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With the trunk pipelines concluded: positive or negative balance?

In January 2019, and after more than 10 years since the project began to be planned, the Government of the Province of Córdoba terminated the works of the trunk gas pipelines. Despite the obvious benefits of the project, it is worth asking about the true balance left by the experience of this project, especially in terms of transparency and accountability in public policies.

“Below, we offer a google translate version of the original article in Spanish. This translation may not be accurate but serves as a general presentation of the article. For more accurate information, please switch to the Spanish version of the website. In addition, feel free to directly contact in English the person mentioned at the bottom of this article with regards to this topic”.

At the beginning of 2019, with the authorization of the last supply branch and the pressure regulating plant in Tala Cañada (Pocho), the Government of the province of Córdoba concluded the controversial project for the construction of the trunk pipeline network. According to the government, the gas network thus reached almost 98% of Cordoba people; Although it is clear that the vast majority of industries and neighbors benefiting from the work do not yet have effective access to the service, since the problem of connecting to home and internal networks remains to be resolved.

With the work completed, the axis then moved to the need to connect the backbone networks with the home networks, so that families and businesses can effectively access the benefit. The company Ecogas and the municipalities are responsible for bringing the gas network to private homes, for which they will receive financial support from the province. While the Bank of Córdoba made available a line of credit -Dale Gas! – at zero interest rate and with a return of 48 months for the home gas installation; The provincial government launched a financing plan so that companies can connect to the network. This plan called «Connect Gas Industry» contains three lines of credit for businesses, SMEs, industrial parks, CNG stations and tourist establishments.

A controversial work

This work, according to data handled by the provincial government, benefits 973,490 Cordoba in 228 locations. Some populations will receive natural gas for the first time and, in other locations, the service will reinforce the existing one. However, despite the obvious benefits of the work, the project of gasification of towns in the interior of the province of Córdoba has been the focus of various controversies and has been under the watchful eye of public opinion since its inception. Thus, for example, as regards the financing of the work, the reasons for the fall in financing of both BNDES at first, and of Chinese banks later, were never officially clarified; and the provincial government’s decision to move forward with the work using public indebtedness generated controversy.

Similarly, the lack of access to information to control the progress of the project has been a constant throughout the entire execution process. Additionally, the project has been investigated for alleged acts of corruption in the bidding of the sections to be built, even being mentioned in the Lava Jato case in Brazil from the participation of the Odebrecht company in the works.

Thus, for example, in February 2018, the legislators of the opposition to the provincial Government, Juan Pablo Quinteros, Aurelio García Elorrio and Liliana Montero, filed a complaint with the Financial Information Unit (FIU) regarding the possible payment of charges for the work of the trunk pipelines. This follows from the kidnapping of the list of coimas paid to different governments of the continent belonging to the Brazilian banker Alberto Youssef, where he names at least four times the work in question. This list served as a tool for Brazilian investigators of the Lava Jato cause to prove the existence of a public works club made up of Odebrecht, Andrade Gutiérrez, OAS, Camargo Correa and other construction companies. According to the complainants, a 36 million dollar premium would have been paid. Also, they argue that the collection was made through the session of a real estate project in Puerto Madero (Buenos Aires) to a company of the Horacio Miró group, former official of the administration of José Manuel de la Sota. This accusation was denied by the businessmen involved.

In mid-2018, the possibility that Argentina will reach an agreement with Brazil so that Argentine judges can access the information present in the Lava Jato investigation generated great expectations in Córdoba. The causes for alleged corruption offenses in public works in our country would have the possibility to move forward through the use of this information. This agreement generated expectation given the denunciation for the alleged payment of coimates for 36 million dollars to the company of the Horacio Miró group. In this regard, the administrations of the former governor of La Sota and the current one, Juan Schiaretti, denied all kinds of accusations. This complaint is currently under the responsibility of Prosecutor 1 of the Anti-Corruption jurisdiction, which is based on data provided by Brazil.

However, the scandal caused by the irruption of the cause of the notebooks in August 2018 hit several of the companies involved in the construction of the trunk pipelines. From the provincial government they clarified that all tenders were carried out transparently. Among the companies involved and that have works in progress in the province of Córdoba is Electroengineering, allied with the Chinese company Petroleum Pipeline Boreau for the construction of 30% of the trunk gas pipelines. In addition, there is the Albanesi Group that through Generación Mediterráneo S.A. It owns the Modesto Maranzana thermoelectric plant located in Río Cuarto. Also, the company Iecsa (now Sacde) in charge of the sections of the gas pipelines in the provincial interior in partnership with the Chinese company Communications Construction Company (CCC). Finally, BTU and Esuco companies have also carried out pipeline works in Córdoba.

Positive or negative balance?

In short, after more than a decade of marches and counter-marches, trunk pipelines are finally a reality. What has been the largest infrastructure work in Córdoba in recent times leaves us, without doubt, a positive balance in relation to the potential benefits of the work. It will allow access to natural gas not only to thousands of citizens and hundreds of localities in Cordoba; but also to numerous industries, SMEs and businesses in the interior of the Province that will be able to boost their activity and productivity from access to the gas network. However, if we analyze the project from the point of view of transparency and accountability that must necessarily surround any work that has public funds for its realization; The balance is undoubtedly negative.

In that sense, we will continue monitoring the progress of the next stages of the work. Also trying to obtain more information about the details of its realization, the real reasons for the fall of the financing of the Chinese banks and the participation of Odebrecht in the project and its link with the Lava Jato cause, for which we are preparing requests for information which will be referred to the provincial administration.

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Authors

Mariano Camoletto

Gonzalo Roza

Contact

Gonzalo Roza, gon.roza@fundeps.org

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Binding Treaty on Business and Human Rights: Comments from Fundeps and the new revised Draf

At the fourth session of the United Nations Intergovernmental Working Group on Business and Human Rights, different actors presented their comments and proposals on the ‘zero’ draft of the legally binding international instrument. Fundeps made recommendations and questions about certain axes of the draft, relevant to guarantee the fulfillment of human rights by transnational companies. Based on the comments made, on July 17, the Intergovernmental Working Group presented the new Revised Draft.

“Below, we offer a google translate version of the original article in Spanish. This translation may not be accurate but serves as a general presentation of the article. For more accurate information, please switch to the Spanish version of the website. In addition, feel free to directly contact in English the person mentioned at the bottom of this article with regards to this topic”.

In 2014, the UN Human Rights Council issued two resolutions, one of which ordered the establishment of an intergovernmental working group responsible for developing a binding treaty on business and human rights. The second resolution, of the same year, requested the UN working group to prepare a report containing the benefits and limitations of legally binding instruments.

From there, the work group sessions began. The first one was held in 2016 and the second in 2017, where Ecuador presented the document ‘Elements for the Legally Binding International Instrument Project on Transnational Corporations and other companies with respect to Human Rights’. In these sessions, the intergovernmental working group focused on improving the content, scope, nature and form of the potential international instrument to regulate the activities of transnational corporations and other companies in the fulfillment and respect of human rights.

In the third session, in 2018, the working group published the Zero Zero Draft ’of the Binding Treaty; The elements for preparing a draft of a legally binding instrument were discussed taking into account the discussions held in the first two sessions.

Last year, in the fourth session, calls for comments and proposals were made on the draft of the binding treaty. The presentations were made by some States such as Chile, Colombia and the Philippines, non-governmental organizations with consultative status and other stakeholders such as civil society organizations, including Fundeps. The document on the ‘zero’ draft, presented by the foundation, is divided into general and specific comments.

The general comments made by Fundeps cover different aspects that have not been taken into account in the document and that are extremely relevant to ensure that transnational corporations guarantee and respect human rights. Among the comments, the absence in the Treaty of commercial activities that are supported by the States, the high relevance given to the remedy of damages and rights of the victims that, although it is extremely positive, are even more necessary a priori are measures prevention to prevent companies from violating human rights. With prevention there would be no need to remedy any damage caused since these would not exist if they were well regulated.

On the other hand, the draft Treaty only establishes a binding component for the States, but companies are not given responsibility. Therefore, not only does it not make them obliged subjects, which was the initial idea, but they will respond before the laws that the States implement in this matter. In addition, the creation of a court or other institution that has the capacity to judge and penalize the actions of transnational corporations is absent.

Finally, in the general comments of Fundeps, the absence of the sections on ‘corporate obligations’, ‘state obligations’ and the obligations of international organizations, which are fundamental elements to guarantee the fulfillment of rights, is highlighted Humans versus business activity.

Specific comments were made in accordance with the sections of the draft. According to the preamble, it is recommended to include the relationship with other international conventions and recognize ‘Corporate Capture’ as a global issue that undermines human rights. In addition, the absence of guiding principles on business and human rights as an immediate precedent of the treaty is questioned. , as well as the lack of recognition of the danger situation of human rights defenders. Regarding the purpose of the Treaty, it is recommended that the purpose of the document should be the guarantee of human rights and incorporate as an objective of the addressed the resolution of power imbalances between corporations and affected communities.

Finally, in Prevention, the componente Gender ’and conflict of interest component should be incorporated into all due diligence measures. In addition, these measures must ensure transparency in the interactions of transnational corporations with state authorities, and the protection of human rights defenders through specific and reinforced protection mechanisms.

New Draft: progress?

The Intergovernmental Working Group, in charge of drafting the document, has made progress in its development. Consequently, on July 17 they presented the Revised Draft of the binding treaty to regulate the activities of transnational corporations and other commercial companies regarding human rights. This version was made according to the recommendations and comments proposed by the different actors convened in the fourth session last year. This draft will be discussed in the fifth session, which will take place between October 14 and 18 of this year.

At first glance, the new draft of the binding treaty has modified the formulation, which, in the words of Hood and Hughes-Jennett, is rather ambiguous. Thus, in Article 3 of the draft, its application has been extended to “all commercial activities”, that is, it will no longer be limited to those of a transnational nature. However, the definition developed in Article 1 on commercial activities leaves those that are purely national in scope of the treaty. A positive development in the project has been the elimination of the requirement that commercial activity should be limited to all those that were carried out “for profit”.

On the other hand, the new Article 6 of the draft treaty incorporates a new provision where States will have responsibility for not preventing damage that the party with whom they have a contractual relationship has caused third parties, regardless of where the damage occurs ( Hood & Hughes-Jennett, 2019).

From the perspective of due diligence, an improvement in the draft has been observed, since the States are not only obliged to regulate commercial companies within their territory where they are obliged to respect and prevent violations of DD.HH .; now in the project it is clarified that the legislation must be introduced to make the due diligence of human rights mandatory and, in addition, companies must be obliged to acquire the appropriate measures to prevent violations or abuses of human rights. It represents a breakthrough because it means a convergence with the UN Guiding Principles (Hood & Hughes-Jennett, 2019).

With regard to legal-criminal liability, the Revised Draft has eliminated the provision on universal jurisdiction and instead has incorporated a new provision that establishes the jurisdiction of territorial, active and passive nationality. Therefore, the states will be disabled to exercise jurisdiction in those behaviors that do not constitute a criminal offense, in accordance with international law in situations where there is no conventional jurisdictional link with the crime (Hood & Hughes-Jennett, 2019) .

Consequently, we must wait and observe the decisions that occur in the fifth session on the Revised Draft. While the incorporation of some recommendations and a closeness to the Guiding Principles on business and human rights is observed, there is still a shortening of distances between the Revised Draft and the Guiding Principles; since these have been the initial kick representing a fundamental advance in the normative criteria on the responsibility and the accountability of the transnational companies. There are still issues that are not clearly defined in the revised draft, which means that transnational corporations continue without being fully obliged to respect and guarantee Human Rights.

Más información:

Authors

Sofia Brocanelli

Contact

Gonzalo Roza gon.roza@fundeps.org

 

 

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IFIs and climate change: The role of the Green Climate Fund

We participated in a workshop organized by the review mechanism of the Green Climate Fund accounts to inform us about the mandate of that institution and discuss ways of interacting with civil society.

The Green Climate Fund (GCF) is one of the financial institutions for climate within the architecture created by the United Nations Framework Convention on Climate Change (UNFCCC). In order to promote a change in the paradigm towards the reduction of emissions and development compatible with the environment, it provides financial support for adaptation projects and mitigation of the effects of climate change. Its objective is to be the main operating entity within the financial mechanism of the Convention, in addition to projecting itself as the central institution in the global climate finance plan.

To make the work and operation of GFC more known, the Independent Repair Mechanism (IRM) convened civil society organizations in Santiago, Chile, on May 30 and 31. In the case of the IRM, it has only been functioning for 2 years and has had only three case presentations, so it was also an opportunity to discuss the future interactions of the mechanism with potential cases and with civil society.

Among the issues mentioned by the organizations are the dangers for human rights defenders, the difficulties in implementing remediation plans, the impact of projects on communities and on the rights of indigenous peoples, gender issues within the projects and the claims. In this way, ways to operate from the mechanism to address these concerns were also discussed

More information

Green Climate Fund

Independent Repair Mechanism

Author

Carolina Tamagnini

Contact

Gonzalo Roza,  gon.roza@fundeps.org

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Fundeps host the International Advocates Working Group (IAWG) Retreat

During the month of April, Fundeps organized the annual retirement of the International Advocates Working Group (IAWG) in the city of Villa General Belgrano. Over three days, 30 IAWG members met to share information, experiences and lessons learned about non-judicial accountability mechanisms in international financial institutions (IFIs).

“Below, we offer a google translate version of the original article in Spanish. This translation may not be accurate but serves as a general presentation of the article. For more accurate information, please switch to the Spanish version of the website. In addition, feel free to directly contact in English the person mentioned at the bottom of this article with regards to this topic”.

The IAWG is a global network of civil society organizations and individuals that work to ensure that IFI complaints mechanisms ensure accountability and effective remedies to affected communities. This working group focuses on working with the mechanisms, while providing support to communities negatively impacted by IFI projects.

The grievance mechanisms associated with these institutions offer an important, and sometimes, only option for affected communities seeking accountability from IFIs or from companies that receive IFI financing.

Over the past 4 years, the IAWG meets almost annually for its members to share experiences and lessons learned around working with non-judicial complaint mechanisms. During the days of the retreat, joint actions are discussed and planned to ensure that the work of the mechanisms is as transparent and accessible as possible for those wishing to make complaints.

Contact

Gonzalo Roza, gon.roza@fundeps.org

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Conversation: Investments for Development and Human Rights in Latin America

On April 22 in the auditorium of the Nueva Córdoba headquarters of the 21st Century University, Fundeps organized a discussion on investments for development and human rights in Latin America.

During the last years, the Latin American region has been the scene of exponential growth of large development projects. For this reason, from Fundeps together with the 21st Century University, the discussion ‘Investments for Development and Human Rights in Latin America’ was organized

It analyzed the role of international financial institutions, their obligation to Human Rights, their impact on the Latin American region and the performance of their accountability mechanisms. . Also, the development in Latin America and the Human Rights issues associated with it were discussed.

There were the participation of renowned exponents who addressed these issues from their work and analyzed current trends and challenges regarding investments for development in the region. Participants: Carolina Juaneda, who serves as the Latin American Consultant of the Bank Information Center (BIC), Caitlin Daniel as Senior Communities Associate of the Accountability Counsel (AC) and Juan Carballo, Executive Director of Fundeps.

Contact

Gonzalo Roza, gon.roza@fundeps.org

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The Second Five-Year Joint Action Plan and the deepening of relations between Argentina and China

Within the framework of the G20 summit held in Argentina in 2018, the Heads of State of Argentina and China signed 30 trade and investment agreements for the next five years. These agreements are part of the Second Five-Year Joint Action Plan between the two countries.

Below, we offer a google translate version of the original article in Spanish. This translation may not be accurate but serves as a general presentation of the article. For more accurate information, please switch to the Spanish version of the website. In addition, feel free to directly contact in English the person mentioned at the bottom of this article with regards to this topic.

On December 2, 2018, Argentine President Mauricio Macri and Chinese President Xi Jinping signed thirty trade and investment agreements within the framework of the second 2019-2023 joint action plan between our country and the People’s Republic of China.

The Second Five-Year Plan, like the first, seeks to strengthen the bilateral relationship and constitutes a roadmap with actions to be carried out in a number of areas. Most of the agreements are of an economic-commercial nature and include the areas of infrastructure, investments , finance, transport, mining, energy, science and technology, tourism, South-South Cooperation and electronic commerce.

Among the agreements, one of the most important is the formalization of the exchange of currencies (swap) with the Asian country for an amount of 8,500 million dollars in addition to the existing one of 11,000 million dollars.

The agreements that were already signed at the time of the announcement of the Second Plan were the Cooperation for Integral Agricultural Development Projects in New Irrigated Areas of the National Water Plan of Argentina, the Memorandum of Understanding on environmental protection and sustainable development, and the establishment of the Confucius Institute at the University of Córdoba.

Agreements have also been signed with companies such as the “Term Sheet” between the Ministry of Finance of Argentina and the Development Bank of China (CBD) for the creation of a Fund for an estimated amount of up to USD 1,000 million, in order to finance “Working Capital”; the Framework Agreement for the Promotion of Trade in Oil Products between the Ministry of Agribusiness Government and China Grain Reserves Group Ltd. Company (SINOGRAIN).

The following agreements were signed after they were announced: the Framework Cooperation Agreement between China Export & Credit Insurance Corporation (Sinosure) and the Bank of the Argentine Nation; the Addition to the Financing Contract for the “Rehabilitation of the Belgrano Cargas Railway”; the Financing Agreement between the Ministry of Finance of Argentina and the Development Bank of China (CBD) for the Acquisition of Rolling Stock for the Roca Eléctrico Railway and, finally, the Commercial Contract between the Ministry of Transportation and the Chinese company CRCC for the recovery of the San Martín Cargas Railway (Stage I: renewal and improvement of roads).

Finally, the following agreements are found:

  • Agreement on the Extension of the Validity of the Memorandum of Understanding for the Establishment of a Strategic Dialogue Mechanism for Economic Cooperation and Coordination (DECCE);
  • Agreement for the Elimination of Double Taxation with respect to Income and Property Taxes and the Prevention of Tax Evasion and Avoidance (CDI);
  • Memorandum of Understanding for Strengthening Fiscal and Financial Cooperation;
  • Memorandum of Understanding on the Promotion of Commercial and Investment Cooperation;
  • Memorandum of Understanding on Strengthening Cooperation in the Infrastructure Sectors;
  • SWAP expansion of currencies;
  • Protocol of Phytosanitary Requirements for the Export of Argentine Fresh Cherries to China;
  • Memorandum of Understanding on Electronic Commerce;
  • Memorandum of Understanding on Cooperation in Trade in Services;
  • Sanitary Protocol for the Export of Sheep and Goat Meat to China;
  • Adaptation of the Health Protocol for the Export of Standing Horses to China;
  • Convention between China and Argentina on preventing and combating the illicit traffic in cultural property, and the return of illegally transferred cultural property;
  • Execution Plan for Cultural Cooperation between China and Argentina 2019-2023;
  • Agreement on reciprocal recognition of higher education certificates;
  • Agreement between the Chinese Academy of Social Sciences of China and the Secretariat of Science and Technology and Productive Innovation on the establishment of the virtual center of social sciences China-Argentina;
  • Cooperation Framework Agreement between the National Radio, Film and Television Administration of China and the Federal Public Media System;
  • Cooperation Agreement between the Media Group of China and Radio and Television of Argentina;
  • Memorandum of Understanding on Cooperation between the National Supervisory Commission of China and the Ministry of Justice and Human Rights of Argentina;
  • Memorandum of Understanding between the Ministry of Modernization Government and the Chinese Academy of Government.

The interest of the Asian country to make investments in Argentina is linked to the actions that it has carried out since the last years in the Latin American region, positioning itself as one of the main investors. The First Five-Year Plan between Argentina and China meant the strengthening of ties in their bilateral relations with the aim of developing a cooperation strategy. With the Second Plan, a further step is being taken in strengthening and deepening the bilateral relationship between the two countries.

For Argentina, the agreements represent an opportunity for development in the future, however, we must be cautious about the risks and the potential negative aspects of them, which can result in excessive increases in debt, negative impacts at the socio-economic level. environmental infrastructure projects, competitiveness problems in the commercial field or even a certain tendency towards the reprimacy of the Argentine economy towards which several of the agreements point. And do not forget to add, to all this, opacity and little transparency in terms of access to information that surrounds the vast majority of these agreements, whose general aspects may come to light, but not their details and specifications As for its implementation.

More info

Author

Sofía Brocanelli

Contact

Gonzalo Roza, gon.roza@fundeps.org

 

 

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China is committed to respecting human rights in its foreign investments

On March 15, China accepted 284 of the recommendations made in its third Universal Periodic Review (UPR) before the United Nations Human Rights Council (UNHRC). These are aimed at preventing human rights violations in the field of their investments abroad. Undoubtedly, this is an unprecedented event.

“Below, we offer a google translate version of the original article in Spanish. This translation may not be accurate but serves as a general presentation of the article. For more accurate information, please switch to the Spanish version of the website. In addition, feel free to directly contact in English the person mentioned at the bottom of this article with regards to this topic”.

The People’s Republic of China (China) undertook, before the United Nations, to respect human rights in its investments abroad. It accepted 82% of the recommendations made by dozens of countries in its third Universal Periodic Review (UPR).

The UPR is an evaluation conducted every four and a half years by the Office of the United Nations High Commissioner for Human Rights (OHCHR). It allows rating the behavior of each member state when implementing the UN human rights treaties.

Here are some of the most relevant recommendations that were accepted:

  1. Promote measures that guarantee that development and infrastructure projects, within and outside of their territory, are fully compatible with human rights and respectful of the environment and the sustainability of natural resources, in accordance with national and international law applicable and with the commitments of the 2030 Agenda for Sustainable Development (Ecuador);
  2. Consider the possibility of establishing a legal framework to guarantee that the activities carried out by the industries subject to their jurisdiction do not undermine human rights abroad (Peru);
  3. Adopt new measures on business and human rights in accordance with their international obligations and ensure that companies operating in high risk or conflict areas conduct due diligence on human rights in accordance with the Guiding Principles on Business and Human Rights (State of Palestine);
  4. Continue to apply Chinese laws, regulations and standards, such as the Guiding Principles on Business and Human Rights, to Chinese companies that operate beyond the borders of China (Kenya);

The Chinese delegation said that its opening to host the aforementioned recommendations “fully demonstrates China’s determination and its open and active attitude towards the promotion and protection of human rights.” However, China must inform in two years in its Mid-Term Review before the UNHRC, the progress achieved after the implementation of these recommendations. In addition, you will need to develop an action plan to ensure that your companies and investors respect the rights of local communities and the environment.

María Marta Di Paola of the Environment and Natural Resources Foundation (FARN), expressed that “this commitment should not be considered a paper promise; On the contrary, social organizations around the world must take the floor to the Chinese State, keep vigilant and report to the Chinese embassies and CDHNU when there are violations in the Chinese projects, and demand redress for the violated rights of the victims and the environment “.

It should be noted that last year the Collective on Financing and Chinese Investments, Human Rights and Environment (CICDHA) presented a report in the framework of the UPR, along with 17 other Latin American NGOs, examining 18 projects with Chinese participation in Ecuador, Peru, Bolivia, Brazil and Argentina. The report showed that Chinese companies and banks have systematically violated several rights protected by the Universal Declaration of Human Rights and other United Nations instruments.

What happened in Geneva on March 15 is an unprecedented event that must be celebrated. Likewise, it is important to remember that the results obtained must be largely attributed to the hard work done by numerous civil society organizations in the region and the world.

More information

Video: Consideration of the Universal Periodic Review outcome of China

Report: Evaluation of the Extraterritorial Obligations of the People’s Republic of China from Civil Society: Cases of Argentina, Bolivia, Brazil, Ecuador and Peru

Author

Melanie Mackenzie

Contact

Gonzalo Roza, gon.roza@fundeps.org

Agustina Palencia, agustinapalencia@fundeps.org

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More than 100 organizations are calling on EITI to publish environmental information

On the initiative of the Peruvian organization ‘Law, Environment and Natural Resources’, on February 25, a letter was presented to the Board of Directors for the Extractive Industries Transparency Initiative (EITI), demanding the publication of environmental information. More than 100 organizations in Latin America (including FUNDEPS), signed a letter asking the members of this initiative to make transparency in environmental information mandatory.

“Below, we offer a google translate version of the original article in Spanish. This translation may not be accurate but serves as a general presentation of the article. For more accurate information, please switch to the Spanish version of the website. In addition, feel free to directly contact in English the person mentioned at the bottom of this article with regards to this topic”.

The EITI standard for transparency in extractive activities, seeks to disseminate information on the oil, gas and mining industry. It requires the publication of information along the value chain of the extractive industry, from the point of extraction, to the way in which revenues continue on their way to the government; even how they benefit the general public. This includes how licenses are adjudicated and registered, who are the actual beneficiaries of those operations, what are the legal and fiscal provisions, how much is produced, how much is paid, how are those revenues distributed, and what is the contribution to the economy, including employment.

It is a multilateral initiative to which governments adhere voluntarily, and ensuring the participation of civil society and companies in the extractive sector.

However, and despite the imprint of this initiative, the standard currently lacks requirements on the obligation to publish information related to the costs and environmental impacts of extractive activity. It is necessary to have information, for example, on the amount of water that a mining project consumes, fines paid by corporations for environmental violations, information on environmental impact assessments, mitigation plans, among others. These data are crucial to avoid irreversible damage to the environment and the violation of the rights of those affected by extractive activity.

During the week of February 25, the EITI Board will meet in Kiev, Ukraine; to review the provisions of the current standard. Civil society organizations in Latin America sent a letter demanding that after the review process new guidelines be incorporated to ensure that:

  • Information is disseminated at the project level, in relation to all social and environmental assessments, showing the true impact of extractive activity on ecosystems and communities.

  • Environmental and social information about payments and expenses is disclosed, including impact studies, acquired rights, licenses, fines, compensations and remediation.
  • Information on all environmental licenses and authorizations, disaggregated by company and project, is disclosed. Including how the authorities monitor environmental commitments and information.


Argentina has officially joined EITI on February 27, 2019. To strengthen the standard with the demands made by civil society, would result in an improvement on the generation and publication of environmental information in our country.

More information

Sitio WEB de EITI

Carta enviada al Directorio de EITI

Environmental Reporting: Key to Transparency

Contact

Agustina Palencia, agustinapalencia@fundeps.org

 

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The president of the World Bank resigns: possible conflict of interest and transparency in the appointments

On January 7, the world was surprised by the untimely resignation of World Bank President Jim Yong Kim. With three years left to finish her second term, Kim stepped aside to take a position within the private sector. A possible conflict of interest and transparency in the definition of the Bank’s leadership, key issues.

“Below, we offer a google translate version of the original article in Spanish. This translation may not be accurate but serves as a general presentation of the article. For more accurate information, please switch to the Spanish version of the website. In addition, feel free to directly contact in English the person mentioned at the bottom of this article with regards to this topic”.

Abruptly and unexpectedly, the president of the World Bank (WB) Jim Yong Kim, resigned his mandate to undertake a new job in the private sector. According to the official communiqué of the WB, during the term of Kim, special attention was paid to investments in infrastructure. He assured that the key to the advancement of the developing nations was the support and investment in this sector. For this reason, Jim Yong decided to step aside arguing that his work for global development would be more fruitful from the firm ‘Global Infrastructure’, a multinational company specializing in infrastructure investments for the water, energy, transport and waste sectors. .

Kim’s departure has not gone unnoticed, and numerous civil society organizations around the world have emphasized the possible conflict of interest in Kim’s surprise decision and wonder what will happen from this? In particular, they have raised a series of concerns:

  • Financing for development through the private sector:

According to the now ex-president of the WB, worldwide there is a deficit in infrastructure that would be around the trillion dollars. This amount, in no way can be covered, not even with the portfolio of all the institutions of financing for the development (IFIs) together. In this regard, Kim, during his tenure, has tried to ensure that financing for development, no longer oriented to the public sector, to turn to the private sector. In this way, the WB and other IFIs have increased their investment portfolio to financial intermediaries and other companies / private corporations. Kim’s decision to continue his professional career in the private sector raises doubts about the underlying interest in the decision to orient the World Bank towards the private sector. In other areas of interaction between the public and private sectors there are window periods during which those who have decision-making roles are prohibited from changing their sector (“cooling off periods” in English). The inexistence of similar mechanisms in the World Bank inevitably calls into question some of Kim’s decisions that in practice expanded financing to the private sector.

The change towards private financing, although it could be beneficial in economic and financial terms for the States, maintains concerns for environmental sustainability and respect for human rights. Recently, there seems to be a positive correlation between the increase in projects financed by companies and the growth of negative impacts on people’s lives and the environment. In addition, it is important to remember that during the mandate of Kim, the revision of the social and environmental safeguards of the WB – the regulations that establish criteria for the projects that the World Bank can support -, far from representing a strengthening of the policy, meant the transformation of these standards, a normative framework much more lax. The resignation of Kim then, leaves open the door to ask if the next president of the WB will have as a priority private funding, and if so, how the institution can adapt to international and national standards regarding respect for Human Rights.

  • Transparency and accountability at the institutional level in IFIs:

Other questions that have arisen after this event, have to do with the next president of the WB and its selection process: Who will succeed? What will the process be like to elect the next president? Will the government of the United States be in charge of targeting the person who assumes the presidency, as has happened on previous occasions? In what way can the WB’s governance be more transparent when it comes to electing its authorities?

At the global level there is a tacit agreement that, since the beginning of the Bretton Woods system, has established that the head of the World Bank would be defined by the United States and the International Monetary Fund (IMF) by Europe. Over the years, this has been respected to the letter, with the White House, which has pointed to the president of the WB. Kim was no exception to this practice and was nominated by the government of Barack Obama. This process that has been taking place has little transparency and has always ended up transforming the World Bank into an executing arm of US government policies. In these times, a WB president appointed by the administration of Donald Trump would be risky when thinking about the performance of this institution on issues such as climate change and human rights in general.

Beyond the effects of a WB president appointed by the Trump government, Kim’s departure opens a series of questions about the bank’s governance and transparency in the appointment of its authorities. It is necessary to establish a transparent selection process in which all candidates have equal opportunities to occupy the position. The Chair of the Presidency of the WB must be occupied by a truly qualified person who has as a priority the execution of investments under the umbrella of sustainable development and human rights. The history of secrecy behind each WB president has impacted on the credibility of the institution. This vacancy, now, means an opportunity for the WB to reposition itself within the international system as an independent actor.

From now on

Kim’s departure for ‘Global Infrastructure Partners’ (GIP) has raised doubts about the appearance on the door of a possible conflict of interest. The multinational GIP is responsible for investing in infrastructure for developing economies, this being the main sector of interest of the WB. It is important to follow up on plausible agreements to be finalized between both institutions.

Regarding the vacancy for president, the WB has announced a nomination process for candidates that will be open until mid-March 2019. The civil society will be attentive and making a detailed follow-up of everything that happens to seek the transparency of the process. It will remain to be seen, once the next president is selected, what their main management guidelines will be and if they respond to the true development needs of communities and populations around the world.

More information

Contact
Gonzalo Roza – gon.roza@fundeps.org
Agustina Palencia – agustinapalencia@fundeps.org

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What the G20 summit in Argentina left us

After a year of meetings and activities, between November 30 and December 1, the G20 Summit was held in the City of Buenos Aires, the first held in South America. It counted with the presence of the main world leaders; and although it was considered a logistical success by the national government, it did not produce great results in multilateral terms.

“Below, we offer a google translate version of the original article in Spanish. This translation may not be accurate but serves as a general presentation of the article. For more accurate information, please switch to the Spanish version of the website. In addition, feel free to directly contact in English the person mentioned at the bottom of this article with regards to this topic”.

The G-20 leaders summit organized this year by Argentina as president “pro tempore” of the forum took place in a context marked mainly by the trade war between the United States and China; and the internal difficulties that a large part of the leaders of the countries that make up the group are facing. Among them, undoubtedly highlight the civil protests that check the government of Emmanuel Macron in France, the accusations against Saudi Crown Prince Mohammed Bin Salman for the death of a journalist; and even the economic crisis facing the national government in Argentina, to which were added also the internal and external doubts regarding the capacity of the government of Mauricio Macri to organize an event of the magnitude of the G-20.

In any case, once the summit was concluded, the organization of the summit was considered a success by the government, and a final document was even signed (although its commitments are very lukewarm) despite the few probabilities that existed of achieving a consensus among member countries. The Declaration of the G20 2018 leaders emphasizes equitable and sustainable development as a challenge that all States face. Among the issues mentioned in the Declaration are the pillars on which the summit worked on a priority basis this year, at the decision of the Argentine government itself, namely: the Future of Work, Infrastructure for Development, Food Security and a perspective gender mainstreaming that covered the entire G20 agenda. The Declaration also mentions in certain passages certain international commitments regarding Climate Change and the Paris Agreement (although the United States expressed in the Declaration its decision to withdraw from the Agreement); international financial institutions and the need to strengthen the IMF and the World Bank; gender equality and access to health, among others. Regarding Infrastructure, the Declaration states: “In order to address the persistent infrastructure financing gap, we reaffirm our commitment to attract private capital for investment in infrastructure. To achieve this, we endorsed the Roadmap to Infrastructure As an Asset Class “

Recall that the G20 is an international forum that is composed of 19 states and the European Union: Germany, Saudi Arabia, Argentina, Australia, Brazil, Canada, China, South Korea, the United States, France, India, Indonesia, Italy, Japan , Mexico, Russia, United Kingdom, South Africa and Turkey. Spain is a permanent guest. In addition, the country that chairs the forum elects other guests, and for this year Argentina invited Chile and the Netherlands.

The work areas of the G-20 are: finance, agriculture, anticorruption, trade and investment, development, digital economy, education, employment, health, climate sustainability and energy transitions.

Although the Summit in Buenos Aires did not produce resonant agreements at the multilateral level, the event was without doubt positive for the national government, which comes out strengthened by the organization without major inconveniences of the event; and above all, by the agenda of meetings and bilateral agreements with other nations that took place in the framework of the Summit. Thus, the government of Cambiemos managed several bilateral meetings and closed a series of investment and commercial agreements with the purpose of promoting the country’s economic development. Thus, of the 17 bilateral meetings that the government carried out and the more than 50 agreements signed, the following stand out:

  • 30 commercial agreements between China and Argentina that represent around 5000 million dollars. The Joint Action Plan signed covers issues related to investments, infrastructure, railways, thermal energy, solar, wind, mining, health, transportation and education, among others. They include the commercial contract to reactivate the San Martín Cargas railroad, whose initial investment will be 1089 million dollars and will be in charge of the Chinese company CRCC (China Railway Construction Corporation Limited); and the signing of protocols for the entry of standing equines, sheep and goats from Patagonia to China and a sanitary protocol to export Argentine cherries.

  • In turn, with China, investment agreements were also signed for projects of Public-Private Partnerships (PPPs) in the area of ​​energy and transport (routes); and it was agreed to expand the swap (exchange) of currencies in the amount of 60 billion yuan (equivalent to 8,600 million dollars) that will be used to strengthen the reserves of the Central Bank.

  • With the United States, the most relevant agreement was reached with the letters of intent signed with the investment agency of the United States, Overseas Private Investment Corporation (OPIC), which is expected to mobilize more than 3 billion dollars. Some of these letters of intent with the OPIC contemplate the financial backing for the PPP project of the C Corridor section (Buenos Aires-Mendoza); and projects on solar energy (the Ullum I, II and III projects); wind energy (North Chubut III and IV); wind energy (Cañadón León wind farm in Santa Cruz); and works for a gas pipeline in Vaca Muerta.

  • With France, a financing agreement for 360 million dollars was made to recover the capacity of maritime naval patrols, and agreements in the cultural and educational field.

  • With the European Investment Bank, it was agreed to finance expansion and improvement works in potable water services for the metropolitan area and the suburbs of Buenos Aires; and the consolidation of the Integral Management of Residues and Energy Valorization in Jujuy.

  • The Heads of State of Japan and Argentina signed a Bilateral Investment Treaty between both countries, which aims to encourage Japanese investments in various sectors of the Argentine economy.

  • With the Russian Federation, a Fisheries and Aquaculture Agreement and a strategic document on the cooperation between Argentina and Russia in the field of the peaceful use of nuclear energy were signed.

Beyond the Summit

It is worth remembering that the Summit held in Buenos Aires was just the end of a much more extensive process that began at the end of November 2017 when Argentina assumed the “pro tempore” presidency of the G-20 at the end of November 2017 and culminated with the transfer of it to Japan. During the course of this year numerous meetings and events were held within the framework of the G20, as well as intense work in each of the affinity groups of the forum: Business 20 (B20, which encompasses the private sector); Civil 20 (C20, which includes civil society); Labor 20 (L20, which includes unions and workers); Science 20 (S20, which encompasses the scientific community) Think 20 (T20, which includes Think Tanks and the academic community); Women 20 (W20, which includes women) and Youth 20 (Y-20, which includes young people).

In the case of FUNDEPS, we actively participate in Civil 20, where we co-coordinate, together with Eurodad, one of the 8 working groups of the C20 for this year: the Investment and Infrastructure group. During the course of the year the group worked virtually and even met twice, both for the meeting of working groups and for the Summit of the C-20 held in Buenos Aires in April and August respectively. The result of the work of the working groups of the C20 was reflected in a document with policy recommendations, which was delivered to President Macri during the C20 Summit and constituted an input from civil society for the discussions that took place in the frame of the G-20.

More information

Declaración de Líderes del G20. Construyendo consenso para un desarrollo equitativo y sostenible

Página oficial del G-20

Página Oficial del C20

Policy Pack: Recomendaciones del C20 al G20 de 2018

Documento del sub-grupo sobre Financiamiento de Infraestructura

Documento del sub-grupo sobre Conducta Empresarial Responsable

La sociedad civil presenta recomendaciones al G20 en la Cumbre del Civil-20 – FUNDEPS – 15/08/2018

La sociedad civil se reunió en el C20 – FUNDEPS – 17/04/2018

G20 dejó acuerdos con intención de inversiones por u$s 8.000 millones – ámbito.com

Expectativa y realidad de los acuerdos económicos de Argentina en el G20 – Noticias

Authors

Macarena Mustafá – Sofía Brocanelli

Contact

Gonzalo Roza / Coordinador del Área de Gobernabilidad Global
gon.roza@fundeps.org

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We present a report on the human rights situation in Argentina before the IACHR

On October 30, the Inter-American Commission on Human Rights (IACHR) published a communiqué inviting civil society organizations and other interested social actors of the Organization of American States (OAS) to send information on the situation. of human rights in the region. This information will be used for the preparation of chapter IV A of the annual report of the IACHR corresponding to the year 2018 that will be presented to the General Assembly of the OAS.

“Below, we offer a google translate version of the original article in Spanish. This translation may not be accurate but serves as a general presentation of the article. For more accurate information, please switch to the Spanish version of the website. In addition, feel free to directly contact in English the person mentioned at the bottom of this article with regards to this topic”.

Each year, the Commission produces an annual report on the human rights situation in the region, reflecting the trends, challenges, advances and good practices that have occurred in the area of ​​human rights in the OAS member states during the year.

For the Annual Report of 2018, the Commission will emphasize the following axes: Democratic Institutionalization, Institutionality in Human Rights, Access to Justice, Citizen Security and Right to the Environment.

Together with lawyers and lawyers from the Argentine Northwest on Human Rights and Social Studies (ANDHES) we present a report on these axes in the areas we work on:

Institutionality in human rights

1. Hierarchical reduction of National Ministries of Environment, Culture, Health, Labor and Modernization and Communication
2. National Budget 2019
3. Comprehensive Sexual Education Law in danger

Access to justice

1. Preoccupation with the draft bill on collective processes
2. Access to the right to abortion in Argentina – Delay of justice in the case of Portal de Belén (by non-punishable abortion protocol in the province of Córdoba)
3. Access to justice for the elderly

Citizen security

1. Institutional Violence in Tucumán
2. Absence of mechanisms to prevent torture in Tucumán

Right to the Environment

1. Affectations to the right to health caused by the use of agrochemicals
2. Concern over project to amend the seed law
3. Failure to comply with the consultation and free, prior and informed consent of provincial law No. 5,915 to the detriment of the environment and the right to life and territory of indigenous communities in Jujuy.
4. Chinchillas Mining Project and the Pozuelos Lagoon in Jujuy
5. The indigenous community of Solco Yampa and the indiscriminate felling of trees in the province of Tucumán
6. Murder of Javier Chocobar in Tucumán

The cases presented in this report give an account of a general situation of regression of the fulfillment of human rights by the Argentine State. The exposed situations of vulnerability are particularly worrisome because they are part of a regional socio-political crisis context. In order to avoid the impact of cuts, the noncompliance with international standards and the promotion of public policies that do not attack the roots of structural inequality impact fully on the populations that are already in a situation of vulnerability, we ask the IACHR to publicly express concern about the state of compliance with human rights in the country.

More information

Contact

Mayca Balaguer, maycabalaguer@fundeps.org

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Business activity and women’s rights in the United Nations agenda

We participated in the call of the Working Group on the Gender Perspective in the United Nations Guiding Principles on Business and Human Rights, in order to comment from our experience on the relationship between business activities and women’s rights.

“Below, we offer a google translate version of the original article in Spanish. This translation may not be accurate but serves as a general presentation of the article. For more accurate information, please switch to the Spanish version of the website. In addition, feel free to directly contact in English the person mentioned at the bottom of this article with regards to this topic”.

The Working Group on the issue of human rights and transnational corporations and other companies, operating within the framework of the United Nations, made a call for civil society organizations to send their comments on the relevant issues regarding impact. of business activity in the human rights of women. For this, we elaborate comments from the point of view of our work agendas, to comment on the situation of health impacts, on the participation of women in companies, and on women and the media.

First, we address how women experience the impact of human rights abuses related to companies differently and disproportionate, exposing the cases of the tobacco industry and breast milk substitutes. Both industries, with their particularities, have aggressive marketing strategies. The tobacco industry especially targets young women in cigarette consumption through strategies such as flavored cigarettes or “light” or sponsorship of fashion events. On the side of the breast-milk substitution industry, they also operate with misleading marketing and labeling strategies on the characteristics of the products, as well as having great interference in public policies – in a situation of conflict of interest – discouraging breastfeeding. maternal and its replacement by the formula from an early age.

On the other hand, financing for development provided by international financial institutions to the private sector also has environmental, social, health, access to infrastructure and housing, and indigenous rights, which affect women in particular. The IFIs in general have difficulties and failures in the implementation of their policies, and particularly in the design and application of gender policies. We emphasize then that policies in general, and particularly those on gender, should be strengthened so that they establish clear guidelines for clients (especially companies and other private entities) to apply differentiated impact assessments, and also strengthen accountability mechanisms to give effective remedies when there are negative impacts.

Finally, we also exposed all the difficulties and barriers that women face to participate in jobs in the private sector, with information obtained through our research on equal opportunities for women and LGTTBIQ + people in companies, unions and universities. We also send recommendations on how media and advertising industries could fight against gender stereotypes and the disempowerment of women.
More information:
Carolina Tamagnini – carotamagnini@fundeps.org