In brief

  1. Somaliland Sun reported on 2014-09-27 that the Joint Shipping Initiative gave $1.5 million to a UNDP project.
  2. The funds were set to allow UNDP to start work in Alula, Bargal and Balanbal, but no outcomes after that date are documented.
  3. The report does not establish whether the projects were implemented or completed.

On 27 September 2014, Somaliland Sun reported that the Joint Shipping Initiative, a consortium of Shell, BP, Maersk, Stena, NYK, MOL and "K" Line, announced an additional $1.5 million in funding for a United Nations Development Programme (UNDP) project aimed at reducing piracy through onshore economic development. The announcement, dated 26 September, brought the consortium's total pledged to $2.5 million, fulfilling a 2012 commitment.

The UNDP project, titled "Alternative Livelihoods to Piracy in Puntland and Central Regions of Somalia", targets local economic development, job creation, training and business development grants. UNDP Somalia Country Director George Conway said nearly 67% of young people in Somalia are unemployed, a figure attributed to him without citing a source.

The additional funds were intended to allow UNDP to start work in the towns of Alula and Bargal near the tip of the Horn of Africa, and in Balanbal in central Somalia. The Somaliland Sun report, however, does not record whether work in any of these locations ever began.

Prior funding of $1 million, initiated by Shell in 2013, was reported to have helped expand a market building in Adado, a town in central Somalia, creating hundreds of jobs for retailers, and to have helped build a road linking the Hafun peninsula with the rest of the country, generating hundreds of temporary jobs. Training courses in computing, plumbing, building and clothes-making were also said to have been set up, though the report gives no locations.

Dr Grahaeme Henderson, Vice President of Shell Shipping & Maritime, said the consortium was encouraged by progress and looked forward to results from the new phase. Jens Munch Lund-Nielsen, Head of Emerging Markets Projects in Group Sustainability at Maersk, was also quoted. The report claims piracy costs the international community billions of dollars a year, but provides no source for that figure.

Somaliland Sun's report does not establish what happened after the announcement date. It provides no information on whether the Alula, Bargal or Balanbal projects were implemented, and it does not document any reduction in piracy attributable to the initiative.

Frequently asked questions

Which projects are planned or underway?

The funding was announced to allow UNDP to start work in Alula, Bargal and Balanbal, but no subsequent status is reported.

Who is funding the projects and at what value?

The Joint Shipping Initiative, comprising Shell, BP, Maersk, Stena, NYK, MOL and "K" Line, announced $1.5 million in additional funds, bringing its total pledge to $2.5 million.

How does this tie into counter-piracy efforts?

The UNDP project aims to reduce piracy by providing alternative livelihoods through economic development, job creation and training in Puntland and central Somalia.

Sources

  1. Somaliland: Shipping Consortium Counters Piracy with Development ProjectsSomaliland Sun, 2014-09-27, somalilandsun.com
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