The role of the private sector
48. The level of private donations made worldwide
for humanitarian assistance has been increasing over time.[70]
Private contributions are particularly significant in relation
to high profile disasters, as was demonstrated by those which
occurred during 2005. According to a Reuters study, private donations
exceeded government pledges in 8 of the 20 countries which were
the biggest donors to the humanitarian response to the Indian
Ocean Tsunami Disaster.[71]
According to Reuters, private donations from the UK totalled
$663 million (£351 million), while the HMG pledge was $445.2
million (£236 million).[72]
The generous response of private individuals in the UK to the
South Asian Earthquake, reflected the proportion of the UK population
with links to the sub-continent.
49. In addition to monetary donations, private individuals
often choose to make donations in kind. Where such donations
fulfil specific unmet needs they are clearly useful. However,
in-kind donations may be inappropriate and even hinder relief
efforts. In Pakistan we heard that road access to areas affected
by the South Asian Earthquake for humanitarian actors had been
hindered by private individuals driving into the area to deliver
goods that they had collected from family and friends. 90% of
the tents distributed were not 'winterised' (designed to withstand
the cold of Himalayan winter)[73]
and the streets of Muzaffarabad had been littered with unwanted
second-hand clothes. In the aftermath of the earthquake, as in
most other humanitarian situations, cash donations allowed the
greatest flexibility for humanitarian agencies to meet the needs
which they identified. We applaud the initiative taken by DFID
and the DEC in producing their booklet Disasters and Emergencies
Overseas: How you can help[74]
to guide private individuals and organisations who wish to make
a contribution to humanitarian emergencies. We
recommend that DFID and the DEC consider ways in which the key
messages contained in the Disasters and Emergencies Overseas publication
can be more effectively disseminated.
50. In our oral evidence session with the Secretary
of State, we discussed the possibility of DFID producing a booklet
on best practice in volunteering, including twinning initiatives.[75]
We appreciate the speed with which DFID followed up this discussion
with supplementary evidence setting out how they plan to address
these issues.[76] We
look forward to an update from DFID within the next twelve months
on the possibility of using twinning initiatives to support the
Department's work in raising development awareness.
51. Private sector involvement in humanitarian response
to natural disasters takes a variety of forms, from philanthropy
and donations in kind, to profit-oriented activities, such as
tendering for reconstruction contracts or selling products. The
growing 'corporate social responsibility' (CSR) agenda, which
we examined in detail in our July 2006 report on Private Sector
Development, has made private sector organisations increasingly
keen to be seen to be involved in development and disaster relief
work.[77] We heard the
example of a UK company donating bottled water, which was flown
to the Maldives by DFID following the tsunami.[78]
Although companies may be keen to become involved in this way,
searching questions always need to be asked about the economic
rationality of transporting goods across the world which could
have been sourced locally, thereby supporting the economy of a
disaster-affected region. The NRC told us that the majority of
the materials they had used in their emergency shelter programme
had been sourced from South Asia.
52. In their written memorandum, Crown Agents comment
that the variety of ways in which the private sector has become
involved in humanitarian response has made it difficult to track
systematically the contributions made by companies to humanitarian
work. It is difficult to ensure that the private sector organisations
that involve themselves in humanitarian work adhere to the principles
and standards which are integral to the humanitarian sector.
Potential conflicts could arise as a result of the increasing
involvement in humanitarian activities of "the private sector,
whose actions are primarily motivated by profits, in a highly
value-laden sector, where the work of traditional actors has been
predominantly driven by a sense of moral obligation and a duty
to promote and protect basic human rights."[79]
Nevertheless we acknowledge that some companies respond with a
similar sense of wider moral obligation and duty especially in
terms of the provision of skills and expertise.
53. We recommend that DFID should
take a leading role in engaging the private sector in humanitarian
responses. It should formalise this involvement by promoting
the establishment of a network of private sector organisations
involved in humanitarian response through which information and
training on humanitarian standards and principles could be delivered.
The wider context
54. In this chapter we have examined the roles played
by various actors in the initial UK response to humanitarian disasters.
This individual country response occurs within the context of
the international humanitarian system. Analyses of the shortcomings
of this system have identified the need to improve the timeliness,
appropriateness and equity of international responses to humanitarian
disasters. The next three chapters look in turn at proposals
for reform of: the coordination and leadership of international
response capacity; the level, mechanisms and equity of financing;
and, the measurement of needs and of collective performance.
For each of these three areas, we examine the problems which have
been identified and the initiatives which seek to address them.
41 The current members of the DEC are: ActionAid, British
Red Cross, CAFOD, Care International UK, Christian Aid, Concern,
Help the Aged, Islamic Relief, Merlin, Oxfam, Save the Children,
Tearfund and World Vision. Back
42
Ev 220-222 [Norwegian Refugee Council] Back
43
Minutes of evidence taken before the International Development
Committee, 11 July 2006, Q 34 Sir Suma Chakrabarti, available
online at http://www.publications.parliament.uk/pa/cm200506/cmselect/cmintdev/c1491-i/c149102.htm. Back
44
Comments made during a private seminar on Humanitarian Response
to Natural Disasters held by the IDC, 25 May 2006. Back
45
Ev 127 and 129 [DFID] Back
46
See http://www.dfid.gov.uk/emergencies/humanitarian_update.asp. Back
47
DFID told us that NGOs and INGOs play a useful role by lobbying
to raise awareness of less well publicised emergencies [Ev 129]. Back
48
Q 276 Mr Jan Egeland Back
49
Q 34 Mr Toby Porter; Q 48 Mr Marcus Oxley, Tearfund; Q 290 Mr
Jan Egeland Back
50
Q 135 Mr Nicholas Stockton, HAP-I Back
51
'Corruption, fraud, haunt Tsunami efforts' (23 September 2006),
The Guardian. Back
52
Q120 Mr Nicholas Stockton Back
53
Comments made during a private seminar on Humanitarian Response
to Natural Disasters held by the IDC, 25 May 2006. Back
54
Ev 129 [DFID] Back
55
Discussion with NGO representatives in Muzaffarabad, Pakistan,
27 June 2006. Back
56
Minutes of evidence taken before the International Development
Committee, 10 March 2005, Q 10 Hilary Benn MP and Mr Peter Troy,
available online at http://www.publications.parliament.uk/pa/cm200405/cmselect/cmintdev/328/5031002.htm. Back
57
See http://www.dec.org.uk. Back
58
See http://www.dec.org.uk/index.cfm/site_id,1/asset_id,892. Back
59
Vaux et al, 'Independent evaluation of the DEC tsunami crisis
response; Report to the DEC board' (December 2005), available
online at http://www.dec.org.uk/uploads/documents/dectsunamievaluationfinalboardreportdec_Y1F1A.pdf.
Back
60
Q 54 and 55 Mr Brendan Gormley, Disasters Emergency Committee Back
61
Q 61 Mr Brendan Gormley Back
62
The use here of the term "media" tends to homogenise
the very wide range of print, electronic and broadcast services,
which we acknowledge may address humanitarian emergencies in very
different ways.The comments we make are of a general nature. Back
63
Q 1-4 Ms Lyse Doucet, BBC World Television and World Service Radio
and Mr David Munk, The Guardian Back
64
Q 2 Mr David Munk Back
65
Q 10 and 11 Mr David Munk Back
66
Q 13 Mr David Munk Back
67
Media actors might, for example, impede the work of humanitarian
actors by monopolising or inflating the cost of scarce resources,
such as transport and local personnel, in emergency situations. Back
68
Our witnesses from the BBC and The Guardian emphasised
that their organisations were set up in a way which meant that
they were not driven by commercial imperatives.But all media organisations
face financial constraints on their activities. Back
69
Q 4 Ms Lyse Doucet Back
70
Comments made during a private seminar on Humanitarian Response
to Natural Disasters held by the IDC, 25 May 2006. Back
71
See Reuters Alertnet Tsunami Aidwatch at http://www.alertnet.org/thefacts/aidtracker/fulldonors.htm. Back
72
The Reuters figure for the UK's total aid pledge includes £75
m for emergency humanitarian relief, £65 m for rehabilitation
and reconstruction, £45 m of debt relief for Sri Lanka and
£50 m of "gift aid" tax relief on tsunami-related
donations from the public. Much of the long-term aid has been
channelled through Indonesia's multi-donor trust fund. Back
73
Discussion with NRC representatives in Mansehra, Pakistan, 28
June 2006. Back
74
Available online at http://www.dfid.gov.uk/emergencies/default.asp. Back
75
Q 377 Mr John Bercow MP, Rt Hon Hilary Benn MP Back
76
Ev 152 [DFID] Back
77
International Development Committee's Fourth Report of Session
2005/06, Private Sector Development, HC 921-I and II, July
2006. Back
78
DFID 'DFID Situation Report: Indian Ocean earthquakes and tsunamis
26 December 2004, Sitrep No.10 31 December 2004 'A First Choice
Holidays plane, left Manchester Airport 29 December loaded with
17.28 tonnes (17,280 litres) of bottled water donated by Scottish
Water, following an urgent request from the Government of the
Maldives.' Back
79
Ev 200 [Crown Agents] Back