World Bank/gov’t asked to ensure human rights in extractive sector
By Isabella Gyau Orhin
Civil Society groups, CIDSE and Partner organizations across the globe that participated in the just ended World Social Forum in Nairobi Kenya have asked the World Bank to implement the original recommendations of the Extractive Industries Review report which includes the need to secure the free, prior and informed consent of local people.
They have also asked Trans-national Corporations to respect their contracts with host governments, which must be in line with national laws and international human rights and environmental standards while asking governments to allow for renegotiation of contracts which are not in the best interests of affected communities.
They are also to obtain the free, prior and informed consent of indigenous people and local communities before operations commence and to respect the right of such communities to say “No” to projects that are not in their best interests. Such free, prior and informed consent must be a condition of any contract signed with the host government.
In a paper titled “PROSPECTING FOR SOLUTIONS” issued on January 23 which carried recommendations on the impact of oil, mining and logging on development, to companies, governments International Financial Institutions (IFIs) and the United Nations, the group expressed their disgust for the current spate of pollution and underdevelopment going on in mining communities among others.
“We are deeply concerned that rather than benefit from their natural resources, local people in areas of natural resource exploitation, such as oil, gas, mining and logging, experience increased poverty,” adding “We believe that a country’s natural resources belong to its citizens and should be used in the best interests of the people.”
According to the statement, these natural resources are God given and should serve all mankind and future generations.
They also asked the Trans National Corporations to sign on to the Extractive Industries Transparency Initiative (EITI) and ensure publication of all payments and contracts made to governments.
They also asked them to ensure that their operations do not cause or exacerbate conflict. However, where it does, they should suspend operations until the conflict has been resolved to the satisfaction of all parties.
“The Bank World Bank and other Regional Development Banks should consider the particular circumstances of each country and the right of its population to determine their own development,” the groups said.
The Bank according to the group should observe a moratorium on the funding of extractive projects to evaluate the costs and benefits of extractive industries, taking into consideration the economic, social and environmental impacts, including loss of bio-diversity and climate change.
They also asked the Bank and other international financial institutions to end their policies of wholesale liberalisation and privatisation of the extractives sector.
The group also asked the IFIs to insist on mandatory independent monitoring of projects which recognize the full participation of civil society.
The groups were also interested in the activities of governments in the developing world.
They therefore called on governments to develop and ensure compliance with clear policies and legal frameworks to control extractive industries effectively. Such policies and legislation should be in line with international human rights and environmental standards, including the International Covenant on Civil and Political Rights, the International Covenant on Social, Economic and Cultural Rights, the Convention on the Elimination of all Discrimination against Women, indigenous peoples’ human rights safeguards and the ILO Core Labour Standards.
“Governments should hold companies accountable for their extractive activities, wherever they operate,” the groups said adding, “require independent environmental, social and human rights impact assessments and publish the results at an early stage and in a form that is accessible and comprehensive to the population affected.”
Such impact assessments they said should form the basis of an informed decision by all stakeholders as to whether extractive projects are in the best interests of the people.”
The groups particularly called on governments of the South to include in their legal frameworks as a guarantee for the genuine participation of local communities at all stages of extractive projects;
Governments they said should only grant licences for extractive industries’ operations with the free, prior and informed consent of the local community and improve transparency with regard to revenue management by signing up to the EITI and to guarantee a fair and equitable distribution of such revenues, in order to serve poverty reduction;
Governments should “immediately end all harassment and intimidation of individuals advocating against corruption, human rights violations and environmental destruction associated with natural resource exploitation.”
Governments in the Northern Hemisphere were asked by the groups to implement mechanisms necessary to change patterns of consumptions of their populations and promote the sustainable use of energy and other natural resources;
They should “deny export credits and investment guarantees to those companies that do not meet the highest internationally accepted standards including the OECD guidelines for multinational enterprises, the ILO Core Labour Standards and Extractive Industries Transparency Initiative (EITI) reporting criteria,” the groups said.
The United Nations was not left out of the groups concerns. According to the group, the UN should guarantees the rights of people in extractive areas. They therefore called on the Special Representative of the United Nations Secretary General on Business and Human Rights to develop an effective mandatory regulatory human rights framework for Transnational Corporations and other business enterprises that allows for sanctions in severe cases of non-compliance.
“We call on the General Assembly and on all UN member states to support the approval of the Draft Declaration of Indigenous Peoples’ Rights, including their right to free, prior and informed consent, and to extend this right to all affected local communities.”
In another development, the World Bank has announced its decision to protect human rights more and more than previously. Its new Senior Vice President and General Counsel of the Bank Ana Palacio who joined the Bank Last September describe the move as a paradigm shift.
Speaking via Video Conference from Washington DC, in Accra last week Palacio said it is now widely recognized that human rights have relevance for several other international goals including development.
“It is now clear that the Bank can and sometimes should take human rights into considerations as part of its decision-making process,” Palacio said.
However, Palacio also says that Human rights have an unavoidable political content and embody value commitments which are not uniformly interpreted. Yet she said the World Bank has limitations on strictly political activities.
In Ghana, President John Agyekum Kufuor who is now the newly elected African Union Chairman has asked Ghanaians studying in the areas of mining engineering and geology to take their studies seriously so they can take over control of mining activities in the country.
Speaking at the annual People’s assembly in Sunyani recently, the President said as a result of lack of expertise and financial resources, Ghana has no choice but to allow foreign mining firms to do prospecting and invest in capital and equipment for mining as well.
President Kufuor said these when he responded to a question posed by a participant at this year’s annual People’s Assembly held in Sunyani last Tuesday.
The Participant wanted to know why Newmont Ghana Gold Limited, (NGGL) a multinational mining company operating in the Brong-Ahafo and Eastern Regions of the country gets 90 percent of proceeds from mining Ghana’s gold while the nation only gets 10 percent.
The President explained that, it is as a result of mining laws and earlier agreements which are renewable every 15 years.
He also said efforts are being put in place to ensure that Ghana gets a fair share of proceeds from its minerals just as in its agreements with Anglogold Ashanti.
“Students of geology and mining engineering should endeavour to learn hard,” the president said, adding, “With time when Ghana has developed the skill of the white men in terms of mining, the nation will be able to take over its mining activities.”
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