An Analysis of the Socio-Economic and Environmental Impact: The Chad Cameroon Oil Pipeline Project
Source: AFRODAD
This study, carried out at the request of AFRODAD, explores evidences of the illegitimate nature of the debt the government of Cameroon incurred for the construction of the Chad-Cameroon Pipeline Project. This study raises a couple of questions as to the loans contracted by Cameroon to participate in the project. The full failure or delay in the implementation of the CAPECE project has been considered either as directly or indirectly contributing to most of the socio-economic and environmental problems generated by the pipeline project.
The delay in the implementation of the CAPECE project could not be blamed alone on the government of Cameroon's lapses but also on the Bank, which until 2003 had only disbursed about 10% of the relevant Bank credit that was to finance the CAPECE project. This meant that it was impossible for the CPSP to maintain a permanent field presence during the construction phase. The delay or failure in the implementation of the CAPECE project was in gross violation of OD 4.01 Paragraph 12 on the strengthening of the environmental capacity for the government to effectively assess construction impacts during the implementation and monitoring phase of the project. Cameroon continues to use most of its oil revenue for the servicing of its external and domestic debts as was the case for 2004. An October 2005 audit by the government estimated its domestic debts and arrears to equal to about 1.5 billion francs CFA .
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