On 23 May 2017, a complaint was filed with the Japanese NCP against the Japanese companies’ Marubeni Corporation and JERA Corporation by Friends of the Earth Japan and Wahana Lingkungan Hidup Indonesia for their involvement in Unit 2 of the Cirebon coal-fired power project in West Java. The complainants allege that the companies are in breach of the OECD Guidelines in its failure to obey domestic laws and its failure to refrain from seeking or accepting exemptions not contemplated in the statutory or regulatory framework.
The complaint states that since the construction of Unit 1 of the Cirebon coal-fired power project (660 megawatts) in Indonesia, local communities have experienced significant damages to their livelihoods and income with a decline in fisheries due to the building of a jetty and contaminated liquid and thermal discharge. Fish catches have allegedly decreased by more than half compared to before the project. Despite the community protests and the impacts already suffered, there is now work underway to begin building Unit 2 of the Cirebon coal-fired power plant, increasing its capacity by 1,000 megawatts. The project is expected to be operational in 2021 and is expected to further damage the livelihoods of the fisherman in the area, who have yet to receive any livelihood restoration from the Unit 1 of the project and have not heard of any plans related to Unit 2. The complainants allege illegalities around the project’s environmental permit and the designated spatial plan.
The complainants are asking the Japanese NCP to:
- That the companies adhere to the OECD Guidelines;
- That all project related activities for Unit 2 stop until a final court decision is made to ensure the project is complaint with laws and regulations;
- That the company refrains from seeking or accepting exemptions;
- That the company encourages West Java provincial government to withdraw its appeal to the high court or the Supreme Court, and make efforts to comply with the Indonesian laws and regulations
Relevant OECD Guidelines
On 2 February 2018, the Japanese NCP accepted the complaint for further consideration.