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IFC expects the Project to expand access to critical grid infrastructure, create quality engineering and manufacturing jobs, and support workforce upskilling and industrial development in Croatia. Beyond the Project outcomes, IFC anticipates that its financing will promote greater resilience, competitiveness, and sustainability in the European electrical equipment sector through demonstration effects and strengthened regional supply chains.

The proposed IFC investment provides financial and non-financial additionality. Financial additionality is provided through long-term financing and mobilization of private capital. Non-financial additionality is provided through enhanced environmental and social standards and potential workforce advisory support.

Indicator	Metrics	Comments	Calendar Year 2022	Calendar Year 2023	Calendar Year 2024
Direct Employment (#) Operations And Maintenance	individuals		Not Available	Not Available	Not Available
Gross Value Added	USD M		Not Available	Not Available	Not Available
Value of Assets Traded (annual)	USD M		Not Available	Not Available	Not Available

This is a Category B project according to IFC's 2012 Policy on Environment and Social Sustainability. The proposed project will have limited adverse E&S risks and/or impacts that are few, site-specific, largely reversible, and readily addressed through existing mitigation measures and good international industry practices (GIIP). Key E&S risks and issues associated with this project include: (i) the adequacy and consistent application of the corporate and facility level E&S management systems and organizational capacity to assess and manage E&S risks and impacts during the construction and operational phases of the sub-projects; (ii) labor and working conditions management (including construction contractors, sub-contractors and immigrant workers), OHS, and prevention of Gender-based Violence and Harassment (GBVH) risks; (iii) hazardous materials & waste management (including potential asbestos); (iv) supply chain E&S risk management; (v) emergency preparedness and response including life and fire safety; and (v) stakeholder engagement and community grievance management.

Please refer to the related Environmental and Social Review Summary (ESRS) document for this project.