Indonesia Geothermal Resource Risk Mitigation Project (GREM) (WB-P166071)

Countries
  • Indonesia
Where the impacts of the investment may be experienced.
Financial Institutions
  • World Bank (WB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
Bank Risk Rating
U
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Sectors
  • Climate and Environment
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 225.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 485.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ WB website

Updated in EWS Nov 29, 2019

Disclosed by Bank May 15, 2018


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Project Description

According to the bank document, the Geothermal Resource Risk Mitigation Project for Indonesia is to scale up investment in geothermal energy development and reduce greenhouse gas emissions in Indonesia.  Some of the negative impacts include:

(i) land clearance for good pads, roads, pipelines and supporting infrastructure will cause direct damage or destruction to natural habitats;

(ii) water abstractions and discharges to water of treated wastewater or drilling fluids and other wastes cause direct or indirect impacts on habitats and species;

(iii)indiscriminate dumping of hazardous and solid waste to riparian zones and waterways;

(iv) discharge of contaminated muds and fluids to the ground;

(v) loss of topsoil, landslides and other severe erosion from road construction, pipelines, pad construction, borrow pits, quarries, fill sites;

(vi) interference from pumping or reinjection of geothermal water, or from the abstraction of freshwater;

(vii) contamination of groundwater from interference with geothermal water from abstraction wells or reinjection wells;

(viii) drilling rig operations, increased traffic, well discharge testing, heavy machinery, and blasting for roads or quarrying – all emit noise not otherwise experienced in the project area;

(ix) dust emissions from road construction, land clearance, site activities;

(x) some risks relating to working with machinery, traffic accidents, falling into ponds, scalding from hot fluids and steam, toxic gas emissions;

Early Warning System Project Analysis

"The sub-projects will fall into either Category B or Category A Classification". Even though the Draft EIA report has been published since May 2018, the project will likely trigger all the Safeguard policies, excepting Pest Management OP 4.09, Projects on International Waterways OP/BP 7.50, and Projects in Disputed Areas OP/BP 7.60. 

Investment Description
  • World Bank (WB)
Contact Information

*There is no further project information is being disclosed at this stage of the project*

FOR MORE INFORMATION CONTACT

The World Bank

1818 H Street, NW Washington, D.C. 20433

Telephone: (202) 473-1000

Web: http://www.worldbank.org/projects

ACCOUNTABILITY MECHANISM OF WORLD BANK

The World Bank Inspection Panel is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by a World Bank-financed project. If you submit a complaint to the Inspection Panel, they may investigate to assess whether the World Bank is following its own policies and procedures for preventing harm to people or the environment. You can contact the Inspection Panel or submit a complaint by emailing ipanel@worldbank.org. You can learn more about the Inspection Panel and how to file a complaint at: http://ewebapps.worldbank.org/apps/ip/Pages/Home.aspx.