000m³)

Month/Year

Total Quantity of Type L Generated

Total Quantity of Type M Generated

Reused in the Contract

Reused in other Projects

Open Sea Disposal

June 2022

Table 2.4 Quantities of Waste Generated and Dredged Marine Sediment for FEP-03/558/2018/B

Inert C&D Materials Generated (in ‘000kg)

Month/Year

Total Quantity Generated

Hard Rock and Large Broken Concrete

Reused in the Contract

Reused in other Projects

Disposed as Public Fill

Imported Fill

June 2022

10.85

C&D Wastes Generated

Month/Year

Metals

(in ‘000kg³)

Paper / Cardboard Packaging

(in ‘000kg³)

Plastics

(in ‘000kg³)

Chemical Waste

Other (e.g. general refuse)

(in ‘000kg)

(in ‘000kg³)

(in ‘000L)

June 2022

22.41

Marine Sediment Generated (in ‘000m³)

Month/Year

Total Quantity of Type L Generated

Total Quantity of Type M Generated

Reused in the Contract

Reused in other Projects

Open Sea Disposal

June 2022

2.3 Records of Operating Speeds and Marine Travel Routes of Working Vessels

The operating speeds and marine travel routes of working vessels for construction of the Project within the reporting period were checked and reviewed. A total of 18 working vessels were used for construction of the BPPS Pipeline and the LPS Pipeline under FEP-03/558/2018/B and FEP-02/558/2018/A, respectively, and for construction of the Jetty under FEP-01/558/2018/A during the reporting period. All these working vessels were operated at a speed lower than 10 knots when moving within the areas frequented by marine mammals, including the waters near Sha Chau and Lung Kwu Chau Marine Park, the waters at the west of Lantau Island and the waters between Soko Islands and Shek Kwu Chau, and followed the relevant marine travel requirements stipulated in the FEPs. No non-compliance on the operating speeds and marine travel routes of working vessels was identified. Records of operating speeds and marine travel routes of working vessels for construction of the Project provided by the Contractor are presented in Annex I.

The compliance status on approval conditions given by the Director of Environmental Protection for the entry of working vessels (i.e. anchor handling tugs (AHTs)) within marine parks in pursuant to Condition 3.1 of FEP-01/558/2018/A for anchoring activities for construction of the Jetty, Condition 3.4 of FEP-02/558/2018/A and Condition 3.4 of FEP-03/558/2018/B for anchoring activities for pipelaying and/or post-trenching processes for construction of LPS and BPPS Pipelines, respectively, as appropriate within the reporting period was checked. No non-compliance on the approval conditions was identified. Records provided by the Contractor showed that no entry events of working vessels within marine parks for construction of the Project were observed.

2.4 Implementation Status of Environmental Mitigation Measures

A summary of the Environmental Mitigation Implementation Schedule (EMIS) is presented in Annex C. The necessary mitigation measures were implemented properly for the Project.

2.5 Summary of Exceedances of the Environmental Quality Performance Limit

No marine water quality monitoring was conducted in the reporting period and hence there were no breaches of Action and Limit Levels for marine water quality monitoring in the reporting period.

Since construction phase marine mammal monitoring was completed in November 2021, there were no breaches of Action and Limit Levels for marine mammal monitoring in the reporting period.

Cumulative statistics on exceedance is provided in Annex G.

2.6 Summary of Environmental Complaints, Notification of Summons and Successful Prosecutions

There were no environmental complaints, notification of summons and successful prosecutions recorded in the reporting period.

Statistics on environmental complaints, notification of summons and successful prosecutions are summarised in Annex G.

3. Forecast for the Next Reporting period

3.1 Works Programme for the Next Reporting Period

Construction activities to be undertaken in the next reporting period of July 2022 are summarised in Table 3.1 below, together with the key issues:

Table 3.1 Major Construction Activities for the Next Reporting Period

Activities	Key Issues
Under FEP-01/558/2018/A
Land-based Works
§ Piping installation works § Topsides installation works § System Commissioning	§ Dust emission from construction activities § Waste management

Marine-based Works
§ Nil	§ N/A
Under FEP-02/558/2018/A
Land-based Works
§ Nil	§ N/A
Marine-based Works
§ Rock armour placement § Final Hydrotest	§ Elevation of suspended solids § Disturbance to marine mammals
Under FEP-03/558/2018/B
Land-based Works
§ System Commissioning § Backfilling	§ Dust emission from construction activities and stockpiles § Waste management § Site surface runoff and wastewater discharge
Marine-based Works
§ Post-trenching § Rock armour placement	§ Elevation of suspended solids § Disturbance to marine mammals

The ET will keep track on the construction activities to confirm compliance of environmental requirements and the proper implementation of all necessary mitigation measures.

3.2 Monitoring Schedule for the Next Reporting Period

The tentative schedule for marine water quality monitoring is provided in Annex H.

4. Conclusion and Recommendations

This Monthly EM&A Report presents the key findings of the EM&A works during the reporting period from 1 to 30 June 2022 for the construction works for the Project in accordance with the Updated EM&A Manual and the requirements of the Further Environmental Permits (FEP-01/558/2018/A, FEP-02/558/2018/A & FEP-03/558/2018/B).

Environmental auditing works, including regular site inspections of construction works conducted by the ET, audit of implementation of Waste Management Plan, and review of the acceptability of operating speeds and marine travel routes of working vessels, checking of compliance with the approval conditions given by EPD for allowing the entry of working vessels within marine parks in pursuant to Condition 3.1 of FEP-01/558/2018/A, Condition 3.4 of FEP-02/558/2018/A and Condition 3.4 of FEP-03/558/2018/B, were conducted in the reporting period, as appropriate. No non-compliance of environmental statutory requirements was identified.

No marine water quality monitoring was conducted in the reporting period and hence there were no breaches of Action and Limit Levels for marine water quality monitoring in the reporting period.

Since construction phase marine mammal monitoring was completed in November 2021, there were no breaches of Action and Limit Levels were recorded.

There were no environmental complaints, notification of summons and successful prosecutions recorded in the reporting period.

The ET will keep track on the construction works to confirm compliance of environmental requirements and the proper implementation of all necessary mitigation measures.

([1]) Application for variation of an environmental permit for FEP-01/558/2018 was undertaken and the latest FEP (FEP-01/558/2018/A) was issued on 6 November 2020.

([2]) Application for variation of an environmental permit for FEP-03/558/2018/A was undertaken and the latest FEP (FEP-03/558/2018/B) was issued on 25 August 2021.

([3]) Application for variation of an environmental permit for FEP-02/558/2018 was undertaken and the latest FEP (FEP-02/558/2018/A) was issued on 22 December 2020.