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Environmental Impact Assessment (EIA): The case of Cambodia

 What Responsible Investors Need to Know

● Overview of Environmental Impact Assessment in Cambodia 

● Legal and Institutional Framework for EIA
    β–ΆCore Legal Instruments

● Legal Requirement for EIA 

● Types of Projects Requiring EIA 
    β–ΆClassification of Environmental Assessment
    β–ΆProject Sectors Commonly Requiring EIA


● Who Can Conduct an EIA Study in Cambodia? 
    β–ΆAccreditation Requirement
    β–ΆConditions for EIA Consultant Accreditation
    β–ΆForeign Consultants


● EIA Process Flow in Cambodia
Step ➊: Screening
Step βž‹: Scoping
Step ➌: EIA Study and Report Preparation
Step ➍: Public Consultation and Disclosure
Step ➎: Submission and Review by Ministry of Environment
Step ➏: Project Approval and Licensing
Step ➐: Implementation, Monitoring, and Compliance



● Penalties for Non Compliance with EIA Requirements
    β–ΆTypes of Non Compliance
    β–ΆAdministrative Penalties
    β–ΆFinancial Penalties (Fines)
    β–ΆCriminal and Civil Liability
    β–ΆPenalties for EIA Consultant Companies

● Who Can Conduct an EIA Study in Cambodia? 

● Overview of EIA in Cambodia

Environmental Impact Assessment (EIA) is a mandatory environmental safeguarding tool in Cambodia, designed to ensure that development projects are planned and implemented in a manner that prevents, minimizes, or mitigates adverse environmental and social impacts. The EIA system supports Cambodia’s national objectives for sustainable development, natural resource protection, and public participation in decision making.
In Cambodia, EIA applies to both public and private development projects, including proposed, existing, and ongoing activities that may significantly affect the environment. All EIA reports are reviewed and approved by the Ministry of Environment (MoE) prior to project approval by relevant authorities. 

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​● Legal and Institutional Framework for EIA 

​▢ Core Legal Instruments: The Environmental Impact Assessment system in Cambodia is governed by the following key laws and regulations:

  1. Law on Environmental Protection and Natural Resource Management (1996)
    This framework law establishes the obligation to assess environmental impacts for development projects and mandates environmental safeguards in project planning and implementation. 

  2. Sub‑Decree No. 72 αž’αž“αž€αŸ’αžš.αž”αž€ on Environmental Impact Assessment Process (1999)
    This is the principal regulation governing EIA procedures in Cambodia. It:

    • Requires EIAs for all public and private projects listed in its annex;

    • Mandates MoE review and approval before project authorization;

    • Requires monitoring of Environmental Management Plans (EMP) throughout the project lifecycle.

  3. Environmental and Natural Resources Code (2023)
    The Code modernizes Cambodia’s environmental governance and strengthens EIA enforcement, monitoring, and consultant accreditation requirements. 

  4. Prakas No. 3591.0525αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž/αžœαž αž” on Classification of Development Projects for EIA (2025)
    Issued by the Ministry of Environment, this Prakas replaces Prakas No. 021αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž (2020) and expands the classification of projects requiring environmental review from 197 to 238 project types, with clearer screening thresholds and timelines. 

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● Legal Requirement for EIA

Under Cambodian law:
      • No project may be approved or implemented without MoE consideration of its environmental assessment.
      • The type of environmental document required depends on the project’s scale, sector, and potential impacts.
      • Compliance with approved Environmental Management Plans (EMP) is legally binding and subject to inspection and enforcement by the MoE.
Failure to comply may result in:
       • Suspension or cancellation of approval,
       • Administrative penalties,
       • Revocation of operating licenses.

​

● Types of Projects Requiring EIA in Cambodia 

​▢Classification of Environmental Assessment: Under Prakas No. 3591.0525αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž/αžœαž αž” on Classification of Development Projects for EIA (2025), development projects are classified into three categories:

  1. Low Environmental and Social Impact Projects

    • Require an Environmental Protection Contract (EPC) and EMP

    • MoE review period: up to 30 working days. 

  2. Medium Environmental and Social Impact Projects

    • Require an Initial Environmental Impact Assessment (IEIA)

    • MoE review period: up to 60 working days. 

  3. High or Serious Environmental and Social Impact Projects

    • Require a Full Environmental Impact Assessment (FEIA)

    • MoE review period: up to 90 working days. 

β–ΆProject Sectors Commonly Requiring EIA:  Projects commonly subject to IEIA or FEIA include:

  • Hydropower and energy projects

  • Mining and quarrying

  • Industrial manufacturing plants

  • Special economic zones (SEZs)

  • Infrastructure (roads, ports, airports, railways)

  • Tourism resorts and large real estate developments

  • Agro‑industry and plantation projects

  • Waste treatment and landfill facilities.

​​​

● Who Can Conduct an EIA Study in Cambodia? 

​▢Accreditation Requirement: Since February 2024, only Ministry of Environment–accredited EIA consultant companies are legally permitted to conduct EIA studies in Cambodia.
This requirement is established under Prakas No. 08 αž”αŸ’αžšαž€.αž”.αžŸαŸ’αž/αžœαž αž” (2024) on Accreditation of EIA Consultant Companies.
Only MoE licensed companies may prepare IEIA, FEIA, and related EIA reports for submission and approval.

​

β–ΆConditions for EIA Consultant Accreditation: To be accredited by the MoE, an EIA consultant company must:

  • Be legally registered in Cambodia;

  • Possess a qualified organizational structure, including:

    • Director

    • General Manager

    • Technical Team Leader

    • Environmental Experts

  • Demonstrate technical capacity and experience;

  • Obtain an official Letter of Approval (EIA License) valid for 5 years, renewable upon re‑registration.

β–ΆForeign Consultants: Foreign EIA companies may participate only if:

  • They are accredited by the MoE; or

  • They cooperate formally with a licensed Cambodian EIA consultant company.​

​

● EIA Process Flow in Cambodia

● Environmental Impact Assessment (EIA) Process Flow in Cambodia

The Cambodian EIA process is mandatory, sequential, and approval driven, overseen by the Ministry of Environment (MoE). A project cannot legally proceed without compliance.

β–ΆStep 1: Screening

Purpose: To determine whether an EIA is required and what level of assessment applies.

Process:

  • The project proponent submits basic project information to the MoE or relevant line ministry.

  • Screening is conducted using the project classification list under Prakas No. 3591.0525 αž”αŸ’αžšαž€.αž”.αžŸαŸ’αž/αžœαž αž” (2025).

  • Projects are categorized as:

    • Environmental Protection Contract (EPC)

    • Initial Environmental Impact Assessment (IEIA)

    • Full Environmental Impact Assessment (FEIA)

Legal basis: Sub Decree No. 72 αž’αž“αž€αŸ’αžš.αž”αž€ on Environmental Impact Assessment Process (1999) under MoE; Prakas No. 3591.0525αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž/αžœαž αž” on Classification of Development Projects for EIA (2025)​

​​▢Step 2: Scoping

Purpose: To identify key environmental and social issues that must be assessed.

Process:

  • Conducted for IEIA and FEIA projects.

  • Defines:

    • Spatial and temporal boundaries

    • Key impacts (environmental, social, health, cultural)

    • Methodologies and baseline data requirements

  • Stakeholder concerns must be incorporated.

Output: Terms of Reference (ToR) for the EIA study.

Legal basis: Sub Decree No. 72 αž’αž“αž€αŸ’αžš.αž”αž€ on Environmental Impact Assessment Process (1999) under MoE

​​​▢Step 3: EIA Study and Report Preparation

Purpose: To assess impacts and propose mitigation and management measures.

Key Components:

  • Baseline environmental and social conditions

  • Impact identification and significance assessment

  • Alternatives analysis (including “no project” option)

  • Environmental and Social Management Plan (EMP)

  • Monitoring and reporting framework

  • Budget and institutional responsibilities

Important rule: The EIA report must be prepared by an MoE‑accredited EIA consultant company.

Legal basis: Sub Decree No. 72 αž’αž“αž€αŸ’αžš.αž”αž€ on Environmental Impact Assessment Process (1999) under MoE; Prakas No. 08 αž”αŸ’αžšαž€.αž”.αžŸαŸ’αž/αžœαž αž” (2024) on EIA consultant accreditation (2024)

​​▢Step 4: Public Consultation and Disclosure

Purpose: To ensure transparency and community participation.

Process:

  • Mandatory consultation with affected communities and local authorities.

  • Public concerns must be documented and addressed in the EIA report.

  • Applies mainly to IEIA and FEIA projects.

Legal importance: Failure to conduct meaningful consultation is a frequent cause of EIA rejection.

Legal basis: Sub Decree No. 72 αž’αž“αž€αŸ’αžš.αž”αž€ on Environmental Impact Assessment Process (1999) under MoE; Law on Environmental Protection and Natural Resource Management (1996)

​​▢Step 5: Submission and Review by Ministry of Environment

Process:

  • EIA report is submitted to MoE’s Department of EIA Review.

  • MoE coordinates with relevant line ministries and technical agencies.

  • Review timelines (indicative):

    • EPC: up to 30 working days

    • IEIA: up to 60 working days

    • FEIA: up to 90 working days

Outcome:

  • Approval

  • Conditional approval (with required revisions)

  • Rejection

Legal basis: Prakas No. 3591.0525αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž/αžœαž αž” on Classification of Development Projects for EIA (2025)​

β–ΆStep 6: Project Approval and Licensing

  • A project can only be approved by the relevant authority after MoE approval of the EIA.

  • The approved EIA becomes a legally binding document.

  • EMP conditions must be integrated into project licenses.

Legal basis: Sub Decree No. 72 αž’αž“αž€αŸ’αžš.αž”αž€ on Environmental Impact Assessment Process (1999) under MoE, Articles 3–5 

​​▢Step 7: Implementation, Monitoring, and Compliance

Purpose: To ensure environmental commitments are carried out.

Process:

  • Project proponent implements the EMP.

  • MoE conducts inspections during:

    • Construction

    • Operation

    • Closure/decommissioning

  • Monitoring reports must be submitted periodically.

Legal basis: Sub Decree No. 72 αž’αž“αž€αŸ’αžš.αž”αž€ on Environmental Impact Assessment Process (1999) under MoE; Environmental and Natural Resources Code (2023)

● Penalties for Non Compliance with EIA Requirements

● Strategic Takeaways

● Penalties for Non Compliance with EIA Requirements

​Cambodia has strengthened enforcement powers under recent reforms. Non‑compliance can trigger administrative, financial, and operational sanctions.

    β–ΆTypes of Non Compliance

Examples include:

  • Starting a project without EIA approval

  • Using an unlicensed EIA consultant

  • Failing to implement the EMP

  • Providing false or misleading information

  • Ignoring MoE monitoring instructions

  • Failure to conduct public consultation

    β–ΆAdministrative Penalties

The Ministry of Environment may:

  • Issue formal warnings

  • Order corrective actions

  • Suspend EIA approval

  • Suspend or revoke environmental licenses

  • Temporarily or permanently suspend project operations

Legal basis: Sub Decree No. 72 αž’αž“αž€αŸ’αžš.αž”αž€ on Environmental Impact Assessment Process (1999) under MoE; Environmental and Natural Resources Code (2023)

    β–ΆFinancial Penalties (Fines)

Under the Environmental and Natural Resources Code (2023):

  • Fines may be imposed for:

    • EIA violations

    • EMP non‑implementation

    • Environmental damage caused by negligence

  • Fine levels vary depending on:

    • Severity of impact

    • Repetition of offense

    • Intent (negligence vs. deliberate violation)

Legal basis: Environmental and Natural Resources Code (2023) 

    β–ΆCriminal and Civil Liability

In serious cases, such as:

  • Large‑scale environmental damage

  • Repeated violations

  • Environmental harm to public health

Responsible parties may face:

  • Criminal liability

  • Court‑ordered compensation

  • Environmental restoration obligations

Legal basis: Law on Environmental Protection and Natural Resource Management (1996); Environmental and Natural Resources Code (2023) 

    β–ΆPenalties for EIA Consultant Companies

MoE‑licensed EIA consultants may face:

  • Suspension of accreditation

  • Revocation of EIA license

  • Blacklisting from future EIA work

If they:

  • Submit fraudulent or substandard reports

  • Violate professional or ethical obligations

Legal basis: Prakas No. 08 on Accreditation of EIA Consultant Companies (2024)

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● CONCLUSION

In Cambodia, Environmental Impact Assessment is a legally binding, centrally administered process that is fundamental to aligning economic growth with environmental stewardship. Recent regulatory reforms—particularly in project classification and consultant accreditation—have significantly enhanced transparency, accountability, and technical quality.

Today, EIA compliance is a non‑negotiable prerequisite for project approval and a cornerstone of long‑term project viability. EIA approval, effective Environmental Management Plan (EMP) implementation, and continuous monitoring are enforceable legal obligations, with tangible financial and operational consequences for non‑compliance.

Relevant Regulatory References

Legal title:

αž…αŸ’αž”αžΆαž”αŸ‹αžŸαŸ’αžαžΈαž–αžΈαž€αž·αž…αŸ’αž…αž€αžΆαžšαž–αžΆαžšαž”αžšαž·αžŸαŸ’αžαžΆαž“ αž“αž·αž„αž€αžΆαžšαž‚αŸ’αžšαž”αŸ‹αž‚αŸ’αžšαž„αž’αž“αž’αžΆαž“αž’αž˜αŸ’αž˜αž‡αžΆαžαž· αž†αŸ’αž“αžΆαŸ†αŸ‘αŸ©αŸ©αŸ¦

Law on Environmental Protection and Natural Resource Management (1996)

Ministry/Institution:

Ministry of Environment

Legal title:

αž”αŸ’αžšαž€αžΆαžŸαž›αŸαž ០្៑ αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž αžŸαŸ’αžαžΈαž–αžΈαž…αŸ†αžŽαžΆαžαŸ‹αžαŸ’αž“αžΆαž€αŸ‹αž“αŸƒαž€αžΆαžšαžœαžΆαž™αžαž˜αŸ’αž›αŸƒαž αŸαžαž»αž”αŸ‰αŸ‡αž–αžΆαž›αŸ‹αž”αžšαž·αžŸαŸ’αžαžΆαž“αžŸαž˜αŸ’αžšαžΆαž”αŸ‹αž‚αž˜αŸ’αžšαŸ„αž„αž’αž—αž·αžœαžŒαŸ’αžαž“αŸ αž†αŸ’αž“αžΆαŸ†αŸ’αŸ αŸ’αŸ 

Prakas No. 021 αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž on the classification of environmental impact assessments (EIA) for development projects​ (2020)

Ministry/Institution:

Ministry of Environment

Legal title:

αž€αŸ’αžšαž˜αž”αžšαž·αžŸαŸ’αžαžΆαž“ αž“αž·αž„αž’αž“αž’αžΆαž“αž’αž˜αŸ’αž˜αž‡αžΆαžαž· αž†αŸ’αž“αžΆαŸ†αŸ’αŸ αŸ’αŸ£

Environmental and Natural Resources Code (2023)

Ministry/Institution:

Ministry of Environment

Legal title:

αž”αŸ’αžšαž€αžΆαžŸαž›αŸαžβ€‹ αŸ αŸ¨αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž/αžœαž αž” αžŸαŸ’αžαžΈαž–αžΈαž›αž€αŸ’αžαžαžŽαŸ’αžŒ αž“αž·αž„αž“αžΈαžαž·αžœαž·αž’αžΈ αžŸαž˜αŸ’αžšαžΆαž”αŸ‹αž…αž»αŸ‡αž”αž‰αŸ’αž‡αžΈαž‘αž‘αž½αž›αžŸαŸ’αž‚αžΆαž›αŸ‹αž€αŸ’αžšαž»αž˜αž αŸŠαž»αž“αž‘αžΈαž”αŸ’αžšαžΉαž€αŸ’αžŸαžΆαžœαžΆαž™αžαž˜αŸ’αž›αŸƒαž αŸαžαž»αž”αŸ‰αŸ‡αž–αžΆαž›αŸ‹αž”αžšαž·αžŸαŸ’αžαžΆαž“ αž†αŸ’αž“αžΆαŸ†αŸ’αŸ αŸ’αŸ€

Prakas No. 08 αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž/αžœαž αž” on Accreditation of EIA Consultant Companies (2024)

Ministry/Institution:

Ministry of Environment

Legal title:

αž”αŸ’αžšαž€αžΆαžŸαž›αŸαž ៣αŸ₯៩៑.០αŸ₯្αŸ₯ αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž/αžœαž αž” αžŸαŸ’αžαžΈαž–αžΈαž…αŸ†αžŽαžΆαžαŸ‹αžαŸ’αž“αžΆαž€αŸ‹αž‚αž˜αŸ’αžšαŸ„αž„αž’αž—αž·αžœαžŒαŸ’αžαžŸαž˜αŸ’αžšαžΆαž”αŸ‹αž€αžΆαžšαžœαžΆαž™αžαž˜αŸ’αž›αŸƒαž αŸαžαž»αž”αŸ‰αŸ‡αž–αžΆαž›αŸ‹αž”αžšαž·αžŸαŸ’αžαžΆαž“ αž†αŸ’αž“αžΆαŸ†αŸ’αŸ αŸ’αŸ₯

Prakas No. 3591.0525αž”αŸ’αžšαž€ αž”.αžŸαŸ’αž/αžœαž αž” on Classification of Development Projects for EIA (2025)

Ministry/Institution:

Ministry of Environment

Legal title:

αž’αž“αž»αž€αŸ’αžšαžΉαžαŸ’αž™αž›αŸαž αŸ§αŸ’αž’αž“αž€αŸ’αžš.αž”αž€ αžŸαŸ’αžαžΈαž–αžΈαž€αž·αž…αŸ’αž…αžŠαŸ†αžŽαžΎαžšαž€αžΆαžšαžœαžΆαž™αžαž˜αŸ’αž›αŸƒαž αŸαžαž»αž”αŸ‰αŸ‡αž–αžΆαž›αŸ‹αž”αžšαž·αžŸαŸ’αžαžΆαž“ αž†αŸ’αž“αžΆαŸ†αŸ‘αŸ©αŸ©αŸ©

Sub Decree No. 72 αž’αž“αž€αŸ’αžš.αž”αž€ on Environmental Impact Assessment Process (1999)

Ministry/Institution:

Royal of Government of Cambodia

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