The EP is a risk framework for identifying, assessing, and managing environmental and social risks in Project Finance transactions and has been adopted by 77 financial institutions worldwide. Key themes and areas of development proposed in the EP III draft include:
- An extension in the scope of the EP to Project-Related Corporate Loans and Bridge Loans.
- Changes reflecting the recent update of the International Finance Corporation (IFC) Performance Standards.
- New requirements related to managing impacts on climate.
- Greater emphasis on human rights considerations in due diligence and an acknowledgment of the UN "Protect, Respect and Remedy" Framework for Business and Human Rights and Guiding Principles on Business and Human Rights.
- A strengthening of reporting and transparency requirements.