Offshore oil exploration and impact assessment in Greenland

Greenland needs development. Oil and mineral extraction is pursued as a means to achieve economical growth. Fisheries, hunting and tourism are the main pillars in the Greenland economy in 2015. These businesses are however sensitive to potential negative impacts from oil and gas development. Local benefits are expected to derive from oil and gas projects, but these benefits cannot be achieved without careful planning and project management. To secure that negative impacts are mitigated and that positive outcomes are achieved, Impact Assessments (IA) have been implemented as in the Greenlandic regulation system in relation to oil and gas projects to promote sustainable development. Additional Impact Benefit Agreements (IBA) have to be negotiated between the communities potentially affected, the Government and the oil companies to assure that social investments are made to secure long-term benefits for the local communities. In the following sections I present a short description of the current situation in Greenland in relation to oil and gas development, then the Impact Assessment tool is introduced and how the tool is included in the oil and gas project management practice for offshore oil exploration in Greenland. Finally I discuss challenges related to securing local benefits when implementing this new industry.