ACWA Zarqa Thermal Power Station (MIGA-14770)

Countries
  • Jordan
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • European Bank for Reconstruction and Development (EBRD)
  • International Finance Corporation (IFC)
  • Multilateral Investment Guarantee Agency (MIGA)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
A
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Oct 17, 2016
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
Industrial and Commercial Bank of China
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Grant
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 247.19 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Primary Source

Original disclosure @ MIGA website

Updated in EWS Sep 23, 2017

Disclosed by Bank Aug 23, 2016


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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.
This summary covers a proposed non-shareholder loan facility and a hedging arrangement (interest rate swap) from Industrial and Commercial Bank of China Ltd. (ICBC) for the Al Zarqa Power Plant for Energy Generation PSC (APZ) in Jordan. The lender has applied for MIGA guarantees of up to US$247.19 million to cover principal, interest and interest rate swap for a period of up to 20 years against the risks of transfer restriction, expropriation, breach of contract, and war and civil disturbance. The project involves the design, construction, ownership, operation and maintenance of a combined cycle dual fuel thermal power generating facility (APZ) with a net installed capacity of 485 megawatt in Zarqa Governorate of Jordan. The project will be located approximately four km northeast of Zarqa city and 40 km northeast of the capital city of Amman. It will replace a 363 megawatt power plant, the Hussein Thermal Power Station (HTPS), which was in operation for over 30 years until it was decommissioned in December 2015. The Project is expected to generate close to 3,200 gigawatt-hour annually. The power generated will serve 620,000 residential customers. The new power plant will utilize imports of natural gas through the Aqaba New Liquefied Natural Gas Terminal. The Project is aligned with the Government of Jordan's goal of increasing the share of natural gas in the country's energy mix.
Investment Description
Here you can find a list of individual development financial institutions that finance the project.

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.
Accountability Mechanism of the IFC The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/

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