Mitigation and Development Benefits (IFC Performance Standard 7)is an indicator of
This indicator relates to an organisation's procedures on Mitigation and Development Benefits and is a component of IFC Performance Standard 7 (Indigenous Peoples). The organisation must design and establish mitigation and compensation mechanisms for members of affected indigenous communities. Compensation procedures should take into account local laws, institutions and customs (e.g. regarding land ownership) and ensure land titles are legally valid and secure. Based on these factors, compensation can be collectively or individually based or a combination of this. IFC Performance Standard 7 involves identification through an environmental and social risks and impacts assessment process, all communities of indigenous peoples within a project area who may be affected, and the extent to which they are likely to be affected. This must also take into account impacts on the environment. Organisations must aim to avoid these impacts wherever possible in a culturally appropriate manner. Other Performance Standards may also be applicable to a project. The Performance Standards are required for clients of IFC, but may also be applied by other organisations to manage their social and environmental management practices. For more information on the IFC Performance Standards see: http://www.ifc.org/wps/wcm/connect/c8f524004a73daeca09afdf998895a12/IFC_Performance_Standards.pdf?MOD=AJPERES. This indicator is taken from Performance Standard 7 of the International Finance Corporation's Sustainability Framework. Performance Standard 7: Indigenous Peoples is part of IFC's wider strategy of promoting sustainable development and reducing financial risk. Performance Standards 2 through 8 establish objectives and requirements to avoid, minimise, and where residual impacts remain, to compensate/offset for risks and impacts to workers, Affected Communities, and the environment. While all relevant environmental and social risks and potential impacts should be considered as part of the assessment, Performance Standards 2 through 8 describe potential environmental and social risks and impacts that require particular attention. Where environmental or social risks and impacts are identified, the client is required to manage them through its Environmental and Social management System (ESMS) consistent with Performance Standard 1. For more information on the IFC Performance Standards see: http://www.ifc.org/wps/wcm/connect/c8f524004a73daeca09afdf998895a12/IFC_Performance_Standards.pdf?MOD=AJPERES. Assessment of whether this has been implemented/addressed. IFC auditing process.