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Campaigners Challenge Barclays Financing of Rampal Coal Power Plant
Campaigners in Bangladesh and India have complained about Barclays’ financial links to a coal power station.
The station is called the Rampal power plant, or the Maitree super thermal power project.
It is built near the Sundarbans, a very large mangrove forest.
The campaigners say pollution could harm the forest, animals, fishers and nearby people.
They also say the project could worsen climate change and make floods and storms more dangerous.
Barclays helped provide financial services to organizations connected to the project.
The bank and the project company did not comment on the complaint.
A UK government office will decide whether to investigate it.
Three regional complainants accused Barclays of breaching international guidelines over financing linked to Bangladesh’s Rampal power project.
The Maitree super thermal power station is near the Sundarbans, a UNESCO World Heritage site in Bangladesh and India.
Campaigners alleged that pollution from coal combustion and increased river traffic threatens the mangrove forest and nearby communities.
Barclays underwrote debt for NTPC Limited and bond issues for the Export-Import Bank of India, which provided a project loan.
The UK Office for Responsible Business Conduct will decide whether to examine the complaint; Barclays and BIFPCL declined to comment.
- Who
- Three complainants from the region, including environmental campaigner Sharif Jamil, farmer and politician Animesh Mandal, and the Dakshinbanga Matsyajibi Forum, filed the complaint against Barclays.
- What
- They alleged that Barclays failed to properly assess environmental and human-rights risks when supporting organizations connected to the Rampal power project.
- Where
- The complaint is being assessed in the United Kingdom, while the power station is near the Sundarbans in Bangladesh, beside the Pasur River.
- When
- The complaint was submitted before the Office for Responsible Business Conduct; Barclays underwrote relevant bond issues between 2016 and 2019.
- Why
- The complainants said pollution, climate impacts and increased navigation linked to the coal-fired project threaten the Sundarbans and people who depend on it.
Campaigners’ allegations
Bank and project-company response
Environmental risk
Campaigners’ allegations
The complainants said coal emissions, heavy-metal pollution and increased navigation could irreversibly damage the Sundarbans and threaten local communities.
Bank and project-company response
Barclays and BIFPCL declined to comment, so the articles provide no substantive response from either organization to these allegations.
Financial responsibility
Campaigners’ allegations
The complainants argued that Barclays should have carried out stronger environmental and human-rights due diligence before underwriting financing connected to the project.
Bank and project-company response
The complaint has not yet been accepted for examination; the Office for Responsible Business Conduct will first decide whether to consider it.
Future energy
Campaigners’ allegations
Campaigners called for greater investment in renewable energy, arguing that Bangladesh has substantial potential for solar power instead of expanding fossil fuels.
Bank and project-company response
The articles do not report a stated alternative-energy position from Barclays or BIFPCL.
Key facts
- Project
- Maitree super thermal power project, also known as the Rampal power plant
- Location
- Near the Sundarbans and the Pasur River
- Environmental site
- The Sundarbans is a UNESCO World Heritage site and includes habitat for Bengal tigers
- Financial link
- Barclays underwrote debt for NTPC Limited, a joint-venture partner behind the plant
- Additional financial link
- Barclays underwrote Export-Import Bank of India bond issues between 2016 and 2019
- Reported pollutants
- A study found elevated mercury and arsenic levels in Sundarbans water samples, with the highest concentrations in the Pasur River
- Next step
- The Office for Responsible Business Conduct will assess whether to consider the complaint
Quotes
Sharif Jamil
Dhaka-based environmental campaigner and one of the complainants
“We hope to persuade banks and financial institutions to think again before financing oil and coal developments that are contributing to that crisis.”
easterneye.biz
“The Rampal power plant is right on the bank of the Pasur River, which is the lifeline of the Sundarbans. The health of the forest is in trouble.”
easterneye.biz
Sources
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