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Briefing

15 Oct 2024

Exploring shared prosperity: Indigenous leadership and partnerships for a just transition

BHRRC

To avoid climate catastrophe, renewable energy capacity must triple in the next six years. The private sector plays a critical role in this energy transition – as do Indigenous Peoples. If the opportunity of a just transition is to be realised, private sector and state commitment to Indigenous Peoples’ rights and transformative business models designed to deliver shared prosperity for and with Indigenous Peoples is non-negotiable. These need to be in alignment with Indigenous Peoples’ self-determined priorities.

This report, jointly produced by Indigenous Peoples’ Rights International (IPRI) and the Business & Human Rights Resource Centre, explores the case for a renewable energy transition that centres Indigenous Peoples’ rights, interests and prosperity, as determined by them, in pursuit of a global transition that is fast because it is fair and sustainable.

Indigenous-led projects exemplify a shared prosperity model where our communities thrive by harnessing our knowledge and resources, ensuring that the benefits of renewable energy are felt by all, fostering resilience, empowerment, and a sustainable future for generations to come.
Adrian Lasimbang, Executive Director, Right Energy Partnership with Indigenous Peoples
By embedding respect for Indigenous Peoples’ rights – including to free, prior and informed consent – into project planning and implementation, businesses can forge trust-based relationships that lead to more sustainable projects, reduce legal and operational risks, and create long-term value. When anchored in Indigenous knowledge, these models can present new avenues for collaboration and innovation.
Pichamon Yeophantong, Head of Research and Associate Professor at the Centre for Future Defence and National Security, Deakin University; Member of the UN Working Group on Business and Human Rights

Grounded in over 40 interviews with IPs, investors and RE companies from around the world, case studies and insights from our international conference, the report highlights, through practical examples of benefit-sharing and co-ownership, as well as IPs’ lived experience, the opportunity of these business models, and their challenges and risks. As this report reveals, there is no one-size-fits-all model of benefit-sharing with IPs to ensure a just transition. However, private sector and state commitment to three key Just Energy Transition Principles are essential: shared prosperity, corporate human rights due diligence, and fair negotiations. This requires their commitment to core processes and practices that recognise IPs as equal partners in negotiation, design and project implementation, ensure respect for their rights, including the right to Free, Prior and Informed Consent (FPIC), and place value on Indigenous knowledge, experience, governance and decision-making processes. This, in turn, provides a critical foundation for the promise these new models may hold.

Exploring shared prosperity: A primer for companies and investors

Key takeaways for the renewable energy company boardroom

Further reading

Our report above focuses on the concept of benefit-sharing and does not engage in detailed analysis of other rights and safeguards for activities affecting IPs. We, however, recognise that overall improvement of human rights outcomes for IPs in the context of the energy transition will depend on the full implementation of all rights and safeguards, rather than benefit-sharing alone or in isolation from them. These rights and safeguards - and the violations of them - are the focus of our and others' materials below.

Protector not prisoner:

IPRI and the Resource Centre explore how climate actions which do not centre human rights have been harmful to Indigenous Peoples, as well as the scale of attacks Indigenous defenders face when protecting their lands, territories, natural resources and communities from such projects.

Indigenous Peoples Declaration on the Just Transition

In April 2024, Indigenous Peoples' representatives from seven socio-cultural regions of the world set out the central importance of a global shift towards renewable energy and call out the catastrophic failure to respect the rights of Indigenous Peoples in the energy transition thus far.

Renewable energy and human rights benchmark

A rights-respecting renewable energy sector will be vital if we are to deliver a fast and fair energy transition. Our third global Renewable Energy & Human Rights Benchmark examines the human rights policies and practices of 28 of the largest wind and solar developers and manufacturers, finding that policies and practices on IP rights and land rights remain poor, despite these rights being the subject of the highest number of serious allegations.