Press Release: Draft of Updated Equator Principles (EP III) Released for Stakeholder Consultation and Public Comment

13 August 2012

The Equator Principles (EP) Association today releases the draft of the updated Equator Principles (EP III) for stakeholder consultation and public comment. The EP is a risk framework for identifying, assessing, and managing environmental and social risks in Project Finance transactions and has been adopted by 77 financial institutions worldwide.

Key themes and areas of development proposed in the EP III draft include:

Leonie Schreve, Director, Head of Environmental and Social Risk at ING and Chair of the EP Association Steering Committee said:

“I am proud that we are releasing the proposed draft of the EP III today. We were able to reflect on the implementation experience of our diverse range of EP Association members and consider stakeholder input to date. The EP Association aims to ensure that the EP framework continues to create a level playing field across the globe and remains the standard in the financial industry for assessing and managing environmental and social risk. The EP Association is now entering one of the most important phases of the EP III update process and is committed to being open and transparent, and providing our stakeholders with an opportunity to comment on the EP III draft.”

The release of the EP III draft follows extensive and ongoing consultation with EP Association members, and proposed changes aim to reflect the diverse range of member policies, practices, cultural settings, client relationships, risk appetites, and legal boundaries. The EP III draft also aims to reflect stakeholder input received to date, key issues highlighted in the recent EP Association Strategic Review and the recent changes to the IFC Performance Standards, which underpin the EP.

The formal stakeholder consultation and public comment period will continue for a minimum of 60 days giving all interested parties and stakeholders (including EP Association members, other financial institutions, clients, industry bodies and associations, non-governmental organisations, consultants, law firms and regulatory bodies) an opportunity to review the EP III draft and provide comments. The EP Association is committed to openness, transparency and responsiveness and will consider all stakeholder feedback.

The EP III draft, a frequently asked questions document and details on the stakeholder engagement and public comment process can be found on the EP website at http://www.equator-principles.com/index.php/EP3.

MEDIA CONTACTS:

Primary Contact

Contact: Frans Middendorff (ING Group Media Relations)

Email: JLIB_HTML_CLOAKING

Telephone:  +31 20 576 6385

Secondary Contact

Samantha Hoskins, Secretariat, EP Association

Email: JLIB_HTML_CLOAKING

BACKGROUND:

The EP is a risk framework for identifying, assessing, and managing environmental and social risks in Project Finance transactions. Since the launch of the EP framework in June 2003 and a subsequent revision in 2006, there has been significant growth in the number of EP adopters from the original 10 to 77 financial institutions from 32 countries across the globe. During this period there has been significant development in environmental and social risk management practices, partly as a result of the greater challenges impacting affected communities and the environment and partly due to the changing financial landscape, particularly the ongoing financial crisis and changing public perception of the role of financial institutions.

FURTHER INFORMATION:

For further information contact the EP Secretariat at JLIB_HTML_CLOAKING or visit http://www.equator-principles.com