Stakeholder Management is an important part in reducing undesirable issues and creating a positive impact to society and PTTEP’s operations. To this regard, PTTEP has developed a Stakeholder Management Guideline for group-wide implementation, providing guidance to all Function Groups.
Stakeholder identification and prioritization enables PTTEP to put in place a proper engagement plan to reach the ultimate goal which is to obtain stakeholders’ trust and support for PTTEP’s operations. The proper implementation of stakeholder engagement shall depend also on the situation and environment of each operation.
Stakeholder Management Process
For more information, please visit 2019 Sustainability Report.
PTTEP’s stakeholder engagement activities include Public Consultation session to disseminate information and obtain feedback from key stakeholders for the preparation of Environmental Impact Assessment (EIA) Report, Meetings with communities to inform work plan such as well abandonment, Meeting with Collaborative Committee to report operations progress and result of monitoring and mitigation measures as well as Meetings with local authorities on a regular basis and participation to religious or festive activities in the area which is PTTEP’s normal practice. Samples include Mobile Health Check, Vocational Training, Social Enterprise Market, S1 Fun Run 2019 and Emergency Exercise. Other stakeholder activities are as featured.
Moreover, other important activity to promote a better understanding of E&P Industry, is a study trip to Piyachart Nithat Exhibition Center at Sirikit Oil Field for stakeholders. PTTEP also welcomes various groups of visitors such as Media, students, government officers and etc. from all over Thailand at each operating asset.
In 2019 there is no disruption to PTTEP operations.
Second Public Consultation for EIA Study
PTTEP by Myanmar Asset conducted the second public consultation for EIA Study of MD-7 Exploration Drilling Campaign in Dawei, Kawthaung and Myeik Townships during 23rd-30th August 2019 to gather communities’ views, feedback and concerns.
Meeting with Khon Kaen Collaborative Committee of Sinphuhorm Gas Field
PTTEP by Sinphuhorm Project organized meeting with Collaborative Committee comprising of Local Authorities, Community Leaders and Media to report the production progress, work plan and result of monitoring and mitigation measures as well as progress of the social development project. The meeting is also one of the channels for local authorities and communities to express their opinions or concerns (if any).
Public Participation for Well Abandonment
PTTEP by S1 Project organized the Public Participation for the Abandonment of wells at Nong Makham-G, Nong Makham-A and Lan Krabue-U Well Pads to gather communities’ views and concerns.
Public Hearing by Offshore Production Assets
PTTEP by North Bongkot, South Bongkot and Arthit Assets conducted the public hearing sessions with Baan Na Muang Community, Baan Nork Pa Community, Baan Talay Nork Community in Songkhla Province and Pattani Fishery Association during 21st September – 1st October to report progress on the work plan and social development projects. This is one of PTTEP’s communication channels to gather communities’ view and concern (if any) for further improvement. This annual event not only promotes the communities’ participation to PTTEP’s operations and activities but also enhances good relationship between two parties.
Mobile Medical Check-up in Singhanakhon District
PTTEP and Joint-venture partners, in collaboration with Singhanakhon Hospital, organized the “Mobile Medical Check-up” to provide general health check-up services to villagers in Ban Talay Nork Community, Hau Khao Sub-district, Singhanakhon District, Songkhla Province. The preliminary health check-up includes measuring blood pressure, blood test (check blood type, glucose levels, cholesterol level and kidney function), eye examination, chest x-ray, dental check-up and doctor consultation.
PTTEP S1 Fun Run 2019
PTTEP S1 Project organized the "PTTEP S1 Fun Run 2019, a Charity Run in Lan Krabue District, Kamphaeng Phet Province. A total of 1,700 participants from contractor companies, the local community and government sector joined the "PTTEP S1 Fun Run 2018" and raised 200,905 Baht (approximately USD 6,088 for the Lan Krabue Ruam Jai Fund.
19th Vocational Training Course (Tile Installation)
PTTEP, in collaboration with Chumphon Skill Development Office, hold the 19th vocational training course on tile installation for villagers in Bang Maphrao Sub-district. The main purpose is to equip all trainees with technical know-how so that they can earn supplemental income to support families.
Social Enterprise Market
PTTEP, in collaboration with PTT Group of Companies and the Sarn Palung Social Enterprise Company organized a Social Enterprise Market for schools under School-Based Integrated Rural Development or “School-BIRD” Project in S1 Operations Area i.e. Bang Bung Tab Rad School in Kamphang Phet Province and Padung Wittaya School in Phitsanulok Province to sell products. The School-Bird Project is aimed to encourage students to learn how to run business and to increase opportunity for school, students, parents and communities to earn supplemental income for a better quality of life.
Activity under Love Your Neighbor Project
PTTEP by S1 Project organized activity under Love Your Neighbor Project at Ban Prue Kathiam Health Promoting Hospital in Bueng Kok Sub-district, Bang Rakam District, Phitsanulok Province. S1 management and staff together with community to improve landscape and environment through activities such as painting the sidewalk curb.
Scholarships for Students in the B6/27 Project
PTTEP by B6/27 Project granted scholarships to students from Sawi Wittaya School in Sawi District, Chumphon Province.
First Offshore Petroleum Production Scholarship Presentation
PTTEP and Joint-Venture Partners granted the Offshore Petroleum Production Scholarship to children of fishermen from Kindergarten to University in Nakhon Sri Thammarat, Songkhla and Pattani Provinces
Emergency Exercise with Nong Sang Authorities and Communities
PTTEP Sinphuhorm Project organized an emergency exercise with Nong Sang Authorities, Nong Sang Hospital and Nong Sang Police Station to test the communication and cooperation during crisis with relevant authorities and communities.
Shareholders visit to S1 Project
Four groups of PTTEP Shareholders, totaling 240 peoples observed the operations at Sirikit Oil Field, S1 Project in Kampangpetch and had an opportunity to purchase products from Nong Toom Agri Product Processing Center, one of PTTEP’s Creating Shared Value project (CSV).
Underwater Cleanup Activity
PTTEP by PTTEP Scuba Diving Club organized the Underwater Cleanup Activity for 30 volunteer divers at Samae San Island. They collected approximately 87 kilograms of sea garbage such as fishing net, fishing gear, plastic bottles, etc.
SDGs – Partnership for a Sustainable Future Workshop
PTTEP by Indonesia Asset joined Trisakti University to organize 9 workshops on Sustainable Development Goals – Partnership for a Sustainable Future Workshop in many areas across Indonesia to support the implementation of the country’s SDG Roadmap. PTTEP also donated the workshop registration fee at IDR. 15 Million to Dompet Dhuafa, a Non-governmental Organization, in providing the public health services.
PTTEP Concept of Issue and Stakeholder Management
One of key success factors for PTTEP to be a sustainable company is to build and strengthen relationships with stakeholders by mitigating the impact of operations on the community and environment. PTTEP has therefore developed an Issue and Stakeholder Management System (ISMS); a standardized tool to evaluate social risks for both domestic and international operations. It is a proactive system with the guideline on how to analyze, plan, evaluate and monitor the social Impact. Emphasizing on social risk analysis, ISMS demonstrates on how to mitigate social risks by controlling impact from operation to community, creating or amending existing community development programs as appropriate, and conducting a proper manner of stakeholder engagement.
The ISMS framework covers 4 key processes:
- Define: Clearly define an objective in relation to internal and external context which may impact the objective
- Analyze: Identify, evaluate and prioritize social risks and stakeholders in order to prepare an issue and stakeholder management plan
- Execute: Implement issue and stakeholder management plan and monitor progress
- Evaluate: Evaluate the effectiveness and communicate results to stakeholders
ISMS is applied throughout the lifecycle of every project which includes exploration, production and abandonment. Since 2015 PTTEP has deployed ISMS to all operations worldwide to facilitate the process of decision making with regard to social risk and stakeholder issues. To ensure effective deployment, External Relations staff of each operating asset shall conduct ISMS workshop every year to revisit social risk analysis and submit a report. Furthermore, on a monthly basis, External Relations Officers at each location shall monitor the progress and result of engagement activity and report to Corporate.
A good sample of social risk identification by ISMS involves a concern of local fishermen group who is an opinion leader in the area which might impact PTTEP operations. Based on the mitigation plan developed under ISMS, PTTEP works with the group to initiate and implement the “Crab Hatchery Learning Center”, a social responsibility project. At present, this fishermen group becomes our CSR partner in replicating the Learning Center to other locations in PTTEP operating areas. This project is one of our most successful CSR projects which not only creates economic value for fishermen but also contributes to environmental conservation at the operations area of our Petroleum Supply Base in Songkhla.
To evaluate the success of issue and stakeholders management, PTTEP conducts the stakeholder commitment survey to assess the level of commitment in operating areas. The survey result is used to develop an improvement plan to increase the commitment level to the “Support” level. In 2016 the Company conducts the Stakeholder Commitment Survey at the Petroleum Development Support Base in Songkhla province; S1 Project in Kamphaengphet, Sukhothai and Phitsanulok provinces; and PTTEP1 Project in Suphanburi and Nakornpathom provinces. In 2018, more surveys are carried out at Sinphuhorm Project in Udonthani and Khon Kaen Province, Zawtika Project in Myanmar and at LKC Free Clinic in Indonesia.
In addition, it is intended that ISMS shall incorporate social risk consideration into the business decision process. Through ISMS, the identification of social impacts shall result in the development of an appropriate mitigation plan and social development plan, which enables PTTEP to act in the best interest for stakeholders and the company as a whole.
In verification and validation of our effectiveness, grievance mechanisms are provided for stakeholders to choose at their convenience. At operation sites, stakeholders can send complaints directly to the on-site External Relations staff, Operation staffs or even to PTTEP staff at corporate offices. Currently, there are 2 mechanisms for reporting complaint:
1. SSHE Incident Management System (IMS); a web-based system
Trained on-site staff will collect and log the complaint from the community in the system at the same time this information is also accessible to staff from corporate offices as well.
2. PTTEP website
PTTEP website provides direct and discrete channels for grievance reports under "Contact Us" web page and Hotline number 66 (0) 25374000. This is a centralized management tool to track and follow up with relevant functions to address the issue. Please visit PTTEP Whistleblowing System.
In addition, PTTEP has developed Grievance Handling Guideline to establish a formal process allowing stakeholders to raise complaints regarding impacts from PTTEP activity and ensures that such complaint is addressed and resolved in a timely manner.
Grievance Record Form is used to track the grievance throughout the process whilst Incident Management System or IMS, a Web-based System operated by PTTEP, is used to track the management of grievance handling.
Grievance Handling process
For more information, please visit Grievance Handling Guideline.
PTTEP operations and activities on occasion need to acquire or gain access to public or private land. Often, this land will be occupied or utilized in some manner. As a result, acquiring land or land use rights for a given project may cause physical and/or economic displacement e.g. loss of assets or housing and loss of an income source.
The Company’s prime objective is to acquire land or access to land through voluntary agreement with land owners or users rather than through law enforcement. PTTEP Involuntary Resettlement Guideline has been developed in accordance with IFC Performance Standards as a guideline for the company to implement key activities to minimize impact and maintain relationship with stakeholders. The overview of PTTEP Involuntary Resettlement Process is as shown in the table below.
So far, PTTEP does not have any involuntary resettlement for its operations. However, a system has been set in place to manage and assess effectiveness of the program.