stetter certified trading chains iin mineral production standards
TRANSCRIPT
Certified Trading Chainsin Mineral Production – the Standard
Anna Stetter
BGR – Federal Institute for Geosciences and Natural Resources
Brasilia, October 7, 2008
8th Annual CASM Conference
Background for CTC Standard
Focus on Central Africa, address the problem of illegal trade of mineral resources.
Standards should be achievable, not over-ambitious.
Prioritize on the essential rather than being comprehensive.
Standards aim at improving key problems quickly.
• OECD Guidelines for Multinational Enterprises (2000)
• OECD Risk Awareness Tool for Multinational Enterprises in Weak Governance Zones (2006)
Principles for standard setting
Aim of this workshop
• Prioritize on draft standards: Which are essential, which could be postponed to a second phase.
• Drawing from experience with other certification initiatives: Is the implementation of CTC Standards realistic? Which ones could prove difficult to implement?
1. Transparency
2. Labour and working conditions
3. Security
4. Community Development
5. Environment
The CTC Standard
Five categories:
1. Transparency
1.1. Chain of custody: Produced and traded minerals are traceable.
1.2. Meet fiscal obligations required by host government law and publish all payments in accordance with the EITI standards
1.3. Actively oppose bribery and fraudulent payments
2. Labour and Working Conditions I
2.1. Salary / payment levels equal to or greater than those in comparable enterprises within the same country.
2.2. Ensure that no child labourers work on company sites
2.3. Support workers’ organizations and collective bargaining
2.4. Provide essential protective and production services to support the work of artisanal miners
2.5. Ensure occupational health in all company operations
2.6. Provide training for employees and contractors on safety, health and effective use of on-site facilities
2.Labour and Working Conditions II
3. Security
• 3.1 Provide sufficient and adequately trained security forces
• 3.2 Undertake security risk assessments
4. Community Development
4.1. Interact regularly with communities and local governments to address grievances / common concerns
4.2. Support local supply chains to company operations
4.3. Implement integrated development programs in nearby communities for livelihood security, social and physical infrastructure and capacity building
4.4. Obtain free, prior and informed consent before acquiring land or property
5. Environment
5.1. Carry out an environment impact assessment as the basis for developing an environmental management and protection plan and strategy
5.2. Properly treat or dispose of hazardous material and waste
5.3. Make provision for the full cost of rehabilitation upon closure
Indicators for compliance
Example: Levels of compliance to Standard 2.1
(Maintain salary or payment levels equal to or greater than those in comparable enterprises)
Gross salary of employees or pay provided to workers
4= exceeds those of comparable enterprises.
3= roughly equal to those of comparable enterprises.
2= modestly inferior to those of comparable enterprises.
1= significantly inferior to that of comparable enterprises.
0= is irregular and inadequate
Best practice
Checklist approach
Compliance mechanism
Transparency Standard
Minimum acceptible practicePass marks approach
CSER Standard
Thank you!
For more information:
Anna Stetter / Markus Wagner
Bundesanstalt für Geowissenschaften
und Rohstoffe
E-mail: [email protected] / [email protected]
www.bgr.bund.de
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