"Veolia loses 7.5 billion due to Boycott Divestment Sanctions:
"Israel rail operator quits under boycott pressure"
On the Web at:
http://www.alarabiya.net/articles/2009/06/08/75238.html
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Boycott Divestment Sanctions campaigns in Europe forced Veolia to back out on rail way deal in Israel |
CAIRO (Marwa Awad)
A European corporation scrapped Monday a rail way project that was to be built on occupied Palestinian territory to link Israeli settlers after a global boycott campaign succeeded in mounting enough pressure on the company to cost it considerable losses.
Veolia Transport, a subsidiary of the French multinational company Veolia Environnement, abandoned a multi-million dollar project that was to build an urban train system linking Jewish settlers in east Jerusalem with those in the West Bank, Israel's left-leaning Haaretz reported.
Veolia has been trying to sell its five percent stake in Citypass, the light rail consortium overlooking the whole project, and toss the project to other transportation companies. But reneging on the long term government contract will prove difficult because any change in ownership structure needs Tel Aviv's permission.
"Veolia usually signs long term contracts with governments for infrastructure and waste management projects and these can go up to 25 years," Tom Hayes, from Boycott Israeli Goods (BIG) in the U.K. , told Al Arabiya.
Veolia Transport lost billions as boycott divestment sanctions campaigns filed lawsuits against it The light rail tramway system would connect east Jerusalem settlements such as Pisgat Ze'ev, French Hill, Neve Ya'akov and Gilo to larger settlements in the West Bank like Ma’aleh Adumim, in a massive network that was set to improve settler traffic, according to BIG and Haaretz.
Once built, the rail system would give Israel a firmer grip on east Jerusalem, which under international law is considered illegally occupied, and tie the settlements even more firmly into the state of Israel.
While the complete rail way system consisting of eight lines is set for completion in 2020, the first line was due to open in 2010. |
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Boycott victory " This is the first smashing and convincing victory of the global Boycott Divestment Sanctions movement in the field of corporate responsibility and ethical compliance " Omar Bargouti, BDS in Palestine
The company's participation in the construction and future operation of the tramway drew the ire of advocacy groups around the world, which campaigned against Veolia’s breach of international law.
“This is the first smashing and convincing victory of the global Boycott Divestment Sanctions movement in the field of corporate responsibility and ethical compliance,” Omar Barghouti, head of the Boycott Divestment Sanctions, a global campaign started in 2004 against Israel for building its separation wall, said in a statement.
Two months ago a French court heard a lawsuit by a pro-Palestinian group linked to the sanctions campaign in France and demanded the light rail project be halted.
The organization based itself on an article in French law that allows the court to void business agreements, signed by French companies, which violate international law. |
The lawsuit is among other campaigns including a Dutch one that convinced a Dutch bank to divest from Veolia for violating international law, has cost the company a huge loss of $7 billion in contracts.
Swedish Palestine solidarity groups have also campaigned against Veolia, resulting in a loss of $4.5 billion in contracts for running the Stockholm metro.
British solidarity groups and activists affiliated with the Palestine Solidarity Campaign, succeeded in excluding Veolia from a lucrative contract in the West Midlands.
Many United Nations resolutions and the 2004 Advisory Opinion of the International Court of Justice on the separation wall, which rights groups call and Apartheid wall, have slammed Israeli settlements and the annexation of east Jerusalem as a violation of international law.
Settlements violate Article 49 of the 4th Geneva Convention and recently American President Obama demanded Tel Aviv stop its settlement expansion.
BIG is currently campaigning at six local councils two of which are in Birmingham and Hampshire to prevent Veolia Transport from undertaking a contract for building cycling paths throughout the kingdom. |
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