BANKS DODGY DEALS CAMPAIGNS
Sections
Banks Dodgy Deals Campaigns
Our campaigns
Banks and Climate
Banks and Human Rights
Banks and Nature
Our projects
Tracking the NZBA
Banks and Russia
Banks and Steel
Tracking the Equator Principles
Tracking the PRBs
Find a Better Bank
Banks and the OECD Guidelines
Media
News Publications
Raiffeisen Out! Bank.Green End Coal Finance Plastic Banks Tracker Defund TotalEnergies Financial Exclusions Tracker Equator-Complaints.Org Don't Buy into Occupation Banks & Biodiversity Forests & Finance Drop JBS StopEACOP Fossil-Free Finance
BankTrack
About BankTrack Organisation Our team Our board Our annual reports Funding and finances Guiding principles Our history BankTrack in the media Team up with us Our privacy policy Donate Visit us
Successes Contact BankTrack
Donate Mailing list Facebook Twitter Linkedin Login
Home › Partner news ›
Partner News

Equator Principles: no U turn allowed

NGOs call upon banks to save Equator Principles as support for Caspian oil pipeline threatens credibility
2004-01-24 | Davos, Switzerland
Contact:

Johan Frijns, BankTrack

Photo: Equator Principles
2004-01-24 | Davos, Switzerland
Contact:

Johan Frijns, BankTrack

Non-governmental organisations present at the World Economic Forum, today called upon commercial banks not to back track on their commitment to the Equator Principles (EP). They voiced this concern as EP signatory banks intend to finance the highly controversial Baku-Tbilisi-Ceyhan (BTC) oil pipeline.

Since June 2003, nineteen leading banks have signed on to the Equator Principles, committing themselves to apply the social and environmental policies of the IFC, the World Bank's private arm, in all their project lending.
While cautiously welcomed by NGOs as a first step in a long process leading to socially and environmentally responsible banking practices, the continued support of Equator banks for projects such as BTC has led to serious doubts about the viability of the Principles. At least eight EP banks, lead by ABN AMRO, are participating in the BTC project, which, according to NGO research, is in total or partial breach of five EP referenced IFC standards, on at least 127 counts.

The organisations, who recently established the BankTrack network, presented EP banks with a elaborate list of recommendations on how to best act upon the Principles, and move beyond the limited framework they provide. The recommendations include a commitment to full information disclosure and transparency, the establishment of a joint Independent Accountability Mechanism, and moving beyond IFC standards in those sectors where these are not best practice.

Andrea Baranes of CRBM, Italy commented; "EP Bank support for BTC has put the very credibility of the Principles at stake; having such ambitions and at the same time allow for these kind of projects to continue makes them virtually meaningless".

Michelle Chan of Friends of the Earth (US) added "The Equator Principles, as a voluntary set of principles, cannot depend solely on peer group pressure to succeed. Independent monitoring and compliance mechanisms must be put in place. Signatories cannot expect to receive much public credit without accountability procedures that ensure that banks practice what they preach on the ground".

Said Andreas Missbach of Berne Declaration: "Signing on to the Equator Principles must signify an end to 'business as usual' for banks, reflected in a change in their portfolios and lending practices. EP banks should invest in, and capitalise on the potential good will created by the EPs. Any short term financial gains from signing on to a controversial project such as BTC will be insignificant compared to this future asset".

Dodgy Deals
There are no active project profiles for this item now.

Baku-Tbilisi-Ceyhan oil pipeline

Azerbaijan
Project
On record
Pipeline Transportation of Crude Oil

Baku-Tbilisi-Ceyhan oil pipeline

Azerbaijan
Sections
Banks Dodgy Deals Campaigns
Our campaigns
Banks and Climate Banks and Human Rights Banks and Nature
Our projects
Tracking the NZBA Banks and Russia Banks and Steel Tracking the Equator Principles Tracking the PRBs Find a Better Bank Banks and the OECD Guidelines
Media
News Publications
Raiffeisen Out! Bank.Green End Coal Finance Plastic Banks Tracker Defund TotalEnergies Financial Exclusions Tracker Equator-Complaints.Org Don't Buy into Occupation Banks & Biodiversity Forests & Finance Drop JBS StopEACOP Fossil-Free Finance
BankTrack
About BankTrack Organisation Our team Our board Our annual reports Funding and finances Guiding principles Our history BankTrack in the media Team up with us Our privacy policy Donate Visit us
Successes Contact BankTrack
Vismarkt 15
6511 VJ Nijmegen
The Netherlands
Contact@banktrack.org
Donate Mailing list Facebook Twitter Linkedin
©2023 BankTrack
BankTrack is a registered charity in the Netherlands (ANBI) - RSIN 813874658
Find our privacy policy here

Stay up to date

Sign up now for all BankTrack's news


Make a comment

Your comment will be reviewed, before being posted