Minerals, Wealth and Progress - Mining and the Environment: From Ore to Metal - page 37

environmental assessment practice to ensure that projects are conducted in a socially
responsible manner and according to sound environmental management practices. While
the Equator Principles apply all over the world, they are aimed mainly at projects in devel-
oping nations, where government regulators are often ill-equipped, or unwilling, to miti-
gate the potential side-effects of foreign-backed investments.

The IFC Environmental and Social Performance Standards

In June 2006 IFC released a new set of guidelines for environmental assessment, termed
Environmental and Social Performance Standards, or Performance Standards (PS) for

Principles and Guidance for
Environmental Assessment

FIGURE 1.10
The Equator Principles

Originally embraced in June 2003 by
10 banks, the Equator Principles have
become the accepted standard for
environmental assessment, adopted
by more than 60 fi nancial institutions
by 2007, accounting for about 80% of
private project funding.

EP1

Review and
Categorization

Social and
Enviromental
Assessment

EP2

Applicable Social
and Environmental
Standards

EP3

Action Plan and
Management
System

EP4

EP5

Consultation and
Disclosure

EP6

Grievance
Mechanism

EP7

Independent
Review

EP8

Covenants

Independent
Monitoring and
Reporting

EP9

EP10

EPFI Reporting

EP Compliance