IFC has an active project with Karot Power Company Limited (KPCL), a special-purpose vehicle incorporated in Pakistan and majority owned by China Three Gorges South Asia Investment Limited (CSAIL). The project involves providing a long-term corporate loan facility of up to US$100 million to support the construction, operation, and maintenance of a 720MW run-of-the-river hydropower plant being developed on the Jhelum River in Pakistan. 

The complainant is the president of a labor union at the Karot Hydro Power Project. The main issues raised in his complaint is a lack of access to the project site to carry out his labor union activities and inadequate treatment of workers.  

CAO found the complaint eligible for assessment on August 26, 2022. At the request of the complainant, the complaint was referred to IFC in accordance with paragraph #39 of the CAO’s Policy.

On December 14, 2022, the complainant requested for the complaint to be referred back to the CAO and end engagements with IFC. CAO’s assessment formally began on December 15, 2022.