1. Project description
UK Export Finance (UKEF) has agreed to support the government of Côte d’Ivoire, represented by the Ministry of Economy and Finance, to facilitate the rehabilitation and construction of two existing national roads and four bridges at east and west of Côte d’Ivoire. The Ministry of Infrastructure and Road Maintenance of Côte d’Ivoire, represented by the Agence de Gestion des Routes de Côte d’Ivoire (“AGEROUTE”), will be responsible for the operation and maintenance of the road and Colas UK Limited (“the Exporter”) provide construction services.
The Project includes the reinforcement of the asphalt of the Agnibilékrou road to Bondoukou and the asphalting of the Agnibilékrou road to Takikro. The Agnibilékrou to Bondoukou national road is an existing 133 km tarmac road located in the Gontougo region. The road is in poor condition, with many cracks and potholes. The Agnibilékrou to Takikro national road is an existing 33 km road in the region of Indenia Djuablin. The road is currently unpaved. There will be limited widening of this road in some sections. Four bridges will also be built (Guiglo Bridge over the N’Zo River; Siemen Bac Bridge over the Sassandra River; Anniasué over the Comoe River; and Vonkoro Bridge over the Black Volta River). The aggregates will come from a new and several existing quarries.
The project does not include any associated installation[footnote 1].
2. Project sector
The project is in the civil construction sector.
The Project is developed by AGEROUTE. Colas UK Limited will provide construction services for the Project.
4. British exporters
Colas France Limited
5. Bank of Export Credit Agent
6. UK Export Finance support amount
The amount of the buyer’s credit facility is £ 100 million.
seven. OECD Common Approaches and Equator Principles
UKEF has classified the project in category B, i.e. having environmental, social and human rights (ESHR) impacts that are few, site-specific, few (if any) of which are irreversible, and for which mitigation measures are more readily available) as defined in the 2012 OECD Common Approaches (revised 2016 ) for Export Credits and Environmental and Social Due Diligence (the “OECD Common Approaches”).
The project does not fall within the scope of the Equator Principles (June 2013).
8. Environmental, social and human rights standards
Linked to the project ESHR documentation has been reviewed to align with the 2012 International Finance Corporation (IFC) Performance Standards (PS) on Environmental and Social Sustainability and Environment, Health and Safety of the World Bank Group (EHS) Guidelines.
Applicable IFC PS were:
- PS1: Assessment and management of environmental and social risks and impacts
- PS2: Work and working conditions
- PS3: Resource efficiency and pollution prevention
- PS4: Community health, safety and security
- SP5: Land acquisition and involuntary resettlement
- PS6: Conservation of biodiversity and sustainable management of living natural resources
- PS8: Cultural heritage
The World Bank Group concerned EHS The guidelines were as follows:
- General EHS Guidelines (2007)
- EHS Guidelines for the extraction of construction materials (2007)
- EHS Guidelines for Toll Roads (2007)
9. Nature of ESHR impacts
Examining the potential ESHR the risks and impacts took into account the following impacts, receptors and issues during the construction and operation phases of the Project:
- climate change
- worker well-being
- occupational health and safety
- management of subcontractors and third-party suppliers
- grievance mechanisms
- noise, vibrations, dust and atmospheric emissions
- management of hazardous materials, waste and drainage
- water and energy resources
- community engagement
- community health, safety and security
- emergency planning and response
- traffic management
- land acquisition
- cultural heritage
- decommissioning and restoration
ten. Assessment of ESHR impacts
A review was undertaken in accordance with the requirements of the OECD Common Approaches to identify the ESHR risks and impacts of the project and how these would be effectively managed.
The exam included:
- Documentary review of project documentation, including environmental and social impact assessment (ESIA), Environmental and Social Management Plan and Stakeholder Engagement Plan
- Site visits in the project area carried out by the ESIA team. These included interviews with relevant staff, meetings with AGEROUTE, local authorities and community representatives.
- Follow-up meetings and interviews with the relevant representatives of the project.
The results of this review formed the basis for assessing the project’s alignment with relevant international standards and recommendations for future compliance and follow-up.
11. Climate change considerations
UKEF took into account the direct and indirect greenhouse gas potential of the project (GHG) emissions and effects of climate change factors on the Project within the framework of its ESHR review. The project is not considered a carbon intensive business (such as fossil fuels or petrochemicals) and therefore “high” Scope 1 and 2 emissions exceeding the relevant thresholds for quantification and reporting set by the standards international organizations were not reasonably envisaged. The Project’s largest source of emissions will come from vehicles traveling on the road (i.e. its Scope 3 emissions). While the project will create additional traffic, much of the expected traffic growth that will be accommodated on the project roads is expected to occur independently of the project, i.e. due to the broader economic activity in the area. the country. The associated increases in GHG emissions are considered based on the positive impacts of the project on development. the ESHR the review found that the project design took into account the potential physical impacts of climate change such as flooding and temperature extremes.
Various actions have been agreed between the project developers, operators and parties involved in the funding, which are necessary to ensure the continued alignment of the project with international standards. Following the agreement of these commitments, it was concluded that the project should meet relevant international standards throughout the project cycle. UKEF has therefore decided to support the supply of capital goods and services by UK exporters to the Project.
A condition of support is that the project is subject to environmental and social monitoring to ensure that the project complies with relevant international standards throughout the duration of the support.
UK export financing