1. THE WIDER COMMUNITY

Section 1.5 - Resource Extraction

Principles
1.5.P.1
The company conducts the extraction and/or exploitation of natural resources such as minerals, timber, oil and energy sources, including hydro-electric power, in such a manner as to avoid conflict with the human rights, the sustainability of the environment and the economic survival of national, local and indigenous communities.

1.5.P.2
The company is careful to control its exploitation, management and extraction of natural resources, especially non-renewable resources, in countries where environmental laws and regulations are inadequate or are improperly enforced, or where there is protracted internal or regional conflict to which the government is a party.

1.5.P.3
The company does not make unfettered exploitation of natural resources, especially non-renewable resources, against the wishes of national, local or indigenous communities, nor in such a way that it damages or dramatically changes the ecosystem.

1.5.P.4
The company recognises that resources which it may wish to extract from a particular area are an asset of that community and conducts its business in accordance with that recognition.

1.5.P.5
Where the company is engaged in the extraction of natural resources in zones of conflict it does not engage governmental or militia forces to provide security but conducts its own independent security operation.

1.5.P.6
The company, if it is unable to provide proper security for its workforce in zones of conflict does not enter into an engagement to conduct such extractive business or if already engaged, it withdraws from such locations.

1.5.P.7
The company does not engage in resource extraction in highly vulnerable and nonsustainable communities without ensuring that its operations are designed to benefit the local community and monitors the impact of its engagement.

Criteria
1.5.C.1
The company ensures that its policies in regard to resource extraction do not infringe the human rights of local populations and do not contravene local laws and regulations.

1.5.C.2
The company only proceeds to extract natural resources in situations where their renewal is guaranteed or where, in the case of non-renewable resources, it has made provision for the creation of sustainable alternatives.

1.5.C.3
The company has a strategy whereby proper compensation for the extraction of resources is made to all the relevant national, local and indigenous communities for the acquisition of their assets.

1.5.C.4
In instances where the extraction of resources either, violates human rights or where the extraction can only be carried forward with the aid of military intervention in zones of conflict, the company does not proceed with the work programme.

1.5.C.5
The company publicly discloses all royalties, taxes, fees, payments and any other revenue paid to state or parastatal partners as derived from project partnerships.

1.5.C.6
The company does not contract with or collaborate with governmental military authorities or with local militias to facilitate the extraction of natural resources.

1.5.C.7
A company which is engaged in resource extraction, on discovering previously unknown vulnerabilities or non-sustainable situations immediately seeks to withdraw in such a way as to ensure that these works are not proceeded with by other agencies or companies.

1.5.C.8
The company has a consultation and appraisal process in place that involves all local communities where new developments of resource extraction are contemplated.

Bench Marks
1.5.B.1
The company, in its endeavours to ensure the human rights of the peoples who live where it is extracting natural resources, has policies that specifically ensure the human rights of communities within the terms of the Universal Declaration of Human Rights and its two covenants and the International Labour Organisation's standards.

1.5.B.2
The company ensures that when extracting non-renewable resources it creates and puts in place alternative and sustainable benefits for the future of the community in which it is operating.

1.5.B.3
The company has an agreed policy whereby compensation for the removal of natural, nonrenewable assets is fully paid.

1.5.B.4
The company has in place performance standards for the monitoring of the extraction of natural and especially non-renewable resources.

1.5.B.5
The company, as a minimum, adheres to the Voluntary Principles on Security and Human Rights to ensure respect for human rights and fundamental freedoms in their security operations.

1.5.B.6
The company has in place policies that prohibit it from accepting protection from governmental military forces or from local militias.

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