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Environmental & Social Review Summary
This Environmental and Social Review Summary(ESRS) is prepared and distributed in advance of the IFC Board of Directors' consideration of the proposed transaction. Its purpose is to enhance the transparency of IFC's activities, and this document should not be construed as presuming the outcome of the Board of Director's decision. Board dates are estimates only. Any documentation which is attached to this ESRS has been prepared by the project sponsor and authorization has been given for public release. IFC has reviewed this documentation and considers that it is of adequate quality to be released to the public but does not endorse the content.
Europe and Central Asia
E-AB - Rail Transportation
Izmir Metropolitan Municipality
Date ESRS disclosed
January 17, 2014
Invested: October 20, 2014
Signed: March 4, 2014
Approved: February 19, 2014
View Summary of Investment Information (SII),
E & S ProjectCategorizationand ApplicableStandards
E&S Risks /Impacts andMitigation
E & S ActionPlans
The proposed investment is a loan to the Metropolitan Municipality of Izmir to help finance the construction of two new tramway lines along the coast on opposite sides of Izmir Bay:
Konak Tramway Line: 13 km in length, requiring19 stations and 21 wagons, construction agreement targeted to be completed in April 2014; construction time targeted as 36 months; designed to handle 64 million commuters in 2017, when the line becomes operational and 92.6 million commuters in 2030;
Karsiyaka Tramway Line: 10 km in length, requiring15 stations and 17 wagons, construction agreement targeted to be completed in April 2014, construction time targeted as 36 months; designed to handle 72.6 million commuters in 2017, when the line becomes operational, and 100.3 million commuters in 2030.
Both lines are fully integrated with existing ferry piers and bus stations, and in the case of Konak, the metro system, so that passengers can switch from one mode of transportation to another at strategically located transfer stations with a single ticket. Both tramways will be fully electrified, mostly on dedicated lanes running alongside existing roads, thus there will be no need for land expropriation.
At the time of the appraisal, Izmir has an operational 16.2 km metro line and an 80 km suburban rail network. A 3.14 km metro line is under construction, and 5 additional metro lines that will be added to the existing route are at a design stage. As for sea transportation, with the 4 passenger and 2 vehicle ferryboats that IMM owns and 18 additional passenger ferryboats that it has procured, Izmir Metropolitan Municipality’s fleet now consists of 22 passenger and 2 vehicle ferryboats, carrying approximately 1.2 million passengers per month. A new fleet of 15 passenger ferry boats as well as 3 vehicle ferryboats are in the process of being procured and are expected to be operational one by one starting in 2014. These new ferryboats will have a higher capacity and will be faster, safer and more energy efficient than the existing fleet of the Municipality.
Izmir Metro A.S. will operate the tramway lines. Izmir Metro A.S. was established in 2000 by Metropolitan Municipality of Izmir to provide railway operation services.
The existing bus lines running parallel to the tramway lines (operated by ESHOT), will be re-routed to transport commuters to the tramway lines. Commercial shops and restaurants, on Gazi Bulvari (from Konak Iskele to Cumhuriyet Meydani) and on Bostanli to Pazaryeri and small workshops from Alsancak Train station to Depo will be affected during the construction and operational phases, as the existing road will be replaced by tramway lines and a narrow, single lane service road.
The project is expected to relocate around 900 trees and 150 bushes. The tram route has been adjusted in order to protect 250 mulberry trees on Sair Esref Boulevard A further 150 trees will be cut down as they cannot be relocated because of their height and/or physical and biological disorders. The Municipality plans to plant more trees in the same area than those that will be cut down, and also plans to plant additional trees in other parts of the city. In addition, as a result of the rehabilitation along the tramway lines, an additional green area of 52.000 m2 (which will include establishment of new parks, rehabilitation of existing parks and / or planting green grasses along tramway lines) is expected to be developed.
Due to the conversion of parking spaces into tramway routes, the coastal part and Cumhuriyet Meydani to Alsancak Train Station section of the Konak Tramway Project will be particularly impacted, with the number of car parking spaces reducing from 1,888 to 856. All parking slots are owned and operated by the Municipality, and the Municipality will be constructing several new car parks with a total capacity of almost 3,400 cars (a multi store car parking at Uckuyular with a capacity of approximately 1000 cars, 3 underground car parks with a total capacity of 600 cars along the tramway lines, and a 2 story underground car parks with a capacity of 1,800 cars). In order to minimize the reduction of parking spaces along Sair Esref Boulevard, the tramway route was revised and 197 car parking slots were saved. In addition, construction of a new multi store car parking with a capacity of 280 cars is almost completed along this section. Karsiyaka Tramway Project is not expected to affect the existing car parking spaces. Karsiyaka Tramway Project is expected to affect private “taxi dolmus” drivers which are working parallel to the tramway line. The Municipality is planning to provide taxi stations and/or alternative routes to taxi dolmus drivers that will be affected.
Izmir Tramway project will help to reduce Green House Gas (GHG) emissions due to replacement of diesel-fuelled bus services with electric-powered trams.
Overview of IFC's Scope of Review
The scope of review of this project included assessment of Izmir Metropolitan Municipality's environmental, health and safety and social (EHSS) management capacity and performance in relation to IFC Performance Standards, national (Turkish) regulatory requirements and relevant WBG Environmental Health and Safety (EHS) Guidelines. The review relied on documents and reports made available by Izmir Metropolitan Municipality and observation and interviews of IFC staff during a site visit made in October and November 2013 to Izmir Metropolitan Municipality, Izmir Metro A.S. (Izmir Metropolitan Municipality’s Metro Operator) and ESHOT (Izmir Metropolitan Municipality’s Bus Operator) in Izmir. During this visit, meetings and interviews were held with the key staff (senior management, project management, human resources, technical, environmental), and numerous relevant documents demonstrating the client’s management capacity to provide adequate oversight of its environmental, social, health and safety performance in conducting its business were discussed.
IFC’s appraisal considered environmental and social management plans for the Project and gaps, if any, between these plans and IFC requirements. Where necessary, corrective measures, intended to close these gaps within a reasonable period of time, are summarized in the following paragraphs as well as in the Environmental and Social Action Plan (ESAP) disclosed in this review summary. Through implementation of these management plans and ESAP, the Project is expected to be designed and operated in accordance with Performance Standards objective. IFC has two existing investments with the Metropolitan Municipality of Izmir related with traffic management and emergency response systems (category C, project number 31733) and with its water utility, Izsu, for the expansion of the Cigli wastewater treatment plant (category B, project number 32078). As these are recent investments, and no disbursement has yet taken place, no Environmental and Social Risk Rating (ESRR) has been assigned to this client to date. The ESRS for project 32078 can be reviewed from the following link:
Identified Applicable Performance Standards**
While all Performance Standards are applicable to this investment, IFC’s environmental and social due diligence indicates that the investment will have impacts which must be managed in a manner consistent with the following Performance Standards.
PS 1 – Assessment and Management of Environmental and Social Risks and Impacts
PS 2 - Labor and working conditions
PS 3 - Resource Efficiency and Pollution Prevention
PS 4 – Community Health, Safety and Security
PS 8 – Cultural Heritage
If IFC’s investment proceeds, IFC will periodically review the the project’s ongoing compliance with the Performance Standards
Environmental and Social Categorization and Rationale
This project has been classified as a Category B project as the expected E&S risks to be limited, generally site specific, and can be avoided or mitigated by adhering to generally recognized performance standards, procedures, guidelines or design criteria.
The net environmental impact of this investment is expected to be positive as a result of reduced GHG emissions. Key environmental and social issues include identification and management of environmental, social, occupational, health and safety risks of both construction and operational phases; managing potential economic displacement related with taxi dolmus drivers and commercial shops/restaurants; managing the adverse effects on trees and car parking slots along the project route; external communications, grievance mechanisms and ongoing reporting to affected communities; contractor management during the construction phase; and community health and safety during both the construction and operational phases.
As the tramways lanes will be on and alongside existing roads and car parking areas which belongs to Municipality, there will be no land acquisition or resettlement and thus PS 5 is not considered applicable. If this changes for some reason, e.g. the social assessment identifies economic displacement of businesses, residents or dolmus taxi activities, the Municipality will develop and implement a mitigation plan in line with IFC PS5 requirements.
As the project is not located within natural or sensitive habitat, PS6 is not considered applicable. No Indigenous Peoples are known to have been in the area or affected by the project thus no issues have been identified in relation to PS7.
Key environmental and social (E&S) issues and relevant mitigation measures are described in detail in the paragraphs below. In addition, Municipality and Metro A.S. will implement an Environmental and Social Action Plan. The ESAP is focused on priority mitigation measures to achieve compliance with IFC’s Performance Standards (PSs).
**Information on IFC's Policy and Performance Standards on Environmental and Social Sustainability can be found at www.ifc.org/sustainability
Environmental and Social Mitigation Measures
IFC’s appraisal considered the environmental and social management planning process and documentation for the project and gaps, if any, between these and IFC’s requirements. Where necessary, corrective measures, intended to close these gaps within a reasonable period of time, are summarized in the paragraphs that follow and (if applicable) in an agreed Environmental and Social Action Plan (ESAP). Through the implementation of these measures, the project is expected to be designed and operated in accordance with Performance Standards objectives.
PS 1: Assessment and Management of Environmental and Social Risks and Impacts
Environmental and Social Assessment and Management System and Policy: Although the Municipality has no documented management system in place; Izmir Metro A.S. has a management system which was certified according to ISO 9001 Quality, ISO 14001 Environmental and OHSAS 18001 Occupational Health and Safety Management Standards. As a member of International Association of Public Transportation, Izmir Metro A.S. is one of the signatories of Charter of Sustainable Development, which included commitments to reduce energy consumption, to increase resource consumption efficiency, and to reduce environmental impacts.
Identification of Risks and Impacts and Management Program: In line with Turkish Environmental Impact Assessment Regulations, the “project description documents”, were prepared by a third party consultancy company for EIA application. These documents included environmental impacts and mitigation measures for the construction and operational phases. The Ministry of Environment and Urban Planning, Environmental Impact Assessment and Monitoring General Directorate review of the documents resulted in a decision of “no Environmental Impact Assessment (EIA) required” for both tramway lines. The associated certifications dated 06 January 2012 (for Konak) and 23 November 2011 (for Karsiyaka) are disclosed along with this review summary through the “client’s documentation” tab. Potential social impacts associated with the project have not been fully captured as it is not required by the national legislation.
Thus, as per the ESAP, the Municipality will commission a brief social impact assessment for the construction and operational phases of the project, focusing mainly upon –the project’s impacts on businesses (shops, restaurants and workshops); residents living nearby (reduction in car parking spaces); and taxi dolmus drivers. The Municipality will develop management measures and a timeframe to mitigate all identified social risks in line with IFC’s PS requirements.
Organizational Capacity and Competency: Izmir Municipality’s Transportation Department has overall responsibility for the construction of the tramway lines and their responsibility includes management of contractors and environmental, occupational health and safety (EHS) issues. Although the Municipality has no dedicated EHS team, as a part of the contract templates, contractor companies are required to employ EHS staff.
Izmir Metro A.S. has its own EHS team, which is assigned to perform the risk assessment, provide feedback to management on EHS performance and conduct EHS trainings. The majority of the employees working at Izmir Metro A.S. have a technical background and management has a good understanding of environmental impacts and energy efficiency. As a part of its existing management system, Izmir Metro A.S. is providing periodic EHS training to its staff.
Emergency Preparedness and Response: Both Izmir Metropolitan Municipality and Izmir Metro A.S. have documente
d emergency preparedness and response plans including fire fighting and response to spills in line with IFC’s requirements.
Monitoring and Review: Although the Municipality does not have EHS performance indicators such as greenhouse gas emissions into the atmosphere and energy consumption, Izmir Metro A.S. is monitoring its fuel consumption and waste generation periodically. As a part of the existing management system, EHS indicators are reported and reviewed annually by its management.
PS 2: Labor and Working Conditions
Working Conditions and Management of Worker Relationship: There are almost 3785 employees within the Municipality and 542 employees within Izmir Metro A.S. Izmir Metro A.S., who work in 3 shifts and provide services 7 days a week. Konak Tramway Project is estimated to employ 300 employees during the construction phase and 180 employees during the operational period. Karsiyaka Tramway Project is estimated to employ 200 and 177 employees for the construction and operational phases, respectively.
Both Municipality and Izmir Metro A.S. have documented Human Resources (HR) and Procedures related with organization and functioning, recruitment, training, skills, awareness procedures, job descriptions in line with IFC PS2 and Turkish regulations’ requirements.
Recruitment, terms of employment and benefits were defined and provided according to Turkish “Public Employees Personnel Regulation”. There is no discrimination allowed on the basis of personal beliefs, sex or characteristics, and there is no prohibition or discouragement of freedom of association. There are 5 labor unions, “Belediye Is”, “Tum Bel-Sen”, “Turk Yerel Hiz-Sen”, “BeM-BirSen” and “Yerel Is” representing employees and contractor workers. No retrenchment is anticipated, on the contrary, as the areas of responsibility of Izmir Municipality will extend, there will be an increase in the workforce. There is a grievance mechanism where all employees, including the contractors, can raise and register their concerns. Recent grievances have been limited to 3-5 per year and generally concerned the behaviors of other employees.
Existing bus lines, running parallel to tramway project will be re-routed to transport commuters to tramway lines, thus, no retrenchment is anticipated at busy company ESHOT either.
Protecting the Work Force: In line with Turkish laws, there is no child labor and/or forced labor employed in Municipality and Izmir Metro A.S.
Occupational Health and Safety: Izmir Metro A.S. has a documented and certified management system to ensure occupational health and safety for the employees. Mitigation measures, such as work equipment improvement, personnel protective equipment usage, training, related with the workplace risks are implemented.
The staff to be employed is subject to medical testing and analysis specific to the job where he/she will be employed. The health tests are done periodically according to legislation in force.
Workers Engaged by Third Party: The Municipality has a documented procedure to define EHS requirements for contractors. Tender selection criteria are defined by law, mainly focusing on the amount of the bid. The Municipality is using technical consultants for daily monitoring of construction, including EHS performance of contractors.
As per the ESAP, the Municipality will review construction contracts to incorporate clauses including access to grievance mechanisms for workers.
The Municipality will be required to develop a proc
edure for contractors EHS oversight and will provide information periodically to IFC on the EHS findings of regular inspection mechanisms to ensure compliance of contractors with the contractual requirements as well as information on training provided to contractors.
PS 3: Resource Efficiency and Pollution Prevention
Resource Efficiency and Green House Gases (GHG): The main resource consumption will be related with the electricity consumption of the tramways and fuel usage of the buses that will transport commuters to the tramway lines. According to the feasibility study, based on the number of car, bus and mini bus (dolmus) trips estimated to be replaced, the project will result in GHG reductions of 10,897 ton/year and 7,562 ton/year at Konak and Karsiyaka, respectively. This reduction is equivalent to the emission of a car traveling approximately 37.000.000 km, or 900 times around the world.
Pollution Prevention :
Waste Water: It is estimated that Konak Tramway Project will generate 45 m3/day and 27 m3/day whereas Karsiyaka Tramway Project will generate 30 m3/day and 26.5 m3/day wastewater during the construction and operational phases, respectively. The wastewater generation will be related with domestic usage and from the toilets (for construction and operational phases) as well as cleaning and maintenance operations during the operational phase. The Municipality will ensure that waste water will be discharged to the existing sewage system.
Wastes and Hazardous Materials Management: During the construction phase, it is estimated that both projects will generate 575 kg/day of domestic waste at total, whereas the total amount of excavation will be approximately 170.000 m3. Operational phase domestic waste generation is estimated to be around 410 kg/day. Hazardous materials will mainly include machinery oil, batteries and paints. All wastes, including excavation, domestic and hazardous wastes will be disposed/recycled in line with Turkish Environmental Legislations by/at licensed companies/sites. As a part of ESAP, the Municipality will perform regular inspections during the construction and operational phase to ensure compliance of hazardous materials and waste management with Turkish requirements.
There is an effective waste segregation system in place at Izmir Metro A.S. Wastes are transported, recycled and / or disposed by third party licensed waste companies and/or Municipality’s subsidiaries.
PS 4: Community Health, Safety and Security
Community Health and Safety: Both of the proposed project sites will be within the highly populated city center. As captured in the ESAP, the Municipality will implement construction safety measures to protect the public, including use of barricading and other access control measures near construction areas, traffic safety, control of construction vehicles, clear demarcation and proper illumination of these areas and provision of safety information to visitors where appropriate.
During the operational period, there will be areas with a high potential for pedestrians to enter the tramway line. To limit the risk of accidents involving pedestrians, the operational speed of the tramway lines is planned to be 25 km/hr on average, with a maximum speed of 50 km/hr. As noted in the ESAP, the Municipality and Izmir Metro A.S. will ensure that pedestrian access to tramway lines is prevented using fences and/or other physical barriers, or that a documented speed policy is developed to ensure that trams will not exceed 20 km/hr where there is a risk for pedestrians to enter the tramway lines.
Security Personnel: The Municipality and Izmir Metro A.S. employ unarmed security personnel. The risk posed by these personnel to the public is considered minimal; in fact part of their role is to safeguard passengers and pedestrians.
PS 8: Cultural Heritage
Besides the religious building described below, the Municipality is not expected to encounter further cultural heritage in this project as the construction will be either of the existing roads or on the side of roads currently used as car parking areas. As the mandated local authority, and in keeping with strict Turkish laws on cultural heritage, the Municipality will provide appropriate protection in the event of an unexpected discovery of items of cultural heritage.
The Konak Tramway Project will affect Eski Otogar Camii, which was constructed in a Municipal depot area by the Municipality approximately 30 years ago. As an ESAP item, The Municipality will develop a time bounded action plan, agreed with IFC, to provide an alternative for the users of Eski Otogar Camii that will be affected by the project.
Both the Municipality and Izmir Metro A.S. have been providing information about ongoing and planned projects on their websites; similarly, both have a formal grievance mechanism where affected communities can raise and register their concerns on their webpages. Interested parties can attend at Municipal Council meetings. In addition, interested parties can raise and register their concerns through “Citizen Communication Center” by face to face application, phone, fax, telephone and / or through the web site (
). Municipality has to provide any additional information about the project to any interested parties according to Turkish legislation, namely “Information Right Law (number 4982, date Oct, 09th, 2003).
The Municipality is conducting project introduction meetings for key stakeholders, i.e. commercial property owners, interested and affected residents and others, in order to disclose and discuss detailed information about the project and understand the main concerns of these stakeholders. As per the ESAP, the Municipality will establish communication points/desks at construction sites during the construction phase in order to facilitate interested parties to raise their concerns related with issues incl. construction and traffic re-routing. The currently web-based grievance redress system will be complemented with additional grievance redress options, e.g. via written grievance forms at construction sites.
In addition, Municipality will develop a communications plan including a schedule of project meetings with commercial property owners and residents and will periodically report on the progress on tree planting, car park construction, complaints received and related actions through various media (e.g. media, billboards, info sharing on screens at metro/bus stations, the Municipality website). The Municipality will keep records of project meetings (including agenda, attendees, items raised, related action plan).
Izmir Buyuksehir Municipality will continue to perform and extend community engagement activities in a structured manner on an ongoing basis as defined by related Turkish Legislations, “Municipality Law - # 5393” and “City Council Regulation - # 26313”.
Local Access of Project Documentation
Izmir Tramway Project’s detailed process information will be shared on Izmir Metropolitan Municipality’s and Izmir Metro A.S.’s website as well as at construction sites.
For more information please contact:
Name: Izmir Metropolitan Municipality
Address: Cumhuriyet Bulvari No:1 Konak Izmir / Turkey
IFC supports its clients in addressing environmental and social issues arising from their business activities by requiring them to set up and administer appropriate grievance mechanisms and/or procedures to address complaints from Affected Communities.
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. Complaints can be submitted to the CAO in writing to the address below:
Compliance Advisor Ombudsman
International Finance Corporation
2121 Pennsylvania Avenue NW
Washington, DC 20433 USA
Tel: 1 202 458 1973
Fax: 1 202 522 7400
The CAO receives and addresses complaints in accordance with the criteria set out in its Operational Guidelines which are available at: www.cao-ombudsman.org
Broad Community Support is not applicable for this project
PS1 Assessment and Management of Environmental and Social Risks and Impacts
Conduct and provide a copy to IFC of a brief social impact assessment and associated management measures for both construction and operational phases, including (but not limited to) socio-economic impacts; (i) to affected businesses (shops, restaurants and workshops etc), (ii) of the reduction in the car parking spaces for the residents living nearby; and (iii) on affected taxi dolmus drivers;
March 31, 2014
Develop and provide a copy to IFC of management programs to mitigate the Project’s environmental and social risks in line with IFC’s PS requirements for both construction and operational phases. The mitigation plan will be in line with all necessary PS requirements, including PS5;
May 31, 2014
Establish “communication points/desks” at construction sites during the construction phase in order to encourage interested parties to raise their concerns/grievances related with construction, traffic re-routing, etc. Complement the currently web-based grievance redress system with additional grievance redress options, e.g. via written grievance forms at construction sites;
May 31, 2014
Develop and provide a copy to IFC of a communication plan including schedule of “project meetings” with commercial property owners and residents as well as periodically reporting the progress on tree planting, car parking slot construction, complains and related actions etc. through media, billboards, info sharing on screens at metro/bus stations, in commuter trains/bus screens, etc.;
May 31, 2014
Provide to IFC a copy of the key documents relating to the “project meetings” (including agenda, attendees, items raised, related action plan);
May 31, 2014
PS2 Labor and Working Conditions
Review template construction contracts to ensure proper coverage of OHS requirements and worker access to a grievance mechanism;
March 31, 2014
Develop a procedure for contractor EHS oversight which will include regular EHS inspection mechanisms for the construction phase to ensure that contractors comply with occupational health and safety measures, and that hazardous materials and waste management are in line with relevant requirements.
May 31, 2014
PS4 Community Health and Safety
Develop a procedure to implement construction area safety measures to protect the citizens, including barricading, control of the access near the construction area, traffic safety, control of the construction vehicles, clear demarcation of construction areas; proper illumination of areas; and provision of safety information to visitors;
May 31, 2014
Provide to IFC a copy of relevant project documents to ensure that pedestrian access to tramway lines will be prevented by using fences and/or other physical barriers or develop a documented speed policy to ensure that tramways will not exceed 20/hr where there is a risk for pedestrians to access the tramway lines.
March 31, 2014
PS8 Cultural Heritage
Develop a time bounded action plan, agreed with IFC, to provide an alternative for the users of Eski Otogar Camiithat will be effected by the project.
March 31, 2014
Availability of Full Documentation
The complete set of Category A documentation is available from the World Bank Infoshop:
World Bank Infoshop
1818 H Street, N.W., Room J1-060
Washington, DC 20433
Fax: (202) 522-1500 (USA)
Hours of Operation: 9:00am to 5:00pm (Monday through Friday)
The complete set of Category A documentation is also available locally at the following locations: