New 'Equator Principles' will extend environmental assessment to more project finance arrangements

16 May 2013 - Out-Law

A new version of the 'Equator Principles', which establish an environmental and social risk management framework for project financiers, will cover a wider range of funding arrangements. The third version of the Equator Principles (EP III) will take effect from 4 June, and should be applied to all new transactions from 1 January 2014. The new principles will apply to project-related corporate loans and short-term 'bridge' loans, in addition to project financing arrangements.  Environment and energy law expert Eluned Watson of Pinsent Masons, the law firm behind Out-Law.com, said that the new principles would have "important implications, risks and opportunities" for both lenders and those seeking financial capital for projects. Read More.