KUCHING: We constantly read about Corporate Social Responsibility (CSR) programmes, be it in the newspapers, social media or company annual reports. But what exactly does CSR imply?
According to the United Nations Industrial Development Organization (UNIDO), CSR is a management concept whereby companies integrate social and environmental concerns in their business operations and interactions with their stakeholders.
CSR is generally understood as being the way through which a company achieves a balance of economic, environmental and social imperatives (Triple-Bottom-Line-Approach), while at the same time addressing the expectations of shareholders and stakeholders.
In Sarawak alone, there is an abundance of CSR programmes in both environmental and human development categories as many companies take up the responsibility to develop the local community and take care of the environment for future generations.
As such, all eyes are always on corporations and what programmes they are undertaking to conserve the environment — this is especially so for oil and gas giants such as Shell Malaysia (Shell) and Malaysia LNG Group of Companies (MLNG).
Shell, which has been in Sarawak for more than a hundred years, caters to one-third of Peninsular Malaysia and half of Sabah and Sarawak’s market requirements.
In addition to being the petroleum retail market leader in the country, the company noted that under production sharing contracts with Petroliam Nasional Bhd (Petronas), Shell is the largest natural gas producer in Malaysia.
With its roots firmly established in Malaysia, Shell has gone all out in creating various CSR programmes which are beneficial towards sustaining the environment from which it derives its energy resources. This is part of its international strategy globally.
MLNG, part of the Petronas Group and the country’s first Liquefied Natural Gas (LNG) project, has also shown its keen interest in partaking in the preservation of the environment, especially the marine life via its successful reef ball project.
The group’s key activities include acquiring natural gas, liquefying the natural gas into LNG, arranging LNG transportation and finally LNG marketing and trading.
MLNG and Petronas are currently focused on sustainable development and intends to bring the conventional CSR programmes to a more advanced level known as corporate social investments (CSIs).
“We are looking at making contributions that can sustain into the future and give longer lasting impact, instead of a touch-and-go effort,” Norazibah Md Rabu, head of public affairs, MLNG said.
With that, BizHive Weekly takes a in-depth look at Shell and MLNG, and the ways in which they have each contributed to the conservation of the environment in Sarawak.
SHELL : The birth of Piasau Nature Reserve
Among one of Shell’s outstanding CSR initiative here is the Piasau Nature Reserve – a place for the local community to enjoy nature at its finest.
This idea first came about when the decision was made to close Piasau Camp after having served as a housing settlement for Shell’s employees back in the 1960s.
Piasau Camp was built by Shell to meet the housing needs of senior employees who were in Miri on assignment. The camp was a quiet and unfenced area of about two hundred houses, with the shore of the South China Sea fronting its western perimeter and the Miri River on the other, bisected by a main road.
By 2005, Miri had grown from just 20 households to 200,000 people and achieved city status. In 2010, in recognition of the development of Miri and the city’s ability to adequately provide for Shell staff housing needs, a decision was made to close Piasau Camp, and to relinquish the land to government. The last resident moved out at the end of 2013.
Following the decision to close Piasau Camp, the project team from Shell began to explore the idea of converting it into a conservation area as a positive and lasting legacy to Miri.
With a casuarina-tree shaded area in the camp home to a nesting family of Oriental Pied Hornbills – the only known site for natural breeding in an urban setting in Malaysia – the site is ideal for birdwatching and nature walks, and a favourite of the Malaysian Nature Society.
Shell added that the area is also home to birds, mammals, amphibians, reptiles, butterflies and plant species, making walks through the reserve all the more exciting for visitors who can discover and learn about the different types of flora and fauna on the premises.
The idea quickly took root with a study by Universiti Malaysia Sarawak firmly recommending that the camp be converted into a nature reserve while the local community also began to hold ‘nature walks’ in support of this cause.
Efforts to convert the land to a nature reserve thus began in January 2013 and with the backing of the relevant authority Sarawak Forestry Corporation Sdn Bhd (Sarawak Forestry), stakeholder engagements began at every level of the Sarawak government and Petronas, the national oil company overseeing production sharing contracts with Shell, and from whom Shell sub-leased the site at Piasau.
In mid-2013, the Sarawak government indicated they were supportive of this project and further announcements to that effect were made over the second half of the year.
Less than a year later, in April 2014, the Sarawak State Cabinet approved the gazetting of the Piasau Nature Reserve, much to the joy of everyone involved.
On May 10, 2014, the Miri community and everyone involved arrived for a ground-breaking ceremony for the new nature reserve. Most jubilant were hundreds of local Mirians, who never thought it could happen.
The ceremony was jointly organised by Sarawak Forestry Corporation, Shell and Petronas and officiated by the Head of State His Excellency Pehin Sri Haji Abdul Taib Mahmud.
Shell and Petronas contributed RM5 million (just over US$1.5 million) each towards the conversion, work that includes renovating the old Shell school into a visitors’ centre, and enrichment planting to make the area even more friendly for wildlife.
As part of de-commissioning of the area, most of the houses will be demolished and the area reinstated to as close to its former state as possible – these costs are separate from the social investment contribution of RM5 million.
All in, the Piasau Nature Reserve has served to showcase Shell’s partnership with Petronas and the Sarawak government in developing the community.
According to Shell, the gazettement of the former Piasau Camp as a Nature Reserve symbolises a gift to Miri, birthplace of the oil and gas industry.
Shell Malaysia chairman Iain Lo who led much of the stakeholder engagement for the project said, “Over the years we have been blessed to have recorded many technological and business firsts here in Miri.”
“We are equally proud of the impact we believe we have had on the socio-economic landscape and the lives of people.
“This continues the long tradition of positive contributions made by our upstream operations in Sarawak over the last 100 years.”
Despite having been a residential area previously, the proposed Piasau Nature Reserve is home to 45 species of birds, including hornbills, two species of egrets and mammals such as palm civet, prevost squirrels, rats and plaintain squirrels.
Five species of amphibians, twelve species of reptiles, ten species of butterfly and a hundred and eleven plant species, including small trees and shrubs, and four species of figs were also recorded on site.
As the Piasau Nature Reserve is situated close to the beach, the vegetation along its shoreline provides protection from the winds and the waves and hence prevents beach erosion.
The nature reserve is expected to become the one stop conservation education centre in Miri, allowing the local schools to use it forest as a living classroom.
Spreading environmental awareness
Education is the key to spreading awareness, especially if a company wants to promote any particular cause close to their hearts and where better to start than at our very own schools where students are better able to understand the gravity of the situation and also influence other like-minded individuals their age.
One of Shell’s environmental awareness campaigns is a joint effort with the Natural Resources and Environment, Sarawak (NREB) and is in the form of a NREB-Shell Eco-Awareness Seminar for Rural Secondary Schools in Sarawak.
The objective of this project is to create and enhance environmental awareness among students through talks, and workshop routines.
With this seminar, Shell also aims to train youths to think creatively and critically on balanced sustainability and healthy environmental concept, inculcate a sense of responsibility among the younger community members to act and be involved in protecting the environment through the activities undertaken.
In addition, the project aims to gauge the youth with environmental awareness level pertaining to environmental issues such as environmental pollution and waste management.
To date, there are a total of 90 to 100 rural students from all divisions in Sarawak participating in this seminar.
Sarawak’s NREB first embarked on an environmental education programme for schools in Sarawak with the establishment of Environmental Club or Kelab PALS in 1999.
To date, a total of 325 schools throughout the State, including both primary and secondary, have been assisted by the NREB to form the Kelab PALS at their respective schools.
The main objectives of the Kelab PALS are to provide an organizational structure for students to develop and pursue their interests in environmental conservation and protection.
It is also to encourage and guide students in schools on types of activities which could be carried out by them to instill the love for the environment.
In the past decade, Shell has been approached to sponsor the programme as it is and has been a familiar and strong corporate partner in promoting and organizing Schools Related Environmental Education and Awareness programmes.
This provides the opportunity and platform for the schools community, such as students, teachers, school administrators or the education department officers, to instill the spirit of love, care and take greater ownership to better the environment for the future generations.
NREB’s on-going EEA programmes that have Shell as the strong supporter are namely the ECO-Camps, Train-the-Trainers Programmes, and Sarawak Serasi Award (Shell Malaysia Gas & Power, since 2004).
The Sarawak Serasi Award – which targets schools – aims at appreciating the sustainable effort by the school fraternity in implementing environmental education and conservation, enhance awareness on the importance of environmental conservation and preservation at school level and inculcating positive and caring for the environment among students and the local community.
It also aims to create and develop environmental education which emphasizes on environmental custody and rehabilitation and creating co-operation among government agencies, community, the non-governmental organisations (NGOs) and private sector in environmental conservation.
Aside from the above, Shell also promotes environmental education with Sarawak’s Department of Environment (DOE) via the DOE-Shell Sustainable Environment School Award (Lestari Award) and Environmental Education Workshop for Teachers project.
The workshop, which gathers science teachers and teacher-in-charge of Environmental Clubs from primary and secondary schools throughout Sarawak and Sabah, aims to introduce and promote the Lestari Award and environmental education modules for teachers.
According to Shell, the Lestari Award consists of various components – environmental values, curriculum, co-curriculum and green activities in schools.
The company added that the long term objective is to create sustainable school environment incorporating environmental conservation management and awareness involving school community, parents and public.
At present, the programme runs in both Sarawak and Sabah.
As with its parent company, Sarawak Shell Bhd (Sarawak Shell) has also been active with its environmental awareness initiatives as it has been working in partnership with various government agencies to educate school children on environment.
Sarawak Shell’s Environmental Education Nature Camps for School Children (Nature Camp) are nature camps organised with the underlying objectives of educating students on the importance of environmental care and conservation.
The company noted that various environment-related activities are conducted for students, aiming to provide environmental and nature education to students and raise awareness of students on nature and issues related to the environment.
These activities aim to encourage students to appreciate, love and protect nature by showing positive attitude and care for our natural heritage through hands on and active participation in the nature camp activities.
Since 2001, Nature Camps have been an ongoing program run by the Nature Camp Committee, comprising Sarawak Shell, working in partnership with related government agencies such as the Miri Education Department, Sarawak Forestry, Forests Department Sarawak,Natural Resorces and Environment Board – Nothern Region,
Department of Environment – Miri Branch, Miri City Council and Northern Sarawak Journalists Association.
MLNG: The BEACON of hope
As for MLNG, the Biodiversity, Environmental and Conservation (BEACON) Project is a signature CSR programme developed in collaboration with Sarawak Forestry and has been lauded by many for its unique approach towards conserving Mother Nature.
The project was first conceptualised in 2012 and its key objective is to conserve the marine life in Bintulu through a multi-prong approach. It was then officially launched on April 12, 2013 following the signing of a Memorandum of Understanding between MLNG and Sarawak Forestry.
It is executed and monitored by the BEACON Taskforce and Technical Working Committee made up of MLNG and Sarawak Forestry representatives.
The two components of the BEACON Project are the BEACON Reef Ball Project and the Conservation, Education, Promotion and Awareness (CEPA) Programme.
Under the BEACON Reef Ball Project, 1,500 artificial reef balls will be deployed into the sea off the coast of the Similajau National Park which is located adjacent to the Petronas LNG Complex in Bintulu.
To be deployed in stages, over a period of three years, the reef balls are expected to create a haven for marine life as well as prevent illegal trawling activities in the vicinity of the national park. MLNG will contribute up to RM4.6 million for this component of the project.
The second component, CEPA, focuses on instilling in members of the public the awareness of environmental conservation through events and activities.
You may wonder, “Why reef balls?” MLNG and Sarawak Forestry explained that reef balls have been proven as effective tools for marine conservation, protection and enhancement.
“Before 1998, approximately 70 to 100 adult turtles were found dead along the coast of Sarawak annually. Illegal trawling activities were also rampant.
“With this discovery, drastic actions were taken as the Forests Department Sarawak purchased six reef ball moulds,” they said.
Since then, reef balls have been deployed off the coast of Sarawak, in Sematan (Pulau Talang Talang Kecil, Batu Penyu and Pulau Talang Talang Besar), Telaga Air (Pulau Satang and Tukong Ara),
Bintulu (Tatau), Santubong (Kampung Buntal, Teluk Kerangan and Laut Mersan, Tanjung Sipang) among other areas.
Following the deployment of reef balls, results are coming in the form of a significant decrease in the number of dead turtles while
annual marine fish landing increased.
The reef balls used in the BEACON Reef Ball Project are made of special material mimicking natural limestone.
As they have the same pH level as sea water and are non-toxic and non-organic, they are not dangerous to the environment.
Prior to the deployment, the BEACON Taskforce and Technical Working Committee kept a watchful eye on the construction process to ensure that these large one-tonne structure were up to specifications.
On June 19, 2013, MLNG along with Sarawak Forestry successfully deployed the first 250 artificial reef balls into Bintulu waters.
Tuan Zakaria Kasah, MLNG’s vice president and chief executive officer (CEO) had said during the opening address at the event, “It is our hope that the BEACON Project will set in motion a butterfly effect for the growth of marine life here in Bintulu.”
He added that the spillover effects from the BEACON Project were expected to spread into multiple sectors.
The enhanced biodiversity of the marine life in Similajau would not only increase fishermen’s catches, but the accelerated growth rate of corals and fishes would transform Similajau into a tourist magnet. With that, he believed that the hospitality, aviation and consumer industries would grow in tan-dem.
Datu Sudarsono Osman, Permanent Secretary from the Ministry of Resource Planning and Environment, commended MLNG and Sarawak Forestry for combining their expertise for the biggest marine conserva-tion project ever undertaken in Sarawak, adding that “This is an excellent example of the government and private sector working together to achieve a common goal for the better-ment of the state in environment conservation.”
The second reef ball deployment took place from August 13 to 20 and saw the smooth deployment of yet another 250 reef balls, thereby concluding deployment activities in 2013.
During the benthic survey stage of the second reef ball deployment under the BEACON Project, MLNG and Sarawak Forestry divers involved managed sneak a peek at some of the 250 reef balls deployed in June.
Soft corals were observed to have grown just two months after the deployment which was noted to be speedier than aver-age.
This, MLNG and Sarawak Forestry noted, indicated that the efforts under the BEACON Project had begun to bear fruits.
The following year saw the deployment of more reef balls as MLNG and Sarawak Forestry, in a feat to be more efficient in the BEACON Project,
decided to deploy all 500 reef balls for the year 2014 in one go.
The deployment, which was conducted from May 8 to 18, was a success as the team promptly monitored the reef balls’ descent onto the seabed after they arrived from Kuching on two separate barges.
It was however not all that straightforward as divers from MLNG and Sarawak Forestry had arrived days prior to the deployment in order to carry out one of the most pivotal parts of the whole process – the benthic survey, which entailed careful and concise marking of the exact locations where the reef balls were to be planted.
The divers, divided into several groups, were to explore the seabed marked to be the locations where the reef balls were to be dropped to ensure that the surface and depth were suitable for the one-tonne structure to be placed.
After surveying the seabed, GPS location readings were taken and markers were attached to these spots to ensure that the reef balls were dropped at the correct spots during deployment.
Upon arrival of the barges, the deployment began at two different spots to ensure efficiency. When dropping the reef balls, the divers took turns supervising the process and would immediately leap into action when the hooks were not able to be released smoothly.
When the cables were stuck on the reef balls and refused to let loose, the divers would have to play the crucial role of diving down to release them manually.
The entire process took a total of ten days to complete.
The BEACON Project now has another 500 reef balls to deploy into Bintulu waters by the end of 2015.
CEPA Programme
The BEACON Project’s Cetacean Aerial and Boat surveys, which are conducted to gauge the number of marine life in Bintulu waters, were first carried out in May 2013 and had then yielded plenty sightings of marine life off the coast of Similajau National Park.
The Aerial Survey was conducted on May 11 and saw the participants from both MLNG and Sarawak Forestry survey the waters for a total of seven hours and 40 minutes.
The total area covered during the survey was 3,523 square kilometres in which 35 sightings were recorded. The majority of the sightings were of dolphins, which makes up about 83.3 per cent while whale sharks and big sharks were also spotted.
Dolphin sightings also recorded the highest number of individuals sighted, with a total of 229 individuals and the lowest was the big shark with only one individual.
The Boat Survey, on the other hand, was held from May 17 to 18 with the total distance travelled throughout the survey at 248 kilometres (km) and with a total area of 1,868 square kilometres.
Only three sightings were recorded on the first day, with a total distance of 53 km from shore, with a total of 28 individuals recorded.
The year 2014 saw the teams exploring wider parameters and making new, unexpected discoveries of the dolphin and whale species.
The two surveys took place back-to-back, with the Aerial Survey leading the way. The survey efforts on March 29 were concentrated from 30 to 120km offshore perpendicular to the coast of Batang Kemena near Bintulu Town till Kuala Similajau at the national park.
From the air, the team recorded a total of 27 sightings, comprising 148 individuals of unidentified large and small dolphins and one Fin whale (confirmed after the preliminary photograph analysis) – this means that the sighting rate was at 6.22 per hour. The Fin whale was the first record sighting in Sarawak.
A few days later, the Cetacean Boat Survey was carried out over the course of three days, taking the team across a distance of 235.6 nautical miles.
A total of 10 sightings with 163 individuals from various species of dolphins such as Indo-Pacific bottlenose dolphins, Long-Snotted Spinner dolphins, Pan-Tropical Spotted dolphins and Dwarf Spinner dolphins were spotted during the survey.
The BEACON Project committee affirmed that this is the first record of the Dwarf Spinner dolphin in Sarawak waters and made up the 18th species of marine mammals ever recorded in Sarawak.
The sighting rate for this expedition was 4.25 per 100 nautical mile survey distance – much higher compared with the sighting rate of 2.26 sightings per 100 nautical miles recorded during the 2013 boat survey.
About 40 per cent of the sightings were found within 35 nautical radius of Kumang cluster rig which recorded a significant number of individuals per pod.
With the survey taking place once to twice a year, the public can expect more exciting sightings of marine life for the year 2015.
Friends of Nature
With the objective of educating the general public about the importance of environmental conservation, the CEPA component under the BEACON Project proceeded to do so with school students at the ‘Friends of Nature 2013’, which was then in its sophomore year.
The camp was held at the Similajau National Park from October 20 to 23 and saw the participation of 38 students from seven different secondary schools in Bintulu: SMK Asyakirin, SMK Bandar, SMK Baru, SMK Kemena, SMK Kidurong, SMK Sebauh and SMK Tatau.
It is aimed at instilling in its participants awareness of the importance of environmental conservation and to ignite in them a passion for nature’s offerings.
Held for four days and three nights, the participants were brought on an adventure, accompanied by their foster parents from MLNG and SFC as well as the teachers from their respective schools.
Notable activities over the next four days and three nights included crocodile-watching at Sungai Likau, caving at Similajau Cave, a nature walk at the national park and a beach-cleaning session which served to allow participants to see for themselves how badly the environment has been polluted.
At the end of the event, Zakaria said to the students he hopes that they have gained greater understanding of the message behind this programme and cherish this experience.
To further instill a sense of responsibility among the younger generation, the following year saw MLNG appointing 50 secondary school students as their ambassadors of environmental conservation during the closing ceremony of ‘Friends of Nature 2014’.
Construction of turtle hatchery at Similajau
As the BEACON Project entered into the second year of its execution in 2014, more varied types of programmes were being rolled out so that it can achieve the desired results under the project. One such programme is the turtle hatchery.
According to Sarawak Forestry representatives, at Similajau National Park, turtle landings are not a rare occurrence at all. However, they noted that the lack of consistency with these turtle landings was a cause for worry.
With high demand for turtle eggs by poachers and predators, these turtles are on the path to extinction if dire actions are not taken to increase the survival rate of the hatchlings. In fact, according to the WWF, nearly all species of sea turtle are classified as ‘endangered’.
It was with this in mind that the construction of a turtle hatchery at Similajau National Park was included in the CEPA component of the BEACON Project.
More than 30 volunteers from various departments at MLNG showed up at the national park on August 9 and 10, 2014 to not only help with the construction of the structure of the turtle hatchery but to transport sand from the nearby beach to the site using wheelbarrows.
Equipped with shovels, hoes and various equipment, the team toiled away, scooping sand onto the wheelbarrows and pushing it to the site, further from shore.
The volunteers soon managed to fill a respectable amount of sand onto the structure. However, the work was far from completed, with the workers expected to gather once again to ensure that the baby turtles have a safe home.
Reef and Beach Cleaning
In September 2014, MLNG organised the first BEACON Project Reef and Beach Cleaning at the Similajau National Park, in collaboration with Sarawak Forestry.
Launched by MLNG’s then-general manager of human resources department, Ahmad Laila Set, the event was a first of its kind under the BEACON Project since its official launching back in April 2013.
The event was preceded by a two-day reef exploration and monitoring by a team of MLNG and Sarawak Forestry divers to monitor the natural reefs within the protective borders of Similajau National Park on September 17 and 18.
The objective of the programme is to promote the awareness of the importance of environmental conservation by allowing the volunteers to see for themselves the level of pollution caused by people who do not properly dispose of their rubbish as well as to let them experience first-hand the massive efforts required to rid nature of these pollutants.
In this programme, approximately 90 volunteers were gathered at the national park to clean up the pollutants and garbage from the beach and the underwater reefs. Some 16 of the volunteers dived down to the reefs nearby Batu Mandi and the BEACON Project reef balls to collect the garbage stuck on these reefs while the rest of the volunteers roamed the long stretch of beach at Similajau National Park to do the same.