ConocoPhillips has been a member of the Voluntary Principles on Security and Human Rights initiative since its inception in 2000. As a participating company, ConocoPhillips is committed to supporting and promoting the Voluntary Principles for Security and Human Rights in its operations. This commitment is aligned with our company’s human rights position and our related implementation activities.
Policies, Procedures and Related Activities
Relevant Policies, Procedures and/or Guidelines
Implementation of the company’s human rights position and our commitment to the Voluntary Principles is achieved through several processes and procedures applied at the project and business unit levels. These processes reinforce ConocoPhillips’ ongoing actions to meet our sustainable development commitments. Risk Assessments
The company has several processes in place to identify and manage potential health, safety, environmental, reputational, human rights, security and social risks over the entire lifecycle of the company’s assets. ConocoPhillips’ project authorization guidelines require that any new business venture identifies such risks, in addition to technical, commercial and political constraints. A new-venture project team must ensure that the identified risks and constraints are understood, documented and addressed in order for the project to obtain approval.
Our risk assessment capabilities enable us to:
- Identify security and human rights risks arising from political, economic, civil or social factors;
- Identify risks presented by the potential for violence;
- Assess human rights records in areas of potential company operations; and
- Evaluate the strength of institutions such as the legal infrastructure, and judicial and non-judicial mechanisms available to address human rights concerns, adherence to contracts, and other legal expectations.
Reporting Mechanisms: SD Scorecard
In order to identify environmental, social and human rights issues during project development, project teams use a sustainable development scorecard and assessments. This process is required for all projects that require board review and is strongly encouraged for all other projects. These tools remain active throughout the development phase of the project. As the project evolves, managers update and record new risks on a risk register. They incorporate steps to mitigate these risks into the development management plans and keep company management informed of how risks are being addressed. The scorecard uses a qualitative risk-based scoring system to assess whether our sustainable development commitments have been properly addressed during planning. It enables decision-makers to assess a project’s readiness to proceed to the next stage from a sustainable development perspective. During project development, the completed scorecard provides a concise visual summary of a project’s continued alignment with our principles. It also encourages project teams to take a life-cycle perspective by considering at the start of a project those issues that will become relevant during the operational and eventual decommissioning phases.
The scorecard fosters discussion of sustainable development issues among project team members, and between the project team and decision makers. These issues are logged into our risk tracking system for management throughout the project development process. In addition to the issues raised in the scorecard discussions, this process also enables the project team to set objectives for sustainability issues in each phase of the project. Associated with the scorecard are two additional important processes; a social and environmental impact assessment and a formal stakeholder engagement plan. These provide a baseline understanding of the existing social dynamics and environmental considerations within a location prior to our involvement, help identify important issues and potential effects that should be considered, and allow for continued learning as the project progresses. Health, Safety, Environmental and Social Assessments
We conduct assessments to identify how our business practices might affect communities and ecosystems in areas where project development is planned. By identifying specific issues and the requirements of the host country, we can assess potential impact and how those issues can be avoided or mitigated. In determining what issues to investigate during the assessment, we begin with the host country’s legal requirements, and supplement these as needed in order to address the issues covered by our company’s HSE standards and sustainable development commitments, including our human rights position. Once a project is ready for operation, the Health, Safety and Environment management system and other company sustainability programs help define company expectations and provide direction for managing environmental and social issues. It is the asset manager’s responsibility to direct asset sustainable development performance. Audits carried out by corporate and business unit staff are a key process by which we assure these expectations are being met. Security Audit and Compliance Program
Our company’s security audit and compliance program systematically evaluates all company operations to assure conformity with governmentally prescribed security mandates and company required security operational guidelines. This ongoing program identifies and internally reports on security operation non-conformities, including issues associated with the Voluntary Principles on Security and Human Rights, if any occur.
Country Implementation
ConocoPhillips provides tools to guide human rights implementation for departments including business development, major projects, project risk and review, and the sustainable development coordinators for our major upstream businesses. We have held human rights training workshops for our Project Development and Procurement groups, including our specific commitments under the Voluntary Principles on Security and Human Rights. For this training we customize the Human Rights Training Toolkit developed by the IPIECA Social Responsibility Working Group Human Rights Task Force, and utilize the company’s own internal guides on human rights and the Voluntary Principles.
Our commitment to uphold the Voluntary Principles continues throughout projects where we operate or have working interest. Here are some specific examples of how the Voluntary Principles are applied to operations in three key regions: Nigeria, Indonesia, and Algeria.
Nigeria
The Voluntary Principles on Security and Human Rights have been adopted by the Brass LNG joint venture and are incorporated into the Brass LNG Security Plan. The Voluntary Principles have also been incorporated into contracted project management requirements. The principles help guide active community involvement in addressing issues of common concern in the Niger Delta. ConocoPhillips is an investor in the Brass LNG project, but is not the operator. However, ConocoPhillips continues to work with the operator, Brass LNG Limited, and other project partners (Total, ENI and the Nigerian National Petroleum Company) in the Brass LNG Security Operating Committee to encourage the realization of the full benefits of the Voluntary Principles. The Brass LNG security manager communicates regularly on issues, and holds reviews on rules of engagement and the Voluntary Principles with Nigerian security forces. As part of its community relations plan, Brass LNG Limited as operator has set up forums to hear community feedback on the impact of security operations and has a process in place for reporting of any incidents. Indonesia
ConocoPhillips Indonesia continues to reinforce the company’s commitment to the Voluntary Principles with a focus on training, and contractor requirements and collaboration. Our Indonesian business unit requires that all security contractors endorse and follow the Voluntary Principles. This is included in all contracts throughout the Asia Pacific region. Security personnel, including contractors, complete training on the Voluntary Principles on an annual basis. In addition, guard contractors must ensure that all guards working for ConocoPhillips receive training in the Voluntary Principles. Algeria
ConocoPhillips Algeria is consistent with the Voluntary Principles in respect to our contract with our security provider. There is a provision in our current contract that addresses the Voluntary Principles, and they are also included as an appendix to the contract. The Voluntary Principles briefing is also included in our Security Training Matrix, and this specific training is conducted annually with our security contractor. Prior to weapons deployment at the Melilla Airport, contract security corporate staff and site personnel were engaged in respect to the Voluntary Principles.
Lessons and Issues
Drawing on learning gained over the past several years, we continue to emphasize best practices in the implementation of the Voluntary Principles using our knowledge sharing networks to communicate ConocoPhillips guidance, the Voluntary Principles Implementation Guidance Tool and other external resources such as the International Code of Conduct for Private Security Service Providers. We also engage businesses in “training for trainers” to broaden our internal capability and understanding of issues related to security and human rights. Finally, we actively participate in the IPIECA Social Responsibility Working Group, where industry guidance on these issues continues to evolve, and where companies share best practices and lessons learned through their experiences implementing human rights policies and positions.
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