One Step Beyond: Managing Areas of High Biodiversity Value

Abstract

Abstract The scientific consensus is that biodiversity is under increasing threat from habitat loss, climate change and pollution. The challenge to protect areas of high biodiversity value is gaining profile and the issue is not going to go away. Increasingly, society is expecting the oil/gas industry to make a broader contribution to solving the issue and increasingly industry wants to make that contribution. Hydrocarbon resources required to meet future demand for affordable energy are often located in protected or sensitive areas, which can give rise to tensions around competing land use. At the heart of the issue is the call to establish a universal system of protected areas. Protected areas was a key theme at the World Parks Congress in September 2003 and will also feature in the 7th Conference of the Parties to the UN Convention on Biological Diversity (CBD) in February 2004. Government signatories to the CBD are required to establish areas to protect biodiversity as part of their obligations under international law. There are a number of global systems for designating protected areas. World Heritage Sites are designed to protect areas of outstanding universal value and are also part of government's international obligations. Oil and gas activities are not considered compatible with the objectives of such sites. The UN List of National Parks and Protected Areas is classified into six categories by the World Conservation Union (IUCN). The Category System was not designed to define where industry should and should not operate, but is increasingly being used to determine land use options, although this system lacks the clear rules and procedures that characterise the World Heritage Convention. Then there are other protected areas systems such as Ramsar (for wetlands) or man and biosphere reserves. Governments may also put in place regional or national regulatory frameworks such as the European Union Habitats and Birds Directives (Natura 200 sites). Less formal are areas or regions that have been prioritised by various conservation organisations - these differ according to the criteria used by the organisation. There is a lack of trust between the conservation community and business. Some NGOs are willing to engage, but are coming under pressure to deliver benefits to conservation. Others are more adversarial. Financial institutions are also enquiring about company policy with respect to operating in protected areas. All these factors will affect us. We therefore need to position ourselves to manage this issue in the long term. The paper will outline the case for action, the recent developments within and key challenges faced by the Shell Group - particularly Shell EP, and the key features of its approach.