Sri Lanka: Rainforest Ecolodge Linkages-01/Deniyaya

Date Filed
20 Aug 2009
Status
Closed
Phase
Dispute Resolution (DR)
Country
Sri Lanka

Case Tracker

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

Complaint Overview

Complainant

Save the Sinharaja Campaign on behalf of residents of Deniyaya Village

Cross-Cutting Issues
Biodiversity Cultural Heritage Land Water Project Benefits

Project Information

Region
South Asia
Institution
IFC
Name & Number
Rainforest Ecolodge Linkages 547845
Company
Rainforest Ecolodge Company (REC)
Sector
Advisory Services
Category
n/a
Commitment

$119,706

Synopsis

Complaint

Located close to the Sinharaja Rainforest in southern Sri Lanka, the Rainforest Ecolodge is a joint venture eco-tourism project set up by several private sector companies in the tourism industry.  IFC, through its South Asia Enterprise Development Facility (SEDF), is providing technical advisory services to the project to obtain US Green Building Certification, and promote eco-tourism in the country.

In August 2009, a local NGO - Save the Sinharaja Campaign - filed a complaint with the CAO on behalf of residents of the Deniyaya Village in Sri Lanka.  The complainants raise concerns about how the project benefits local communities living in and around the area.   The complaint also raises environmental concerns, including felling of trees within the 1.6 kilometer prohibition zone and dammin of a river tributary which the complainants believe threatens the rich biodiversity of the Sinharaja Rainforest - a UNESCO World Heritage Site.

CAO Action

CAO Ombudsman conducted a field assessment in October 2009 and discussed the claimant's issues with local stakeholders. The company, IFC, and the claimant have accepted all of the recommendations of CAO's Assessment report, which include: public disclosure of environmental permits and impact assessments; a dialogue with government, IUCN and UNESCO to promote demarcation of the forest boundary; and preparation of a locally-owned community development plan.  In addition, IFC accepted recommendations to improve consideration of social and environmental risks on Advisory Services projects.

Status

This case reached full settlement with a commitment for monitoring and supervision by both IFC and CAO to ensure that recommendations were implemented. The CAO closed the case in June 2011.

Case Documents

  • Dispute Resolution

    Complaint
    Complaint
    Aug 20, 2009
    English
    Complaint
    Assessment Report(s)
    IFC Management Response to CAO Assessment Report
    Apr 15, 2010
    English
    IFC Management Response to CAO Assessment Report
    CAO Ombudsman Assessment Report
    Feb 01, 2010
    English
    CAO Ombudsman Assessment Report
    Close-out Report(s)
    CAO Conclusion Report
    Jun 01, 2011
    English
    CAO Conclusion Report