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Mise En Page 1 CouvFocales_N9_GB_BAT_5 24/11/12 2:28 Page 1 FOCALES [ November The environmental challenges 2012 ] facing a Chinese oil company in Chad The surge in Chinese investments in Africa has brought about a flurry of questions expressing concern over their ecological impact in the host countries. Still, the principles and implementation of environmental management by Chinese firms remains largely 09 unknown.This work, born of a unique partnership between European, Chadian and Chinese researchers, is an attempt to provide some insight on this subject, based on a case study in Chad, on a project that was initiated in 2009 by the leading Chinese petroleum firm, the CNPC. For an understanding of the way in which the firm deals with the environmental challenges in this country, this book first focuses on the recent progress made in China in the field of public and private environmental regulation (including the petroleum sector), then describes how this influences environmental management as put into effect by the CNPC, in Chad, 2012 during the construction phase. An analysis of the influence of the World Bank- backed Exxon project sheds light on the interaction between Chinese, Chadian and Western ember approaches to environmental issues. The authors have also highlighted the role of impro- v ved communications and transparency between the project proponents and other No stakeholders (local communities, civil society, national media). d The environmental EDITED BY Geert van VLIET, Researcher, CIRAD y in Cha challenges facing a Chinese Géraud MAGRIN, Researcher, CIRAD ompan oil company in Chad Edited by cing a Chinese oil c Geert van VLIETResearcher, CIRAD Géraud MAGRIN Researcher, CIRAD tal challenges fa onmen vir FOCALES The en FOCALES 09 The environmental challenges facing a Chinese oil company in Chad EDITED BY Geert van VLIETand Géraud MAGRIN Focales The Focales collection was launched in 2010 by AFD’s Research Department. It aims to give accounts of the field experiences of AFD or its partners (experts, researchers, consultants, practitioners…) in developing countries. The publications in this collection present practical case studies (projects, experiments, partnerships…) putting them into a broader perspective.They may also present reflection on a sectoral or geographical issue which is always supported by concrete results. They are intended to cover all the sectors and fields of action of AFD. Previous publications in the collection (see page 247). All our publications are available at http://recherche.afd.fr [ Disclaimer ] The analyses and conclusions presented in this document are the responsibility of the author(s). They do not necessarily reflect the position of Agence Française de Développement or its partner institutions. Director of Publications: Dov ZERAH Editorial Director: Alain HENRY Photo Credits: R. DITTGEN, G. MAGRIN Translation: Poonam RAGUNATH COZON, Gill GLADSTONE Design and production: Ferrari /Corporate – Tel.: 33(1) 42 96 05 50 – J. Rouy/ Coquelicot Printed in France by: STIN List of Authors Romain DITTGEN, Doctoral candidate Paris 1, joint Research Unit (UMR) Research Cluster for Geographic Data Organisation and Dissemination (PRODIG), temporary lecturer at Panthéon-Sorbonne Paris-1 University Antoine DOUDJIDINGAO, Researcher, Alternative Research Group for Monitoring Oil Project – Chad-Cameroun (GRAMPTC) LIANG Guohuang, Student, University of International Business and Economics (UIBE,Beijing), School of International Trade and Economics (SITE), Department of Economics LIN Yiran, Masters student in International Relations, Sciences Po, Paris Géraud MAGRIN, Researcher, Centre for International Cooperation in Agronomic Research and Development (CIRAD), Department of Environment and Society, Joint Research Unit (UMR) Territories, Environment, Teledetection and Spatial Data (TETIS); Joint Research Unit (UMR) PRODIG Gilbert MAOUNDONODJI, Director, GRAMPTC Marie-Adeline TAVARES, Doctoral candidate, Panthéon-Sorbonne Paris-1 University, UMR PRODIG Geert van VLIET, Researcher, CIRAD, Joint Reserach Unit (UMR) Actors, Resources and Territories in Development (ARTDEV) WANG Fan, Student, UIBE, SITE, Department of Economics YANG Weiyong, Professor, UIBE, SITE, Department of Economics This book is the fruit of research funded by the French Development Agency (AFD), in partnership with the CIRAD (Montpellier, France), UIBE (Beijing, China) and the GRAMPTC (N'Djamena, Chad). 3 © AFD /November 2012 /The environmental challenges facing a Chinese oil company in Chad Acknowledgements Numerous persons and institutions contributed to the research that resulted in this book. Contact with Mr Ge Ying and our other colleagues at the UIBE would not have been so easily established were it not for the earlier networks set up over the years in China by Prof Mary Françoise Renard and her team (CERDI/IDREC, University of Auvergne). Mr Xu Zelai (China-Africa Development Fund) and Mr Zhang Min (China-Africa Investment and Development Corporation), who guided us during the inaugural mission in China. Mr Tian Wenhui (China National Petroleum Cor-pora- tion, CNPC, and Mrs Zhao Qizhi (China National Oil and Gas Exploration and Development Corporation, CNODC) gave us a very warm welcome at the CNODC headquarters in Beijing. Dr Ge Chazhong and Mr Jiang Hongquiang (Chinese Academy for Environmental Planning) made us a presentation of the main challenges of envi- ronmental regulations in China. Mr Rémy Mbatna Krazidi (Press Officer, Embassy of Chad in Beijing) was of invaluable assistance to us. Ms Zheng Yiran and Ms Yu Jing (students at the UIBE) accompanied us during interviews in Beijing. In Chad, Mr Ismaël Moctar, Director, ISM Consult, provided us with invaluable assistance and was our guiding spirit right through the design and development of the project. Mr Huang Mingyuan, Economic and Financial Counsellor at the Embassy of China, explained the cooperation policies and stakes between China and Chad to us, with much forbearance and conviction. We are also grateful to Dr Dou Lirong (Chief Executive Officer, CNPC International Chad) and Engineer Wang Bo and Engineer EuWei (in charge of the Health, Safety and Environment Department, HSE), as well as their col- leagues in charge of this CNPC's community relations. We would also like to express grateful thanks to Mr Scott Miller (General Manager, Esso Exploration and Production, Chad), Yolla A. Zongre (Public Affairs Manager, Esso Exploration and Production, 4 © AFD /November 2012 /The environmental challenges facing a Chinese oil company in Chad Chad) and Théophile Pinabei (Environmental Management Plan Supervisor, Esso Exploration and Production, Chad), and their colleagues for their time and discussions of our hypothesis and outcomes. Our thanks again to the Chadian civil servants in the Ministries of the Environment, Oil and Mines for their interest in this research, and to all the other civilians we met. We would like to thank Mrs Corinne Brunon- Meunier (representative a.i. of the AFD in Chad), Mr Jean-Marc Pradelle (represen- tative of the AFD) and Mr Mahamat Assouyouti (AFD, Chad) for their ceaseless assistance particularly in establishing necessary contact with the Embassy of China. Finally, we are extremely grateful to Mrs Cécile Valadier and Mr Ludovic Cocogne (Research Department, AFD) who shouldered the responsibility for this project and succeeded in mobilising the necessary funding for an unusual and sensitive topic. The authors 5 © AFD /November 2012 /The environmental challenges facing a Chinese oil company in Chad Foreword This book is one of the outcomes of the work carried out within the network for Applied Research on Mining, Oil and Gas Activities (NARMA).[1] Several members of this network, including the coordinators of this book, participated between 2007 and 2009 in the work carried out by the independent scientific panel on oil and gas activities in the Islamic Republic of Mauritania. [2] Little by little, this panel's work led to the conclusion that our customary references in environmental oil regulations, borrowed from major Western firms, were inadequate to deal with Chinese companies.Thus, during discussions with CNPC's representatives in Mauritania, it became obvious that we knew virtually nothing about the way Chinese public oil companies managed the environmental aspect of their business, particularly when working outside China, and especially in Africa. We were therefore completely unprepared. It was this awareness that sparked off the research project on the CNPC in Chad, the main results of which are presented in this book. It was undertaken in partnership with the CIRAD, UIBE and the GRAMPTC and with help from the CERDI and IDREC. The research was funded by the AFD. We have sought to present a work that makes up a consistent whole while also providing for an individual reading of the various chapters. Geert van Vliet and Géraud Magrin [1] The NARMA network encourages dialogue on extractive activities between resource persons in the corporate sector, governments, civil society and research. [2] The scientific panel was launched by the Mauritanian government with the backing of the Business and Biodiversity programme of the International Union for the Conservation of Nature (IUCN) and its office in Nouakchott (cf. van Vliet et al., 2008, 2009b). 6 © AFD /November 2012 /The environmental challenges facing a Chinese oil company in Chad Summary 9 Introduction 13 ts 1. The emergence of environmental regulations in China: its limits and implications for the
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