36254 - Cleaner Production Facility for Fundacion Cardio

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

Summary of Investment Information

Project Number

36254

Company Name

FUNDACION CARDIOVASCULAR DE COLOMBIA

Date SPI Disclosed

Dec 22, 2014

Country

Colombia

Region

Latin America and the Caribbean

Projected Board Date

Feb 20, 2015

Environmental Category

C - No Impact

Status

Hold

Last Updated Date

Nov 30, 2016

Department

Gbl Ind, Manufact, Agribus & Services

Industry

Health, Education and Life Sciences

Sector

Hospitals and Clinics

Project Description

The project is a Cleaner Production Lending Facility (CPLF) loan of US 1.7 million to Fundacion Cardiovascular de Colombia (“Fundacion Cardio” or “FCV), an existing IFC client since June 2012.

Fundacion Cardio (FCV) is a high complexity hospital in Bucaramanga, with 200 beds, established 25 years ago as a nonprofit foundation. It also operates three other hospitals in different cities of Colombia; Santa Marta (140 beds), Ibague (80 beds) and Manizales (135 beds). IFC has provided a US 30 million A loan to FCV for the expansion of its facilities, in a new 460 bed hospital in Bucaramanga (HIC). The hospital is under construction and should be operational by the end of 2015.

The loan is targeted for the replacement of older equipment with more energy efficient models. This project is attractive for FCV as it not only provides a payback period in a moderate amount of time (for a clear financial incentive to invest) but most importantly since the new A/C system is deemed essential for hospital operations (temperature control, sterilization) and thus patient safety and comfort.

Sponsor / Cost / Location

Development Impact

1. Demonstration effect: IFC will help FCV lead the way demonstrating to other existing hospitals in the country that implementing clean technologies does reduce costs for a positive cost-benefit proposition.

2. Climate change: Replacing the air conditioning equipment would yield 46% reduction in current energy bills, while installing LED lighting would reduce this usage by 40% over current consumption, contributing to climate change mitigation (reduced greenhouse (GHG) emissions which will be qualified through project assessment).

1. IFC''s financing under the CPLF will provide a stamp of approval for FCV towards becoming a more environmentally sustainable process and operations, and help reinforce the demonstration effect that FCV has in other high complexity hospitals in Colombia and the region, investing in technologies that are cleaner and reduce operational expenses. The intervention proposed will improve FCV''s competitiveness by reducing energy costs.

2. The fast track nature of CPLF as well as the appropriate tenor on the loan will provide an incentive to FCV to pursue this energy efficiency investment, and consider more investment projects in the future in the 20+ year old facilities. This will be an opportunity for FCV to gauge the fast track CPLF offering, as an efficient financing option for energy savings, at present in Bucaramanga; and in the future in the other sites it operates, with focus on A/C, lighting and imaging.

3. This CPLF engagement with IFC''s Green Buildings Specialist might lead to possible interest in EDGE certification for their new hospital under construction.

E&S Category Rationale / Risks and Mitigation

This is a category C project according to IFC’s Procedure for Environmental and Social Review of Projects. This is a CPLF project and additional environmental and social impacts arise from construction activities during the replacement of the existing equipment (e.g. air conditioning systems, light bulbs and X-ray equipment) all which will be done within FCV’s existing footprint. Additional impacts are therefore expected to be minimal.

Key Environmental and Social (E&S) issues and risks associated with this project include management and oversight of contractors, disposal of hazardous waste (e.g. refrigerants, bulbs), management of occupational health and safety during construction and/or demolition and integrity of mechanical systems. These are all issues which can be properly managed during well-executed construction works given the relatively minor scale of the projects, The impacts will be managed under the existing Environmental and Social Management System developed by FCV. The proposed project will replace older equipment with more energy efficient models, these will be environmentally beneficial changes.

Contacts

For Inquiries About the Project, Contact

Dr. Victor Castillo
E-mail: mailto:victorcastillo@fcv.org
Tel: +57 7 6796470

For Inquiries and Comments About IFC, Contact

General IFC Inquiries
IFC Corporate Relations
2121 Pennsylvania Avenue, NW
Washington DC 20433
Telephone: 202-473-3800
Fax: 202-974-4384
E Mail: Webmaster

Local Access of Project Documentation

Mrs. Carolina Valenzuela
E-mail: mailto:cvalenzuela1@ifc.org
Tel: +57 1 3192340
Fax: +57 1 3192359

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 Summary of Investment Information (SII) is prepared by IFC to disclose a factual summary of the main elements of the potential investment. 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 SII 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 SII is disclosed in accordance with IFC's Access to Information Policy (AIP) that went into effect on January 1, 2012.

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

Summary of Investment Information

Project Description

Sponsor / Cost / Location

Project Sponsor and Major Shareholders of Project Company

Total Project Cost and Amount and Nature of IFC's Investment

Location of Project and Description of Site

Development Impact

Anticipated Impact Measurement & Monitoring (AIMM) Assessment

IFC's Role and Additionality

E&S Category Rationale / Risks and Mitigation

Environmental & Social Categorization Rationale

Environmental & Social Management System (ESMS)

Press-Release

Related Environmental Document

Similar Projects

Contacts

Information on E&S Complaints and Grievance Mechanisms

Disclaimer