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The authors examine the role of integrated appraisal as a tool for promoting sustainable development and good governance, and the potential tensions that may exist between these two objectives. Drawing upon experience in the United Kingdom, it is argued that an undue emphasis on governance issues may compromise the rigour of integrated-appraisal methodologies and result in a loss of focus upon sustainability concerns, particularly those related to environmental matters. This framework of ideas is explored further with reference to the development of an integrated Appraisal Toolkit for the North West region of England. Ways in which integrated appraisal can retain its place within the suite of environmental assessment tools as a way of supporting more sustainable patterns of development, and at the same time contributing to good governance, are discussed. [ABSTRACT FROM AUTHOR]