This article considers the Equator Principles, a voluntary code for environmentally responsible project financing by commercial and investment banks. The value of voluntary environmental approaches is increasingly recognised in the European Union, and in its Sixth Environment Action Programme, the European Commission advocated a voluntary initiative with the financial sector to promote harmonised standards for green lending and investing. The article begins by explaining the broader relevance of financial institutions to sustainable development. The nature and effectiveness of voluntary environmental measures to engage the private sector is canvassed before looking at the Equator Principles in detail. The article explains what the Principles demand of lenders, assesses their implementation, and makes some observations on their adequacy for the promotion of environmentally sustainable finance.

Item Type:	Refereed Article
Research Division:	Law and Legal Studies
Research Group:	Environmental and resources law
Research Field:	Environmental law
Objective Division:	Law, Politics and Community Services
Objective Group:	Community services
Objective Field:	Community services not elsewhere classified
UTAS Author:	Richardson, BJ (Professor Benjamin Richardson)
ID Code:	91869
Year Published:	2005
Deposited By:	Faculty of Law
Deposited On:	2014-06-02
Last Modified:	2014-06-02
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