Causecast

by TAMMY ROSECRANS, Causecast Editor

Recently, we’ve called attention to the human rights abuses caused by Chevron’s international business ventures. The oil company has been accused of indirectly funding the military dictatorship in Burma and has been involved in a 16 year legal battle with the indigenous people of Ecuador. It looks like U.S. Senators are finally taking an interest in bringing an end to these and other corruptions.

In a bipartisan effort, Senators Richard Lugar (R-IN), Ben Cardin (D-MD), Charles Schumer (D-NY), Roger Wicker (R-MS) and Russ Feingold (D-WI) introduced the Energy Security through Transparency Act of 2009 to Congress this week. The bill will force international energy and mining companies to release financial reports that will promote transparency and reduce corruption. All companies registered with the Securities and Exchange Commission (SEC), including all major oil and mining companies, would be required to disclose payments for raw materials and energy resources on a country-by-country basis. This will allow for better accountability in business practices, making U.S. energy sources more stable while also pressuring foreign governments to use revenues responsibly.

From a humanitarian perspective, enforcing a law of transparent resource expenditures is crucial in reducing poverty and building development projects. Dirty dealings much like the one of Chevron’s Yadana Pipeline project in Burma, which makes Chevron the military regime’s largest financial backer, will be forced into the light under this new bill. This transparency will help discourage future business ventures that prop up oppressive governments or trod upon human rights. All too often, resource rich countries fall victim to corrupt practices, instability, internal conflict, and war. The lack of transparency actually fosters corruption and promotes increased poverty as citizens in these resource-rich developing countries rarely see any benefit from the extraction of their resources.

Educate yourself by reading the bill. If you still need more information check out this helpful Q & A and 10 reasons this bill is critical.

Once you’ve got the facts, call your congressmen to support the bill.

Photo by euthman, flickr.