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27 january 2003
bp builds mistrust in the caspian
region
NGOs criticize BP for failing to attend a
public discussion about its controversial
Baku-Tbilisi-Ceyhan oil pipeline in the
Caspian region.
This morning the Public Eye on Davos
hosted a public panel about the social,
environmental and human rights impacts of the
multi-billion dollar Baku-Tblisi-Ceyhan oil
pipeline. This project would tap off-shore
oil Caspian resources in Azerbaijan and
transfer them through Georgia and Turkey to
Ceyhan on the Mediterranean Sea. The U.S.
administration-supported project, which would
trigger $14 billion of investment in Caspian
oil and gas development, would have the
effect of decreasing Russian and Iranian
influence on Caspian resources.
John Browne, CEO of BP, the lead sponsor
of the project, has declared that the
pipeline will be economically viable only
with the support of "free public money" from
international financial institutions, such as
the World Bank Group and export credit
agencies. The intergovernmental agreement
governing the project overrides all national
legislation in the three host countries
except for the national Constitutions. By
signing these contracts under corporate
pressure, the three countries have
effectively abrogated their executive and
legislative abilities to protect their
citizens from the pipeline's potential
environmental damage and associated health
and safety risks.
In light of harsh criticism from affected
communities and international groups, BP is
facing difficulties in arranging the
financing for the controversial project, and
Lord John Browne did not accept the
invitation by the Public Eye to speak on the
panel. The company is trying to establish a
behind-closed-doors dialogue with
London-based groups from its headquarters in
London, but is avoiding public confrontations
on major public concerns regarding the
pipeline.
'It is a quite disappointing that BP is
not willing to accept a public debate in
western countries with concerned groups from
the region,' said Keti Guiaraidze from Green
Alternative in Georgia. 'We saw how BP
directly interfered with internal political
affairs in Georgia during the environmental
licensing process for the project. Locally
affected communities are becoming more and
more suspicious that the pipeline might
really benefit ''local elites/the sponsors'',
and doubt that BP and its partners will be
able to stick to their development
promises'.
Commenting on the atmosphere within the
WEF, BP Chairman Peter Sutherland noted the
'sadness' spreading in the congress centre
over the current global economic and
political situation. 'BP should also face the
sadness in the Caspian region from oil
investments that have never produced real
development benefits for local people,'
stated Antonio Tricarico from Campaign to
reform the World Bank in Italy.
'BP is scared to face a debate about the
outrageous conditions which were imposed on
host governments that signed the project
agreement. This a clear example of corporate
colonisation which will increasingly generate
mistrust in oil companies' behaviour'.
For further information:
Kety Gujaraidze, Green Alternative for the
Georgian Republic: email:
greenalt@wanex.net
;
greenalt@caucasus.net
mobile: ++995 32 99947054
Antonio Tricarico, Reform the World Bank
Campaign, Italy: email:
atricarico@crbm.org
mobile: ++39 328 8485448
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