A SEED JAPAN Position Paper for PrepCom4

2002.5.23

The key area of the Johannesburg Summit is
how to establish international rules for corporate accountability.

In 1992 at UNCED, corporate lobby groups emphasized voluntary initiatives only w ithout mentioning corporate accountability itself（*1）. In the last decade Tran s-National Corporations have expanded their power. In 2002 the WSSD is faced wit h the important issue of corporate accountability.

At PrepCom II, the United Sta tes, Canada, Mexico and the Republic of Korea demanded that the statement concer ning corporate accountability in consensus document be deleted（*2）. This clear ly means that voluntary initiatives will be used. In addition, on　May 9th 2002 “the Chairman’s text for negotiation（*3）” provided by Chairperson Salim ex plicitly discussed the need to “Promote corporate responsibility and accountabi lity and the exchange of good practices, including through public/private partne rships and voluntary initiatives [building, inter alia, on the UN Global Compact （*4）and the OECD Guidelines for Multilateral Enterprises（*5）,as appropriate], as well as by using tools such as environmental management accounting and environmental reporting”.

However most NGOs call upon “legally binding international rules” rather than “voluntary initiatives”. NGO discussion paper - Input to NGO position for PREP COM IV（*6）”. This paper says “The WSSD must endorse corporate accountability and regulation. A legally binding framework/convention for corporate accountabi lity and liability under the UN, with independent mechanisms for monitoring progress and enforcement, is needed” On the other hand, on March 2002 BASD’s chief Lord Holme rejected “calls from NGOs for the main outcome of the upcoming World Summit on Sustainable Development in Johannesburg to be the global regulation of large Companies（*7）.”

We, A SEED JAPAN (head office in Tokyo), insist that a legally binding internati onal framework/convention for corporate accountability is needed to accomplish s ustainable development as an ultimate goal. At the WSSD in Johannesburg held in August 2002,

we call upon national governments to agree to: Launch international conferences to establish “a legally binding international framework/convention for corporate accountability and liability”. Besides to accomplish the above agreement we also call upon the following foundations.

1.To reform an institution that monitors behavior of TNCs under the UN.
2.To establish a system by which corporations are required toindependently verified　issue environmental reports.
3.To review Global Compact and ultimately enhance transparency of theprogram.

References
*1：Corporate Watch / Greenwash+10
http://www.corpwatch.org/
*2：Yoko Kitazawa “What is debated at PrepCom II”
*3：Chairman's text for Negotiation
http://www.johannesburgsummit.org/
*4：Global Compact
http://www.unglobalcompact.org/
*5：OECD Guidelines for Multinational Enterprises
http://www.oecd.org/
*6：Danish 92 Group / Input to NGO position for Prepcom4
http://www.rio10.dk/
*7：ICC　
http://www.iccwbo.org/index_sdcharter.asp

For more Info:
A SEED JAPAN
Rio Minus campaign Director: Yuki Tanabe
e-mail：NH4K-TNB@asahi-net.or.jp
Web：http://www.rio-10.org/