A sovereign loan of up to EUR 10 million to the Republic of Azerbaijan (the "Borrower") for the benefit of the Ganja City House-Community Production Union (the "Company"). The Bank will support the upgrade of the municipal solid waste collection infrastructure (waste collection and street cleaning vehicles and containers) in the city of Ganja, as well as improvements in operational and financial efficiencies.
Azerbaijan has a National Solid Waste Management Strategy (the "NSWMS"), among others including construction of new landfills, closure of old dumpsites, construction of transfer stations and support to recycling and recovery systems. The Project will address some urgent needs identified in the NSWMS applicable to Ganja city area. The Government of Azerbaijan is committed to implementing the improvements in solid waste management as identified in the NSWMS.
The project will help to improve the waste collection services in the city of Ganja in terms of improved waste collection service coverage rate and environmental, health and safety standards.
ETI score: 70
The Project will help promote the "Green" transition quality by improving waste management and reducing the negative impacts of waste collection on the environment. The Project will support the Company to meet best practices in waste management by purchasing low-emission vehicles and increasing the efficiency of waste collection through improved route planning. The Project will also support the "Well-governed" transition objective through the development of a corporate development programme.
The Borrower is the Republic of Azerbaijan represented by the Ministry of Finance. The Ganja City House-Community Production Union, a local public company under the Ganja City Executive Power, will be an implementing agency.
EBRD Finance Summary
Total Project Cost
The Project contains a number of additionality qualities: (i) The EBRD offers financing that is not available in the market from commercial sources on reasonable terms and conditions, which are necessary to structure the Project; (ii) The EBRD helps the Borrower to mitigate carbon transition risks and to take climate action, such as to move along a low carbon transition pathway; (iii) The EBRD provides expertise, innovation, knowledge and/or capabilities that are material to the timely realisation of the Project's objectives, including support to strengthen the capacity of the Company; (iv) The EBRD supports the Company to achieve higher standards by relying on the best international procurement standards.
Environmental and Social Summary
Categorised B in accordance with the 2019 Environmental and Social Policy. This Project will involve the financing of new vehicles and containers to support waste collection in the city.
Key environmental and social (E&S) risks and impacts to consider under the Project include: air emissions and odours, community health and safety, labour and occupational health and safety (OHS), vehicle safety and emission standards, occupational road safety and driver training, contractor management, issues associated with the existing and planned operations, and the Client's capacity for implementation of EBRD Performance Requirements. E&S due diligence will include the review of any available past reports and an environmental and social due diligence by an independent consultant. The Environmental and Social Action Plan implementation support will be provided through a post signing TC. This section will be updated upon completion of the due diligence.
Technical Cooperation and Grant Financing
The following technical co-operation ("TC") assignments are envisaged as part of this Project:
TC 1: Technical, Economic, Environmental and Social Due Diligence.
TC 2: Project Implementation and Procurement Support.
TC 3: Corporate Development Programme
TC 4: Green City Action Plan (GCAP)
Company Contact Information
Heydar Aliyev square Administrative Building Ganja city, AZ2000 Azerbaijan
PSD last updated
23 Nov 2020
Further information regarding the EBRD’s approach to measuring transition impact is available here.
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Environmental and Social Policy (ESP)
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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 activities of the Bank 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 Bank believes that identifying and resolving issues at the project assessment approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts, and also helps to monitor integrity risks in projects post-investment.
OCCO is also responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, both within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to email@example.com. All matters reported will be handled by OCCO for follow-up. All reports, including anonymous ones, will be reviewed. 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 sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations following its entry into force on 1 January 2020. 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 (e.g. 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 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; how to submit a Request for review; or contact IPAM via email firstname.lastname@example.org to get guidance and more information on IPAM and how to submit a request.