Statkraft has announced its intent to engage in discussions with additional indigenous groups regarding its Los Lagos hydropower project in Chile.
Ingeborg Dårflot, Executive Vice President International at Statkraft, stated: “We are positive about engaging in dialogue with additional indigenous groups around our Los Lagos hydropower project in Chile. We have tried to establish dialogue with these groups for a long time.”
The Norway-based company is responding to a complaint filed by certain indigenous groups from the Mapuche community with Norway’s National Contact Point for Responsible Business Conduct. The complaint alleges violations of the OECD Guidelines for Responsible Business Conduct. The contact point has opted to facilitate mediation between Statkraft and the groups.
Dårflot emphasized: “We will enter this mediation in good faith and with a desire to find solutions.” She noted that the run-of-river hydropower plant is nearing completion. She said that Statkraft has engaged in productive discussions with many local indigenous groups throughout the process.
Since acquiring the project, Statkraft has held over 500 meetings with various stakeholders in the Los Lagos region. The company aims to adapt the project to local needs while adhering to high ethical standards and respecting human rights.
Previous concessions
Statkraft previously held a concession for the Osorno power plant on the same river. The company chose not to proceed after consultations revealed potential adverse impacts on the local population. The concession has been returned to the authorities, allowing the area to revert to the indigenous community.
“The stopping of the Osorno project shows that we take indigenous concerns seriously,” said Dårflot. “In the Los Lagos project, we have assessed that it is possible to develop renewable energy and at the same time take necessary local considerations. However, it is the case that all renewable projects will have some impact on people and the environment.”
The Los Lagos project is a run-of-river power plant. It has with an installed capacity of 52MW, currently in the final stages of construction after beginning in 2019. The plant utilizes river flow directly, avoiding the need for a reservoir.