Compliance Advisor Ombudsman

Project Overview 

IFC has an active project with Karot Power Company Limited (KPCL), a special-purpose vehicle incorporated in Pakistan and majority owned by China Three Gorges South Asia Investment Limited (CSAIL). The project involves providing a long-term corporate loan facility of up to US$100 million to support the construction, operation and maintenance of a 720MW run-of-the-river hydropower plant being developed on the Jhelum River, in Pakistan. 

Complaint 

The complaint was submitted to CAO by a former employee of the Karot project. The complaint raises concerns about lack of payment of exit wages, as well as discrimination against local workers in relation to access to drinking water, conditions of accommodations and transportation at the project site. Irregularities about employment contracts and salary increases are also mentioned.

CAO Action

CAO found the complaint eligible for further assessment in November 2019 and has begun an assessment of the complaint.   

Status

The CAO assessment is underway.  CAO has decided to extend its assessment timeframe of 120 days, due to delays incurred in communications with stakeholders whose views are relevant to the assessment of the complaint.

Status as of May 1, 2020

Note: A CAO assessment does not entail a judgment on the merits of complaints.  Rather, the aim is to listen to people's concerns, understand the different perspectives, and determine what options are available to address the complaint through CAO's Dispute Resolution and Compliance functions.