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Participation in Benefit-Sharing Arrangements in the Komi Republic

Soili Nysten-Haarala; Ekaterina Britcyna; Minna Pappila

Participation in Benefit-Sharing Arrangements in the Komi Republic

Soili Nysten-Haarala
Ekaterina Britcyna
Minna Pappila
Katso/Avaa
RADPappila.pdf (82.00Kb)
Lataukset: 

Center for Security Studies (CSS)
URI
http://www.css.ethz.ch/content/specialinterest/gess/cis/center-for-securities-studies/en/publications/rad/rad-all-issues/details.html?id=/n/o/2/0/no_202_oil_company_benefit_sharing_in_th
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Julkaisun pysyvä osoite on:
https://urn.fi/URN:NBN:fi-fe2021042717213
Tiivistelmä

The oil industry is vital for the economy of the Komi Republic in Russia. It also benefits the municipalities
near oil production sites in terms of benefit-sharing agreements between oil companies and local authorities.
These agreements compose an important part of the corporate social responsibility (CSR) of oil companies
working in the Komi Republic, and in Russia in general. While this financial support is essential for
local communities, local people also primarily bear the negative environmental impacts of oil operations.
Yet, they rarely have a chance to participate either in environmental decision-making or in formulating benefit-
sharing agreements. This paper discusses why this is problematic, and demonstrates new developments
in Russian CSR practices: in 2015, the oil company Lukoil-Komi concluded a new type of benefit-sharing
agreement with the indigenous peoples’ association Izvatas. In addition to traditional social benefits, the
company agreed to consult the communities on new projects and committed to disclose information about
oil leaks publicly. This more recent type of benefit-sharing arrangement incorporates elements of local participation in environmental issues into the prevailing form of philanthropic and paternalistic CSR practices.

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