Jordan: Daehan Wind Power Co-01/Tafila
Noise, shadow flicker effect, bird mortality, health and safety
US$11.43m A loan and US$2.7m risk management
IFC has an active project with Daehan Wind Power Company PSC in Jordan which is currently owned by Korea Southern Power Company and Daelim Energy Company. The project consists of the construction, operation and maintenance of a 51.75MW (installed capacity) wind farm in Jordan's Tafila Governorate. The Project will be an Independent Power Producer, generating about 153 GWh annually for sale to the National Electric Power Company under a 20-year Power Purchase Agreement.
In June 2020, a local community member from Tafila, Jordan submitted a complaint to CAO on behalf of himself and two family members. They indicated that their family jointly owned land near the Daehan wind farm, and raised concerns about the current impact of project construction and the potential future impact of the wind farm operations. Specific issues cited in the complaint include: noise and shadow flicker effects from wind turbines, health and safety concerns, and the missed opportunity for farmers to raise birds. The complaint also raises concerns that the company failed to lease some farmlands despite their close proximity to the project site.
CAO found the complaint eligible for assessment in July 2020 and begun an assessment of the complaint. During the assessment, the complainant and the company agreed to engage in a voluntary dialogue process to try and resolve the dispute. Although the parties attempted to resolve the issues through joint sessions and dispute resolution processes from January 2021 until December 2021, the parties did not reach an agreement. In February 2022, the case was transferred to CAO's Compliance function for appraisal based on CAO's Policy.
On June 8, 2022, CAO completed its compliance appraisal of the complaint. The appraisal concluded that a compliance investigation is merited, but CAO decided to defer the compliance investigation, pending the completion of an action plan agreed with IFC and its client. The investigation and IFC's deferral action plan will be specifically regarding the complainant's allegations related to information disclosure, stakeholder engagement, and assessment of the impacts of the project's wind turbines on the complainants' plot of land, all of which pertains to IFC's application of its Performance Standard 1 on assessment and management of environmental and social risks and impacts. The deferral will allow IFC and its client the opportunity to implement a six-month action plan, designed to respond to the complainant’s claims in line with IFC's environmental and social requirements. CAO determined a timeline and framework for monitoring during the deferral period, and will release a public report on the outcomes at the end of the deferral period.
Details from the compliance appraisal are available in the full report under the "Case Documents" section below this page
In December 2022, CAO granted a one-year extension to the initial deferral period at IFC’s request. A deferral outcome report is expected by November 2023.
Status as of January 06, 2023.