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CNPC > Environment & Society > Public Welfare > Local Development
Local Development

9cf8a1e3e52e4315a74e902fc4295746 CNPC cannot achieve sustained progress without the support of local governments and communities. As a backbone state-owned enterprise, while building and operating major projects of exploration & production, refining & chemicals, and storage & transportation, we spare no efforts to drive local industrial development, optimize the industrial structure and create job opportunities in order to facilitate local economic and social development. We preferentially purchase and use the local products and services, provide the opportunities for the local contractors and service providers to participate in our projects, and support the development of local SMEs and start-up businesses. 

Adhering to the priciple of "mutually beneficial for common development", we respect local customs and try to benefit local communities with our development and achievements. Through donations, infrastructure construction and voluntary service, we improved local transport, healthcare and education facilities, which promoted local economic and social development.

In 2016, Fushun Petrochemical supported local government in attracting investments and building the industrial park. It provided 10 enterprises in Fushun High-tech Development Zone, including Qilong Chemical Co., Ltd., with C5 and C9 fraction from ethylene cracking, ethylene tar and other feedstock, and transported these materials for relevant supporting enterprises through mutual supply pipelines, promoting the development of deep processing enterprises in the industrial park. As a result, five industrial clusters (organic chemicals, fine chemicals, carbon fiber, synthetic rubber, and plastic wax) have taken shape, creating economic value and job opportunities.

In 2017, Kunlun Trust Co., Ltd. and Kunlun Royal Seal Factoring reached a 10-year Kunlun Royal Seal Property Rights No.1 Trust Plan with a total worth of RMB 500 million to support the development of socio-economy and enterprises in Karamay, Xinjiang.

CNPC in Xinjiang

2015 marks the 60th anniversary for the discovery of Xinjiang Oilfield. In the past 60 years, CNPC has built a complete petroleum industry chain, consisting of exploration & development, refining & chemicals, storage and transportation, marketing and trade, engineering technology, and financial service. Converting the local resource advantages into economic advantages, CNPC has helped Xinjiang become a major energy supply and guarantee base in western China.

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Protecting Indigenous Rights

Before the construction of a project, we conduct assessments of the social and economic impact, such as the requirements of the indigenous people, human rights, cultural heritage, involuntary resettlement, etc. We try our best to protect all the rights and interests of the indigenous people. We uphold standard operation in land compensation, and make compensation plans by referring to the opinions of the local governments, our partners, and the local villagers. Specifically, compensation is paid before land use, and the compensation information is released timely in order to ensure operational transparency.

Cattle Breeding and Fattening In Indonesia 

In 2003, PetroChina (Indonesia) signed contracts with local communities in Jambi Province and purchased 826 cows. The cows were handed over to the local villagers to breed. The newly born calves belong to the villagers and the cows are then handed over to other villagers to breed. The program not only relieves farmers’ economic burdens, but also effectively increases their incomes. After several rounds, hundreds of villagers have benefited from this program.

Cassava Plantation and Processing Plant in Venezuela 

Caico Seco means "dry low-lying land" in Spanish. It is a small Indian village located in El Tigre, Anzoátegui, Venezuela, with around 50 indigenous households living there.

In 2005, CNPC incorporated Caico Seco into its local community development program. It invited agricultural experts from Guangxi Agricultural Scientific Research Institute to investigate and evaluate this area, and then, on the basis of the natural environment and the soil and labor conditions, decided to implement the cassava plantation and processing project in this community.

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