30/05/2005 – WWF is calling
on financial institutions to be more socially
and environmentally responsible, following
the launch of freshwater guidelines by one
of the world's largest banks.
According to WWF, HSBC is the first global
commercial bank to release a Freshwater Infrastructure
Sector Guideline, which follows its Forest
Land and Forest Products Sector Guideline
released last year.
HSBC’s latest guideline includes a recognition
of the global importance of maintaining freshwater
resources, uses the World Commission on Dams
framework as a standard for good practice
in the sector, and promotes the conservation
of globally-important wetlands, such as Ramsar
sites.
The guideline is published as the world faces
a global freshwater crisis. More than 1 billion
people do not have access to safe and sustainable
water supplies and freshwater habitats and
species are being destroyed or damaged even
faster than forests or oceans.
“The banking sector has a responsibility
to ensure that appropriate social and environmental
standards are applied to projects receiving
investment," said Robert Napier, Chief
Executive of WWF-UK.
"HSBC has taken steps to manage its
business footprint with the involvement of
WWF, by developing responsible lending policies.”
While WWF feels that the launch of the Freshwater
Infrastructure Sector Guideline by HSBC is
a sign of a broader appreciation of corporate
responsibility in the financial services sector,
much more needs to be done by business to
help conserve the earth’s resources for people
and nature.
WWF will continue to work closely with HSBC
to ensure the implementation and effectiveness
of their freshwater guideline and urge other
major banks and financial institutions to
adopt similar policies.
NOTES:
• The purpose of HSBC’s Freshwater Infrastructure
Sector Guideline is to ensure that the Group’s
involvement in this area does not give rise
to adverse reputational impacts, given the
high sustainability (environmental and social)
risks inherent in this sector. The policy
outlines the engagements that the Group is
prepared to support and those where an involvement
may be prohibited. The guideline applies to
direct lending or other forms of financial
assistance to projects only.
• HSBC has invested US$50 million in a five-year
partnership with WWF, Botanical Gardens Conservation
International (BGCI), and Earthwatch. Launched
in February 2002, Investing in Nature focuses
on restoring freshwater, providing long-term
education, and influencing policy on freshwater
management in Brazil, China, the UK and the
United States. The programme aims to restore
two million hectares of river basin habitat,
protect 20,000 plant species from extinction,
and send scientists and HSBC fieldworkers
around the world.
• HSBC will follow the World Bank General
Environment Guidelines, the International
Finance Corporation General Health & Safety
Guideline in respect of freshwater sector.
In respect of facilities involving dams, HSBC
will also follow the World Commission on Dams
(WCD) Policy Framework.
