Georgia: BTC Pipeline-26/Krtsanisi
Case Tracker
Complaint Overview
Residents of Krtsanisi
Project Information
$125 million (A loan) $125 million (B loan)
Synopsis
The Baku-Tbilisi-Ceyhan (BTC) oil and gas pipeline is a 1,768 km long crude oil pipeline stretching from the Caspian Sea to the Mediterranean Sea. It is the second longest oil pipeline in the world and passes through Azerbaijan, Georgia and Turkey. IFC has invested $250 million since 2003 and the total project cost is approximately $3.6 billion. The project is operated by BTC Co., which comprises a consortium of 11 partners. To date, CAO has received 33 complaints in relation to the project ranging from individuals to communities to local organizations. On December 12, 2005, CAO received a complaint from residents of Krtsanisi that raises issues about pipeline safety, water supply, dust annoyance and compensation for trees.
The CAO Ombudsman worked with the parties to assess opportunities for a negotiated settlement. After several months, BTC Co. decided it was unwilling to pursue such a settlement, and on June 23, 2006 the case was transferred to CAO Compliance for appraisal.
CAO Compliance determined that the issues raised in the complaint did not meet the criteria for an audit. The appraisal was completed and published in April 2007. Both the appraisal and the complaint are closed.