Saturday, June 28, 2008

Corporate social responsibility

ArcelorMittal is confident of getting land in Jharkhand as the Church has offered support, says Remi Boyer in a chat with Sreelatha Menon.

What is the progress of your mining plans in Orissa and Jharkhand?
We have chalked out our relief and rehabilitation (R&R) programme for Orissa. We will plan out the same for Jharkhand soon. Each is expected to cost $300 million. We have completed and finalised a socio-economic study for the Keonjhar district in Orissa where our mining project is planned. The state government is reviewing it. In Jharkhand, we have just started the study.
But, some organisations have vowed that you or any mining company won't be allowed entry into the area. They won't allow even CSR-linked activities.
I know there are one or two organisations and we are aware of the challenges.
What is it that gives you the courage to go ahead, where others have failed to get land for green-field projects in Jharkhand?
After attending the workshop with local people in Ranchi I feel reassured that it's possible. The Church is a big presence in Jharkhand and the heads of the Church have offered support. That is not the case in Orissa.


Do you envisage offering shares in the annual returns to the people in the area?
It's ridiculous to give shares to people who would not know what to do with them. It would be far better to do something on a long-term basis. Hence, R&R is one thing and will get over with the completion of the project. But, it is CSR, which is the ongoing thing.
Many people are cynical about your enthusiasm for CSR now, as Mittal has done nothing for the country in the past.
We are a new and young company and we are new to India, even though Mittal is an Indian. And so we come with an advantage. We come with fresh ideas.


What are some of the activities you have already started?
We are developing an industrial training institute (ITI ) in both states. Next year we would start courses. In Orissa, we already have two medical units and will start in Jharkhand . We believe that unless we involve people from the beginning, we won't succeed.
So in Jharkhand, we had a successful workshop this week with 70 people. People spoke of why there was resistance and about being let down by companies in the past.
The sports training programme of Jharkhand has been criticised. The trainer has been accused of abusing the selected girls.

The CSR team in Jharkhand is recent. What we can say is that in the three-and-a-half years left before the the plant is expected to be ready, we want to see tangible signs of change in people's lives.
Remi Boyer, vice-president, corporate social responsibility, ArcelorMittal global

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Sk Mohd Niyaz
Project-in-charge
Manthan Award South Asia 2008

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