§ Mrs. SpelmanTo ask the Minister of State, Department for International Development what(a) the estimated cost and (b) the actual cost of the Chad/Cameroon pipeline project was; and if he will make a statement on the sustainability of the project. [115423]
§ Hilary BennThe cost of this project is estimated at US $3.7 billion, the majority of which is being provided by the private sector. The project is still under implementation. We therefore do not have figures for the actual cost, nor have we made any projections. The World bank group undertook careful assessment of financial and environmental sustainability issues when the project was first designed and continue to monitor such questions.
§ Mrs. SpelmanTo ask the Minister of State, Department for International Development, which accounting standards are(a) applicable and (b) are in place for the Chad/Cameroon pipeline project. [115424]
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§ Hilary BennDFID is not directly involved in funding or implementing this project. The World Bank and International Finance Corporation who are providing financing expect commercial organisations which receive funds to prepare audited financial reports on the basis of internationally recognised accounting standards.
§ Mrs. SpelmanTo ask the Minister of State, Department for International Development what the status is of the design change order for the Chad/Cameroon pipeline project. [115425]
§ Hilary BennDFID is not providing direct financial support to this project. We therefore do not have first-hand information on detailed implementation issues such as design change orders. We have raised this issue with IFC staff who inform us that on a large project such as this, one might expect many design change orders and that as long as they do not affect the projects compliance with environmental and social safety guidelines, there should be no need for concern. There is a process in the World bank group for monitoring the projects compliance with the terms of agreements.