Transition Industries has reaffirmed its dedication to upholding human rights by setting ambitious goals for 2025 in alignment with the United Nations Guiding Principles on Business and Human Rights (UNGPs). The company has integrated these principles into its operations and projects, including the Pacifico Mexinol facility, a groundbreaking 6,145 metric ton-per-day ultra-low carbon methanol production plant in the municipality of Ahome, Sinaloa, Mexico. This policy emphasizes annual assessments, targeted action plans to address human rights risks, and active engagement with local stakeholders, particularly vulnerable populations.
Commitment to UNGPs and Security Principles
Juan Carlos Franco, the Country Security Director for Transition Industries, highlighted the dual alignment with the UNGPs and the Voluntary Principles on Security and Human Rights. “The duty to respect and protect human rights is foundational to how we operate,” he said, underscoring the company’s approach to integrating human rights considerations into corporate and project-level security practices.
Comprehensive Environmental and Social Impact Assessment (ESIA)
In 2024, Transition Industries collaborated with both international and Mexican consultancy firms to complete an Environmental and Social Impact Assessment (ESIA) for the Pacifico Mexinol project. This assessment aligned with global standards and included predictive analyses to identify potential human rights risks for rights-holders during the facility’s construction and operation phases. The ESIA findings prompted the company to implement several human rights mitigation strategies, demonstrating its proactive approach.
Risk Mitigation and Community Engagement Plans
The ESIA led to the development of key policies and mechanisms, including:
- A Community Relations and Indigenous Rights Policy, ensuring respectful and informed engagement with indigenous populations.
- A Project Security Management Plan to address safety while respecting human rights.
- A Community Feedback Mechanism enabling open channels for addressing community concerns.
- An updated Stakeholder Engagement Plan, incorporating over five years of consultations, with a focus on informed participation.
All these plans are set to be publicly disclosed via the company’s website and through local community interactions in 2025.
Strategic Community Investment and Gender-Based Violence Mitigation
Recognizing the broader social impact of its projects, Transition Industries has crafted a Strategic Community Investment Plan. This plan integrates insights from local residents, drawing on data from participatory studies conducted by the Autonomous Indigenous University of Mexico (UAIM). The initiative aims to enhance the socio-economic well-being of the region and will be rolled out in 2025.
The ESIA also addressed gender-based violence and harassment (GBVH), a critical area of concern. The company developed a Gender Equity and Inclusion Policy and a GBVH Risk Management Plan in collaboration with local specialists and government bodies like the Secretariat for Women in Ahome. These plans will include community and workforce training on legal, psychological, and economic empowerment to combat GBVH effectively.
Corporate Human Rights Assessment and Supplier Accountability
Transition Industries has conducted a corporate-wide Human Rights Self-Assessment using the Danish Institute for Human Rights’ Compliance Assessment tool. In 2025, the company plans to seek third-party validation of its assessment results, further demonstrating its commitment to transparency and accountability.
Additionally, the company will implement human rights compliance checks across its value chain, ensuring that business partners adhere to ethical standards as outlined in its Supplier Code of Conduct.
About Transition Industries
Based in Houston, Texas, Transition Industries specializes in developing large-scale net-zero carbon methanol and hydrogen projects in North America. The company aims to address climate change while fostering environmental and social sustainability. A key project, Pacifico Mexinol, is being developed in partnership with the International Finance Corporation (IFC), a member of the World Bank Group.
This comprehensive approach underscores Transition Industries’ dedication to not only meeting but exceeding global standards for human rights and sustainability, positioning it as a leader in ethical and environmentally responsible industrial development.
