RF - Stadler Minsk Resilience Support

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Overview

The provision of a € 20 million working capital loan to support operations of Stadler Minsk. The EBRD loan will allow Stadler Minsk to withstand the impact caused by the Covid-19 pandemic on its production. The funds will be used to support the production against the exisisting rolling stock orders and mitigate the disruption of supply materials.

This project was approved in the context of the Bank's response to the COVID-19 pandemic. To avoid delays to the delivery of this project, the Bank's President granted a deviation from the ordinary timelines for PSD disclosure, as contemplated by Section V of the Directive on Access to Information. Details of the Bank's response to COVID-19, and this deviation, can be found on our website.

Project ID 52092

Status Complete

Location

Belarus

Business Sector

Transport

Notice Type

Private

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Company Contact Information

Mikhail Shumski
Mikhail.Shumski@stadlerrail.com
+375 1716 22 953
www.stadlerrail.com
CJSC Stadler Minsk 47 Zavodskaya Str. 222750 Fanipol, Dzerzhinsk District, Region of Minsk Belarus

Project ID 52092

Status Complete

Location

Belarus

Business Sector

Transport

Notice Type

Private

Environmental Category

Approval Date

23 Jun 2020

Disclosure date

24 Jun 2020

As permitted by paragraph 2.6 of Section III of the Access to Information Policy, disclosure of this PSD was deferred in accordance with paragraph 1.4.4 of the Directive on Access to Information.

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Project description

Project objectives

The proposed working capital support facility will allow the company to deliver the contracted orders in a timely manner and maintain its competitive advantage as a reliable provider of the rolling stock in the region.

Transition impact

ETI Score:85

Transition Impact (TI) goal of this operation is to preserve the gains achieved under the ongoing project with Stadler Minsk.

The TI agenda for the existing Project has been focussed on, inter alia, setting standards of corporate governance and business conduct (establishment of the board of directors), dispersion of skills, obtainment of energy efficiency, environmental and health & safety certifications (ISO 9001; ISO 14001 and OHSAS 18001) (Well-Governed quality) as well as market expansion, launch of specific production lines (establishment of converter competence centre) and Company's ability to independently participate in various tenders on its own (Competitive quality).

Client information

STADLER MINSK CJSC

CJSC "Stadler Minsk", a subsidiary of the Stadler Rail AG, a Swiss manufacturer of railway rolling stock. The company produces suburban and regional transport trains, light rail vehicles, metro trains and trams. Stadler Rail serves customers worldwide.

EBRD Finance Summary

EUR 20,000,000.00

Total project cost

EUR 20,000,000.00

Additionality

COVID-19 crisis response: the EBRD financing effectively bridges a liquidity gap due to adverse market conditions, e.g. the COVID-19 crisis.

The Bank is highly additional in absence of immediate commercial bank capital, constrains of which are not directly linked to the Company's capacity to receive such financing. Sponsor's financing is currently deployed for critical working capital needs throughout the Group. The Bank's ability to respond quickly to client's needs is also a key additionality element.

Environmental & Social Summary

Categorised B (ESP 2019). This an existing client of the Bank; the Environmental and Social Due Diligence (ESDD) was therefore based on the review of the most recent Environmental and Social (E&S) audit report (May 2019), recent annual E&S reports and an updated corporate E&S and COVID-19 questionnaires.

To date, the Company has demonstrated good E&S performance and has largely implemented the agreed Environmental and Social Action Plan (ESAP). The Company has certified quality, environmental and occupational health and safety management systems in line with ISO 9001, ISO 45001, and ISO 14001 standards. Contractor management provisions are in place, and environmental and occupational health and safety parameters are included in contractors' selection criteria. All employees have a written Employment Agreement. Working conditions and remunerations are determined by a number of Internal Regulations (covering Workplace, Wages, Bonuses, Provision of Guarantees and Social Benefits). The Company has a grievance procedure in place for collecting and addressing complaints and suggestions from the employees, including anonymous complaints.

The Company has all necessary environmental permits and contracts with specialized companies for collection, treatment, utilisation and disposal of waste. The areas of temporary waste accumulation and storage of paints and varnishes need to be improved; this issue should be solved when the new painting workshop, including additional warehouse for paints and varnishes, will become operational.

The Company has robust fire safety arrangements in place. The Emergency Preparedness Plan is in place and revised annually. Fire safety trainings for all employees and visitors are conducted during the safety induction and periodically for all employees at the workplace.

The ESDD identified that the Company has a robust business continuity plan in place and follows strict procedures related to containment of COVID pandemic in line with WHO and corporate regulations. Current situation related to COVID restrictions will not have any adverse impacts on implementation of the previously agreed ESAP and general compliance with EBRD environmental and social requirements. Adequate Health and Safety resources are in place and there will be no retrenchment of personnel. The Bank will continue monitoring the implementation by the Company of its environmental and social commitments.

Technical Cooperation and Grant Financing

None.

Company Contact Information

Mikhail Shumski
Mikhail.Shumski@stadlerrail.com
+375 1716 22 953
www.stadlerrail.com
CJSC Stadler Minsk 47 Zavodskaya Str. 222750 Fanipol, Dzerzhinsk District, Region of Minsk Belarus

PSD last updated

07 Dec 2020

Understanding transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with the EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and its associated Environmental and Social Requirements (ESRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the ESRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation, and to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about the environmental and social (E&S) performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD also requires its clients to disclose information, as appropriate, about the risks and impacts of projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all of the Bank's activities in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The EBRD believes that identifying and resolving issues in the project assessment and approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts andhelps to monitor integrity risks in projects post-investment.

OCCO is further responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, either within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to compliance@ebrd.com. OCCO will follow-up all matters reported. It will review all matters reported. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP, which entered into force on 1 January 2025, sets out how the EBRD discloses information and consults with its stakeholders to promote better awareness and understanding of its strategies, policies and operations. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (for example, through the client’s project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the mechanism is: to support dialogue between project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or the project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate and how to submit a Request for review. Alternatively, contact IPAM by email at ipam@ebrd.com for guidance and more information on IPAM and how to submit a request.

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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RF - Stadler Minsk Resilience Support

Overview

Project timeline

Company Contact Information

Project description

Project objectives

Transition impact

Client information

EBRD Finance Summary

Total project cost

Additionality

Environmental & Social Summary

Technical Cooperation and Grant Financing

Company Contact Information

PSD last updated

Understanding transition

Business opportunities

General enquiries

Environmental and Social Policy (ESP)

Integrity and compliance

Access to Information Policy (AIP)

Independent Project Accountability Mechanism (IPAM)