As an internet-based business my work can be quite anonymous. Often I never meet the people I am working for. The opportunity to meet clients is always welcome. This week a paper I had just edited about transparency in coal supply chains was the subject of a Political Cafe in Den Haag. A good opportunity to get out of Wageningen for an evening and to meet the faces behind the e-mails.
The paper was commissioned following the Dutch government's decision to allow the deregulated power sector to construct five new coal-fired power stations in the coming years. As the Netherlands doesn't have any working mines this will imply a massive increase in coal imports. (It also implies tying the country into a high level of fossil fuel dependency over the coming forty years - with implications for meeting targets for reducing greenhouse gas emissions). The main sources of coal for the Dutch energy sector are South Africa, Colombia and Indonesia; so Both ENDS commissioned civil society organisations (CSOs) in these countries to look at the environmental, social and human rights footprints of coal mining in these countries. The results were not pretty reading (the report is still in draft format - so i won't steal their thunder by giving anything away). The CSOs found a litany of environmental neglect, pollution, health problems and civil rights abuses (the latter two among both the workforce and surrounding communities). This is perhaps not much of a surprise - any country with a coal mining industry has seen these issues played out; establishing worker's rights, health and safety regulations and pollution controls. In many ways these have been defining moments countries' political histories. Think back to Aberfan (South Wales) or the Ludlow Massacre in Colorado.
These days (with the exception of Poland) hardly any coal is mined in the EU. Instead we rely on supplies from distant countries. And this means the problems become more distant. While there is some level of awareness and concern about the exploitation in plantation agriculture and the clothing industry the social conditions and environmental effects of extractive industries(which extend far beyond coal) often remain forgotten - possibly because these are 'hidden commodities' that go into power stations, mobile phones or whatever: that we as consumers don't purchase directly.
One of the main discussion points at the meeting was the extent to which Dutch electricity companies are meeting their (voluntary) requirements on transparency and corporate social responsibility - holding their suppliers responsible for meeting basic environmental, health and safety and human rights standards. The ensuing discussion revealed a clear lack of traceability along the supply chain - with buyers not able to trace back coal shipments to their original source. The industry representative argued that this was because the complex nature of coal trading. The (largely NGO type) audience felt it reflected a lack of will among companies to follow their supply chains back to source.
This then led to a discussion about where responsibility lies in a system of multi-level governance. Does it lie with with private companies (who have made individual commitments to corporate responsibility - which may or may not be so much greenwash)? Does it lie with the industry as whole - who can set down benchmark standards. Does it lie with government - who can make companies legally responsible for the actions of their suppliers (especially those that they have a large financial stake in)? Or, in an increasingly Europeanised energy market does t lie with the EU. These issues won't be resolved by one meeting but it was an interesting and topical can of worms to open.
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