The Russkiy Mir II project –“Tamanneftegas (TNG)” – involves an IFC loan of up to $100 million to develop and build the Taman LPG/Fuel Oil terminal and port in the Black Sea, to purchase and expand rail maintenance facilities, to purchase locomotives and rail cars, and to purchase a wheel-making / spare-parts manufacturer and other rail-related infrastructure. In March 2009, a resident of Taman Village submitted a complaint to CAO on behalf of 90 other residents regarding environmental and socio-economic impacts of the TNG project. The complaint states that the construction activities of TNG and two other companies working in the region have damaged local roads and homes, and reduced the standard of living for residents. The complaint requests the company to repair the roads, develop a by-pass road to divert construction away from the settlement, and compensate villagers whose homes have been impacted.

The CAO Ombudsman held teleconferences with the individual parties and learned that the complainants had not previously made contact with or notified the company about its concerns. The Ombudsman encouraged a meeting between TNG’s social specialist and the lead signatory to the complaint. After several meetings between those individuals, the company reported it was launching a Working Group aimed at involving key stakeholders in decision making around TNG’s social and economic development activities. The complainants received an invitation to participate in the first Working Group meeting, which took place on Nov. 11, 2009.

Other Working Group participants included two representatives from the company, several local government representatives, and a representative of the NGO Save Taman!, who assisted the complainants in filing the CAO complaint. Following the November Working Group meeting, the complainants reported to CAO that the issue of the roads had been addressed by TNG and the other companies, and that specific timelines for completion of various roads projects were presented to the participants.