A project Acute pressure to generate Make financiers aware of the risks to the project and – financed by revenues may lead to to revenues from inadequate management of human – non-recourse excessive working hours, rights risks. loans, where the reduced safety at work, or Make sure time to prevent and mitigate risks to human lender is only inadequate consultation with rights is reflected in the terms of financing agreements. entitled to local communities. repayment from the profits. Operating Operations Conflict and corruption Carry out human rights due diligence on business context based in undermine laws protecting partners where conflict and corruption are widespread. countries with human rights, make human Seek advice from UK embassies about human rights high risk of civil rights abuses more likely risks related to local corruption or conflict. conflict or and effective remedy less Implement the Voluntary Principles on Security and known to have likely. These make it more Human Rights, where appropriate. (See ). high levels of challenging for companies corruption. to respect human rights in their operations. Operations Individuals may lack the Carry out human rights due diligence on the in, or protection of laws and company’s activities and its business partners. procurement functioning agencies such Build relationships with potentially affected from, states with as police or government, stakeholders and local civil society organisations to weak rule of and have minimal access to identify problems early. law. remedy. Consider working with the government on important aspects of the rule of law, either or with peer companies.
A project financed by non-recourse loans, where the lender is only entitled to repayment from the profits. Acute pressure to generate revenues may lead to excessive working hours, reduced safety at work, or inadequate consultation with local communities. Make financiers aware of the risks to the project – and to revenues – from inadequate management of human rights risks. Make sure time to prevent and mitigate risks to human rights is reflected in the terms of financing agreements. Operating context Operations based in countries with high risk of civil conflict or known to have high levels of corruption. Conflict and corruption undermine laws protecting human rights, make human rights abuses more likely and effective remedy less likely. These make it more challenging for companies to respect human rights in their operations. Carry out human rights due diligence on business partners where conflict and corruption are widespread. Seek advice from UK embassies about human rights risks related to local corruption or conflict. Implement the Voluntary Principles on Security and Human Rights, where appropriate. (See ). Operations in, or procurement from, states with weak rule of law. Individuals may lack the protection of laws and functioning agencies such as police or government, and have minimal access to remedy. Carry out human rights due diligence on the company’s activities and its business partners. Build relationships with potentially affected stakeholders and local civil society organisations to identify problems early. Consider working with the government on important aspects of the rule of law, either or with peer companies.