Commentary and analysis to persuade people to become socialist and to act for themselves, organizing democratically and without leaders, to bring about a world of common ownership and free access. We are solely concerned with building a movement of socialists for socialism. We are not reformists with a programme of policies to patch up capitalism.
Showing posts with label Inga 3 Dam. Show all posts
Showing posts with label Inga 3 Dam. Show all posts
Saturday, March 29, 2014
DRC: Inga 3 Dam 'High Risk Project'
Today, the World Bank Group's Board of Directors approved a grant of US$73.1 million for the Inga 3 Dam on the Congo River – the biggest hydropower project the World Bank has ever funded. International Rivers denounces the decision as support for a risky mega-project that will not benefit the local population.
The 4,800-megawatt Inga 3 Dam is the first phase of the giant Grand Inga scheme in the Democratic Republic of Congo (DRC). Including the financing costs, Inga 3 will cost $14 billion. The Bank’s $73 million grant will finance technical studies and legal work to prepare for the construction of the dam, which is expected to start in 2016 and take seven years. Even though only 9% of the DRC population has access to electricity, the power generated by Inga 3 will primarily benefit mining companies and export markets.
Rudo Sanyanga, Africa Director of International Rivers, said: “By approving Inga 3, the World Bank shows it has not learnt lessons from the bad experience of previous dams on the Congo River despite its claims to the contrary. The Bank is turning a blind eye to the DRC’s poor governance and is taking short-cuts to the environmental assessment of the project.”
Peter Bosshard, Policy Director of International Rivers, said: “Solar, wind and micro-hydropower are more effective at reducing energy poverty in Africa, and don’t suffer the cost and time overruns that are typical for large dams. We will continue to push the World Bank and the DRC government to support clean local energy solutions rather than Africa’s next white elephant.”
On March 10, four researchers from Oxford University published a study which found that the large dams built since 1934 suffered average cost overruns of 96% and delays of 44%. In a conversation with International Rivers, the Oxford study's co-author, Atif Ansar, cautioned against Inga 3. "It is a very high-risk project typical of dam disasters," he said. Using the findings of the Oxford study to forecast cost overruns, he suggested that Bank's $14 billion estimated cost of Inga 3 should be uplifted to $28 billion to obtain 80% certainty that the budget is not exceeded. Given the cost risks, the dam is a non-starter in terms of economic viability. Congo is at risk of drowning its fragile economy in debt.
From here
Thursday, February 13, 2014
World Bank Favours Mining Corporations Over DRC Population
International Rivers has learned that the World Bank has
abruptly decided to develop the Inga 3 Dam in the Democratic Republic of
Congo as a private investment through the International Finance
Corporation, rather than as a public sector project. The Bank withdrew a
US$73 million IDA grant for the project, which was scheduled for
approval by its board of directors on February 11. The move will
compound the problems of the World Bank’s biggest ever hydropower
project, and ensure the project will serve the interests of mining
corporations rather than the DRC population.
According to internal sources, the IFC will support a private investment in the Inga 3 Dam by Chinese companies in a deal that was brokered by the administrator of USAID. International Rivers decries the World Bank’s decision for the following reasons:
The International Finance Corporation has a poor social and environmental track record. In recent months, the Corporation was admonished by its own ombudsperson for serious abuses in the Tata Mundra thermal power plant in India and the Dinant palm oil project in Honduras. The IFC does not have the safeguard policies or the expertise to ensure proper social and environmental impact assessments for this huge project. Handing the Inga 3 Dam over to the private sector will lead to further environmental shortcuts and compromises in the project.
The Inga 3 Dam would generate electricity for mining companies and the South Africa market, not for the more than 90% of the DRC population with no access to electricity. Expanding energy access for the Congolese population is a development priority, but is not of commercial interest to investors. Handing the project over to a private investor will make it even less likely the country’s poor people would benefit from the project.
The IFC deal was arranged behind closed doors without any accountability to the DRC parliament, the World Bank’s board of directors, or civil society. It was reportedly brokered in a personal initiative by USAID administrator Rajiv Shah, just weeks after the US Congress instructed the US government to oppose supporting large hydropower projects such as Inga 3 through international financial institutions. Non-transparent deals such as the Inga 3 Dam are the best recipe for deepening corruption in the DRC. They will not strengthen the public accountability that is necessary for social and economic development.
Working with civil society partners in the DRC, International Rivers will continue to oppose destructive megaprojects such as the Inga 3 Dam, and will promote clean local energy solutions that are more effective at reducing poverty and protecting the environment.
From here
According to internal sources, the IFC will support a private investment in the Inga 3 Dam by Chinese companies in a deal that was brokered by the administrator of USAID. International Rivers decries the World Bank’s decision for the following reasons:
The International Finance Corporation has a poor social and environmental track record. In recent months, the Corporation was admonished by its own ombudsperson for serious abuses in the Tata Mundra thermal power plant in India and the Dinant palm oil project in Honduras. The IFC does not have the safeguard policies or the expertise to ensure proper social and environmental impact assessments for this huge project. Handing the Inga 3 Dam over to the private sector will lead to further environmental shortcuts and compromises in the project.
The Inga 3 Dam would generate electricity for mining companies and the South Africa market, not for the more than 90% of the DRC population with no access to electricity. Expanding energy access for the Congolese population is a development priority, but is not of commercial interest to investors. Handing the project over to a private investor will make it even less likely the country’s poor people would benefit from the project.
The IFC deal was arranged behind closed doors without any accountability to the DRC parliament, the World Bank’s board of directors, or civil society. It was reportedly brokered in a personal initiative by USAID administrator Rajiv Shah, just weeks after the US Congress instructed the US government to oppose supporting large hydropower projects such as Inga 3 through international financial institutions. Non-transparent deals such as the Inga 3 Dam are the best recipe for deepening corruption in the DRC. They will not strengthen the public accountability that is necessary for social and economic development.
Working with civil society partners in the DRC, International Rivers will continue to oppose destructive megaprojects such as the Inga 3 Dam, and will promote clean local energy solutions that are more effective at reducing poverty and protecting the environment.
From here
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