Commercial Negotiation with Indigenous peoples: Setting the Table for the Future Craig Jones Principal Adviser - Indigenous Affairs, Santos Doctoral Candidate Aboriginal Environments Research Centre, UQ

Commercial Negotiation with Indigenous peoples – 28 November 2006 Introduction Introduction Background Background Negotiation technique and strategy Negotiation technique and strategy Conclusion Conclusion

Commercial Negotiation with Indigenous peoples – 28 November 2006 Why should negotiation with Indigenous peoples be important for Industry now? Why should negotiation with Indigenous peoples be important for Industry now? Increased production related to supplying energy needs in Australia Increased production related to supplying energy needs in Australia Increased production related to suppling China with resources Increased production related to suppling China with resources Green House Green House Increasing competition between companies Increasing competition between companies

Commercial Negotiation with Indigenous peoples – 28 November 2006 Cultural Heritage Cultural Heritage Law in all States and a law of the Commonwealth Law in all States and a law of the Commonwealth Independent of tenure and to some extent native title Independent of tenure and to some extent native title

Commercial Negotiation with Indigenous peoples – 28 November 2006 Native Title Native Title Most of continent is sparsely populated and has always been so Most of continent is sparsely populated and has always been so Native title not extinguished over most of continent (at least 75%) Native title not extinguished over most of continent (at least 75%) Most native title claims unresolved Most native title claims unresolved Many areas unclaimed Many areas unclaimed ILUAs ILUAs

Commercial Negotiation with Indigenous peoples – 28 November 2006 New pressures New pressures Change in approach to Indigenous policy Change in approach to Indigenous policy Increase demand for labour Increase demand for labour Incorporation of social relations or community relations into the concept of sustainability Incorporation of social relations or community relations into the concept of sustainability

Commercial Negotiation with Indigenous peoples – 28 November 2006 Why negotiation? Why negotiation? Only realistic and pragmatic response. Only realistic and pragmatic response. Real question concerns risk management in areas where social factors are significant. Real question concerns risk management in areas where social factors are significant. The native title claims process provides someone definitive to negotiate with either as registered claimant or as determined native title holder The native title claims process provides someone definitive to negotiate with either as registered claimant or as determined native title holder ILUAs provide a tool to combine different outcomes such as cultural heritage and native title ILUAs provide a tool to combine different outcomes such as cultural heritage and native title

Commercial Negotiation with Indigenous peoples – 28 November 2006 People People One problem has been difference in power – company versus community One problem has been difference in power – company versus community Addressed by relationships with people around the table Addressed by relationships with people around the table Authority to act within know parameters Authority to act within know parameters Limited changes to negotiation group Limited changes to negotiation group Engagement beyond the table Engagement beyond the table Smoko Smoko Negotiation as if more than one iteration Negotiation as if more than one iteration Listening to one another (history and commercial reality) Listening to one another (history and commercial reality) Lawyer role management Lawyer role management

Commercial Negotiation with Indigenous peoples – 28 November 2006 Consistency? Consistency? Transparency Transparency Engagement across multiple groups Engagement across multiple groups Throwing the divide a conquer rule out the window Throwing the divide a conquer rule out the window Incorporating government initiatives Incorporating government initiatives Global consistence vs local detail Global consistence vs local detail Negotiate as if more than one iteration Negotiate as if more than one iteration

Commercial Negotiation with Indigenous peoples – 28 November 2006 Structure Structure Process – Id parties, Id issues, Id solutions, Test solutions, plan implementation, check back Process – Id parties, Id issues, Id solutions, Test solutions, plan implementation, check back Structure according to clear headings – compensation, cultural heritage, employment, business opportunity, equity Structure according to clear headings – compensation, cultural heritage, employment, business opportunity, equity Local details as innovation/creativity Local details as innovation/creativity

Commercial Negotiation with Indigenous peoples – 28 November 2006 Conclusion Conclusion Risk management approach Risk management approach Zero risk approach not appropriate Zero risk approach not appropriate Social/political risk is manageable and quantifiable using the techniques above (likelihood vs consequence) Social/political risk is manageable and quantifiable using the techniques above (likelihood vs consequence) Agreements represent a significant innovation in Industry with a view to increasing sustainability and profitability. Agreements represent a significant innovation in Industry with a view to increasing sustainability and profitability.