Transcript BG Group
Extractive Industries and Indigenous Peoples BG Group experience of operating in areas of IPs Hugh Attwater, Social Performance Manager 4 December 2008 BG Group • Integrated gas major: – FTSE top 10 company – Market capitalisation ~£30bn – 5 000 employees; 65% outside UK • Gas and Oil: – Production approximately 70% gas; 30% oil – Active across the entire gas chain from source field to market 2 Countries of current operation Norway UK Canada Kazakhstan Italy Israel / PA USA Oman Tunisia Algeria Chile Argentina Active in 27 countries China Thailand Philippines Libya Trinidad & Tobago Bolivia India Nigeria Brazil Egypt Malaysia Singapore Uruguay Madagascar Australia 3 Operating in areas of IPs Canada India Bolivia Australia 4 BG Group SP Standard and Guidelines • Socio-economic Baseline • Impact Assessment • Consultation • Involuntary Resettlement • Indigenous Peoples • Cultural Heritage • Social Investment • Social Performance Plans • Mngt, integration & metrics Closely linked to IFC Performance Standards Understanding the context Managing impacts, risks and opportunities Rigorous processes 5 BG Group SP Standard, section 5: Indigenous Peoples and Vulnerable Groups • BG Group guidelines linked to IFC PS7 • Identifying IPs and seeking to avoid impacts • – Ascertaining whether a particular group is considered indigenous may require technical judgement – Scheduled Tribes, Aboriginals, First Nations, Native Americans etc. Understanding the scale and nature of IP issues – Defining informal land rights and natural resource ownership – Host country legislation / gap analysis against requirements of IFC PS7 • Appointing experts to develop and Indigenous Peoples Plan (IPP) • Consultation, good faith negotiation and partnerships • Develop, implement, monitor IPP – Independent review of consultation process, impact management measures, compensation and benefits package, plus commentary on degree of IPs support and consent 6 Canada – NWT exploration • • • • 2007 – 08 exploration activity in Colville Hills, Fort Hope, NWT K’asho Gotine Charter Community agreement for 2D seismic survey Winter drilling 2008 – 09 requires more extensive agreements: Land Access Agreement – – • $$ sum negotiated Impact management agreed Benefits Agreement – – K’asho Gotine Fund established Employment, training, capacity building, infrastructure and community development initiatives agreed 7 Australia – Queensland Curtis LNG • 1993 Native Title Act • Ethnographic / cultural heritage studies underway – 8 Native Title parties identified • Indigenous Land Use Agreements (ILUAs) – – – – – ‘One project’ principle ‘As if’ principle Benefits to be negotiated QCLNG Project Fund proposed Quantum terms to be determined 8 Bolivia – Chaco Region gas production • Weenhayek IPs territory – • • Annual benefits agreements negotiated Challenging political context – Constitutional reform – 2005 Hydrocarbons Law – Pro-autonomy / pro-Morales tensions BG Bolivia Palo Marcado project – Test case for new requirements on consultation and participation 9 Summary • Consultation – – – • Life-of-project benefits agreements – no ‘one size fits all’ – – – – – – • Early identification of IPs; early engagement Baseline / ethnography / expert input to ensure full representation FPIC through good faith negotiations resulting in life-of-project benefits How are they negotiated Setting the quantum / value How are the benefits divided Capacity building for those benefitting What’s the role of the government? Factoring in sustainability and flexibility? Dispute resolution – – – Accessible, responsive, scaled to meet needs of project and communities Use of third parties Access to legal remedies maintained 10