33292 - Daewoo Intercity

Who We Are
Who We Are

IFC is the largest global development institution focused on the private sector in developing countries. By encouraging growth, IFC advances economic development, creates jobs and improves the lives of people.
More About Us
About IFC

Our Leadership

Development Partners
Accountability

Learn more about accountability
Annual Report

Download the Report
What We Do
What We Do

IFC advances economic development and improves the lives of people by encouraging the growth of the private sector in developing countries. We achieve this by investing in impactful projects, mobilizing other investors, and sharing expertise.
What We Do Overview
SOLUTIONS

Our products and services
OUR PRIORITIES

Climate Business

Fragile & Conflict Afflicted Situations

Gender

Mobilizing Private Capital

Sustainability
SECTORS & EXPERTISE

Agribusiness & Forestry

Creative Industries

Education

Financial Institutions

Funds

Health

Infrastructure

Manufacturing

Public-Private Partnerships

Tourism, Retail & Property

Trade & Supply Chain Finance

Venture Capital

Working Upstream
Where We Work
Where We Work

As the largest global development institution focused on the private sector, IFC operates in more than 100 countries around the globe. We apply lessons learned in one region to solve problems in another.
Overview
By Region

Africa

East Asia and Pacific

Europe

Latin America and the Caribbean

Middle East and Central Asia

South Asia
Our Impact
Our Impact

Our impact improves lives. IFC brings a clear set of advantages to the world’s most challenging markets. Including a history of innovation, a global mandate, and a determination to achieve measurable development impact.
Our Impact Overview
PRINCIPLES & MEASUREMENT

Impact Investing at IFC

Measuring and Monitoring (AIMM)

Evaluation

Sustainable Development Goals (SDGs)

Owned by 186 member countries and consistently rated AAA/Aaa. IFC aims to achieve our mission of promoting development by providing debt and equity to the private sector, through a range of benchmark and bespoke products.

For Partners

For Investors

Get in Touch

Environmental & Social Review Summary

Project Number

33292

Company Name

DAEWOO PAKISTAN EXPRESS BUS SERVICE LIMITED

Date ESRS Disclosed

Aug 22, 2013

Country

Pakistan

Region

Middle East

Last Updated Date

Sep 4, 2024

Environmental Category

B - Limited

Status

Completed

Previous Events

Approved : Dec 19, 2013
Signed : Mar 27, 2014
Invested : Aug 11, 2014

Sector

Transit and Ground Passenger Transporation

Industry

Infrastructure

Department

Regional Industry INF MCT

Project Description

The project is to invest up to US$20 million in construction of new terminal(s), upgrade of the existing terminals, purchase of 60 new buses and refinancing of the existing debt at Holding Level, in the form of an A loan with warrants to Daewoo Pakistan Express Bus Service Ltd (“DPEBSL” or the “Company”), Pakistan’s largest intercity bus service. By investing in DPEBSL, IFC would be supporting a safe, affordable, and reliable transportation service provider in an IDA country, where alternative transportation means to the middle income bracket are limited.

DPEBSL has been in operation in Pakistan since 1998 and at present serves approx 4.5 mil passengers/year in 43 cities/towns in Pakistan with 292 buses in operation, which make 450 departures a day in average; in addition DPEBSL provides bus transportation in Lahore city (city bus service) with 69 buses servicing 5 mil of passengers/year. The majority of the intercity bus fleet comprise of buses with 40 seats, however, for better maneuvering in hilly areas, around 10% of the fleet includes 30 seater buses. For the city bus services buses with capacity for 41 passengers are in operation. DPEBSL operations include 16 main terminals and 23 workshops (including 4 mobile workshops). DPEBLS also provides cargo transportation service using eight 16 feet container trucks, equipped with GPS tracking systems, delivering 46 tons of goods daily consisting of general goods like appliances, food, etc. Gas, chemicals, oil cans, cylinders, alcohol/drugs, weapons/explosive are not allowed in the bus or its luggage compartment. Presently, the cargo service is operated between Karachi, Lahore and Rawalpindi.

The majority of the terminals and workshops that DPEBSL operates are from leased properties. Lease arrangements are negotiated directly with owners on willing basis. DPEBSL owns several terminals (Rawalpindi Terminal Land, Sunder Workshop Land, Chowkbahadurpur Terminal, Mianwali Land, Sukkur Land). Each of the above mentioned properties were purchased through direct arrangements on willing buyer /willing seller arrangements. The Sunder workshop land was procured from Volvo Pakistan Company.

In acquiring land for new terminal(s) there will be no need for expropriation of privately owned land or physical displacement of people i.e. DPEBSL will follow the established procedure which include (i) a survey to determine location and size and a short-list of potential sites, (ii) negotiation on price and other details of the various properties by a joint DPEBSL Construction, Operations and Legal Department, (iii) the legal verification process (iv) a bid and if agreed a down-payment is made, (v) after 90 days the property is purchased.

Overview of IFC's Scope of Review

IFC’s project review comprised site visits to the Company Bus Terminal in Lahore and the main workshop at Sundar from 30-31 January 2013; review of available technical and Environmental Health & Safety (EHS) documents and the operational manuals, detailed questionnaire on its current activities at terminals and workshops, as well as meetings with the Project management including Human Resources (HR)/Admin officers, operation officers and the head and staff of the workshop operations. Additionally, IFC has reviewed the Sponsor’s commissioned EHS and Life & Fire Safety (LFS) audit of its operation i.e. EHS audit of Main Terminal and Main Workshop located at Sunder, Lahore; Rawalpindi Terminal and Daewoo Workshop; Peshawar Terminal and Workshop; and Daewoo Sialkot Terminal and LFS audit of its operations in Lahore Terminal and Sundar workshop and Karachi Terminal, prepared in May and June 2013 by external licensed consultancies, where a number of gaps are identified in EHS/LFS performance.

E & S Project Categorization and Applicable Standard

While all Performance Standards are applicable to this investment, IFCs environmental and social due diligence indicates that the investment will have impacts which must be managed in a manner consistent with the following Performance Standards. If IFCs investment proceeds, IFC will periodically review the the project’s ongoing compliance with the Performance Standards

PS 1 – Assessment and Management of Environmental and Social Risks and Impacts
PS 2 - Labor and working conditions
PS 3 - Resource Efficiency and Pollution Prevention
PS 4 – Community Health, Safety and Security
If IFC’s investment proceeds, IFC will periodically review the the project’s ongoing compliance with the Performance Standards

The Project involves the construction and refurbishment of a number of terminals, which are going to be built on the land that had been previously developed and used mainly as a business and industrial area. The key environmental, social, health and safety issues associated with the project include environmental planning and permits for new terminals, construction safety, occupational health and safety and terms of employment, security and life and fire safety, solid and hazardous waste management, air emissions, water and energy efficiency all of which are to be addressed following national requirements, IFC Performance Standards and World Bank Group (WBG) environmental, health and safety guidelines. The Sponsor has undertaken EHS audit of its operations, identified gaps in its EHS performance and developed the environmental, health and safety management plan (EHSMP). The nature of the operations is such that no major adverse environmental or social impacts are expected to result from the project; the construction related impacts are site-specific and are being managed adequately through construction management planning, reconstruction of the existing terminals will take into consideration traffic safety and management during the terminal operational hours; operational impacts like life and fire protection, increased traffic flow to and from the terminal(s) under (re)construction and security aspects related to terminal and bus operations are to be addressed through agreed mitigation measures. As a result, this is a Category B project according to IFC’s Environmental and Social Review Procedure.

PS5: Land Acquisition and Involuntary Resettlement is not applicable as there will be no need for expropriation of privately owned land or physical displacement of people. PS6: Biodiversity Conservation and Sustainable Natural Resource Management is not expected to be relevant as the proposed investment including construction of a new terminal(s) relates to the established operations and developments of terminal(s) in a modified urban areas and no impact on biodiversity is anticipated. PS7: Indigenous Peoples does not apply because indigenous peoples are not present in the project areas. PS8: Cultural Heritage is not expected to apply as there are no known cultural heritage sites associated with existing premises. Notwithstanding, the Project will implement a Chance Find procedure to deal with unanticipated impacts on cultural heritage.

Stakeholder Engagement

When acquiring land for its developments DPEBSL follows transparent procedures and before making the final payment to the seller, informs public about the land/property deal through local news papers and invites grievances/concerns, if any, to be submitted within 7 days.
During construction, DPEBSL will be open for any project related enquiry by local stakeholders and be ready to address any critical concerns raised in relation to the project’s EHS documentation (IEE), construction or operational phases.

DPEBSL has in place a very detailed SOP for managing complaints i.e. the complaint handling system refers to both external and internal stakeholders. Externally it deals with all customer complaints but also covers all internal staff/departments with regard to their conduct and behavior in carrying out their duties. This SOP basically serves as stakeholder engagement plan as it contains analysis of stakeholders, engagement planning and communication, grievance mechanisms and disclosure of relevant information to affected external stakeholders, both passengers and other users of services of DPEBSL as well as DPEBSL staff. DPEBSL has placed complaints and suggestion books at the terminals as well as on the buses to redress any issues raised either by passengers or the community at large. The company conducts its own independent inquiry regarding the complaints, which are mainly related to customer complaints, and forwards the case proceedings and recommendations to the HR department after which the HR department ascertains the action to be taken, if any.

DPEBSL will make available for the public this ESRS and Action Plan in local language, at the building site and the company premises and its web site; its web-site will also be used for disclosure of project documents, including EHSMP and collecting of inquiries and grievances.

The following documents are disclosed as attachment to this ESRS:- Environmental and Social Action Plan

The Company will also locally disclose the above listed documents at the Company’s offices in Lahore and the other site offices, and on its web site.
Contact details of the community engagement representative of the Daewoo are as follows:

Mr YH LeeDirectorDaewoo Pakistan Express Bus Service Ltd231-Ferozepur Road, Lahore, PakistanPh : 042-35884076Fax : 042-35884021

Broad Community Support

Environmental & Social Action Plan

Title	Anticipated completion Date	Status	Comments	Completion Date
Prepare corporate environmental and social policy and obtain written CEO or board approval of the corporate environmental and social policy. Establish an overarching policy defining the environmental and social objectives and principles to guide the project to achieve sound environmental and social performance. The policy shall be consistent with the principles of the requirements of the Performance Standards. Obtain highest IFC Partner management level approval; publish and publicize the Policy and incorporate into the Environmental and Social Management system framework	02/15/2014 12:00:00 AM	Completed	Completed	01/15/2014 12:00:00 AM
Development of an Environmental, Occupational Health & Safety Management System that is compliant with ISO 14001 and OHSAS 18001 and that includes corrective action identified in ‘Rapid EHS Assessment Report’	12/31/2014 12:00:00 AM	In Progress	Under discussion with IFC client
DPEBSL shall undertake corrective action(s) on ALL significant gaps being identified in the Final (Phase-II) EHS Assessment Reports. A status report on implementation of corrective actions will be submitted to IFC.	02/15/2014 12:00:00 AM	In Progress	Under discussion with IFC client
DPBSL shall prepare environmental assessment documents for all of its upcoming facilities in compliance with IFC/WBG environmental assessment guidelines and prevailing local laws and shall acquire necessary approval from local EPA for construction and operational stages of the project	12/31/2014	In Progress	In Progress
Development of an action plan and its implementation to mitigate all ‘High Level’ Occupational Health & Safety and Working Conditions (including accommodation) related issues identified in EHS Assessment Report at all sites, as per the IFC PS and WGB Guidelines. Third party validation would be carried out for evaluation of implementation status. A procedure for regular monitoring of the OHS conditions at all of such facilities shall be developed and implemented.	02/28/2015 12:00:00 AM	In Progress	Due date revised as agreed with IFC client
Development of Solid and Hazardous Waste Management Plan for proper storage and disposal of waste being produced at all of the Workshops and Terminals. The document will be submitted to IFC. Provide evidence to IFC that the contract with licensed company or landfill is signed.	02/15/2014 12:00:00 AM	Completed	Completed	05/22/2014 12:00:00 AM
Install waste water treatment plant (WWTP) for sanitary waste water at each terminal and workshop that currently does not have such treatment facility. The quality of the treated sanitary waste water will satisfy Pakistani NQES and/or IFC standards for discharge to surface waters. In case sanitary wastewater is to be disposed off in the public sewer its quality has to satisfy Pakistani NQES standards and WBG EHS guidelines for discharge to public sewers. Install oil/grease traps for run off surface water before discharge to the river or public sewer.	06/30/2014 12:00:00 AM	In Progress	Under discussion with IFC client
Development of a Corrective Action Plan for enforcement/implementation of recommendations of ‘Rapid Life & Fire Safety Assessment Report’ to eliminate the fire risks at the existing workshops and terminals. Corrective Action Plan has to be developed in compliance with local regulations and an internationally recognized fire protection code.	02/15/2014 12:00:00 AM	In Progress	Under discussion with IFC client
DPEBSL shall implement Corrective Action Plan at all existing terminals and workshops, in compliance with local regulations and an internationally recognized fire protection code, install Fire Alarms and detection system; fix/install fire hydrants/ hoses/reels and fire extinguishers; and eliminate all of the fire hazards being identified in the report.	06/30/2014 12:00:00 AM	In Progress	Under discussion with IFC client
The client will provide third-party certification to IFC confirming that the corrective measures needed to bring the existing buildings into compliance with international L&FS code are implemented.	06/30/2014 12:00:00 AM	In Progress	Under discussion with IFC client
For all new terminal buildings DPEBSL will engage professional services of a qualified Life and Fire Safety Engineer acceptable to IFC to prepare Master Plan (engineering design) and post construction inspections to verify that the system was installed as designed. Life and fire safety design shall be responsive to one international life safety code and the host country life safety code. The design shall comply with the Life and Fire Safety requirements of the IFC General EHS Guideline.	12/31/2014	In Progress	In Progress
The qualified Life and Fire Safety Engineer acceptable to IFC responsible for the life and fire safety master plan (engineering design) shall provide a professional certification affirming that facility construction faithfully incorporates all elements of the Life and fire Safety Master Plan (engineering design) prepared by an external expert acceptable to IFC and previously submitted to IFC for evaluation.	12/31/2016	In Progress	In Progress
DPEBSL will establish separate security department and, if necessary, amend the current Operational Manual ( SOP), in part where the emergency and security arrangements are addressed, to provide for additional measures and procedures in cases involving external and internal bomb threats, road blockages and other unexpected events at terminals and bus operations.	06/30/2014 12:00:00 AM	In Progress	Under discussion with IFC client

**Information on IFC's Policy and Performance Standards on Environmental and Social Sustainability can be found at www.ifc.org/sustainability

IFC supports its clients in addressing environmental and social issues arising from their business activities by requiring its real sector clients to set up and administer appropriate grievance mechanisms and/or procedures to address complaints from Affected Communities in relation to environmental and social issues arising from IFC's clients' business activities. Since 2012, IFC's Financial Intermediary clients applying the Performance Standards are required to develop External Communications Mechanisms to receive and review inquiries or complaints from any interested party regarding the E&S risks and impacts of their operations.

For IFC projects that are active or under consideration, individual(s), or their authorized representative(s), who allege they have been or will be adversely affected by E&S risks or impacts arising from IFC's clients' business activities, may submit a complaint to IFC directly for consideration. When receiving an E&S complaint, IFC engages with complainants and works with its clients to find solutions to E&S concerns as quickly and efficiently as possible.

Complaints can be submitted to IFC online at www.ifc.org/escomplaints or by email to EScomplaints@ifc.org.

IFC complaint response is separate from and complementary to IFC’s clients’ project level grievance mechanisms and IFC’s Independent Accountability Mechanism (CAO). Lodging a complaint directly with IFC does not, at any time, restrict access to CAO.

Affected communities have unrestricted access to the Compliance Advisor Ombudsman (CAO), the independent accountability mechanism for IFC and MIGA. CAO facilitates the resolution of complaints related to IFC and MIGA projects and sub-projects, undertakes reviews of IFC’s and MIGA’s environmental and social compliance, fosters public accountability for their commitments, and enhances the environmental and social performance of IFC and MIGA.

Independent of IFC and MIGA management and reporting directly to the IFC and MIGA Boards of Executive Directors, CAO helps resolve issues raised about the environmental and social impacts of projects through a neutral, collaborative, problem-solving approach via its Dispute Resolution function. It also reviews IFC’s and MIGA’s compliance with environmental and social policies, assesses related harm, and recommends remedial actions through its Compliance function. Additionally, CAO provides advice to IFC, MIGA, and their Boards to enhance environmental and social sustainability performance and minimize the risk of harm.

Complaints may relate to environmental and social harm regarding any aspect of the planning, implementation, or impact of a project or sub-project, and can be made by any individual, group, community, entity, or other party affected or likely to be affected by the environmental or social impacts of an IFC- or MIGA-financed business activity.

Complaints can be submitted by any of the following methods:

Online form: available at https://www.cao-ombudsman.org/
Mail/Hand Delivery to: 2121 Pennsylvania Avenue, NW, Washington, DC 20433, USA
Voice mail: +1 202 458 1973
Email: cao@worldbankgroup.org
SMS, WhatsApp, Telegram, and Signal: +1 202 650 2627

CAO receives and addresses complaints in accordance with the CAO Policy, which can be accessed at: https://www.cao-ombudsman.org/policies-guidelines.

This Environmental and Social Review Summary (ESRS) is prepared by IFC to disclose its findings and recommendations related to environmental and social considerations regarding potential investments. Its purpose is to enhance the transparency of IFC's activities. For any project documentation or data included or attached herein, whether prepared by the project sponsor or otherwise, authorization has been given for public release by the project sponsor. IFC considers that this ESRS is of adequate quality for release to the public, but has not necessarily independently verified all of the project information therein.
It is distributed in advance of IFC Board of Directors' consideration and may be periodically updated thereafter. Board dates are estimates only and this document should not be construed as presuming the outcome of the Board Directors’ decision. The following ESRS is disclosed in accordance with IFC's Access to Information Policy (AIP).

The map is for illustrative purposes and does not imply the expression of any opinion on the part of the World Bank, concerning the legal status of any country or territory or concerning the delimitation of frontiers or boundaries. Country borders or names do not necessarily reflect the World Bank Group's official position. In some cases, available project location information is limited to the country of the project's activities. Locations are approximate.

Projects

Environmental & Social Review Summary

Project Description

Overview of IFC's Scope of Review

E & S Project Categorization and Applicable Standard

Stakeholder Engagement

Broad Community Support

Environmental & Social Action Plan

Similar Projects

Projects

Environmental & Social Review Summary

Project Description

Overview of IFC's Scope of Review

E & S Project Categorization and Applicable Standard

Identified Applicable Performance Standards

Environmental and Social Categorization and Rationale

Stakeholder Engagement

Stakeholder Engagement

Local Access of Project Documentation

Broad Community Support

IFC's Determination of BCS

Environmental & Social Action Plan

Environmental & Social Action Plan

Press-Release

Related SII

Similar Projects

Information on E&S Complaints and Grievance Mechanisms

Disclaimer