Ruta al Sur
Company name
Ruta al Sur
Project number
13868-01
Category A projects could result in potentially significant environmental and/or social risks and impacts, which are diverse, irreversible, or unprecedented that may extend beyond the boundaries of the actual project site or facilities. In principle, Category A includes projects which have significant impacts on protected or sensitive areas21 and/ or vulnerable groups.
E&S category
A
Country
Colombia
Sector
Transport
Status
In implementation
Disclosed date
04/08/2022
Projected date at which a project will be put forward for the Board of Executive Directors’ approval.
Projected board date
07/05/2022
Approval date
07/05/2022
Signed date
12/30/2022
Sponsoring entity
Patria Investments (70%) y Mercantil Colpatria (30%)
Investment Operations Department Contact
N/A
Investment type
Loan
Syndicated amount
N/A
Financing amount
USD $ 150,000,000
Currency
COP, USD
Project scope and objective
The Santana – Mocoa – Neiva corridor (the “Project”) is part of the fourth-generation (“4G”) concessions program headed by the Colombian government through its National Infrastructure Agency (“ANI”). The Project considers the financing, construction, upgrading, refurbishment, and maintenance of a 456-kmlong highway connecting the towns of Santana and Mocoa, located in the southeast part of the Putumayo Department, with the city of Neiva, situated in the Huila Department, Colombia. The original concession contract was awarded in 2015 to Concesionaria Aliadas para el Progreso S.A.S., a legal entity comprising the companies Controladora de Operaciones de Infraestructura S.A. de CV (35%), Cass Constructores y Cia. (20%), Carlos Alberto Solarte Solarte (20%), Estyma (10%), Latinoamericana de Construcciones (10%) and Alca Ingeniería (5%). However, due to various problems that prevented the companies from executing the scope of the contract, the concession was assigned in mid-2021 to the vehicle Concesionaria Ruta al Sur S.A.S. (the "Concessionaire"), 70% owned by Rodovías Colombia S.A.S. (an affiliate of Patria Investments) and 30% by MC Victorias Tempranas S.A.S. (owned by Mercantil Colpatria). The contract assignment provides for a 12-month normalization period prior to the construction start date set for July 2022. It should be noted that the contract considers a 25-year duration with a possible 4-year extension. For construction purposes, the Project has been divided into seven sections or functional units (“UFs”, for is acronym in Spanish), each with a 36-month construction term: UF1 Neiva – Campoalegre, 21.9 km long and which includes the construction of a second lane and the refurbishment of the existing lane; UF2 Campoalegre – Gigante, 65.0 km long and which includes the refurbishment and upgrade of the current road and construction of two variants; UF3 Gigante – Garzón, 35.6 km long and which includes the refurbishment of the current highway and construction of the Gigante variant; UF4 Garzón - Pitalito - San Agustín, 109.2 km long and which includes the refurbishment and upgrade of the current highway and construction of the Timaná variant; UF5 Pitalito - San Juan de Villalobos, comprising the refurbishment of all 60.7 km of the current highway; UF6 San Juan de Villalobos – Mocoa, 76.1 km long and which includes the refurbishment of the current highway and construction of the Mocoa variant; and UF7 Mocoa – Santana, 78.5 km long and which includes the refurbishment and upgrade of the current highway, the construction of two variants, and the refurbishment of the Santana – Puerto Asís section, 9.2 km long (quality factor). Thus, in total, the Project entails refurbishing 357 km of existing roadways, upgrading 37 km of the current highway, and building 47 km of new lanes.
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Environmental and social review
IDB Invest conducts an environmental and social due diligence (ESDD) commensurate with the nature, scale, and stage of the project, and with its level of environmental and social risks and impacts. The ESDD will confirm the project E&S categorization and assess the project with respect to the client requirements in IDB Invest Environmental and Social Sustainability Policy. The results of the ESDD, including any identified gaps are described in the Environmental and Social Review Summary (ESRS) provided below. For projects approved as of 2016, any gaps with respect to IDB Invest's Environmental and Social Sustainability Policy at the time of the ESDD are addressed in the Environmental and Social Action Plan (ESAP) presented below, to comply with the date mentioned above.
Client files
This section provides the key environmental and social assessment documents produced by the client for this project.
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Contact information
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Client Contact
N/A
PHONE NUMBER
N/A
POST OFFICE ADDRESS
N/A
IDB Invest Contact
requestinformation@idbinvest.org
PHONE
+1(202)-566-4566
ADDRESS
1350 New York Ave NW, Washington, DC 20005
COUNTRY OFFICES
IDB Invest Country OfficesIndividuals or communities can submit complaints and concerns related to environmental, social, or corporate governance issues to the Management Grievance Mechanism by e-mailing mgm@iadb.org or by calling +1 202 312 4040.
As a last resort, affected communities have access to the IDB Invest Independent Consultation and Investigation Mechanism by writing to mecanismo@iadb.org or MICI@iadb.org or calling +1(292) 623-3952.
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Early disclosure
For projects with high environmental or social risk an Environmental and Social Strategy (ESS) is prepared early on during the project appraisal and prior to carrying out the environmental and social due diligence (ESDD). The ESS includes the initial E&S risk categorization and a brief description of potential Performance Standards applicable to the project. The ESS for this project is available below. Together with the ESS, IDB Invest also provides access to the client’s preliminary E&S documents that will be reviewed during the ESDD. The client E&S documents for this project can be found under the “CLIENT FILES” section below. Once the environmental and social due diligence is completed, an Environmental and Social Review Summary (ESRS) for the Project will be published on this page.
RUTA AL SUR - ENVIRONMENTAL AND SOCIAL STRATEGY (ESS)
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