| Performance Standard | Description and Potential Impact | Mitigation |
|---|
| PS 2. Labor and Working Conditions | PSs rehabilitation work E&S related risks include inadequate labor and working conditions, including for contractors and subcontractors management, poor OHS practice, exposure to hazardous material, including asbestos, and risk of forced labor (contextual risks). Operational risks are mainly related to labor and working conditions for the staff (e.g., technicians, maintenance personnel) and OHS risks.
Currently no information is available to assess the project's potential impact on staff currently in charge of maintaining the system. Recently reviewed PPP projects on brownfield assets in Uzbekistan revealed that overstaffing is a typical issue in the country, where the full realization of the right to freedom of association also remains a challenge. Private sector participation in an overstaffed operation will generate concerns among the workforce, may lead to retrenchment or project opposition from the existing workforce. | The E&S Scoping Study in Phase I will assess key OHS risks (e.g. physical hazards, welding / hot work, eye hazards, heat stress, work in confined space, etc.) and propose mitigation measures.
The Study will also collect information on the existing workforce (numbers and profession, type of contract and protections, collective bargain agreement, unionization / representations, etc.) and conclude on the retrenchment risk. IFC will recommend the client to engage with all workers to explain the project and impacts on their jobs and address concerns. Should collective dismissal be unavoidable IFC will advise the client on the need for a retrenchment plan and to define roles and responsibilities to undertake the process in accordance with national laws and IFC PS2.
IFC will recommend the PPP agreement to include specific obligations (including gender sensitive) to follow IFC PS2, relevant provisions of the WBG EHS Guidelines, and GIIP. |
| PS 3. Resource Efficiency and Pollution Prevention | There is a potential risk of the pre-existing soil contamination at the PSs locations due to oil spills.
Key rehabilitation risks are related to soil / water / groundwater contamination due to accidental oil spills during the works, disposal of decommissioned PSs / parts of, and uncontrolled noise, dust, and emissions, waste management (e.g. unlined cast iron and asbestos cement pipes).
Key operational EHS risks include OHS, waste and hazardous material management, and impacts to aquatic species, depending on water abstraction points, inefficient use of resources i.e. leakages of the irrigation system.
Energy Efficiency (improved efficiency of the pumping station i.e. selection of energy efficient pumps, selection of energy efficient backup diesel generators) and renewable energy opportunity (e.g. roof top solar panels installation) should be investigated. | The E&S Scoping Study will (i) assess the existing historical liability due to any hazardous waste disposal, and the availability of licensed private companies and final disposal sites in the area for such waste (ii) efficiency of the irrigation system / water losses due to leakages and (iii) recommend mitigation measures in line with IFC PS, relevant provisions of the WBG EHS Guidelines, and GIIP.
IFC will recommend the PPP agreement to include provisions to mitigate the risks to be consistent with IFC PS 3, relevant provisions of the WBG EHS Guidelines, and GIIP. |
| PS 4. Community Health, Safety and Security | Currently no information is available related to proximity of the project facilities / PSs to affected communities, thus it is not possible to assess health and safety risks on communities during the rehabilitation and operations of the PSs.
In case there are communities residing in the immediate vicinity to the pumping stations or along the road which will serve as a supply route for workforce, material and equipment, it can be assumed that the main risks to the community may come from (i) moving equipment, transport of materials and (ii) conduct of security personnel during the construction and operation phases. Another potential risk is in relation to any emergency involving the PSs operational modus operandi that may have negative impacts on the community e. g. disruption in the water supply system for irrigation for a prolonged time which may impact crop yield. | The E&S Scoping Study will identify key risks to the community health, safety, and security during the rehabilitation and operational phase, with a focus on traffic safety, the security arrangement and emergency preparedness and response. The study will outline PS4-aligned mitigation measures.
IFC will recommend to the client to include provisions consistent with the requirements of IFC PS4, relevant provisions of the WBG EHS Guidelines, and GIIP in the PPP agreement. |
| PS 1. Assessment and Management of Environmental and Social Risks and Impacts | The overall E&S risk level is considered medium based on sector and country risks and assuming that works will be conducted within the land plots of the existing PSs and Right-Of-Way of the irrigation networks. Risk are site specific and reversible in nature and can be mitigated through the application of standard operating procedures.
The risks level will be re-assessed should expansion of facilities or of the network be considered.
There are two contextual risks in the Project areas: (i) excessive water use by agriculture and (ii) transboundary disputes on water. The Project is expected to contribute to the GoU and WBG strategy to improve sustainability and efficiency in water management, at least indirectly. Similarly, the Project is expected to improve water use and, as such, is not to adversely impact existing agreements between Uzbekistan and Turkmenistan on water abstraction from the Amu Darya River, which runs through the Project areas and crosses the border with Turkmenistan in the Khorezm region. It is worth noting that Afghanistan is already drawing significant amount of water from the Amu Darya River and has plans to develop another canal that could result in a 30% decline in water coming into Uzbekistan.
The contextual risk screening at the country level indicated high risks for reprisal risks and violation of civil rights, including LGBTQ groups, resettlement, threats to natural resources, lack of government capacity, and gender-based violence.
IFC PS1 to PS4 are considered relevant. Relevance of PS5, PS6, PS7 and PS8 will be confirmed during the project E&S scoping.
The key risks are primarily related to (i) rehabilitation of the pumping stations (PSs) e.g. construction safety / occupational health and safety (OHS), waste management (e.g. replaced / discarded unlined cast iron and asbestos cement pipes), and soil contamination as well as construction nuisances to nearby population, if any (noise, air emissions) and (ii) operational related EHS risks e.g. OHS, waste and hazardous material management, community health and safety, if any, (accidental falls to water), and impacts to aquatic species (depending on water abstraction points). | During Phase I, IFC will commission an E&S Scoping Study to identify key E&S risks, confirm relevant IFC PSs, and define mitigation measures in line with PSs and WBG General and Water and Sanitation EHS Guidelines (the WBG EHS Guidelines).
While the focus of the Scoping Study will be on the PSs to be rehabilitated / modernized, it is recommended that IFC discuss the key implications of developing the project in line with PSs with the client early on in Phase I (e.g. topic of contractors management).
The client is expected to engage with affected stakeholders early in the process (including explaining the project benefit to the public), i.e. mapping a preliminary stakeholder (IFC will provide recommendations on gender-smart stakeholder engagement activities).
The results of the E&S Scoping Study will be used to formulate recommendations for managing E&S risks (including the need for holding capacity building workshops with the client) and to draft Project specific E&S provisions in line with IFC PS, relevant provisions of the WBG EHS Guidelines, and Good International Industry Practice (GIIP) for inclusion in the PPP agreement.
Impacts to current land users are possible during rehabilitation / modernization, for example, due to the need for laydown areas or access to machinery. Such impacts may affect users livelihood, in which case, they will require PS5-aligned mitigation measures. |