Community relations and development
For OMV, transparency, trust, and partnership-based relations with local communities are key to ensuring we are a responsible and welcomed neighbor wherever we operate. Adding value to the communities in which we operate is key to securing our operations for the future.
We acknowledge that the presence of OMV’s business has direct and indirect impacts on local communities. We aim to steer the impacts of our business activities in a positive direction by building and maintaining mutual trust and pursuing respect-based community relations, investing in local development, safeguarding human rights, and ensuring that local suppliers who work with OMV follow sustainable practices. (For more information on OMV’s involvement in these areas, see Human Rights and Supply Chain.) Community development investments are always aligned with identified local needs and made in consultation with local stakeholders, as well as in consideration of country priorities with regard to Sustainable Development Goals (SDGs).
Our community relations and development management process is based on centralized policies and targets and implemented by locally responsible persons with local resources. We start by conducting a Social Impact Assessment (SIA), which includes free and prior informed consultation with and consent of local stakeholders. Sometimes, an SIA is integrated into an Environmental Impact Assessment (ESIA) to foster synergies and efficiencies. The purpose of an SIA is to ensure that the views of the local communities, especially of indigenous peoples, are incorporated and addressed throughout all phases of the project life cycle: commencement, operational phase, and decommissioning or abandonment. We also pay particular attention to any possible impact on human rights. Based on the internal regulation for conducting SIAs, we include a baseline study, community needs assessments, stakeholder analyses, and a study of social risks associated with the project. Where possible, SIAs are conducted in a participatory manner by directly consulting with potentially affected communities. Based on the SIA’s outcome, site-specific strategies for community relations and development, stakeholder engagement plans as well as Community Grievance Mechanisms are developed and implemented. We contribute to community development through community or social investments.1Community investments respond to identified community needs and are designed to mitigate social risks resulting from OMV operations. Social investments address the needs of people and society more broadly. These are prioritized based on the local needs identified as part of the SIA and their potential for an impactful contribution to the SDGs most relevant for targeted areas. Our community and social investments are focused on preventing or mitigating social risks and positioning OMV as a socially responsible company vis-à-vis our stakeholders.
The Group level function governs and steers community relations and development implementation across operational countries, receives regular reporting and feedback from local social responsibility managers, and monitors and ensures that the Group guidelines on community relations and development are adhered to. We hold structured regular alignment meetings with our local social responsibility managers to monitor and steer local implementation of our site-specific global community relations and development commitments. We also organize regular exchanges among all countries in order to share challenges and best-practice experiences as a supplement to the guidance provided. In 2019, we reviewed our internal social responsibility standard and management processes. The review resulted in even deeper integration of human rights aspects into the community relations and development management process and introduction of a guideline for public communication of SIA outcomes to affected stakeholders.
Community relations and development management activities are reviewed in each country in which we operate in accordance with business developments. In 2019, we began conducting an ESIA in Libya in consultation with stakeholders in the Sirte region. Also in 2019, we reviewed our site-specific strategy for community relations and development in Yemen and updated this in response to changing stakeholder needs and OMV’s business position in this country. Following our entry into Malaysia in early 2019, we began the integration of Malaysian assets into our OMV community relations and development management activities.
In adherence to the internal community relations and development procedure, all OMV projects require community consultation in the development phase. In 2019, two out of five projects were in the process of community consultation.