Social license as a tool to negotiate environmental sustainability

Adeyinka O. Omotehinse (), Ayodele Ajayi and Giorgio Tomi
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Adeyinka O. Omotehinse: Federal University of Technology Akure
Ayodele Ajayi: Federal University of Technology Akure
Giorgio Tomi: USP Centre for Responsible Mining, Universidade de Sao Paulo

Mineral Economics, 2024, vol. 37, issue 4, No 3, 745-757

Abstract: Abstract Adequate and clean water supplies play a huge role in human health and wellness. Therefore, the causes of contamination and pollution of water supplies must be addressed. Mining activities are often considered a threat to surface water bodies due to the huge amount of water involved in their processes and the attendant pollution, which may result in conflicts between the mining communities and company involved. In this research, the social license to operate was proposed as a tool to negotiate and mitigate these conflicts. Some oil sand communities in Nigeria were used as a case study. Reconnaissance survey and a semi-structured interview within the study area were deployed to document the expected impact of the deposit exploration on freshwater in the area. In addition, a comparative literature study to evaluate the use of social license to operate in a similar situation was considered. Our scenario simulations suggest that oil sand mining activities could negatively impact the environment during the three phases of mining activities and if these effects are not proactivity resolved, it may lead to conflicts with host communities. It was proposed that the mining company should secure a social license to operate from the community before carrying out their activities in order to reduce delays and conflicts. The community will grant an informal license to the company. This social license to operate will serve as a tool for communication and negotiations between the two parties where agreements can be reached.

Keywords: Social license to operate (SLO); Mining impacts; Water pollution; Community Development Agreement (CDA); Corporate social responsibility (CSR) (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s13563-023-00403-0

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