BANKS DODGY DEALS CAMPAIGNS
About BankTrack
20 years of BankTrack – Our history
Visit us
Organisation
Our team
Our board
Guiding principles
Team up with us
Jobs at BankTrack
Our annual reports
Funding and finances
BankTrack in the media
Our privacy policy
Donate
2023-09-18 00:00:00
New report and blog: Barclays' bond with Adani
2023-08-23 00:00:00
Decarbonization: steel not making the cut
2023-07-27 00:00:00
Two months ago 62 organizations and 3 Goldman Environmental Prize winners wrote an Open Letter to the TNFD: No one responded
2023-07-13 00:00:00
The Sustainable Steel Principles: One step forward when leaps are needed
2023-09-15 17:34:10
The number of major banks refusing to support EACOP reaches 24
2023-07-31 14:30:01
Equator Principles recognise projects’ risk to climate for the first time
2023-05-17 14:30:30
EACOP Financial Advisor SMBC is no longer involved with the project
2023-03-28 13:43:00
French bank Société Générale withdraws from Rio Grande LNG
Connect
2023-09-18 00:00:00
Barclays' bond with Adani
2023-06-26 00:00:00
How should financiers align with the Global Biodiversity Framework? Five Key Principles
2023-04-13 00:00:00
Banking on Climate Chaos 2023
2023-04-12 00:00:00
The East African Crude Oil Pipeline (EACOP): Finance Risk Update No. 4
See all publications
Sections
Banks Dodgy Deals Campaigns
Our campaigns
Banks and Climate
Banks and Human Rights
Banks and Nature
Banks and Pandemics
Our projects
Tracking the NZBA
End Coal Finance
Banks and Putin's war in Ukraine
Banks and steel
Tracking the Equator Principles
Tracking the PRBs
Find a Better Bank
Banks and the OECD Guidelines
Media
News Publications
Fossil Banks No Thanks StopEACOP Forests & Finance Banks & Biodiversity Drop JBS Bank of Coal Don't Buy into Occupation
BankTrack
About BankTrack 20 years of BankTrack – Our history Visit us Organisation Our team Our board Guiding principles Team up with us Jobs at BankTrack Our annual reports Funding and finances BankTrack in the media Our privacy policy Donate
Successes Contact BankTrack
Donate Mailing list Facebook Twitter Login
Home › Partner news ›
Partner News

Spain’s Banco Santander Criticized for Hypocrisy

Santander signs Equator Principles while financing Madeira Dam
2009-05-13 | Washington, D.C.
By: Amazon watch
Contact:

 

USA

Christian Poirier 1 510 666-7565 christian@amazonwatch.org

BRAZIL

Roland Widmer +55 11 3887 9369 roland.widmer@amazonia.org.br

Glenn Switkes  +55 11 3666 7084 glenn@internationalrivers.org

SPAIN

Annie Yumi Joh +34 91 549 91 28 ayjoh@setem.org

 

2009-05-13 | Washington, D.C.
By: Amazon watch
Contact:

 

USA

Christian Poirier 1 510 666-7565 christian@amazonwatch.org

BRAZIL

Roland Widmer +55 11 3887 9369 roland.widmer@amazonia.org.br

Glenn Switkes  +55 11 3666 7084 glenn@internationalrivers.org

SPAIN

Annie Yumi Joh +34 91 549 91 28 ayjoh@setem.org

 

Spain’s Banco Santander, which has been facing growing criticism for being a lead financier in a highly controversial dam project in the Brazilian Amazon, recently signed on to the “Equator Principles,” a set of socially and environmentally responsible financing guidelines adopted by a growing number of private banks.  At an annual meeting of the Equator banks this week in Washington, D.C., environmental organizations are challenging Banco Santander to demonstrate its commitment to the Equator Principles by pulling out of all aspects of the controversial Madeira Dam Complex.

The Santo Antônio and Jirau hydroelectric dams being built on Brazil’s Madeira River, the principal tributary to the Amazon River, have generated enormous controversy in Brazil due to the drastic environmental and social threats the projects pose to the region’s complex and fragile ecosystems as well as to the indigenous and traditional communities that rely on the waterway for their survival. In addition to adverse social and environmental impacts, the financing of the dams is also risky from a financial viewpoint, as several legal actions against the projects illustrate. 

Banco Santander has a leading role in financing the dam building despite clear non-conformities with the Principles.

The bank adopted the Principles joining other Equator Principles Financial Institutions (EPFIs), in order to “ensure that the projects they finance are developed in a manner that is socially responsible and reflect sound environmental management practices.” In doing so, EPFIs commit to “avoiding negative impacts on project-affected ecosystems and communities.” Moreover, EPFIs commit to not providing “loans to projects where the borrower will not or is unable to comply with our respective social and environmental policies.” 

“Banco Santander’s financing to the Santo Antônio dam is enabling drastic environmental impacts to unfold in the Amazon,” says Roland Widmer, the manager of the Eco-Finance Program at the Friends of the Earth of the Brazilian Amazon. “There are serious irregularities in the dams’ environmental licensing process.  Also dam construction has already caused an environmental disaster, including the killing of over 11 tons of fish, which has led to fines of over R$ 9 million (US$ 4.26 million).  The region’s indigenous peoples say they have not been adequately consulted about the dams and have demanded that the licenses be revoked.”

Banco Santander has played a leading role in advising and coordinating the financial structure of Santo Antonio dam and holds a 5% equity stake in the project. In an April 30 press release, Santander claims that “social and environmental criteria will be applied globally to all new project finance lending and advisory activities across all industry sectors, in accordance with the Equator Principles declaration” confirming “the bank’s commitment to sustainable development worldwide.” However, with their intrinsic support for the Santo Antonio dam Santander is abandoning its adherence to social and environmental criteria as well as to sustainability.

The actual – and probable – environmental damages caused by the dams are in direct violation of Brazil’s constitution while the lack of the free, prior, and informed consent of the impacted indigenous communities breaches Convention 169 of the International Labor Organization, which was ratified by Brazil, as well as the United Nations Declaration on the Rights of Indigenous Peoples.

Glenn Switkes, the Director of the Amazon Program at International Rivers, commented, “Banco Santander’s support of the Santo Antonio dam is a clear contradiction to its stated aspirations for sustainability and social and environmental responsibility. There is no question that the Madeira dams violate the Equator Principles. Banco Santander should pull out of the Madeira complex.”

 

Banks

Banco Santander

Spain
Active
Dodgy Deals
There are no active project profiles for this item now.

Rio Madeira dams: Jirau and Santo Antonio

Brazil
Project
On record
Hydroelectric Power Generation

Rio Madeira dams: Jirau and Santo Antonio

Brazil
Sections
Banks Policies Dodgy Deals Campaigns
Our campaigns
Banks and Climate Banks and Human Rights Banks and Nature Banks and Pandemics
Our projects
Tracking the NZBA End Coal Finance Banks and Putin's war in Ukraine Banks and steel Tracking the Equator Principles Tracking the PRBs Find a Better Bank Banks and the OECD Guidelines
Media
News Publications
Fossil Banks No Thanks StopEACOP Forests & Finance Banks & Biodiversity Drop JBS Bank of Coal Don't Buy into Occupation
BankTrack
About BankTrack 20 years of BankTrack – Our history Visit us Organisation Our team Our board Guiding principles Team up with us Jobs at BankTrack Our annual reports Funding and finances BankTrack in the media Our privacy policy Donate
Successes Contact BankTrack
Vismarkt 15
6511 VJ Nijmegen
The Netherlands
Contact@banktrack.org
Donate Mailing list Facebook Twitter
©2023 BankTrack
BankTrack is a registered charity in the Netherlands (ANBI) - RSIN 813874658
Find our privacy policy here

Stay up to date

Sign up now for all BankTrack's news


Make a comment

Your comment will be reviewed, before being posted