Implementing Corporate Social Responsibility In South Sudan
A Comparative Analysis of CSR Policies and Practices of Oil Companies
In South Sudan.24 October 2011
This research aims to enhance understandings of the current
perceptions and practice of corporate social responsibility (CSR) of
oil companies and consortia in South Sudan.Drawing on interviews with
oil company representatives and international frameworks of corporate
responsibility, the principal aim is to supplement the wealth of
research that already exists in this domain with a more practical
approach to how the oil companies and consortia might better manage
and mitigate the social and environmental challenges that so urgently
need addressing.

This research yielded many results:
• Companies face very real challenges around community expectation management;

• Some companies do not feel that conflict sensitivity falls under
their remit as a private enterprise, and so do not take ownership of
conflict-related   issues

• Companies and Joint Operating Companies (JOCs) in the sector have so
far been unable to develop strategies and systems to implement, robust
CSR   initiatives;

• Accountability between JOCs, companies and government is unclear and
possibly causes problems including: a lack of ownership of issues on
behalf of the   companies; a lack of transparency over decisions and
impact; and blurred responsibilities over community and environmental
issues;

• The lack of usability of global best practices, standards and
guidelines from the global CSR sector is evident and could be a
barrier to learning and development in the South Sudanese context;

• Very little is understood by the companies about stakeholder
engagement, prioritization, and the value of working with other
organisations.

Recommendations have been provided that speak to all actors with a
stake in South Sudan’s oil sector, including oil companies and
consortia, civil society and national as well as state-level
government. Next steps hinge around four key areas:

1. Conduct deeper research once the operating environment has
stabilized: The scope and depth of the current research was limited
due to the fast-changing operational environment in which oil
companies and consortia find themselves, given that independence was
only a few months ago. Undertaking similar research in six months,
once the companies are settled into new offices, and once resource
handover from Sudan and South Sudan has been agreed, would provide
more indicative and robust findings.

2. Increase the accountability of Joint Operating Companies and companies on
CSR: Historic tensions between the oil sector and communities may be
attributed to there being blurred lines of responsibility between JOCs
and companies.
Establishing clarity on what accountability means, to whom, and how to
enact this, is a first step towards building the capacity of
individuals and organisations in the sector to better manage and
mitigate social and environmental issues.

3. Build capacity of civil society to hold companies and government to
account and support CSR objectives: Civil society has a critical role
to play in ongoing advocacy over compensation, human rights and
environmental abuses that are attributable to the oil sector. However,
this research has also found that companies have a real need to better
understand community needs, and need help in working with communities.
Encouraging elements of civil society to engage more directly with the
oil companies and consortia would help to bridge the information gap
and forge trust for the future.

4. Develop consensus around national objectives for the sector: This
research highlights a need for the governance of the sector to be more
transparent and accountable. As such, we recommend that existing
institutions are bolstered to become more widely representative and
accountable in governance, in order for all parties to collectively
determine roles and responsibilities for the sector. In the event that
no such institution exists or can be sufficiently adapted, we propose
establishing a new, multi-stakeholder Oil National Working Group with
responsibility towards building legal infrastructure in addition to
guiding voluntary CSR interventions.


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