Sapia's concern for high standards
Sapia is not yet three years old. The industry it represents - the lifeblood of any modern economy - is a hundred years old. . . as old as the first motorcar in South Africa.
The Association, acting as the mature petroleum industry's national voice, was founded in 1994 by the petroleum marketing and refining industry to help usher in a new era.
Sapia exists to promote:
open consultation and communication
free and fair competition
good governance and standards for a vital industry
matters of common
interest among competing oil companies
Sapia is the point of contact for
those wishing to learn more about a commercial service which affects every
South African's lifestyle.
Leading the Way
Corporations have a common duty to maximise shareholder value. But the oil companies, after a wildcat, hectic beginning in the 19th century, consolidated to become world leaders in recognising their social and environmental responsibilities as well. The South African petroleum industry is among those leaders.
In forming the Association, the local petroleum industry was deeply aware of the need to make South Africa a competitive nation, and the role that the availability and cost of fuel will play in achieving this target.
A Democratic Mission
Among Sapia's goals are the following:
to ensure good governance and the highest standards of conduct
to
promote consultation among members on issues of concern to the industry
to
create a forum for consultation between the industry, Government and other
organisations on issues of public interest, particularly matters concerning the
industry's effects on, and responsibilities to, society and the natural
environment
to seek consensus with Government and other role players on how
the industry should be re-shaped to best serve the new South Africa
to
inform and educate the public about the petroleum industry and improve
understanding of issues which affect all South Africans
to publicise the
industry's contribution to national welfare, and promote its image
to
represent the SA petroleum industry at international level.
Structure of
the Organisation
There are six founder members of the Association:
BP Southern Africa (Pty) Ltd
Caltex Oil (SA) (Pty) Ltd
Engen
Petroleum Ltd
Shell South Africa (Pty) Ltd
Total South Africa (Pty)
Ltd
Zenex Oil (Pty) Ltd
The Association is run by a Board of Governors
with a chairperson and vice-chairperson, changing on a rotational basis. The
first chairperson was John Drake, Chairman and Chief Executive of Shell South
Africa. He was succeeded by Mike Rademeyer, Chairman and Managing Director of
Caltex Oil (SA), in 1996. Dennis Poole, Managing Director of Total South Africa
is the chairperson for 1997. The director of Sapia is Colin McClelland, an
industrial spokesman with more than 30 years experience in the industry.
Sapia is an open and transparent association. It welcomes new members who qualify and who accept its goals and its ideals. It is pleased that emerging black oil companies are seeking membership.
Profile of Sapia's Membership
Public perceptions of the petroleum industry are often rooted in the "bad old days", when the new technology sparked off a "black-gold rush" and a wildcat fever. Those days are long gone, as are the TV "soapie" caricatures. Today's international oil companies operate with probity, under close scrutiny of numerous lobbies and interest groups. The chairperson of a major international oil company recently publicly stressed "a recognition of our moral obligations", and the multinationals are proud of their modern reputation on industrial safety and the environment. But a single refinery blast, a privateer's tanker spill, or one accident, instantly distorts perceptions about the entire industry.
Sapia members are more fortunate than most, and have a fine record. They have been in South Africa a long time, and intend to be here in the long-term. The petroleum industry has an unrivalled record in private enterprise for seeking openness, fair competition and democracy. The industry prides itself on having established itself as a moral industry based on firm ethical standards.
The industry is subject to the most demanding requirements of any producer. Its products are expected to be available 24-hours a day, and to be of consistent top quality, even in the remotest corners of the Republic.
The petroleum industry is the essential foundation of a growing economy. It is the basis for so much of the nation's productivity - from the machinery which powers factories to cosmetics; from the freight trucks which transport food and goods to clothing, heating, lighting and a myriad of daily necessities.
Corporate Responsibility
Sapia members have a staunch record of developing human potential in South Africa. Through long and dedicated programmes, the member companies have invested millions of rands in society. All have contributed heavily to general schooling and technical training, job creation, small business development, mass appeal sports, and development schemes.
Sapia members have welcomed the Reconstruction and Development Programme and, where necessary, tailored their existing and long-standing social investment programmes to enhance it. Without exception Sapia members have for more than 30 years, been at the forefront of socially responsible business practice, often leading the South African business community in good corporate citizenship. Sapia members have historically played a role in the battle against racism. Backed by their international parent companies they were also driven by a determination to establish non racialism as a guiding factor in South African business practices.
This has, in the past, meant challenging Government head on, disregarding racial laws and lobbying for change. This collective pressure undeniably played a significant part in the metamorphosis of the new South Africa. The international Sapia members resisted calls to disinvest, believing that their continued presence in the South African economy was more beneficial to the process of change - a position history has vindicated. As a result, there are today literally hundreds of non-governmental organisations in South Africa who have benefited from the enlightened social policies of Sapia members.
Oil companies were among the first to address inequalities in the workplace. They have always been among the leading companies in training and promoting managerial talent within the disadvantaged sectors of South African society - often seeing those they trained move on to other sectors of the economy. Many Sapia members are now being tapped for their expertise in social investment by groups in other parts of the world with similar developmental problems.
A report on social responsibility programmes follows.