Chile: Empresa Electrica Pangue S.A.-01/Upper Bio-Bio Watershed

Date Filed
01 Aug 2000
Status
Closed
Phase
Dispute Resolution (DR)
Country
Chile

Case Tracker

Eligibility
Eligibility
Assessment
Assessment
Dispute Resolution
Mediation
Monitoring
Closed
Compliance
CURRENT Status
Closed(DISPUTE RESOLUTION)

Complaint Overview

Complainant

A Pehuenche individual

Cross-Cutting Issues
Land Resettlement Land

Project Information

Region
Latin America & the Caribbean
Institution
IFC
Name & Number
Empresa Electrica Pangue S.A. 2067
Company
Empresa Electrica Pangue S.A.
Sector
Infrastructure
Department
Infrastructure
Category
A
Commitment

2.5% (Equity Interest) & $170 million (Loan)

Synopsis

Complaint

The Pangue Hydroelectric Project involved a series of proposed hydroelectric dams on the upper BioBio River, Chile. In August 2000, a Pehuenche individual who had been resettled by the Panque Project lodged a complaint with the CAO alleging that he had not been sufficiently compensated as a result of his resettlement. IFC held 2.5 percent of the equity interest in the Pangue Project from October 1993 until divestment in July 2002.

CAO Action

CAO Ombudsman visited the region the subject of this claim in June 2001 in order to determine whether the complaint was amenable to resolution through a negotiated process.

Status

CAO Ombudsman successfully negotiated an agreement between the complainant and the company, which was duly signed in June 2001. The complaint was closed in January 2005.