Environment

Korea Eximbank and the Environment

Terms & Conditions

Borrower	Korean company that imports essential goods or natural resources which are important to the national economy.
Coverage	Up to 80%(90% for SMEs) of the import
Repayment Term	Capital goods : up to 10 years Other imports: up to 2 years
Repayment Method	Periodic installments of at least once a year. Grace period up to 3 years is allowed for capital goods.

Types of Transactions subject to Environmental and Social Due Diligence

• The financing types presented below, with repayment terms of two years or longer, are subject to Environmental and social (hereinafter referred to E&S) due diligence.

ExportFinancing for Foreign Entities(aboveSDR* 10million)	- Direct Loans - Interbank Export loans - Project Finance (including Financial Guarantees in each case above)
Others	- Financing related to nuclear sector and environmentally sensitive areas

* SDR: Special Drawing Rights created by the IMF SDR

E&S Due Diligence Procedures

• KOREA-EXIM
• Korean Exporter
• Foreign Importer

Category A	Transaction with the potential for a serious and adverse impact
Category B	Transaction with an adverse impact, but Iess than that of Category A
Category C	Transaction with minimal or no adverse impact

1. Screening & Categorization

• Once a client submits an E&S Screening Form, the bank estimates the levels of E&S risks involved in the project to be supported, and categorizes the project according to the extent and level of such risks.

• KOREA-EXIM
• Korean Exporter
• Foreign Importer

2. Environmental and Social Impact Assessment (Hereinafter referred to as ESIA)

• Scope of ESIA
• The bank offers clients comprehensive guidance to determine the scope of ESIA, such as air quality, water quality, soil contamination, waste, biodiversity and socioeconomic impacts, and to establish an E&S Management Plan (hereinafter referred to as ESMP).
• Applicable E&S Standards
• More stringent standards among host country regulations and internationally recognized standards are applied.
  * International guidelines: IFC Performance Standards, EHS guidelines, etc.
• Engagement with E&S Consultant
• An independent E&S consultant to perform the ESIA is appointed by clients with assistance from the bank.

3. E&S Impact and Plan Review

• In order to ensure that the project is in compliance with applicable E&S standards, the bank reviews ESIA reports and ESMPs submitted by clients and offer suggestions for improvement, where applicable.

4. E&S Information Disclosure

• The bank discloses E&S information pertaining to projects on its website before and after a final commitment to grant official support.

5. Commitment to Grant Official Support

• E&S requirements to fulfill are reflected in agreements between the bank and clients.

6. E&S Monitoring

• Period of E&S Monitoring
• First drawdown to completion of reimbursement
• Method of E&S Monitoring
• The bank reviews monitoring reports prepared by independent consultants to ensure compliance with the ESIA and ESMP.
• Results of E&S Monitoring
• The bank imposes further remedial actions/restrictions against violations of environmental and social requirements.

Environmental and Social Impact Assessment & Review Checklists

• Environmental and Social (hereinafter referred to E&S) Impact Assessment & Review Checklists presented in this page are summarized versions of what Korea Eximbank takes into considerations for its Environmental and Social Due Diligence.
• Pursuant to 「OECD Recommendation of the Council on Common Approaches for Officially Supported Export Credits and Environmental and Social Due Diligence」, projects with repayment terms of two years or longer and above SDR 10 million (USD 15 million) of share are subject to E&S Due Diligence. Thus, the bank provides E&S Impact Assessment & Review Checklists to help clients' preparation for E&S due diligence.

E&S Impact Assessment & Review Checklists Downloads 

I. General Checklist	Applicable to all industries
II. Checklist for Thermal Power Plant	Applicable to specific industry
III. Checklist for Electrical Power Transmission and Distribution
IV. Checklist for Petroleum Refinery
V. Checklist for Large Volume Petroleum-based Organic Chemicals Manufacturing
VI. Checklist for Petroleum-based Polymers Manufacturing
VII. Checklist for Natural Gas Processing Checklist
VIII. Checklist for Liquefied Natural Gas (LNG) Facilities
IX. Checklist for Offshore Oil & Gas Development
X. Checklist for Onshore Oil & Gas Development
XI. Checklist for Mining
XII. Checklist for Base Metal Smelting and Refining
XIII. Checklist for Integrated Steel Mills

OECD Common Approaches

본문내용

RECOMMENDATION OF THE COUNCIL ON COMMON APPROACHES FOR OFFICIALLY SUPPORTED EXPORT CREDITS AND ENVIRONMENTAL AND SOCIAL DUE DILIGENCE (THE “COMMON APPROACHES”)

THE COUNCIL

Having regard to the Convention on the Organisation for Economic Co-operation and Development of 14 December 1960 and, in particular, to Article 5 b) thereof;

Having regard to the mandate from OECD Ministers given in 1999 to strengthen Common Approaches on environment and officially supported export credits by the end of 2001 and noting that this mandate was renewed in 2000 when OECD Ministers welcomed the progress towards Common Approaches;

Noting that OECD Ministers in 2001 have recognised that export credit policy can contribute positively to sustainable development and should be coherent with its objectives;

Noting that the present Recommendation builds upon Members’' experience in implementing the 2007 Revised Council Recommendation on Common Approaches on the Environment and Officially Supported Export Credits [C(2007)65] and its predecessors which this Recommendation replaces, the 1998 Statement of Intent on Environment and the Action Statement, adopted by the Working Party on Export Credits and Credit Guarantees (ECG) in February 2000, the ECG Work Plan adopted in 2000, and the ECG Agreement on Environmental Information Exchange for Larger Projects adopted in 1999;

Noting that, since the adoption of the 2007 Revised Council Recommendation, there have been significant developments in the field of environmental and social sustainability;

Noting the initiatives undertaken by the OECD on corporate social responsibility, including the adoption of the updated OECD Guidelines for Multinational Enterprises [C/MIN(2011)11/FINAL];

Recognising that Members have existing obligations to protect human rights and fundamental freedoms, and that business enterprises have the responsibility to respect human rights, as outlined in the ‘'Guiding Principles on Business and Human Rights: Implementing the United Nations “Protect, Respect and Remedy” Framework’' endorsed unanimously by the United Nations Human Rights Council on 16 June 2011;

Noting the key international labour standards set out in the 1998 International Labour Organization Declaration on Fundamental Principles and Rights at Work;

Recognising the responsibility of Members to implement the commitments undertaken by the Parties to the United Nations Framework Convention on Climate Change;

Recognising that, while Members may have different means of delivering official support for export credits through their export credit agencies (ECAs), the primary role of ECAs is to promote trade in a competitive environment, whereas multilateral development banks and development agencies focus primarily on development assistance;

Recognising that project sponsors, exporters, financial institutions and ECAs have, individually or jointly, different roles, responsibilities and leverage with regard to projects benefiting from official support;

Recognising the sovereign right of buyers’' countries to make decisions regarding projects within their jurisdictions;

Recognising the responsibility of Members to consider the positive and negative environmental and social impacts of projects, in particular in sensitive sectors or located in or near sensitive areas, and the environmental and social risks associated with existing operations, in their decisions to offer official support for export credits;

Recognising that, whilst this Recommendation sets out common approaches for addressing environmental and social issues relating to officially supported export credits, Members may adopt additional measures for undertaking due diligence that are consistent with the overall objectives of this Recommendation and that any such measures should be shared with other Members with the aim of improving common practices, developing guidance and promoting a level playing field;

Wishing to consolidate and build on commitments and progress made by Members and non-Members to apply international standards to, and to develop environmental and social review procedures for, officially supported export credits;

Noting that the Annexes to this Recommendation form an integral part thereof;

On the proposal of the Working Party on Export Credits and Credit Guarantees:

A.RECOMMENDS that Members, before taking decisions on officially supported export credits, apply the following common approaches for addressing environmental and social issues relating to exports of capital goods and/or services and the locations to which these are destined.

I. DEFINITIONS

1. 1. For the purposes of this Recommendation, the following terms shall have the meaning set out below:
   • “Associated facilities” are those facilities that are not a component of the project but that would not be constructed or expanded if the project did not exist and on whose existence the viability of the project depends; such facilities may be funded, owned, managed, constructed and operated by the buyer and/or project sponsor or separately from the project.
   • “Due diligence” is the process through which Members identify, consider and address the potential environmental and social impacts and risks relating to applications for officially supported export credits as an integral part of their decision-making and risk management systems.
   • “EHS Guidelines” refers to the World Bank Group Environmental, Health and Safety Guidelines: these are technical reference documents with general and industry sector performance levels and measures that are normally acceptable to the World Bank Group and that the World Bank Group generally considers to be achievable in new undertakings at reasonable costs by existing technology.
   • “Environmental impacts” are the project-related impacts on the environment as a result of the construction and operation of the project.
   • “Existing operations” refer to applications relating to exports of capital goods and/or services to an identified location where there is an existing undertaking that is undergoing no material change in output or function.
   • “IFC Performance Standards” refers to the following Performance Standards of the International Financial Corporation (IFC): Assessment and Management of Environmental and Social Risks and Impacts (PS1); Labor and Working Conditions (PS2); Resource Efficiency and Pollution Prevention (PS3); Community Health, Safety, and Security (PS4); Land Acquisition and Involuntary Resettlement (PS5); Biodiversity Conservation and Sustainable Management of Living Natural Resources (PS6); Indigenous Peoples (PS7); and Cultural Heritage (PS8).
   • “Major Multilateral Financial Institutions” are the African Development Bank, the Asian Development Bank, the European Bank for Reconstruction and Development, the European Investment Bank, the Inter-American Development Bank, the International Bank for Reconstruction and Development, the International Finance Corporation, and the Multilateral Investment Guarantee Agency.
   • “Projects” refer to applications relating to exports of capital goods and/or services to an identified location of:
     - any new commercial, industrial or infrastructure undertaking, or
     - any existing undertaking that is undergoing material change in output or function, which may result in changes to the operation’'s environmental and/or social impacts.
     
     For the purposes of screening, classification and review, a project includes those components that the buyer and/or project sponsor (including contractors) directly owns, operates or manages and that are physically and technically integrated with the undertaking.
   • “Social impacts” are the project-related impacts on the local communities directly affected by the project and on the people involved in the construction and operation of the project; these social impacts encompass relevant adverse project-related human rights impacts.
   • “World Bank Safeguard Policies” refers to the safeguard policies relating to: Environmental Assessment (OP 4.01); Natural Habitats (OP 4.04); Pest Management (OP 4.09); Indigenous Peoples (OP 4.10); Physical Cultural Resources (OP 4.11); Involuntary Resettlement (OP 4.12); Forests (OP 4.36); Safety of Dams (OP 4.37); International Waterways (OP 7.50); and Disputed Areas (OP 7.60).

II. GENERAL PRINCIPLESS

1. i) Scope
2. 2. This Recommendation applies to all types of officially supported export credits for exports of capital goods and/or services, except exports of military equipment or agricultural commodities, with a repayment term of two years or more.
3. ii) Objectives
4. 3.The objectives of this Recommendation are to:
   1. i) Promote coherence between Members’' policies regarding officially supported export credits, their international environmental, climate change, social and human rights policies, and their commitments under relevant international agreements and conventions, thereby contributing towards sustainable development.
      
   1. ii) Develop common procedures and processes relating to the environmental and social review of officially supported export credits, with a view to achieving equivalence among the measures taken by the Members and to reducing the potential for trade distortion.
      
   1. iii) Promote good practice and consistent review and assessment processes for projects and existing operations benefiting from officially supported export credits, with a view to achieving a high level of environmental and social performance as measured against the relevant international standards.
      
   1. iv) Enhance efficiency of official support procedures by ensuring that the administrative burden for applicants and ECAs is commensurate with the objectives of this Recommendation.
      
   1. v) Promote a global level playing field for officially supported export credits and increase awareness and understanding, including among non-Members, of the benefits of applying this Recommendation.
      
5. 4.To achieve these objectives, Members should:
   1. i) Encourage the prevention and the mitigation of adverse environmental and social impacts of projects and the consideration of environmental and social risks associated with existing operations and take into account the benefits of any projects and existing operations supported, thereby enhancing the overall financial risk assessment process.
      
   1. ii) Undertake appropriate environmental and social reviews and assessments for projects and existing operations respectively, as part of their due diligence relating to applications for officially supported export credits.
      
   1. iii) Promote awareness of the OECD Guidelines for Multinational Enterprises among appropriate parties involved in applications for officially supported export credits as a tool for responsible business conduct in a global context.
      
   1. iv) Encourage protection and respect for human rights, particularly in situations where the potential impacts from projects or existing operations pose risks to human rights.
      
   1. v) Foster transparency, predictability and responsibility in decision-making, by encouraging disclosure of relevant environmental and social impact information, with due regard to any legal stipulations, business confidentiality and other competitive concerns.
      
   1. vi) Continue to build a body of experience on the practical application of this Recommendation.
      
   1. vii) Continue to encourage the application of the international standards referenced in this Recommendation or their equivalent by non-Members, to promote the adherence to this Recommendation by non-Members including through an active dialogue to increase awareness and understanding of the benefits of its application, and to take other appropriate measures with the aim of promoting a global level playing field for officially supported export credits.
      

III. SCREENING

1. 5.Members should screen all applications for officially supported export credits covered by this Recommendation with the aim of identifying which applications should be classified and, where appropriate, subsequently reviewed. The parties involved in an application, including applicants (exporters and lenders) and project sponsors, should provide all information necessary to carry out the screening. The screening should take place as early as possible in the risk assessment process.
   
2. 6.The screening should identify applications relating to exports of capital goods and/or services according to:
   • whether they are related to projects or to existing operations as defined in Section I of this Recommendation;
   • whether or not the exports are destined to identified locations that are in or near sensitive areas; and
   • whether or not the Member’'s share is equal to or above SDR 10 million.
3. 7.`Members shall classify, in accordance with Section IV of this Recommendation, applications relating to:
   • All projects in or near sensitive areas irrespective of their share.
   • All projects for which their share is equal to or above SDR 10 million.
4. 8.Members shall assess for potential environmental and/or social risks applications relating to:
   • All existing operations for which their share is equal to or above SDR 10 million.
5. In undertaking this assessment, Members should take into account the industry sector, location and other information available relating to potential environmental and/or social impacts, before making any final commitment to provide official support. Alternatively, Members may classify such applications in accordance with Section IV of this Recommendation.
   
6. 9.Beyond screening, no further action is required under the provisions of this Recommendation for applications relating either to projects for which a Member’'s share is below SDR 10 million and which are not in or near sensitive areas, or to existing operations for which a Member’'s share is below SDR 10 million.

IV. CLASSIFICATIONG

1. 10.Members should identify the potential positive and negative environmental and social impacts relating to the applications to be classified. In this context:
   • Potential environmental impacts may include, but are not limited to, generation of significant air emissions, including greenhouse gas emissions,effluents, waste, hazardous waste, wastewater, noise and vibrations, significant use of natural resources, and impacts on endangered species.
   • Potential social impacts may include, but are not limited to, labour and working conditions, community health, safety, and security, land acquisition and involuntary resettlement, indigenous peoples, cultural heritage, and project-related human rights impacts, including forced labour, child labour, and life-threatening occupational health and safety situations.
2. 11.`The three categories for classification are:
   • Category A: a project is classified as Category A if it has the potential to have significant adverse environmental and/or social impacts, which are diverse, irreversible and/or unprecedented. These impacts may affect an area broader than the sites or facilities subject to physical works. Category A, in principle, includes projects in sensitive sectors or located in or near sensitive areas. An illustrative list of Category A projects is set out in Annex I.
   • Category B: a project is classified as Category B if its potential environmental and/or social impacts are less adverse than those of Category A projects. Typically, these impacts are few in number, site-specific, few if any are irreversible, and mitigation measures are more readily available.
   • Category C: a project is classified as Category C if it has minimal or no potentially adverse environmental and/or social impacts.
3. 12.Members should seek to ensure a coherent approach to the classification of projects through reporting and review of such projects, pursuant to paragraph 41 of this Recommendation.

V. ENVIRONMENTAL AND SOCIAL REVIEW

1. 13.Members should undertake an environmental and social review of projects, in accordance with the international standards applied to the project as set out in paragraphs 20-24 of this Recommendation, consisting of:
   • benchmarking of the project’'s environmental and social performance against the relevant aspects of the international standards applied to the project; and
   • consideration of measures that can be taken to prevent, minimise, mitigate or remedy adverse impacts and/or to improve environmental and social performance, as appropriate to the size of the relevant parties involved in the project, the context of their operations, the nature and extent of potential adverse impacts, the international standards applied to the project, and the significance of the Members’' share in the overall project.
2. 14.Members supporting exports forming only a minor part of a project, or in re-insurance situations, may take into account the environmental and social review carried out by another Member, a Major Multilateral Financial Institution, or a Member’'s development agency in accordance with this Recommendation.
   
3. 15.When undertaking a review, Members should, where appropriate:
   • assess the potential environmental and/or social impacts of any associated facilities, taking into account the timing and location of their construction, including making reasonable efforts to benchmark against relevant international standards using the available information; and
   • consider any statements or reports made publicly available by their National Contact Points (NCPs) at the conclusion of a specific instance procedure under the OECD Guidelines for Multinational Enterprises.
4. 16.When undertaking a review, Members should indicate to the appropriate parties involved in the project the type of information they require, including, where appropriate, the need for an Environmental and Social Impact Assessment (ESIA). The applicant is responsible for providing the appropriate information to satisfy Members’' requirements. The information to be supplied should include, but is not limited to:
   • A description of the project and its geographic, ecological, social, and temporal context.
   • Information relating to the potential environmental and/or social impacts of the project, together with any information on related mitigating and monitoring measures.
   • The standards, practices and processes that the parties involved in the project intend to apply, including information that the project complies with local legislation and other host country relevant regulations.
   • The results of any public consultations with local communities directly affected by the project and/or their legitimate representatives and of any engagement with other parties, such as civil society organisations, that have expressed an interest in the project. It is the responsibility of the buyer/project sponsor to undertake any such public consultations and/or engagements with interested parties. For the purposes of public consultations, environmental and social impact information should be made available to affected communities in a language accessible to them.
5. 17.For a Category A project, Members should require an ESIA to be undertaken; the applicant is responsible for providing the resulting ESIA report, together with other studies, reports or action plans covering the relevant aspects of the project. An ESIA report and any supporting documents should address the issues set out in the international standards applied to the project in accordance with paragraphs 20-24 of this Recommendation: in this context, Annex II contains information on the typical items to be included in an ESIA report. An ESIA should not be carried out and reviewed by the same party.
   
6. 18.The scope of a review for a Category B project may vary from project to project. Members should require appropriate information to be provided by the applicant that addresses the relevant environmental and social impacts of the project. Such information may be contained in an ESIA or in project-related assessment reports, planning and concept documents, environmental and social studies and plans, technical documentation of pollution control plans and criteria, applicable legal and regulatory frameworks, community engagement activities (information disclosure, dissemination, consultation and other participatory processes) and information collected during discussions with applicants.
   
7. 19.Beyond screening and classification, no further action is required under the provisions of this Recommendation for a Category C project.
   
8. 20.When undertaking a review, Members should benchmark:
   • non-project finance projects, against the relevant aspects of
     all ten World Bank Safeguard Policies, or
     all eight IFC Performance Standards, in particular where justified and/or practicable due to the size and/or structure of the transaction such as, but not limited to, certain types of structured finance transactions that share characteristics with project finance, and/or where other financial institutions forming a significant part of the project are applying these same standards;
   • limited or non-recourse project finance projects, against the relevant aspects of all eight IFC Performance Standards.
9. 21.Where such institutions are supporting the project, Members may instead benchmark projects against the relevant aspects of the standards of a Major Multilateral Financial Institution.
   
10. 22.Members should also benchmark projects against the relevant aspects of the EHS Guidelines, which are referenced in World Bank Safeguard Policy OP 4.01 and IFC Performance Standard 3.
    
11. 23.In the absence of any relevant industry sector EHS Guidelines, Members:
    • should benchmark against the relevant aspects of any internationally recognised sector specific or issue specific standards such as, where appropriate, the Convention on Nuclear Safety and the relevant aspects of International Atomic Energy Agency (IAEA) standards for nuclear power plants; and/or
    • may refer to relevant international sources of guidance such as, for example, where appropriate, the Hydropower Sustainability Assessment Protocol and the Core Values and Strategic Priorities of the World Commission on Dams (WCD) Report for hydro-power projects.
12. 24.Alternatively, where appropriate, Members may benchmark projects against the relevant aspects of any other internationally recognised standards, such as European Union standards, that are more stringent than those standards referenced above.
    
13. 25.In the absence of a contrary decision by the ECG, the international standards applied by the institutions referred to in paragraphs 20-24 of this Recommendation are those applicable at the time of the adoption of the Recommendation. However, in the event of a review of such standards by the relevant standard-setting body, including any updates to the World Bank Safeguard Policies or to the reference standards for nuclear power plants as a result of international agreements reached within the IAEA, the ECG may decide to adopt the updated standards without undertaking a complete review of this Recommendation.
    
14. 26.Projects should, in all cases, comply with host country standards. Members should, therefore, seek assurance that the project complies with local legislation and other relevant host country regulations.
    
15. 27.Projects should also meet the international standards against which they have been benchmarked, in accordance with paragraphs 20-24 of this Recommendation, recognising that some of these standards contain margins of tolerance in how their overall objectives may be achieved.
    
16. 28.In exceptional cases, however, a Member may decide to support a project that does not meet the relevant aspects of the international standards against which it has been benchmarked. In such cases, the reasons for the choice of international standards, the reasons for the failure to meet such international standards, the related justification for supporting the project, and any related monitoring procedures must be reported to the ECG in accordance with paragraph 41 of this Recommendation. With due regard to business confidentiality, aggregated information on such cases will be made publicly available by the ECG in accordance with paragraph 39 of this Recommendation.
    

VI. EVALUATION, DECISION AND MONITORING

1. 29.Members should evaluate the information resulting from screening and review of a project, and decide whether to request further information, decline or provide official support.
   
2. 30.In the event that support is to be provided, Members should decide whether this should involve conditions to fulfil prior to, or after, the final commitment for official support, for example, measures to prevent, minimise, mitigate or remedy potential adverse environmental and social impacts, covenants, and monitoring requirements. In this context, Members may require a project sponsor to devise further action plans to describe and prioritise the mitigation measures, corrective actions, monitoring activities and timetable necessary to manage the project’'s environmental and/or social impacts in a manner consistent with international standards and good international industry practice.
   
3. 31.Where support for a project is provided subject to fulfilment of certain conditions whether during the construction and/or the operation phase of the project, Members should ensure that appropriate procedures are in place to monitor the project, regardless of its classification, in order to ensure compliance with the conditions of their official support.
   
4. 32.In addition, for all limited or non-recourse project finance Category A projects, Members should require regular ex post reports and related information to be provided during their involvement in the project to ensure that relevant potential environmental and/or social impacts are addressed according to the information provided by applicants during the environmental and social review.
   
5. 33.In the case of non-compliance with the conditions of official support, Members should take actions that they deem appropriate in order to restore compliance, in accordance with the terms of the contract for official support.
   
6. 34.Members should, where appropriate, encourage project sponsors to make ex post monitoring reports and related information including concerning how environmental and/or social impacts are being addressed publicly available at regular intervals, including in forms accessible to local communities directly affected by the project and other relevant stakeholders.
   

VII. EXCHANGE AND DISCLOSURE OF INFORMATION

1. 35.Members should publish national ECA environmental and other related policy statements or principles and procedural guidance relevant to the implementation of this Recommendation.
   
2. 36.Taking into account the competitive context in which they operate and constraints of business confidentiality, Members should:
   • share information with other Members and, if appropriate, with other financial institutions involved in the project, with a view to seeking, where appropriate, common positions on the review of projects, including project classification, and
   • reply in a timely manner to requests from other Members in a co-financing or a competitive situation on the environmental and social standards accepted by the Member.
3. 37.Also taking into account the competitive context in which they operate and constraints of business confidentiality, Members should:
   • For Category A projects:
     - disclose publicly project information, including project name, location, description of project and details of where additional information (e.g. ESIA report, summary thereof) may be obtained, such as a buyer and/or project sponsor contact point and/or website link, as early as possible in the review process and at least 30 calendar days before a final commitment to grant official support; and
     - require that environmental and social impact information (e.g. ESIA report, summary thereof) be made publicly available as early as possible in the review process and at least 30 calendar days before a final commitment to grant official support. Such information may be made publicly available by the Member or by an appropriate party involved in the project, such as the buyer and/or project sponsor.
   • In the case where such project or environmental and social impact information has not, for exceptional reasons, been made public, explain the circumstances and report these in accordance with paragraph 41 of this Recommendation, except in re-insurance situations, where Members may rely on the lead Member to undertake the disclosure provisions of this Recommendation.
4. 38.Subject to the legal provisions on public disclosure in Members’' countries, Members should make available to the public at least annually environmental and social information on projects classified in Category A and Category B for which a Member has made a final commitment with respect to providing official support, including the type of information reviewed and the international standards applied, together with an ECA contact point for obtaining additional information.
   
5. 39.The ECG shall:
   • Exchange views on a regular basis with appropriate civil society organisations, including business, industry, banking and trade union associations, and other non-governmental organisations, on the operation of this Recommendation.
   • Share experiences with, and exchange information on, the operation of this Recommendation with non-Members to increase awareness and understanding of the benefits of applying this Recommendation and with the aim of promoting a global level playing field on environmental and social due diligence for officially supported export credits and encouraging formal adherence.
   • With due regard to business confidentiality, make aggregated information publicly available annually based on Members’' reporting in accordance with paragraph 41 of this Recommendation.

VIII. REPORTING AND MONITORING OF THE RECOMMENDATION

1. 40.Members shall:
   • Ensure, through appropriate measures and mechanisms, compliance with their policies and procedures pursuant to this Recommendation.
   • Monitor and evaluate, over time, the experience with this Recommendation at a national level, and share experiences with the other Members, including about the standards applied to those projects that were subject to a review as referred to in paragraphs 20-24 of this Recommendation.
   • Continue to enhance and improve procedures at a national level to address the environmental and social impacts of projects, and to encourage their ECAs to allocate appropriate resources for this purpose.
2. 41.Members shall report to the ECG ex post on an on-going basis or at a minimum semi-annually, in accordance with Annex III of this Recommendation, all projects classified in Category A and Category B for which a final commitment has been issued.
   
3. 42.Members shall continue to build a body of experience on the application of this Recommendation through regular reporting and exchanges of information, with the aim of improving common practices, developing guidance, and promoting a level playing field. This work will include developing best practice for undertaking due diligence with regard to, for example, associated facilities and supply chains. To facilitate this work, Members shall:
   • Report projects classified in Category A and Category B, in accordance with paragraph 41 of this Recommendation.
   • Report on experience with using international standards for benchmarking purposes, in particular the use of margins of tolerance contained within such standards based on a description of the margins employed, together with any accompanying information on technical and financial feasibility issues and on the mitigation and remediation measures undertaken, in order to support the choice of alternative performance levels and demonstrate how the overall objectives of the international standards were achieved.
   • Report projected annual emissions during the operations phase of projects in CO2-equivalent and/or the relevant carbon intensity (e.g. in g/kWh), where such emissions are projected to be in excess of 25 000 tonnes CO2-equivalent annually and where the Member is in possession of the necessary information, e.g. via an ESIA report, with a view to developing a common accounting and reporting methodology.
   • Share experience gained in respect of the assessments of existing operations.
   • Share experience with applying the IFC Performance Standards beyond project finance transactions, including based on relevant exchanges with Equator Principles Financial Institutions and other relevant financial institutions.
   • Exchange information on any additional measures that Members may have adopted for undertaking due diligence, consistent with the overall objectives of this Recommendation, and on any other issues or developments within the field of environmental and social reviews or assessments of projects or existing operations.
4. 43.Members shall give further consideration to issues relating to support for thermal power plants and nuclear power plants, particularly the use of international standards and relevant sources of international guidance. This work should be based on:
   • Reporting of any specific actions taken to avoid, minimise and/or offset CO2 emissions, pursuant to the recommendations outlined in the EHS Guidelines for Thermal Power Plants, for all new high carbon intensity fossil fuel power projects exceeding 700g/kWh, taking into account, where appropriate, the context of the low carbon growth framework of the country where the project is located, the use of best appropriate technology to reduce carbon emissions, and other recommended actions.
   • Sharing of experience gained by exporting countries in respect of handling the specific challenges of addressing the potential impacts of nuclear power plants, with a view to sharing practices on these issues. This work should also take into account relevant international conventions and guidelines, such as those adopted or recommended by the IAEA, and that are to be applied to all projects related to the production of nuclear power.
5. 44.Members shall report to the ECG ex post on an on-going basis or at a minimum semi-annually, in accordance with Annex III of this Recommendation, all projects classified in Category A and Category B for which a final commitment has been issued.
   
6. 45.The OECD Secretariat shall monitor the implementation of this Recommendation through compilation of reporting by the Members and report annually to the ECG.
   
7. B.WELCOMES the commitments by non-Members to respect environmental and social standards, and ENCOURAGES them to take due account of and adhere to the present Recommendation.
   
8. C.INSTRUCTS the ECG, in the light of experience, to report to Council on the implementation of this Recommendation and on the need to amend or undertake a review of elements of this Recommendation, not later than three years from the adoption of this Recommendation. Such a report will include, but may not be limited to:
   • An update on the international standards to be used for benchmarking purposes, in accordance with paragraphs 20-24 of this Recommendation, and any changes to these standards agreed by the ECG in accordance with paragraph 25 of this Recommendation.
   • Information on the body of experience, in particular with regard to improving common practices, developing guidance, and promoting a level playing field, for example, with regard to greenhouse gas accounting and reporting, and to sector-specific challenges, as set out in paragraphs 42-43 of this Recommendation.
   • An update on ECG experience and views on how project-related human rights impacts are being addressed and/or might be further addressed in relation to the provision of officially supported export credits, as set out in paragraph 44 of this Recommendation.
   • A progress report on efforts undertaken by Members to increase awareness and understanding of this Recommendation by non-Members, on the application of this Recommendation including the international standards referenced herein by non-Members, and on what amendments to this Recommendation and/or its implementation might help to promote a global level playing field for officially supported export credits.