3rd ELD Stakeholder Workshop Case presentations: Poland. Paweł Holnicki-Szulc Head of Specialty Lines, East Zone EMEA Brussels, November 26h 2014

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1 3rd ELD Stakeholder Workshop Case presentations: Poland Paweł Holnicki-Szulc Head of Specialty Lines, East Zone EMEA Brussels, November 26h 2014

2 ELD legal framework - Poland ELD transposition - The Prevention and Remedying of Environmental Damage Act of 13 April 2007 (Official Journal of 2007 no. 75 item 493) Ministry of Environment regulation of 26 February 2008 on the register of the imminent threats to the environment and environmental damages (Official Journal of 2008 no. 39 item 233) Ministry of Environment regulation of 30 April 2008 on the criteria for assessing whether any damage to the environment has occurred (Official Journal of 2008 no. 82 item 501) Ministry of Environment regulation of 4 June 2008 on types of remediation activities and the conditions of their implementation (Official Journal of 2008 no. 103 item 664) but also legal framework for historical contaminations (occurred before April 30th 2007) based on Environmental Protection Law Act (revised in July 2014) 2

3 ELD transposition key features- Poland ELD transposition through standalone legal act effective April 30th clear cut-off date Principle of prevention and remediation Strict liability: ELD Annex III+ activities that require a permit to introduce gases or dust into the atmosphere Strict soil quality standards for land damages Any person can submit a notification to a competent authorities (concerning an imminent treat or actual environmental damage) Permit and state of the art defenses are not allowed No financial assurance (security) requirements, except landfills operators (Waste Management Act) Duty to carry out remedial measures by competent authorities Direct public access to ELD notifications and decisions issued by competent authorities information transparency 3

4 Example of decision issued by competent authorities - Poland 4

5 ELD notifications in Poland There were 70 notifications of imminent threats and damages to the environment in Poland / concerned surface of land; 9 concerned biodiversity (6 protected species; 3 protected natural habitats); 3 concerned waters Numbers from previous years (in the register): notifications notifications notifications The total number of all notification from individuals and NGO much higher e.g 364 notifications in 2010 protected spieces 9% POLAND - 70 notification of imminent threats and damages to the environment protected natural habitats 4% water 4% surface of land 83% Source: 5

6 Environmental damage - complexity Source: Gazeta Olsztynska, TVP Info 2011/2013 6

7 Environmental damage - complexity Source: Regionalna Dyrekcja Ochrony Środowiska w Olsztynie,

8 Environmental damage - complexity January 13th 2012 rail accident at railway siding Human s error led to rail tanks collision and the leakage of 58 m3 of diesel oil 31 m3 were rescued but 27m3 seeped into the ground 600 tons of soil required remediation Challenges: Remediation works needed to be carried out in stages first stage is expected to be finished till 2016, Expensive methodology applied due to limited access to soil benefit the rail track High monitoring costs - certified laboratories only High attention from local community claims (property/ health) but also diminishing of real estates value Complexity of administrative procedures, legal permissions to access individual property, planning permissions for cutting down the trees etc. Estimated total costs in excess of 2M Euro 8

9 Environmental damage - complexity Source: Regionalna Dyrekcja Ochrony Środowiska w Olsztynie,

10 Environmental damage - complexity Source: Regionalna Dyrekcja Ochrony Środowiska w Olsztynie,

11 Environmental damage - biodiversity 11

12 Environmental damage - biodiversity Environmental damage is the result of the renovation work of the bridge Cłowy in Szczecin. Nests with baby birds were dropped into the water. On 15 July 2009 NGO s had notified to the competent authority the environmental damage (notification of the environmental damage). In connection with the renovation of the bridge investor destroyed 320 swallow s nests. Works conducted by the investor had significant negative impact on the appropriate conservation status of these species and their habitats Users of the environment were both the investor (works supervision) and contractor On 17 February 2012 competent authority (RDOS) issued a decision imposing to the investor and contractor obligation to undertake remedial measures involving assembling of artificial nests and situation rugged plaster on the elements of the bridge. On 6 march 2012 investor appeals against a decision competent authority. As a result of the court proceedings complaint was dismissed. 12

13 Environmental damage - biodiversity Source 13

14 Environmental damage - biodiversity 14

15 Environmental damage - biodiversity On January 7th 2008 NGOs notification to the competent authority the imminent threat of environmental damage and environmental damage The area covered by the investment is located within Sites of Community Importance - Natura designated Special Protection Areas of Habitats Natura 2000 Torfowiska Gór Izerskich and Special Protection Areas of Birds Natura 2000 Góry Izerskie. Investment caused the destruction and damage to the habitat of the black grouse and their decrease in the area around the investment and worsening possibility of reproduction of the specie On 10 July 2012 Regional Director for Environmental Protection in Wrocław issued a decision imposing to investor an obligation to take preventive and remedial measures. Authority identifies in decision a number of preventive and remedial measures: restriction of decrease of black grouse due to reconstruct local population Individuals from the breeding; the reduction of predators (foxes, raccoon dogs); security of refuge of black grouse; the protection of individual components of the environment. 15

16 State Fire Service interventions in 2010/ Poland YEAR Intervention category Wind Flood/ rising water Snow Heavy rain Chemical Ecological Construction Community facilities Road transport Rail transport Air transport Water area Source: Information bulletin of State Fire Service

17 AIG is the marketing name for the worldwide property-casualty, life and retirement, and general insurance operations of American International Group, Inc. Products and services are written or provided by subsidiaries or affiliates of American International Group, Inc. Not all products and services are available in every jurisdiction, and insurance coverage is governed by actual policy language. Certain products and services may be provided by independent third parties. Insurance products may be distributed through affiliated or unaffiliated entities. Certain property-casualty coverages may be provided by a surplus lines insurer. Surplus lines insurers do not generally participate in state guaranty funds and insureds are therefore not protected by such funds.