Project classification

Projects are classified into one of the following three environmental categories based on the export credit guarantee application, the environmental impact questionnaire and any other environmental information submitted:

A. Projects with potentially significant adverse environmental impacts that may affect an area broader than the project site itself. In practice, this means new production facilities and significant extensions of existing facilities in sensitive sectors, and projects located in sensitive areas or in their immediate vicinity.
- e.g. pulp and paper mills, mines and large power plants

B. Projects with moderate environmental impacts that are less adverse than those in category A projects and that are easier to manage than in category A projects.
- e.g. a small extension to a paper mill or power plant, a new hospital or a mobile phone factory

C. Projects with minimal or no adverse environmental impacts.
- e.g. construction of a mobile phone network in a non-sensitive area

Projects are classified as category A using the capacity and production limits specified for various sectors of industry in the OECD recommendation Annex 1. In cases where this Annex fails to provide sufficient accuracy for project classification, Annex 1 to the European Union Council Directive 85/337/EEC on the assessment of the effects of certain public and private projects on the environment (amended by Council Directive 97/11/EC) may be used.

Attachments:
OECD environmental agreement (PDF)