Corporate Social Responsibility Related to Oil, Gas and Petrochemical Industry- Case Study: Assaluyeh, Iran

Abstract

Abstract The Super Giant Largest Gas Field in the world, South Pars, is located in the Persian Gulf Waters between Iran and Qatar offshore. The E&P activities started in 1998 are based on Assaluyeh, the nearest area on the northern Persian Gulf coast to the South Pars Gas Field. In addition, there are already 5 Petrochemical Complexes in the area, which will increase to 25 complexes according to official government reports. These activities and complexes have converted Assaluyeh, a previously rural, undeveloped area into an industrial zone, which contributes more than 40% of Iran's Natural Gas Capacity, and is expected to raise its share to more than 50% in the near future. Despite many efforts done by the government to develop and extend infrastructures, the Assaluyeh district is faced with such issues related to sustainable development and social responsibility as severe environmental pollution, lack of education and health facilities for indigenous people, migration, unemployment, drug abuse, etc. The impact of industrial activities and air/water pollution on the archaeological area, Siraf, and sensitive mangrove area in the Nayband protected Bay are other issues to be addressed. This paper analyses the current strategy of CSR programs and budget distribution approach in the problem definition, approval, implementation, and supervision. A number of parameters which affect the effectiveness of CSR projects in Assaluyeh are also presented and discussed.