Global Compact Board rejects complaint and commends CNPC for actively "supporting sustainable development" in Sudan

The Global Compact Office has released the final report of the most recent meeting of the Global Compact Board, held on 24 July at UN Headquarters in New York. According to the report, the Board decided to maintain PetroChina as a participant in the Compact, in spite of a complaint supported by over 80 civil society organizations including human rights, corporate accountability, and religious groups from 25 countries, as well as government officials and actor Mia Farrow. They believe that PetroChina is complicit in human rights abuses in Sudan and have requested that the company use its influence to ask the Sudanese Government to pursue specific actions linked to peace building.

The Vice Chair of the Board, Sir Mark Moody-Stuart, said that CNPC, PetroChina's parent company, "has been active in supporting sustainable development in the country [Sudan] and engaged in the newly formed and embryonic Local Network, although not itself a Global Compact signatory." The Board also took note that CNPC "had engaged in Global Compact learning and dialogue activities on conflict sensitive business practices."

The report of the Global Compact Board meeting explains that "the Board agreed that the operation of a company in a weakly governed or repressive environment would not be sole grounds for removal from the initiative and that the Global Compact, as a learning platform, cannot require a company to engage in advocacy with a government. Given this, and the fact that the matter did not involve a Global Compact participant, the Board unanimously agreed that the matter had been handled appropriately by the Global Compact Office and was not suitable for further action." It was also noted that CNPC "has been willing and prepared to engage in learning and dialogue activities on conflict-sensitive business practices and that positive efforts are being made through the Global Compact Local Network to embed good business practices in Sudan, which is all that could be expected in the situation."

The complaint against PetroChina was sent to the Global Compact Office in January 2009. The complainants asked the Compact to use its good offices to influence PetroChina to engage with the government of Sudan on behalf of the Darfuri people. In the months following the submission of the complaint, PetroChina never contacted the complainants nor did it offer any explanation about its activities in Sudan.