ADB Safeguards Environmental and Social Due Diligence Consultant | SLP Cambodia
Environmental & Social Due Diligence for a Microfinance Institution in Cambodia
SLP Environmental conducted environmental and social due diligence (ESDD) for a microfinance institution operating across Cambodia, on behalf of an international financial institution supporting a proposed corporate bond guarantee. The assessment reviewed the company’s performance against the client’s environmental and social safeguards, applicable ADB safeguard requirements, Cambodian regulations and ILO Core Labour Standards. SLP identified and prioritised compliance gaps, prepared an Environmental and Social Action Plan (ESAP), and subsequently helped develop the company’s Environmental and Social Management System (ESMS) and provided implementation training.
SLP was appointed as an independent consultant to assess the Company’s performance with respect to the Safeguards Requirements (SR) adopted for the Assignment which included:
- Prohibited Investment Activities List (PIAL);
- Clients Environmental and Social Safeguards (ESS) Policy;
- ADB Safeguard Requirements 1-4;
- National requirements pertaining to E&S performance; and
- ILO Core Labour Standards.
The primary objectives of the Environmental and Social Due Diligence were to:
- Assess the Company’s conformance status with respect to safeguards requirements;
- Clearly identify any gaps and prioritise them in terms of significance;
- Recommend appropriate corrective actions (CA’s) to close gaps and align Project E&S performance with safeguards requirements;
- Set timelines for implementation of CA’s based on assigned priority;
- Specify appropriate Completion Indicator to verify gap closure;
- Prepare a bespoke Environmental and Social Action Plan (ESAP); and
- Assess the capacity and resources of the Company to implement the ESAP requirements.
Following the completion of the ESDD assignment, SLP was appointed to further develop the Company’s ESMS and provide high level training on its implementation.