In national Environmental Impact Assessment (EIA) legislation, social risks of investment projects tend to be inadequately considered, causing insufficient mitigation, and poor outcomes for communities. The main challenges are gaps in coverage of social risks, combined with weak institutional coordination and oversight. Even if a project’s legal framework involves other laws and regulations covering aspects of social risk missing in applicable EIA law (such as labor law, mineral law, forestry law, etc.), coordination between multiple regulatory agencies is typically limited and implementation capacity and oversight is weak. This often leaves social risks and impacts unmitigated, even if an impact assessment (IA) has been prepared according to international standards and identified them.

Country systems to manage social risks of investment projects

Resource Key: AACSQG5X

Document Type: Report

Creator:

Author:

  • World Bank

Creators Name: {mb_resource_zotero_creatorsname}

Place: Washington D.C.

Institution: World Bank

Date: July 2023

Language: en

In national Environmental Impact Assessment (EIA) legislation, social risks of investment projects tend to be inadequately considered, causing insufficient mitigation, and poor outcomes for communities. The main challenges are gaps in coverage of social risks, combined with weak institutional coordination and oversight. Even if a project’s legal framework involves other laws and regulations covering aspects of social risk missing in applicable EIA law (such as labor law, mineral law, forestry law, etc.), coordination between multiple regulatory agencies is typically limited and implementation capacity and oversight is weak. This often leaves social risks and impacts unmitigated, even if an impact assessment (IA) has been prepared according to international standards and identified them.

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