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23 Sep 2024

Southeast Asia: Survey on the human rights policies of renewable energy companies

The Resource Centre invited 12 renewable energy (RE) companies operating in Southeast Asia to participate in a survey concerning human rights policies that are intended to prevent or mitigate potential adverse impacts as the sector scales up rapidly. The survey was complemented by desk research on available online corporate policies.

Companies included in the survey:

1) are based in or have considerable operations in the top four countries in the region in terms of capacity generated from solar and wind energy sources (according to the Global Energy Monitor’s Global Solar Power Tracker and Global Wind Power Tracker): Vietnam, Thailand, the Philippines and Malaysia;

2) have considerable operating and projected capacities.

To date, there is no unified data ranking renewable energy companies in Southeast Asia. As such, the survey relies on sources of publicly available information online, including government data, lists from market intelligence firms, industry monitors, media articles and company disclosures.

The companies included in the analysis are:

Vietnam

  1. Trungnam Group is based in Ho Chi Minh City, Vietnam, with most its projects and capacity in Vietnam. The company reported capacities is 698.1 MW and 794 MW(AC) from wind and solar farms respectively.
  2. Bamboo Capital Group JSC (BCG) is based in Ho Chi Minh City, Vietnam, investing in solar, wind, and waste-to-energy sources. As of December 2023, the company reports a capacity of 594 MW from solar farm and rooftop sources.
  3. Gia Lai Electricity Joint Stock Company (GEC) is based in Gia Lai Province, Vietnam. It deploys three core types of energy source: hydro, solar and wind. The company discloses a capacity of 350 MW from solar plants and 230 MW from wind farms.

Sources: Vietnam Credit; Global Energy Monitor using DEVI Renewable Energies as published in Wikipedia

Thailand

  1. B. Grimm Power Public Company Ltd. (B. Grimm) is based in Bangkok, Thailand, with operations worldwide. It operates power plants in Thailand, Malaysia, Laos, Vietnam and Cambodia and reports a capacity of about 811.7MW of solar power in these countries.
  2. Wind Energy Holding Co. Ltd. is based in Bangkok, Thailand. It focuses on wind energy, with 270 wind turbines and reports an installed capacity of 717 MW.
  3. Gulf Energy Development (Gulf Energy) is based in Bangkok, Thailand. The company reports solar power capacity of 119.4 MW and 464.8 MW in operation.

Sources: Mordor Intelligence; Reccessary

Philippines

  1. ACEN Corporation (ACEN), based in Makati, Philippines, is the energy platform of the Ayala Group with presence in presence in the Philippines, Australia, Vietnam, India, Indonesia, Lao PDR and the U.S.A. Its Philippine assets have a combined capacity of 825 MW.
  2. Solar Philippines Power Projects Holdings Inc. (Solar Phils.), a solar energy company based in Makati, Philippines reports over 300 MW of generating capacity and 10,000 hectares of land for solar farms.
  3. Vena Energy is a company based in Singapore with operations across the globe. In Southeast Asia it operates in the Philippines with capacity of 248 MW, Thailand with capacity of 73 MW, and Indonesia with capacity of 93 MW from solar and wind energy sources.

Sources: Mordor Intelligence and Tracxn

Malaysia

  1. Solarvest Holdings Bhd. (Solarvest), based in Kuala Lumpur, Malaysia, operates in seven Asia Pacific countries with a combined capacity of 262.65 MW for large scale solar energy projects.
  2. Plus Xnergy Holding Sdn. Bhd. (Plus Xnergy), based in Kuala Lumpur, Malaysia, is a provider of engineering, procurement, construction and commissioning (EPCC) services for large-scale solar power plants in Southeast Asia. It has developed solar farms with a combined capacity of 115.9 MW.
  3. TNB Engineering Corporation Sdn. Bhd. (TNB Engineering), based in Selangor, Malaysia, is a subsidiary of Tenaga Nasional Berhad (TNB), is an EPCC provider with projects capacities amounting to 109 MW(ac) in the domestic environment.

Sources: Mordor Intelligence and Get Solar

The survey was designed using key indicators from the Resource Centre’s global Renewable Energy and Human Rights Benchmark. This Benchmark is anchored to international standards on business and human rights and relies on existing indicators of the World Benchmarking Alliance. These indicators include those which are based on 1) core policies and practices – founded on the UNGPs; and 2) salient human rights issues – specific policy, practice and performance proxies for key salient risks and issues for the wind and solar energy sectors.

A total of 13 indicators are used for the Benchmark. As the survey is a preliminary assessment with a regional focus, the questions are based on the following seven simplified indicators:

1) Governance and policy commitments

Whether companies publicly commit to respect all internationally recognised human rights (including the UNGPs and other instruments) across its operations; and whether companies’ human rights policy commitments are communicated and overseen at the board level.

2) Indigenous Peoples’ and affected communities’ rights

Whether companies commit to respect Indigenous Peoples’ rights; whether companies regularly engage with legitimate representatives of communities affected by their activities on human rights issues; and whether companies have public commitment to respect land rights of legitimate tenure rights-holders.

3) Local energy access

Whether companies have put in place actions to support access and affordability of renewable energy in communities; and whether companies support government policies and actions to address local energy access challenges.

4) Labour rights (including protection against forced labour)

Whether companies publicly commit to respecting the principles concerning fundamental rights at work in the eight ILO core conventions; whether companies, in their operations and contractual arrangement with suppliers, require respect for the right of all workers to form and join a trade union of their choice and to bargain collectively; whether companies disclose key data regarding its health and safety performance; whether companies establish clear responsibilities and accountability for the implementation of its supply chain policies that address forced labour; and whether companies have fully mapped its solar panels supply chains.

5) Protection of human rights and environmental defenders

Whether companies publicly commit to not tolerating threats, violence, surveillance or physical or legal attacks against HRDs, including avoiding the use of SLAPPs; and whether companies require suppliers, contractors, subcontractors, other entities in its supply chain to comply with the company’s human rights and other rights-related policies and procedures.

6) Embedding respect and human rights due diligence

Whether companies proactively identify their human rights risks and impacts on an on-going basis; whether companies assess them and then prioritise their salient human rights risks and impacts; and whether companies integrate findings of human rights risks and impacts into relevant internal functions and processes to take appropriate actions to prevent, mitigate or remediate its salient human rights risks and impacts such risks.

7) Remedies and grievance mechanisms

Whether companies have mechanisms through which workers (salaried or otherwise employed) can raise complaints or concerns, including in relation to human rights issues in a way that ensures grievances can be reported safely, without intimidation or retaliation; and whether companies provide for or cooperate in remediation to victims where it has identified that it has caused or contributed to adverse human rights impacts.

Out of the 12 companies invited by the Resource Centre to participate in the survey, only two substantively responded: ACEN Corporation and B. Grimm Power Public Company Ltd. One additional company (Vena Energy) merely referred to its website and company reports. The company responses are linked below.

Timeline