VISP: Novi Sad Bus Company

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Overview

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.

Provision of working capital facility to Javno gradsko saobracajno preduzece Novi Sad (the "company"), an existing EBRD client, in line with the Bank's Vital Infrastructure Support Programme (Window 2).

Project ID 52229

Status Cancelled

Location

Serbia

Business Sector

Municipal Infrastructure

Notice Type

State

Company Contact Information

Milovan Amidzic
gspns@gspns.rs
www.gspns.co.rs
Futoski put 46, 21000 Novi Sad, Serbia

Project ID 52229

Status Cancelled

Location

Serbia

Business Sector

Municipal Infrastructure

Notice Type

State

Environmental Category

Approval Date

24 Jun 2020

Disclosure date

19 May 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.

Project description

Project objectives

The objective of the project is to address working capital needs which arose due to Covid-19 crisis and to strengthen the company's overall financial resilience and sustainability.

Transition impact

ETI Score:60

The Transition Impact of this project is aligned with the Vital Infrastructure Support Programme under the Bank's Covid-19 Solidarity Package. The project contributes to the "Resilient" quality as it entails addressing current liquidity shortages of the company resulting from a sudden, significant change in economic activity due to a crisis event. The main purpose is to help the company with a stabilisation facility in a form of liquidity support to compensate for temporary revenue losses due to Covid-19 related issues.

Client information

PUBLIC TRANSPORT COMPANY OF THE CITY OF NOVI SAD

Javno gradsko saobracajno preduzece Novi Sad, public transport company founded by the City of Novi Sad (the "city" or "Novi Sad").

EBRD Finance Summary

EUR 7,000,000.00

Up to EUR 7 million senior loan to the company to be split in two tranches: a committed tranche of up to EUR 4 million and an uncommitted tranche of up to EUR 3 million.

Total project cost

EUR 7,000,000.00

EUR 7,000,000

Additionality

Financing Structure: Crisis response - EBRD financing is provided under the extraordinary circumstances of the Covid-19 crisis and effectively bridges a liquidity gap due to adverse market conditions (coronavirus pandemic).

The Bank's ability to respond quickly to immediate needs is also a key additionality element.

Environmental & Social Summary

Categorised B (2019 ESP). The proposed use of proceeds (working capital facility) is not associated with any new environmental or social risks or impacts, since the Bank's loan will not finance capital expenditure investments. The Company is an existing client and a detailed Environmental and Social Due Diligence (ESDD) was conducted by an independent consultant in 2019. This ESDD concluded that the Company has the institutional capacity to operate in compliance with the Bank's PRs and with national legislation, and an Environmental and Social Action Plan (ESAP) and Stakeholder Engagement Plan were agreed. Limited additional ESDD for this project has been undertaken in-house, in line with the Bank's ESDD approach to COVID-19. The Company has addressed public safety and occupational health and safety risks linked to the COVID-19 response in line with Government guidelines. The Company has reportedly implemented health and safety measures for employees and passengers, such as: disinfection of all facilities; social distancing warning signs (number of people in the buses and seating order); and requiring the wearing of protective equipment (gloves and facial masks) for employees, drivers and passengers; as well as remote working wherever possible. Communication with passengers is well managed via various channels and all bus stations and buses have guidelines for passenger behaviour. The Company does not currently plan any labour restructuring or redundancies.

This solidarity loan does not require additional monitoring or reporting above that already in place, nor are additional ESAP items required. The Client is required to continue to ensure that the new project complies with the Performance Requirements. The EBRD will continue to monitor the Company's environmental and social performance via reporting for the previous transaction.

Technical Cooperation and Grant Financing

n/a

Company Contact Information

Milovan Amidzic
gspns@gspns.rs
www.gspns.co.rs
Futoski put 46, 21000 Novi Sad, Serbia

Implementation summary

PSD last updated

01 Jun 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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VISP: Novi Sad Bus Company

Overview

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

Implementation summary

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)