Pitfalls and Pipelines - Philippine Indigenous Peoples Links

Appendix 2: Report of the International Expert Group Meeting...
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(IFC) for extractive industries and hydro-electric dam projects.
This poses serious threats to indigenous peoples whose
lands and territories are being eyed by the industry for extraction.
Hydro-electric dam projects are closely linked to extractive
industries because this is the source of energy used by the
industry. This development is undermining the pronouncements
the World Bank Group in relation to its contribution
in addressing climate change. Whatever resources alloted to
climate change projects and impacts gained through projects
supported by the World Bank Group will be undermined by
the bigger loans extended for extractive industries.
52. It was noted that the Asian Development Bank is currently
updating its safeguard policy on Indigenous Peoples. While
indigenous peoples appreciate the efforts of the ADB to consult
with them, the issue of inclusion of the requirement of
FPIC in this policy has been strongly advocated by them has
been disappointing. The scope of FPIC in the current draft
policy is limited and therefore not consistent with the UN
Declaration on the Rights of Indigenous Peoples.
53. Opposition to the adoption of FPIC requirements for IFIs
often comes from IFI board members, which are the governments
that both provide money and receive assistance from
the banks. Several of the governments that do not wish to see
FPIC implemented nationally are not willing to support it at
the IFI level either.
54. One additional obstacle to the requirement of the enforcement
of FPIC and the UN Declaration on the Rights of
Indigenous Peoples at IFIs is the reality of the financial system
right now. In addition to the traditional financial actors, new
powerful banks are emerging. These banks do not have standards
as strong as the IFIs or are still in the process of developing
their standards. As a result, governments can choose
which bank to go to – one with standards or one without.
55. IFIs could play an important role in setting international
environmental and human rights standards concerning
extractive industries. Participants noted that, if IFIs seek
to influence the mining laws of states, they should do so in
an open and transparent manner, inviting full civil society
participation.