Stakeholder Engagement for Responsible Investment

Wednesday 22 June13.30 – 17.00

Yellow Lotus Room B

Workshop Agenda

13.30 Group understanding13.45 Presentation14.00 Panel Session – Bryson and Chloe14.50 Coffee break

15.15 Panel Session – Chris and Martin15.50 Working with guidelines from an

implementation perspective.16.30 Report back on group findings16.45 Group evaluation

Session Objectives

1. To share with participants updates on various Private Sector Engagement approaches.

2. Provide space for discussion to identify more effectively what opportunities are applicable.

Overview

1. Framing Effective Engagement for Responsible Investment

2. Key Guidelines and Principles3. Panel – approaches to engagement for improving

responsible investment in agriculture and forestry.

• MRLG conducted a short review of activities and relationships to better understand Private Sector Engagement in CLMV.

“We keep saying we want to work with private sector, but we don’t know what that means.” – community, NGO, INGO

“There are 20-30 NGOs/CBOs that say they are working in our area, but I live onsite over 90% of my time and I don’t see them.”

- Company

“Private sector engagement always focuses, mistakenly, on developers.” - INGO

Policy framework for agri-business investment

Investor Risk Assessment

Land identification for acquisition

Negotiation and Assessment

Mobilisation of investment plans

Entry points for support to responsible investment to support secure tenure and access to resource rights by communities.

Framework of Engagement for Responsible Investment

Key Observations

• Scale of activities is difficult to quantify and target, a very sporadic approach for engaging with companies.

• Narrow approach on developer, but …– is there capacity to scale up?

• Carrot and stick approach – trust issues when there has been limited long term relationship.

• Minimal success in establishing ongoing responsive partnerships.

Toolkits and Guidelines

• Agence Française de Devéloppement: Guide to Due Diligence of Agribusiness Projects that Affect Land and Property Rights http://www.foncier-developpement.fr/publication/guide-to-due-diligence-of-agribusiness-projects-that-affect-land-and-property-rights/

• CDC Group: Land in Investment: Navigating the Risks and Opportunities of a Challenging Agenda

• CCSI: Open Land Contracts http://www.openlandcontracts.org/

• FAO Technical Guide on Respecting FPIC, http://www.fao.org/3/a-i3496e.pdf

• FAO/OECD: Guidance for Responsible Agricultural Supply Chains www.oecd.org/daf/inv/investment-policy/rbc-agriculture-supply-chains.htm

• The Interlaken Group: Respecting Land and Forest Rights: A Guide for Companies http://www.interlakengroup.org/downloads/Brochure-df5d6d10218333e774828b3afc3b690b.pdf?vsn=d

Toolkits and Guidelines

• IFC: Performance Standards on Environmental and Social Sustainability www.ifc.org/wps/wcm/connect/topics_ext_content/ifc_external_corporate_site/ifc+sustainability/learning+and+adapting/knowledge+products/publications/publications_handbook_pps

• New Alliance: Analytical Framework for Land-based Investments in African Agriculture www.ifc.org/wps/wcm/connect/topics_ext_content/ifc_external_corporate_site/ifc+sustainability/learning+and+adapting/knowledge+products/publications/publications_handbook_pps

• TMP Systems: IAN: Diligence Analysis: Agriculture www.ifc.org/wps/wcm/connect/topics_ext_content/ifc_external_corporate_site/ifc+sustainability/learning+and+adapting/knowledge+products/publications/publications_handbook_pps

• World Bank/UN Conference on Trade and Development (UNCTAD): The Practice of Responsible Investment in Larger-scale Agricultural Investments

• Certifications – FSC, RSCO +++

Panel

• Bryson Ogden, Rights Resources Initiative• Chloe Christman, Behind the Brands, Oxfam• Chris Smithies, Earth Systems• Martin Greijmans, RECOFTC

The Interlaken Group

• Can you provide a brief timeline on the establishment of the Interlaken Group

• What has been the most innovative outcomes since: – Forming the Interlaken Group and;– publishing the ‘Guide For Companies’

• How is it being promoted to attract greater buy-in? What is most difficult in doing this?

Q&A

Behind the Brands

• Behind the brands 2013 major commitments by Coca Cola and Pepsi to land issues – what kicked this off, how did Oxfam start the engagement? Were other companies targeted, or was is specific only to CC-Pepsi?

• Are the companies on track for the 2020 commitment?

• How are these large companies playing their role as advocates to other localised industries?

Q&A

Implementation / Compliance Service Provider

• How well does your organisation understand and practice the principles of the VGGTs, particularly in the work of ESIA? (opportunity here to explain your QDF Private Sector Working groups).

• What resources in your field work do you see for monitoring compliance or investors, communities etc?

• What do you see as the major stumbling blocks to improve compliance?

Q&A

Private Sector Engagement Approach

• In your key role to protect people and forests, what are the key challenges that RECOFTC face in terms of investors accessing forests?

• What is unique about RECOFTCs advocacy approach, and how do you assist/empower forest communities to enter the value chain and provide added value? REDD+ GIZ/RECOFCTC FPIC guidebook – where to from there?

Q&A

New Alliance provides a framework of Recommendations for Companies

(based on VGGTs)

• Understanding, identifying and recognising rights• Assessing potential direct and indirect impacts on tenure

rights• Mitigation measures• Participation and consultations• Negotiations and contracts• Access to a mechanism to resolve grievances and disputes• Non-judicial, company based complaint mechanisms • Transparency | Human

Rights• Corruption |

Environmental Sustainability• Food security | Local capacity

building to

support rural development.

Discussion on 4 key Thematics

• The recommendations are for investors. • If we are trying to encourage Private Sector to BE more

responsible …– What specific actions and/or contributions can your organisation

make.– What can be done to encourage a more enabling environment for

companies to act responsibly.• Divide into 4 groups to reflect on 1 thematic. • 1 person will play the role of the company, others will suggest

actions.• 1 person nominated to report back on the challenges to the

group. • A panellist will support the moderation of the group.

What are some specific strategies / questions / approaches that YOU CAN DO on these thematic areas:

• Assessing Potential Direct and Indirect Impacts of Tenure Rights– Consider how the land will be acquired.– Consider project models that do not involve the transfer of

land or at least the minimum land needed. – Consider impact on legitimate local land rights– Consider impact on women, youth, or other vulnerable

such as pastoralist.– Ask whether it is planned to involuntary displaced people.– Monitor land tenure conflicts or violence in the area.

What are some specific strategies / questions / approaches that YOU CAN DO on these thematic areas:

• Participation and Consultation – Identify all possibly affected land uses– Create a stakeholder engagement plan– Engage early, during and after any project– Do not overlook vulnerable groups inside the communities– Share information in a timely manner and be transparent

about impacts– Ensure there is no intimidation and consultation is

conducted wit ha climate of trust– Ensure that counterparts have sufficient capacity to

engage into meaningful participation and consultation.

What are some specific strategies / questions / approaches that YOU CAN DO on these thematic areas:

• Negotiating and Contracts– Ensure local legitimacy of the persons involved in land negotiations– Consultations must be voluntary– Do not discriminate against or in favour of certain groups – Be culturally appropriate– Be inclusive – Be open and honest– Results in decisions reached collaboratively– Obtain consent from indigenous peoples– Get support from the other affected persons/groups (to mitigate the

risks of long term conflicts)– Define duities and diligences of all persons/parties involved in land

negotiations.

What are some specific strategies / questions / approaches that YOU CAN DO on these thematic areas:

• Access to a mechanism to resolve grievances and disputes– Access to a mechanism to resolve grievances and disputes must

be provided to deal with infringements of legitimate tenure rights.

– The mechanism should contain effective and accessible means for all parties to resolve disputes over tenure rights and to provide affordable and prompt enforcement of outcomes.

– The mechanism can involve judicial authorities or other approaches.

– Mechanism should be set up in consultation with the affected communities.