Chile – Energy sector

Pillar 1 / Strand 1: Training in the Field of Business and Human Rights

1.4 The Ministry of Energy will:
o Through the Division of Social Involvement and Dialogue, within the implementation framework of the Indigenous Chapter of the 2050 Energy Policy33, perform the following actions:
· Develop training sessions in renewable energy for indigenous leaders with focus
on business and human rights.
· Perform activities to transfer experiences and knowledge to companies, so that
they have information available for the development of energy projects in
indigenous contexts.
· Develop actions to train business enterprises about human rights and corporate
activity, focusing on indigenous rights and cosmovision.
· Train indigenous peoples about business and human rights. This initiative will be
performed in conjunction with the Indigenous Affairs Unit of the Ministry of Social Development, which will facilitate coordination between initiatives carried out by both institutions – page 31


Pillar 1 / Strand 2: Dialogue

2.4  The Ministry of Energy, through the Division of Participation and Dialogue, will promote the creation of formal and steady opportunities for dialogue between businesses and communities in localities where they expect to install energy projects. Aimed at a smooth management of these opportunities, the “Guide for Participation Standards in the Development of Energy Projects” will be available to promote the existence, from the public sector, of mechanisms allowing to decrease the asymmetries existing between the parties, such a registry of advisors and facilitators to be used by communities; a symmetry fund allowing to finance the advisors and facilitators; complaints mechanisms allowing to forward complaints to the authorities that the parties may have regarding compliance with agreements; dispute resolution mechanisms allowing to resolve through alternative methods any disagreements that may arise in the dialogue process. Efficiency criteria set out in Guiding Principle No. 31 will be included in the design of the complaint mechanism.

Additionally, the Ministry will promote the development of “local governance mechanisms” in the localities where energy projects are installed. They will be composed of representatives from the community, business enterprises, local authorities and other actors that the parties may consider relevant, with the purpose of carrying out dialogue processes aimed at decision making connected with local development initiatives that may be developed from the presence of an energy project within the territory. – page 34/35


Pillar 1 / Strand 4: Transparency and Participation

4.1 The Ministry of Energy will:
o Encourage, within the framework of the Local Development Policy35, the participation of

communities in the different stages of the life-cycle of energy projects so that their interests may become known and be taken into consideration, as well as contributing to the general development of the localities receiving them. Diverse mechanisms will be promoted to facilitate participation (detailed in strand 2) and transparency in the processes carried out. Considering the above, an online Transparency Platform will be developed for communities to have access to the processes of dialogue that are taking or have taken place, the agreements reached and compliance, among other things.

o Include,withintheframeworkoftheIndigenousChapterofthe2050EnergyPolicy,in conjunction with the Ministry of Economy and the Indigenous Affairs Coordination Unit, business and human rights standards in the Indigenous Participation Guidance in the Development of Energy Projects.

o Promote, within the framework to implement the Indigenous Chapter of the 2050 Energy Policy, the right conditions for the social and technical viability of power generation projects, with total or partial participation in their ownership by the indigenous communities. – page 39/40


Pillar 1 / Strand 8: Legislation, Policies and Incentives

8.2.  The Ministry of Energy will identify, promote and design the necessary mechanisms to implement the local development policy concerning energy projects. Among other things, the policy includes measures to support the assessment of impacts on the human rights of communities, and mechanisms to resolve the disputes that may arise between communities and business enterprises, within the context of the development of energy projects. – page 49


Pillar 2 / Strand 1: Contextual issues: Development of texts allowing business enterprises to understand the local context and the risks of potential negative impacts on human rights.

1.5. The Ministry of Energy will keep updated the standard guide for participating in the development of energy projects, and will prepare a guide for indigenous participation in the development of energy projects. It will also prepare the guide for local development of the localities where such projects are settled, which will drive the actions of business enterprises and communities about the contribution to development that can be offered by these institutions.

1.6. The Environmental Assessment Service will prepare the Guide for Describing the Human Environment with Gender Focus for the Assessment of Environmental Impact. Such Guide is meant for the owners of projects submitted to the SEIA. – page 53


Pillar 2/ Strand 2: Promotion of corporate due diligence in the field of human rights

2.2 The Ministry of Economy, Development and Tourism will:

Support the Ministry of Energy in the development of a Guide about the impact of projects on local communities, seeing to the integration of business and human rights standards into the development of projects within communities and, particularly, containing best practices about due diligence in human rights-related issues. – page 55


Pillar 3 / Strand 2: State-Based Non-Judicial Mechanisms

2.6 Within the framework of the Energy Policy, the Local Development Policy and the Chapter on Indigenous Relevance of Energy 2050, the Ministry of Energy will promote the development of mechanisms for the resolution of disputes between communities and business enterprises within the context of the development of energy projects, will may consist in, inter alia, mediation, redress or other mechanisms that may be relevant. – page 62


33. In the framework of the construction of the 2050 long-term energy policy, this chapter on Indigenous Relevance was formulated through a participatory process with indigenous representatives in accordance with Convention No. 169 of the International Labour Organisation, specifically as regards participation in the formulation, implementation and evaluation of national and regional development plans and programs that may directly affect them – as provided in Article 7, paragraph 1, of the said Convention. The process included local, macro-zone and national meetings with indigenous peoples’ institutions. The final document has been reviewed by CONADI National Council through its Energy Commission and is expected to be published in April 2017. – page 77