CAO Cases

Arne Hoel, The World Bank

South Asia

India / Tata Ultra Mega-02/Tragadi Village

Complainant
Local residents of Tragadi
Date Filed
April 27, 2016
Concerns
Access to water resources, loss of livelihoods, impacts to fish and natural habitats, and use of security forces.
Case Status
Open - Compliance
 

Synopsis

Complaint

Coastal Gujarat Power Limited (CGPL or the company) is building, and will operate a 4,000MW ‘ultra mega’ imported coal and supercritical technology based power plant at the port city of Mundra in the state of Gujarat in India. The project will source imported coal from mines of Indonesia and other countries.  IFC’s is investing in the project through an A Loan of US$450 million.

 

In April 2016, CAO received a complaint filed by local residents of Tragadi village raising concerns about the outfall channel connected to the CGPL project. The complaint raises concerns about the impacts of the channel on the environment and local fishermen’s livelihoods, including limited access to water resources, coastal erosion, and damage to fish stocks and natural habitats. The complainants also raise issues regarding the use of security forces and their interaction with local populations, as well as unfulfilled social and environmental commitments.

 

CAO Action

CAO found the complaint eligible for further assessment in May 2016 and initiated an assessment of the complaint. The Complainants and CGPL did not agree to participate in a CAO-facilitated dispute resolution process. Given the voluntary principle guiding participation in a CAO dispute resolution process, and in accordance with CAO’s Operational Guidelines, the complaint was transferred to CAO Compliance for appraisal of IFC’s environmental and social due diligence of the project.

 

CAO’s compliance appraisal, published in September 2017, noted that the CGPL-02 complaint raises questions as to IFC’s application of its E&S requirements to the project. As CAO’s ongoing compliance monitoring process of IFC’s response to the CGPL-01 audit addresses substantially similar compliance issues, CAO decided to merge the two cases for ongoing monitoring. 

 

Status

CAO expects to publish its next monitoring report no later than February 2018.


Status as of Sept 29, 2017

 


Project information

Institution
IFC
Project Name & Number
Tata Ultra Mega 25797
Department
Infrastructure
Company
Coastal Gujarat Power Limited
Sector
Power
Region
South Asia
Country
India
Environmental Category
A
Commitment
$450 mil A loan

Case Tracker

Ombudsman

  • Eligible: Completed
  • Assessment Period: Completed

Compliance

  • Under Appraisal: Completed
  • Monitoring: In Process