In Kenya, multiple hauliers play a significant role in the transportation sector. These operations often intersect with environmental and social considerations, particularly concerning the communities and ecosystems affected by their activities. Addressing these concerns requires robust mechanisms and procedures.
Trucks at Mombasa Port, Kenya. Source: Wikimedia Commons
IFC's Role in Environmental and Social Issues
The International Finance Corporation (IFC) supports its clients in addressing environmental and social (E&S) issues arising from their business activities. This support is provided by requiring its real sector clients to set up and administer appropriate grievance mechanisms and/or procedures to address complaints from Affected Communities in relation to environmental and social issues arising from IFC's clients' business activities.
Since 2012, IFC's Financial Intermediary clients applying the Performance Standards are required to develop External Communications Mechanisms to receive and review inquiries or complaints from any interested party regarding the E&S risks and impacts of their operations.
Grievance Mechanisms and Complaint Procedures
For IFC projects that are active or under consideration, individual(s), or their authorized representative(s), who allege they have been or will be adversely affected by E&S risks or impacts arising from IFC's clients' business activities, may submit a complaint to IFC directly for consideration.
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When receiving an E&S complaint, IFC engages with complainants and works with its clients to find solutions to E&S concerns as quickly and efficiently as possible. IFC complaint response is separate from and complementary to IFC’s clients’ project level grievance mechanisms and IFC’s Independent Accountability Mechanism (CAO).
Lodging a complaint directly with IFC does not, at any time, restrict access to CAO.
The Compliance Advisor Ombudsman (CAO)
In addition, Affected Communities have unrestricted access to the Compliance Advisor Ombudsman (CAO), the independent accountability mechanism for IFC. The CAO is mandated to address complaints from people affected by IFC-supported business activities in a manner that is fair, objective, and constructive, with the goal of improving environmental and social project outcomes and fostering greater public accountability of IFC.
Independent of IFC management and reporting directly to the World Bank Group President, the CAO works to resolve complaints using a flexible, problem-solving approach through its dispute resolution arm and oversees project-level audits of IFC's environmental and social performance through its compliance arm.
Complaints may relate to any aspect of IFC-supported business activities that is within the mandate of the CAO. They can be made by any individual, group, community, entity, or other party affected or likely to be affected by the environmental or social impacts of an IFC-financed business activity.
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Here is a summary of the roles:
| Mechanism | Purpose | Accessibility |
|---|---|---|
| IFC Grievance Mechanism | Addresses E&S complaints related to IFC clients' business activities. | Direct submission by affected individuals or representatives. |
| CAO (Compliance Advisor Ombudsman) | Independent accountability mechanism for IFC; resolves complaints and audits E&S performance. | Unrestricted access for affected communities. |
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