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Uganda - Private Power Generation Project : inspection panel investigation report (Английский)

The Panel's investigation for the Private Power Generation Project found that it is designed to provide an increase of 250 MW of power generation capacity to the national grid in Uganda. Uganda is facing a serious power supply crisis. The Panel wishes to place on record that it considers energy a crucial factor in Uganda's development. However, as this report shows, energy production requires considerable care in order to ensure that social, economic, and environmental aspects are properly considered, in line with the Bank policy, to adhere to sound development practices and avoid situations where costs, including social and environmental costs, outweigh the benefits expected from what are usually sizable investments. The Request raises a number of environmental, hydrological, social, cultural, economic and financial concerns, and contends that a failure of the Bank to follow its own operational policies and procedures in the design and appraisal of the Project will result in serious harm to the people living in the Project area and to the environment. The management response of April 2007 states that experienced Bank staff and consultants were engaged to work on the preparation of this Project, that economic, financial, safeguard, technical and other analyses were done to a high standard, and that they took into account the findings of the Panel's 2002 investigation of the previous Bujagali project in the design and preparation of the Project. The Panel examined a range of issues, including the impact of hydrologic risk on energy output, the potential impact of the Project on the levels of Lake Victoria, and the risks from climate change. The Panel noted the substantial body of analysis under the Project, and found that the hydrologic data sets used in Project design constitute a reliable data series and an appropriate baseline for analysis in compliance with OP 4.01. The Panel also found, however, important areas of non-compliance with OP 4.01 and OP 10.04.

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