Generic Do No Significant Harm (DNSH)

The Do No Significant Harm (DNSH) requirements comprise a set of criteria designed to guide and ensure that the activities identified in the Taxonomy do not cause negative environmental harm, such as the installation of a solar power plant within a special protected natural area.

The following table presents a list of general requirements that are applicable to all economic activities, regardless of sector or environmental objective. Compliance with these DNSH requirements is mandatory for all projects seeking alignment with Pakistan’s Green Taxonomy.

The specific DNSH criteria applicable to each environmental objective are detailed within the respective activity definitions in the taxonomy.

Environmental objectives Generic Do No Significant Harm (DNSH) Requirements
Climate change adaptation
  • Ensure that all investments in physical assets incorporate appropriate maintenance programs and measures designed to ensure the resilience of the infrastructure to climate change. The International Standards Organization 14091:2021 standard can be used as a reference.
  • Verify whether the activity or project is consistent with the sectoral, regional, or national adaptation efforts set out in the National Adaptation Plan of Pakistan. The interventions being undertaken should not lead to maladaptation or increase risk unintentionally.
Sustainable use and protection of water resources
  • Identify, assess, and manage risks associated with water use and conservation, if applicable . Verify that the activity does not lead to irrational use of water or over-extraction of groundwater resources and that the necessary measures will be taken to reduce water consumption and keep costs low.
  • Ensures that Ramsar Sites and ecologically sensitive wetlands are not overexploited and assess the effect of water extraction on groundwater recharge rates and aquatic biodiversity, when applicable.
  • If assets or activities are in water-stressed areas , ensure that water use and conservation management plans, developed in consultation with relevant local entities, have been implemented. Under the Pakistan Environmental Protection Act, ensure that projects such as dam construction, water extraction for industries, and large-scale irrigation, undergo an environmental impact assessment before approval.
  • Review the National Environmental Quality Standards (or the respective environmental quality standards applicable in each province) and ensure that they are adhered to according to the type of activity or project, specifically for Drinking Water Quality Standards.
Protection of healthy ecosystems and biodiversity
  • Do not locate a new activity or project in an ecosystem that is strategic for food security or rich in biodiversity or that provides a habitat for endangered species (flora and fauna).
  • Perform an appropriate assessment of activities and projects located in or near biodiversity-sensitive areas (defined as areas identified as United Nations Educational, Scientific, and Cultural Organization World Heritage sites, key biodiversity areas, or other protected areas.
  • The Convention on Biological Diversity's Voluntary Guidelines on Biodiversity Inclusive Impact Assessment and International Finance Corporation Performance Standard 6 can serve as a reference (depending on the scale of the project).
Pollution prevention and control
  • Ensure that the activity or project does not result in significantly greater emissions of pollutants to the air, water, or soil than before the start of the activity (including generation of hazardous waste). Under PEPA, projects that are likely to emit significant levels of greenhouse gases into the atmosphere or other pollutants such as waste or wastewater, into the soil and water, must undergo an environmental impact assessment.
  • Ensure adherence to the National Environmental Quality Standards according to type of activity or project.
Promotion of circular economy
  • Maximize efficient use, reduction, repair, recycling, and reuse of materials during the activity's operational lifecycle (e.g., using technical datasheets where available and ensuring the use of highly durable and recyclable equipment and components is prioritized entering into contractual agreements with recycling companies, and integrating recycling costs into project planning).
  • Include a waste management system that is appropriate for the scale of the project. An environmental impact assessment, as mandated under PEPA, is essential for projects and industries that are likely to generate significant amounts of waste. Inappropriate waste disposal can contaminate groundwater and should trigger fines or penalties as stipulated in national and provincial regulations.
Sustainable land management
  • Requirements for this objective are relevant for the agricultural, forestry, and fishing sector (including livestock and aquaculture) and are described in Annex 6 and Annex 7.
Climate change mitigation
  • Ensure that the activity or project does not increase operational consumption of hydrocarbons (fossil gas, oil, or coal and their derivatives) or lead to lock- in of hydrocarbons.