UNAIR Business & Human Rights Presentation Nov'16_vF
Dinant Natanegara
Director of Security & Business Services
BP Indonesia
Implementation of Human Rights Assessment
and Remedy Mechanism at Tangguh LNG
Tangguh LNG Overview
Tangguh LNG Overview
Key Facts
Operating Landscape
• Tangguh is Indonesia’s 2nd largest LNG supply facility and the • Logistical challenge and limited infrastructure
first fully-combined upstream and downstream LNG
operation.
• Remote location
• Tangguh can currently produce 7.6 million tonnes per annum • Limited human resources in the oil & gas sector
(mtpa) and our expansion project is expected to increase
production by 50%.
• Environmental factor challenges – natural terrain; diversity of
flora and fauna; heterogeneous people, culture and
• Need to continuously understand how any new activity could
communities
impact the community, particularly the indigenous Papuan
Human Rights Assessment at Tangguh
Potential Human Rights Impact Areas within the Oil
& Gas Industry
At a Glance
•
Formal signatory and founding member of
the UN Global Compact and VPSHR
•
Respects requirements set out in the
International Bill of Human Rights and the
ILO’s Declaration on Fundamental
Principles and Rights at Work
•
Deliver human rights policy by
implementing relevant sections of the
UNGP on Business and Human Rights
using a risk-based approach
Scope of 2002 Tangguh Project
Human Rights Impact Assessment
I.
Fundamental Human Rights
A.
Indigenous Rights
1)
B.
C.
II.
Consultation and Consent to
Development
2)
Land Rights
3)
Natural Resources
4)
Cultural Rights
5)
Religious Rights
6)
Relocation
III.
Balancing Human Rights and Security
A.
Deployment
B.
Conduct
C.
Training
D.
Accountability
E.
Community
Supporting Papuan Civil Society and
Governance
A.
Building Human Rights Capacity for
Local Communities and Civil Society
B.
Institutionalizing Human Rights through
Papuan Governance
Basic Human Rights
1)
Right to Life
2)
Freedoms of Opinion and
Expression
Labor Rights
1)
Freedom of Association
2)
Discrimination
Summary of 2002 Tangguh Project
Human Rights Impact Assessment
• Holistic approach in addressing human rights issues including indigenous,
labor and security issues. Policies, guidelines and plans need to educate
affected stakeholders regarding their rights and enforce respect for those
rights
• Transparent and accountable in every aspect of the project that bears on
the human rights of the indigenous people
• Develop mechanisms to effectively monitor their compliance in meeting
international human rights standards
“Ultimately, the most valuable asset that Pertamina / BP can
develop in the Bintuni Bay region is trust. Developing and
safeguarding that asset will be vital to the success of the project for
both the companies involved and the people of Papua”
- Foley Hoag
Remedy Mechanism
Key Components of Tangguh’s Remedy Mechanism
• Social Programs
• Relationship Management
• Grievance Mechanism
− Workforce
− Community
• Integrated Community-Based Security
Tangguh Sustainable Development Program
Cross-Cutting Theme within TSDP
Impact of Social Programs
Integrated Community Based Security
Tangguh LNG on Security & Human Rights
•
BP supports the Universal Declaration
of Human Rights as well as the
Voluntary Principles on Security &
Human Rights
•
Human rights is embedded in our daily
conduct, including our approach to the
communities, workforce, and security
•
Promote wider understanding of
security & human rights via dialogue
with communities, governments, the
private sector and civil society to foster
greater understanding and the use of
best practices
Integrated Community Based Security (ICBS)
•
Introduced in 2004, ICBS was developed in the mold of community-oriented policing,
which involves the local communities, police & other government bodies, and BP
•
Features:
•
Community-oriented security programs
•
Training-of-the-Trainer Program for Papuan Police
•
Government – Private partnership
Joint Security Exercise between law enforcement and BP security
In-House Training to public security forces and private security on VPSHR,
Civil Disturbance Management and Community Policing
Routine coordination
•
Formal field security guidelines, incorporating VPSHR and ICBS principles, to
regulate the degree and manner of engagement with the police
•
Optimization of local resources through private guard force recruitment
•
Compliant and transparent handling of payments made to government officials
•
Procedure to address investigation and reporting of alleged human rights
violations
•
Subject to regular independent assessment by independent external panel
ICBS Indicators of Success
•
Maintain minimum operational disruption
due to security related incidents
•
Positive reception by the Indonesian
Police and other government agencies
•
No standing public security force at
Tangguh to manage existing threat level
•
Indonesian police in Papua capable to
implement human rights training to the
grassroots level
•
Proactive public participation to safeguard
own communities and Tangguh
•
95% local Papuan guardforce
Managing Community Grievances
The Landscape at the Time
Context
• Social dynamics from community post AMDAL approval by GoI in 2002 led
to community’s hopes and expectations of Tangguh LNG
• Tensions caused by an accumulation of unresolved grievances (i.e civil
unrest, asset & personnel detention, trespassing)
• No mechanism provided to the community to channel aspirations as well as
address grievances
• Requirements from AMDAL and Lenders
Objectives of the Workplace Grievance Procedure
• To ensure community grievances are promptly collected and analysed to
enable understanding of underlying root cause of issues and address them
• To determine what events, actors or incidents could interfere with Tangguh
LNG community and external relations and / or directly affect the Project.
Workforce Grievance Procedure
Grievance
from
community
Collected by
Community Relation
Team
Register, Record
and Review
“Grievance Card”
Consultation at the
Community Forum
for facilitation
Send formal response
to the grievant
Not agree
Send to
relevant department
for resolution
Agree
Not agree
Agree
Grievance Closed
Escalation to
administrative authority
or legal process
Assigning actions
to resolve Grievance
“Grievance log
and register”
Ongoing Challenges
• Preference for verbal delivery of concerns and needs; additionally,
expectation of instantaneous response
• High rate of community illiteracy
• The geographical remoteness of certain areas present logistical challenge
re collection of grievance card and response
• High community expectation of Tangguh LNG benefit resulting in
‘blurring’ between what are grievances and aspirations
• Low understanding of community members towards law and regulation
Terima Kasih
Director of Security & Business Services
BP Indonesia
Implementation of Human Rights Assessment
and Remedy Mechanism at Tangguh LNG
Tangguh LNG Overview
Tangguh LNG Overview
Key Facts
Operating Landscape
• Tangguh is Indonesia’s 2nd largest LNG supply facility and the • Logistical challenge and limited infrastructure
first fully-combined upstream and downstream LNG
operation.
• Remote location
• Tangguh can currently produce 7.6 million tonnes per annum • Limited human resources in the oil & gas sector
(mtpa) and our expansion project is expected to increase
production by 50%.
• Environmental factor challenges – natural terrain; diversity of
flora and fauna; heterogeneous people, culture and
• Need to continuously understand how any new activity could
communities
impact the community, particularly the indigenous Papuan
Human Rights Assessment at Tangguh
Potential Human Rights Impact Areas within the Oil
& Gas Industry
At a Glance
•
Formal signatory and founding member of
the UN Global Compact and VPSHR
•
Respects requirements set out in the
International Bill of Human Rights and the
ILO’s Declaration on Fundamental
Principles and Rights at Work
•
Deliver human rights policy by
implementing relevant sections of the
UNGP on Business and Human Rights
using a risk-based approach
Scope of 2002 Tangguh Project
Human Rights Impact Assessment
I.
Fundamental Human Rights
A.
Indigenous Rights
1)
B.
C.
II.
Consultation and Consent to
Development
2)
Land Rights
3)
Natural Resources
4)
Cultural Rights
5)
Religious Rights
6)
Relocation
III.
Balancing Human Rights and Security
A.
Deployment
B.
Conduct
C.
Training
D.
Accountability
E.
Community
Supporting Papuan Civil Society and
Governance
A.
Building Human Rights Capacity for
Local Communities and Civil Society
B.
Institutionalizing Human Rights through
Papuan Governance
Basic Human Rights
1)
Right to Life
2)
Freedoms of Opinion and
Expression
Labor Rights
1)
Freedom of Association
2)
Discrimination
Summary of 2002 Tangguh Project
Human Rights Impact Assessment
• Holistic approach in addressing human rights issues including indigenous,
labor and security issues. Policies, guidelines and plans need to educate
affected stakeholders regarding their rights and enforce respect for those
rights
• Transparent and accountable in every aspect of the project that bears on
the human rights of the indigenous people
• Develop mechanisms to effectively monitor their compliance in meeting
international human rights standards
“Ultimately, the most valuable asset that Pertamina / BP can
develop in the Bintuni Bay region is trust. Developing and
safeguarding that asset will be vital to the success of the project for
both the companies involved and the people of Papua”
- Foley Hoag
Remedy Mechanism
Key Components of Tangguh’s Remedy Mechanism
• Social Programs
• Relationship Management
• Grievance Mechanism
− Workforce
− Community
• Integrated Community-Based Security
Tangguh Sustainable Development Program
Cross-Cutting Theme within TSDP
Impact of Social Programs
Integrated Community Based Security
Tangguh LNG on Security & Human Rights
•
BP supports the Universal Declaration
of Human Rights as well as the
Voluntary Principles on Security &
Human Rights
•
Human rights is embedded in our daily
conduct, including our approach to the
communities, workforce, and security
•
Promote wider understanding of
security & human rights via dialogue
with communities, governments, the
private sector and civil society to foster
greater understanding and the use of
best practices
Integrated Community Based Security (ICBS)
•
Introduced in 2004, ICBS was developed in the mold of community-oriented policing,
which involves the local communities, police & other government bodies, and BP
•
Features:
•
Community-oriented security programs
•
Training-of-the-Trainer Program for Papuan Police
•
Government – Private partnership
Joint Security Exercise between law enforcement and BP security
In-House Training to public security forces and private security on VPSHR,
Civil Disturbance Management and Community Policing
Routine coordination
•
Formal field security guidelines, incorporating VPSHR and ICBS principles, to
regulate the degree and manner of engagement with the police
•
Optimization of local resources through private guard force recruitment
•
Compliant and transparent handling of payments made to government officials
•
Procedure to address investigation and reporting of alleged human rights
violations
•
Subject to regular independent assessment by independent external panel
ICBS Indicators of Success
•
Maintain minimum operational disruption
due to security related incidents
•
Positive reception by the Indonesian
Police and other government agencies
•
No standing public security force at
Tangguh to manage existing threat level
•
Indonesian police in Papua capable to
implement human rights training to the
grassroots level
•
Proactive public participation to safeguard
own communities and Tangguh
•
95% local Papuan guardforce
Managing Community Grievances
The Landscape at the Time
Context
• Social dynamics from community post AMDAL approval by GoI in 2002 led
to community’s hopes and expectations of Tangguh LNG
• Tensions caused by an accumulation of unresolved grievances (i.e civil
unrest, asset & personnel detention, trespassing)
• No mechanism provided to the community to channel aspirations as well as
address grievances
• Requirements from AMDAL and Lenders
Objectives of the Workplace Grievance Procedure
• To ensure community grievances are promptly collected and analysed to
enable understanding of underlying root cause of issues and address them
• To determine what events, actors or incidents could interfere with Tangguh
LNG community and external relations and / or directly affect the Project.
Workforce Grievance Procedure
Grievance
from
community
Collected by
Community Relation
Team
Register, Record
and Review
“Grievance Card”
Consultation at the
Community Forum
for facilitation
Send formal response
to the grievant
Not agree
Send to
relevant department
for resolution
Agree
Not agree
Agree
Grievance Closed
Escalation to
administrative authority
or legal process
Assigning actions
to resolve Grievance
“Grievance log
and register”
Ongoing Challenges
• Preference for verbal delivery of concerns and needs; additionally,
expectation of instantaneous response
• High rate of community illiteracy
• The geographical remoteness of certain areas present logistical challenge
re collection of grievance card and response
• High community expectation of Tangguh LNG benefit resulting in
‘blurring’ between what are grievances and aspirations
• Low understanding of community members towards law and regulation
Terima Kasih