Petrobras develops innovative method to calculate social impact of its projects
Currently, Petrobras is developing an innovative methodology to calculate social risk of its investment projects, as announced by its Executive Manager for Social Responsibility, Armando Tripodi, in Asuncion. The Executive was invited to the Local Network of the UN's Global Compact to give a lecture at the V Congress for Social Responsibility, organized by the "Asociación de Empresarios Cristianos" (ADEC).
According to Armando Tripodi, this innovative tool will measure how much the Company's investment projects affect society in Brazil. This way, we can work with local or state governments using mitigation measures that are consistent with the needs of the affected communities.
"They all calculate the financial, tax, operational, raw material risk etc.., but no companies, around the world, calculate social risk from their operations. That is, what impact does the business have on people''s lives", said Tripodi.
The tool will enable impact costs to be calculated that relate to aspects of local development (education and culture, income generation and job opportunities, technological development and access to technology and health) and human rights (traditional people and communities, cultural heritage, access to livelihoods, security services, protection of vulnerable groups, labor and resettlement of communities).
"This is an example of how we should integrate different areas of social responsibility in managing investment projects, including the development of criteria for social risk analysis in business initiatives", the executive said.
Under the title "Linking the Company's sustainability strategies to national public policies”, Tripodi lectured to an audience composed of entrepreneurs, national authorities and references for social responsibility in Paraguay. He emphasized the importance of linking the effort and management of the sustainability strategy in the private sector with the work of government and society to create coordinated public policies.
He explained that Petrobras' policy on social responsibility is based on three lines of action: social, through which the company supports projects in line with public policies on income generation, manpower training and employment opportunities for small communities; the environment, which basically refer to looking after endangered species and water resources, as well as sports, supporting projects to reintegrate and develop healthy lifestyles.
He also mentioned that over the last five years, Petrobras has invested nearly a trillion dollars in social responsibility projects, directly benefiting more than five million people, and indirectly benefiting more than 40 million in Brazil.
The Company's performance premise, he said, is to integrate social responsibility with a new multidimensional and multidisciplinary management paradigm that recognizes the legitimacy and importance of different groups.
The V edition of the ADEC Congress, which was supported by Petrobras Paraguay, aimed to bring together different players who manage internal and external processes in their businesses, generating economic, social and environmental value from a socially responsible management.
Tripodi lectured alongside Aislan Ribeiro Greca, coordinator of the Agenda 21 Program, from the Company's Community Relations Management.
Petrobras is currently in the list of 100 companies in the Global Compact 100 (GC 100), the Global Compact's stock market index which measures the performance of companies in respect to the ten Global Compact principles for sustainability policies and the stock market.
Last month, the Company was selected again to be part of the Dow Jones Sustainability World Index (DJSI World) for the eighth consecutive year, having obtained full marks in the Transparency and Emissions in the Environment criteria.
Petrobras' presence in these indexes reflects the constant commitment the Company has to align its growth with sustainable development, minimizing and mitigating the impact of their activities on the environment and reinforcing its commitment to society and its shareholders.