| Performance Standard | Description and Potential Impact | Mitigation |
|---|
| PS 4. Community Health, Safety and Security | The main potential risks/impacts are related to electrocution, exposure to unprotected equipment, traffic/pedestrian disruption during installation and maintenance and, depending on the strategy to be adopted to protect workers and properties in high crime areas, security. | As part of Phase I, the E&S scoping study will assess security risks and provide a framework so the concessionaire can develop and implement a code of conduct for security forces, where and if they are used. The concessionaire shall be required to follow IFC Performance Standard 4 for planning and implementing the security plan. As part of the ESMS, the concessionaire will be required to evaluate and to communicate the risks to the communities (traffic and pedestrians) and will put in place Standard Operating Procedures (such as installation of lights at night, use of traffic cones, diversion of traffic, use of signages, etc.) for management of traffic and pedestrian flow during lamp installations and maintenance. In addition, the concessionaire will establish and implement procedures for ensuring that no safety hazards are created during the installation and maintenance of lights (such as live wires, etc.). |
| PS 3. Resource Efficiency and Pollution Prevention | Main risks are related to handling of equipment to be replaced, in particular hazardous materials, and management of solid and hazardous waste, including discarded lamps. Inadequate management and disposal of these lamps may entail pollution risks. There may be other wastes such as wires, faulty LED lamps, etc. which will need proper management. | The E&S Scoping Study will identify key risks and propose mitigation measures, including the definition of strategies to conserve and recycle existing bulbs/fittings in operational/working condition, alternatives for final disposal in case is needed, etc. The concessionaire shall be required to follow IFC Performance Standard 3 for planning and implementing installation works and operational and maintenance activities and to develop a management system for existing bulbs (including assessment of recycling or re-use by re-selling the bulbs), and to dispose of waste and hazardous waste per local regulations and Good International Industry Practice. |
| PS 2. Labor and Working Conditions | Personnel from the concessionaire and its contractors will be exposed to Occupational Health and Safety risks, including electric risks, work at heights, traffic risks. The PPP structure may affect the existing municipal employees involved with management and operations of the streetlights (potential retrenchment) and they may oppose the project. Risks may arise from disengagement of contractors. | Tender documents to stipulate requirements for the winning bidder to manage OHS in accordance with national labor laws, WBG EHS Guidelines and IFC PS2 requirements for labor and working conditions. For OHS (electric risks, work at heights, traffic risks, PPE, waste/hazardous material handling) the concessionaire and its contractors shall apply Good International Industry Practice such as the ones reflected in the WBG EHS General Guidelines. Municipalities should inform the existing municipal employees of the upcoming changes and engage with/disclose info to them in a timely manner so that they are aware of the potential impacts. Option of redeploying those who may be affected in other operations of the institution should be evaluated. As part of the E&S scoping, the consultant will assess whether there is the risk of layoff of current municipal employees (depending on numbers of workers, duration of past contracts, involvement of unions) and in such cases, actions to mitigate those risks will be proposed. Where collective dismissal is foreseen, municipalities will have to undertake an analysis of alternatives to retrenchment and if the latter is unavoidable develop a retrenchment plan. |
| PS 1. Assessment and Management of Environmental and Social Risks and Impacts | Based on current information, risks and potential impacts are those typical of this sector, with the exception of (i) potential impacts on the current workforce (public employees and contractors) who may oppose the project, (ii) security issues given the project will cover areas with high index of
violence/crime. | Since the mandate will be signed with CAIXA and not the municipalities themselves and considering that the project is intended to be replicated by CAIXA in additional municipalities, it is important to provide enough guidance on E&S aspects based on Good International Industry Practices so that E&S risks are properly identified and mitigated through specific provisions included in the PPP contracts even if IFC will not be directly involved. As part of phase I, a scoping study will be commissioned to identify key risks and mitigation measures a preliminary stakeholder mapping and analysis will be part of the study and the results will be used to provide guidance so the concessionaire can develop and implement a stakeholder engagement plan, an external communication strategy and a grievances redress mechanism. Considering the potential impacts on the current workforce (direct and indirect) resulting from the PPP, the municipalities will be advised to communicate with workers and the IFCs scoping consultant will prepare detailed guidelines on how to engage with workers in alignment with good international practices (see more details under PS2). The concessionaire agreement will require that an effective Environmental and Social Management System (ESMS), consistent with IFC PS1, is implemented by the concessionaire. The system should be commensurate with the level of the project E&S risks and impacts. It should include documented procedures, assigning roles and responsibilities, training of all concerned, and a monitoring and reporting system. |
