ESG Guidelines
The Landscape Resilience Fund ESG Guidelines describe the approach and requirements of the Landscape Resilience Fund (LRF) for identifying, managing, and monitoring the environmental, social, and governance (ESG) risks of the activities it funds. It is of the utmost importance to the LRF that no individuals, groups of people, or plant or animal species and ecosystems suffer preventable negative consequences due to the activities of the LRF.
To uphold this principle, a comprehensive environmental and social management system (ESMS) is used to identify, minimise and manage ESG risks for the LRF. This is specifically designed for the LRF and based on international best practices, including WWF’s ESG risk management approach, IFC Performance Standards, and Gold Standard Safeguards for the Global Goals (GS4GG).
Our ESG Guidelines reflect our belief that effective climate adaptation and climate-smart agriculture initiatives must be grounded in strong environmental and social standards and commitments. We believe that these guidelines will help to ensure that our investments promote sustainable agriculture and climate adaptation practices while avoiding, minimising or managing any negative impacts.
This document will be reviewed and updated regularly, to improve performance in this regard over time, and remain aligned with WWF and internationally-recognised best practices. The ESG Guidelines are a component of the LRF’s ESMS.
The ESG Guidelines are published online to support transparency around the LRF’s commitments and activities, and to provide guidance for projects seeking LRF funding, outlining the environmental and social standards, requirements, and excluded activities that investees must abide by.
For any grievances, concerns, or other comments about LRF’s activities, please submit these in writing at grievances@landscaperesiliencefund.org. Any submissions will be treated with the upmost confidentiality, and not shared outside of the LRF without prior discussion with the submitter. Submissions can be anonymous. We will provide an initial response to submissions within 10 working days.
In summary, SMEs financed by the LRF must commit to the following:
- Comply with the IFC Social and Environmental Performance Standards (IFC PS)
- Follow the relevant World Bank Group Environmental, Health, and Safety Industry Sector Guidelines
- Comply with all relevant national and local laws and regulations
- Align with the United Nations Guiding Principles on Business and Human Rights
- SMEs must work towards ensuring that all direct employees, contracted farmers, and other suppliers receive a living income
- Where SMEs produce commodities, they will be expected to hold, or be working towards an internationally-recognised sustainable production certification (e.g. Rainforest Alliance, Fairtrade, FSC, etc.). SMEs that source commodities will be expected to source certified commodities. SMEs where this is not possible will be considered on a case-by-case basis
- Where SMEs produce carbon credits, they will be expected to follow internationally recognised schemes such as VCS+CCB or Gold Standard
All SMEs must demonstrate that they do the following, as required under the IFC PS:
- Have a robust environmental and social management system (ESMS), which integrates risk management plans and standards into their core operations
- Have a comprehensive stakeholder engagement process
- Secure Free, Prior, and Informed Consent (FPIC) for any activities that impact land or resources used by Indigenous Peoples
- Have an accessible grievance mechanism
The LRF will not fund:
- Any activities on the LRF exclusion list (see section 1.9)
- Any activities that destroy or degrade natural habitat
- Any activities that may result in involuntary resettlement