Bryan EnsleinApril 15, 2008

Trans-Boundary Water Resources

Afghanistan, Albania, Algeria, American Samoa, Angola, Antigua & Barbuda, Argentina, Armenia, Aruba, Australia, Austria, Azerbaijan, Bahamas, Bahrain, Bangladesh, Barbados, Belarus, Belgium, Belize, Benin, Bermuda, Bolivia, Bosnia & Herzegovina, Botswana, Brazil,

British Virgin Islands, Bulgaria, Burkina Faso, Burundi, Cambodia, Cameroon, Canada, Cape Verde, Cayman Islands, Central African Republic, Chad, Chile, China, Colombia, Comoros, Costa Rica, Croatia, Curacao, Cyprus, Czech Republic, Democratic Republic of Congo,

Denmark, Djibouti, Dominica, Dominican Republic, Ecuador, Egypt, El Salvador, Equatorial Guinea, Eritrea, Estonia, Ethiopia, Fiji, Finland, France, French Guiana, French Polynesia, Gabon, Georgia, Germany, Ghana, Great Britain, Greece, Grenada, Guadeloupe, Guam,

Guatemala, Guinea, Guinea-Bissau, Guyana, Haiti, Honduras, Hong Kong, Hungary, Iceland, India, Indonesia, Israel, Italy, Ivory Coast, Jamaica, Japan, Jordan, Kazakhstan, Kenya, Kuwait, Kyrgyzstan, Latvia, Lebanon, Lesotho, Liberia, Lithuania, Luxembourg, Macau (Macao),

Macedonia, Madagascar, Malawi, Malaysia, Maldives, Mali, Malta, Mariana Islands, Martinique, Mauritania, Mauritius, Mayotte, Mexico, Moldova, Mongolia, Montserrat, Morocco, Mozambique, Namibia, Nauru, Nepal, Netherlands, New Caledonia, New Zealand, Nicaragua, Niger, Nigeria, Northern Ireland, Norway, Oman, Pakistan, Panama, Papua New Guinea, Paraguay, Peru, Philippines, Poland, Portugal,

Puerto Rico, Qatar, Republic of Congo, Republic of Ireland, Republic of Korea, Reunion, Romania, Russia, Rwanda, Saint Helena, Saint Kitts and Nevis, Saint Lucia, Saint Maarteen, Saint Vincent & the Grenadines, Samoa, Sao Tome & Principe, Saudi Arabia, Senegal, Serbia &

Montenegro, Seychelles, Sierra Leone, Singapore, Slovakia, Slovenia, Solomon Islands, South Africa, Spain, Sri Lanka, Suriname, Swaziland, Sweden, Switzerland, Taiwan, Tanzania, Thailand, The Gambia, Togo, Tonga, Trinidad & Tobago, Tunisia, Turkey,

Turkmenistan, Turks & Caicos Islands, U.S. Virgin Islands, Uganda, Ukraine, United Arab Emirates, United States, Uruguay, Uzbekistan, Vanuatu, Venezuela, Vietnam, West Bank-Gaza, Yemen, Zambia, Zimbabwe

1.3 Billion Coke “Beverages” Enjoyed Daily

77 Coke “Beverages” consumed per year per person

More than 70% of net revenues are generate outside of North America

Net Operating Revenues: $28.9 billion

In 2004 Coca-Cola used ~ 75,000,000,000 gallons of water

1993 TCCC (The Coca-Cola Company) re-enters the India market with India’s Liberalization policy

2003 accusations of pesticides and ground water depletion due to TCCC India products

National movement against TCCC products including widespread protests

National Bans Proposed for schools and public cafeterias

TCCC products contain extremely high level of pesticides (36 times the legal amount)

Farmers using products as a cheaper substitute for pesticides on crops

In Mehdiganj, Uttar Pradesh ground water levels depleted 24 - 40 feet

Plant sludge was dumped into rivers and onto farmlands

Sharad Haksar

The University of Michigan followed student led opposition and removed Coke products from campus

Boycotts and protests over TCCC actions in India were held all over the United States and Western World

TCCC was voted down as a sponsor to Live-8 as a result of public opposition

Killercoke.org

They must permanently shut down the bottling facilities in Mehdiganj, Kala Dera and Plachimada.

They must compensate the affected community members.

They must recharge the depleted groundwater

They must clean up the contaminated water and soil.

They must ensure that workers laid off as a result of negligence are retrained and relocated in a more sustainable industry.

They must admit liability for the long term consequences of exposure to toxic waste and pesticide laden drinks in India.

“Unthinkable! Undrinkable! Stop Human Rights Violations in Columbia and Environmental Devastation in India” A project of United Students Against Sweatshops, http://www.studentsagainstsweatshops.org/docs/CokeOrganizingManual.pdf

Decided to bow to pressures and undergo third party assessment

With the approval of the University of Michigan, hired The Energy and Resources Institute (TERI) based out of New Delhi

Meridian Institute hired to be a neutral third part between TERI and TCCC

Was a 16-month comprehensive report on six bottling plants in India

“The most comprehensive independent scientific public assessment of a beverage company ever conducted.” - Jeff Seabright Vice President, Environment & Water Resources

Two Assessment Levels◦ Level 1: “An assessment of regulations and

policies related to water resources management”

NA: Not applicable (not mentioned as a condition in the consent)

Two Assessment Levels

◦ Level 1: “An assessment of regulations and policies related to water resources management”

◦ Level 2: “An assessment of select Coca-Cola plants”

Plant Siting:◦ Water availability should be assessed from a long-term and

ecosystem point of view◦ Policy should around sustainable development◦ Policies need to recognize and respect the existing (formal and

informal) riparian rights

Water Quality◦ Compliance should meet TCCC standards

Corporate Social Responsibility◦ The company needs to strengthen its reputation with local

communities by taking local economic, social, and cultural norms and aspirations into account

Water Conservation◦ TCCC should try to be net water positive with respect to its own

operations from a watershed perspective

Was Coca – Cola responsible for holding its factories to a higher

standard than the Indian Government?

Should international law have a hand in regulating corporations

Discussion Question #1

Coca –Cola’s Social Actions

Over 68 Water Initiative Projects in 40 Countries

Almost $70 million contributed worldwide

Water Conservation Goals

Reduce:◦ Become the most water efficient user in the industry

Recycle:◦ By 2010 return all the water that we use for manufacturing

processes to the environment at a level that supports aquatic life and agriculture

Replenish◦ Replenish watersheds with the equivalent amount of water that is

used in all their products

Environmental Commitments

Plans for India

Attempting to reach zero water balance by 2009

Developing a global standard for effluent bacteria

Regional groundwater studies

Creation of the Coca-Cola India Foundation to aide in water sustainability, $10 million initial funding

Discussion Questions #2

Did TCCC deal with this situation appropriately and could have it been avoided in the first place?

Is Corporate Social Responsibility a result of Corporate Social Irresponsibility?

References: www.thecoca-colacompany.com

www.killercoke.org

Executive summary of the study on independent third party assessment of Coca-Cola facilities in India, TERI Report No. 2006WM21

THE ALLURE OF THE TRANSNATIONAL: Notes on Some Aspects of the Political Economy of Water in India. AIYER, ANANTHAKRISHNAN, University of Michigan, Flint. Cultural Anthropology, Vol. 22, Issue 4, pp. 640–658.

The Coca- Coca 2006 Environmental Report

Corporate responsibility: Has Coke become the new McDonald's: Drinks firm hit by hunger strike and college boycotts: Coca-Cola says it is a target because it is the top brand, Teather, David. GUARDIAN FINANCIAL PAGES; Pg. 29 August 18, 2006