Case story

  • Brazil

OECD NCP Brazil - MAB and Terra de Direitos vs Alcoa Alumínios

Brazil 2005

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Story

The complaint alleged that Alcoa Alumínios S.A. and Companhia Brasileira de Alumínio, which are part of the Grupo Votorantim, had knowingly utilized a fraudulent environmental impact assessment to construct the Barra Grande hydroelectric plant in the states of Santa Catarina and Rio Grande do Sul. The companies are majority shareholders in Baesa consortium, the company responsible for the construction.

Outcome

In September 2005, the Brazilian NCP accepted the case and held a meeting with the complainants. The head of the NCP promised to organize more meetings, but admitted that the political situation in Brazil would make it difficult to resolve the case. The Complainants heard from unofficial sources that the NCP planned to close the case due to a lack of evidence about the behaviour of the companies; however, the NGOs maintain they have sufficient evidence. No progress has been made since, and the Complainants consider the case “blocked”. They hope that the recent appointment of a new head of the NCP will handle the case more effectively than his predecessors.

References

OECD Watch case story page: http://oecdwatch.org/cases/Case_68

Contributor(s): This article was modified by Kyle (3), Nicolaclayre (3), and Ejfturnbull (1).