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Kenya - Pan African Paper Mills

Complaint
In February 2008, the Kenya-based NGO Resource Conflict Institute (RECONCILE) filed a complaint regarding the Pan Africa Paper Mill Project based in Webuye. The complaint – made on behalf of residents of Webuye town and the NGO Centre for Environmental and Development Education Programmes – raises a number of concerns about the project, including negative health, environmental, social and economic impacts. 
   
Background

The IFC first invested in Pan-African Paper Mills (PPM) in 1974, and since then has supported the company through various loans and equity investments. PPM provides up to 80% of domestic paper consumption in Kenya. Other major shareholders besides IFC (24.9%), are Orient Paper and Industries, Ltd., a member of the Birla Group of India (29.4%), and the Government of Kenya (33.9%).

Eligibility

The complaint meets the required criteria for CAO assessment: 1) it pertains to an IFC/MIGA project, 2) the issue(s) raised in the complaint address the environmental and social impacts of IFC/MIGA investments, and 3) the complainant(s) would be affected if the social and/or environmental impacts raised in the complaint occurred.

Current Status

The CAO Ombudsman has undertaken an assessment of the complaint and has begun working with the parties to discuss options for resolution.

   

 

 

 

Last updated: 03/18/2008