For the potential sale of four gas concessions in the Nile Delta (the assets), a private sector natural gas company commissioned Environics, in association with Environmental Resources Management (ERM), to undertake an Environmental and Social Due Diligence (ESDD) assessment.
- The assessment was an evaluative environmental and social screening of planned approaches to managing health, safety, E&S aspects of the assets to determine potential risks. It aimed at verifying the the Project’s alignment with the following applicable E&S performance standards, and to recommend, as necessary, actions to close any identified gaps:
- Laws, regulations and permits/approvals in Egypt pertaining to environmental and social issues (including any international treaties applicable to the Assets);
- Equator Principles 4 (in force 1 October 2020);
- International Finance Corporation (IFC) Performance Standards on Environmental and Social Sustainability (2012);
- Organization for Economic Co-operation and Development (OECD) Recommendation of the Council on Common Approaches for Officially Supported Export Credits and Environmental and Social Due Diligence (April 2016) (OECD Common Approaches); and
– World Bank Group Environmental, Health and Safety (EHS) Guidelines
- The scope of the assessment entailed reviewing documents to identify potential red flag or critical E & S risks, asset conformance with the applicable Standards; and areas for verifying and crosschecking during for the monitoring phase to be undertaken post-financial close.
- ESDD report encompassed: description of the project, the four assets, and the associated facilities, review of the regulatory compliance of the assets, as well as Equator principles assessment and IFC performance standards compliance. In addition, it also included key information gaps that prohibited from making full conclusions of the assets‟ s alignment with the applicable standards, and the framework of the Environmental and Social Action Plan (ESAP) including the recommended actions.