South-east Asian green mining pressure to grow

Subject Mining operations and environmental and social factors in South-east Asia. Significance Philippines environment minister Regina Lopez warned in October that her country may ban all new mines as part of an environmental audit that has already halted ten projects. Tensions between miners and local communities, coupled with government demands for a greater share of revenues, have led to other shutdowns in Indonesia, Laos, Malaysia, Thailand and Vietnam. Impacts Investors will likely take their money outside the region unless mining bans are relaxed. Weak global demand will hinder efforts to build onshore refining capacity as an export substitution. Pressure will mount on mining operations to adhere to green practices and corporate social responsibility.

2021 ◽  
Vol 2 (1) ◽  
pp. 55-81
Author(s):  
Abdisa Olkeba Jima

Mining, specifically, large-scale gold mining has become one of the primary economic activities that play a pivotal role in the socio-economic development of one country. But there is no consensus among scholars whether gold mining companies maintain mutual benefits with local communities. The main objective of this research is to scrutinize the mechanism to be employed in reopening Lega Dambi large-scale gold mining by maintaining mutual benefits between the company and the local community. The researcher employed a qualitative method and a case study research design. Focus group discussions and semi-structured interviews were used to collect data from the local community, elders, religious leaders, Abbaa Gadaas, Guji Zone, and Odo Shakiso Woreda investment office, land management office, social and labor affair, mineral, and energy office administrators, and Odo Shakiso Woreda health station and Adola hospital. Secondary sources and regulatory frameworks such as FDRE Constitution and Mining Operations Proclamation No. 678/2010 were used to triangulate with primary data. The finding shows that Lega Dambi's large-scale gold mining company failed to maintain mutual benefits between itself and the local community. Basic tenets such as national and regional corporate social responsibility, community development agreement, impact and benefit agreements, social and labor plan, and social license were not implemented properly to balance the mutual benefit between the company and the local community. The researcher concluded that Lega Dambi large-scale gold mining company disregarded the role of the local community during commencement time albeit it had a strong relationship with the central government. Consequently, the company was terminated because of a bad relationship it had with the local community. It is recommended that national and regional corporate social responsibility that shows the company’s specific joint administration of the central and Oromia region governments should be designed and implemented fully. It is also recommended that discussions should be held with local communities and arrived at a consensus concerning the reopening of the company.


2015 ◽  
Vol 11 (3) ◽  
pp. 605-621 ◽  
Author(s):  
Jose Ventura ◽  
Cesar Sandro Saenz

Purpose – The aim of the study is to propose a model for conducting socially responsible operations in the mining industry, thriving to reach and sustain world-class standards in regard to profitability and environmental sustainability. The model uses a framework built upon a set of best practices in social responsibility by some of the largest mining companies in Peru. Design/methodology/approach – The methodology adopted emphasizes the scrutiny of best practices among 92 initiatives undertaken by 10 companies – 5 large and 5 mid-sized companies as measured by the ratio “amount of investment” – which contributed most to prevent social conflict escalation. Data set received input from in-depth interviews to managers in charge of social affairs as well as from interviews to social constituents – beneficiaries and local authorities. Content analysis supported data processing and analysis of results. Findings – Main findings comprise the following: distinct schemes for managing social responsibility in dependence upon impact evaluation indicators were found, which help to organize three models for conducting mining operations: traditional mining, up-to-date mining, and sustainability-oriented mining; evidence of distinct pathways undergone by large- and mid-sized companies in their quest to up-scale their corporate social responsibility profile. Originality/value – Overall results from this study suggest the feasibility to modeling the social responsibility of mining companies in accordance to three dimensions – social, economic, and environmental – that draw from the analysis of best practices undertaken by large- and mid-sized companies.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Syed Abdul Rehman Khan ◽  
Zhang Yu ◽  
Muhammad Umar

PurposeThe study explores the linkage between environmental awareness, green practices, firm reputation and performance. Undeniably, very few studies have been conducted on corporate social responsibility (CSR) and its effect on firms' performance.Design/methodology/approachIn the current study, the data are collected from 404 firms located in Pakistan, and structural equation modeling (SEM) is employed to validate hypotheses.FindingsThe results show that green practices are statistically significant to build a positive image of firms; also, these practices enhance firm performance. Furthermore, the results also confirmed that CSR practice “indirect support to the community” has an insignificant relationship with firm reputation due to mismanagement and corruption involvement on governmental levels.Research limitations/implicationsThis study suggests that the firms' management should spend money on CSR activities and concentrate on proper monitoring of CSR activities to utilize funds efficiently. The research is conducted in Pakistan's context, while future studies need to be conducted in other emerging economies to investigate the linkage between CSR, firm reputation and performance.Originality/valueAccording to the researcher's best knowledge, very few studies have been conducted regarding the relationship between environmental awareness, green practices, firm reputation and performance in emerging economies like Pakistan.


2018 ◽  
Vol 24 (1) ◽  
pp. 23-48 ◽  
Author(s):  
Miguel Afonso Sellitto

Purpose The purpose of this paper is to introduce and test a model for numerical evaluation of the effectiveness of green practices implemented in two industrial supply chains (SCs). Two real case applications were made: footwear and metal-mechanics industry. Design/methodology/approach The research method is quali-quantitative modeling. By literature review, a model based on three constructs was proposed (green strategy, green innovation, and green operations), organized in 16 categorical indicators, prioritized with analytic hierarchy process. Three practitioners of each focal companies assessed the indicators fulfilling scales (very good to very bad). Findings The overall performance reached 51 and 57 percent, respectively of the maximum possible. The indicators that most jeopardized the performance were complexity management and communication, barriers to green supply chain management, green products, and green market (first case) and innovation in processes, and green market (second case). Research limitations/implications The model cannot be generalized or extended to other SCs. Further refinement and testing are required. Practical implications Managers and practitioners can improve the eco-efficiency of SC, focusing on the green practices that should be prioritized in greening strategies for the entire chain. Social implications Improvement of eco-efficiency is positively correlated with corporate social responsibility. Originality/value The model can produce a numerical overall value that represents the level or degree of implementation of green practices in the context of a SC management.


Significance The decision of President Ollanta Humala's government to send in troops to deal with protesting farmers in the Islay province of Arequipa reflects frustration at a conflict that has lasted years and threatens to disrupt one of Peru's larger mining projects. It also shows up the deficiencies of the police in dealing with social conflict. Impacts Many mining projects are being held up because of conflicts with local stakeholders. Social movements tend to be fragmented and lack leadership in national politics. Once trust breaks down between miners and local communities, it is difficult to restore it through corporate social responsibility spending.


Subject Mining relations with local communities. Significance Mining companies have come under fire across Latin America for failure to heed the demands of local communities and to introduce policies that turn these into active stakeholders. In response, many firms have sought to remedy this either through policies to promote corporate social responsibility (CSR) or by integrating communities more fully into the planning processes. While NGO campaigns have grated, gradually mining companies are adopting many of their suggestions. Impacts Governments will struggle to combine policies to attract mining investment with those that protect community interests. However, these objectives are not necessarily incompatible. Inability to achieve the social and environmental license can doom projects to failure. Chinese mining firms are being forced to adopt best practice.


2018 ◽  
Vol 8 (4) ◽  
pp. 1-23
Author(s):  
Shubham Shubham ◽  
Vinay Kumar Kalakbandi ◽  
Shashank Mittal

Learning outcomes The case may give students experience with the types of a situation they may encounter when running their own companies or serving as consultants in terms of identifying relevant information and appropriate approaches to dealing with local communities in projects involving the exploration and exploitation of natural resources. The case encourages students to critique the strategy of a firm in managing their different stakeholders. The case may also enhance their understanding of the “new” roles expected of corporations when engaging in projects involving local communities in developing countries. The case can be used to promote awareness of the social and environmental impact of industries associated with the exploration and exploitation of natural resources. Within developed or developing countries, master’s students are often employed by multinational corporations, many of which operate in natural resource industries. A greater understanding of the economic, social, and environmental challenges inherent in corporate social responsibilities programs in these industries may enhance their ability to deal with such situations. Such students are also increasingly likely to find work with non-governmental organizations (NGOs) helping local communities deal with largescale projects and confront major corporations. Case overview/synopsis The case is about the POSCO-India’s project to build 12 MTPA integrated steel plant in the Indian state of Odisha in 2005. The case presents the history of the project, recognizing the different stakeholders groups, the perspectives and interests of different stakeholders groups, the various actions taken by POSCO-India, and the results of the various engagement efforts of POSCO to develop the project. The case deals with the perspective of POSCO-India, Government of Odisha (GoO) and the local community getting affected by POSCO’s project on the issues of social, environmental, and economic sustainability. The case also discusses POSCO’s effort to engage with the local community and state government. The case tries to analyze the issues that come with developing big infrastructure projects. The case provides a framework for evaluating the complexity in engaging with the different stakeholder groups. The paper uses a framework for analyzing stakeholders based on their power, legitimacy, and urgency of their claims. The case will also demonstrate the complex institutional set-up in emerging markets and due to which sometimes it becomes difficult for organizations to implement such exploration projects to fulfill their social and environmental commitments. Finally, the case helps students to explore the implications of large-scale industrial projects especially in developing countries and analyze critically the corporate-society relationship. Complexity academic level The case was developed for master’s level course in business strategy, consulting, business policy, corporate governance, and corporate social responsibility, business ethics, and corporate sustainability in a 90 minutes session. Supplementary materials Teaching Notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes. Subject code CSS 11: Strategy.


2016 ◽  
Vol 7 (2) ◽  
pp. 247-257 ◽  
Author(s):  
Kajari Mukherjee

Purpose This paper aims to discuss how multinational enterprises (MNEs) can approach corporate social responsibility (CSR) in developing countries. Such countries face challenges of low social development, income differences and weak institutional framework. The society is also characterized by greater power distance and in-group collectivism. Managers of MNEs operating in developing countries have to find ways and means to deliver CSR which is in sync with the atypical socio-cultural-political-demographical needs of the country. They cannot just concentrate on strategic CSR to create positive externalities; rather, they have to provide generic social benefits to local communities. Design/methodology/approach The paper examines select literature to suggest six propositions regarding CSR approaches that can be adopted by MNEs. Findings Managers of MNEs will concentrate on those stakeholders who have power to punish or reward, and, apart from shareholders, these are likely to be local communities. Hypernorms operating in background will be linked to emergence of macro-social contract of societal expectation to provide some support to local community, whose specific forms will be community-specific microsocial contracts. These will aim at providing generic social goods to local community, through a variety of transactional and calculative activities, high on tokenism. Research limitations/implications This is a conceptual work. Empirical study is not done. Originality/value The mainstream CSR agenda is largely driven by concerns and priorities of developed countries. It aims at universalizing a set of conditions that do not exist in developing countries, and ignores the local realities and priorities. The paper fills a gap in explaining why the concept of global CSR has its limitations, and MNEs have to concentrate on alleviating local demands.


Author(s):  
Jacqueline Elyse Gilbert ◽  
Tamra Gilbertson ◽  
Line Jakobsen

Extractive industries increasingly use compensation measures to silence opposition, divide communities and stop resistance. Cerrejón, Colombia's largest transnational coal mining corporation, has a long history of damaging Indigenous Wayúu, Afro-Colombian and local communities' health and livelihoods. In the northeastern Colombian region of La Guajira, local communities struggle against the social and environmental impacts of coal mining. This article, based on field research conducted between 2018-2019, concludes that corporate and state-backed consultation and compensation projects are incommensurable with the damage caused by the coal mining operations and are implemented as a corporate social technology that undermines community cohesion and reinforces a power imbalance, perpetuating and enabling the expansion of damaging coal mining practices in Colombia.


Subject Prospects for South-east Asia in 2016. Significance In 2016, most ASEAN countries will record stronger growth as global demand picks up, but external conditions will be uncertain, especially in the first half. Lower commodity prices and China's growth slowdown will hinder regional trade. Poor weather will trim farm output. Recovering domestic demand could trigger higher inflation. Politically, Laos chairs ASEAN, and Myanmar, the Philippines and Vietnam will undergo leadership transitions.


Sign in / Sign up

Export Citation Format

Share Document