If such evaluation concludes that no progress has been achieved, the June 1997 closing date of the project will not be extended. This was the first claim ever filed to the IDB s Investigation Mechanism, and it has played an important role in highlighting some of the weaknesses of that process and in catalyzing a momentum for reform of the mechanism. The claim filed by Sobrevivencia on its own behalf and on behalf of anonymous affected fishers, artisans and brickmakers, alleged a series of policy violations in the design and implementation of the Yacyreta Hydroelectric Project on the Rio Parana between Argentina and Paraguay. The reports demonstrated serious policy violations and made recommendations for further implementation of action plans that had been developed by the Bank management and the borrower. The Board of Directors has not ruled on any of the Panel recommendations, but has instead instructed Management to continue implementation of the action plans.
Further measures are pending.
Perhaps more importantly, filing the claim has helped to focus local, national and international attention on the failure to mitigate the social environmental impacts of this massive dam project, and Argentina and Paraguay have begun to take steps to provide the hundreds of millions of dollars needed to mitigate the damage. Community-based organizations have mobilized and organized to articulate their concerns and demands, and local governments have supported the claims to the Inspection Panels. Some of the affected people have also taken the unprecedented step of suing the Bank and the government of Argentina in Argentine courts. The claimants allege violation of IDA environmental assessment, environmental action plans, involuntary resettlement, and involvement of NGOs in Bank supported activities policies. The Panel, after receiving Management s response, decided it needed an additional thirty days to accurately analyze the situation and make appropriate recommendations to the Board of Directors.