SUSTAINABLE RESOURCE GOVERNANCE
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1 COLOMBIA Case Study SUSTAINABLE RESOURCE GOVERNANCE Decentralization, Corporate Community Development and Resource Governance: A Comparative Analysis of Two Mining Regions in Colombia Isabel B. Franco, Ph.D Prof. Saleem Ali, PhD
2 Research ewisely Hub - Invest ewisely Copyright Invest ewisely 2016 All rights reserved More information about this publication, please contact Invest ewisely Publication Office St Lucia Campus, Brisbane, Australia editor@ewisely.com This publication may be reproduced in whole or in part for educational or non-profit purposes without special permission from Invest ewisely, provided that the source is acknowledged. The material in this publication may also be freely quoted. Invest ewisely Publications Office would appreciate receiving a copy of any publication that uses this research report as a source. No use may be made of this publication for resale or any other commercial purpose whatsoever without prior permission. Applications for such permission, with a statement of the purpose and extent of reproduction, should be addressed to the Editor at editor@ewisely.com. Bibliographical and other references have, wherever possible, been verified. Invest ewisely bears no responsibility for the availability or functioning of URLs.
3 Research ewisely Series The Research ewisely Hub is supported by Invest ewisely and carries out research to help build the case for women in sustainability and leadership shaping government and corporate policy, particularly in the context of developing resource regions. Research ewisely Series are biannual or quarterly publications developed by Research ewisely Hub and collaborators. These series are intended to inform, educate and encourage stakeholders to invest ewisely in the regions they operate within. We also endeavour to empower women to realise their full potential, allowing them to flourish and contribute to overall sustainability. Invest in Women, Invest ewisely ewisely.com
4 FOREWORD I am pleased to introduce Decentralization, Corporate Community Development and Resource Governance: A Comparative Analysis of Two Mining Regions in Colombia. This brief is useful for governments, businesses and other stakeholders that value the potential of investing in sustainable resource governnce as a constituent component of overall sustainability and inclusive sustaibable development, particularly in the context of Colombia. Issues around sustainable development in the global business agenda cannot be solved by a company, government or civil society organisations in isolation. All stakeholders involved are equally responsable for tackling these issues. Therefore this case study provides stakeholders with a better undertanding of the Colombian context and the role of sustainable resource development as a core aspect of sustainability. Dr. Franco and Invest ewisely s team provide stakeholders with advisory and coaching services to achieve overall sustainability. Isabel B. Franco, Ph.D Sustainability Advisor Drisabelfranco.com Research ewisely Hub, Invest ewisely ewisely.com
5 Decentralization, corporate community development and resource governance: A comparative analysis of two mining regions in Colombia EXECUTIVE SUMMARY The major challenge that companies face when engaging in sustainable livelihood transformations is related to the tiers of governance dynamics in which companies are immersed. The implementation of social responsibility agendas in poorly governed regions rarely delivers sustainable legacies for communities. This article posits the idea that the lack of regional connectivity in governance and conflict prevents companies from playing a stronger role in forging sustainable livelihoods. In this context, this case equips us with a broader understanding of the contribution of the private sector in delivering development outcomes. It does this through a comparative case study analysis of Risaralda and Antioquia, two resource regions in Colombia with differing governance nexus with private enterprise. PROJECT DESCRIPTION The rise of direct private sector involvement in delivering community development goals has increased in recent years, particularly in post-conflict societies where the role of the state has become marginalised by the expanding influence of private investors in the region. Sustainable livelihoods research has largely neglected the interface between local governance and private enterprise, focusing instead on broader development planning (Buitrago Franco, 2014). Our research seeks to address the question of why private enterprise may be more successful in gaining traction in delivering development outcomes preferentially in
6 some subnational jurisdictions. We hypothesise that local level governance systems which gain resilience through a history of self-reliance to conflict are more suitable for decentralization agendas. This in turn provides them with a greater ability to be receptive to private capital as an agent of development. The peace agreement with the FARC rebels, that was approved by the Colombian legislature om 30 November 2016, will likely bring forth further scrutiny of Colombia's extractive industries and their contribution to development. In this context our paper's objective to consider the role of decentralization is ever more timely. RECOMMENDATIONS Our overall research findings show that civil conflict has undermined mining and exploration companies contribution to forging sustainable livelihoods. Similarly, poor governance practices and irrelevant corporate social responsibility agendas for locals have hampered companies ability to forge more sustainable livelihoods in resource rich regions like Colombia. These governance and contextual dynamics have profound implications for livelihoods of communities adjacent to exploration and mining projects. REFERENCES Click below to access a complete version of this case: Franco, I. B., & Ali, S. (2016). Decentralization, corporate community development and resource governance: A comparative analysis of two mining regions in Colombia. The Extractive Industries and Society.
7 Research ewisely Hub Invest ewisely Copyright Invest ewisely 2016 All rights reserved
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