Environmental Assessment
Volume A-5
Introduction
Regulatory Framework
5.2
WORLD BANK GROUP POLICIES AND GUIDELINES
The World Bank Group (World Bank) consists of the International Bank for
Reconstruction and Development (IBRD), the International Development
Agency (IDA), the International Finance Corporation (IFC) and the Multilateral
Investment Guarantee Agency (MIGA). The World Bank has developed many
environmental and social policies, guidelines and other directives, to minimize
negative environmental and social impacts of the development projects it
supports. The safeguard measures were initially developed by the World Bank
for public sector projects which they were financing. Once in place, policies and
guidelines were adopted with minimal changes by the IFC, to assist with private
sector projects.
The IFC and World Bank have also developed a set of Environmental, Health
and Safety Guidelines, mostly contained in the Pollution Prevention and
Abatement Handbook (PPAH). IFC Safeguard Policies are currently undergoing
a revision to a Policy on Social and Environmental Sustainability and a series of
Performance Standards. The direction of this review is summarized in Appendix
4 of Volume H. Many of these are of relevance to the project and have been
considered in various aspects of project design and impact assessment.
In 2003, a group of 10 commercial lending institutions initiated a standardized
process for addressing environmental and social issues linked to projects for
which they were to provide financing. In the intervening two years several
additional banks have also formally adopted these standards, which are called the
Equator Principles. In general the Equator Principles endorse the environmental
and social policies and guidelines of the World Bank and the IFC. Thus with the
adoption of the Equator Principles, commercial lending institutions are also
formally accepting IFC safeguard policies. The Ambatovy Project proponents
have publicly endorsed the Equator Principles, which confirms their commitment
that the EA is conducted to World Bank standards.
Ambatovy Project
18
January 2006
