DAMS INCORPORATED The Record of Twelve European Dam Building Companies February 2000 A Report by The CornerHouse Chris Lang, Nick Hildyard, Kate Geary, Matthew Grainger Published by The Swedish Society for Nature Conservation CONTENTS • Publisher’s Note, Acknowlegements • Abbreviations • Introduction THE COMPANIES • ABB (incorporating Alstom): (Ataturk, Bakun, Batang Ai, Bhumiphol, Cahora Bassa, Ciechocinek, Curui, Guavio, Houay Ho, Ilisu, Itaipu, Karakaya, Maheshwar, Muela, Pangani, Pangue, Salto Caxias, Song Hinh, Tarbela, Theun Hinboun, Three Gorges, Xingo, Zimapan) • Balfour Beatty: (Kainji, Lesotho Highlands, Pergau, Samanalawewa, Victoria) • Coyne et Bellier: (Ban Mai, Birecik, Bui, Daniel Johnson, Ita, Kariba, Kedung Ombo, Lesotho Highlands, Malpasset, Manantali, Ruzizi II) • Electrowatt: (Awash II, Bakun, Glougo, Gourbassi, Houay Ho, Khao Laem, Manatali, Nathpa Jhakri, Pangue, Ralco, Samanalawewa, Theun Hinboun, Xe Pian, Xe Nam Noi, Yali Falls) • Impregilo: (Akosombo, Bakolori, Caruachi, Chixoy, Dez, El Cajon, Ertan, Ghazi Barotha, Itezhitezhi, Kainji, Kariba, Kihansi, Lesotho Highlands, Lower Xialangdi, Nathpa Jhakri, Tarbela, Yacyreta) • Knight Piesold and Partners: (Corpus Christi, Ewaso Ngiro, Lesotho Highlands, Nam Theun 2, Omai Tailings, Pergau, Tana River Development, Three Gorges, Turkwell) • Kvaerner Energy (now GE Hydro): (Bakun, Bhumibol, Caruachi, High Aswan, Kaptai, Lesotho Highlands, Naptha Jhakri, Pangue, Song Hinh, Zimapan) • Lahmeyer International: (Arun III, Bakun, Birecik, Chico, Chixoy, Chulac, Kinda, Lesotho Highlands, Nam Leuk, Nam Theun 2, Sentani, Tasang, Yacyreta) • Siemens (incorporating Voith Siemens Hydro): (Itaipu, Maheshwar, Nathpa Jhakri, Three Gorges, Xingo, Yacyreta) • Skanska: (El Guavio, Ilisu, Kishen Ganga, Kotmale, Pergau, Uri, Urra I, Yali Falls) • Sogreah: (Dai Ninh, Lesotho Highlands, Nam Leuk, Pak Mun, Turkwell) • VA Tech (incorporating Sulzer Hydro): (Bhumiphol, Cirata, Ertan, Ilisu, Nathpa Jhakri, Pangue, San Roque, Three Gorges, Urra I) THE DAMS • Ilisu (Turkey): (ABB, Balfour Beatty, Impregilo, Skanska) • Lesotho Highlands Water Development Project (Lesotho): (ABB, Balfour Beatty, Coyne et Bellier, Impregilo, Knight Piesold, Kvaerner Energy, Lahmeyer International, Sogreah) • Yacyreta, Itaipu, Corpus (Paraguay/Argentina/Brazil): (ABB, Impregilo, Knight Piesold, Lahmeyer International, Siemens) • Chixoy (Guatemala): (Impregilo, Lahmeyer International) • Pangue, Ralco (Chile): (ABB, Electrowatt, Kvaerner Energy, Voest-Alpine) • Nathpa Jhakri (India): (ABB, Electrowatt, Impregilo, Kvaerner Energy, Siemens) • Bakun (Malaysia): (ABB, Impregilo, Lahmeyer International, Siemens) • Three Gorges (China): (ABB, Knight Piesold, Siemens, Sulzer Hydro) • European Dam Building Company Contacts • Bibliography PUBLISHER’S NOTE uropean dam builders, suppliers and consultants continue to promote and export their technologies Eto the South. The industry projects itself as experts in benign development and providers of economic prosperity, implying that its work has been tested and perfected at home. However, European campaigners have waged a long struggle against the same industry. Our campaigns have catalysed legislation that bans the building of new large dams in several European countries — but this has been won only after the loss of most of the free-flowing rivers in Europe. Yet today, when the Northern dam industry pushes its technologies onto the South, it ignores, misrepresents or downplays many of the negative environmental, social and economic impacts of large dams which have discredited the industry in Europe. Southern campaigners fighting battles on issues similar to those faced in the North lack a consolidated source of information from Europe which would help them challenge European dam builders and expose the double standards that they apply at home and in the South. The Swedish Society for Nature Conservation (SSNC) co-operates with a large number of NGOs in the South to promote information exchange and joint campaigning on issues such as forests, agriculture, international trade and hydropower. SSNC has therefore commissioned The Corner-House to undertake the present study, • Dams Incorporated• . The study presents — for the first time in one document — the track record of the major European dam building companies. Our hope is that it will serve as a useful tool for NGOs campaigning all over the world against unsustainable large dams. Alhough the SSNC has commissioned and published the study, and supports its main conclusions, the authors are responsible for the detailed facts and views presented in the report. Göran Eklöf Head of the International Department Swedish Society for Nature Conservation February 2000 ACKNOWLEDGEMENTS The authors would like to thank those people who helped with and supported this report, most especially Antonio Tricarico of the Reform the World Bank Campaign in Rome, Italy; the chapter on the Italian company, Impregilo, is based on his work. Patrick McCully’s Silenced Rivers was the first book we opened to get started, as it is for anyone investigating large dams. Patrick’s colleagues at the International Rivers Network — particularly Susanne Wong, Juliette Majot and Lori Pottinger — provided expert information. Many others did also, including Patricia Adams (Probe International), Peter Bosshard (Bern Declaration), Jacek Bozek (Klub Gaja), Jaroslava Colajacomo (Reform the World Bank Campaign), Oyvind Eggen (FIVAS), Pam Foster (Halifax Initiative), Thabang Kholumo (Highlands Church Solidarity Action Centre), Deborah Moore (Environ-mental Defense), Juan Pablo Orrego (Grupo de Accion por el Biobio), Charles Chen Osorio, and Heffa Schucking (Urgewald). Of course, no-one except the authors bears responsibility for any factual errors in the report. Goran Ek, International Secretary of the Swedish Society for Nature Conservation, not only gave of his time and expertise, but also agreed to support and publish the report. Nick Hildyard would like to thank the CS Mott Foundation and NOVIB for funding his work on the project. Finally, thanks to Sarah Sexton and Larry Lohmann from The CornerHouse. Sarah and Larry were asked to do an editing job but were instead given a full-scale reconstruction; it’s painful to imagine what the report might have looked like without their contribution. The CornerHouse POBox 3137 Station Road, Sturminster Newton Dorset DT10 1YJ United Kingdom Tel: +44 1258 473795 Fax: +44 1258 473748 E-mail: [email protected] Website: http://www.icaap.org/Cornerhouse ABBREVIATIONS ABB — Asea Brown Boveri ADB — Asian Development Bank APA — Amerindian People’s Association of Guyana BHC — Bakun Hydroelectric Corporation Sdn Bhd (Malaysia) BICC — British Insulated Callender’s Cables BITS — Board for Investment and Technical Support (Sweden) BOT — Build Operate Transfer BPKP — Lao Military Logging Company BWI — Beca Worley International CBPO — Companhia Brasileira de Projectos e Obras CEO — Chief Executive Officer DFID — Department for International Development (UK) DM — German Marks DTI — Department of Trade and Industry (UK) EBY — Entidad Binacional Yacyreta (Paraguay and Argentina) ECAs — Export Credit Agencies ECGD — Export Credit Guarantee Department (UK) Edelca — Electrificacion del Caroni (Venezuela) EDC — Export Development Corporation (Canada) EDF — Electricite de France EGAT — Electricity Generating Authority of Thailand EHDC — Ertan Hydroelectric Development Group (China) EIA — Environmental Impact Assessment EIB — European Investment Bank EPR — European Pressurised-Water Reactor ERM — Environmental Resources Management EWE — Electrowatt Engineering IDA — International Development Association (World Bank) IBRD — International Bank for Reconstruction and Development (World Bank) FIVAS — The Association for International Water and Forest Studies (Norway) GABB — Grupo de Accion por el Biobio (Chile) GAP — Turkey’s Southeastern Anatolia Project GE — General Electric GIAK — Guarantee Institute for Export Credit (Norway) GTZ — Deutsche Gesellschaft fur Technische Zusammenenarbeit (German Agency for Technical Cooperation) HSE — Health and Safety Executive (UK) IBRD — International Bank for Reconstruction and Development (World Bank) ICOLD — International Commission on Large Dams IDA — International Development Association (World Bank) IFC — International Finance Corporation (World Bank) INDE — National Institute of Electrification (Guatemala) IWPC — Iran Water and Power Development Corporation JICA — Japan International Cooperation Agency KfW — Kreditanstalt fur Wiederaufbau (Germany) KHRP — Kurdish Human Rights Project (UK) KWU — Kraftwerk Union (Siemens Power Generation Group) LHWP — Lesotho Highlands Water Development Project MDBs — Multilateral Development Banks MOX — Mixed-oxide (nuclear fuel) MW — megawatts NAFTA — North American Free Trade Area NBA — Narmada Bachao Andolan (Save the Narmada Valley) NDF — Nordic Development Fund NEA — Nepal Electricity Authority NGO — Non governmental organisation NJPC — Nathpa Jhakri Power Corporation (India) NOK — Norwegian Kroner NORAD — Norwegian Agency for Development and Cooperation NTEC — Nam Theun 2 Electricity Consortium (Laos) NVE — Norwegian Water Resources and Energy Administration ODA — Overseas Development Administration (UK, now DFID) OECD — Organisation for Economic Cooperation and Development OECF — Overseas Economic Cooperation Fund (Japan) OED — Operations Evaluation Department (World Bank) PFI — Private Finance Initiative (UK) PPA — Power Purchase Agreement RID — Royal Irrigation