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 representatives of Building and Wood Workers International (BWI) and the Pakistan Federation of Building and Wood Workers (PFBWW), on behalf of Awami Labour Union - China Three Gorges Corporation Karot Power Company Limited. The complainants claim adverse impacts on around 3,000 project workers of KPCL, including violations of IFC Performance Standard 2 on workers’ organizations, health and safety, working conditions and terms of employment, grievance mechanism, retrenchment, and concerns related to the use of security forces under IFC Performance Standard 4.

CAO Action
CAO found the complaint eligible for further assessment in August 3, 2020 and has begun an assessment of the complaint.

Status
The CAO assessment is underway.

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.

Status as of October 6, 2020