Summary of the Request

The Request to the MICI was submitted by Mr. Leonardo Crippa on behalf of the indigenous communities residing in different villages of the “Istmo de Tehuantepec” in the State of Oaxaca, asking for the MICI to conduct a Consultation and a Compliance Review process. The members of the community stated that they had been affected by the Mareña Renovables Wind Project that was partially financed by the Bank. The harm described by the communities included environmental harm, in particular, to the maritime fauna and the migratory birds in the area. In addition, the Request alleged actual and potential harm to the lifestyle of the indigenous communities and to their traditional livelihood of fishing. The Request stated that the harm was caused by a lack of adequate public consultation and shortcomings in the evaluation of potential harm, and by insufficient information-sharing with the communities about the potential impacts. The Requesters also alleged that the harm was caused in part by the Bank’s failure to request an evaluation of the adverse effects on the indigenous communities and its failure to consider the same communities as potential beneficiaries of the Project to be developed on their lands.

The members of the communities have requested confidentiality out of fear of retaliation and potential attempts at bribery.

MICI actions

Recent Actions

On January 30, 2017, Management submitted a Work Plan to address the recommendations made by MICI in its Compliance Review Report for consideration of the IDB Board of Executive Directors.

On March 8, 2018, Management presented the Progress Report to the Board of Directors, and subsequently requested MICI to publish it on the Public Registry.

On August 24, 2018, Management presented to the Board of Directors the document "Final Report on IDB Management’s Actions to address MICI Compliance Review Report Recommendations on Mareña Renovables Wind Project."

Given that for this case the Executive Board did not request MICI to follow up on Management’s actions, with the Case Closure Report presented by the latter, MICI closes the management of the case.

The Work Plan, the Progress and Final Reports presented by Management and the Case Closure Report are available in the case chronology.

Past Actions

The Request was declared ineligible for the Consultation Phase on February 1, 2013. The Requesters’ Representative was informed of this decision and asked the Executive Secretary of the MICI to postpone the transfer of the case to the Compliance Review Phase for a period of 20 business days in order to contact the Requesters, explain the situation to them, and inform them of the possibility of initiating the Compliance Review Phase.

On March 8th, 2013, the Requesters’ Representative confirmed their intent for the Request to be transferred to the Compliance Review Phase. The Request was declared eligible for the Compliance Review Phase on September 8, 2013. The Panel subsequently began preparing the Recommendation and Terms of Reference for a compliance review, and upon receiving the comments from Management and the Requesters, submitted the recommendation for a Compliance Review to the consideration of the Board of Executive Directors, which gave its approval for it to be conducted. 

On April 6th, 2016, Requesters and Management received the Draft Compliance Review Report so that both parties can send written comments to the MICI before May 20th (period of 45 calendar days, in accordance with the 2010 MICI Policy under which this case has been handled).

On September 2016, MICI issued the Compliance Review Report for the “Mareña Renovables Wind Project” (ME-L1107) whose main findings are:

Environment and Safeguards Compliance Policy (OP-703),the Administration failed to comply with the provisions set in this Policy: i) by failing to ensure the timely disclosure of information in times, places, formats and languages to carry out effective public consultations; ii) by not ensuring compliance with local laws; and iii) by not promptly identifying existing social risks in the area.

Access to Information Policy (OP-102), the Bank failed to comply with the obligation to disclose the environmental and social information of the Project. From 22 mandatory disclosure documents, only 5 were disclosed.

Policy on Indigenous Peoples (OP-765), Management did not ensure that the conditions to carry out consultation and good faith negotiation with indigenous communities affected by the project were met.

On September 14 of 2016, the IDB Board of Executive Directors as the Committee of the Whole considered this Report and expressed its support with the presented findings, requiring from Management to prepare a work plan to implement the recommendations contained in the Report. Also, the Board of Executive Directors requested that MICI accompany this process going forward.

The Board called to ensure that the institutional and regulatory framework of projects involving indigenous communities be based on international best practices in order to enable the Bank to work more effectively. In addition, it urged the Administration to strengthen its institutional capacity to assess social risks and operate in contexts of social conflict.

The Report and the Final Decision of the Board are available in the chronology section below.