Contractual social investment

As mentioned earlier, contractual social investment refers to the resources that companies allocate for the development of socially focused projects derived from what is established in E&P contracts and environmental licenses. In 2016, companies allocated $48 billion, of which 53% of the resources come from compliance with the obligations established in the environmental license and 47% for the development of projects framed in the Programs for the Benefit of Communities as defined in the E&P contract minutes.

The execution of this type of social investment was mainly developed in Putumayo, Casanare, Arauca, Boyacá, Córdoba, Bolívar, Santander, and Meta. In these eight departments, 83% of the resources were concentrated. When comparing these figures with those of previous years, there is evidence of an increase in contractual investment in 2016 compared to 2015, the year in which the investment was $28 billion. This increase is mainly due to companies focusing on compliance with contractual obligations and the closure of commitments defined within the framework of environmental licenses and E&P contracts. Of the last five years, 2012 was the year with the highest number of investments, reaching $221 billion.

Regarding social investment focused on the development of PBC, during 2016, of the $22 billion, 30% of the resources were allocated for the execution of productive projects, 29% for habitat, water, and sanitation projects, 13% in institutional strengthening, 10% in community strengthening, and the remaining 18% was invested in education, strengthening ethnic communities, project formulation, health, promotion of microenterprises, and the environment.