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Friends of the Earth Japan (FoE) and Wahana Lingkungan Hidup Indonesia (WALHI) & Marubeni Corporation and JERA Co., Inc
Lead NCPJapan
Supporting NCP(s)
DescriptionSpecific instance alleging a non-observance of the OECD MNE Guidelines.
Theme(s)Concepts and principles, General policies
Date24 Mar 2017
Host country(ies)Indonesia
SourceNGO, Other interested parties
Industry sectorElectricity, gas, steam and air conditioning supply, Other service activities
StatusConcluded
Summary

Read the Final Statement published 13 February 2024: English | Japanese


On 24 May 2017, Friends of the Earth Japan (FoE) and Wahana Lingkungan Hidup Indonesia (WALHI), respectively Japanese and Indonesian NGOs, submitted a specific instance to the Japanese NCP alleging that Marubeni Corporation, a Japanese integrated trading and investment business conglomerate, and JERA Co., Japan's largest power generation company, had not observed the Concepts and Principles (Chapter I) and General Policies (Chapter II) provisions of the Guidelines. Specifically, issues concerned the operation of the Cirebon Coal-fired Power Plant Project – Unit 2 (“Unit 2 Project”), being implemented by a company in which the noted enterprises were shareholders , in West Java province in Indonesia, which the submitters alleged would cause adverse impacts on the local community. The submitters expressed concerns that development of the project would continue before ongoing parallel proceedings, notably relating to the issuance of an environmental permit, were concluded.

On 2 February 2018, the NCP completed its initial assessment deciding to accept the case for further examination. Both parties asked the NCP to delay their decision to accept the NCP’s offer of good offices due to ongoing parallel proceedings. Following ongoing communication, in September 2023 the NCP issued a statement of intention to close the proceedings as the parties had not been willing to engage in the NCP’s good offices.

On 13 February 2024, the NCP published a final statement concluding the case without agreement between the parties. The NCP recommended that the enterprises Involved continue to ensure the observance of the Guidelines, and to engage with the local community and residents, including the submitters. With the statement, the NCP considers the process closed and has not made plans to conduct a follow up.


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