UGOOD CEO attended a workshop titled “Human Resource Capacity Development and Capacity Building for EIA Preparation of Development Projects” at EIA center Peshawar from 22 to 26th August 2006. Environmental impact assessment (EIA) was first introduced in Pakistan based on the Environmental Protection Ordinance 1983. The EIA process was further strengthened under the Pakistan Environmental Protection Act 1997, which became operational under EIA Regulations 2000. Despite a sound legal basis and comprehensive guidelines, evidence suggests that EIA has not yet evolved satisfactorily in Pakistan. An evaluation of the EIA system against systematic evaluation criteria, based on interviews with EIA approval authorities, consulting firms and experts, reveals various shortcomings of the EIA system. These mainly include; inadequate capacity of EIA approval authorities, deficiencies in screening and scoping, poor EIA quality, inadequate public participation and weak monitoring. Overall, EIA is used presently as a project justification tool rather than as a project planning tool to contribute to achieving sustainable development. Whilst shortcomings are challenging, central government has recently shown a high degree of commitment to the environmental protection by making EIA compulsory for all the public sector projects likely to have adverse environmental impacts. The paper identifies opportunities for taking advantage of the current environment for strengthening the EIA process.