Chapter 1 – Report of the Policy, Law and Complaints Group (iv) MFCB informed the Commission that up until then, they had invested USD15 million for a nine-year study to research the environmental and ecological impacts of the project. The Commission was briefed on several issues, including the displacement of people from their homes and livelihood, trapped sediment, compromised water quality, and alteration of river flow patterns. A report of the meeting was extended to Earth Rights International on 23 February, and in a response dated 24 March 2015, Earth Rights International raised, among others, concerns regarding several issues that were not addressed during the meeting with MFCB. In particular, there were concerns regarding the lack of baseline information and transboundary impact assessment studies including on regional fisheries, data showing the adequacy of proposed mitigation measures, and information and consultation with affected communities by the project developer. Subsequent to that, a second meeting with MFCB was held on 4 August to put forward a proposition for MFCB to meet with the complainants. During the meeting, MFCB indicated its disagreement to the proposition on the basis that there had been many consultations and public fora including at regional and state levels organised by the MRC, the Government of Laos, and CSOs in the preceding years, where, according to MFCB, the complainants could have had the opportunity to raise their concerns or bring up issues pertaining to the project. Based on the above development and given that there is no National Human Rights Institution in Laos, the Commission finds it difficult to proceed further with the inquiry into the complaint. Therefore, guided by its mandate to provide recommendations on issues involving human rights, the Commission wrote to MFCB on 8 December, and recommended MFCB to ensure that its business operations and activities are conducted in a manner which respects the human rights of the people living in the affected areas, besides generating profit out of the project. In the letter, the Commission also emphasised that the obligation is on MFCB to embrace human rights principles in the conduct of its business, and urged MFCB to hold firmly to the principles enunciated in the United Nations Guiding Principles on Business and Human Rights (UNGP), particularly Principles 11-29. In addition, the Commission will continue to raise this matter with the Government of Malaysia through its Business and Human Rights Agenda, with emphasis on the recommendation that the Government formulate policies or guidelines to monitor Malaysian companies operating outside of Malaysia in order to ensure compliance with applicable human rights principles and standards as provided under Principle 3 of the UNGP, and that the Government adhere to the Economic Co-operation and Development Guidelines for Multinational Enterprises (OECD) and establish a National Contact Point to address complaints regarding corporate misconduct including acts/omissions outside the home country. 96 BOOK-ANR2016-01-latest.indb 96 08/04/2016 3:32 PM

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