Compliance Advisor Ombudsman

Complaint

The Chad-Cameroon Petroleum Development and Pipeline Project involved the construction of a 1070 km pipeline to transport crude oil from three fields in southwestern Chad to a floating facility 11 km off the Cameroon coast.  The International Finance Corporation’s investment consisted of a $100 million loan for its own account and a $100 million loan syndicated to over 15 commercial banks.  IFC's loan to the project remains in place and IFC continues to monitor the environmental and social performance of the project.

In May 2011, four Cameroonian organizations, filed a complaint with the CAO on behalf of several local community members who believe they have been affected by the project.  The complaint voices concerns about the rise in HIV/AIDS after the laying of the pipeline, inadequate compensation packages, loss of livelihoods among fishermen, inappropriate waste management, work-related accidents and compensation, and the displacement of and improper compensation to an indigenous community, among others.  The complainants and those they have the authority to represent are located on the Cameroonian side of the project, and their concerns relate to the Cameroonian Sponsor of the project, the Cameroon Oil Transportation Company – COTCO.

CAO Action
The CAO found the complaint eligible for further assessment in June 2011.  An Ombudsman team traveled to the field to conduct an assessment of the issues in July and August 2011, and returned to Cameroon in November 2011 to discuss options for designing a collaborative process with the parties.  

Status
The dispute resolution process is ongoing. Capacity building sessions are being conducted to strengthen the tripartite platform. A mediation process between COTCO and fishermen from Kribi area has commenced, and CAO is working with the parties to explore options for dialogue with the community members concerned about waste management and the company. CAO is monitoring full implementation of agreements regarding the individual cases.

Updated: April 1, 2013