Spar Retail and Logistics Sustainability

Location:

Slovenia

Project number:

44969

Business sector:

Agribusiness

Notice type:

Private

Environmental category:

B

Target board date:

25 Jun 2013

Status:

Repaying

PSD disclosed:

24 May 2013

Translated version of this PSD: Slovak

Project Description

The EBRD is considering the provision of a long-term loan of up to EUR 40 million to the Slovenian retail company Spar Slovenija d.o.o. (the “Company”). The loan will be used to finance part of the Company’s capital expenditure plan, which includes amongst others significant energy efficiency investments..

Transition Impact

The transition impact of the proposed Project derives from setting standards of corporate governance and business conduct in the retail sector in Slovenia, in particular with respect to sustainable supply chain management and building standards, as well as the reporting of sustainable best practice.

The Client

Spar Slovenija d.o.o., a subsidiary of Spar Austria Group.

EBRD Finance

A senior loan of up to EUR 40 million.

Project Cost

EUR 100 million.

Environmental Impact

The Project has been categorised B in accordance with the EBRD Environmental and Social Policy 2008. Environmental and social due diligence (ESDD) has been undertaken by the Bank’s Environment and Sustainability Department based on a review of the Company’s corporate management systems and relevant information made available by the Company as well as a site visit and discussions with the Company’s representatives.

The Bank’s environmental and social due diligence showed that the Company has adequate corporate systems in place to manage their environmental, health and safety (EHS) issues and that at both the corporate and store level the Company is substantially compliant with Slovenian regulatory EHS requirements.

An Environmental and Social Action Plan (ESAP) has been developed, and agreed with the Company, to address the necessary mitigation measures and improvements which will allow the Company to achieve compliance with national regulations and the Bank’s PRs. Specifically, the ESAP requires the Company to develop procedure for environmental and social risk assessments for all new supermarkets during the site selection, develop mitigation measures to manage the risks and potential impacts for all new supermarkets and address deficiencies of the Company’s performance in relation to the construction activities and HR and labour risks.

The ESAP also contains requirements to develop and implement number of actions as they specified in the transition impact section to improve Spar’s operations in terms of sustainability, with a particular focus on modern supply chain management and resource efficiency, implementation of sustainability disclosure standards in Spar operations as well as among their suppliers. Implementation of the ESAP will help the Company to achieve compliance with international standards and will bring the Company beyond the prevailing EHS standards in the sector in Slovenia and will enable a capacity to create a blueprint for sustainability monitoring and reporting in the food retail sector and its supply chain.

The Bank will monitor the Companies’ environmental and social performance for the lifetime of the loan through annual environmental and social reporting and via periodic site visits. The Companies will be required to immediately notify the Bank of any incidents or accidents likely to have an effect on the environment, employees and public safety.

Technical Cooperation

The Bank has undertaken an energy efficiency audit of reference retail facilities of Spar Slovenija, funded under the Energy Performance Assessment Framework.

Company Contact

Jure Petkovsek, Finance Director

E-mail: jure.petkovsek@spar.si

Phone: +386 (0) 1 5844 400

 

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP 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. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

Project Complaint Mechanism (PCM)

The Project Complaint Mechanism (PCM) is the EBRD's accountability mechanism. It provides an opportunity for an independent review of complaints from individuals and organisations concerning EBRD-financed projects which are alleged to have caused, or are likely to cause, environmental and/or social harm.

Please visit the Project Complaint Mechanism page to find information about how to submit a complaint. The PCM Officer (pcm@ebrd.com) is available to answer any questions you may have regarding the submission of a complaint and criteria for registration and eligibility, in accordance with the PCM Rules of Procedure.