Corruption & Environmental Degradation Client Briefing May 3, 2006 Jessica Dillon, Karma Ekmekji,...
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Transcript of Corruption & Environmental Degradation Client Briefing May 3, 2006 Jessica Dillon, Karma Ekmekji,...
Corruption &Environmental Degradation
Client BriefingMay 3, 2006
Jessica Dillon, Karma Ekmekji, Annie Feighery, Rachael Garrett, Matt Gray, Taki Johnson, Suzanne Jones, Thomas Legge, J.P. Leous, Arezou
Raeisghasem, Karen ReillyAdvisor: Professor Sara Tjossem
A project for:Transparen
cy Internation
al
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Overview
• Our project• Environmental governance• Sector analysis• Conclusions• Recommendations
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• Politics• Public contracting• Private contracting• International conventions• Access to information• Aid and corruption• Education• Health
Introduction
Environment
For over a decade TI has been a leader in combating corruption and promoting good governance in:
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Corruption Defined
“Corruption is the misuse of entrusted power for private gain”
– Transparency International
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Costs of Corruption
• Obstructs democracy• Inhibits development• Leads to apathy and distrust• Degrades the environment
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Our Project
1. How does environmental corruption occur?
2. What are the costs of environmental corruption?
3. What are the areas for intervention?
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Methodology
• Looked globally & by sector
• Reviewed existing studies on corruption, good governance, and conservation
• Researched cases through media and social justice organizations
• Conducted face-to-face and phone interviews
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Global Hotspots and Corruption
Low CPI score = High Perceived Corruption
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Tropical Andes
Guinean Forests
Sundaland
Caucasus
Mountains of Southwest China
Hotspots Analyzed in this Report
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Sectors: InfrastructureDams
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Sectors: Renewables
Logging
Poaching
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Sectors: Non-renewables
Mining
Oil Extraction
13Social and Economic Welfare
Environmental
wellbeing
Political Factors
Economic Factors
Social Factors
Geography and Resource Base
Environmental Governance
Corruptio
n
Corruption
Feedback
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14Social and Economic Welfare
Environmental
wellbeing
Political Factors
Economic Factors
Social Factors
Geography and Resource Base
Environmental Governance
Corruptio
n
Corruption
Feedback
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Findings: Infrastructure
How corruption occurs:– Project design– Disbursement of funds
Costs of corruption:– Misallocation of funds– Ecological damage – Displacement
Areas of intervention:– Transparency in project development
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Case Study: Pubugou Dam in China
1) How corruption occurred:
•Chinese industries
•Local officials
•Misappropriation of funds
2) Costs of corruption:
•Substandard living conditions
•Environmental degradation
3) Interventions:
•Improving disclosure
•Facilitating public appeal process
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Findings: Renewables
How corruption occurs:– Weak enforcement of regulations – Demand for illegal products in export
markets
Costs of corruption:– Floods, landslides, and forest fires– Species loss
Areas of intervention:– Community action– Local watch groups– Certification
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Case Study: Logging in Cameroon
1) How corruption occurred:
•International logging companies
•Concessions
•Unsustainable logging practices
2) Costs of corruption:
•Increased road building
•Forest degradation
•Species loss
3) Interventions:
•Code of conduct
•Certification of timber
•Technical assistance to government 18
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Findings: Non-Renewables
How corruption occurs:– Concessions and contracting– Large discretionary cash flows– Weak enforcement of regulations
Costs of corruption:– Pollution and species loss– Human health impacts
Areas of intervention:– Extractive Industries Transparency
Initiative
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Case Study: Oil in Ecuador1) How corruption occurred:
•Chevron-Texaco
•Ecuadorian judiciary
•Illegal dumping
•Cover-up of impacts
•Inadequate compensation
2) Costs of corruption:
•Pollution
•Cancer and birth defects
3) Interventions:
•Increase media exposure
•Facilitate public appeal process 20
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General Findings
1. Environmental corruption is prevalent where:
– Economic development is low– Democratic traditions are weak– Governance structures are weak
2. Monopolies create opportunities for corruption
3. International demand drives corruption
4. Countries dependent on natural resource extraction experience high levels of corruption
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Policy Recommendations
1. Prioritize preventative over reactive advocacy
2. Expand TI’s existing information network
3. Expand education, TI’s seventh global priority, to include the environment
4. Establish collaboration with conservation and environmental organizations
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Summary
1. How does environmental corruption occur?– Project planning, contracting, legislation,
enforcement, and bribery
2. What are the costs of environmental corruption?– Pollution, species loss, displacement, and human
health impacts
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Summary
3. What are the areas for intervention?– Local empowerment– Public access to important
information
These linkages indicate that the environment should be the subject of a future Global Corruption Report.
– Development of uncomplicated and unambiguous rules
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Questions?
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Areas for Further Research
• Internet publications of environmental disclosure documents
• Corporate self-regulation and self-monitoring
• Utilization of geospatial technologies
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Credits• Template mining:
http://eesc.orst.edu/salmon/images/mining.jpg• Columbia University logo:
http://www-unix.mcs.anl.gov• Transparency international logo:
http://www.emins.org • Logging:
http://www.landscouncil.org/fwatch/pre-myrtle%2520creek%2520pix/&h=681&w=1006&sz=164&tbnid=Tdzr05ZFJ2YULM:&tbnh=100&tbnw=149&hl=en&start=2&prev=/images%3Fq%3Dlogging%26svnum%3D10%26hl%3Den%26lr%3D%26sa%3DG
• Dams: http://www.hamptonhillps.org.uk/exhibition/2004/dams.jpg
• Mining:http://www.hdprint.co.uk/ftp/Colorado/331%20-%20Old%20mining%20facility.jpg• Oil pond:http://www.rainforestweb.org/images/cat/texacopond-big.jpg• Axis of Oil: http://earthhopenetwork.net/bush%20art/bush_axis_of_oil.jpg• Global Corruption Report: http://www.beheard.com/beheard/images/items/0745323960.jpg• Title Page and questions slide:http://www.chevrontoxico.com/• Case Study: Oilhttp://www.michiganpetroleum.com/texaco.jpghttp://www.alpineascents.com/graphics/flags/ecuador-flag.gif• Case Study: Logging
http://www.forestmonitor.org/reports/solddownriver/cameroon.htm• Case Study: Dams
www.eng.ucalgary.caenglish.epochtimes.com