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DAM-L URGENT! Sign-on Letter to World Bank on Sardar Sarovar (fwd)



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subject: URGENT! Sign-on Letter to World Bank on Sardar Sarovar
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URGENT!   URGENT!   URGENT!
***please circulate***

DEMAND WORLD BANK ASSUME RESPONSIBILITY FOR SARDAR SAROVAR PROJECT
Endorsements Needed by Friday - December 1, 2000!

We urge you to endorse the letter below demanding that the World Bank 
assume responsibility for its role in the destructive Sardar Sarovar 
Project in India. This project will displace at least 320,000 people and 
destroy the lives and livelihoods of hundreds of thousands more. On October 
18, the Indian Supreme Court authorized renewed construction on the project 
despite the fact that there is no land available for resettlement and no 
resettlement plans or comprehensive environmental impact assessments have 
been completed.

Although the World Bank withdrew from the project in 1993, the Bank is 
still legally obligated to make sure the Indian government complies with 
the conditions of the original loan agreements. These conditions require 
that a proper resettlement plan and environmental impact assessment are 
carried out. The Bank approved the project in 1985 despite glaring 
violations of its own guidelines and dispersed $280 million before 
cancelling its loan.

Please send your endorsement **BY FRIDAY, DEC. 1** to swong@irn.org. We 
encourage you to circulate this letter to your friends and colleagues for 
their endorsement.

Best wishes,

Susanne Wong
International Rivers Network


LETTER CALLING ON WORLD BANK TO ASSUME RESPONSIBILITY FOR SARDAR SAROVAR 
PROJECT

November 20, 2000

Mr. James Wolfensohn
President
The World Bank
1818 H Street, NW
Washington, DC 20433

Subject: World Bank's Responsibility for Sardar Sarovar Project

Dear Mr. Wolfensohn,

We, the undersigned organizations, are writing to point out the continuing 
plight of people affected by the Sardar Sarovar Project (SSP) and to call 
on the Bank to assume its responsibility to the people of the Narmada 
valley. The World Bank has failed to ensure that the Indian government has 
met its obligations under its loan agreement for SSP. Therefore, we demand 
that the Bank suspend all further disbursements and approvals for new loans 
for the Gujarat, Madhya Pradesh and Maharashtra state governments until the 
Bank has ensured that the conditions of the loan have been met. As a first 
step, we urge the Bank to initiate consultations with the Narmada Bachao 
Andolan (Save the Narmada Movement), as promised in your meeting with 
people from the Narmada Valley in Delhi on November 13.

As you are aware, the Indian Supreme Court recently authorized continued 
construction of SSP despite major unresolved issues on resettlement, the 
environment and the project's costs and benefits.

The Government of India is still legally obligated to meet the terms and 
conditions in its loan and credit agreements with the Bank on SSP despite 
the Bank's withdrawal from the project in 1993 (refer to Memo from Ibrahim 
F.I. Shihata to D.J. Wood, March 30, 1993). These obligations were 
reiterated in India Country Director Edwin R. Lim's November 19, 1999 
letter to Both Ends and International Rivers Network where he stated that 
"the Bank has in the past and will continue to urge the Government of India 
to meet its obligations regarding the people affected by the Sardar Sarovar 
Project."

The problems that plagued the project before the cancellation of the Bank's 
loan remain unresolved. The Bank approved its $450 million loan for the 
project in 1985 despite glaring violations of its own guidelines concerning 
resettlement and the environment. According to the Bank-sponsored Morse 
Report, "In 1985, when the credit and loan agreement were signed, no basis 
for designing, implementing, and assessing resettlement and rehabilitation 
was in place." The Bank approved the loan without knowing how many people 
would be displaced or consulting affected people. Even to this day, no 
credible resettlement plan exists and no survey has been completed for 
villages affected by the reservoir's backwaters.

To make matters worse, government officials, including the Chief Minister 
of Madhya Pradesh, have stated that there is no land available for 
resettlement in Madhya Pradesh or Maharashtra. Villages that have been 
resettled have been scattered among different resettlement sites in blatant 
violation of the 1979 Narmada Water Disputes Tribunal Award and the Bank's 
loan and credit agreements.

The rights of people affected by the project for reasons other than 
submergence continue to be violated and ignored by project authorities. 
People who will lose land or livelihood due to the project's irrigation 
canal, compensatory afforestation, wildlife sanctuary, construction colony 
and other dam-related infrastructure are not currently entitled to 
rehabilitation. People affected by the construction colony have yet to be 
resettled even though the need to resettle them was recognized in the 
Bank's 1985 Staff Appraisal Report. Canal-affected people have not received 
proper compensation packages as stipulated in Bank conditions issued after 
the Morse report was published.

Furthermore, no environmental impact assessment has ever been produced for 
SSP. The Bank approved its credit and loan for SSP despite the lack of a 
comprehensive environmental assessment and the fact that the environmental 
clearance required under Indian law had not been granted.

Further construction of the Sardar Sarovar Project will have grave 
consequences. The Bank has already accepted its responsibility to ensure 
that its loan agreements are complied with. We call on the World Bank to 
turn its words into action and ensure that the Government of India meets 
its obligations to the people affected by the Sardar Sarovar Project. The 
Bank should begin this process by immediately initiating consultations with 
the Narmada Bachao Andolan. Until these conditions have been met, the Bank 
should suspend all further disbursements and approvals of new loans for 
Gujarat, Madhya Pradesh and Maharashtra.

Sincerely,

NAME, GROUP, COUNTRY


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