Is the German Supply Chain Due Diligence Act (LkSG) a toothless tiger or will it have consequences?

I was rather surprised when I read an article recently reporting on a complaint filed on the basis of the GSCDDA (LkSG) accusing a company of disregarding human rights in Indonesia. The complaint was submitted to the Federal Office of Economics and Export Control (BAFA) and they have to act now.

A limestone mine and cement factory are planned which would have impact on water availability and soil quality. This would as a consequence then also have  serious impact on the livelihoods, food situation and health of indigenous people and farmers in the Kendeng region.

The German government already in 2024 asked the company in question to disclose their environmental and social risk assessment of that location.  https://www.inclusivedevelopment.net/indonesia/german-government-calls-on-heidelberg-materials-to-disclose-environmental-and-social-risk-assessment-for-indonesia-mine/ 

It will be interesting how this matter develops and if the BAFA will follow the strict requirements of the initial law or if the restrictions discussed by the present German government's in their proposed amendment will get the upper hand.

#LkSG #GDDL #GSCDDA #humanrights #environment #BAFA #Indonesia #mining