Environmental Assessment
Volume C-5.1
Slurry Pipeline
Socioeconomics
Ambatovy Project
169
January 2006
5.1.2
Impact Assessment
5.1.2.1 Economic Opportunities
As for all project sites, consultation results indicate that economic opportunities
created by the pipeline are of greatest interest to people. It is the project’s policy
to maximize local employment and procurement and to provide training. The
construction and operations of the pipeline, compared to the other project areas
require fewer staff and short term employment. Impact mitigation and benefit
enhancement measures are summarized in Table 5.1-1.
Employment
As elsewhere in the rural economy of Madagascar, there are challenges to hiring
many of the required construction workers from settlements along the pipeline
route. The remoteness of pipeline settlements means that job experience and
educational achievement are lower than in other areas potentially affected by the
project. The pipeline construction process has skill and health and safety
requirements that will make it difficult to employ many people with limited
education. As well, given only a short presence of construction crews along any
given stretch of pipeline, and a tight schedule, there will be limited training
opportunities for local people.
Total labour requirements during construction for the pipeline would be around
800 people of which, about 345 would be local. Employment of local people
would mainly be in support of construction activities, and of reclamation
activities.
The workforce requirement for the operations phase is very small and only
occasional. There may be some monitoring for pipeline integrity at irregular
intervals, for example after extreme weather events, as preventive maintenance.
The potential impacts of employment overall are considered to be of low magnitude,
positive, short term, and of low consequence, although of high consequence for those
individuals and their families who are able to directly benefit.
Business
The remoteness and rural nature of the local economies along the pipeline route
suggest that any business benefits will be minimal. While temporary construction
camps may offer some support to local business for occasional daily needs of
workers, virtually all construction supplies, accommodation and food will be
carried in.
