A characteristic of many of many mining operations is their remoteness, which can have an impact on communities in relation to the provision of public infrastructure, access to health and education services and availability of employment opportunities.

For some communities, those factors can also contribute to higher than average rates of drug and alcohol abuse, which in turn affects quality of life, public amenity and community sustainability. For the company, it can also translate into workplace issues related to employee health, safety and productivity.

BHP Billiton implements employee support and education programs at its sites and also contributes to community alcohol management programs, in consultation with government, NGOs and community groups. Such a program has been initiated by the Groote Eylandt Mining Company (GEMCO), in which BHP Billiton is a 60% shareholder.

The Groote Eylandt Liquor Management Plan

GEMCO operates a manganese mine on Groote Eylandt off the east coast of Arnhem Land in the Gulf of Carpentaria in the Northern Territory. The mine, which is the major industry on the island, is located on the western coastal plain and the ore is shipped from the port of Milner Bay located at Alyangula, the main town on the island.

The Traditional Owners of Groote Eylandt are the Anindilyakwa people. Operation of the mine is contingent upon both special purpose and mining leases granted by the Traditional Owners and the Commonwealth Government. Included in the lease agreements is a formal commitment by GEMCO to manage the impacts of alcohol on the local communities.

Over the four decades since mining began, GEMCO and the Indigenous community on the island had tried various strategies to manage these issues, with limited success. In 2002, GEMCO, Northern Territory Police and various other community stakeholders in partnership with the Traditional Owners initiated the development of a liquor management plan that would address the concerns of the traditional Owners and the wider community, and be sustainable.

Their approach was to conduct a process based on consultation and collaboration with the broad range of stakeholders, including the Anindilyakwa Land Council (which represents the Traditional Owners), Indigenous and non-Indigenous residents, drinkers and non- drinkers, community councils, licensed premises, other local businesses, government agencies and the police.

As the remote location of the island presents particular issues regarding the import of alcohol into the community, travel service providers were also enlisted as part of the solution process.

A liquor management committee, representing the various stakeholders, was formed to oversee development and implementation of the plan. After three years of extensive community consultations and the preparation of numerous drafts (13 in all), the Groote Eylandt Liquor Management Plan was passed as law under the Northern Territory Liquor Act in May 2005 and implemented on 1 July 2005.

The plan is specific to Groote Eylandt and applies only to the island. A key aspect is an alcohol permit system that enables permitted persons to possess and consume alcohol within restricted areas. Requirements for permit holders are clearly specified, along with consequences for failure to comply. There is a provision for the suspension of takeaway liquor sales during times of community tension.

Positive results for the whole community

According to John Langrell, Acting Health Care Manager, Angurugu Health Centre, the outcomes from the introduction of the liquor management plan have already had positive benefits for the health of the communities on Groote Eylandt. “The ongoing benefits will be seen for years to come as the health of the community members continues to improve,” says Langrell.

Data provided by the Northern Territory Police Force indicates the introduction of the plan has had a positive impact. In the period from July 2005 to April 2006, alcohol-related criminal charges decreased significantly compared with charges in the preceding period of July 2004 to April 2005:

• General disturbance charges decreased 70% (from 217 to 65)
• Assaults charges decreased 78% (from 27 to 6)
• Aggravated assault charges decreased 80% (from 41 to 8)
• Unlawful entry charges decreased 78% (from 139 to 31)
• Unlawful holding of weapons charges decreased 50% (from 32 to 16)

Though not quantified at the time of writing, it can be assumed that the fall in criminal charges will also be having a positive impact on local health statistics associated with alcohol-related issues, such as treatments for assaults and domestic violence.

To date, the impact on local licensed businesses has not been adverse. While sales of takeaway liquor items have dropped, the decrease has been minimal and balanced by increases in sales of some other items. Within the community generally, there is anecdotal evidence that concerns about security and disturbances have decreased and there is less tension.

Liquor management successes

Dr Alan Clough, Senior Research Officer at the Menzies School of Health Research, was involved in the development of the liquor management plan. When he returned as an official observer of its implementation, he reported: “In Alyangula, generally, many of the liquor issues and associated violence, and concerns about security of residences and other property, have reduced to now be almost non-existent by all accounts. It is of interest that the community generally seems to be more aware that all access to liquor is a conditional privilege subject to the standards and expectations of the wider community.

“In the Groote Eylandt archipelago these standards and expectations are exercised in a more immediate and direct fashion than happens in wider society, a feature of the liquor management arrangements which probably underpins much of the success of their operations to date. In this regard, the continued successful operation of the local liquor management committee is fundamental to the sustainability of this uniquely successful intervention.”

The introduction of the Groote Eylandt Liquor Management Plan has directly assisted GEMCO, which has seen absenteeism within the Rehabilitation and Mine Services department reduced from an average of 7.8% to 2.4%. Other local employment programs are also recording similar decreases in absenteeism. GEMCO has noted that its relationship with the Traditional Owners has improved significantly and they display greater confidence that the company will fulfil its alcohol management obligations under the lease agreements.

Contact: Sustainable Development and Community Relations Department
Telephone: +61 1300 554 757
Website: www.bhpbilliton.com

BHP Billiton's Sustainability Report 2006: http://sustainability.bhpbilliton.com/2006/