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Issue Papers

[Issue paper] Some ways forward for the EBRD - NGO proposals for the EBRD Capital Resource Review 4

(January 18, 2010)

CEE Bankwatch Network
Even before the current economic crisis there were clear signs that the transition to a market economy in central and eastern Europe, which the EBRD is mandated to promote, is coming with a high social price tag attached. The EBRD's own survey on transition in 2007 - at the height of the boom times - included the alarming finding from 29,000 respondents across the region that trust in society had plummeted since 1989.

The economic crisis has added urgency to these findings, raising difficult questions for the EBRD about its role in the transition countries and the sustainability of the free market model it has been promoting for nearly two decades.

While there has been plenty of discussion about needing to learn lessons from the crisis, it is not yet clear what has concretely changed in the EBRD’s operations. Bankwatch, supported by 45 other organisations, is requesting that any increase in the EBRD's capital is conditioned on improvements - laid out below - in the bank’s practices.



[Issue paper] Introduction of cyanide leaching of gold in Bulgaria

(November 20, 2009)

Centre for Environmental Information and Education (CEIE), CEE Bankwatch Network
The briefing outlines plans to introduce the highly toxic chemical cyanide into the leaching of gold in Bulgaria. It describes the fierce public opposition to it and the shortcomings in the EIA process for the Chelopech, Kurdjali and Krumovgrad projects. It also points to the risks for the environment and human health, and to the questionable applicability of the technique for Bulgaria.



[Issue paper] a BELENE chronology

(October 26, 2009)

Greenpeace, WISE, BeleNE Coalition
A fact sheet choronologically outlining the events and developments of the Belene Nuclear Power Plant project from 1981 until October 2009.



[Issue paper] Via Baltica photo update - New imminent damage to Knyszyn Forest Natura 2000 site

(September 9, 2009)

Polish Society for the Protection of Birds (OTOP), Polish Green Network (PGN), CEE Bankwatch Network
An updated report on the progressing road construction in North-East Poland. The report includes photographs showing how construction works at the Bialystok-Katrynka section are now continuing within the NATURA 2000 site.



[Issue paper] Via Baltica update - destruction continues in Natura 2000 sites

(August 10, 2009)

CEE Bankwatch Network, Ogólnopolskie Towarzystwo Ochrony Ptaków
As construction plans for several other controversial sections of the motorway proceed at high speed, another Natura 2000 site - the Knyszyn Forest - finds itself in danger and with it the habitats of at least 15 bird species and mammals like wolf, lynx and the European bison. 

CEE Bankwatch Network and the Polish Society for the Protection of the Birds (OTOP/BirdLife Poland) urge the European Commission to call on Poland to halt these road works until appropriate European environmental legislation is respected.


[Issue paper] Dam Big Impact - The energy sector development in Georgia

(July 23, 2009)

Green Alternative, CEE Bankwatch Network
The energy policy of the Georgian government supported by a number of IFIs, aims at utilising the hydroenergy potential in the country in order to overcome the existing energy crisis. But effectively, this policy has the potential to cause significant negative impact on the environment, to drastically change the social and demographic situation in Georgia’s mountain areas and to devastate the existing cultural heritage.

In order to ensure that former mistakes of the energy sector planning are taken into account and that the process of Georgia’s power sector development is sustainable, it is essential that the international financial institutions enforce a moratorium on the funding of any large dam construction in Georgia and to ensure public participation in the development of the power sector’s strategic planning process in Georgia.





[Issue paper] High voltage power lines, Ukraine - EBRD AGM Issue Paper

(May 20, 2009)

CEE Bankwatch Network
In April 2009 the National Energy Company of Ukraine – Ukrenergo – announced plans to construct two new high voltage transmission lines with hoped for financial support from the EBRD. A closer look at the background details reveals information that neither the project sponsor nor the EBRD provided. Based on them, it seems that in close cooperation with Ukrenergo the EBRD will rather improve Ukraine's capacity to export electricity from its nuclear blocks under the smokescreen of serving the local needs.



[Issue paper] Corridor Vc motorway, Bosnia-Herzegovina - EBRD AGM Issue Paper

(May 16, 2009)

CEE Bankwatch Network
In 2008 the EBRD signed a loan for EUR 180 million for several sections of the planned 330 km long Corridor Vc motorway in Bosnia-Herzegovina. Communities living along the route are concerned about the expected negative effects on or even the destruction of valuable arable land. Furthermore another problem lies in the motorway’s routing through or nearby tentative UNESCO World Heritage sites, two planned national parks and other ecologically valuable terrain.

Although not all these issues fall within the sections to be financed by the EBRD, both the EBRD and the EIB (as another potential sponsor) should nevertheless take responsibility for a socially and environmentally acceptable conduct of the project as a whole.



[Issue paper] Porto Romano thermo power plant, Albania - EBRD AGM Issue Paper

(May 16, 2009)

CEE Bankwatch Network
The Porto Romano TPP is yet another project that aims to improve energy security in Albania, yet the construction of such a large TPP powered by imported coal can hardly be reckoned to constitute sustainable development. Nevertheless, and despite the fact that coal-fired TPP plants are widely recognised as the most climate-wrecking forms of electricity generation, the governing elite in Albania is determined to have one in its own backyard. The question remains if this determination is based on a strategic assessment of energy generation and efficiency in the country, not to mention due consideration of TPP technologies and responsible deliberation about Albania’s long-term carbon emissions.

Given the past and present involvement of the EBRD in other energy generation projects in Albania, such as the combined-cycle power plant in Vlora, Bankwatch and the Albanian Ekolevizija coalition call upon the bank not to consider the Porto Romano TPP for finance.



[Issue paper] The progress of the Gazela slum resettlement project, Belgrade, Serbia - EBRD AGM Issue Paper

(May 16, 2009)

CEE Bankwatch Network
The Gazela Bridge in Belgrade, Serbia is in urgent need of renovation. Three hundred families, predominantly Roma, who live in informal settlements under the Bridge are to be resettled. So far the resettlement process lacks proper planning and open public consultation with affected communities and Roma experts. And also the EBRD’s involvement as a technical assistant has not led to the establishment of the institutional, financial and legal solutions that are necessary to effectively promote Roma inclusion.

The issue paper identifies major issues and concerns on the ground and offers recommendations for the EBRD’s engagement.



[Issue paper] Dnipro Tunnel PPP in Kiev - EBRD AGM Issue Paper

(May 16, 2009)

CEE Bankwatch Network, National Ecological Centre of Ukraine (NECU)
In September 2008 the EBRD issued a USD 30 million loan for the Kiev City Traffic Management project which involves the planned construction of a major tunnel under the river Dnipro. Despite rising costs of now about USD 1.0 billion, no justification has been provided as to why this highly controversial tunnel has been chosen among other solutions to Kiev’s transportation problem.

Instead of supporting a costly and economically risky project whose planning process is non-transparent and doesn’t answer the most probing questions, the EBRD should push the Kiev City Council to focus on sustainable development of the city transport infrastructure, based on thorough strategic planning and the examination of alternatives including soft measures to reduce congestion.



[Issue paper] Adjara Solid Waste Management project, Georgia - EBRD AGM Issue Paper

(May 16, 2009)

CEE Bankwatch Network
While the planning process of the solid waste management project for the Autonomous Republic of Adjara is well advanced (first draft of EIA report in December 2008, public consultation meeting in February 2009), the Association Green Alternative has found several problematic concerns. Among them are the lack of information for affected communities, the absence of vital aspects in the EIA process and the disregard of potential negative social impacts of the project. These concerns should be taken into account before financing by the EBRD is granted.



[Issue paper] D1 Motorway, Slovakia - EBRD AGM Issue Paper

(May 15, 2009)

CEE Bankwatch Network
The D1 motorway is one of the key priorities of the Slovak government and in line for EBRD and EIB support. The government as repeatedly declared its intention to finish the project by 2010, but the currently planned route was not subject to an Environmental Impact Assessment and represents a serious impact on the NATURA 2000 network.

Apart from the disregard of EIA recommendations which favoured a variant that bypasses almost all important natural habitats, several crucial questions have to be asked at the EBRD London AGM on May 15-16.



[Issue paper] Nabucco: a short sighted answer to the energy security challenge - EBRD AGM Issue Paper

(May 15, 2009)

CEE Bankwatch Network
Both EBRD and EIB consider support for the construction of the Nabucco gas pipeline. But proponents of the project successfully avoid several important issues. Among them are the human rights records of the potential partners Turkmenistan and Azerbaijan, both ranked among the most authoritarian regimes in the world.

There is also a major risk that in order to quickly use EU funding, the environmental and social impact assessments will have to be conducted in a rush and will omit the impacts on the Caspian Sea, the largest lake in the world. So far, it has not been demonstrated if there is an economic as well as development justification for the project.



[Issue paper] Chelopech gold and copper mine Bulgaria - EBRD AGM Issue Paper

(May 15, 2009)

CEE Bankwatch Network
After visiting Chelopech TMF in October 2008, members of the Petition Committee of the European Parliament report an 'immediate threat to public health, water, soil and agricultural production, and the climate conditions in the region' posed by the Mining project. Their report recommends further investigations by EC and Bulgarian Government and calls for implementation of EU environmental law and basic rights and principles.

Meanwhile, Chelopech Mining did not follow best practice regarding public information and consultation in its Environmental Impact Assessment (approved in 2008) and the application procedure for a complex Integrated Pollution Prevention and Control. The EBRD’s decision to extend financing for the project remains highly problematic as the bank holds its annual meeting in London.



[Issue paper] Visaginas Nuclear Power Plant in Lithuania

(April 13, 2009)

CEE Bankwatch Network, Atgaja Community, Latvian Green Movement
With the planning and preparatory process for the new Visaginas Nuclear Power Plant in Lithuania well underway, a first version of the Environmental Impact Assessment Report has been issued last September. Bankwatch member groups from the Baltic States, participating in the public consultation process of the report, are calling for other than nuclear alternatives and the development of a responsible and sustainable energy sector in the region.
This Issue Paper critically reviews the EIA Report for the Visaginas NPP and points at alternative solutions to compensate the expected capacity cut following the final Ignalina NPP shut-down by the end of this year.


[Issue paper] Chelopech gold and copper mine Bulgaria

(April 9, 2009)

CEE Bankwatch Network
Only four months after the Board of Directors at the European Bank for Reconstruction and Development (EBRD) had approved an increase to the original loan for the Canadian Dundee Precious Metals Development for its Chelopech gold and copper mine in Bulgaria, the Petitions Committee at the European Parliament deemed the situation at the mine’s tailings dam as alarming during the site visit on 29 October 2008. The questions to be asked are what is happening on the ground and on the basis of what information the EBRD decided to extend the financing for the Chelopech mine.


[Issue paper] Pumped storage plants are not green investments

(December 10, 2008)

CEE Bankwatch Network
In November 2008, the National Environmental Investment Agency of Ukraine decided to direct money from the International Greenhouse Gases (GHG) Emissions Trading into the construction of pumped storage plants (PSPs). Yet PSPs totally contradict the idea, as they do not lead to the decrease of carbon emissions and will harm the environment.


[Issue paper] South-east Europe energy policies

(December 8, 2008)

Southeastern Europe Development Watch (SEEDW)
South-east Europe (SEE) is at the hub of several contradictory factors influencing the development of its energy systems. On one hand, it is endowed with plentiful sources of renewable energy and has vast potential for increasing energy efficiency. On the other its legacy of communist-era power plants and inefficient transmission and distribution systems means that electricity generation continues to be associated with large, centralised, highly polluting facilities, or in some cases - particularly Albania - ageing and unreliable large hydropower plants. The region’s energy intensity is very high - in the cases of Serbia and Kosovo2 up to 2.5 times that of European OECD countries - due to ageing power plants from the 60s and 70s, dilapidated and inefficient distribution networks and inefficiency on the demand side. Many buildings are poorly insulated and the use of electricity for space heating is common in urban areas, while in rural areas wood is the dominant fuel. The private car use is growing (with a high proportion of relatively old vehicles in some countries), and electrical appliances are growing in number but many are still old and inefficient.
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