Brimo Gerard - CSR in the Heavy Footprint - Mining Industry
Upcoming SlideShare
Loading in...5
×
 

Brimo Gerard - CSR in the Heavy Footprint - Mining Industry

on

  • 1,206 views

Brimo Gerard - CSR in the Heavy Footprint - Mining Industry

Brimo Gerard - CSR in the Heavy Footprint - Mining Industry

Asian Forum on Corporate Social Responsibility

October 18-19, 2011
EDSA Shangri-La Hotel
Manila

Statistics

Views

Total Views
1,206
Views on SlideShare
1,206
Embed Views
0

Actions

Likes
0
Downloads
25
Comments
2

0 Embeds 0

No embeds

Accessibility

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
  • YES TO LIFE
    AGRICULTURE & ECO TOURISM
    No to mining in Palawan AND other
    Key Biodiversity Areas (KBAs)
    Are you sure you want to
    Your message goes here
    Processing…
  • Ang yaman ng Palawan ay yaman ng Pilipinas It is known as the Philippines’ Last Ecological Frontier. It has 40% of our country’s remaining mangrove areas, 30% of our coral reefs, at least 17 Key Biodiversity Areas (KBAs), 2 UNESCO World Heritage Sites, and 8 declared Protected Areas (PAs). It is unmatched anywhere in the country
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Brimo Gerard - CSR in the Heavy Footprint - Mining Industry Brimo Gerard - CSR in the Heavy Footprint - Mining Industry Presentation Transcript

  • CSR IN THE “HEAVY FOOTPRINT” MINING INDUSTRY Gerard H. Brimo President & CEO
  • MINING = CONTROVERSIAL • EXTRACTIVE: Non-Renewable Resource – i.e. not “sustainable” • ENVIRONMENTAL CONCERNS • SOCIAL CONCERNS • “NATIONALISTIC” CONCERNS – Multinationals; sharing of benefits • LEGACY ISSUES – Un-rehabilitated mines of the past • CONFUSION – Large-Scale vs. Small-Scale/Illegal Mining THE RESULTGenerally a hostile operating  environment
  • And yet the world as we know it today can’t survive without minerals….It is estimated that every newborn will need:
  • NICKEL and its Uses
  • Nine of the world’s largest mining companies World Business Council for Sustainable DevelopmentInternational Institute for Environment and Development (IIED) Two-year (2000–2002) independentprocess of research and consultation – Mining, Minerals and Sustainable Development Project
  • CSR IN THE CONTEXT OF MINING "A concept whereby companies integrate social and  environmental concerns in their business operations * European and in their interaction with their stakeholders on a  Commission’s definition of CSR voluntary basis.”*
  • Highlights STRONG LEGAL FRAMEWORK IN THE PHILIPPINES• Social Acceptability: – Endorsement of Local Gov’t Units (2 out of 3 required) – Endorsement of Host Communities to the Social Development  & Management Plan (SDMP) – “Free & Prior Informed Consent” from Indigenous People, if any  (supervised by National Commission for Indigenous People)• Mandated Social Expenditures: – 1% of mining & milling costs yearly (revised to 1.5% of  operating costs) through the SDMP; yearly SDMP report  – 1% of gross revenues (royalty) to Indigenous Peoples if FPIC  satisfactorily completed, among other benefits (negotiated)
  • Highlights STRONG LEGAL FRAMEWORK IN THE PHILIPPINES• Environmental Studies/Reports – Environmental Impact Statement (EIS) (required for issuance of ECC) – Environmental Compliance Certificate (required for all environmental, social and other permits) – Environmental Protection & Enhancement Program (EPEP),  includes Final Rehabilitation/ Decommissioning Plan              (final environmental requirement for mine development,  operation and closure) – Annual EPEP – accomplishment for the year and environmental  program + budget for following year
  • Highlights STRONG LEGAL FRAMEWORK IN THE PHILIPPINES• Mandated Environmental Expenses  – 3% to 5% of mining and milling costs annually• Monitoring – Quarterly Monitoring by Multi‐Partite Monitoring Team  composed of Mines & Geosciences Bureau, Environmental  Management Bureau, representative of host community,  representative of Indigenous Cultural Community (if any)  and accredited environmental NGO• Mandated Mine Personnel: – Mine Environmental Protection & Enhancement Officer – Community Relations Officer – Safety Officer
  • PRINCIPLES OF SUSTAINABILE DEVELOPMENTA practical approach in relation to mining:• Environmental Responsibilities: – Minimize environmental impacts during the planning  stage – Ensure adequate environmental protection measures  during the operations stage – Restore, if not improve, the environment post‐mining – In all instances, use Best Practices
  • Low grade lateritic Low grade lateriticnickel ore (limonite)nickel ore (limonite)
  • Coral Bay Nickel Processing Plant – Protection of Coral Reefs in the design of causeway/trestle CAUSEWAY 423m FS 680m L REE CORA TRESTLE 900m 440m If Coral Reef Was Not  Existing : Avoided Coral Reef ProtectedCauseway 680 m Causewa 424 m Cost = Php 23.4M y Cost = Php 14.6MTrestle 440 m Additional Cost to  Trestle 900 m Cost = Php 57.4M  Company Cost = Php 117.5M Total Cost Php 80.8M Php 51.3M Total  Php 132.1M Cost
  • Coral Bay: CoastalResource ManagementFindings:  A healthy marine ecosystem was maintained at the primary impact zone of CBNC’s coastal  operations. Regular patrol prevented illegal fishing practices and kept the area as a de‐facto sanctuary.
  • Coral Bay – Coastal Resource Management Trestle pile with soft corals Trestle area teeming with fishes
  • Rio Tuba Nickel: Retention Ponds
  • Rio Tuba Nickel: Dust Emission Controls LIMESTONE QUARRY WATER SPRAYING  MINE ROAD WATER SPRAYING WIND BREAKER CONTRACTED BY COMM. RESIDENTS  TRUCK TIRE WASHER ACCORDION  CHUTE ROAD SWEEPERS
  • Rio Tuba Nickel: Mining Operations How do you rehabilitate this?
  • Rio Tuba Nickel: Progressive Rehabilitation of Mined-out Areas Rehabilitated Area Topsoil RTN Nursery
  • Rio Tuba Nickel: Progressive Rehabilitation of Mined-out Areas Mined-out area scheduled for rehabilitation Top soil stockpile
  • Rio Tuba NickelMay 2008May 2008Sept 2009Sept 2009March 2011March 2011
  • Rio Tuba Nickel: Inside Rehabilitated Mined-out Area
  • Taganito Mining: Mine Rehabilitation
  • PHILEX MINING CORP. - REHABILITATION OF TD NO. 1 Before Before Today Today
  • PHILEX MINING CORP.Forest Protection and Watershed ManagementDENUDED AREA ABOVE BANGET MILL DURING 1960’S DENUDED AREA ABOVE BANGET MILL DURING 1960’ DURING 1980’S  DURING 1980’ THE PRESENT DAY SITE
  • Principles of Sustainable Development…• Social Responsibilities: ‐ Uplift the standard of living of the host communities in  a manner that enables them to sustain themselves  post‐mining. Therefore, prioritize social expenditures on: • Health and Education • Infrastructure Projects • Livelihood Programs/ Business Development ‐ Utmost respect for Indigenous People’s rights and  culture
  • SOCIAL DEVELOPMENT MANAGEMENT  PROGRAMNS (SDMP)  “BEYOND COMPLIANCE”2010 Commitment: Php 39.2 Million*2010 Actual: Php 62.2 Million Disbursed  throughout Impact Area2010 Commitment: Php 68.6 Million2010 Actual: Php 104.6 Million* SDMP Commitment of Php 5.2 Million and 1% Royalty to IPs of Php 34.0 Million
  • HOSPITALStatus :  Primary HospitalWorkforce : 38 Staffs Doctors : 09 Nurses : 14 Other Staff : 15Total Cost (2010) : Php 60.5 MillionCredited to SDMP : Php 39.4 Million 65% of patients are non‐dependents.
  • SCHOOLSStatus :  Private school, supervised by De La  Salle University, Bacolod CityWorkforce : 52 Staffsa. School Principal : 1b. Primary & Elementary Faculty :  25c. Secondary :            17d. Other Staff  : 9Total Cost (2010): Php 27 MillionCredited to SDMP: Php 17 Million 63% of students are non‐dependents.
  • INFRASTRUCTURE PROJECTS
  • LIVELIHOOD PROJECTS
  • SOCIAL SERVICES
  • EDUCATIONAL ASSISTANCESDMP scholars during a team building seminar. 77 graduated. Some of the 7 school buildings, 14 classrooms constructed.
  • HOUSING FOR INDIGENOUS PEOPLES No. of Housing Units Built:  208 Units@6 Sites Total Cost (2010):  Php 13M
  • IP Housing (Gawad Kalinga) Typical Palaw’an Home
  • INDIGENOUS LEARNING SYSTEM (ILS) Enrolment Profile  (06‐09)• Concept       :    Arnold Jansen Catholic   667 Students Enrolled Mission Foundation 09‐10• Implementor:   St. Jude’s Parish, SVD Order• Levels:    Level 1:  Non‐literate 08‐09 Level 3 Level 2 Level 2:  Elementary undergraduate 07‐08 Level 1 Level 3:  Secondary undergraduate No. of sites• Work force:  14 staff 06‐07 0 100 200 300 Total Cost (2010): Php 10.3 Million
  • CORPORATE CULTURE Must start at the top! VISION STATEMENTTo be a world‐class diversified mineral resource company that has exemplary relationships with all its stakeholders.    i.e. using Best Practices i.e. using Best Practices i.e. we will get along i.e. we will get along well with everyone we deal well with everyone we deal with, by doing the right with, by doing the right things all the time things all the time
  • Corporate Culture... MISSION STATEMENTUsing best global industry practices, we are committed to: • Optimizing our current operations; • Exploring and developing additional deposits for  Business nickel and other minerals to sustain our growth; Imperatives • Delivering to our customers quality mineral  products in a timely manner; • Uplifting the quality of life of our host  communities; • Protecting the environment in all our operations; Social • Nurturing our employees and providing a safe and  Imperatives healthy workplace for them to achieve their full  potential; and • Adopting the highest standards of corporate  Both governance
  • Corporate Culture...• Vision/Mission/Core Values cascaded down to each mining  operation• Seminars to mine managers and supervisors – what do these  statements of principles mean and how do we accomplish• Integration into Performance Appraisal Reports• Strong Environmental and Community Relations offices at  each mine site
  • A CSR INDUSTRY‐WIDE INITIATIVE: TRANSPARENCY 
  • +HEAVY FOOTPRINT INDUSTRIES GOOD CSR PRACTICES = GREAT DEVELOPMENT OPPORTUNITIES
  • WHILE CARING FOR THE ENVIRONMENT….
  • THANK YOU!