CAO Cases

Arne Hoel, The World Bank

South Asia

Pakistan / Karot Hydro-02/Jhelum River

Complainant
Former employee
Date Filed
August 24, 2019
Concerns
Severance pay, discrimination against local workers
Case Status
Open - Ombudsman
 

Synopsis

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 August 3, 2020. During the assessment CAO lost contact with the Complainant and was unable to re-establish communication and advance the assessment process. Since a CAO dispute resolution process requires voluntary agreement to participate by the Complainant(s) and the IFC client, this case was referred to CAO’s Compliance function, in accordance with CAO’s Operational Guidelines.

CAO’s assessment report is available in English and Urdu under "View Documents" below.  

 

Status

The CAO Compliance Appraisal is underway

 

Status as of December 7, 2020

Project information

Institution
IFC
Project Name & Number
Karot Hydro 36008
Department
Infrastructure
Company
Karot Power Company Limited (KPCL)
Sector
Large Hydro - Renewable Energy Generation
Region
South Asia
Country
Pakistan
Environmental Category
A
Commitment
$100 million loan

Case Tracker

Ombudsman

  • Eligible: Completed
  • Assessment Period: Completed

Compliance

  • Under Appraisal: In Process