Mining and stakeholder engagement discourse in a Papua New Guinea mine

Abstract

In recent history, corporate social responsibility (CSR) has become synonymous with large business organizations' philanthropic contributions to society. Obviously in the mining industry, because of the nature of its activities in affecting both environment and people, the demand for this voluntary activity from multinational mining companies (MNMCs) by society has become inevitable. This function of CSR had been achieved through the utilization of community engagement discourse with external communities. The main purpose, amongst others, of this paper is to assess the effectiveness of Papua New Guinea (PNG) Ok Tedi mine's community engagement discourse in responding to local community development demands in compensation for adverse environmental impact in its riverine area. It will highlight the critical signifi cance of community engagement discourse as a prime mover in facilitating the achievement of corporate social responsible development projects or lack of it pertaining to a group of mine-affected riverine local community in PNG.

Reversing the lens: Why corporate social responsibility is not community development

“…And Yakovleva, Vazquez‐Brust, and Mutti () note that communities may see CSR as a “green wash” on the part of companies that serves to further corporate rather than community interests. This can lead to a “love–hate” relationship between the community and the company, where the company is hated for its negative social and environmental impacts but loved and appreciated for the vital health, education, and infrastructure projects that were non‐existent before the arrival of the company (Kepore & Imbun, , p. 230).…”

An Examination of Corporate Social Responsibility Implementation and Stakeholder Engagement: A Case Study in the Australian Mining Industry

“…On the other hand, mining companies may face unrealistic expectations of facilitating beneficial social and economic change in the local landscape, particularly in areas with limited government resources (Imbun, ). These local communities often have a ‘love–hate’ relationship with mining firms driven by resentment of the damaging environmental and livelihood impacts of mining conflicting with an appreciation for the economic and developmental benefits that accrue as a result of these activities (Kepore and Imbun, ). In any event, increasing pressure from government, communities, non‐government organizations concerned with human rights and the environment and even global organizations such as the World Business Council for Sustainable Development, mean that CSR, and its associated activities, is an essential part of business strategy for the mining and resources industry sector (Kapelus, ).…”

Doing Stakeholder Engagement Their own Way: Experience from the Malawian Mining Industry

“…Given that organisations at this stage may require access to critical resources, as Jawahar and McLaughlin () note, organisations may find it attractive to pursue a proactive strategy when dealing with more salient stakeholders (such as shareholders, customers, and creditors) that are critical for their survival. It is also fair to argue that, depending on the stakeholder group and the resources an organisation may require, an organisation may pursue either a reactive or a defensive strategy in dealing with its less salient stakeholders in order to protect its reputation and to sustain its legitimacy (Kepore and Imbun, ).…”