Dam Solutions - Dam Builders

Dam proponents and sustainability

The need for change is increasingly recognised by the dam builders and operators, as well as by financial institutions, and there have been several initiatives to put environmental sustainability on the agenda.

• In 1997, ICOLD, the International Commission on Large Dams, published its Position Paper on Dams and Environment.


• In July 2003 a group of commercial banks adopted the so-called Equator Principles, a set of voluntary environmental and social guidelines covering investments in major projects. The financiers have recognised that: "... our role as financiers affords us significant opportunities to promote responsible environmental stewardship and socially responsible development."
  
  The Equator principles go on to say that banks adopting the principles "seek to ensure that the projects we finance are developed in a manner that is socially responsible and reflect sound environmental management practices." To date 20 banks have signed up to the principles.


• In November 2003, the International Hydropower's Association (IHA) published Sustainability Guidelines to "promote greater consideration of environmental, social and economic sustainability in the assessment of new hydro projects and the management and operation of existing power schemes". And while the IHA disagrees on some of the detailed recommendations of the WCD, it states that "there is clear acceptance of the Core Values" and suggests that the IHA Sustainability Guidelines can provide a framework for good practice which is in accordance with the WCD values.

Compliant and transparent?
These initiatives are a step in the right direction, but the process does not stop here. Both the Equator Principles and the IHA Sustainability Guidelines are voluntary and there is as yet no independent assessment whether the standards, principles and guidelines are met. WWF calls on banks to adopt transparent investment guidelines based on the WCD recommendations to ensure that investment decisions are made responsibly.

To read more download the document "Banks and Dams - Beyond the Equator Principles" (PDF: 58.0 KB)