"World Bank watchdog to review risky Dairi Prima Mineral mine project in North Sumatra" 2 February 2022

The independent accountability office of the International Finance Corporation (IFC), a World Bank Group member, will assess the bank’s compliance with its environmental and social policies in connection with its ties to a controversial mining project in North Sumatra, Indonesia, according to a new report from the Compliance Advisor Ombudsman. The proposed Dairi Prima Mineral zinc and lead mine, located in one of the most earthquake-prone regions in the world, would pose a serious threat to human safety and the environment according to experts, and local human rights defenders have been fighting to stop the project for years. [...]

As part of its initial assessment process, the CAO consulted with relevant parties to determine whether the issues could be resolved through mediated dialogue. However, Dairi Prima Mineral failed to respond to multiple requests for comment and declined to engage in dialogue with affected communities, precluding any such mediation process and necessitating the CAO’s compliance appraisal.   

“The company has acted deplorably at every stage,” said Mr. Panggabean. “They failed to adequately consult with local communities from the beginning, they have since refused to engage with our concerns, and they moved forward with construction despite clear risks and without necessary government approvals or environmental protections.” [...]