Q&A for M&AOSB Website

Q: Will there be any coal fired power plants to produce electricity?

A: There will be no coal fired power plants (in M&AOSB).

Q: We would like to know which ministry approved these surveys for M&AOSB’s project.

A: We got the permission from MIC. Union Ministries such as Ministry of National Planning and Economic Development, MOREC, and other union level departments are included in this commission. Investors need to get approval from MIC and only permitted companies can do investments.

Q: The MIC permit was given before the ESIA completion. Is there a procedural abnormality?

A: There are conditions on the MIC permit approval and only when these conditions are satisfied, can the project proceed. EIA activity is one of these conditions. Without getting the ECC, we cannot continue the project. To get the ECC, we have to accomplish the EIA survey.

Q: What are the plans to prevent the Bio-diversity species from harm by the smoke emitted and waste produced?

A: The nature of this business is mainly on the logistics services and the operation is smokeless. It will not take much of the sea area and will have very little impact on the bio-diversity in the sea.  Moreover, there is the Environmental Management Plan in place to mitigate the effects on the environment.

Q: How would you conserve the biodiversity in this project area since it is a shallow water area (shallow water marine environment)?

A: Every area has its own biodiversity. If we want real development for the benefit of our future generations, we need to take a risk. All the ministries related to this project, regional governments and CSOs will be checking in on our project activities. We have noticed that there are a lot of hotel businesses near our project area. They may have their own ways of developing this area. The best thing is if we can all agree on a common goal in developing this area without affecting anyone. If we commit to something that could potentially damage the environment, our project will be halted according to 2015’s Myanmar Environmental Conservation Law. Therefore, we will try our best to affect as little damage as possible on our environment.

Q: Did this M&AOSB project get permission for construction? Our understanding is that you are still carrying out feasibility surveys.

A: Yes, we already got the official MIC permit. However, we still need to work hard to meet the requirements of related government departments – especially to get the certificate from the Environmental Conservation Department (ECD). In addition, we are also trying to get the consent of the local community for this project. However, at the same time we are working on land acquisition as preparations according to our business development plan. We will explain and report to the local community at every step of our project.

Q: Is it completed after the EIA report is submitted? I learned that the impacts are measured and will it be monitored throughout the process?

A: The submitted EIA report will be reviewed by the ECD and the team organized with 15 different departments. The comments from the review process need to be responded and corrected. Only after the review team is satisfied with the revised report, the ECC will be issued. The project can start only after the ECC is obtained.

 Q: No one has told us what kind of jobs will be offered to local residences. We are wondering how secure these jobs are, how much workforce your company will hire, on which positions and for how long.

A: During the construction period of our offshore supply base, it is estimated we will be using a workforce between 400 and 700. 70% of this workforce will be local. All the construction needs like the construction materials such as bricks, sands, etc. Those materials, we will also buy as much as possible from local suppliers. The same policy goes to hiring for the workforce. There will be welding jobs, construction jobs and so on. (Based on the skill sets, these jobs will be offered to locals first.) There will also be vocational trainings for the workforce. So, if workers can improve their skills, then they will get better salaries and better positions. If the project is permitted for 30 years, we will be doing all this for the whole 30 years.

Q: We understand that recruitments will be made for the OSB project. We would like to know the salary range and contract period.

A: Yes, it is true. During the construction period, we are expected to require a workforce between 400 and 700. 70% of this workforce will be local. Depending on the skills and competencies, the job grades will be different. Based on the job grades, our Human Resources Department will calculate the pay scale.

Q: What is the annual budget for your CSR work programs? Under what criteria are the programs prioritized?

A: When we applied for the MIC permit, we committed that we will use 3% of our net profit for CSR work. However, it will be a very long time before our business starts to make a profit. Therefore, we are now initiating our CSR work programs instead of waiting for the profit as proposed before.