Raising awareness of CSR instruments and building capacity in CSOs and Trade Unions in selected new member states EU a

1. Raising awareness of CSR instruments and building capacity in CSOs and Trade Unions in selected new member states EU a CSR TOYOTA PEUGEOT CITROËN AUTOMOBILE CASE Wien, 23. 4. 2006

2. GARDE- Global Alliance for Responsibility Democracy and Equity GARDE pays attention to the rapid societal changes connected to globalization processes. Its goal is to identify key problems arising in connection with this phenomenon and help people who are hurt by the negative impacts of globalization. GARDE currently tackle a problem of corporate accountability and its long-term goal is to make multinational corporations responsible in cases of negative impacts on society.

3. GARDE- Global Alliance for Responsibility Democracy and Equity • Program of the EPS • EPS is a public interest law organization protecting the environment and human rights through the law • GARDE is focused primarily on corporate accountability • GARDE is using strategic litigation • Cases: Danone case, NEMAK – Ford M. C. case, LG Philips, Toyota Peugeot Citroen, Hyundai, Czech Airlines etc.

4. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASE Plant

5. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASEProduct

6. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASEFACTS ABOUT THE INVESTMENT • TPCA is No. 1. Foreign direct investment in the Czech Republic • Value of the investment: 650 mil EUR • Investment subsidises: 116 mil EUR, 5 years tax holidays • 300 000 cars per year • 3000 employees

7. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASE Starting point • All proceedings concerning TPCA finished • Local community started being active • negative impact caused by transport connected with the operation of the TPCA plant • Increase of noise directly from TPCA plant • TPCA rejected to take any responsibility • Major of Kolín invited us to meet TPCA and city of Kolín representatives

8. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASEAnalysis Legal analysis • Contracts settled between Toyota M. C., PSA Peugeot Citroen and Czech government and City of Kolín • EIA procedure • Building permit CSR analysis • Overview of what both corporations promised

9. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASE Legal findings - The Memorandum of Understanding • Officials responsible for issuing important permitions were involved in the The Project Realization Team of the TPCA plant • Concreat deadlines for certain procedures example: specifically agreed deadlines for the construction of access communications connecting the plant despite there being no knowledge of the effects of the planned roads on the inhabitants of the affected villages and on nature within the Libický luh nature reserve.

10. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASE Legal findings – EIA procedure documentation assessing environmental impact was not composed for the TPCA plant in particular, but only for a general plan for an automobile production plant, without the concrete production technology being known

11. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASEToyota and PSA CSR provisions • Toyota M. C. received—as the first automotive company ever—the United Nations Environment Programme’s “Global 500 Award. • PSA was rated, in The Accountability Rating, published June 23rd, 2004, among the ten most socially responsible companies out of the world’s 100 largest multinationals. • Toyota M. C. as well as PSA has above standard environmental assessment provisions

12. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASE Toyota and PSA CSR provisions • protect the natural environment and to safeguard quality of life in the areas around its industrial sites, in all countries • further promotion of proactive prevention measures • further enhance measures to prevent legal noncompliance and complaints • “zero existence of illegalities."

13. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASEProposals • Creating CSR Rules for TPCA • Meeting the EMAS Standards • Putting Global Reporting Initiative (GRI) Standards Into Place • Support for the Civic Sector and Local Communities • An independent study of external impacts of the plant used by TPCA and its subcontractors, with an accent on traffic burden. Active reduction of traffic burden • Retraction of the request for an exception to the “restriction on the travel of certain vehicles”

14. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASE Proposals • Meeting the legal obligation to pay costs connected with necessary road improvements • Reparations and Protective Measures for the Citizens of the Village of Ovčáry • Anti-noise Measures and Structure Stability Measures for Affected Citizens in Velký Osek • Conservation Support for the Libický luh Wetland

15. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASE Results • ordered the preparation of a strategy proposal for a grant-making procedure • established a special grant-making procedure for the Civic Sector and Local Communities • retracted the request for an exception to the “restriction on the travel of certain vehicles. TPCA decided to build a special warehouse for these purposes • financed special anti-noise measures for residents of Ovčárecká street

16. TOYOTA PEUGEOT CITROËN AUTOMOBILE CASE Results • accepted our project proposal for revegetation around the plant • cooperation with GARDE on regional project to eliminate negative impact of the plant at nature in the region • Plans to have a code of conduct