British Gas in Trinidad

1.0 INTRODUCTION

British Gas, better known as BG T&T is an established company in Trinidad and Tobago. This company supplies natural gas for domestic use and also liquefaction and export. In addition, BG T&T is a significant shareholder in the Atlantic LNG plant in Point Fortin, Trinidad, and has recently acquired the central block upstream operations on land.

BG Trinidad & Tobago (BG T&T) has been operating in the region since 1989. It is operator (?) and has 50 per cent equity in the Dolphin field, off the east coast of Trinidad. The field supplies up to 264 million standard cubic feet of gas per day to the National Gas Company of Trinidad and Tobago under a 20-year supply contract. A development plan for the 'Dolphin Deep' and 'Starfish' fields in the East Coast Marine Area has been submitted to the Government of Trinidad & Tobago.

1.1 SOCIAL ISSUES

Of great importance to the gas exploration and development activities are the impacts on the social, economic and environment. BG, therefore has an obligation to recognize and manage the potential impact of their industry on national and local communities, on economies and the environment in which they operate.

British Gas believes that their business activities can create economic opportunities and benefits to enhance the quality of life for both their employees and the communities in which they operate.

Therefore, BG has put into place a policy defined as Corporate Responsibilities to manage its' role in society in a responsible way. There has been pressure for a mandatory system of corporate reporting by Non-Governmental Organizations and the politicians who have recognized the value of corporate responsibilities. There was a risk that mandatory approach would suppress innovation and impose unnecessary burdens with the natural result of cost increase on data collection.

However, the expected requirement that social, material and environmental risk must be reported publicly was an efficient way to ensure that corporate responsibilities issues are managed efficiently.

BG T&T also contributes to the society by providing energy and infrastructure for development, creating and sustaining jobs, paying taxes, duties and revenues to the government and local authorities. This organization also operates business and provides shareholders returns without compromising the company's corporate values and ethical principles.

British Gas also believes that the company's sustained commercial success is only possible in the presence of a healthy social environment. BG makes cash donations, offers employee skill to community groups or provides equipment to local organizations as part of their voluntary social contribution and contractual contributions.

BG is committed to delivering a wide range of sustainable benefits to individuals and society and also to provide an appropriate return to shareholders without compromising their Statement of Business Principles. They would also go beyond the legal duties in delivering benefits to their employees, local communities and protecting the environment so that they can enhance their business performance.

1.2 CULTURAL ISSUES

A major aspect of British Gas culture is their respect for human rights of individuals who are affected by their operations. BG's Human Rights Group Polices covers the human rights of individuals who are directly involved in their business, focusing on members of the local communities and employees.

As a resource company, BG finds their business operating in territories where indigenous people lives. This refers to those people who inhabit a particular area before other population groups arrived, and who retained totally or partially their institutions, traditional languages and lifestyles, which distinguish them from the ruling society.

Indigenous people have a historical continuity with pre-invasion or pre-colonial societies that develop in their territories. They are determining to develop, preserve and transmit their ancestral territories and ethic identity to future generations in accordance with their own cultural patterns, social institutions and legal system. BG T&T totally supports this culture and the Legal Convention Organization (ILO) No. 169 on indigenous people, with the aim to apply its principles to BG's business operations.

1.3 ETHICAL ISSUES

British Gas operation ethics were based under the UK government's Anti-Terrorism Crime and Security Act which came into force on 14th February 2002. This legislation plainly expresses the English courts' power to prosecute UK firms and their employees who act corruptly overseas.

The section of the Act aims to "Put beyond doubt that the law of bribery applies to acts involving foreign public officials, ministers, MPs and judges and to take jurisdiction over crimes of bribery committed by UK nationals and UK companies overseas."

This legislation overlaps the provision of the US Foreign Corrupt