IFC’s appraisal considered the environmental and social management planning process and documentation for the Project and gaps, if any, between these and IFC’s requirements. Where necessary, corrective measures, intended to close these gaps within a reasonable period of time, are summarized in the paragraphs that follow and (if applicable) in an agreed Environmental and Social Action Plan (ESAP). Through implementation of these measures, the Project is expected to be designed and operated in accordance with Performance Standards objectives.
PS1: Assessment and Management of Environmental and Social Risks and Impacts
Environmental and Social Policy and Management System: Sacyr's Corporate Sustainability Policy, aligned with the UN Global Compact, emphasizes ethical business practices, environmental stewardship, social responsibility, and robust governance to ensure positive impacts on communities and the environment. This policy is supported by additional corporate policies on Climate Change, Circular Economy, Water, Biodiversity, and Occupational Health and Safety (OHS), among others. Sacyr implements its Sustainability Policy through a Global Management System (GMS) certified for ISO 14001 (Environmental Management), ISO 50001 (Energy Management), ISO 14064 (Green House Gas (GHG) emissions measurement), and EU Eco-Management and Audit Scheme (EMAS).
UNIVIAL follows Sacyr’s corporate sustainability policies through an Integrated Management System (IMS) aligned with ISO 14001, 45001 (OHS) and local regulations for its operations in Colombia. The IMS, which is aligned with IFC PS1, includes components such as the E&S Management System (ESMS); Quality, Environment, and Energy Management Policy, and a Sustainability Policy, which are disclosed to the workers during the induction process and annually in the re-induction processes. The EPC (Sacyr Construcciones) has in place an ESMS, which is also aligned with Sacyr’s corporate sustainability policies and procedures and must meet UNIVIAL’s E&S requirements.
Per the concession agreement, the Concessionaire is required to implement an E&S Responsibility Plan for the project aligned with the Equator Principles and the Global Reporting Initiative. Concessionaire is recommended to consider Colombia’s Green Road Infrastructure Guidelines (GRI) -https://www.minambiente.gov.co/wp-content/uploads/2022/07/24.-Lineamientos-de-infraestructura-verde-vial-para-Colombia.pdf, which integrate environmental, social, and engineering considerations, including climate change aspects, throughout all stages of road infrastructure development and operation.
Identification and Management of Risks and Impacts: The Project has conducted multiple E&S assessments and Management Plans (ESMPs) for the 22 FUs over the past years under different concessionaires, and these are aligned with IFC PS1, are commensurate with risk, and have involved some level of analysis of alternatives to avoid or minimize adverse E&S impact. Per local regulations, E&S Impact Assessments (ESIAs) are required for activities with higher E&S risks (e.g. new footprint) and Environmental Adaptation Programs (PAGAs) for lower risk activities (e.g. resurfacing and rehabilitation of existing footprint).
The National Environmental Licensing Authority (ANLA) is responsible for approving the ESIAs and corresponding ESMPs required for obtaining the Environmental License. The ESIAs follow ANLA’s terms of reference (ToR) for highway construction in Colombia (https://www.anla.gov.co/01_anla/normatividad/documentos-estrategicos/terminos-de-referencia). The project has inherited nine Environmental Licenses from the previous concessionaires covering 14 UFs (96 kilometers, representing 75% of the total project alignment). Even though these licenses are over 10 years old, reassessment is not required for UFs 6, 10, 11, 15.2, 16, 17 and 18since construction has already been completed under previous concessions. However, the Concessionaire is conducting modifications to six of the nine existing licenses (i.e. UF 7, 8, 9, 12, 13, 14 and 15.1) to reflect changes to the original project design, such as inclusion of second carriageways. This includes an updated PAGA for UF21, which is being redesigned to avoid potential impacts on trees on the Tunnel Verde corridor.
E&S aspects of the other 12 UFs that involve lower risks are assessed and managed through PAGAs, which include: i) E&S Assessment; ii) Management Plans and Monitoring; and iii) Community Engagement. These PAGAs are approved by the Regional Environmental Authority – the Regional Corporation of Valle del Cauca (CVC).
Even though some of the assessments mentioned above cover cumulative E&S aspects, to fully align with IFC PS1 requirements, per ESAP #1 the company will conduct a Cumulative Impact Assessment and Management Plan for the project in line with IFC PS1 and IFC’s Good Practice Handbook on Cumulative Impact Assessment and Management.
Social Risk Management: The Concessionaire has in place a Social Management Plan based on local regulations and the Equator Principles, and several other ESMPs addressing social risks, beyond those described under the PS4, PS5 and PS7 sections below, including, among other: Socioeconomic Management Program; Social Infrastructure and Accessibility Program; Road Safety Culture Program; and Project's Adjacent Community Education and Training Program.
Cultural Heritage: The project is unlikely to impact any recognized cultural, historical, or archaeological sites. The different E&S assessment have covered these aspects and the Archaeological Preventive Program (APP), including a Chance Finds Procedure, aligned with IFC PS8, has been approved by the Colombian Institute of Anthropology and History (ICANH in Spanish)
Organizational Capacity and Competency: Per the concession agreement the company is required to allocate the resources and personnel necessary to implement the ESMS and ESMPs. The company has in place a robust E&S team, with specialized teams in environment (11 people), social (land acquisition, ethnic minorities, and stakeholder engagement) (56 people) and OHS (3 people), all managed by and Environmental Director and a Social Director. Additionally, the EPC contractor must have E&S and OHS specialists (a total of 27) to monitor performance at work fronts. The company relies on experienced external consultancy firms to conduct additional E&S studies, where required.
Emergency Preparedness and Response: Sacyr has a corporate Emergency Preparedness and Response Procedure (EPRP), which outlines how to develop, implement, and update emergency measures, depending on the activity developed in each work center. The EPRP requires an Emergency and Evacuation Plan for each new project, which must contain action sheets for all probable emergency scenarios. The Concessionaire has in place its own EPRP and Contingency Plan for construction and will have one for the O&M phase, to identify the project’s threats and vulnerability and define the standard operative procedures to act in case of emergency, the conformation of emergency response team and its training, the resources required, the communication chain, periodic communication, and drills.
Climate Change: Sacyr has a corporate Climate Change Policy defining the company's commitment to energy saving and control of air emissions, and to minimize climate risks and promote the resilience of its projects worldwide. Consequently, the Concessionaire has developed the Climate Change Program, including a diagnosis of the weather patterns in the influence area, considering different scenarios (2040, 2070 and 2100) and climatic variables. The Concessionaire has also reviewed data on emergency events that occurred in the project’s area of influence and conducted a risk assessment, considering the climate change threats and vulnerabilities related to four aspects: slopes, drainage works, structures, and pavements.
Monitoring and Review: Sacyr Group has developed a platform to monitor the Quality, Environment, and Energy Management System (QEEMS) across all its projects worldwide, including the UNIVIAL. This platform enables the monthly registration of environmental information such as personnel training, emergency response, resource consumption (e.g., water, wastewater discharges, plastic bags, fuels, electricity, tires, paper, chemicals), waste management, and biodiversity. The Concessionaire additionally monitors the non-conformities and corrective actions resulting from internal or external audits to the QEEMS. The Concessionaire conducts internal audits at least annually to verify compliance by its own staff and the EPC with Sacyr’s E&S policies, national regulations, and contractual obligations. Results are disclosed to top management, and procedures ensure that the project legal E&S requirements are up to date.
In addition to the above, the project’s E&S performance is monitored periodically by the Project Supervisor, ANLA, the Ministry of the Environment’s Directorate of Forests, Biodiversity and Ecosystemic Services; the Regional Environmental Authority (CVC), and the Lenders, including IFC. The company must submit quarterly E&S Performance Reports and an E&S Closure Plan to the ANI. ANLA typically visits projects annually. At the end of the concession, the company must submit an E&S closure and lessons learned document to the ANI.
Contractor Management: The Company has in place contractually binding E&S Requirements for Contractors, which reference local regulations and IFC PSs, as well as a Contractor OHS Management Program and Labor Management Manual. Considering that the EPC is also a subsidiary of Sacyr, it also follows the same corporate E&S policies and procedures as the Concessionaire, which it applies to its subcontractors. The EPC E&S performance is monitored as described under the Monitoring and Review section above.
PS2: Labor and Working Conditions
As of December 2024, the project is in the construction phase with 288 direct employees and 244 contractor workers, for a total workforce of 532. Approximately 70% of UNIVIAL’s workers are from the project’s direct area of influence and approximately 38% are female. At the peak of construction, it is expected that the project will have 2100 workers approximately (328 direct and 1,807 through the EPC). During operations the Concessionaire is expected to have approximately 225 direct employees.
Human Resources Policies and Procedures: Sacyr's Corporate Social Responsibility Policy and Plans emphasize gender equality, non-discrimination, fair treatment, and suitable working conditions. Sacyr seeks to comply with labor regulations in its countries of operation through its Internal Labor Regulations Policy, covering recruitment, working conditions, and employee rights. In 2014, Sacyr signed a Framework Agreement to uphold principles from the ILO, OECD, and UN Global Compact guidelines, addressing aspects related to labor rights, non-discrimination, and worker welfare. Sacyr Colombia’s Corporate Human Resources Policies follow national regulation and establish the principles and guidelines to guarantee workers’ labor rights and working conditions, avoid discrimination and promote equal opportunities, freedom of association, and protection of workers from other types of labor harassment and abuse, including zero tolerance for sexual harassment.
At project level, the concessionaire has developed procedures aligned to PS2 and applicable to all its employees, contractors and suppliers, including provisions to eliminate child and forced labor. Employees, contractors and subcontractors are required to follow Sacyr’s Corporate Code of Conduct (CoC) which prohibits discrimination, child labor and forced labor. The CoC extends their provisions to the entire Sacyr’s value chain including suppliers.
Working Conditions and Terms of Employment: Sacyr is committed to implementing fair and equitable standards for wages, benefits, and health and safety working conditions. The concessionaire establishes terms of employment for both direct employees and contracted workers in accordance with local labor laws and aligned with PS2. Sacyr has a control and compliance audit procedure to monitor adequate implementation of working conditions for direct workers and contractors’ workers. The audit process involves workers voice, and the scope of the audit includes the assessment of working conditions, comprising contract verification, payment of social security benefits and monthly salaries, working hours and overtime, due disciplinary and termination process, contractor management, grievance mechanism effectiveness, compliance with affiliation and contributions payment to the Social Security System.
Workers’ Organizations: The Concessionaire’s CoC and Internal Labor Regulations recognize the workers’ freedom of association, as required by Colombian legislation. Currently there are no unions operating in the project or EPC, and there has not been a collective bargaining process.
Non-Discrimination and Equal Opportunity: Sacyr’s CoC states its corporate principles for business ethics and establishes the guidelines to promote ethical, honest and responsible behavior applicable both for direct and contractors’ workers. The CoC mentions the commitment for equal opportunities and non-discrimination. Sacyr is implementing strategies to promote gender equality reducing the gender gap at the workplace in Colombia. As such, they have obtained EQUIPARES, a certification for gender equality management system. They have also implemented a gender inclusion program (Mujeres Todo Terreno) resulted in 300 women from the affected communities trained to develop different jobs in the construction sector. The project has planned at least 30% of female participation in the workforce.
Grievance Mechanism: A Workers' Grievance Mechanism (WGM) is in place to receive claims or complaints from workers, including an anonymous submission option for CoC violations. The concessionaire has a Harassment and GBVH Procedure to prevent and manage such aspects, which is handled by the Workers' Coexistence Committee (WCC). As part of ESAP #2, the Concessionaire will update the WGM in line with IFC PS2 to include more submission channels, a clear process for resolving grievances promptly, and anonymous complaint options and include specific steps for addressing GBVH cases with a survivor-centered approach, including anonymity and confidentiality. WCC members will be trained in the GBVH approach. Sacyr will disclose the updated WGM mechanism and harassment protocol to all workers, ensuring their awareness and understanding of the tools and processes available for issuing complaints.
Occupational Health and Safety: Sacyr's OHS Management Unit ensures compliance with the OHSMS and Manual. Based on local regulations and ISO 45001:2018, it aims to minimize risks, improve continuously, and comply with the OHS Policy. The OHSMS includes policies like Alcohol & Drug Policy and Road Safety Policy applicable to the company and contractors. The Concessionaire conducts communication and training activities for employees on OHS issues including induction sessions for new employees, annual reinductions, periodic training, and daily toolbox talks. Job Hazard Analysis and work permits are completed by personnel and supervisors. Measures include executing procedures for all project activities and investigating accidents to identify measures to avoid recurrence. The Project generates monthly OHS monitoring reports covering accident rates, indicators, active breaks, safety talks, work site inspections, emergency preparedness, and OHS Committee activities. Workers are provided with adequate personal protective equipment and its use is enforced. Periodic meetings with senior management review the efficacy of the OHSMS. The Concessionaire monitors OHS performance of its own activities and the EPC through an annual plan, conducts medical exams for workers, and records OHS KPIs.
Workers Engaged by Third Parties: Labor and OHS policies and obligations are extended to the contractors and subcontractors through signed agreements as detailed in the Labor and Working Conditions Manual for Contractors. This document includes provisions to audit contractors and subcontractors’ compliance with labor and OHS requirements including the implementation of corrective actions as needed.
Supply Chain: Sacyr's Corporate CoC seeks to ensure that its supply chain does not involve child labor. Additionally, its CSR Policy mandates that its supply chain respect human and social rights and adheres to stringent environmental and OHS standards.
PS3: Resource Efficiency and Pollution Prevention
Resource Efficiency: The project is taking steps to enhance resource efficiency, including energy, water, and construction materials. The Concessionaire has set goals within its ESMS to reduce electric energy consumption and reuse pavement milling. Additionally, it monitors water and energy usage regularly. The concession includes provisions for the implementation of a Water Efficiency Program.
Greenhouse Gases: Per the concession agreement the company is required to submit a GHG Reduction Program considering Colombia’s Ministry of Environment’s guidelines for including climate change variables in projects (|https://ghgprotocol.org/sites/default/files/standards/protocolo_spanish.pdf). The projects Climate Change Program establishes a procedure to assess GHG emissions based on the internationally recognized methodology, the GHG Protocol. It is estimated that the project’s Scope 1 and 2 GHG emissions during operation will be below 25,000 tonnes of CO2- equivalent annually.
Pollution Prevention: The project's ESIAs and PAGAs have identified and assessed various pollution-related impacts on surrounding communities during construction and operation, including noise, particulate matter, vibrations, among others, and thus management measures have been put in place to mitigate these impacts through the relevant ESMPs, including among others a Soil Management Program; Superficial Water Management Program; and Air Quality Management Program. Domestic liquid wastes (e.g. from portable bathrooms located at work fronts) are managed by third-party suppliers and consists of transporting off site to an approved wastewater treatment facility as per the current Wastewater Management Plan. The Concessionaire is required to meet national noise standards related to construction and operation, and such impact has been assessed and managed through the ESIAs and PAGAs and relevant ESMPs. The Concessionaire has established measures to prevent noise during construction through the periodic maintenance of machinery and inspections of equipment and conducts noise monitoring in accordance with the parameters and frequencies established in the current environmental regulations or as specified in the Environmental Licenses.
Waste & Hazardous Materials Management: Sacyr's Corporate Circular Economy Policy focuses on optimizing natural resources, reusing waste as raw materials, prioritizing recycling, and incorporating eco-design criteria. The project’s Waste Management Procedure ensures compliance with local legislation, detailing requirements for waste identification, classification, labeling, storage, and management, along with guidelines for waste reuse and recycling. Additionally, a work safety standard for chemical handling and a contingency plan for hazardous materials emergencies are in place.
Per ESAP#3, the concessionaire will develop a Noise, Air Quality, Water, Waste, and Hazmat Management and Monitoring Plan to further align the management of these aspects with World Bank Group (WBG) EHS Guidelines (General and Toll Roads), including steps to implement measures to mitigate any exceedances vis-à-vis local or WBG EHS parameters.
Pesticide Use and Management: The project has a procedure for revegetation and erosion control activities, which, per ESAP #4, will be expanded to an Integrated Vegetation and Pesticides Management Plan (IVPMP) aligned with PS3 requirements and IFC EHS Guidelines for Toll Roads. The IVPMP shall clearly demonstrate the Company’s adherence to the mitigation hierarchy to ensure vegetation maintenance is not carried out beyond that which is necessary for safety, avoid the removal of unnecessary vegetation that may result in native communities’ successional interruption, and an increased likelihood for invasive species establishment. The IVPMP shall promote the planting of native and non-invasive species, and the use of mechanical control measures instead of herbicides, as feasible. The IVPMP shall also include procedures for the safe storage, handling, and application of pesticides.
PS4: Community Health, Safety and Security
The ESIAs and PAGAs and related ESMPs cover multiple aspects related to community health and safety and as part of its Community Education and Training Program, the Concessionaire will conduct sessions to inform and train local communities on topics such as disease prevention, road safety, and waste management, aiming to improve their quality of life. Additionally, the Concessionaire has an Emergency Preparedness and Response Plan (EPRP) and a contingency plan for managing emergencies, which have been communicated to employees and local authorities through talks and drills. The project is not expected generate a significant influx of outside worker’s, with related risks, given that most of the workers will be hired from local communities
Per ESAP #5 the company will develop a GBVH risk assessment, update of the existing GBVH framework and corresponding plan to manage identified gender-related risks focusing on the prevention of GBV and the promotion of a safe and equitable environment.
Road Safety: The Concessionaire as a Road Safety Policy and the project design considers road safety measures according to Colombian legislation and good industry practices, for which the concessionaire commissioned multiple "Alignment and Geometric Design, Signage, and Road Safety Assessments" conducted by qualified experts. Additionally, during construction the project will implement a Traffic Management Plan (TMP) for each work front, coordinating mobility changes with communities, workers, and local authorities. The TMP will outline routes, detours, strategies, and road safety measures to ensure pedestrian and driver safety. It will also include infrastructure to guide pedestrians to safe crossings, and involves installing signage, billboards, barriers, fencing, and facilities for pedestrians and cyclists. The Regional Traffic Police will conduct educational activities for road users and pedestrians. Temporary pedestrian walkways will be established during construction, and "Stop and Go" sites will regulate traffic to ensure safe vehicle flow.
Security: The Valle del Cauca Department has been impacted by violence and crime over the years, increasing the contextual security risk for the project. Sacyr has in place a Human Rights Policy, which is also reflected in its corporate CoC and the concessionaire has commissioned a security risk assessment and the security firms engaged by the company have robust human rights policies, CoC and implement trainings to their personnel in human rights, use of force, firearms and the adequate use of force. The selection of security personnel follows adequate screening process. Per ESAP #6, the Concessionaire will develop a Security Management Plan aligned with IFC PS4 and IFC’s Good Practice Handbook on the Use of Security Forces to prevent and mitigate any risks related to security, human rights and related engagement with communities.
PS5: Land Acquisition and Involuntary Resettlement
The land requirement for the project includes 528 properties. Since the previous concession was interrupted in 2019 the land acquisition process and resettlement have different degrees of progress throughout the right of way (RoW). Prior to the current concessionaire, 71 out of the 528 required plots were acquired by INVIAS, ANI or the previous concessionaire. These 71 plots have been registered and transferred to ANI in accordance with Colombian legislation. The current concessionaire has confirmed that no liabilities associated with the plots already owned by ANI have been transferred to the project and no gross violations with PS5 objectives have been identified. The concessionaire redirects any current grievances related to these plots to ANI for resolution. According to ESAP#13 (Stakeholder Engagement and Grievance Redress Procedure), the concessionaire will develop a procedure to assess residual risk and vulnerabilities from eligible Project Affected People (PAP) affected by past resettlement and identified through the project’s Grievance Redress Mechanism (GRM). In case any ongoing residual risk and vulnerabilities are identified mitigations will be available linked to existing Social Management Programs or Community Development initiatives, as needed.
Per the concession agreement, UNIVIAL is responsible for implementing the land acquisition and resettlement process for the remaining 528 properties involving physical and economic displacement of 786 households for which the concessionaire has developed a Resettlement Action Plan (RAP) referencing local requirements and IFC PS5, The RAP is partially aligned with PS5 provisions regarding all type of PAPs, replacement cost, security of tenure and livelihood restoration need to be strengthened. As of December 2024, the concessionaire has successfully carried out acquisition of 223 properties (these added to the already liberated 71 plots from past resettlement represent 93% of the total required land) through negotiated settlements, avoiding expropriation, and resulting in the resettlement of 107 Project-Affected Persons (PAPs). Per ESAP #7 the concessionaire will prepare a "Supplemental Resettlement Action Plan" (SRAP) to further align the process with PS5 for ongoing and future resettlements including entitlements for all types of PAPs considering but no limited to informal vendors and irregular occupants of public spaces present prior to UNIVIAL. For those PAPs who have already been compensated and resettled by the concessionaire, the SRAP will assess and monitor the achievement of PS5 outcomes on a case-by-case basis, identifying any residual risks and current vulnerabilities for which solutions will be offered (in cash or kind) to mitigate these risks, including those related to asset depreciation for eligible PAPs, where applicable. The SRAP will also include a robust Evaluation and Monitoring component, including provisions for commissioning a Resettlement Completion Audit by a qualified third party to be conducted at the end of the resettlement process (ESAP #8).
While the client has implemented the process through negotiations, when negotiated settlements are not feasible, expropriation is available as an option. As part of ESAP#7, the SRAP will integrate provisions to align the compensation with PS5, if needed, after the expropriation process is completed.
In addition to the above, the concessionaire has identified 28 areas in the RoW that have been occupied after the cut-off date, which renders those occupants’ ineligible for compensation under the RAP and PS5. The project has developed a procedure to recover public spaces, which includes provisions to protect the RoW for further occupation. According to Colombian legislation the legally sanctioned eviction process will take place in coordination with local authorities, respecting occupants’ human rights. The SRAP will integrate the provisions of the procedure to recover public spaces and update the process to include protections to this group in alignment with PS5 provisions.
Separately, in 2017, under a previous concessionaire, project works created unforeseen risks for 67 vulnerable households settled in the project's RoW from the Lobo Guerrero Afro-Colombian Community (ACC). To mitigate the safety risks to these households, the previous concessionaire provided them with temporary residences, where they lived for the past seven years. The temporary resettled PAPs are considered vulnerable people according to the Colombian regulation. Under the Concession Agreement between UNIVIAL and ANI, and as part of the 2024 Free Prior and Informed Consent (FPIC) agreement between UNIVIAL and the Lobo Guerrero ACC, which is in line with IFC PS7 on Indigenous Peoples, a resettlement process was agreed for these 67 households (see details of the FPIC process under the PS7 section below). The concessionaire has developed a separate Resettlement Action Plan (RAP) for Loboguerrero designed in line with IFC P5. UNIVIAL will monitor this process under the Ethnic Minorities Management and Monitoring Plan (ESAP #12) and evaluate its outcomes under the Resettlement Completion Audit (ESAP#8).
PS6: Biodiversity Conservation and Sustainable Management of Living Natural Resources
The Project crosses the WWF Ecoregions: Chocó-Darién moist Forests, Northwestern Andean montane Forests, Cauca Valley montane forests and Cauca Valley dry forests, and runs through a wide range of Modified, Natural and Critical Habitats. The corridor overlaps 1,46 km (approx.), of the Reserva Forestal Yotoco (Key Biodiversity Area (KBA) – Important Bird Area (IBA) and crosses the KBA Enclave Seco del Río Dagua by 9.31 km. Additionally, crosses two National Protective Forest Reserves (IUCN Management Cat. VI): Quebrada Guadualito y El Negrito and Rio Dagua, finally is adjacent to three IUCN Cat VI protected areas: the Soil Conservation District - Rio Grande Canyon, the Regional Integrated Management District - Enclave Subxerofitico de Atuncela, and to the Regional Integrated Management District - Laguna de Sonso or Chircal.
Sacyr has a Biodiversity Policy that outlines strategies for minimizing environmental impact, promoting the conservation of natural habitats, integrating biodiversity considerations into project planning and execution; and contribute positively to ecosystems by implementing measures such as habitat restoration, sustainable land use, and collaboration with stakeholders.
Baseline studies (ESIAs and PAGAs) registered numerous Priority Biodiversity Values including several range-restricted and threatened flora species (national and global), including the cactus Stenocereus humilis – a Critical Habitat Biodiversity Value. Additionally, two globally endangered amphibians (EN: Oophaga anchicayensis and Strabomantis ruizi), two EN at national level: the reptile Anolis calimae and Penelope perspicax (bird), and finally, more than 20 range-restricted fauna species. Per ESAP #9, the concessionaire will fully map and quantify the patches of Natural and Critical Habitats (under PS6 approach), that could be affected by the new footprint. Additionally, in the identified patches, will conduct additional targeted surveys to confirm the presence of Priority Biodiversity Values. The season for the additional surveys will be defined depending on the target groups, according to the information review and consequent experimental design.
Sacyr estimated 137 hectares (approx.) of new footprint, of which, 27.6% are natural land covers (mostly fragmented forest: 19.42 ha). The most relevant UF for PS6 due to the loss of Natural and Critical habitats are UF 5, 7, and 8. During construction phase, main impacts for biodiversity will be habitats loss (patches of Critical and Natural due to the construction of 35 km of new dual carriageway, and other facilities), and loss / affectation of fauna and flora; while for the operational phase: wildlife run overs along the 155 km corridor, and other impacts associated to projects crossing Legally Protected Areas (LPAs) and Internationally Recognized Areas (IRAs), and Natural and Critical Habitats.
According to the environmental instruments (ESIAs and PAGAs, and 55 related resolutions), the project needs to develop and implement a compensation strategy aligned with Colombian law: 3014.9 hectares (total), that must be implemented in different vegetation covers / ecosystems, defined as national and regional priorities. Sacyr is making progress in a preliminary offset feasibility analysis, to identify key stakeholders to engage and options for suitable offset areas that can meet both legal compensation requirement and PS6 Net Gain and No Net Loss requirement.
Regarding wildlife runovers, UNIVIAL has identified that the most relevant sectors for such risk are UF 17 (inside Reserva forestal Bosque de Yotoco), UF 6 and UF 16, affecting mammals, birds, and reptiles. To mitigate this impact, UNIVIAL will implement 61 wildlife crossings by national regulations, and effectiveness monitoring was committed through the ESMPs. At present, the concessionaire has identified possible locations, considering LPAs, IRAs, and priority vegetation land covers.
As per ESAP #10 the concessionaire will develop and implement a Biodiversity Action Plan (BAP), following PS6 guidance, to mitigate and offset residual impacts on Priority Biodiversity Values, including those from the right-of-way, quarries, borrow pits, material deposits and any Project facilities. The BAP will include: i) An assessment to determine the significance of residual impacts on Critical and Natural Habitats, which will consider existing mitigation measures (e.g. fauna crossings and their efficiency, legal compensatory requirements) and define how to fill any gaps, ii) An Offset Program and its implementation plan, that integrates the legal compensation program with PS6 requirements, iii) A stakeholders consultation on the development of the BAP and Offset, iv) Additional Conservation Programs, as appropriate, to promote and enhance the conservation aims and effective management of the KBAs, and LPAs crossed by the Project.
Per ESAP #11 the concessionaire will develop and implement a Biodiversity Management and Monitoring Plan focused on the Priority Biodiversity Values identified in the Critical Habitat Assessment and corroborated to Natural and Critical Habitats remnants that the Project will affect: i). Develop protocols for fauna and flora rescue and relocation and its effectiveness (construction and operations phases), emphasizing in greater risk species, such Stenocereus humilis ii). Monitoring the effectiveness and efficiency of wildlife crossings, incorporating thresholds for adaptive management (operations phase), and iii). Incorporating additional effort for Priority Biodiversity Values (fauna, flora and Natural and Critical Habitats), into the monitoring programs required by national regulations.
PS7: Indigenous Peoples
The project crosses 11 Afro-Colombian Communities (ACCs) directly impacting 17 ha (0.018%) of their total territory. These ACCS are recognized under Colombian legislation as ethnic minorities and subject to Free Prior and Informed Consent (FPIC); hence IFC PS7 is relevant for this project. To date 16 FPIC processes and resulting agreements, which are aligned with IFC PS7, have been formalized with these 11 ACCs. The FPIC agreements involve, among others, commitments such as landscape restoration, forestry compensation, resettlement, and infrastructure investments, which are under implementation. Most of these FPIC agreements were achieved by previous concessionaires between 2007 and 2014 and were inherited by UNIVIAL. There was no need to reopen 13 previous FPIC agreements because there were no changes in the related road sections design or impacts. Under the new concession, UNIVIAL has renewed two existing FPIC agreements due to changes in project design and conducted a new FPIC process for new impacts in another section. In the case of the Loboguerrero ACC the renewed FPIC agreement (2024) includes a RAP for 67 families affected under past concessions (see details in PS5 section above).
Each ACC has been represented by its Community Council (Consejo Comunitario) composed of a General Assembly, a legal Representative, and a Board, making decisions collectively, and the process also involved the MoI, the Ethnic Minorities Unit of the Department of Valle del Cauca, the ANI, and the relevant concessionaire. All proceedings are documented, including agreements, meeting sessions, implementation progress, and payments. The Concessionaire is currently implementing and monitoring all agreed-upon projects, continuing through the construction phase and possibly into the O&M phase and its closure must be certified by the MoI. Each ACC can appoint experts to advise and ensure good practices, with the Concessionaire facilitating their involvement.
In addition to the implementation of the FPIC agreements, UNIVIAL proactively engages with all the ACCs on an ongoing basis to ensure culturally appropriate and two-way communication to address any community concerns, for which it has in place an Ethnic Minorities Dialogue Unit and specialized staff. The Concessionaire has in place an Ethnic Minorities Engagement Manual (EMEM) based on local legal requirements for guiding the engagement with ethnic groups, including guidelines for meetings, grievance mechanisms, communication, job hiring, and conflict resolution, ensuring respectful interactions. If any other communities claim the right to FPIC during the project's life, the company will follow the established legal process through the MoI.
Colombia’s Constitution and legal framework, particularly Law 70/1993 based on ILO Convention N°169/1989, guarantees the right of ethnic groups to FPIC before any project that could affect them is approved or implemented. This process aligns with IFC PS7 requirements and involves the project developer conducting the FPIC process with the participation and supervision of the Directorate of the National Authority for Prior Consultation (DANCP), part of the Ministry of Interior (MoI). The FPIC process includes, among other, the following aspects: confirmation by the MoI of the need for FPIC, capacity building for community leaders, participatory workshops to identify impacts and agree on mitigation measures, formalization of agreements, implementation of agreed measures, and monitoring and closure, all supported by qualified anthropologists and other experts. Achieving FPIC is a condition for obtaining Environmental Licenses, and relevant aspects are captured in the ESIA/PAGA, ESMPs, and other relevant E&S plans.
Per ESAP #12, UNIVIAL will prepare an Ethnic Minorities Management and Monitoring Plan in line with local regulations and IFC PS7, expanding the EMEM to include objectives and principles, description of the affected ethnic minorities communities, implementation of FPIC agreements, procedure in case of requests of FPIC by other ethnic minorities, engagement and grievance redress protocols, and monitoring and evaluation, including of the implementation of the RAP for the Lobo Guerrero ACC (see PS5 section) . The Plan will cross-reference the Stakeholder Engagement and Grievance Redress Procedure (ESAP #13).
