Community Development Toolkit

TOOLKITCOMMUNITY DEVELOPMENT

The Tools have been divided into 5 categories:

ASSESSMENT For assessing the environment; that is, who the people are who livethere, how they live, whether there are any existing conflicts, and what resources willbe need to build and support a community development program in this setting.

PLANNING To design development programs desired by all and therefore with anopportunity to become sustainable. Some plans may be internal to specificorganizations, such as a company or NGO. Other plans may be developed bycoordinated efforts by many groups.

RELATIONSHIPS For building and maintaining good relationships between allstakeholders, such as government, community members, company representatives,and local organizations. Relationships are the foundation of all cooperative activitiesand therefore essential for sound community development programs.

PROGRAM MANAGEMENT For supporting and implementing the plansdeveloped with the planning tools. These management tools include means forensuring that plans are realistically resourced and scheduled and that there are peopletaking responsibility for implementing them. Plans are just pieces of paper until theyare put into motion.

MONITORING & EVALUATION For measuring progress toward program goals.Some evaluations may be internal to individual organizations, but ideally allparticipants will work together on some evaluation tools so that any modificationsrequired to plans will be developed in a coordinated and cooperative manner.

The Community Development Toolkit contains two main parts:

• 17 Tools intended for use throughout the project cycle and which cover the assessment, planning, management, and evaluation phases of community development as well as stakeholder relationships. The tools are colour-coded and individually numbered for clear identification. An introduction, glossary and discussion of mining and community development accompany the tools.

• A Background volume, which contains the background and context to the project as well as an examination of the mineral policies and mining laws necessary for mineral activity to contribute to sustainable development and the bibliography.

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Acknowledgments

The project was jointly coordinated and managed bythe World Bank Group’s Oil, Gas, and Mining PolicyDivision and the International Council on Mining andMetals (ICMM). Financial support was provided bythe Energy Sector Management Assistance Program(ESMAP), ICMM, and the World Bank.

The first phase of work (as presented in theBackground volume) was overseen by a RegionalAdvisory Committee consisting of Agnes Bwalya(Chair of the Chambishi Bakabomba CommunityDevelopment Trust, Chambishi Metals, Zambia),Gloria Dhlamini (Executive Mayor, Emalahleni LocalMunicipal Council, Mpumalanga, South Africa),Karin Ireton, (Group Manager, SustainableDevelopment, Anglo American plc), Len le Roux(Director, Rössing Foundation, Namibia), MaryMetcalf (Member of Executive Council, Agriculture,Conservation, Environment and Land Affairs,Gauteng, South Africa), Nchakha Moloi (DeputyDirector General, Mineral Development, Departmentof Minerals and Energy, South Africa), SilaneMwenechanya (Business Forum Coordinator,Zambia Trade and Investment Enhancement Project,Zambia), and Archie Palane (Deputy GeneralSecretary, National Union of Mineworkers, SouthAfrica).

The consultants who completed the working papersin the first phase were Davin Chown, BelyndaHoffman, and Johan van der Berg (OneWorldSustainable Investments); Marie Hoadley and DanielLimpitlaw (University of the Witwatersrand); BrenSheehy (URS Australia); David Shandler (CommonGround); and Markus Reichardt and MokhethiMoshoeshoe (African Institute of CorporateCitizenship).

Community development is the process of increasing the strength andeffectiveness of communities, improving peoples’ quality of life, and enablingpeople to participate in decision making to achieve greater long-term controlover their lives. Sustainable community development programs are those thatcontribute to the long-term strengthening of community viability. Mining andmineral processing activities can play a central role in sustainable communitydevelopment by acting as a catalyst for positive economic and social change inareas that may otherwise have limited opportunities for economic and socialdevelopment.

The Pioneering New Approaches in Support of Sustainable Development in theExtractive Sector project was jointly coordinated and managed by the WorldBank Group’s Oil, Gas, and Mining Policy Division and the International Councilon Mining and Metals (ICMM), and was supported financially by the EnergySector Management Assistance Program (ESMAP), ICMM, and the World Bank.The aim of the project was to develop new approaches and tools to supportgovernment, industry, and community efforts to realize more sustainablecommunity development around mining and mineral processing operations.

The second phase of work (as presented in theTools) was overseen by a working group of ICMM’sCommunity and Social Development Task Force:Tony Andrews (Prospectors and DevelopersAssociation of Canada), Carolyn Brayshaw(AngloGold Ashanti), Paul Hollesen (AngloGoldAshanti), Karin Ireton (Anglo American), RamanieKunanayagam (Rio Tinto), Jim Mallory (PlacerDome), Dave Rodier (Noranda), Russell Williams(Alcoa), and Ian Wood (BHP Billiton). CatherineMacdonald (URS Australia) led the consultant teamfor the second phase and was supported by BrenSheehy, Belinda Ridley, and Nia Hughes-Whitcombe(URS).

The preparation and publication of the Toolkit wascoordinated by Jeffrey Davidson (Task Manager),John Strongman (Mining Adviser), and Allison Berg(Operations Officer) of the World Bank and KathrynMcPhail, Julie-Anne Braithwaite and Caroline Digbyof ICMM. Adriana Eftimie and Michael Stanley of theWorld Bank prepared the “Government Tools forSector Sustainability” in the Background volume.Peer reviewer comments were provided by KerryConnor (Bechtel), Aidan Davy (consultant), TedPollet (International Finance Corporation), Leyla Day(International Finance Corporation), and Dan Owen(World Bank). The CD-ROM accompanying theToolkit was produced by Marjorie K. Araya and theWorld Bank Group Graphics Department. Finalediting was done by Michael Schwartz.

COMMUNITY DEVELOPMENT TOOLS IN THE MINING PROJECT CYCLECATEGORY OF TOOL NAME AND NUMBER WHEN TO USE THEM WHO MIGHT USE THEMCOMMUNITYDEVELOPMENT Exploration Feasibility Construction Operations Decommissioning, Government Community NGO CompanyTOOL closure and post closure

ASSESSMENT 1 Stakeholder Identification

2 Social Baseline Study

3 Social Impact and Opportunities Assessment

4 Competencies Assessment

PLANNING 5 Strategic Planning Framework

6 Community Mapping

7 Institutional Analysis

8 Problem Census

9 Opportunity Ranking

RELATIONSHIPS 10 Stakeholder Analysis

11 Consultation Matrix

12 Partnership Assessment

PROGRAM MANAGEMENT 13 Conflict Management

14 Community Action Plans

MONITORING & EVALUATION 15 Logical Framework

16 Indicator Development

17 Goal Attainment Scaling

KEY: Start activity Ongoing Repeated Primary user Support userThis matrix provides a general guide to the tools includingwho might use them and when during the project cycle.

CONTENTS OF THE TOOLKIT

LIST OF ABBREVIATIONS AND ACRONYMS 1

PREFACE 2

1 INTRODUCTION 3

Background to the Project 3

Structure of the Toolkit 5

Target Audience 5

2 MINING AND COMMUNITY DEVELOPMENT 7

Relationship Between Mining and Sustainable Community Development 7

Role of the Mining Industry 7

Community Development is Good for Business 7

Good Practice Principles for Sustainable Community Development 8

Mining Operations Support Community Development 8

Acid Test for Sustainable Community Development 9

Roles and Responsibilities for Community Development 10

Community Development in the Mining Project Cycle 11 1

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3 COMMUNITY DEVELOPMENT TOOLS 13

Using the Tools 13

Gender and Inclusion 14

Categories of Tools 14

Some Advice 14

ENDNOTES 15

COMMUNITY DEVELOPMENT TOOLS

ASSESSMENT TOOLS TOOLS 1-4

PLANNING TOOLS TOOLS 5-9

RELATIONSHIPS TOOLS TOOLS 10-12

PROGRAM MANAGEMENT TOOLS TOOLS 13-14

MONITORING & EVALUATION TOOLS TOOLS 15-17

GLOSSARY

BACKGROUND VOLUME

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LIST OF ABBREVIATIONS AND ACRONYMS

AusAID Australian Agency for International Development

BPD Business Partners for Development

CASM Communities and Small-Scale Mining

CBOs Community-Based Organizations

DFID Department for International Development (UK)

EITI Extractive Industries Transparency Initiative

ESMAP Energy Sector Management Assistance Program

E3 Environmental Excellence in Exploration

IAIA International Association of Impact Assessment

ICME International Council on Metals and the Environment

ICMM International Council on Mining and Metals

IDS Institute for Development Studies (Sussex University, UK)

IFC International Finance Corporation (part of World Bank Group)

IIED International Institute for Environment and Development

IISD International Institute for Sustainable Development

IPIECA International Petroleum Industry Environmental Conservation Association

LNG Liquefied Natural Gas

M&E Monitoring and Evaluation

MMSD Mining, Minerals, and Sustainable Development

OGP International Association of Oil and Gas Producers

SADC Southern African Development Community

UNEP United Nations Environment Programme

UNCTAD United Nations Committee on Trade and Development

USAID United States Agency for International Aid

WBCSD World Business Council for Sustainable Development

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PREFACE

The Pioneering New Approaches in Support ofSustainable Development in the Extractive Sectorproject aims to:

• Foster constructive working relationships and alliances among communities, companies, and governments.

• Build capacity within governments, companies, and communities to address sustainable development issues at the local level.

• Promote the value-adding potential of mine development and operation in support of local and regional social and economic sustainable development efforts.

• Improve opportunities for the sustainable development of mining communities and regions during all phases of the mining cycle.

The Pioneering New Approaches project builds onprevious World Bank Group work to strengthen thecapacity of governments, private sector, andcommunities to manage mineral development inways that will contribute more effectively to thelonger-term sustainable development of miningregions. This work includes the InternationalFinance Corporation (IFC) good practice manualsand reports such as “Doing Better Business ThroughEffective Public Consultation and Disclosure” (1998),“Investing in People: Sustaining Communitiesthrough Improved Business Practice” (2000), “Developing Value: The Business Case forSustainability in Emerging Markets” (SustainAbilityand IFC, 2002), World Bank sponsorship of theBusiness Partners for Development (BPD) initiative(1998–2002), and several World Bank–supportedinternational workshops and conferences includingMining and Community (Quito in 1997 and Madang in1998), Mining and Sustainable Development (Madangin 2002) and Women in Mining (Madang in 2003 and2005).

The project also responds to recommendations in“Breaking New Ground,” the report of the Mining,Minerals, and Sustainable Development (MMSD)project (2002), for new approaches to enablegovernments, industry, and communities to createcountry-specific frameworks, including communitysustainable development plans, that would ultimatelyreduce conflict, promote cooperation, and enhancethe contribution of mineral-related investment tosustainable development.

The result is this Community Development Toolkit,to which there are two main parts:

• 17 Tools intended for use throughout the project cycle and which cover the assessment, planning, management, and evaluation phases of community development as well as stakeholder relationships.

• The Background volume, which contains the background and context to the project as well as anexamination of the mineral policies and mining laws necessary for mineral activity to contribute to sustainable development.

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Community Development Toolkit: An introduction to the 17 Tools

1 INTRODUCTION

Background to the Project

A key objective of the World Bank Group's Oil, Gas,and Mining Policy Division is to determine howextractive industry investments can better contributeto poverty reduction and sustainable development atboth the community and country levels. The divisionis currently carrying out a sustainability workprogram intended to create and add value for allstakeholders: governments, affected communities,and private companies. The program includes theimplementation of a variety of new initiatives tomaximize the contribution of extractive activities tomore sustainable national and local development inthose countries and communities wherenonrenewable resource extraction is or has thepotential to become a significant economic activity.

Such initiatives include the Extractive IndustriesTransparency Initiative (EITI) and the Communitiesand Small-Scale Mining (CASM) knowledge-sharinginitiative, as well as this Community DevelopmentToolkit. The approach underlying the initiatives isbased on strengthening the capacity of allstakeholders to:

• Articulate and represent their interests and needs in an informed way.

• Manage their interactions with other stakeholders in constructive ways that ultimately translate into equitable sharing of the various potential benefits – social and economic, short and long term – that can be derived from large-scale oil, gas, and mining development.

This project has focused on developing amethodological approach supported by relevant toolsthat can be used by the various stakeholders toidentify opportunities, build durable relationships,and promote community development and create thebasis for long-term community sustainability beyondthe life of the extractive activity.

The project concept was originally conceived at ajoint workshop held in November 2000 inJohannesburg for members of the Southern AfricanDevelopment Community (SADC). The convenorsincluded the World Bank and the InternationalCouncil on Metals and the Environment (ICME)i,among others.

The objective of the workshop was to advance theunderstanding of the major issues and challengesstanding in the way of sustainable mining sectordevelopment within countries of southern Africa.

A consensus emerged around the need to havepractical toolkits to facilitate implementation of thekey elements of a generative process for fosteringconstructive working relationships betweencommunities, companies, and government whilesecuring the sustainability of communities. It wasargued that the toolkits should themselves bedeveloped through a participatory process involvingall stakeholders.

The World Bank and ICME followed up by drafting aproposal (2001–02) for a joint project to elaboratesuch tools. The World Bank’s Oil, Gas, and MiningPolicy Division turned to the Energy SectorManagement Assistance Program (ESMAP) trustfund for financial support. The proposal addressed anumber of ESMAP’s core objectives, and theknowledge product was to be grounded in thesouthern African experience, also a priority regionfor ESMAP support. The ICME pledged additionalfinancial support from its own resources, even as itwas undergoing its own transition to theInternational Council on Mining and Metals (ICMM).The new ICMM affirmed its commitment to workcollaboratively with other stakeholders in itsinaugural Toronto Declaration of May 2002.

The ICMM Sustainable Development Frameworkii

followed shortly thereafter (2003). From ICMM’sperspective, the project provided an opportunity todevelop tools to assist members, and others,implement ICMM’s 10 sustainable developmentprinciples (see box 1.1), against which corporatemembers have committed to measure and reporttheir performance. In particular, the project wasrelevant to the ninth principle where members havecommitted to “contribute to the social, economic andinstitutional development of the communities inwhich they operate.”


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BOX 1.1 ICMM SUSTAINABLE DEVELOPMENT PRINCIPLES

1 Implement and maintain ethical business practices and sound systems of corporate governance.

2 Integrate sustainable development considerations within the corporate decision-making process.

3 Uphold fundamental human rights and respect cultures, customs, and values in dealings with employees and others who are affected by our activities.

4 Implement risk management strategies based on valid data and sound science.

5 Seek continual improvement of our health and safety performance.

6 Seek continual improvement of our environmental performance.

7 Contribute to conservation of biodiversity and integrated approaches to land use planning.

8 Facilitate and encourage responsible product design, use, re-use, recycling, and disposal of our products.

9 Contribute to the social, economic, and institutional development of the communities in which weoperate.

10 Implement effective and transparent engagement, communication and independently verified reporting arrangements with our stakeholders.

International organizations and associations, such asthe ICMM, the World Coal Institute and the WorldBusiness Council for Sustainable Development(WBCSD), and multilaterals, such as the World Bankand the International Finance Corporation (IFC), nowmore than ever recognize the importance of providingguidance to improve the contribution of extractiveindustries to the sustainability of communities. Suchguidance includes the design and introduction of newtools and operating frameworks to facilitate theachievement of sustainability objectives. Recentexamples of tools, both generic and sector specific,include WBCSD’s “Doing Business with the Poor: AField Guide” (2004), the IFC’s “Doing Better BusinessThrough Effective Public Consultation andDisclosure: A Good Practice Manual” (1998), as wellas the ICMM and the World Conservation Union’s“Integrating Mining and Biodiversity Conservation:Case Studies from around the World” (2004), theIFC’s “HIV/AIDS Guide for the Mining Sector” (2004),the IFC’s “Developing Value: The Business Case forSustainability in Emerging Markets” (SustainAbilityand IFC, 2002), and ICMM and the United NationsEnvironment Programme’s (UNEP) “Good Practice inEmergency Preparedness and Response” (2005). Inaddition the World Bank and the IFC have variousguidelines and safeguards such as for Resettlementand for Indigenous Peoples that guide theimplementation of development projects includingextractive industry projects.

The Background volume and Tools are the endproducts of an extended process to design anddisseminate a set of community development,engagement, and planning tools that will be relevantand valuable to communities, mining companies, andgovernments. Toolkit components were developedwith the assistance of community-orientedpractitioners living and working in the southernAfrica region. In addition, analyses were undertakento define the constraints and opportunities providedby existing government policy and institutionalframeworks to promote social and economicdevelopment around extractive activities within theregion. These analyses are included on theaccompanying CD-ROM.

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Structure of the Toolkit

There are two main parts to the CommunityDevelopment Toolkit (see table 1.1). The Backgroundvolume contains the background and context to theproject and an annotated bibliography as well as anexamination of the mineral policies and mining lawsnecessary for mineral activity to contribute tosustainable development. It is divided into foursections:

• An Introduction describing the background of theproject, how it builds on previous work by the World Bank Group and the mining, minerals, and metals industry, the structure of the Toolkit, and the target audience. (This Introduction is the same for both volumes.)

• An overview of the Toolkit development process,including consultation activities, work undertaken, and experience drawn from southern Africa.

• A discussion of Government Tools for Sector Sustainability. This includes an examination of overarching mineral policies and mining laws in five countries (Botswana, Namibia, South Africa, Tanzania, and Zimbabwe) to identify current trends inmineral development that contribute to sustainable development and to define key components that, if embedded in overarching policy and legal instruments, become tools for enhancing the contribution of the mining and metals sector to sustainable development.

• An annotated Bibliography, describing the broader range of information and resources available on mining and community development. Key references are also listed in each tool.

The Tools are divided into four sections:

• An Introduction describing the background of the project; how it builds on previous work by the World Bank Group and the mining, minerals, and metals industry; the structure of the Toolkit; and the target audience. (This Introduction is the same for both volumes.)

• A brief discussion of mining and communitydevelopment, including community development goals and processes, and opportunities to link community development to the mining project cycle. This section includes good practice principles for sustainable community development, advice on the scheduling of development activities in the mining cycle, and on the roles of government, companies, and communities.

• The Community Development Tools section introduces the essential building blocks of community development and describes 17 tools. Each community development tool is supported bydetailed, step-by-step instructions on how and whento use them. The tools are designed to be easilyextracted for use in the field.

• A Glossary of community development terms and concepts.

Target Audience

The Toolkit provides practical guidance for all stagesof the community development process, fromexploration through construction, operations, andeventually decommissioning and closure, includingpost closure.

Because it is the mining company (rather than thegovernment or the community) that applies forexploration and mining licenses, selects explorationtargets, commissions feasibility studies, contractsconstruction, manages the mine during itsoperational life, and prepares and implements themine closure plan, it became evident duringpreparation of the Toolkit that much of it should beaimed at enabling the mining company to undertakethese various steps in a manner that would takeaccount of community views and would contribute tocommunity sustainability. Thus, much of the Toolkit isaimed at mining company staff as the primary users,and different instruments are linked to stages ofdevelopment of a mining project. However, there aretools that would be used by communities and wherethe mining company would at most play a facilitatorrole. Governments may also decide to modify theirlicensing regulations to provide a framework thatwould set rules and allocate responsibilities forundertaking some of the actions included in theToolkit.

In addition to being a valuable resource forcompanies, communities, and government agencies,the Toolkit should also be a valuable resource andguide for civil society groups such asnongovernmental organizations (NGOs) andcommunity-based organizations (CBOs), academics,training and education providers, trade unions,business associations, and mining servicescompanies. In fact, the Toolkit is for anyone who isinterested in facilitating community development.Ideally, most of the tools will be used by severalparticipants together.


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While the work that supported the development ofthe Toolkit took place in southern Africa, and waslargely focused on coal mining operations, the Toolkithas a broader applicability, both regionally and interms of different types of operation. The Toolkit isdesigned to be applicable for projects in all parts ofthe world, with the important proviso that it does notaddress the unique characteristics of IndigenousPeoples’ communities. The World Bank hasoperational policiesiii in relation to IndigenousPeoples that apply to any projects (not just miningprojects) that affect them.

Section Key Points

TOOLS

1 Introduction Background, objectives and target audience for the Toolkit. The Introduction is the same for both volumes

2 Mining and Community Definition of community development, key principles for Development sustainable community development, phases of the mining

project cycle, and stakeholder roles and responsibilities

3 Community Development Tools 17 practical tools for community development supported by step-by-step guidance to assist in using them

Assessment ToolsPlanning ToolsRelationships ToolsProgram Management ToolsMonitoring and Evaluation Tools

4 Glossary A guide to some important community development terms and concepts

BACKGROUND VOLUME


2 Toolkit Development Process Work carried out to develop the Toolkit, including initial work in southern Africa and consultation activities

3 Government Tools for Sector Analysis of the elements of legislation and regulations that canSustainability enable a government to create an environment conducive to

sustainable mineral development

4 Bibliography A guide to additional information and resources on community development in mining communities

ICMM recognizes that relationships withcommunities are often complex and this isparticularly the case in relationships with IndigenousPeoples. As a result, ICMM commissioned anindependent reviewiv of the issues surroundingIndigenous Peoples and mining and metalsoperations to assist in facilitating more meaningfulrelationships in these areas.

Last, while the initial work focused on coal mining,the Toolkit is considered useful also for other miningand metals activities, and most if not all of theinstruments would also be relevant for other energyprojects (for example, oil and gas investments).

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TABLE 1.1 COMMUNITY DEVELOPMENT TOOLKIT AT A GLANCE

2 MINING AND COMMUNITYDEVELOPMENT

Relationship Between Mining andSustainable Community Development

Community development is the process of increasingthe strength and effectiveness of communities,improving people’s quality of life, and enabling peopleto participate in decision making to achieve greaterlong-term control over their lives. Sustainablecommunity development programs are those thatcontribute to the long-term strengthening ofcommunity viability.

Often, the most sustainable beneficial legacies thatcommunity development programs around a miningoperation may leave are in the skills and capacitiesthat training, employment, and education programsfor local people provide. The essential element of asustainable community development program is thatit can survive without input from a mining company,especially after the mining project is finished. Thus,community sustainability can be supported by miningpractices that help convert one local asset,nonrenewable natural resource capital, into anotherlocal asset, sustainable human and social capital.

Role of the Mining Industry

The mining industry can play a central role incommunity development by acting as a catalyst forpositive change in areas that may otherwise havelittle if any opportunities for economic and socialdevelopment. This is especially true in situationswhere mining can be a catalyst to help to build upother (non-mining) sustainable income sources in theareas where the mines are located so thatcommunities are able to develop independently of themine and are thus able to survive the exhaustion ofthe ore reserves and the departure of the miningoperation. An important means of achieving this is tofoster dynamic linkages between communities andexternal support agencies.

During the mine life, there can be tensions involvingthe distribution of mining revenues in a country,between local and national levels. This is becausemineral wealth is usually vested in nationalgovernments rather than owned by people living inthe mining area, and national governments may havepriorities for development that differ from those ofthe communities neighboring the mine.

For companies that see sustainable communitydevelopment as a positive factor for their miningactivities, however, there is a pressing need toexpand the positive benefits and mitigate the harmfuloperational impacts in the local area, regardless ofwhether the central government chooses to return aproportion of royalty payments and other miningrevenues to the local community. Encouraging centralgovernments to invest mining revenues in the regionsmost affected by the mining is important, but it isequally essential to work with local and regionalgovernments on local development programs. Mostgovernments have their own national, regional, andlocal development plans. The most effective use ofcorporate investments in local communitydevelopment is in support of existing programs thatprovide additional skills and resources whereappropriate.

Community Development is Good forBusiness

Improved social performance generally leads tobetter financial returns. While the business case forcommunity development will always be specific to theindividual company or operation, some commonthemes are clear. If communities benefit greatly froma mining operation, then they have a significant stakein seeing the mine operate successfully and will helpto overcome obstacles that could adversely affect themining operation. By contributing to local communitywell-being and development, benefits to companiesmay include:

• Reputation: Enhanced reputation, in the financialcommunity, in government, and among otherstakeholders

• Resources: Improved access to resources, such asore bodies, in environments that are increasinglychallenging or remote

• Ease approvals processes and help resolvedisputes: Better relations with local governments,nongovernmental organizations (NGOs) andcommunities that can help ease approvals processesfor project development, expansion, and closure andhelp resolve disputes and avoid situations in whichlocal groups might hinder or even prevent miningfrom taking place

Community Development Toolkit: Introduction to the 17 Tools

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from better management of social risk, bettermanagement of community expectations, andreduced community dependency on the operations

• Efficiency and productivity and local supportservices: Greater efficiency and productivity owing tothe availability of improved local support services

• Local workforce: Improved education and skilllevels of the local workforce enabling companies toreduce their dependence on expensive expatriatesand increase local knowledge in operations,knowledge that can save time, effort, frustration, andmoney

• Employees: Improved employee recruitment,retention, and engagement.

In other words, community development is areciprocal process. By helping communities todevelop themselves in a sustainable manner, amining company is simultaneously helping its ownbusiness to succeed. If we can all move beyond thedonor/recipient model of community relations andview mining operations and their communitydevelopment programs as a mutually beneficialpartnership process, the goal of sustainability willbecome more achievable.

Good Practice Principles for SustainableCommunity Development

The most effective and sustainable communitydevelopment activities reflect some basic principles:

• Adopt a strategic approach: Development activitiesat the operational level are linked to long-termstrategic objectives for the company and are alsoaligned with existing and future community and/orregional and national development plans.

• Ensure consultation and participation: Localcommunities are actively involved in all stages ofproject conception, design, and implementation,including closure and post-closure.

• Work in partnership: Private, governmental, NGO,and community organizations bringing different skillsand resources – but shared interests and objectives –can achieve more through working together thanindividually. Formal or informal partnerships canalso reduce costs, avoid duplication of existinginitiatives, and reduce community dependency on themining operation.

• Strengthen capacity: Programs that emphasizestrengthening of local community, NGO, andgovernment capacity are more sustainable in thelong-term than the supply of cash, materials, orinfrastructure without a properly designed forward-looking participatory framework. While infrastructureis often essential for the development of remotecommunities, it will only be sustained if there is anadequate maintenance program supported by a welldesigned participatory process including localcommunities and governments.

Mining Operations Support CommunityDevelopment

This is the focus of the Toolkit. While the tools havebroad applicability, there is no simple blueprint forhow they will be used at any particular site. Miningoperations’ support for community development isalways determined by local conditions; that is, by thenature and scale of the operation, local governmentresources, and local peoples’ specific needs andpriorities.

Conventionally, mining companies have wanted totake immediate measures to alleviate poverty theyobserved in the neighborhood of their miningprojects. Typically this has been by building schools,clinics, or hospitals and by sponsoring externalhealth and education service providers to create newprograms.

Often these efforts, although appreciated asgenerous gifts to local communities, have not lastedbeyond the life of the mine, and sometimes not evenbeyond the tenure of the particular company staffthat instigated the projects. The reasons for this arebecause the projects:

• Were chosen by the mining company people and/orthe local elites

• Were built or run by outsiders, with littlemanagement involvement from local communitymembers

• Were only accessible by the more affluentmembers of the community and not by the poorermembers

• Required technology or knowledge not locallyavailable to maintain them

• Or because the capacity of local people to managethe programs was not built up to a sufficient level.


The sum of these factors is that, with the best ofintentions, the projects were imposed upon localcommunities and they therefore did not feel anyparticular ownership of them nor did they have theneeded capabilities to sustain them, resulting in aprogressive decline once external support waswithdrawn.

Further, if local communities and governmentagencies become accustomed to mining companiestaking charge of the provision of infrastructure andservices, an unhealthy dependency relationship canevolve, which works against sustainability.

Mining companies should take a strategic andintelligent perspective and focus upon their ownareas of expertise to determine where thoseintersect with community needs. In that way there isa reduced chance of companies filling roles thatshould be the responsibility of others. For example,schools and clinics are the areas of expertise ofeducational and medical experts and theresponsibility of governments and are not corebusiness skills for mining companies. Certainly,companies have building expertise, but the buildingsare only the skeleton of the health and educationsystems, and are not much use without teachers,nurses, course materials, and medicines, none ofwhich are mining business specialties. Even wheremining companies are willing and able to put in placesuch health and education services, there remainsthe inherent risk that when the mining companyceases its activities and departs, these services willcollapse.

By contrast, mining operations do have skills toshare with communities, for instance, in trade,administration, management, finance, operating, andmaintaining mobile and fixed machinery, and inimproving local supplier and contractor capability.Partnership programs for local apprentices in theseareas of capacity building will be more beneficial inthe long term than the traditional list of buildings.

The challenge, however, is to not only build the skillsbut also facilitate the growth of other activities inparallel to mining. For example, the Lac La RongeIndian Band initially developed trucking and cateringskills with support from the local uranium mines innorthern Canada. Over time, they expanded theirbusiness away from the mines and now have anannual turnover of Can$65 million in 2005 supplyingservices in the surrounding region. This is anexample of how mining companies can localize someof their product and service procurement policies tohelp build local supply capabilities. In addition tohelping train local community members to providegoods and services, companies can also considersupporting micro credit schemes to help encouragesmall business.

Local agriculture development is also a key area ofcommunity sustainability. One of the sustainabilityrisks faced by communities is that income from amining operation results in the community being able

to purchase most of its food needs from outside, witha resultant decline in local agriculture production.The loss of local agriculture capabilities can be acause of severe problems at the time of mine closurefor a community when it no longer has the income topurchase most of its food from outside.

Acid Test for Sustainable CommunityDevelopment

When reviewing programs for communitydevelopment, mining companies should askthemselves how those programs will fare when themine has closed (and remember, this may happensooner than planned). If ongoing company support,leadership, and maintenance will be required to keepa program going in good order, then it is notsustainable and will need to be rethought. This iswhere the real contrast between highly visible,tangible projects, such as road building, and low-key,hard to display programs, such as women’s literacyprograms, is sharpest.

A road will be obviously useful, with people, bicycles,and buses using it every day while the mine is thereto maintain it. Picture the same road some yearsafter the mining operation has closed, and neitherthe local district government, the nationalgovernment, nor the local community feel theresponsibility nor has the capacity to continue itsupkeep. It may well be potholed, crumbling, andlikely to get worse, or rehabilitation requirementsmay have necessitated its removal, meaning that itshould never have been classified as a sustainablecommunity benefit at all. In either case, unless amajor construction project like a road is developed aspart of a community-centered program, withcommunity plans and capacity for ongoingmanagement and maintenance, or is part of apartnership initiative with the host government thatwill therefore take responsibility for its care andupkeep when the mine is gone, then it cannot becalled sustainable.

By comparison, women’s literacy and numeracyprograms may yield much more modestdemonstrable results. There may not have been anyfollow-on enrollments in adult education classes norwomen achieving high school diplomas. However, if anumber of women became able to read, write, andmanage bank accounts, which helped them to savemoney and helped them establish and operate smallbusiness enterprises to benefit themselves and theirfamilies, then those skills will not be lost. Further, ifsome of the women value education more as a resultof their experience of learning, and encourage theirchildren to complete their schooling so that schoolretention rates are raised, then the benefits oftraining those women will multiply and continue.Thus, there is no need for the mining company tomaintain a presence to sustain the benefits of theprogram after closure. Although on a smaller scale,this sort of development is sustainable.


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ENTRoles and Responsibilities for Community

Development

Community development needs clearly defined rolesand responsibilities of government, companies,NGOs/community-based organizations (CBOs), andcommunities (table 2.1), and shared commitmentfrom all levels within an organization.

Government

• Strategic leadership

• Strategic coordination

• Provide policy and regulatory framework for project development, operation, closure, andpost-closure

• Support capacitybuilding at the local levelincluding monitoringcapabilities

• Deliver local services

• Leverage state andexternal resources

• Monitoring andevaluation

Companies

• Manage exploration,construction, operation,and closure of mines inaccordance withregulatory requirements

• Catalyst for action atthe community level

• Stakeholdercoordination aroundproject site

• Financial, material, andfacilities support for localcommunity

• Transfer of technicaland management skillsand expertise to localcommunity


NGOs/CBOs

• Local needsassessment

• Local capacity buildingand institutionalstrengthening

• Community projectdesign andimplementation

• Leverage externalfunding for communitysupport


Community groups

• Local needs definitionand prioritization

• Local knowledge andvalues

• Community planningand mobilization

• Mobilization of localassets and resources


• Internal organizationand conflict resolution

TABLE 2.1 TYPICAL ROLES AND RESPONSIBILITIES OF STAKEHOLDERS


The precise roles of the various participants dependon local circumstances and change during the courseof both the mine and the community developmentprocess. However, some broad principles are clear:

• Government: Has the primary responsibility forensuring that communities benefit from developmenton their land or in their region. Governments shouldtake the lead in setting policy and standards toensure development takes place at the local level,planning the development of social and physicalinfrastructure and land use, developing systems forproject monitoring and evaluation, and protecting therights and interests of citizens.

• Companies: Can also play an active role to supportcommunity development, but they should not assumethe role of government at the local level. Wheregovernment capacity is insufficient, companies maybe forced to take a leadership role but to the extentpossible it should be shared with NGOs andcommunity organizations. In the longer-term,however, they should focus on ensuring that localinitiatives work constructively alongside regionalgovernment development programs and on buildingpartnerships to help develop sustainable communitycapacities and resources. Most importantly, theyshould foster skills transfer and encourage thedevelopment of small businesses.

• NGOs/CBOs: Can play an important role inadvocating on behalf of local communities and indelivering local services. NGOs need, however, toclearly define their roles and to identify where theirinterests may be different to those of the localcommunity. NGOs involved directly in communityissues need to respect different communityperspectives toward proposed development and workon building their capacity to articulate localperspectives and to determine that the full range ofdevelopment options are available to communities.

• Community groups: Play the central role.Community development is essentially the processthrough which communities address locally definedneeds and achieve improvement in quality of life.Development reflects their needs, priorities, andaspirations; is achieved largely through theirownership and commitment to locally defineddevelopment goals; and is sustained when they havethe capacity, confidence, and opportunity to planappropriate strategies and mobilize resources tofulfill their development goals.

In addition, international development agencies mayalso play a role in community development in themining sector, although they are not always presentin areas where mining takes place. Donors haveunique influence and responsibility, particularly inharmonizing the standards by which communities aretreated and in bringing influence to bear on publicand private-sector development actors. They providean important source of development resources,expertise, and experience and can advisegovernments, companies, NGOs/CBOs, andcommunities of good practice as well as helpingmobilize financial resources for local developmentprojects.

Community Development in the MiningProject Cycle

Community development activities span all phases ofthe mining project cycle. All present particularchallenges. It is important to remember that therelationships between mining companies, localcommunities, and other stakeholders begin longbefore construction of a mine commences, andcompanies would be wise to invest in establishinggood local relationships at the earliest stagespossible.

While the Toolkit includes guidelines on whendifferent tools are applicable, as a practical rule ofthumb the sooner you start, the better. Processes canmore easily be slowed down than speeded up to meeta community’s needs. Additional guidance for theexploration phases of project development is providedin Environmental Excellence in Exploration (E3)v: anonline reference (an e-manual) of best practices inenvironmental management and communityengagement practices for minerals explorationglobally. Where leases or projects are acquired fromother companies, an assessment of relationshiplegacies must be made at the earliest possible stageand steps toward amelioration taken as soon aspossible, if needed.

Special attention is needed at the construction stage,which can be most traumatic for communities. Thereis often an influx of construction workers fromoutside the region, typically with little affinity for localpeople, their customs, or their needs. This is thestage when community incomes change drasticallywith “haves” and “have nots” starting to emergeaccording to which individuals and families receiveemployment and/or compensation and which do not.It is also a time when local prices for food, goods, andservices typically rise as money flows into thecommunity, and making the plight of “have nots”even worse. It is also a time when traditionalauthority structures and family relationships can beweakened and domestic violence can increase inresponse to community stresses.


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ENTThere can also be unintended consequences,

especially at the construction stage. For example, theconstruction of a mine in a remote location can resultin all the local transportation being contracted tomeet the needs of construction. Pressure foraccommodation and land increases, and demand forfood and supplies rises to meet the needs of theconstruction site, causing price increases that benefitsuppliers and farmers. Unintended consequencescan be that local people no longer have easy accessto transportation to other locations, the delivery ofsupplies to local stores is disrupted, and the priceincreases for food and suppliers harms those withlittle or no income – typically women and children –who are least able to protect themselves.

The importance of involving local people inemergency planning has been identified in workcarried out by the International Council on Miningand Metals (ICMM) and the United NationsEnvironment Programme (UNEP). The ICMM andUNEP publication, Good Practice in EmergencyPreparedness and Response (2005), presents the 10steps of UNEP’s Awareness and Preparedness forEmergencies at Local Level process and otherelements of a best practice emergency plan. It coverseverything from identifying who does what in anemergency to training and proper liaison with thelocal community. This is followed by and linked to aseries of case studies gathered from across theindustry that illustrate some of the principlesinvolved and how they might be effectively applied.

The importance of monitoring and evaluation cannotbe overstated, especially since relationships with andimpacts on local communities will continue after themine is finished. It is essentially important to ensurethat all planning takes post-closure aspects intoconsideration. This is particularly the case wherelong-term post-closure monitoring will be required,which is becoming more common.

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ENTTable 2.2 shows the sequence of community

development tools and activities throughout themining project cycle. But remember:

• Many of those activities will be repeated throughoutthe project cycle. Never stop assessing localcommunity or regulatory conditions, identifyingstakeholders, or developing human resources andcapacities.

• The earlier it is started, the better, but it is never toolate to start applying community development toolsand approaches. If it has not been done so already,begin at any time and follow the sequence of activitiesset out in the matrix at the beginning of the Toolkit.


• For sustainability, always consider how acommunity development program will cope withoutsupport from the mine, whether the mine closes in 5or 50 years. All stakeholders should start planningfor closure from the earliest opportunity. Taking intoaccount closure needs and implications can wellaffect the initial mine design and infrastructureprovision. Planning for closure should becomeprogressively more detailed as the mine lifeadvances.

Phase

Explorationa

Feasibility

Construction

Operations

Decommissioning and closure

Post closure

Description

• Highly competitive and structured within very short time horizons.

• The nature of the relationship between company and local communities is establishedand generally sets the tone of relationship from then forward. This is a challenging timesince, in the earliest stages at least, there is an inbuilt mismatch between the interestsof communities that want full information disclosure and a long-standing relationshipand the interests of exploration teams who want to keep their data confidential and whowill move on if there are no promising prospects for follow up.

• Extensive technical studies and consultations with government and local stakeholders.

• Important opportunities for the company to engage with local communities toestablish, for example, clear understanding of social, environment, development needs,priorities, and concerns as well as inform communities about possible mine developmentscenarios and timing.

• Relatively short, but typically brief and intense, set of activities in the constructionphase potentially with a large and/or temporary workforce.

• The influx of construction workers can be highly traumatic for the community. Thisphase often introduces significant cash into community, sometimes for the first time,with profound impacts – that can be both negative and positive – for the community.

• Medium- to long-term time horizons. Period of greatest presence and stable activities.

• Opportunities to implement long-term community development programs, focusing onlocally identified development needs and community participation and stakeholderpartnerships in program design, implementation, and monitoring.

• May be according to a long-term plan or may occur prematurely. Need for closureplanning throughout the mining project cycle to ensure that programs can survive mineclosure.

• Role and development of local partners is critically important in planning for closure.

• Even well planned and implemented closure will likely cause significant decline incommunity income and tax base of local government.

• Long-term time horizon. Includes monitoring of environmental impacts and socialconditions following closure.

• Requires clear allocation of responsibilities for monitoring and remediation of any postclosure impacts.

• Support for post-closure alternative income generation measures and sustaining thedelivery of social services.

TABLE 2.2 DESCRIPTION OF PHASES OF THE MINING PROJECT CYCLE ANDCOMPANY/COMMUNITY INTERACTIONS

aDetailed online guidance on best practices in exploration is available from E3 at www.e3mining.com

http://www.e3mining.com

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3 COMMUNITY DEVELOPMENT TOOLS

Using the Tools

The tools are designed for government officers, minesite managers, and community relations staff andcommunity officials and members in mining regions.They briefly provide and simply explain someessential tools for community development in a waythat makes them easy to learn and to use,particularly for people who have limited time fordevelopment jargon or theory.

By following the step-by-step approach – anddetailed guidance on the use of simple and effectivetools – the community development process will bebetter understood and community developmentactivity in and around mining operations will bebetter supported.

The tools have six specific objectives:

• To improve understanding of local communitydevelopment processes

• To support lasting improvement in the quality of lifeenjoyed by mining communities

• To facilitate community empowerment throughparticipatory development processes

• To build local capacities and developmentresources

• To foster constructive working relationships amongcommunities, companies, and governments

• To reduce conflict in mining communities andregions.

The tools provide practical guidance for all stages ofthe community development process, from firstcontacts between exploration geologists and localcommunity members, or the acquisition of existingprojects, through to construction, operations, andeventually decommissioning, closure, and post-closure.

Much of the tool content is aimed at mining companystaff and linked to stages of development of a miningproject. This is because the tools are designed foruse in the mining and metals sector.

However, the tools should also provide a valuableresource for government agencies, NGOs, trainingand education providers, trade unions, businessassociations, and mining services companies, in fact,anyone who is interested in facilitating communitydevelopment.

Ideally, most of the tools will be used by severalparticipants together in some type of formal orinformal partnership. For example, communityproblem ranking workshops may be organized by themining company in conjunction with communitymembers, with the participation of local governmentofficers and facilitated by a local NGO.

Some other tools may be used by differentparticipants from slightly different perspectives.Strategic planning and stakeholder analysis tools, forexample, may be used by each of the company,government, and NGOs in a similar fashion but withvarying results owing to the different viewpoints ofeach group. In the introduction to each category oftools, the use by different stakeholders is explained.Anybody can use any of these tools when they need toassess local conditions or plan, manage, or evaluatelocal development activities.

The tools are a reference and a guide to help youwork more effectively in community development.The Toolkit is designed to provide the tools you need,when you need them.

Initially, you may wish to look briefly through thetools to review the range of development approachesdescribed. As you begin to work through some ofthose development approaches, you may wish tofocus on specific tools to ensure you understandwhen and how those tools may be most effectivelyapplied.

They are not all-encompassing (or they would be toobulky to use). Other useful sources of advice will befound, including those noted in the Bibliography.These are particularly relevant when faced withissues requiring separate and specific treatment,such as resettlement, and references to the WorldBank guidelines on this and other topics are providedin the Bibliography. The tools also do not remove theneed for knowing and observing laws and regulationsthat apply to an operation.


Using the tools will not mean that you will neverneed help from others. Certain aspects of communitydevelopment require expertise that you may not have.The tools should help you decide when you needassistance and what kind of assistance that shouldbe.

Gender and Inclusion

Underlying the use of the Toolkit is an importantgender dimension. Typically mining development hasa gender bias whereby most of the benefits(employment, income, royalties, and infrastructureprojects) tend to accrue to men, and the negativeimpacts (cultural disruption, social stress,environmental harm, and domestic violence) affectwomen and children. Corrective actions are availablethat can redress this situation and improve theeconomic and social empowerment of women andimprove the well-being, safety, and security of bothwomen and children. Each stakeholder group(government, companies, communities, and civilsociety groups) should examine their own activitiesthrough a gender prism to see how well women arerepresented and how much their views and concernsare taken into account in using the tools and inassociated monitoring and evaluation activities.

Categories of Tools

The tools have been divided into several categoriesaccording to their main uses, which are also themain elements necessary in a healthy communitydevelopment program:

• Assessment tools: For assessing the environment;that is, who the people are who live there, how theylive, whether there are any existing conflicts, andwhat resources will be need to build and support acommunity development program in this setting.

• Planning tools: To design development programsdesired by all and therefore with an opportunity tobecome sustainable. Some plans may be internal tospecific organizations, such as a company or NGO.Other plans may be developed by coordinated effortsby many groups.

• Relationships tools: For building and maintaininggood relationships between all stakeholders, such asgovernment, community members, companyrepresentatives, and local organizations.Relationships are the foundation of all cooperativeactivities and therefore essential for soundcommunity development programs.

• Program management tools: For supporting andimplementing the plans developed with the planningtools. These management tools include means forensuring that plans are realistically resourced andscheduled and that there are people takingresponsibility for implementing them. Plans are justpieces of paper until they are put into motion.

• Monitoring and evaluation tools: For measuringprogress toward program goals. Some evaluationsmay be internal to individual organizations, butideally all participants will work together on someevaluation tools so that any modifications required toplans will be developed in a coordinated andcooperative manner.

Some Advice

Be patient. Let people develop at their own pace. One of the greatest challenges of providing goodcommunity development support is working to thetimetable of the community. Community leaders andmembers will likely be fully aware of this. If you are amining company manager, government official, orNGO representative, you may have project deadlines,annual reports to complete, and budgets to utilize.These imperatives, coupled with the temptation tosee immediate results from your work, can be strong.

Remember that development is a long-term process.It is about building local capacities and strengtheninglocal organizations and not necessarily theimmediate or visible outputs of your developmentactivity. Development is the process of change in localpeople’s capacities and resources, in how theyorganize themselves, and in how they relate to theoutside world.

For those who are not community leaders ormembers, your role is to facilitate that process and totake a back seat or supporting role. You probablyhave special skills, knowledge, and abilities andaccess to resources, all of which could achieve thetangible aspects of community development projectsmore quickly than people just learning the ropes can.

However, you will really have achieved the goal ofsustainable community development when thecommunity feels that it can manage well without you.


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ENDNOTES

i On May 21, 2001, the Board of Directors of the International Council on Metals and Environment(ICME) agreed to broaden the groups’ mandate and transform itself into the International Council onMining and Metals (ICMM), and to move its headquarters from Ottawa, Canada, to London.

ii See www.icmm.com/sd_framework.php.

iii World Bank Revised Operational Policy and Bank Procedure on Indigenous Peoples (OP/BP 4.10)available atweb.worldbank.org/WBSITE/EXTERNAL/TOPICS/EXTSOCIALDEVELOPMENT/EXTINDPEOPLE/0,,menuPK:407808~pagePK:149018~piPK:149093~theSitePK:407802,00.html.

iv See ICMM Mining and Indigenous Peoples Issues Review, available atwww.icmm.com/library_pub_detail.php?rcd=175.

v See www.e3mining.com

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http://www.icmm.com/sd_framework.php

http://www.icmm.com/library_pub_detail.php?rcd=175

http://www.e3mining.com

List of Assessment Tools in this Toolkit

1 Stakeholder IdentificationFor identifying all the people with an interest in the project or who may be affected by the project.

2 Social Baseline StudyFor drawing up a profile of the community surrounding the project area and its regional and national setting.

3 Social Impact and Opportunities AssessmentFor assessing the impacts, both positive and negative,that the project may have on host communities and how to manage them.

4 Competencies AssessmentFor determining the attributes your team has and whether other skills, knowledge, and understanding may be required.

ASSESSMENTTOOLS

Guidance for Using Assessment Tools

Assessment is the first thing you need to do whenstarting work in a new environment to determineyour needs and those of others. Communities,shareholders, regulators, and other stakeholdersare increasingly demanding that baselineassessments be undertaken for projects, so thatthere is a background profile against whichmonitoring and evaluation measurements may bemade. (See table below for assessment tools andwho might use them.)

• Government officer: As a government officer youmay have been transferred to a new district andneed to assess your new environment or a newmining project may have come to your district, soyou need to assess their plans. By learning who allthe stakeholders are with an interest in the project,whether any conflicts exist between the project andthe community, and how the company intends toaddress its social impacts, you will be better placedfor identifying opportunities for government plans todovetail with community and company plans.

• Community member: As a community memberyou may have moved to a new home and need toascertain what activities are taking place in the newneighborhood or a new project may have announcedits intention to start up locally so you need to assesstheir intentions. You may not be inclined to conducta stakeholder identification exercise or socialimpact assessment yourself but, by identifyingyourself as a stakeholder and participating in impactassessment activities, such as community meetingsand focus groups, you will be shaping the process tosuit your community.

You will also be getting to know the otherstakeholders, which will help you to participatefurther later.

• Community organization or NGO: As a member ofa community organization or NGO you may need toassess the plans of a new project or a new companymay have acquired an existing project and you maywant to evaluate how different that new companymay be from the former owners. Your organizationmay want to conduct a stakeholder identificationexercise to make sure that you are consulting all therelevant people in the community, government, andcompany.

• Mining company staff: As a member of the miningcompany staff you may have started work on a newmining project and need to assess the potentialimpacts that the project might have on localcommunities, or your company may have bought anexisting mine, so you need to determine what thelegacies are from the previous owners and learnabout the surrounding social and economicenvironment. Assessment tools provide valuableinformation on demographic and economicconditions and trends, political structures, localorganizations, cultural traits, and other factors thatcan influence the way in which affectedcommunities will respond to anticipated changesbrought about by the project.

Assessment Tools and Who Might Use ThemParticipant Assessment Needs Appropriate Tools Tool No.

Government To know new stakeholders Stakeholder Identification 1Officer

Understand project impacts Social Impact and Opportunities 3Assessment

Understand the local community Social Baseline Study 2

Community To know new stakeholders Stakeholder Identification 1Member

To identify own needs and priorities Social Impact and Opportunities 3Assessment (participation)

NGO Member To contribute to assessment data Social Impact and Opportunities 3Assessment (participation)

To know new stakeholders Stakeholder Identification 1

Mining Company To know new stakeholders Stakeholder Identification 1Staff

Understand project impacts Social Impact and Opportunities 3Assessment

Understand the local community Social Baseline Study 2

Ensure adequate skills, knowledge Competencies assessment 4and attitudes for community development staff

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Description

Stakeholder Identification is the discovery of a project’s stakeholders; thatis, of their interests and the ways in which those interests affect aproject’s viability. Stakeholder Identification contributes to project designby learning about the goals and roles of different groups, suggestingappropriate forms of engagement with those groups.

Stakeholders are persons or groups who are affected by or can affect theoutcome of a project. Stakeholders may be individuals, interest groups,government agencies, or corporate organizations. They may includepoliticians, commercial and industrial enterprises, labor unions,academics, religious groups, national social and environmental groups,public sector agencies, and the media.

1

1Stakeholder Identification


How to use this tool

Your initial objective is to identify absolutelyeveryone and every group that might have aninterest in the project in order not to miss anyone.Later, you will ascertain who has an enduring ordeep interest in the project, but to start with aim forinclusivity.

• Step 1: Brainstorm existing stakeholders. This is best done by a team of people who haveinteractions with parties external to theorganization. Every project already has existingrelationships. List those first. Use the table oppositeas a checklist, and name the stakeholders for theproject you are working on. Some stakeholders areeasily identified, such as people in the neighborhoodof the project, interest groups in the country wherethe project is located, local and regional governmentpeople, and so on. These may be termed directstakeholders. Other, indirect, stakeholders may bemore difficult to identify, and you need to think morelaterally about how you establish and maintainrelationships with them. Examples of these may beNGOs or academics situated in locations remotefrom the project but nonetheless with an interest init.

• Step 2: Network to expand the list. Ask thestakeholders you already know to suggest otherpeople with an interest in the project. Be inclusive.Do not worry about numbers. They will even out inthe end. Worry more about leaving people out.

• Step 3: Check that you have included all thepossible stakeholders that you and your colleaguescan think of. A question to ask yourself for ensuringthat all key stakeholders are included in the list is:Whose support or lack of it might significantlyinfluence the success of the project?

Purpose

The purpose of this tool is to identify acomprehensive list of people and groups with aninterest in your project. This can be used forconsultation purposes, impact assessment, andpartnership assessment as the project evolves.Stakeholder Identification provides a starting pointin building the relationships needed for successfulcommunity development; that is, finding whichgroups to work with and how they might mosteffectively be engaged.

It is especially important to seek out stakeholderswho may be marginalized or not represented informal structures (for example, Indigenous Peoplesor women). You cannot assume that their interestswill be covered. They need to be consideredseparately to ensure that their voices will be heard.

When to use this tool

From the earliest prefeasibility stages of a projectstart to build the stakeholder list, and then revisethe list whenever there are any changes in projectdesign, scope, social environment, or activity, rightthrough to closure. In the context of closure,employee consultation needs to be undertaken as adistinct closure activity. Revise the listsystematically at least once per year or more often ifchanges are observed.

The following process is aimed at company staff, butcould be applied just as easily to stakeholderidentification by government or NGO representativesor community members.

Stakeholder Identification is a dynamic process; thatis, some stakeholders disengage and others join inat different stages of project development. There isno such thing as a static list that can be filed awayonce all stakeholders have been successfullyidentified. Take care to remember internalstakeholders. For example, your own employeesform an essential part of the community and shouldbe kept informed and listened to just as much asexternal stakeholders. This will enhance employees’feeling of ownership. In addition, many externalstakeholders gain knowledge of your activitiesthrough interactions with your employees, so itmakes perfect sense to keep your own staffengaged.

Checklist of possible stakeholders

Use this generic list to jog your memory

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Other advocacy groups

• Health and safety groups• Human rights groups• Social justice groups• Political groups• Others

Other civic organizations

• Churches and religious organizations• Trade or labor unions• Educational organizations• Fraternal organizations• Charitable organizations• Organizations serving children • Organizations serving the elderly• Professional and trade associations• Others

Internal

• Board of directors• International advisory board• Top management• Shareholders• Legal people• Health, safety, and environment people• Employees• Retirees• Families of employees• Human resources/employment department• Others

Specially concerned people/groups

• With interest in your site (small-scale miners)• With interests in your company (existingpartners)• With interests in your industry• Who are already involved• Who want to be involved• With emergency response job• Who you wish to involve• News media• Others

Communities

• The local community near your site• The local community near your head office• The regional community• The national community• The international community

Specially impacted

• Nearest neighbors• Elderly/ill/incarcerated/disabled• Indigenous Peoplesa

• Racial minorities/oppressed groups• Children/schools/orphanages• Others

Government officials

• Local officials• Regional officials• State officials• National officials• Opposition officials• Others

Industry

• Individual companies• Competitors• Suppliers• Customers• Industry associations• Business associations• Others

Regulators

• Local agencies• Regional agencies• State agencies• National agencies• International organizations• Others

Environmental Non-GovernmentalOrganizations and Community BasedOrganizations

• Local groups• Regional groups• State groups• National groups• International groups• Individual green activists• Others

a For a detailed examination of the issues in relation to mining and indigenous peoples, see ICMM’s Mining and Indigenous PeoplesIssues Review, available at www.icmm.com/library_pub_detail.php?rcd=175 .


Key references

IIED and WBCSD: “Breaking New Ground – Mining, Minerals and Sustainable Development”

Available: www.iied.org/mmsd/

International Finance Corporation (IFC) Environment Division: Investing in People: SustainingCommunities Through Improved Business Practice. A Community Development Resource Guide forCompanies (section 2: Defining Community).

Available: www.ifc.org/ifcext/enviro.nsf/Content/Publications

IFC Environment Division: Good Practice Notes: Doing Better Business Through Effective PublicConsultation and Disclosure (section C, Guidance Note 2: Stakeholder Identification).


http://www.iied.org/mmsd

http://www.ifc.org/ifcext/enviro.nsf/Content/Publications


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2Social Baseline Study


Description

The gathering and compilation of baseline data that describes the state ofthe social and economic environment and the characteristics of thepopulations living in the area around a mining project is usually known as asocial baseline study. A social baseline study investigates:

• Demographic factors: Numbers of people, their location, population density, age, ethnicity, health, income and so on

• Socioeconomic determinants: Factors affecting incomes and productivity, land tenure, access to productive inputs and markets, family composition, kinship reciprocity, and access to wage opportunities, and labor migration

• Social organization: Organization and capacity at the household and community levels affecting participation in local-level institutions as well as local decision-making processes and access to services and information

• Economic organization: Local and regional businesses and commercial structures, infrastructure supporting economic activity, government, and other economic/industrial development plans for the area

• Sociopolitical context: Stakeholder organizations’ development goals, priorities, commitment to development objectives, control over resources, experience, and relationship with other stakeholder groups

• Historical context: Historical issues and events (migration, relocation)

• Needs and values: Stakeholder attitudes and values determining whether development interventions are needed and wanted, appropriate incentives for change, and capacity of stakeholders to manage the process of change

• Human rights context: Prevailing human rights issues and country risks and so on

• Institutions: Role, governance, resources, and capacities of local institutions as well as regulatory framework

• Cultural background: Cultural norms and practices and places of high cultural value

Another important time to update baseline socialand economic data is at mine expansion or closure.This will help both to plan appropriately forexpansion or closure and to provide a baselineagainst which to measure post-closure changes oran adjusted baseline to measure post-expansionchanges against.


A baseline survey is a large undertaking, frequentlyrequiring a large team of field surveyors, and istherefore beyond the capacity of most companies toconduct with in-house resources. Usuallyconsultants are engaged to gather and analyze thebaseline data, including information alreadyavailable in a variety of sources, such as universitiesand government departments. Ideally, experiencedconsultants with a familiarity with internationalsocial assessment standards will team with localconsultants and researchers to conduct the socialbaseline study process. Even better, if time andresources permit, participatory research methods,where community members conduct their ownanalysis, may be used.

In general, however, as participatory methods aremuch more time-consuming than the data-gathering efforts of professional researchers, andcompanies are pressured by project deadlines tofinalize their reports, community-directed researchtends to take place as part of participatory planningprograms, such as described in tools 6–9.

• Step 1: Desktop social profile; that is, engageresearchers to locate available data in cooperationwith local officials and community leaders to drawup a social profile (this could be part of a duediligence assessment).

• Step 2: Decide what further information needs tobe acquired through primary research.

• Step 3: Engage experienced social scientists andlocal tertiary institutes or research organizations todesign a survey to capture both quantitative(questionnaire of many people) and qualitative(focus groups and key informant interviews)information.

• Step 4: Draw comprehensive community profile.Test with community participants and adjust asneeded.

• Step 5: Use the completed social and economicbaseline study as the basis for conducting a SocialImpact and Opportunities Assessment (tool 3) andfor monitoring and evaluation activities (tools15–17).

Purpose

The purpose of this tool is to enable projectproponents to understand the local communities’situation, their hopes and fears surrounding theproject, and the potential impacts, both positive andnegative, of the project. It is used also to gather datathat can be used for measuring future change.

Without good understanding of the local social andeconomic context, program facilitators mayunderestimate project risks, fail to identifyopportunities for contributing to social andeconomic development, introduce program activitiesthat are culturally or socially inappropriate, or fail tounderstand local causes of poverty and inequality.

A good baseline study also provides the groundingdata needed for assessments of change after aproject has been initiated. By measuring conditionsat the outset of a project, it is possible to take latermeasurements, compare them with the baselinedata, and determine whether change has takenplace. For example, it would be possible to ascertainwhether there are more local businesses since thestart of a project.


A baseline study, by definition, needs to beundertaken prior to the beginning of a project. If anexisting project is acquired, and no baseline studywas conducted by the previous project managers,then it is a good idea to do a baseline study from thetime you start with a project, perhaps to be termeda delayed baseline.

Some leading companies are already including aless complex assessment of the likely costs ofprograms to mitigate potential social problems intheir due diligence process (that is, not a full SocialImpact Assessment, but a rough estimate). Theresults of the desktop study (step 1) could be usedfor this purpose. Conceivably, if the costs ofimplementing adequate social programs willoutweigh the potential profits of a mine, as assessedat a high level at this early stage, then it may beprudent to walk away from the project.

If the initial desktop estimate does not deterinvestors from proceeding with the project, then thegathering of primary data to complete the baselinesurvey should commence as soon as possible afterthe go-ahead decision is made. The baseline studyis not, however, the end of the process of knowingyour local community. Development facilitators needto update their understanding of local socialconditions—to identify emerging concerns andchanging need—throughout the life of the project.

The following examples of social baseline studiesare adapted from actual examples, one from a minein Africa and one from a mine in Australia. Thepurpose of including two examples is to illustratethat, although the basic structure of a baselinestudy is fairly standard, the emphasis and prioritygiven to other elements will vary according to thecircumstances.

In example 1, the mine had been in existence forsome years before a new company bought it anddecided to do a baseline study. There had beensome conflict between the previous owners and thelocal community. Hence, community relationsbecame the first topic for discussion after thefundamental demographic profile was presented. In example 2, the majority of the local communitynear the mine were Indigenous Peoples, whosedemographic trends and structures differ from themajority of the national population, so emphasiswas given to explaining this before dealing withother issues such as health, education andemployment.

The point is that there is no fixed template forbaseline studies, although the fundamentalelements will be common to all societies.

Example Social Baseline Studies Tables of Contents

Example 2

Project descriptionExisting data and gap analysisPrimary and secondary data covering:

• Population trends• Age/gender distribution• Employment and income• Education standards• Health standards• Housing standards• Regional economy• Infrastructure• Community life

Example 1

Project descriptionExisting data and gap analysisPrimary and secondary data covering:

• Demographics• Community relations• Education• Health• Economic development• Resettlement• Community development• Infrastructure• Agriculture/forestry

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Key references

World Bank: Social Analysis Sourcebook: Incorporating Social Dimensions Into World Bank Operations(chapter 4: Social Assessment; chapter 5: The Way Forward).

Available: www.worldbank.org/socialanalysissourcebook/

IFC Environment Division: Good Practice Notes: Addressing the Social Dimensions of Private SectorProjects (all sections).


Social Baseline Survey in Progress in Tanzania Social surveyor (right) collecting baseline data from community member, Tanzania

http://www.worldbank.org/socialanalysissourcebook


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Description

There is a concern among some community development commentatorsthat the process of Social Impact Assessment (SIA) limits itself toidentifying negative impacts and mitigating them rather than alsoconsidering positive aspects of the presence of a project. SIAs shouldidentify positive as well as negative impacts and look for methods ofenhancing the opportunities that can flow from the positive impacts aswell as offsetting the negative ones. These opportunities can form thebasis for a sustainable community development program if harnessed in acooperative participatory planning program with full engagement fromthe local community, government, and other stakeholders. In addition, thepurposeful identification and enhancement of opportunities that can addvalue to a project’s presence within a community from the start will makethe challenges of engagement, local participation, and a morecollaborative and sustainable community development effort throughoutthe life cycle of the project easier.

3

3Social Impact and OpportunitiesAssessment


Criteria applied for the determination of an impactshould include the likelihood of an impact occurring,how widespread the impact will be (how manypeople will it affect), and, after managementmeasures have been developed, whether it can bemitigated reasonably or not. Management measuresare then proposed for the impacts identified, eitherto enhance the positive impacts (opportunities) or tomitigate the negative impacts. Closure planningshould also form part of the planning for impactmanagement measures from the earliest stage.That is, the impact management programs shouldbe designed to be sustainable, to survive thecessation of mining operations and not simply be apositive measure during the life of the mine, leavingpeople no better off when the mine closes.

Impacts should ideally be assessed twice, oncewithout the ameliorative effect of mitigationmeasures and then again after proposedmanagement measures are included in theequation. This should be done to determine whethera project is able not only to manage its negativeimpacts through good community developmentprograms but even to have a positive contribution tosustainable development. This comparativeassessment will highlight the importance of goodcommunity development and encourage companiesto invest in social programs. (See table opposite foran example of impacts.)

For example, a large mine may have a significantnegative impact on local employment for small-scale miners who will no longer be able to mine thedeposits they used to. However, if employmentprograms are implemented to provide alternativelivelihoods for these miners, then the impact maybe neutral or even positive. Going further, if themine is able to put in place, in cooperation withgovernment and employment and training agencies,an effective training and education program thatallows local people to acquire skills that enablethem to obtain lifelong employment from a variety ofsources, then the overall impact of the project onemployment and income may be positive. Theproject, in partnership with government agencies,will then have created opportunities for the broadercommunity.

Purpose

The purpose of this tool is to assess the potentialsocial and economic impacts of the proposedproject upon stakeholders. Having identified likelyimpacts, it can then be used to propose measures tooffset potential negative impacts and maximizepositive impacts. Going beyond the basic SIA model,a community-development–focused SIA approachshould include opportunity assessment to enhancepositive development impacts of the project as wellas identifying impacts that need to be mitigated.


Ideally, an SIA should be conducted as soon aspossible after the Social Baseline Study (see tool 2).Indeed, they usually form part of the same largeexercise, although, in some cases, a baseline maybe conducted as a separate undertaking.

Assessments should be made of the impacts likelyat each stage of the project, from feasibility throughto relinquishment, including transitory phases suchas construction, when a large, temporary workforcemay be present. It is particularly important that thesocial impacts of a project at closure and beyond aretaken into account when assessing the feasibility ofa proposed project. As a site approaches closure, aspecific SIA on the impacts of closure should beconducted, and closure mitigation programs shouldbe developed accordingly. The cost of exit strategiesshould be factored into the financial modeling whenexamining the feasibility of a project. If the costs ofmanaging social impacts in a responsible andsustainable manner are too high, it might be betterfor project proponents to consider not proceeding.An environmental impact assessment (EIA) mayalso be underway at the same time and it isimportant to consider any overlaps betweenenvironmental and social impacts, such as those inrelation to community health.


The assessment would normally be undertaken byexperienced social scientists with a goodunderstanding of mining projects and their potentialeffects, as well as sound knowledge of communitydynamics and the local population. If good baselinedata have been collected (see tool 2), then theassessment will be based on a solid foundation. Theparticipation of local, regional, and nationalstakeholders, through interviews, focus groups, andsurveys will also provide information about localvalues and experiences, invaluable for acomprehensive assessment. These surveys andinterviews are not just for the purposes of datacollection to populate the baseline study, but shouldcapture people’s hopes, fears, and expectations togive life to the assessment of impacts andidentification of opportunities.

• Step 1: Review social baseline study anddetermine areas of concern to the communities,potential impacts, as well as areas where theproject might present opportunities.

• Step 2: Assess potential impacts andopportunities and identify areas needing impactmanagement programs.

• Step 3: Propose measures to manage and, ifnecessary, mitigate the identified impacts andenhance opportunities.

• Step 4: Reassess the impacts and opportunities,taking the proposed management measures intoaccount.

• Step 5: Work with community and other partnerson participatory development plans that addresscommunity priority programs (enhancingopportunities) as well as required mitigationprograms (mitigating impacts). Tools 6–9 and tool 14can be used to develop impact management plansin cooperation with community members and otherpartner agencies.

• Step 6: Review management measures andprograms regularly, and adjust as required (seetools 15–17 for monitoring and evaluation methods).

Example Summary Table of Impacts

Impact area Positive or negative Significance impact (severity/number of

people affected)

Livelihoods• Predicted impacts Negative Low• Predicted impacts after mitigation measures Positive High

Community relations• Predicted impacts Neutral High• Predicted impacts after mitigation measures Positive High

Education• Predicted impacts Positive Medium• Predicted impacts after mitigation measures Positive High

Health• Predicted impacts Positive Low• Predicted impacts after mitigation measures Positive High

Infrastructure• Predicted impacts Positive Medium• Predicted impacts after mitigation measures Positive Medium/high

Community development• Predicted impacts Positive Low• Predicted impacts after mitigation measures Positive High

Note: This is a summary table. The significance level of positive impacts progresses to a higher level when programs are made availableto more people (that is, the impact becomes more positive).

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Key references

There are many references on SIA, and it is frequently a rather detailed process. This tool intends to givean outline of the broad processes involved. For greater detail, follow up on some of these sources.

Burdge, Rabel J. 2004. A Community Guide to Social Impact Assessment. Rev. Ed.. Middleton, WI: SocialEcology Press.

Available: www.dog-eared.com/socialecologypress/

International Association of Impact Assessment has a range of resources available on its Web site.

Available: www.iaia.org/

IFC Environment Division: Good Practice Notes: Addressing the Social Dimensions of Private SectorProjects (all sections).


IPIECA: Guide to Social Impact Assessment in the Oil and Gas Industry.

Available: www.ipieca.org/downloads/social/SIA_Document_Final.pdf

http://www.dog-eared.com/socialecologypress

http://www.iaia.org


http://www.ipieca.org/downloads/social/SIA_Document_Final.pdf

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Description

Good community development is dependent on having people withsuitable skills and understanding to run programs and on givingcommunity development staff the training support they need to performtheir jobs well. If responsibility for managing community development isgiven to people whose primary duties and expertise are in other areas (forexample, environmental science or human resource management), it isunlikely that community development programs will run properly. Thecompetencies assessment is a process for measuring and recording theskills of an individual or group. It is a highly flexible tool that can beperformed through a facilitated workshop process, on a one-to-one basis,or an individual basis.

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4Competencies Assessment



The tool can be used by an individual or collectivelyby a team to list required skills, estimate the level ofexpertise needed for each skills area, and assessthe current level of skills against requirements.Then steps can be taken to fill any gaps identified.

• Step 1: Individually (for example, if you are asingle community development worker) or in a team(if there are several), think about the predictedimpacts of the operation and the baseline conditionsof the local communities (from tools 2 and 3) andconsider what areas of community developmentprograms you expect to become involved in (forexample, mechanical training, women’smicroenterprises, and agricultural extension).

• Step 2: Having listed likely program areas,consider the role that could best be played by yourteam (for example, would your team actually runtraining programs for mechanics or would you workwith a local vocational training school to help themupgrade their services). Decide whether you needtechnical skills, training skills, or organizationaldevelopment skills, and then list the full range ofskills your team will need.

• Step 3: Write the list of required skills in thecentral column in the Competencies Assessmentworksheet on the opposite page.

• Step 4: Estimate the level of expertise desired inthose required skills and record it in the left columnin the worksheet.

• Step 5: Assess the levels of skills and knowledgepossessed by you and your colleagues in the rightcolumn in the worksheet.

• Step 6: Compare the results of the left and rightcolumns and make note of discrepancies (forexample, you may have estimated that you need asmall business expert, with level 3 knowledge andskills, but your team has only level 1 knowledge inthis area, or none at all). This means that you mayneed to either hire an extra team member or aconsultant or have one of your existing team trainedin extra skills. You might also decide that it would bebest to team up with a local organization that offersthe requisite skills, such as a vocational trainingschool, rather than hiring the expertise yourself.

• Step 7: Collate the gaps identified and then makean assessment of what actions need to be taken tomake the team effective and ensure that thenecessary support for the programs is available.

• Step 8: Prepare a training needs list and a humanresources request list to be presented to therelevant administration people in your organization.In addition, list the range of consultants you willneed to hire for temporary inputs and the kinds oforganizations you might need to form links with.

Purpose

The purpose of this tool is to identify additionalresources, either permanent or temporary, that maybe needed over time. This tool can be used forselecting consultants for short-term or intermittentinputs to programs as well as for choosingpermanent staff. This tool helps in identifying anddeveloping the knowledge, skills, and attitudesneeded to ensure the right team and resources areassembled to achieve community developmentgoals, whatever the size of the organization. It canalso help in assessing the skills available in analready existing team or that the local communitypossesses so that training and development needscan be recognized for staff and communitymembers as well as gaps to be filled by additionalpersonnel.

A range of knowledge and skills will be needed inthe team to achieve development objectives. Ingeneral, look for people with humanities or socialscience training or community organizationexperience. Direct knowledge of the localcommunity and cultural context would be beneficial,but more important is experience in working wellwith communities and the ability to grasp quicklythe local issues. An assessment of a person’s skillsneeds to include more than formal training, assomeone with appropriate experience may be moresuitable than someone with the right degree butlittle experience. Types of knowledge, skills andattitudes are outlined in the table at the top of thepage opposite.


This tool is needed when forming the communitydevelopment team, as early as possible, ideally atthe same time that project construction plans arebeing made. If resettlement of local communities isrequired for the construction of the mine and itsinfrastructure, then community developmentexpertise will be required to plan and manage therelocation process. Then, as the scale of operationalactivities increases, it may be necessary to expandthe team to cover additional areas of communitydevelopment activity (for example, you may need tohire a small business development expert).Additional expertise when planning for closure maybe needed, and certainly when implementingclosure plans when a combination of experience andlocal knowledge is essential. In other words, usethis tool as early as possible. Then, re-evaluate theteam as needs evolve.

Knowledge, Skills, and Attitudes for Community Development

Description

Key points

Knowledge

Community developmentdemands a broad base ofknowledge in many areas: forexample, local social conditionsand dynamics of change,institutional development,economic development, andprogram design andmanagement. It includes bothbasic information, how toacquire information, and theways in which information canbe applied.

Understanding of: • Community needs, priorities,

and values• Social and economic

development and natural resource management

• Partnership brokering and maintenance

• Group processes and dynamics• Project management• Financial management• Team building and team

management• Problem solving and decision

making• Training and skills

development• Organizational development

and design

Skills

Skills help move from knowledgeto action. Skills are learned,practical, and repeatableprocesses through which positiveoutcomes are achieved. Skills donot need to be well-developed atthe beginning of the communitydevelopment process, but, asplanning becomes implementingand sustaining action, thedemands on skills will increase.

Demonstrated capacity in:• Planning and program design• Research, assessment,

analysis, and evaluation• Team building, staff, and

financial management• Communications, consultation,

and facilitation• Problem solving and conflict

resolution• Organizational design and

development

Attitudes

The spirit or perspective fromwhich community development isapproached shapes decisions andactions. It is critical to buildingtrust and in empowering localcommunities. Attitude may beindividual, may be evident withingroups, or may be commonthroughout the organization.

Respect for:• Local people and communities• Development as a social

process, not simply dependent on technical skills and expertise

• The value of process and sustainability; not quick results

• Local empowerment and development

• Local knowledge and perspectives

• Facilitation and not leadership• New ideas, approaches, and

opportunities• Patience, flexibility, resilience,

and perseverance• Constructive criticism and

self-evaluation

Competencies Assessment Worksheet

Required skill level

Level of expertise, knowledge, orunderstanding required to performeffectively in role

No expertise High expertise

0 1 2 3

√

√

√

√

√

√

Skills

Skills area (there may be others)

Planning and program design

Research, assessment, analysis, andevaluation

Team building, staff, and financialmanagement

Communications, consultation, andfacilitation

Problem solving and conflict resolution

Organizational design and development

Existing skill level

Actual level of expertise, knowledge,or understanding


0 1 2 3

√

√

√

√

√

√

The example above lists general skills forcommunity development staff. The results of thatteam assessment would be that additional expertiseis required in the problem solving and conflictresolution area, so a consultant may be required forthat. In addition, either a new team member withhigher level skills in communications, planning, andorganizational design may be needed, or currentstaff may need additional training in those fields.

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An example for a person or organization with aspecific technical skill, such as the small businessexpertise mentioned in step 6, might look like theone shown below.

Sample Worksheet for Small Business Enterprise

Required skill level

From new team member orconsultant


0 1 2 3

√

√

Skills

Skills area

Small business development

Training and skills transfer

Existing skill level

In current team


0 1 2 3

√

√

It is likely that a new team member or long-termconsultancy or partnership may be needed to fillthis gap. Upgrading current staff skills from level 1to level 3 by training would probably take too long tobe effective.

Key references

DFID: Tools for Development: A Handbook for Those Engaged in Development Activity.

Available: www.dfid.gov.uk/pubs/files/toolsfordevelopment.pdf

http://www.dfid.gov.uk/pubs/files/toolsfordevelopment.pdf

List of Planning Tools in this Toolkit

5 Strategic Planning FrameworkThe process through which you (a) understand why you want to contribute to community development, (b) define and plan your development objectives and how to achieve them, and (c) determine how you will know when you have succeeded.

6 Community MapThis is an exercise in which local people map out theircommunity's physical layout. It is designed to start people recognizing that they are the experts about their own community and to get discussion and cooperation going.

7 Institutional AnalysisThis is an exercise to evaluate the variety, strength, and linkages of institutions within and around a community.

8 Problem CensusThis is to allow a full range of participants to decide upon priority development issues in the community rather than the views of only a few being noted. It is a workshop process that enables a broad range of community participants to define and explain the importance of obstacles to development in their community.

9 Opportunity RankingThis is a process to help community members decide which projects to start implementing first by sorting the projects according to priority and feasibility. This is accomplished by taking into accountthe locally available resources, skills, and capacities.

PLANNINGTOOLS

Guidance for Using Planning Tools

Good planning in community development,especially participatory planning, whichincorporates the wishes, needs, and efforts ofprogram beneficiaries as central to the planningprocess, can make the difference between anaverage and an excellent program. Workingtogether, thinking ahead, marshalling resources,allocating responsibilities, fitting in with thebudgeting and planning processes of other majorstakeholders in the region, such as donor agencies,companies, government departments, are allimportant factors of good plans. (See table below forplanning tools and who might use them.)

• Government officer: As a government officer youmay not be accustomed to observing communitiesmaking their own plans and learning about programpriorities from the grassroots level instead of fromcentral or regional government. Becoming involvedin participatory planning activities, as a facilitator,support person, or observer, may prove to beeffective in furthering government programs,especially if they are developed with communitymembers and match their aspirations. You also havea crucial role to play in aligning communitydevelopment plans with regional and nationaldevelopment programs.

• Community member: As a community memberyou may not have ever been consulted before aboutyour development priorities, and you may not knowthat all the skills required for communitydevelopment planning already exist in yourneighborhood, but just need encouragement andsupport.

This is an opportunity for your community to leadthe development planning process and to work withpartners such as mining companies, governmentdepartments, and NGOs to realize communityaspirations.

• Community organization or NGO: As a member ofa community organization or NGO you have anopportunity to play a central role in facilitating theparticipatory planning process. Your role can be toensure that community needs and wants arerecognized by authorities and donors so thatdevelopment funds are spent where the communitywants them. By building the community’s capacity tomanage itself, with support from companies andgovernment, you can leave a lasting positive legacy.

• Mining company staff: As a member of miningcompany staff you may be used to communityprograms that consisted largely of donations or ofthe construction of buildings deemed necessary bymine management and a small section of thecommunity. With program planning tools you canlearn how to work with a broad range of communitymembers to help them make their own plans,ensuring that any development activities will bewanted by the recipients, and that they will want to“own” them. You can also learn how to fit yourcommunity development programs into theoperation’s management processes, so that you willhave a reliable budget to work with and collegialsupport and not just random funding and isolatedprograms.

Planning Tools and Who Might Use ThemParticipant Planning Needs Appropriate Tools Tool No.

Government Support community’s planning efforts Participatory Planning (facilitate) 5–9officer

Understand community priorities Problem Census (observe) 8

Identify opportunities for community Opportunity Ranking (participate) 9development

Community Build confidence in own ability to plan Participatory Planning 5–9member

Understand own institutions Institutional Analysis 7

Identify opportunities Opportunity Ranking 9

NGO member Support community’s planning efforts Participatory Planning (facilitate) 5–9

Understand community priorities Problem Census (facilitate) 8


Mining company Understand community priorities Problem Census (observe) 8staff Learn how to work with community Participatory Planning 6,7


Plan for long term, including closure Strategic Planning Framework 5

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Explanation of Participatory Planning Methods


Apart from the Strategic Planning Framework, thetools described in this section are from a suite oftools known as Participatory Planning*. These toolsare widely used approaches for the development ofan understanding of community capacity andmotivation. They have been used internationally formore than 20 years, and are highly effective inidentifying development needs, setting priorities,and designing development programs in acooperative and participatory manner.

People participate in local development every daythrough their family life, livelihood activities, andcommunity responsibilities. Previously, communitydevelopment planning was undertaken by outsideexperts, who then informed communities of whatprograms were available for them and sought theiragreement. By involving community members in theactual planning stages of development programs,the likelihood of developing appropriate andsustainable plans is greatly increased.

Some of the costs and weaknesses of participationmay include increased time necessary to permitparticipation of significant stakeholder groups (forexample, women, youth, and ethnic minorities, all ofwhom tend to be overlooked in conventionalplanning processes) and to build capacity of thesegroups to take advantage of participatoryapproaches. There is no doubt that participatoryplanning methods take longer to develop andimplement than authoritarian methods. However,the initial outlay in time and inconvenience will berepaid many times over when communities begin toassume control of their own destiny. This isfundamental for sustainable development.

Participatory Planning is a methodology that coversa variety of useful tools rather than being a tool initself. The four community development toolsselected for this Toolkit, Community Map (tool 6),Institutional Analysis (tool 7), Problem Census (tool8), and Opportunity Ranking (tool 9) are four of themost useful for engaging with communities nearmine sites in joint planning exercises. These fourtools enable a community to consider its physicaland institutional structures and their strengths andweaknesses and to identify areas they wish toimprove in their community and then to assess theoptimal means for achieving their developmentgoals.

Each of these tools will be explained in detail. Thereare also many other Participatory Planning toolsthat can prove useful when working withcommunities unused to managing their owndevelopment futures. Several of these are listed inthe table overleaf.

Examples of Other Participatory Planning Methods

Tool

History

Trends Analysis

Seasonal Calendar

Gender Daily Calendar

Description

Helps people to think about where their community has come from andwhere it might be headed. Useful in that many younger people andnewer arrivals may not have heard the community history before.

Asks people to consider how aspects of community life have changed forbetter or worse over extended time periods and how the aspects maychange in the future.

Graphically describes busy work periods, celebration periods, and timesof plenty and scarcity. Encourages people to make linkages betweensome of these occurrences, such as many months of celebration leadingto hard times later. It can also highlight important gender differences(for example, tendency for men to spend longer periods of time incelebration and less time working than do women).

Very useful for initiating discussions of men’s and women's productionand domestic workloads and the different responsibilities of differentfamily members.

Note: Many reference works about PRA methods can be found at www.clarku.edu/departments/idce/publications.shtml.

*Most commonly known as PRA or Participatory Rural (or Rapid) Analysis. In the community development approachadvocated in this Toolkit for the minerals sector the analysis or research aspects of PRA are of less importance than thecooperative planning aspects, so it is more accurate to use the term Participatory Planning.

http://www.clarku.edu/departments/idce/publications.shtml

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Description

Community development should be an integral component of mining andmetal processing activity from exploration through to closure and beyond.It should be aligned with other organizational processes and strategies –including risk and impact assessment, communications and consultation,employment, and local business development – and be concerned withminimizing negative impacts and maximizing opportunities associatedwith the operation. The Strategic Planning Framework (see table on theback page of this tool) will help clarify the project’s communitydevelopment objectives and relate those objectives to the broader goals ofthe organization. Strategic planning is the process through which youunderstand why you want to contribute to community development; todefine your development objectives, how you plan to achieve thoseobjectives, and how you will know when you have succeeded. Initially, youneed to conduct strategic planning internally within your organization. As you establish closer working relations with local and regionalstakeholders, and progress toward detailed activity planning, you willneed to share and review your strategic plans in consultation withregional partners to ensure consistency with regional plans.

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5Strategic Planning Framework



Strategic planning includes five key elements:

• Vision statement: Defines objectives, values, andprinciples

• Mission statement: Describes what is going to bedone and why it is going to be done

• Strategic objectives: Describes the resultswanted to be achieved in the medium to long term

• Strategies: Describes the means by which theobjectives will be achieved

• Goals: Lists the measures to be achieved byimplementing strategies in pursuit of the definedobjectives

Strategic planning will provide the foundation fordetailed program planning as you improve yourunderstanding of your local environment andexplore opportunities for partnership with regionalstakeholders. This is where you begin to addresscritical management issues related to resourceallocation, deadlines, budgets, responsibilities, andperformance. Program planning is described indetail later in the Toolkit (see tool 14).

• Step 1. Develop vision statement: Your visionreflects your understanding of the ideal conditionsfor your community or for the part your project playsin the community (for example, how things mightlook if community development were perfectlyaddressed and there were harmonious and mutuallysupportive relationships between the miningcompany and other sectors of the community). Thisis best articulated and communicated through avision statement that clarifies, first for yourself andthen for your team and organization, your deepestobjectives, values, and principles. Vision statementsshould generally be (a) easily understood bymembers of the community and shared by all teammembers, (b) broad enough to include a diversevariety of perspectives, (c) inspiring and uplifting toeveryone involved in your effort, and (d) easy tocommunicate.

Purpose

Strategic planning takes fundamental decisions andactions that shape how your communitydevelopment program operates, what it does, andwhy it does it, with a focus on the future. Thismeans:

• Preparing the best way to respond to changingand sometimes hostile environments

• Being clear about your organization's objectivesand resources, and consciously incorporating bothinto your response to a dynamic environment

• Setting goals (planning a desired future),developing an approach to achieving those goals,and measuring whether they have been achieved.

The strategic planning process applies a sequenceof questions that help you examine experience, testassumptions, gather and incorporate informationabout the present, and anticipate the environment inwhich you will operate in the future.

Strategic planning will lead to a set of decisionsabout what you want to do, why you want to do it,and how you do it. Naturally, some decisions andactions are more important than others. Much ofstrategic planning lies in making the toughdecisions about what is most important to achievingsuccess.


This tool should be used as early as possible whenbuilding your community development team (seetool 4) and starting to make program plans. Theseshould take place at the same time thatconstruction plans are being developed. Do notforget to take post-closure sustainability intoaccount when defining strategies. The real measureof success in your strategic plans will be in seeingcommunity development programs that cancontinue independently when the mine has ceasedoperation.

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• Step 2. Develop mission statement: The missionstatement grounds your vision in practical termsand describes what you are going to do and why youare going to do it. It is similar to a vision statementin that it also looks at the big picture, but it is moreconcrete and more action-oriented. The missionstatement may identify broad objectives and indicatein broad terms how you might reach your goals.Mission statements generally are (a) concise (not asshort as vision statements but must still get thepoint across in one sentence), (b) outcome oriented(fundamental outcomes your organization isworking to achieve are explained), and (c) inclusive(key goals are described but the goals are describedin very broad terms). Good mission statements arenot limiting in the strategies or sectors of thecommunity that may become involved in the project.

Clearly-defined vision and mission statements areimportant for a number of reasons. They help yourorganization focus on what is really important. Theylet other individuals and organizations have asnapshot view of who you are and what you want todo. They are helpful in having members who arefocused and bound together in common purpose.They provide a basis for developing the otheraspects of your action planning process; that is,objectives, strategies, and action plans.

• Step 3. State your objectives: The next element isto state your objectives; that is, the results you wantto achieve in the medium to long term. Objectivesshould reflect the expectations and requirements ofall major stakeholders and the underlying reasonsfor establishing the development initiative. Theseobjectives could cover, for example, coordinationand service delivery, capacity building, andinstitutional development. These are, however, theunderlying objectives. Your detailed short-termobjectives will be developed later in the programplanning phase.

• Step 4. Develop strategies for achievingobjectives: These are the guidelines by which yourmission, objectives, and so on may be achieved.They can cover the community developmentprogram as a whole including such matters ascoordination, participation, and sustainability, orthey can relate to primary matters in key functionalareas such as, for example, health provision,education, and training of community leaders.

• Step 5. Define goals: The goals are specificinterim or ultimate time-based measurements to beachieved by implementing strategies in pursuit ofyour defined objectives (such as to establish aregional development partnership with keystakeholders within the next three years). Examplesinclude achieving 100 percent vaccination in threeyears’ time or increasing school completion rates by20 percent. Goals should be quantifiable, consistent,realistic, and achievable. Goals in this tool areunderlying, high-level goals. They should be basedon the impacts and opportunities identified (tool 3)and therefore grounded in knowledge gatheredthrough the social baseline study (tool 2). Detailed,program-specific goals will be developed inconjunction with community members whenCommunity Action Plans (tool 14) are designed.

• Step 6. Develop program: The final element is thedevelopment program itself, which sets out theimplementation plans for key strategies. This isdescribed in detail later (see tool 14), and coversresources, objectives, time scales, deadlines,budgets, and performance targets.

Participatory Planning in Tanzania Village women in Tanzania engage in participatory planningexercises with the help of an external facilitator. Here, theyare drafting their Seasonal Calendar on the ground beforetransferring the final version to cardboard.

Step-by-Step Strategic Planning Framework Process

Action

Learn what is important to people in yourcommunity

Decide on the general focus of your program

Develop your vision statement

Develop your mission statement

Obtain consensus on your vision and missionstatements

Decide how you will use your vision andmission statements

Description

Knowing the important issues in your community is vital for theestablishment of a strong, effective, and enduring developmentprogram. Your first step in developing your vision and mission is todefine the issues that matter most to people in your community. Do sothrough consultation, surveys, or facilitated focus groups. Identifywhat is important to the community and what local people perceive tobe the community's strengths and problems and what people wish thecommunity was like. As all of these activities should have beenundertaken in the baseline study and SIA (tools 2 and 3), you shouldalready have this information available.

Once you have heard what the community has to say, decide thegeneral focus of your program. What topic is most important to yourorganization and your community? What level will you work at, thevillage, local area, or broader region?

Now that you have a clearer understanding of what you want to do andwhy, you can develop the statements that will capture your ideas.

Remember it may require several vision statements to fully capturethe vision of those involved in the community development program:You do not need—or even want—just one “perfect” phrase. Encouragepeople to suggest all of their ideas, and write them down, possibly onposter paper at the front of the room so people can be further inspiredby the ideas of others. After you have brainstormed a lot of ideas, yourgroup can discuss critically the different ideas. Oftentimes, several ofthe vision statements will just jump out at you. Someone will suggestit, and people will just instantly think, “That's it!” You can also askyourselves the following questions about vision statements: Will itdraw people to common work? Does it give hope for a better future?Will it inspire team members to realize the community’s dreamsthrough positive, effective action? Does it provide a basis fordeveloping the other aspects of your action planning process?

The process of developing your mission statement is much like thatfor developing your vision statements. Remember, though, that unlikewith vision statements, you will want to develop a single missionstatement. After having brainstormed for possible statements, you willwant to ask of each: Does it describe what you will do and why you willdo it? Is it concise (one sentence)? Is it outcome oriented? Is itinclusive of the goals and people who may become involved in theorganization?

Your next step is to learn what other members of your organization orcommunity think of your vision and mission statements before youstart to use them regularly. Talk to the same community leaders orfocus group members you spoke to originally. Ensure they agree thatthe statements together capture the spirit of what they believe anddesire. You might find you have omitted something very important bymistake.

Finally, remember that all of your hard work in developing your visionand mission statements will count for nothing if you do notcommunicate them and incorporate them in your action planning. The point is to get the message across to your internal and externalstakeholders, and to begin living your expressed values and goals.

Key references

AusAID: Logical Framework Approach.

Available: www.ausaid.gov.au/ausguide/ausguidelines/ausguidelines-1.pdf

DFID: Tools for Development: A Handbook for Those Engaged in Development Activity.


IFC Environment Division: Investing in People: Sustaining Communities Through Improved BusinessPractice. A Community Development Resource Guide for Companies.


http://www.ausaid.gov.au/ausguide/ausguidelines/ausguidelines-1.pdf



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6Community Map


Description

A Community Map is a visual representation of what the communityperceives as its community space. This includes showing the boundary ofthe community as understood by community members and all theelements recognized by them as part of their area. Most of the spatialinformation is obtained through direct observation, and facilitators shouldfamiliarize themselves with the area sufficiently to be able to assist thecommunity in drawing the map. However, it is the community membersthemselves who must decide what does and does not go on the map. Someitems of importance to the community, and which they may choose to markon the map, may not be noticeable to outsiders, such as sacred sites orclan boundaries. (See the figure over for an example of a Community Map.)

Purpose

Community mapping is an ice-breaking exercise inwhich community groups sketch out theircommunity's physical layout. It is designed to startpeople recognizing that they are the experts abouttheir own community and to get discussion andcooperation going. Separate groups of men andwomen are often used if that is appropriate andpractical because they frequently draw maps withdifferent features, which can lead to interestingdiscussions about community dynamics. Theobjective of this exercise is not to produce anyparticular kind of map, but to engage communitymembers, unused to being involved in planningexercises, in mapping out their own community asthey see it and to start analyzing for themselves howtheir community functions. It is also very instructiveto the facilitators, company, and government peopleto learn about how the community functions fromthe inside and to observe community dynamics andcapabilities.


This tool should be used as the first exercise in aParticipatory Planning workshop (see section at thebeginning of the planning tools on “Explanation ofParticipatory Planning Methods”).


Gather interested community members together fora community development planning workshop. Tryto ensure that as many people as possible feelencouraged and welcome to attend, although no oneshould be pressured to join in. Ask them to dividethemselves into groups, which they often do alonggender lines, and then to draw a map of theircommunity as they see it. People are often shy andstate that official maps are better than they canproduce. Some may prefer to do rough sketches, inthe sand or on rough paper, before committing thedrawing to cardboard. Once people realize that theyare being asked to draw their picture of theircommunity, not for someone else’s use, they usuallyenjoy the process. This exercise is usually done in acommunity workshop, when all communitymembers are invited to participate in planning forcommunity development.

Example of Community Sketch Map From Kenya

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Source: PRA Handbook for Participatory Rural Appraisal Practitioners, Njoro, Kenya, 1994, p. 22.

Key references

IFC Environment Division: Investing in People: Sustaining Communities Through Improved BusinessPractice. A Community Development Resource Guide for Companies (section 2: Defining Community).


The National Environment Secretariat, Kenya; Clark University, United States; Egerton University, Kenya,and the Center for International Development and Environment of the World Resources Institute:Participatory Rural Appraisal Handbook.

Implementing PRA: A Handbook for Facilitating Participatory Rural Appraisal. (Prepared by ElizabethOduor-Naoh and Isabella Asamba, National Environment Secretariat, Ministry of Environment and NaturalResources, Kenya; Richard Ford and Lori Wichhart, Program for International Development, ClarkUniversity; and Francis Lelo, Egerton University, Njoro, Kenya)


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Description

Institutional Analysis is a process for discussing what institutions arepresent in and around a community, how important each institution is,how they relate to each other, and who participates in them. Institutionscould be, for instance, schools, churches, mosques, sports teams, fishingor farming cooperatives, women’s groups, youth groups, companies, orgovernment offices.

7

7Institutional Analysis


Purpose

In this exercise, facilitators ask communitymembers to describe the institutions that exist intheir community, describe their function, howimportant they are in relation to other institutions,and how central or peripheral they are to thecommunity’s life. This exercise is immensely usefulfor planning purposes because it becomes apparentwhich community institutions are vibrant enough toplay an active role in development activities andwhich may need strengthening.


This tool should be used in a participatory planningworkshop (see section at the beginning of theplanning tools on “Explanation of ParticipatoryPlanning Methods”). This should be done whencommunity development programs are beingconsidered so that active community engagement inthe planning process can be encouraged.


This is best done with a form of Venn diagram, inwhich different-sized circles of paper are used torepresent each institution. Members of thecommunity choose a circle to represent aninstitution that is important to them. They thenexplain the role of that institution and why they havechosen a particular size of circle to represent itsrelative importance. Different community membersoften challenge the size of circles chosen and livelydiscussion ensues. Once all institutions arerepresented by a circle whose size has been agreedupon, then a large circle can be drawn on theground representing the community andinstitutional circles are placed either inside thecircle, outside the circle, or straddling the boundary,indicating how central each institution is to thecommunity. The relationship between variousinstitutions may also be described by the distancebetween the circles.

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Source: International Institute of Rural Reconstruction. 1998. Participatory Methods inCommunity-Based Coastal Resource Management. Vol. 2. Silang, Cavite, Philippines, p. 122.

In the example illustrated below, the groupassessed that the local development council (BDC)and the community leader (Barangay captain) werethe central actors in the community resourcemanagement program. They also assessed that theFishers’ Association and the Cooperative werefurther toward the periphery of the program’ssphere, which may indicate a lack of participationfrom some potentially key players. This informationcould then be used to evaluate the program todetermine whether adjustments were needed toenable the fishing community to assume a morecentral role.

Institutional Analysis Diagram From a Community Resource ManagementProgram in a Philippines Fishing Community

Key references

DFID and IDS: Sustainable Livelihoods Program, Livelihoods Connect: Sustainable Livelihoods Toolbox(section 1: Policy, Institutions, and Processes).

Available: www.livelihoods.org/info/info_toolbox.html

International Institute of Rural Reconstruction (IIRR): Participatory Methods in Community-Based CoastalResource Management.

Available: www.iirr.org/publicationbdate.htm

http://www.livelihoods.org/info/info_toolbox.html

http://www.iirr.org/publicationbdate.htm

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The Problem Census is developed in a small group setting, conducted inthe community or village where stakeholders live. It is a nonthreatening,focused discussion that uses small group dynamics to elicit (a) a completeand ranked census of the real and perceived problems of individualhouseholds and the village as a whole and (b) the community's proposedsolutions to these problems.

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8Problem Census



This exercise is usually done in a communityworkshop and led by experienced facilitators, whomay come from the community, from NGOs, fromlocal government agencies, or be consultants hiredby the mining company. Facilitators should notcontribute to the discussion other than to explainthe process. This approach provides the setting inwhich all participants can contribute. No problem isrejected. All solutions are considered. Communitymembers are the only contributors. The finalranking of problems and preferred solutions istheirs. The facilitator’s contribution is confined tocreating the setting in which the Problem Censusmeeting can be conducted. See the table over for astep-by-step process.

Purpose

The purpose of this tool is for community membersto articulate the problems they consider needaddressing in their community, to discuss thoseproblems as a community, and then to collectivelydecide upon priority problems to be tackled. Theseproblems will not be confined to those that themining project may have a bearing upon but can beany issues of concern to the community.


This tool can be used in a participatory planningworkshop (see section at the beginning of theplanning tools on “Explanation of ParticipatoryPlanning Methods”). This should be done whencommunity development programs are beingconsidered so that active community engagement inthe planning process can be encouraged.

Step-by-Step Problem Census Process

Step 1

Step 2

Step 3

Step 4

Step 5

Step 6

Action

Initiate meeting with communityleaders

Begin Problem Census meetingwith the whole community

Individuals respond to singlequestion

Small groups develop consensusresponse to the same question

Plenary session rankscommunity-level ProblemCensus

Meeting close

Description

Facilitator makes initial contact with villages or communities. Ideallythis would be someone known to the community. Discussions with thevillage leader, elders, or key individuals in each community willevaluate interest and capacity of each community to participate incommunity development planning activities. If there is interest andsufficient labor, resource, and financial capacity to effectivelyparticipate in activities, plans would be made to conduct a ProblemCensus with that community. The importance of the inclusion of menand women, youth and the elderly should be emphasized from theoutset of discussions.

The Problem Census begins with the coming together of thecommunity. If segregation is preferred, men and women will meet inseparate locations. The facilitator introduces and explains the processand, with other members of the team, facilitates the meeting. At thispoint it is emphasized that the facilitator does not intend to solve theproblems to be identified in this process. Once participants aresettled, a single question is posed as the focus of the Problem Censusmeeting. Typical questions are: What are the priority problems foryour family? What are the priority development needs for yourcommunity?

Participants are asked to work as individuals and record theirresponses to the single question posed by the facilitator. This can bedone either with paper and pencil or through the facilitator. At thisstage individuals should be encouraged to respond at a family orindividual level rather than a whole community scale.

As individuals complete this task, they are assembled into smallgroups of up to 10 people, although 6 or fewer is ideal. Each group isasked to discuss the problems identified by individual participants inresponse to the question posed by the facilitator. The group is asked toreach consensus on the priority problems they collectively considerimportant at the village or community level. They record thisconsensus outcome on a large piece of paper, ready for presentationto other participants.

Each small group elects a spokesperson who reports the rankedproblems to other participants in a plenary session. These arerecorded by the facilitator on a blackboard or large wall charts. Thisrecord of problems remains with the participants, with a record beingmade by facilitators. Participants then regard the lists of rankedproblems from small groups and collectively prioritize these problemsto form a ranked Problem Census for the village or community.Consensus is sought on the top 5 or top 10 (to be decided by thecommunity) priority problems. The facilitator records this.

Participants are thanked for attending and for making a contribution,and invited to join the facilitator for refreshments, either lunch orafternoon tea, depending on the timing of the meeting.

For the development of an overall communitydevelopment plan, in which a mining company,community members, and other developmentpartners (government, NGOs, and developmentagencies) agree upon an integrated program ofdevelopment activities for a future period of time,perhaps one year or several, it is essential that allparties decide upon their relative frameworks ofinterest. For communities, this will be the priorityproblems identified as part of the Problem Censusexercise.

Mining companies will usually decide internallywhich programs in the community developmentsphere they view as priority issues for socialinvestment. The results of the SIA (tool 3) shouldhelp the company to make these decisions.Governments will normally already have local orregional development plans that list their prioritydevelopment programs. Many NGOs and CBOs focuson specific areas and will therefore prioritizeprograms in their field of interest. For all partiesthen, an overlapping framework of interest can beidentified in a joint meeting. Other problemsidentified by the community, which do not happen tooverlap with the frameworks of interest of any of theother parties, can still be priority issues for thecommunity to solve, but they may need to seekalternative sources of support or act independently.See the table and figure below.

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Steps in Identifying Overlapping Regional Frameworks of Interest

Step 1

Step 2

Step 3

Action

Community framework ofinterest

Introduce regional stakeholders’frameworks of interest

Identify overlapping frameworksof interest

Description

The top priority problems identified by the community during theProblem Census exercise represent the community framework ofinterest.

The facilitator now introduces senior miningcompany/government/NGO leaders to present their respectiveframeworks of interest.

The facilitator compares the community and other frameworks ofinterest. Overlapping interests are identified, and, ideally, several willbe chosen to be developed as Community Action Plans (tool 14).

Example of Overlapping Frameworks of Interest

Community interests:• Income• Training• Infrastructure

Company interests:• Good community relations• Economical supplies• Reliable staff

Government interests:• Education• Health• Roads

Overlapping framework of interests:• Employment at mine• Small business training and operation• Transport operator training and operation• Machinery maintenance and supply• Primary produce supplies• Uniform and clothing tailoring supply

NGO/CBO interests:• SME building• Microfinance• Capacity-building training

Key references

AusAID: Logical Framework Approach.

Available: www.ausaid.gov.au/ausguide/ausguidelines/ausguidelines-1.pdf

DFID: Tools for Development: A Handbook for Those Engaged in Development Activity (chapter 3: Problemand Situational Analysis).


Sartorius, R. Social Impact: Training Manuals – Managing the Project Cycle.

Available: www.socialimpact.com/resource-center/training-manuals.html



http://www.socialimpact.com/resource-center/training-manuals.html

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Options for dealing with problems can be identified once problems havebeen ranked with tool 8. A list of potential opportunities for solving eachproblem should be drawn up from community discussion. Eachopportunity should then be ranked for its suitability as a solution using anagreed set of criteria, many of which are tried and tested. The beauty ofthis process is that problems that require little outside input or financeoften score higher than those dependent on assistance. This can beenlightening for a community by helping them realize the power of self-management.

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9Opportunity Ranking


• Equitability: Will the project benefit a broad crosssection of the community?

• Cost: Will large amounts of external funding beneeded?

• Technical feasibility: Does the project requirespecialized expertise both to start and maintain?

• Social/cultural acceptability: Does the project fitwithin the community’s norms?

• Time needed: Will it take a long time for thecommunity to reap the benefits of the project?

When a number of options have been identified inthis way, an action plan can be developed, usually bya representative committee of local communitymembers. In the example below, communitymembers have identified a significant problem(water shortage), defined an objective (increasedwater availability), and assessed four options(boreholes, roof catchment, shallow wells, andsurface dams) for achieving the objective. In thisinstance, the action plan would focus on roofcatchment options for the community, as that wasassessed as the number one option.

Purpose

The purpose of this tool is to help communitymembers and other development partners decidewhich projects to start implementing. This is donetaking into account the locally available resources,skills, and capacities. A scoring system is used forranking the options against agreed sustainabilitycriteria, such as cost and the need for externalexpertise and finance. It is important to rememberthat community feelings about options are moreimportant than any so-called objective score.


This tool should be used when the community hascompleted its Problem Census exercise (tool 8),either as the next stage of an ongoing participatoryworkshop or on a subsequent occasion.


By using the ranked problems from tool 8, thecommunity should agree upon a list of criteria touse for assessing the various opportunities forproblem solving available for each priority problem.Commonly used criteria for ranking opportunitiesare:

• Sustainability: Can the community keep theproject running by itself after outside assistance hasgone?

• Productivity: Will it substantially increase theavailability of needed resources?

Participatory Assessment of Water Options Criteria/option

Boreholes

Roof catchment

Shallow wells

Surface dams

Sustainability

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Points

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Rank

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Equitability

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Key references

World Bank: Participation Sourcebook (appendix 1: Methods and Tools for Social Analysis).

Available: www.worldbank.org/wbi/sourcebook/sbpdf.htm

Rietbergen-McCracken, J., and Deepa Narayan. 1998. Participation and Social Assessment: Tools and Techniques. Washington, DC: IBRD/World Bank.

Key: 0 = nil; 1 = low; 2 = average; 3 = high

http://www.worldbank.org/wbi/sourcebook/sbpdf.htm

List of Relationships Tools in this Toolkit

10 Stakeholder AnalysisHaving identified the project’s stakeholders (with tool 1), it is useful to analyze their level of interest in the project, whether they are very interested or only marginally interested.

11 Consultation MatrixAfter analyzing the stakeholders, it is important to develop a system to ensure that they are consulted asoften as they would like and at an appropriate level to their interest in the project.

12 Partnership AssessmentA tool for analyzing potential partners, their suitability for partnering with the organization, and what areas of mutual interest are shared in regional community development programs.

RELATIONSHIPSTOOLS

Guidance for Using Relationships Tools

Relationships are the most important element ofany successful community development program.The best designed plans will falter if there isinsufficient trust between the various stakeholdersinvolved. It is therefore essential that all partiesknow who the other stakeholders are, know whythey are involved with the project, and learn to knoweach other so that they can work together todevelop programs acceptable to all of them.Consultation is both the best means of coming tounderstand other stakeholders and of building goodrelationships with them. It is therefore the mostpowerful and crucial tool in this section, althoughboth the Consultation Matrix and the PartnershipAssessment will assist in determining the natureand extent of consultations with variousstakeholders. (See table below for relationshipstools and who might use them.)

• Government officer: As a government officer youmay have been transferred to a new district andneed to learn who the people are in communitiesand institutions, or a new mining project may havecome to your district, so you need to learn about it.Your relationships with the various stakeholdersinvolved in community development programsaround the mining project will determine how muchthe government can leverage its own programs forgreater success. Combining government programswith activities sponsored by the mine or initiated bythe community is much more effective than going italone.

• Community member: As a community memberyou may have moved to a new neighborhood andwant to know who the key stakeholders are forcommunity development activities, or a new projectmay have announced its intention to start up locallyso you need to assess the intentions. If you areconcerned about the impacts of a mining project, itwill be beneficial to become involved with communityforums or reference groups so that you can influencehow issues are managed. In addition, if you wish tobecome involved in community developmentactivities, participating in mining project-centeredconsultation activities will enable you to participateand help design any new programs.

• Community organization or NGO: As a member ofa community organization or NGO you may need toassess the plans of a new project that wants toestablish itself in your area, or a new company mayhave acquired an existing project and you want toevaluate how different they may be from the formerowners. Engaging in consultation activities withmining company people, and with government andcommunity participants will enable you to influencethe way issues are managed. Your involvement canensure that the views of your organization and thepeople that it represents are heard.

• Mining company staff: As a member of the miningcompany staff you may have started work on a newmining project and need to know who all the project’sstakeholders are. You will also need find out if thereare legacies from previous owners or earlierinteractions in the area, so that you can amelioratethem and develop sound and positive relationships.Building good relationships with all stakeholders willbe a central part of the mine’s communitydevelopment team’s responsibility.

Relationships Tools and Who Might Use ThemParticipant Relationships Needs Appropriate Tools Tool No.

Governmentofficer

Communitymember

NGO member

Mining companystaff

Understand new stakeholders

Establish good relations


Identify potential program partners

Exchange information and learn







Stakeholder Analysis

Consultation Matrix


Partnership Assessment

Consultation Matrix


Consultation Matrix



Consultation Matrix


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Once stakeholders have been identified with tool 1 (and remember thatyou will constantly encounter new ones; this is not a static process), it isoften helpful to consider what their interests are in the project and howmuch they might like to be involved. The stakeholder analysis tool uses aseries of questions to enable you to assess how important the projectmight be to each stakeholder and also how much they might want toparticipate in community development programs. Understanding howstakeholders relate to each other will also help in understanding the webof relationships surrounding the project.

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10Stakeholder Analysis



Ask the questions provided in the matrix on theopposite page for each of the stakeholders beinganalyzed and then assign them to one of the threecategories of interest and impact. The result will bethree lists of stakeholders, according to theassessed importance of the project to them andtheir likely level of interest.

• Step 1: Obtain a list of stakeholders from usingtool 1.

• Step 2: Either individually or in a team, considereach of the questions in the matrix and decidewhich stakeholders are least or most interested inor impacted by the project or which ones have anaverage interest.

• Step 3: Arrange the lists of stakeholders into thethree categories depending on how often theyappear in each category. Ideally, each stakeholderor group should only be in one category at the end,although different lists for different issues might bedrawn.

• Step 4: Use the category lists to assign prioritiesto stakeholders for engagement activities in theConsultation Matrix.

Purpose

The purpose of this tool is to refine understanding ofidentified stakeholders further, by:

• Defining the characteristics of stakeholders tounderstand their level of interest in the project

• Drawing out the interests of stakeholders inrelation to the key development issues and programobjectives

• Identifying conflicts of interests betweenstakeholders to help manage such relationshipsduring the course of the project

• Identifying relations between stakeholders thatmay facilitate development partnerships

• Assessing the capacity of different stakeholdergroups to participate in development activities

• Assessing appropriate levels of engagement withdifferent stakeholders (for example, informing,consulting, and partnering) at different stages of theproject cycle.

The identified level of interest of each stakeholderhelps you to design your Consultation Matrix (tool11) and to decide how much time to devote toengaging with each stakeholder or group. Theengagement levels required by each group ofstakeholders as revealed through this analysis maybe more than consultation. They may includepartnership or involvement in communitydevelopment plans. It is important to always askstakeholders how much involvement they desire andto learn about their views and expectations. Themore known about various stakeholders, the moresuccessful you are likely to be in building goodrelationships with them.


The stakeholder analysis tool should be used whendesigning the Consultation Matrix and should berevised each time the list of stakeholders (from tool1) is revised. The initial analysis should beundertaken for national and internationalstakeholders in the prefeasibility stage and then atleast by early in the construction phase for localstakeholders, depending on how early on-grounddisturbance activities commence at the site (that is,earlier if resettlement is needed).

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Stakeholder Analysis Matrix

Stakeholders

Most Average Least

Questions to ask

Who will be affected by negative impacts of theproject?

Who will benefit from the project?

Who will be responsible for implementingmeasures to mitigate the negative impacts?

Whose cooperation, expertise, or influence wouldbe helpful to the success of the project?

Who are the most vulnerable, least visible, andvoiceless for whom special consultation effortsmay have to be made?

Who supports or opposes the changes that theproject will bring?

Whose opposition could be detrimental to thesuccess of the project?

Who might have resources to contribute?

Who will make decisions?

Key references

IIED and WBCSD: “Breaking New Ground – Mining, Minerals and Sustainable Development.”

Available: www.iied.org/mmsd/

DFID: Tools for Development: A Handbook for Those Engaged in Development Activity (section 2:Stakeholder Analysis).


IFC Environment Division: Good Practice Notes: Doing Better Business Through Effective PublicConsultation and Disclosure (section A: IFC’s Requirements Regarding Consultation and Disclosure;section C, Guidance Note 6: Consultation and Disclosure on the Draft EA Report).


Sartorius, R. Social Impact Training Manuals – Managing the Project Cycle.

Available: www.socialimpact.com/resource-center/training-manuals.html





Description

There is a significant difference between relationships in whichstakeholders are engaged in consultative or participatory ways and those inwhich stakeholders are seen as passive beneficiaries of developmentprograms. Understand these distinctions to decide what level ofengagement you would really like to undertake – and how successful thatlevel of engagement might be – with project stakeholders.

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• The lowest levels of engagement involveinformation provision.

• A moderate level of engagement is represented byfacilitators and stakeholders working together onprojects of mutual benefit.

• The highest level of engagement is partnership,where the facilitator relinquishes control of theengagement process and all parties work togethertoward shared goals.

The Consultation Matrix is the basis for developing acomprehensive, well-thought through consultationplan. It is a helpful tool for ensuring thatinformation gets to the people who need it at theright times, that feedback from stakeholdersreaches the right people in the company andgovernment, and that stakeholders are informed ofthe results of their inputs.

Stakeholders should be asked what level ofconsultation they desire: information provision,involvement in meetings, or partnership oncommunity development programs. Matching thelevels of interactions with stakeholders’ wishes willguarantee an effective program. Ideally,consultations between all stakeholders should befrequent, open and mutual. Consultation is not aone-way street. Key principles for achievingcomprehensive consultation are:

• Consult often

• Consult everyone who wants to be consulted

• Listen as much as you talk

• Record your interactions in a database, includingcomments and responses from stakeholders

• Step 2: Consider stakeholders’ consultation needsaccording to their assessed levels of impact andinterest in your community development project,based on the Stakeholder Analysis.

• Step 3: Identify appropriate consultation methodsfor each stakeholder or group. The consultationmethods you apply are likely to fall within a broadcontinuum; that is, from simply informingstakeholders of your activities to partnering withthem in program design or placing final decision-making powers in their hands. Consultationmethods should always be determined bystakeholders’ levels of impact and interest in theproject. Appropriate formats should also be utilized(for example, using audiovisual methods for peoplewho are not highly literate). Local languages shouldalways be used, through an interpreter if necessary.

• Step 4: Use the Consultation Matrix to plan forconsultation throughout the life of the program,recognizing that stakeholders’ needs and interestsare likely to change. Monitor and evaluate theeffectiveness of your consultation activities. Revisethe Consultation Matrix to reflect changing needs,circumstances, and experience. Remember thatconsultation is an interactive process and thatmessages coming in from stakeholders are just asimportant as those going out.

• Step 5: Keep a record of consultation activities,including messages from and feedback tostakeholders. This will help you to keep track of whoyou have consulted and ensure you do not neglect orfatigue stakeholders. When agreements are reachedthrough consultation with stakeholders, it is alwaysuseful to generate a signed record of this, whetherminutes of a meeting or a formal agreement. Allparties should receive copies of such records, andthe company should ensure that one is kept in itsdatabase.

Lists of stakeholders contacted, records of the datesand nature of the contact and feedback should besystematically documented and filed in a database,whether electronic or paper-based. People shouldconsent to notes or recordings being taken ofmeetings. Otherwise it would be inappropriate to doso. Privacy legislation must be adhered to, ensuringthat stakeholder data are not passed on or used forany purpose other than keeping track ofinteractions. If people provide confidential orpersonal information that is entered in thedatabase, it should be marked as confidential andtreated as such.

Purpose

The purpose of the tool is to establish acomprehensive system for project consultation andcommunications and to ensure that consultationactivities are appropriate to the specific needs ofdifferent stakeholder groups. For example, if youdiscover during early consultations that areas ofcurrent or potential conflict exist between yourgroup and other stakeholders, you should makenote of that to ensure that efforts are made to try toresolve and manage these conflicts (see tool 13,Conflict Management). The tool should also enableyou to keep up to date with consultations withstakeholders. You will be able to tell when you lastspoke to a stakeholder and what you or yourcolleagues talked about. Often, this information isstored in field officers’ heads. Unfortunately, if thoseofficers move on to other jobs, the information intheir heads goes, too, so it is important to keeprecords to enable constancy and continuity inrelationships with stakeholders.


This tool should be used whenever stakeholderengagement activities begin, which usually meansprefeasibility, for indirectly affected stakeholderssuch as financiers, government agencies, NGOs,and other institutional bodies. For stakeholders whoare directly affected by the initiative, such as peopleliving in the project area, the plan should be madefor consultations prior to commencing any ground-disturbing activities (exploration). Employees alsobecome an important stakeholder group that needto be consulted from the commencement ofoperations and especially in the context of closure.The plan should be revised at least annually, orwhenever the scope of activities changes.


The analysis of stakeholders and how great a levelof engagement they require has already beenconducted with tool 10 (Stakeholder Analysis). Usingthe Consultation Matrix opposite you can plan thenature of communications with each stakeholderand ensure that the level of engagement correlateswith the level of interest and impact assessed in tool10. The matrix is the framework for the plan.Schedules need also to be drawn for the frequencyof each type of consultation (for example, site toursonce a month or press releases quarterly), and thenrecords need to be kept of which stakeholders areengaged by which method and how often. Recordsshould also be kept of responses to stakeholders,especially if project or program modifications aremade due to stakeholder inputs.

• Step 1: Make sure all key stakeholders areincluded on the list from tool 10. Revise yourStakeholder Analysis whenever changes in theproject or community occur.

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Key references

CARE International: Community Resources Management Guidelines (section 4: Mobilizing the Community). Available: www.careinternational.org.uk/resource_centre/livelihoods/comm_resources_management_guidelines_zimbabwe.pdf

Consultative Forum on Mining and Environment: Public Participation Guidelines for Stakeholders in theMining Industry. Available: www.goodpracticemining.org/documents/jon/CMSA-PPGuide.pdf

IFC Environment Division: Doing Better Business Through Effective Public Consultation and Disclosure: AGood Practice Manual. Available: www.ifc.org/ifcext/enviro.nsf/Content/Publications

World Bank: Participation Sourcebook. Available: www.worldbank.org/wbi/sourcebook/sbpdf.htm

Source: Rössing Uranium Mine and Rio Tinto

Rössing Uranium Mine – Communication and Consultation

The Rössing mine was first established in Namibia in 1976. Rössing’s production currently accounts for 10.2 percent ofNamibia’s exports and contributes 1.9 percent to the gross domestic product. As one of the major investment projectsin Namibia and a significant contributor to the Namibian economy during the early stages of the country’sindependence, the mine is historically, politically, and economically significant to the country.

The average length of service of its employees is approximately 14 years, and a significant percentage of employeeshave spent their entire career working for Rössing.

Rössing is currently assessing two options: expansion (that will considerably extend mine life) or closure. Thecommunication program developed by Rössing to introduce the closure option serves as a model example for earlycommunication through which an effective long-term communication strategy can evolve and a consultation processwith regard to closure can ultimately be built.

Open house sessions were held in three towns where Rössing has a substantial presence: Arandis (residents),Swakopmund (business community), and Windhoek (government). Rössing committed three days in each town, andinvolved the participation of more than 30 Rössing senior employees with whom stakeholders could engage.

The environment impact assessment of the proposed expansion and closure was discussed. A follow up process is alsoin place with regard to establishing a more formal forum. This forum will meet on a routine basis for regular contactbetween Rössing and its stakeholders.

Key features of the communications approach adopted by Rössing include:

• Timing: Rössing seized an opportunity where closure could be introduced as merely an option in covering differentaspects of the operation (expansion, environmental impact assessment). As a result, discussions on closure were heldin a relatively positive environment rather than one dominated by fear, insecurity, and anxiety.

• Taking information to the stakeholders: By holding open day forums in its three primary areas of impact thecompany was seen to be proactive, transparent, and genuinely keen to engage and communicate with its stakeholders.

• Involvement of Rössing employees: By holding these forums not just with external stakeholders but also with itsemployees and union members Rössing established both an internal and external communication process.

• Two-way process: By involving more than 30 Rössing employees in the open house sessions an opportunity wasprovided for comprehensive two-way communication between stakeholders and company personnel.

• Following up on questions: Rössing followed up on questions either verbally or in writing when needed.

• Providing opportunities for the less vocal: Using an open house, in addition to presentations and questions,stakeholders were able to communicate one-on-one company personnel. This provided an avenue for the less vocal toexpress their views and concerns.

• Identification of stakeholders: By starting very early, Rössing has the opportunity of identifying representativestakeholders and has a strong chance of correctly identifying the “right” to participate in a consultation process.

• Building of a consultation process: This early broad-based communication process can serve as a forerunner inbuilding a mature consultation process.

• Ownership of communication: Even though a professional company was contracted to design the materials andliterature for the communication program, the program is wholly owned and managed by Rössing.

• Open and transparent: While specific stakeholders were specially targeted and invited to the open house sessions, itwas also advertised in the local newspapers for any interested parties to attend.

http://www.careinternational.org.uk/resource_centre/livelihoods/comm_resources_management

http://www.goodpracticemining.org/documents/jon/CMSA-PPGuide.pdf



Description

The sustainability of community development activity demands effectivepartnerships between government, business, and civil society. None ofthese groups possess the full range of resources required to promotecommunity development at the local level. Each has distinctive roles andresponsibilities within the community development process. Each hasdistinctive skills and capacities. Working together they can makesignificant and sustainable contributions to the local development processthat will outlive the closure of the mining project. Successful partnershipsare built on a shared commitment to address regional developmentneeds.

12Partnership Assessment


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The World Bank's Business Partners forDevelopment (BPD) initiative broughtgovernment, industry, and civil societyrepresentatives together to explore opportunitiesfor partnership around resource developmentprojects and to produce practical guidance onhow those partnerships could generatesustainable benefit in local communities. Much of this tool is based on the BPD initiative.Partnerships offer a model of participatorydevelopment involving all sectors of society. They bring together unique resources andqualities:

• Government contributes credibility topartnership arrangements, strategic coordinationthrough local development plans and publicinvestment and can act as catalyst, broker, andmediator.

• Business contributes employment andinfrastructure opportunities, financial resources,capital equipment, a results-led work ethic, andattention to performance quality.

• Community organizations and NGOs contributelocal knowledge, capacity to mobilize communityparticipation, and tools and methods to ensurerelevance to local conditions.

The greatest opportunities for communitydevelopment—and best hope for programsustainability—lie in bringing together thedevelopment capacities and resources availablecollectively within the region. This ensures bettercoordination of development activities, moreefficient use of development resources, and theactive support and participation of keystakeholder groups. See the table over forpartnership benefits.

Purpose

The Partnership Assessment framework enables anassessment of the development capacities andresources available within the region, anticipatedfuture capacity needs, and any critical gaps. Theframework can help in the assessment of the needfor—or success of—capacity building initiatives toimprove regional development performance andpartners to work with in achieving those goals. It isused to assess existing and future partnershipcapacity needs; anticipated benefits of thepartnership to the organization, programs, orprojects; and the sustainability of potential partnerorganizations. Over time, an institution may beconsidered sustainable if it can fulfill its functionson a permanent basis with decreasing levels ofexternal support. Specifically, that is if it is able tosecure necessary inputs and support, provide acontinuing stream of development activities andservices that are valued by its stakeholders, andsurvive for as long as it is needed.


This tool should be used during the constructionphase so that partnerships will be in place by thetime community development plans are made andoperations commence; during operations, whenactively planning community development programsto ascertain what other skills and capacities existlocally and avoid duplication of effort; and forclosure planning purposes to ensure that thepartnerships invested in are likely to be sustainableand to continue to benefit the local community afterthe mine has finished.

Partnership Benefits

For Government

• Alignment of private sector infrastructure with government development plans

• Greater visibility of government discharging its civic duties

• Coordination between government departments

• Cost sharing, risk sharing• Improved capability, resources, etc.,

to deliver development programs

For Business

• Greater efficiency of production, reduced delays, facility downtimes, and security costs

• Greater return on investment • More robust social license to operate• Better management of community

expectations• Meeting compliance requirements for

social management• Direct cost savings in managing

social issues• Enhanced local reputation and

competitiveness• Shareholder and investor confidence• Improved recruitment, retention, and

employee engagement

For Community

• More participatory design of community projects

• Transparency and accessibility of company and government

• Relevance of interventions closer to true livelihood needs

• Greater sustainability of community projects


Analyze potential partners for suitability to teamwith your organization and for capacities incommunity development by using the PartnershipAssessment Worksheet provided.

• Step 1: Based on existing knowledge ofstakeholders, develop a list of all possiblecommunity development partners.

• Step 2: Using the Worksheet identify whereparticular partners have a leadership role in specificdevelopment initiatives and where initiatives falloutside a given partner’s mandate, interest, orsphere of influence.

• Step 3: Identify where partners have sharedmandates, interest, and influence over possibledevelopment initiatives.

• Step 4: Make a list of potential partners identifiedas having common interests and capacities withyour organization.

• Step 5: Approach potential partners with a view toreaching broad level agreement to explore ways ofaddressing priority development initiatives throughpartnership.

Source: Business Partners for Development

Source: Marie Hoadley, Daniel Limpitlaw, and Bren Sheehy 2003 (see Background Volume).

Effective Partnerships: The Titirheleni Community Gardens Project

The Titirheleni Community Gardens project in South Africa provides a useful example of a mining company—thePalabora Mining Company—working in partnership with local people to promote local economic development.

The project was established when local women presented proposals to the Palabora Foundation’s CommunityDevelopment Committee. The project had existed for about two years, but faced collapse. The women had few tools, noinfrastructure, and no financial, technical, or marketing skills.

The Palabora Foundation sourced R150,000 from an external donor for pumps, pipes, and other infrastructure, andprovided training in financial management and technical skills. Women were given plots to cultivate. This providedincomes, produce to feed their families, and vegetables and seedlings to sell to local residents. Each woman pays R50 amonth to cover electricity, pesticides, equipment, and fertilizer. The women are currently planning to diversify intomaking preserves from their produce and to expand their market, with the adjacent Namakgale Township a possiblemarket for fresh vegetables.

The Palabora Foundation’s involvement in the initial stage of the project was intense, but was gradually scaled down asthe project became more established. In September 2003 the foundation ceased funding the project and handed it overto the community. The foundation will continue to offer advice and mentoring with the local department of agriculture. This project was so successful that a second vegetable gardening project was started on adjacent land. A group hadwatched the progress of the first garden and the benefits it brought to the local women involved. Although the PalaboraFoundation expected the second group to approach it for assistance, learning-by-watching had made the second groupself-reliant.

Among the lessons learned are:

• Women are a valuable but underused community resource. The project provided the women with the skills to maketheir own decisions, to earn incomes, and to ensure food security for their families.

• Learning by example is a useful way of transferring skills and knowledge, especially in communities where illiteracymay constrain capacity building.

• Small projects that provide quick benefits to poor communities can get community buy-in and support for moremedium- and long-term projects.

• Projects that promote self-reliance free up resources for other projects.

• Community gardens like this provide nutritious vegetables for people that are infected/affected by HIV/AIDS.

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Key references

CorCom: Mechanisms for OVO and NGO Collaboration: The Development Community’s Experience.

Available: www.corcom.org/Publications/PVO-NGO-Report.pdf

International Business Leaders Forum (IBLF) and WBCSD. A Business Guide to Development Actors(online directory).

Available: www.wbcsd.org/templates/TemplateWBCSD5/layout.asp?type=p&MenuId=Nzc5&doOpen=1&ClickMenu=LeftMenu

BPD: Seven Training Modules for Managing Social Issues in the Extractive Industries Through the Tri-Sectoral Partnership Approach.

Available: www.bpd-naturalresources.org/html/tools_train.html

http://www.corcom.org/Publications/PVO-NGO-Report.pdf

http://www.wbcsd.org/templates/TemplateWBCSD5/layout.asp?type=p&MenuId=Nzc5&doOpen=1&

http://www.bpd-naturalresources.org/html/tools_train.html

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Partnership Assessment Worksheet

Elements of assessment

1 Which program areas would be served by the partnership? (List relevant community development program areas.)

1.1

1.2

1.3

2 What is the partnership’s likely impact on our core interests?

2.1 Financial resources

2.2 Mandate

2.3 Operational effectiveness

2.4 Operational efficiency

2.5 Outreach

2.6 Capacity

2.7 Human resources

2.8 Legitimacy

2.9 Sustainability

2.10 Any negative impacts

3 Internally, how do you assess the following critical elements?

3.1 Support of key internal stakeholders

3.2 Internal opposition to partnership proposal

3.3 Financial resources availability for partnership

3.4 Key staff support and availability

3.5 Technical resources availability

3.6 Level of agreement on purpose and outcomes

3.7 Level of agreement on how to proceed

3.8 Level of understanding of partnership planning effort required

4 Externally, how do you assess theavailability of the following in the partner organization?

4.1 Financial resources for community development

4.2 Technical resources for community development

4.3 Human resources for community development

4.4 External development resources

4.5 Common development goalsamong government, business, and civil society

High Low Comments

Comments

6 Once you have completed your internal assessment, assign responsibilities and deadlines for consultation with stakeholders to assess the likelihood that suitable partner organizations will be available and willing to work with you. Action6.1 Establish communications with potential partners6.2 Validate, with external stakeholders, assumptions in your

internal assessment6.3 Explore possible roles and resource commitments

of prospective partners6.4 Assess potential partners’ capacity to contribute and

maintain support for the partnership6.5 Develop process through which partners can negotiate the

terms of the partnership (see key references)

Responsibility Deadline

Partnership Assessment Worksheet continued

High LowElements of assessment

4.6 Willingness to participate in partnerships

4.7 Strategic planning resources for community development

4.8 Operational capacity for community development

4.9 Community development performance

4.10 Participation in community development

4.11 Legitimacy of community development actors

5 What are the principal strengths of your potential partners?

5.1 Government5.11 Financial resources5.12 Mandate5.13 Operational effectiveness5.14 Operational efficiency5.15 Outreach5.16 Capacity 5.17 Human resources5.18 Legitimacy5.19 Sustainability5.2 Business5.21 Financial resources5.22 Mandate5.23 Operational effectiveness5.24 Operational efficiency5.25 Outreach5.26 Capacity 5.27 Human resources5.28 Legitimacy5.29 Sustainability5.3 Civil Society5.31 Financial resources5.32 Mandate5.33 Operational effectiveness5.34 Operational efficiency5.35 Outreach5.36 Capacity 5.37 Human resources5.38 Legitimacy5.39 Sustainability

List of Program Management Tools in this Toolkit

13 Conflict ManagementConflict Management is a means for identifying, understanding, and managing conflicts through resolution so that they do not disrupt the activities of the various stakeholders, especially where communitydevelopment programs are concerned.

14 Community Action Plans (CAPs)The Community Action Plan (CAP) is a detailed plan for implementing solutions to the problems that have been identified during the participatory planning process. It will become the management plan both forthe community and its development partners, and willbe adjusted to suit circumstances and changing community priorities as time passes.

PROGRAM MANAGEMENTTOOLS

Guidance for Using Program ManagementTools

Managing community development programs afterthe community and partners have designed them isvery important. Plans not well managed may failalthough well designed. The beneficiaries of theplan, the community members, must be wellrepresented in the management structures forcommunity development plans, indeed they mustmanage the plans, with appropriate support fromdonors, companies, government agencies, and soon. This may be by means of a multistakeholdercommunity development committee or communitiesmay establish their own management groups andconsult with external supporters as needed.Ownership of the plans, time-bound commitmentsand actual people agreeing to take responsibility arekey factors of success. In a similar fashion,managing conflicts which may arise betweenstakeholders will help programs to run smoothly.(See table below for program management toolsand who might use them.)

• Government officer: As a government officer youhave a crucial role to play in advising and supportingcommunities in their efforts to manage theircommunity development plans. By identifyingregional and national development funds andprograms that can support community efforts, youcan do much to ensure program success. You canalso play a key role in helping manage conflicts.

• Community member: As a community memberthis is an opportunity for your community to lead thedevelopment process and to work with partners likemining companies, government departments, andNGOs to realize community aspirations. By takingownership and responsibility for managingcommunity development plans, you will ensure thatyour community will get the kind of development itwants and not what someone else thinks it shouldhave.

• Community organization or NGO: As a member ofa community organization or NGO you have a key rolein ensuring that community development plans arewell managed. By building the community’s capacityto manage itself, with support from companies andgovernment, you can leave a lasting positive legacy.

• Mining company staff: As a member of the miningcompany staff you must work with communitymembers to help them manage their own plans.Providing opportunities for management capacitybuilding and moral as well as financial support forcommunity efforts are major roles that companiescan play. Training programs in managementmethods are essential elements for buildingcommunity and company staff capacity whereneeded. Learning how to manage conflict withproject neighbors is of great benefit to both projectand community development program success.

Program Management Tools and Who Might Use ThemParticipant Program Management Needs Appropriate Tools Tool No.

Governmentofficer

Communitymember

NGO member

Mining companystaff

Help resolve conflicts by identifying amediator if needed

Assist community with plans,budgets, resources, responsibilities


Develop own plans, with budgets,resources, responsibilities

Help resolve conflicts

Support community’s planning efforts


Assist community with plans,budgets, resources, responsibilities

Conflict Management (support)

Community Action Plans (support)

Conflict Management

Community Action Plans

Conflict Management (participate)

Community Action Plans (facilitate)

Conflict Management

Community Action Plans (facilitate)

13

14

13

14

13

14

13

14

Conf

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Description

Conflict can exist in all relationships, and the relationships betweenmining operations and their neighbors and other stakeholders are noexception. It is important to accept that conflict is a normal part ofrelationships and occurs whenever people or groups have differentexpectations of joint or intersecting activities. Instead of seeking to avoidconflict at all costs, which would be unrealistic, it is better to learn torecognize and manage conflict as part of good relationship building andmaintenance. It is very likely that any existing conflicts will have beenidentified through the use of tools 1 and 10 (Stakeholder Identification andAnalysis) and tools 2 and 3 (Social Baseline and Impact Assessment).Through ongoing consultation activities and regular review of theConsultation Matrix (tool 11), conflicts arising during the course of themining project’s development should also be identified.

Conflict Management is a process that may be useful throughout aproject’s development. Conflicts can arise at any stage in a relationshipand can exist between a number of stakeholders of a project. If conflictsare resolved early in a project’s life, they may never grow into majorobstacles in the relationship between the mine and other stakeholders.Not all conflicts can be resolved, but methods for managing differencesbetween stakeholders so that projects can continue are possible. A basictypology of the range of conflicts that may involve a mining project isdescribed in the table over.

13

13Conflict Management


Other groups, such as NGOs, may also becomeinvolved in conflict with any or all of these parties.Frequently, NGOs side with local communities, butnot always, as they may have different objectives tofulfill. For example, an environmental NGO deeplyopposed to mining may not agree with a communitythat wants to see a mine built in its area in order tobenefit from the accompanying economicdevelopment.

Purpose

The purpose of this tool is to identify, understand,and manage conflicts through resolution so thatthey do not disrupt the activities of the variousstakeholders, especially where communitydevelopment programs are concerned. This processcan be undertaken by any party that finds itself in aconflict situation. If a conflict resolution process canbe agreed upon by major stakeholders very early inthe project cycle, then it may be possible to preventconflicts affecting relationships.


As conflict management is a normal part ofrelationships, it should be included in planningprocesses for all stages of a mining project, frominitial encounters and stakeholder identificationthrough all phases of construction and operationand after a mine has closed. Ideally, a means forresolving conflicts should be devised during earlyconsultations with stakeholders (the IFC advises theinstitution of a grievance mechanism as part of thePublic Consultation and Disclosure Plan; that is,access to an agreed means of mediation orarbitration in case of conflict fulfils an equallyimportant role). Remember that relationshipsbetween the project site and stakeholders willcontinue after the mine has ceased operation, sothe continuation of a conflict resolution processshould be an integral part of planning for closureand beyond.

Basic Typology of Possible Conflicts at Mining Projects

Parties

Company

Local community

Local community

Sectors of community

Other Parties

Host government (local, regional, or national)

Company

Host government (local, regional, or national)

Sectors of community

Resolution Choices

Courts, official arbitration, internationalconventions (for example, ICSID)

Courts, alternative dispute resolution



For example BP Plc in relation to its Tangguhliquefied natural gas (LNG) project in Bintuni Bay,West Papua (a high conflict province in Indonesia),has appointed a four-member panel of high levelexperts, the Tangguh Independent Advisory Panel(TIAP), to advise on how best to help localcommunities protect the environment, and preventconflicts with locals and environmentalists. Thepanel reports directly to the corporate leadership inLondon and is not subject to the organizationalstructure of BP in Indonesia. TIAP’s reports aremade available to the public. One of the conflictsidentified by TIAP is that between villages on thenorth shore of Bintuni Bay, close to where many ofthe gas fields are located, and those on the southshore, who have been resettled to allow theconstruction of the LNG plant. The resettledcommunity members have all received new, high-standard housing and community facilities as part ofthe relocation package. This has sparked jealousyfrom the north shore villagers who feel that the gassomehow “belongs” to them because it is in theirpart of the bay and that they are therefore just asentitled to new houses. TIAP has strongly advisedBP and its joint venture partners to increasecommunity development program funding in thenorth shore villages as soon as possible to reducethe inter-village conflict.*

Three main stages of conflict management can bedefined as conflict identification, conflict mapping,and conflict resolution.

*TIAP, Third Report on Tangguh LNG Project, February 2005. Available at: www.bp.com/genericarticle.do?categoryId=2011067&contentId=2019320

http://www.bp.com/genericarticle.do?categoryId=2011067&contentId=2019320

Conflict identification: In the case of miningprojects, the existence of conflicts should bediscovered as part of the Stakeholder Analysisprocess (tool 10) and Social Impact andOpportunities Assessment (tool 3). Conflicts thatarise after a project has begun operation should bediscovered in the course of consultation (see tool11). Stakeholders paying close attention to theinterests of others and learning about their views ofa project should be able to detect any potential oractual conflicts without needing to apply specialmethods; that is, disagreements or issues likely tolead to disagreement should become apparent whenstakeholders spend time discussing project-relatedmatters during consultation and relationship-building conversations.

Conflict mapping: Having identified conflict areas, itis important to try to understand the origins, theparties involved, and as much as possible about whythe various parties have come to be in conflict. Eventhe simplest interpersonal conflict has manyelements. Conflicts involving multiple parties, largenumbers of people, and complex organizations suchas governments can be enormously complicated.For this reason, it is helpful to draw a conflict mapto help in understanding all the elements of aconflict.

Conflict resolution: There are many ways to dealwith conflicts: surrendering, running away,overpowering the opponent with violence, filing alawsuit, and so on. The movement towardalternative dispute resolution, sometimes referredto simply as conflict resolution, grew out of thebelief that there are better options than usingviolence or going to court. Today, the terms“alternative dispute resolution” and “conflictresolution” are used somewhat interchangeably andrefer to a wide range of processes that encouragenonviolent dispute resolution outside of thetraditional court system. Common forms of conflictresolution include:

• Negotiation: A discussion among two or morepeople with the goal of reaching an agreement.

• Mediation: A voluntary and confidential process inwhich a neutral third-party facilitator helps peoplediscuss difficult issues and negotiate an agreement.Basic steps in the process include gatheringinformation, framing the issues, developing options,negotiating, and formalizing agreements. Parties inmediation create their own solutions and themediator does not have any decision-making powerover the outcome.

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• Arbitration: A process in which a neutral third-party, after reviewing evidence and listening toarguments from both sides, issues a decision tosettle the case. Arbitration is often used incommercial and labor/management disputes.

• Mediation-arbitration: A hybrid that combinesboth of the above processes. Prior to the session,the disputing parties agree to try mediation first, butgive the neutral third-party the authority to make adecision if mediation is not successful.

• Step 4: Agree on a conflict resolution process.This can be done through a facilitated workshopinvolving the broadest range of stakeholderspossible. There may be existing conflict resolutionprocesses available, such as a public defender’soffice or ombudsman, but these avenues may seeminaccessible or ineffective and people may prefer todevelop their own process. In general, a nonformalmeans, such as third-party mediation witharbitration as a final resort, is preferable because itis quicker, less costly, and more cooperative thanusing litigation. Agree upon a mediator and rules forinvoking the conflict resolution process and for useduring the mediation. The mediator conductsconfidential discussions with all parties, and maynot pass information from one group to another, soit is essential that this person be above reproachand trusted by all. Suggest some people that yourespect to the other parties, and they shouldrespond with their own list until an acceptable andwilling mediator can be found. It may well be that anexternal mediator will be required to assureparticipants that they are not linked to any of theconflicting parties. Suitable candidates may beretired judges or senior diplomats, people who havehad long careers in public life, perhaps throughinvolvement in community organizations, orreligious leaders, in short, eminent personsappropriate to the communities involved.

• Step 5: Appoint the mediator, and ensure that allparties have copies of the rules and proceduresagreed upon.

• Step 6: Review the process whenever projectactivities or major stakeholders change, at leastonce a year. If the annual review reveals that asignificant number of the participants who agreed tothe conflict resolution process are no longerinvolved, then a new workshop should be convenedto ensure that a majority of stakeholders are stillsatisfied with the procedure. This may not happenoften if there is a relatively stable communityinvolved both at the mine and around it. It isessential that a procedure for conflict resolutionprior to cessation of operations be agreed to, asconflicts may continue to arise over post-closureuses of assets or rehabilitation programs.


• Step 1: Take note of any conflicts or potentialconflicts which you identify during assessment andrelationship building activities (tools 1–4 and 10–12).Include the need to address these issues with therelevant stakeholders in your Consultation Matrix(tool 11).

• Step 2: Map the conflicts identified. When talkingto other stakeholders, try to discover the followingelements of any conflict or potential conflict: (a)history of the conflict (does it derive from otherconflicts or is it related to others); (b) the physicaland organizational settings of the conflict (howwidespread is it and what aspects of the communitydoes it envelop); (c) the parties involved (that is,primary parties are those who oppose one another,are using fighting behavior, and have a direct stakein the outcome of the conflict, secondary partieshave an indirect stake in the outcome and are oftenallies or sympathizers with primary parties but arenot direct adversaries, and third parties are actorssuch as mediators and peacekeeping forces thatmight intervene to facilitate resolution); (d) identifythe causes of conflict, although it is not alwayspossible to distinguish a cause of a conflict from aconsequence. Common causes are perceived goaland interest incompatibility and identity defense.Distinguishing between parties’ positions in aconflict and their interests can be very helpful.Focus on position means only one party can winwhereas focus on interests may reveal areas ofoverlap and commonality.

• Step 3: Choose a resolution method inconsultation with other parties, if possible. This maybe scoped during stakeholder consultations whenthe views of all stakeholders can be ascertained.

Important Points to Note

Mediation is dependent upon all parties agreeing toparticipate and accept the results, a mediatoracceptable to all parties being available, andmutually agreed rules being developed in aconsultative manner by all parties.

Remember, conflict will arise, as it does in allrelationships. Therefore, it would be best for allparties to agree upon a conflict resolution procedurebefore serious conflicts emerge. If agreementcannot be reached upon using mediation, then it islikely that formal means of resolution, such as thecourts, will need to be used.

In the case of pre-existing conflicts, perhaps in thecase of legacies of previous project owners in thecase of an acquisition, then it would be worth tryingto engage all parties initially in choosing aresolution method such as mediation rather thandirectly trying to solve the actual conflict.

One of the hardest parts of many mediationprocesses is just getting people to agree toparticipate. The only way to overcome this problemis to demonstrate that negotiation is likely to yield abetter outcome than the alternatives. This is easiestonce the conflict has reached a point of stalemate—once both sides have won what they can, and theparties are at a standoff, neither able to win more,yet not willing to give up either. This is when aconflict is said to be “ripe” for resolution, and this isusually the best time to “get people to the table.”*

People with less power in a negotiation may also beafraid of being overpowered in mediation. It iscrucial for the mediator to be able to convince allparties that their interests and needs will be fairlyconsidered and that they will not be disadvantagedin the mediation process. This emphasizes theimportance of finding a mediator who is acceptable,impartial, and neutral. If all parties cannot trust themediator to fulfill his or her role in a fair andbalanced manner, then the process cannot work.

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*www.colorado.edu/conflict/peace/treatment/totable.htm

http://www.colorado.edu/conflict/peace/treatment/totable.htm

Flowchart of Conflict Management Processes

COMMUNITY DEVELOPMENT ACTIVITIES CONFLICT MANAGEMENT PROCESS

>>

>>

STAKEHOLDER IDENTIFICATION: TOOL 1

SOCIAL BASELINE STUDY: TOOL 2

SOCIAL IMPACT ASSESSMENT: TOOL 3

STAKEHOLDER ANALYSIS: TOOL 10

CONSULTATION MATRIX: TOOL 11

Review as circumstances change

>>

Step 1: Conflict identification

Step 2: Conflict mapping

Steps 3 and 4: Select conflictresolution method with otherstakeholders

Step 5: Appoint mediator anddistribute mediation procedurerules

Step 6: Review procedure at least annually

CONFLICT MANAGEMENT PROCESS

>>

>>

STAKEHOLDER IDENTIFICATION: TOOL 1

SOCIAL BASELINE STUDY: TOOL 2

SOCIAL IMPACT ASSESSMENT: TOOL 3

STAKEHOLDER ANALYSIS: TOOL 10

CONSULTATION MATRIX: TOOL 11

Review as circumstances change

>

>

Step 1: Conflict identification

Step 2: Conflict mapping

Steps 3 and 4: Select conflictresolution method with otherstakeholders

Step 5: Appoint mediator anddistribute mediation procedurerules

Step 6: Review procedure at least annually

Key references

Conflict Research Consortium, University of Colorado: Conflict Mapping. Available: www.colorado.edu/conflict/peace/treatment/cmap.htm

Association for Conflict Resolution: Conflict Resolution. Available: www.acrnet.org/about/CR-FAQ.htm

Mediate.com: Mediation. Available: www.mediate.com/articles/Mediationfaq.cfm

BPD: Briefing Notes. Preventing and Resolving Disputes With Communities and NGOs. Available: www.bpd-naturalresources.org/media/pdf/bn/Bnote6final.pdf

International Alert: Conflict Sensitive Business Practice: Guidance for Extractive Industries. Available: www.international-alert.org/publications/28.php

http://www.colorado.edu/conflict/peace/treatment/cmap.htm

http://www.acrnet.org/about/CR-FAQ.htm

http://www.mediate.com/articles/Mediationfaq.cfm

http://www.bpd-naturalresources.org/media/pdf/bn/Bnote6final.pdf

http://www.international-alert.org/publications/28.php

14Community Action Plans


Description

Participatory planning exercises aim to establish detailed CommunityAction Plans (CAPs). Taking community members through the steps ofparticipatory planning (see tools 6–9) enables them to analyze theirsituation, gain confidence in their own ability to understand the cause oftheir problems and devise solutions to them, and design a detailed plan forfuture action. CAPs not only list actions that need to be taken forcommunity development, but also state who should undertake thoseactivities (both community members and external partners) and the datesby which actions need to be undertaken. CAPs also provide a reality checkfor excessive community expectations, as the process of allocatingresponsibilities, deadlines, and resources required should make it quiteplain when too much is being expected from one person, one donor, or intoo short a time span. CAPs provide detailed work programs both for thecommunity, which owns the plan, and for development partners.

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This tool should be used following on from theparticipatory planning exercises detailed in theprevious section (tools 6–9). Specifically, the resultsof the Problem Census (tool 8) and OpportunityRanking (tool 9) feed directly into the CAP process,as action plans need to be developed for theimplementation of the priority opportunitiesidentified. CAPs should be reviewed as frequently asany other development plan (that is, ascircumstances change or at least once a year). Theproject’s monitoring and evaluation system (seetools 15–17) should check whether CAPs are beingimplemented and suggest whether revisions arerequired.


This exercise is usually done in a communityworkshop, when all interested community membersare invited to participate in planning for communitydevelopment. Experienced facilitators whounderstand how to encourage community membersto take the lead are the best people to manage theproduction of CAPs. (See the tables opposite for anexample of a CAP.)

There are six principal steps in developing a CAP fora specific problem. The same procedure should befollowed for each of the selected opportunities. Thespecific plans can then be combined to form anoverall CAP for the community.

• Step 1: State the specific objective that willcorrect the problem.

• Step 2: Develop a list of activities that must beundertaken to achieve the objective.

• Step 3: Decide who in the community or what unitor agency is most appropriate to undertake eachactivity.

• Step 4: Decide when the activities are to be done.

• Step 5: Decide what resource and budget will beneeded for each activity and who will contributeresources.

• Step 6: Name who will take responsibility forensuring that the plan is implemented.

The CAP then becomes the management tool forcommunity development activities, to be managedby the community with support from company,government, and NGO partners. CAPs fromadjoining communities may be combined to formthe basis of district or regional plans.

Initial CAPs, probably produced during an intensiveparticipatory planning workshop process, will befine tuned, modified, and updated, as communitiesand their program partners go through theimplementation process. Early versions of CAPs willlikely focus on problems requiring immediate action.As time passes and communities become moreconfident in their ability to manage theirdevelopment agenda in collaboration with programpartners, it would be a good idea to introduce anelement of post-closure planning. By the time amine closes, the communities’ development plansshould include the mining company as only one of arange of partners because they will have long sincemoved beyond dependency on the mining project forfinancial support.

Above all, participatory planning is an ongoingprocess and extremely interactive. CAPs are notdrawn up for development experts to implement norfor gaining community acquiescence in preordainedplans. As a dynamic system, participatory planningis subject to growing pains and setbacks as well assuccesses. It is these developmental stages,however, that enable participatory planning toeventually bring about a mutually respectful andcooperative working relationship betweencommunities and their partners in the developmentprocess; that is, government, NGOs, and resourcecompanies.

Purpose

The most important purpose of the CAP is to act asa process for future planning activities by thecommunity and to serve as a record of how muchthey have achieved during the participatory planningactivities. It is thus the basic management tool forthe community development program. The purposeof producing a CAP is to provide communitymembers with a set of goals, activities, andtimelines to enable them to achieve theirdevelopment objectives. The community owns theplan, and the plan also provides members with a listof partners to follow up with for help in achievingthose objectives and target dates to work toward.Simultaneously, the CAP provides developmentpartners with a clear understanding of communitypriorities and development objectives so that theydo not need to guess what the community needs.

Resources Needed

• Cattle• Carts• Logs• Bicycles• Hand hoes• Bags• Advice/expertise

• Hand hoes• Use of oxen• Improved seeds

(2 kgs at T Sh3000)• Money

Who Will Provide

• Households concerned

• Company/community, T Sh 50,000–150,000

• Agriculture and livestock department

• Community• Agriculture

department• Agricultural shops

Date To Start

Ongoing

December 2000

Who WillFollow Up

• James, A.• Tatu, M.• Petro, S.

• Mizi ya chuma• Wilson, N.

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Total cost, T Sh

4.5 million

12.5 million

22.5 million

9.0 million

Community contribution, T Sh

Villagers: 1.0 million

Village government: 0.5 million

3.0 million

2.0 million (alreadydone)

Cash: 2.0 million

Labor: 1.0 million

Opportunity

Construction of fourclassrooms (one in 2001)

Construction of schoolbuildings (one classroom,one staff room, onepreprimary)

Building (five) classrooms

Construction of twoclassrooms and onepreprimary

Percent of total

33

24

As required bythe nationalgovernment

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Example of Plans From Several Tanzanian Village CAPs Combined to Form DistrictEducational Action Plan

Total needed from donors: T Sh 13.0 million; from district council: T Sh 6.5 million; from nationalgovernment: T Sh 20.5 million. Note that the community has pledged to contribute between 22 and 33percent of the funds needed and the labor needed in some cases.

Actions

A. Use of manure

B. Other actions• Terracing

agriculture• Use of farm

inputs• Extension service

advice• Nongrazing

on farms

Problem:Low CropsProduction

OpportunityImproved farming

4.1a

4.1b

Example of CAP for Improved Crop Farming From a Tanzanian Village

Donations needed, T Sh

Donor: 2.0 million

District council:1.0 million

Donor: 6.0 million


Nationalgovernment: 20.5 million

Donor: 5.0 million


Problem:Pooreducation

Village 1

Village 2

Village 3

Village 4

Key references

World Bank: Participation Sourcebook (Appendix 1: Methods and Tools for Social Analysis). Available: www.worldbank.org/wbi/sourcebook/sbpdf.htm

Rietbergen-McCracken, J., and Deepa Narayan. 1998. Participation and Social Assessment: Tools andTechniques. Washington, DC: IBRD/World Bank. Available: www-wds.worldbank.org

The National Environment Secretariat, Kenya; Clark University, United States; Egerton University, Kenya,and the Center for International Development and Environment of the World Resources Institute:Participatory Rural Appraisal Handbook.

Implementing PRA: A Handbook for Facilitating Participatory Rural Appraisal. (Prepared by Elizabeth Oduor-Naoh and Isabella Asamba, National Environment Secretariat, Ministry of Environment and NaturalResources, Kenya; Richard Ford and Lori Wichhart, Program for International Development, ClarkUniversity; and Francis Lelo, Egerton University, Njoro, Kenya).

Source: C. Macdonald, URS, and F. Kyessi, Resolute Mining Limited

Participatory Planning Near Golden Pride Mine in Nzega District, Tanzania

Resolute Mining Limited’s Golden Pride Gold Project in the Tabora region of western Tanzania was the first moderngold mine to begin operation in Tanzania when it began to produce gold in November 1998.

The communities close to Golden Pride in Nzega District depended on subsistence farming and suffered from a lack ofinfrastructure and income-generating opportunities. Resolute Mining Limited, an Australian company, took measuresto alleviate some of the most immediate features of the poverty it saw, rehabilitating and equipping the local schools,supplying uniforms, books, desks, and trees for fruit to supplement the children's diet.

Gradually, the company realized that it would be more effective in the long term if communities could be encouraged toempower themselves and take responsibility for their own development plans. The company could then join in withcommunity-motivated and initiated projects instead of trying to ascertain from outside what the communities needed.

For this reason, Resolute Mining Limited decided to conduct a participatory planning program at the end of 2000 in thefour communities closest to the mine's perimeter – Isanga, Mwaluzwilo, Bujulu, and Undomo – to encouragecommunities to develop their own Community Action Plans (CAPs). Community members were delighted to be askedwhat they lacked, what they needed, and to be assisted to devise their own plans. Once they overcame their initialshyness with the unfamiliar process, each community embraced the opportunity to develop a CAP and put a great dealof effort into ensuring the project was completed.

These are the participatory planning methods used:

• Community Mapping

• History

• Seasonal Calendar

• Gender Daily Calendar

• Problem Ranking

• Options Assessment

• Community Action Plan


List of Monitoring & Evaluation Tools in this Toolkit

15 Logical FrameworkThis is a matrix that can be used for developing clear outputs and outcomes and that uses verifiable indicators to measure progress toward goals. It is a powerful system for program management and for monitoring and evaluation.

16 Indicator DevelopmentThis is a process for choosing indicators for program evaluation that can measure up to transparent scrutiny from any quarter. These indicators are especially appropriate for use in the logical framework and Goal Attainment Scaling methods outlined.

17 Goal Attainment ScalingThis is a useful means for measuring the degree to which outputs and outcomes are being met. It is particularly useful for social investment and community development projects where multiple stakeholders are involved and where there may be differing assessments about the degree of achievement of project goals. It enables evaluations tobe made by a range of stakeholders and observers, not just so-called experts. Another major advantage isthat the results can be presented in the form of simple graphs, which makes them more accessible topeople unfamiliar with qualitative, social science measurements, such as financial and technical managers at a mining project.

MONITORING & EVALUATIONTOOLS

Guidance for Using Monitoring andEvaluation (M&E) Tools

See table below for M&E tools and who might usethem.

• Government officer: As a government officer youwill be able to report on community developmentprogress in your area by taking part in evaluationprocesses.

• Community member: As a community memberthis is an opportunity for you and your neighbors tomake sure that your efforts are worthwhile and alsothat companies are fulfilling their undertakings.Participating in monitoring programs means thatyou will be able to influence the outcomes ofcommunity development programs.

• Community organization or NGO: As a member ofa community organization or NGO you canparticipate in monitoring activities to ensure thatprograms are achieving what they set out to do. Youmay also be required to demonstrate to managersthat resources are being used wisely.

• Mining company staff: As a member of the miningcompany staff you will likely have internal companydemands for monitoring and evaluation, todemonstrate to managers and shareholders thatcommunity development funds are being investedwisely, and achieving stated objectives. You shouldinvolve the community and other stakeholders in themonitoring process as much as possible becausethis will give you the most real feedback about yourprogress.

Monitoring and Evaluation Tools and Who Might Use ThemParticipant Monitoring and Evaluation Needs Appropriate Tools Tool No.

Governmentofficer

Communitymember

NGO member

Mining companystaff

Assist with developing management framework

Help with indicator development for evaluation

Provide feedback to the company

Develop management framework

Develop monitoring and evaluation indicators


Identify opportunities for evaluation

Assist with developing management framework

Help with indicator development for communitymanagement


Develop management framework withcommunity

Help with indicator development for communitymanagement

Learn how to listen to community responses

Logical Framework

Indicator Development

Goal Attainment Scaling

Logical Framework



Logical Framework



Logical Framework



15

16

17

15

16

17

15

16

17

15

16

17

Participatory Monitoring and Evaluation in Zambia At a community level, participatory Monitoring andEvaluation can be used to help motivate people tosustain local initiatives and manage conflicts.CARE Zambia, a nongovernmental developmentagency, wanted to implement projects in a moreresponsive manner, and to ensure they learnedbetter from their own project experience. CAREconducted a baseline assessment in dozens ofvillages using well-being ranking and otherparticipatory methods. Changes are now beingtracked in the best- and worst-off households toassess project impact and help plan new initiatives.Joint analysis has helped communities and CAREstaff define – rather than simply speculate about –changes and has encouraged communities to takeaction on their own.

Source: Institute of Development Studies Policy Briefing 12,November 1998.

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Overview of Monitoring and Evaluation Tools


Monitoring and evaluation (M&E) ensures thatdevelopment programs are going in the rightdirection to achieve their stated goals:

• Monitoring: The ongoing, methodical collectionand analysis of data on development activities,which provides program managers andstakeholders with early indications of progress andachievement of goals. Monitoring can be said to bethe measurement of outputs and is undertakenmore frequently than evaluation and is often done bypeople involved in the community developmentprograms.

• Evaluation: Primarily concerned with longer-termresults of development activity, or the measurementof outcomes. It aims to identify how and whyactivities succeeded, failed, or were changed toimprove the effectiveness of future undertakings.Many mining projects opt to have evaluation doneperiodically by independent, external advisors, butself evaluation is also worthwhile.*

Through M&E four fundamental questions areexplored:

• What worked and why?• What did not work and why?• What could have been done differently?• What adjustments and changes are required now?

The process developed for answering thesequestions depends on the complexity of thecommunity development activities and the depth ofknowledge and understanding required. Evaluationsof community development are challenging becausethey have both quantitative and qualitativedimensions: basic information about what has beenundertaken is important but so too is informationabout community members’ perceptions of theprocess, the results achieved, and the overallbenefits of community development.

The benefits of effective M&E include:

• Improved management: It supports yourcommitment to stay on track and achieve results. It also gives you an opportunity to critically reviewyour management systems and processes and toidentify what is working well and what needs somedevelopment.

• Improved accountability: Your partners want toknow how you have used program resources andwhat you have achieved to assess whether theyshould continue to support your activities.

• Participation: M&E provides an opportunity tobring communities and other stakeholders into theprogram management process, to review programperformance from their own perspective, and toinfluence future program direction.

• Learning and development: M&E is an importantlearning process, enabling you to reflect on yourexperience and assess how that experience can beincorporated into other activities and longer termprogram development.

The M&E system recommended here builds on theLogical Framework (tool 15) program managementprocess and uses indicators developed by using tool16. By applying these indicators in the LogicalFramework process, using verifiable indicators tomeasure outputs for monitoring purposes andverifiable indicators for measuring outcomes forevaluation, project managers and stakeholders canassess the implementation of project activities andthe validity of assumptions and achievement ofagreed project goals. As an additional means ofassessing both short-term achievements(monitoring of outputs) and longer-term results(evaluation of outcomes), the Goal AttainmentScaling method (tool 17) is beneficial because itallows assessment to be undertaken by a widerange of stakeholders and permits comparison ofassessments given by different stakeholder groups.

M&E can be used at any time in the life of acommunity development activity or investment to measure:

• Changes resulting from investment in thecommunity relations activity

• Differences between expected and actualoutcomes

• Reallocation of remaining resources to improveoutcomes

• Justification for allocation of further resources

• The performance of the community developmentteam.

There are many other monitoring and evaluationprocesses available, and the references will lead youto discussions of some of those. If you use acombination of tools 15–17, however, you will have agood understanding of the progress of thecommunity development programs that you areinvolved with.

*Examples of external evaluation processes are the TIAP team for the Tangguh LNG Project (see tool 13, Conflict Management)and PEAK (Porgera Environmental Advisory Komiti) in Papua New Guinea, available at www.peak-pjv.com

http://www.peak-pjv.com

Description

The Logical Framework approach (often abbreviated to logframe) is ahighly effective and flexible method of planning, monitoring, andevaluating development activities. It is a time-consuming process, as itinvolves methodically moving through each step of a management planand checking that it flows logically from what precedes it and that it cancontribute to the outcomes expected from it. It is this meticulousness thatmakes the logframe process worthwhile. It is included here in the M&Esection because it is a most effective means of conducting both activities.However, the logframe process could also fit comfortably into theprogram management section because it is a powerful and usefulmanagement tool.

15Logical Framework


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Purpose

The logframe approach helps program facilitatorsto:

• Describe the goals that the activity is beingdesigned to deliver (these should follow from theProblem Census (tool 8) and Community Action Plan(tool 14)

• Think through and state the importantassumptions that need to be made about externalfactors that are likely to affect the achievement ofthe objectives

• State what indicators to use to measure theachievement of the objectives (see tool 16)

• State what measurement method will be used tomeasure each indicator

• Specify the activities that need to be undertakenand the timing of these activities to achieve theobjectives

• Specify the resources needed: personnel, training,equipment, and material inputs.


Planning a project and also for M&E as part of thelogframe process involves developing verifiableindicators. As with any other managementframework, a logframe matrix should be reviewedand updated as needed when programcircumstances (personnel or funding) change, or atleast annually).

Action (column numberrefers to Matrix opposite)

Define goal and elements(column 1)

Identify importantassumptions (column 4)

Identify measurableindicators (column 2)

Identify measurementmethods (column 3)

Check the logic

Description (refers to the Logical Framework Matrix)

Start with the narrative summary or description column first, working from the topdown. Describe the elements of your program, as defined in each box of column 1.Review what you have done several times until the vertical logic makes sense.Continue to ask “if and then” questions at each level, working from the bottom up:• If these inputs are provided then will these outputs be achieved? • If these outputs are achieved then will these outcomes be achieved? • If these outcomes are achieved then will it contribute to achieving the goal?When the answer is yes to these questions, you can be reasonably sure that thevertical logic is sound.

Work from the bottom up. Think of any external factors for which the project haslimited or no control over that need to be in place for the results to be achieved.Write these down for each level. Now check them by asking these questions.

• If the project provides these inputs and the assumptions relating to inputs hold true, then will the outputs be achieved?

• Will project outputs plus assumptions lead to the outcomes?• Will project outcomes plus assumptions lead to the goal?

For each level, identify indicators that are measurable that will indicate achievementof each objective. Start from the bottom and work up.

For each level, state how the indicators will be measured. Make sure that whatever isproposed is practical and can be done. Very often there are existing reportingsystems in place but which typically do not report on the right things, so improvingthese systems will make them more effective.

Ask the questions for steps 1 and 2 to check the vertical and horizontal logic of thelogframe and suggest improvements that could be made.


The logframe is presented as a 4 x 4 matrix. Using astep-by-step process of developing program goals,outcomes that will lead to the goals, moreimmediate results (outputs) that will contribute tothe longer term outcome, and the inputs oractivities required to achieve those results,appropriate indicators with specific targets andmeans of measuring progress against thoseindicators, an M&E framework is produced. (See the table below for the step-by-step process.)

A note on terminology and process

It is important not to become overly concerned withterminology. Different advocates of using logframesuse different words to describe the same basicfunctions. Do not be distracted by trying todetermine whether something should be called agoal or an objective. Instead, go through the logicchecking process described in step 1 to make surethat your planned activities will lead to the kind ofresults you hope for with your communitydevelopment program. If the logic works, then yourmanagement framework will also work.

Examples of equivalent terms used in logicalframeworks follow:• Goal = objective• Outcome = purpose (longer term)• Outputs = results (shorter term)• Inputs = activities

Step 1

Step 2

Step 3

Step 4

Step 5

Step-by-Step Logical Framework Development Process

Narrative summary(column 1)

Goal: The goal to which thecommunity developmentprogram contributes

Outcomes: The longer-termresults of the communitydevelopment program

Outputs: The directmeasurable results ofcommunity developmentprojects

Inputs: The activities andresources allocated to theimplementation ofcommunity developmentprojects

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Indicators(column 2)

Changes that will indicatethe goal has been achieved(higher level of skilledemployability in community)

Conditions that will indicateoutcomes have beenachieved (increased skillslevel in community)

Extent and nature of outputs(numbers of trained people)

Implementation activitiesand budgets (by type andquantity)

Measurement of indicators(column 3)

Statement of how data ongoal are to be collected andmeasured

How data on outcomes willbe collected and measured

How data outputs will becollected and measured(monthly reports structuredoutput indicators)

How inputs will be monitored

Important assumptions(column 4)

Assumptions for achievingthe goal

Assumptions for achievingoutcomes

Assumptions for achievingoutputs

Assumptions for providinginputs

The Logical Framework Matrix

Narrative summary

Goal: Raised standards ofskills-based education andemployability in the village

Outcome: Increased capacityof community members tomaintain and repair thevillage’s power generationand distributioninfrastructure and to seekemployment in this fieldoutside of the village

Output: People trained ingenerator and electricalmaintenance

Input: Generator andelectrical maintenancecourse

Outcome: Increased capacityof traditional birthattendants to provide basicbut competent advice andassistance to others duringpregnancy and child birth

Output: People trained inbasic midwifery/birthingassistant skills

Input: Basicmidwifery/traditional birthingassistant training course

Verifiable indicators

Numbers of people withincreased skills levels;numbers of people with jobs

Reported incidence of powerfailure in the village; one ormore community membersobtain employment in thefield of motor mechanicsoutside of the village

Six people successfullytrained

Cost of trainers, hall hire,course materials, per diemsfor attendees and staff

Reduced incidence ofcomplications duringchildbirth, perinatal, andneonatal mortality; increaseddetection and referral of highrisk pregnancies togovernment midwives

Six people successfullytrained

Cost of trainers, hall hire,course materials, per diemsfor attendees and staff

Means of verification(measurement of indicators)

Baseline skills andemployment register andperiodic reassessment

Number of reports of powerfailures to community liaisonofficers; periodicemployment survey

Training course reports

Invoices submitted by staffand students

Village/ward/district healthrecords

Training course reports

Invoices submitted by staffand students

Assumptions

Assumptions for achievingthe goal

Currently two 5,000 wattgenerators and overheadpower cables to bemaintained; should increaseas result of plannedrefurbishment

That there will be at least sixwilling and suitableparticipants available tocomplete the course (fouralready named in the CAP)

Company, governmentsponsors will provide thecourse support fees

Government healthmonitoring systems

That there will be at least six willing and suitableparticipants available tocomplete the course

Company, governmentsponsors will provide thecourse support fees

Activity 1. Generator and Electrical Maintenance Training

Activity 2. Basic Midwifery/Traditional Birthing Assistant Training

Note: The goal used came from an actual Community Action Plan (see tool 14)

Example of a Logical Framework Matrix for a Training Program for Community Members

Key references

AusAID: Logical Framework Approach. Available: www.ausaid.gov.au/ausguide/ausguidelines/ausguidelines-1.pdf

DFID: Tools for Development: A Handbook for Those Engaged in Development Activity. Available: www.dfid.gov.uk/pubs/files/toolsfordevelopment.pdf

Social Impact: Impact NotesAvailable: www.socialimpact.com/resource-center/impact-notes.html

Source: Adapted from Kennedy, Tomas, and Steve Jones. 1997. Ethiopia Basic Education Project WorkshopReport in DFID. 2002. Tools for Development: A Handbook for Those Engaged in Development Activity.Available: www.dfid.gov.uk/pubs/files/toolsfordevelopment.pdf.

Using Logical Frameworks With Local Stakeholders in Ethiopia

It is not necessary for all stakeholders to understand Logical Framework (logframe) analysis. Indeed, logframe can bescary to some people. In such situations, it can be useful to ask the same questions that are used in logframe analysis,but without presenting the findings in a 16-box matrix.

This was the approach used in the 1997 Ethiopia Basic Education Project stakeholder workshop. There were 40participants—parents, teachers, local, regional, and national officials, and U.K. Department for InternationalDevelopment advisers – speaking three different languages. Over a period of one week the following questions wereasked. Only at the end of the process was a logframe produced.

• Where are we now? What is the problem? What is our vision of the future? (Goal)• Where would we like to get to in the next 5-10 years? (Outcome)• What are the main things that need to be delivered by the project to achieve the vision? (Outputs)• What needs to be done to deliver each of these? (Inputs)• How would you assess or measure that you are on track? (Indicators)• Where would you get the information needed to make these assessments? (Means of verification)• What risks are there that the project might fail? (Important assumptions)

Once the workshop had reached consensus on each of these questions, one of the most articulate participants wasshown how this information could be arranged into a logical framework. He presented the result to the otherparticipants. A logframe was produced, but the most important thing was that participants gained a shared vision andreached a consensus on what the project would deliver.




http://www.socialimpact.com/resource-center/impact-notes.html

Description

Effective management, monitoring, and evaluation depend on theidentification of effective performance indicators. Effective performancemeasurement needs to use appropriate units for measuring change; to beable to distinguish between inputs, outputs, and outcomes; to measureeffectiveness and efficiency; and to assess both qualitative and quantitativedimensions of change.

• Inputs: Input indicators measure inputs such as money or time contributed to, for instance, development activities and/or processesconducted, number of meetings held, or number of studies conducted. Inputindicators are important in managing resources and ensuring accountabilityof development facilitators but do not, however, tell us anything about howsuccessful, or otherwise, development activity has been.

• Outputs: Output indicators measure the direct results of communitydevelopment projects (for example, numbers of children vaccinated, numbersof people trained in agricultural methods, or school completion rates).

• Outcomes: Outcome indicators measure longer term changes that are thedesired return on investment in the project (for example, measurable changein the community’s quality of life, health, or economic well-being). Outcomeindicators are the best measure of how successful, or otherwise,development activity has been.

16Indicator Development


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Purpose

The purpose of this tool is to develop a set ofobjectively verifiable indicators to measureperformance of community development programs.


Frequent monitoring can enable programs to bereoriented if they are not succeeding at first. So, thistool should be used as often as possible, at leastonce a year, or whenever circumstances change. Aswith the Goal Attainment Scaling tool (tool 17),appropriate performance indicators are importantparts of a post-closure monitoring program as wellas useful during operation of the mine.


Similar to the Goal Attainment Scaling tool,development of program indicators is often bestdone as a group exercise. Performancemeasurement should be based on objectivelyverifiable indicators to ensure that measurements ofchange by one group are accountable to allstakeholders as well as being repeatable by othergroups if needed. The important point is that theremust be some objective means of verifying results(for example, test results for students or numbersof trainees completing a course).

• Step 1: Gather together people with knowledge ofand interest in the programs you want to developindicators for.

• Step 2: Brainstorm ideas for indicators, focusingon means of verification.

• Step 3: Prepare a list of indicators for eachprogram. These can be included in your logframemanagement matrix (tool 15) or used in any othermanagement framework that you use. Examples ofquantitative indicators may include (a) the frequencyof meetings, the number of people involved; (b)growth rates; (c) yields, prices; (d) up-take of activityinputs (loans, school enrollment, seeds, visits to theclinic, children vaccinated); and (e)adoption/implementation of activity outputs(technologies, manuals, newsletters, or guidelinesin use). An example is provided on the oppositepage. Qualitative indicators may relate to (a) thelevel of participation of a stakeholder group; (b)stakeholder/consumer opinions, satisfaction; (c)aesthetic judgments regarding local amenity orlifestyle choices; (d) decision-making ability; (e)attitudinal change; (f) emergence of leadership; (g)ability to self-monitor; (h) development of groupsand of solidarity; (i) behavioral changes; and (j)evidence of consensus. It is generally easier tomeasure behavior than feelings; behavior can beobserved. So if an objective is to increase people’sconfidence in meetings, it may be appropriate tomeasure this by observing how often they speak andwhether they speak clearly.

Input

Midwifery trainingcourse

Output expected(indicator)

Six trained people

Actual Results(indicator)

Five trained people

Difference

One person failed tocomplete the course

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Observations(action to be taken)

Ensure that selectedtrainees are free toattend futurecourses

Monitoring Table Example: Monitoring of Basic Midwifery Training for January-June 2002

Project structure

Insert inputs from logframe

Insert outputs from logframe

Insert outcomes fromlogframe

Insert goal from logframe

Indicators

Insert indicators ofachievement from thelogframe for each input oractivity

Insert indicators ofachievement from thelogframe for each output

Insert indicators ofachievement from thelogframe for each outcome

Insert indicators ofachievement from thelogframe for the goal

Progress

Provide a report against each indicator




Comments/recommendations

Provide any comments; explainif progress is not as planned;provide time-bound actionpoints for program managersand participants




The table below is an example of how the detailedindicators used in the logframe process (tool 15) canbe used for M&E purposes. This M&E process canbe used by community development programparticipants or by external evaluators.

Source: Model adapted from Royal Institute for the Tropics/World Bank/African Network on ParticipatoryApproaches. 2000. Village Participation in Rural Development. Tool 16. Data adapted from logframeexample used in tool 15.

Format for Using Logistical Frameworks for Monitoring and Evaluation

Source: Adapted from DFID. 2002. Tools for Development: A Handbook for Those Engaged in DevelopmentActivity. Available: www.dfid.gov.uk/pubs/files/toolsfordevelopment.pdf


Key references

DFID: Tools for Development: A Handbook for Those Engaged in Development Activity (see chapter 12).Available: www.dfid.gov.uk/pubs/files/toolsfordevelopment.pdf

Rietbergen-McCracken, J., and Deepa Narayan. 1998. Participation and Social Assessment: Tools andTechniques. Washington, DC: IBRD/World Bank. Available: www-wds.worldbank.org

Sartorius, R. Social Impact Training Manuals – Managing the Project CycleAvailable: www.socialimpact.com/resource-center/training-manuals.html

Royal Institute for the Tropics/World Bank/African Network on Participatory Approaches, 2000. Village Participation in Rural Development, Amsterdam.Available: www.kit.nl/frameset.asp?/development/Default.asp&frnr=1&



http://www.kit.nl/frameset.asp?/development/Default.asp&frnr=1&

Description

Goal Attainment Scaling (GAS) is a tool used to determine different – orchanging over time – levels of stakeholder satisfaction with developmentactivities. It is best used in conjunction with the program managementand monitoring and evaluation processes explained in the LogicalFramework (tool 15).

17Goal Attainment Scaling


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Purpose

GAS can be used to directly track progress towardan identified goal. GAS can be used to monitor theoutputs of community development activities, sayevery six months, or it can be used to evaluatedifferent stakeholder perceptions of outcomes of aprogram over a longer time period. The results ofthe surveys can demonstrate differences betweendifferent stakeholders’ perceptions of an issue ofshared interest.


This tool should be used whenever the views of oneor more groups of stakeholders are required on theprogress and achievements of a program. GAS canbe repeated at intervals and among differentgroups. This can be done at any stage frompreconstruction to post-closure, with the questionsbeing asked altered to match the prevailingsituation.


Activity or program goals are framed as keyquestions. The goals form a common framework forpersonal consultations, analysis of programperformance, and review of documentation. The keyquestions lead logically to a GAS framework thatenables the facilitator to determine the degree towhich program outputs or outcomes are beingachieved.

The table opposite presents an example GAS sheetfor the tracking of community and companyperceptions of an engagement program beingconducted with communities adjacent to a plannedmining project. In this example, the objective hasbeen defined as the degree to which theengagement program contributes to mutuallybeneficial relationships between company and localstakeholders. Five levels of achievement aresuggested against each question, and eachrespondent should select one description of thelevel of achievement for each question posed. Inother words, it is a five-point multiple-choice surveyand therefore fairly simple to explain torespondents.

Using this instrument with different stakeholdergroups can detect areas where the perception of theperformance of the engagement program differsbetween the parties. The results can also be used toestablish benchmarks that can be tracked forchange over time.

It is simple to represent the results in graphic formto make it easier for management and stakeholdersto analyze quickly changing trends in perceptions ofthe success of the programs being evaluated. This isbest done with a group or team of people involved inthe project and can be done for each indicator foroutputs and outcomes, as feedback desired.

• Step 1: Identify the objectives (outputs andoutcomes) for a project and their associatedindicators. Use the logframe developed in tool 15. Inthe example provided in the table opposite, one ofthe goals of the stakeholder engagement programbeing evaluated was defined as developing a goodrelationship between the company andcommunities. So, a central question to evaluatewas, Is the engagement program developing a goodrelationship between the company and localcommunities?

• Step 2: Decide on and write descriptors for thescoring scale for each indicator. Ideally this shouldbe determined by the project manager/coordinatortogether with key primary stakeholders. Definingand agreeing on GAS scales can take some timeoften because different participants have differentexpectations, perhaps stemming from differentunderstandings about what the project is about. This time, however is a useful investment to ensurea shared understanding of what the collectiveexpectations are for it. The descriptors for the 1–5scale are designed with the central question beingscale point 3 (that is, the average score), meaningthat your objective has been met. In this case, ascore of 3 was described as the engagementprocess is developing the basis for a sound andfruitful relationship between the parties. Thedescriptors for scale points 1 and 2 should describeevaluations that fall short of meeting the objective,with 1 being the lowest achievement. See rowsnumber 1 and 2 in the table opposite. Thedescriptors for points 4 and 5 on the scale shouldindicate results which exceed the objective, with ascore of 5 being the highest. See rows number 4and 5.

• Step 3: The method for using the GAS is that eachperson rates the program being evaluated with ascore of 1–5. In the example given, 60 people areasked to rate the program, 15 people from each ofthe four categories of stakeholders. So, looking atthe top row of the table, none of the government orcompany people gave the program the lowest score,but three NGOs and two community members did.At the other end of the scale, the bottom row revealsthat one person from each of the company andgovernment groups gave the program the mostfavorable outcome score, and none of the NGO orcommunity people did. The beauty of this process isthat the same questions can be asked of differentstakeholder groups, and the results can becompared. The survey can also be reported atintervals of time. Finally, the results are easy topresent in a graphical format. Weighting accorded tothe results obtained from different GAS results maydiffer depending on the importance of each group’sperspective to the project management.

• Step 4: Communicate results and display theresults in graphs.

Goal

Engagement program leads to a mutually beneficialrelationship between company and local stakeholders

Question: Is the engagement program developing agood relationship between the company and localcommunities?

The engagement program is poorly regarded with thelevel of contact between the parties being low andineffective.

The engagement program is regarded as generally wellrun, in that contacts are friendly, but are notprogressing far in establishing a sound relationship.

The engagement process is developing the basis for asound and fruitful relationship between the parties.

The engagement process has evolved into a solidrelationship, based on mutual trust, open exchange ofissues, and ideas and a shared framework of interests.

The relationship between the parties has beenformalized and is recognized as very important by bothparties.

Score (n = 60)

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GAS Sheet for Assessing the Engagement Program

In graphic representation (shown below), mostscores are around the middle, which means theprogram has attained its goal for building a goodrelationship. The highest ratings came from thegovernment and company people, and the lowestfrom NGOs with middling scores from thecommunities.

1

Graphic Representation of GAS Sheet for Assessing the Engagement Program

2 3 4 5

Company

Government

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6

5

4

3

2

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0

NGOs

Communities

The scores could be agglomerated, to give a rawscore of how many people rated the program ashaving obtained its objective, but is most usefulwhen stakeholder group scores are kept separate.

X-axis key: 1, most unfavorable outcome; 2, less than expectedsuccess; 3, expected level of success; 4, more than expectedsuccess; 5, most favorable outcome.

Y-axis key: number of people giving that score. Maximum scorepossible per group is 15.

GAS scale

1

2

3

4

5

This example (on previous page) shows the resultsof only one question asked about a program, but aseries of questions or objectives could be evaluatedin just the same way, and repeated at intervals, aspart of a regular monitoring process that cancontinue even after the mine has ceased operationsas part of a post-closure monitoring program. If lowscores or wide discrepancies in scores are observedfrom different stakeholder groups, this should betaken as an indication that the program is notmeeting the expectations of certain stakeholders.Corrective action should be taken by consulting thedissatisfied stakeholders and working toward amutually agreed modification of the program.Because modifications may then affect otherstakeholders, the stakeholders should also beconsulted.

Using GAS for monitoring thus enables earlycorrective actions to be undertaken. For longer termevaluation purposes, the GAS process similarlyallows programs to be improved and enablesprogram managers to understand which sections ofthe community may not be satisfied with projectactivities.


GLOSSARY TOO

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Arbitration: A process in which a third-party neutral, afterreviewing evidence and listening to arguments from both sides,issues a decision to settle the case. Arbitration is often used incommercial and labor/management disputes.

Baseline data: Information gathered prior to a project thatdemonstrates the magnitude of the development problem, theextent to which the problem exists in the community, and, overtime, will enable a measurement of the progress in addressingthe problem. Baseline data can indicate the incidence of aproblem in the community (for example, the community has anadolescent pregnancy rate of 15.8 pregnancies for everythousand teenage girls). It can reveal the prevalence of aproblem (45 percent of teens in the community report that theydid not use contraceptives during the last time that they hadsex). It can also measure community attitudes toward a problem(65 percent of local people do not consider teen pregnancy to bean important problem for the community).

Capacity building: A managed process of (a) skill upgrading,both general and specific; (b) procedural improvement; and (c)organizational strengthening. Capacity building aims to developthe ability of individuals, groups, institutions, and organizationsto identify and solve development problems.

Civil society: The network of associations, social norms, andrelationships that exist separately from government or marketinstitutions. Civil society may include religious organizations,foundations, professional associations, labor unions, academicinstitutions, media, pressure groups, and environmental groups.Civil society reflects social diversity and may provide theintellectual, material, and organizational basis for communityinteraction with the state and business sectors.

Community: A social group possessing shared beliefs andvalues, stable membership, and the expectation of continuedinteraction. It may be defined geographically, by political orresource boundaries, or socially, as a community of individualswith common interests.

Community-based organizations: Groups of individuals within avillage or group of villages or residential area with similarinterests, established to work together to achieve commonobjectives. Can refer to organizations that provide care orservices in the neighborhood as well as initiatives by individualcitizens and groups within the community.

Community development: The process of increasing thestrength and effectiveness of communities, improving peoples’quality of life, and enabling people to participate in decisionmaking and to achieve greater long-term control over theirlives. Community development aims to empower and helpcommunities to improve their social and physical environments,increase equity and social justice, overcome social exclusion,build social capital and capacities, and involve communities inthe strategic, assessment, and decision-making processes thatinfluence their local conditions.

Community profile: A picture of the community that reflects thedemographic, economic, human, social, visual, and naturalresources and the needs and assets of the community.

Competency: An attribute that contributes to successfulperformance and achievement of organizational goals.Competencies may be defined organizationally or individually,and may include knowledge, skills, and abilities plus othercharacteristics such as values, motivation, legitimacy, initiative,and control.

Consultation: A tool for managing two-way communicationsbetween project developers and stakeholders. The goal is toimprove decision making, reduce risk, and build understandingby actively involving individuals, groups, and organizations witha stake in the project. Their involvement increases the project’slong-term viability and enhances its benefits to locally affectedpeople and other stakeholders. To be meaningful, consultationshould be carried out in a culturally appropriate manner, withlocally appropriate timeframes and in local languages.

Conflict resolution: The process by which the participantstogether with the assistance of a neutral person or personssystematically isolate disputed issues to develop options,consider alternatives, and reach a consensual agreement thatwill accommodate their needs.

Empowerment: Increasing peoples’ ability to participate indecision making; that is, the ability to negotiate with, influence,control, and hold accountable the institutions that affect theirlives. In its broadest sense, empowerment is the expansion offreedom of choice and action and implies transferring decision-making responsibilities and operational resources to projectbeneficiaries.

Evaluation: Systematic investigation of the worth, value, merit,or quality of an object. It is an assessment of the operation orthe outcomes of a program or policy compared to a set ofexplicit or implicit standards as a means of contributing to itsimprovement. Criteria for evaluation may include relevance,effectiveness, efficiency, impact, and sustainability.

Focus groups: A group selected for its relevance to a particulararea of investigation that is engaged by a trained facilitator indiscussions designed to share insights, ideas, and observationson the area of concern. Focus groups are typically open ended,discursive, and used to gain a deeper understanding ofrespondents' attitudes and opinions. A key feature is thatparticipants are able interact with, and react to, each other. The group dynamic often provides richer insights and data thanwould have been achieved by interviewing the participantsindividually.

Gender: The socially constructed roles ascribed to males andfemales and resulting socially determined relations. Genderroles are learned, change over time, and vary widely within andacross cultures. Gender is a key variable in social analysis. It isimportant to understand the social, economic, political, andcultural forces that determine how men and women participatein, benefit from, and control project resources and activities.Social analysis should highlight gender-specific constraints,risks, and opportunities.

Impact: Any effect, whether anticipated or unanticipated,positive or negative, brought about by a developmentintervention.

Indicator: Quantitative or qualitative factor or variable thatprovides a simple and reliable means to measure achievement,to reflect the changes connected to an intervention, or to helpassess the performance of a development actor.

Input: The activities and resources allocated to theimplementation of community development projects

Institutional Analysis: Analyzes the institutional capacities andrelationships critical to operational success, and identifies gapsor weaknesses in institutional resources, performance orsustainability. Over time, an institution may be consideredsustainable if it can secure necessary support, providecontinuing development activities and services that are valuedby its stakeholders, and maintain its functions with decreasinglevels of external support.

Logical Framework: A simplified chain of relationships thatdemonstrates the logic and assumptions underlying a programor intervention and how it intends to achieve its expectedresults. It states the logic of the program, identifies theassumptions on which it is based, and outlines the logicalconnections between the activities undertaken, the outputs tobe produced, the immediate or short-term outcomes that areexpected, and the ultimate or long-term impacts the program isdesigned to achieve.

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Mediation: A voluntary and confidential process in which aneutral third-party facilitator helps people discuss difficultissues and negotiate an agreement. Basic steps in the processinclude gathering information, framing the issues, developingoptions, negotiating, and formalizing agreements. Parties inmediation create their own solutions, and the mediator does nothave any decision-making power over the outcome.

Mediation-arbitration: A hybrid that combines both of theprocesses outlined above for “Mediation.” Prior to the sessionthe disputing parties agree to try mediation first, but give theneutral third party the authority to make a decision if mediationis not successful.

Mission statement: A brief statement outlining the specifictask(s) for which a group has charged itself.

Monitoring and evaluation: A management tool that providesmanagers with feedback on project effectiveness duringimplementation. This is important in enabling project managersto move away from prescriptive planning toward a more flexibleplanning approach that enables those in charge of projects tolearn and adapt to changing conditions and experience on theground. Managers use participatory monitoring and evaluationto systematically evaluate progress throughout the projectcycle, ensuring the incorporation of the perspectives andinsights of all stakeholders, beneficiaries, as well as projectimplementers. Stakeholder participation in the identification ofproblems and solutions helps to develop ownership andcommitment to any corrective actions that may be decided on.

Negotiation: A discussion among two or more people with thegoal of reaching an agreement.

Non-government organizations (NGOs): Private organizationsthat pursue activities to relieve suffering, promote the interestsof the poor, protect the environment, provide basic socialservices, or undertake community development. NGOs operateindependently of government, are often value-based and guidedby the principles of altruism and voluntarism. Broadly, NGOsmay be operational, when their primary purpose is the designand implementation of development-related projects, oradvocacy-focused, when their primary purpose is to defend orpromote a specific cause or seek to influence developmentpolicies and practices.

Objective: An expression of an effect that a program is expectedto achieve if completed successfully and according to plan.Objectives are often viewed as a hierarchy, beginning withstrategic goals, purposes, outputs, and activities.

Organization: Formal structures with designated roles andpurposes. Organizations and individuals pursue their interestswithin an institutional structure defined by formal rules(constitutions, laws, regulations, and contracts) and informalrules (ethics, trust, religious precepts, and other implicit codesof conduct). Organizations, in turn, have internal rules to dealwith personnel, budgets, procurement, and reportingprocedures that constrain the behavior of their members.

Outcome: The objectives of community development; that is, thelonger term results aimed for at the end of a program.

Output: The direct results of an intervention, a deliverable forwhich management is responsible.

Participation: A process through which stakeholders influenceand share control over development initiatives and the decisionsand resources that affect them. Participation can improve thequality, effectiveness and sustainability of projects andstrengthen ownership and commitment of government andstakeholders.

Participatory Rural Appraisal: A range of participatoryapproaches and methods that emphasize local knowledge andenable local people to conduct their own appraisal, analysis,and planning. It uses group animation and exercises to facilitateinformation sharing, analysis, and action among stakeholders.Although originally developed for use in rural areas, it can beemployed successfully in a variety of settings, enablingdevelopment facilitators, government officials, and local peopleto work together to identify and address local developmentneeds.

Partner: The individual and/or organization with which onecollaborates to achieve mutually agreed upon objectives.

Partnership: Negotiated relationships that exist between two ormore entities that have voluntarily entered into a legal or moralcontract.

Primary data: Qualitative or quantitative data that are newlycollected to address a specific research objective. Primary datamay include original information gathered from surveys, focusgroups, independent observations, and test results.

Problem Census: A tool used to gain a balanced andcomprehensive understanding of community needs. TheProblem Census is particularly useful in understanding thecauses of local development problems, identifying all possiblesolutions to those problems, and, by enabling the broadestcommunity participation, developing program goals andstrategies that reflect the needs and aspirations of all sectionsof the local community.

Program management: Management concerned directly withthe production and delivery of services. Skills and proceduresinclude project cycle management, program formulation,communications, financial and human resource management,and technical reviews and evaluation.

Quality of life: People's overall well-being. Quality of life isinherently subjective and difficult to measure (whether for anindividual, group, or nation) because it includes both materialwell-being and such intangible components as the amenity andquality of the environment, national security, personal safety,and political and economic freedoms.

Qualitative surveys: Research more subjective than quantitativeresearch and uses very different methods of collectinginformation, mainly a relatively small number of individual, in-depth interviews and focus groups. Qualitative surveys areexploratory and open ended, and allow respondents greaterfreedom to influence the research scope and design.Participants are asked to respond to general questions, and theinterviewer or group moderator probes and explores theresponses to identify and define perceptions, opinions, andfeelings about the topic or idea being discussed. The quality ofthe findings from qualitative research is directly dependentupon the skill, experience, and sensitivity of the interviewer orgroup moderator. Qualitative research is often less costly thanquantitative surveys and is extremely effective in understandingwhy people hold particular views and how they makejudgments. While qualitative research does not produce resultsthat are statistically reliable, its findings can, if participants arebroadly representative, be strongly indicative of the populationas a whole.

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Quantitative surveys: Research concerned with measurementof objective, quantitative, and statistically valid data. Simply put,it is about numbers. In quantitative surveys a relatively largeand scientifically calculated sample from a population is askeda set of closed questions to determine the frequency andpercentage of their responses. Quantitative surveys can be usedwith reasonable levels of confidence to assess communityattitudes across large populations. Weaknesses of quantitativesurveys, however, are that they are relatively expensive,questions are strictly ordered and determined by thequestioner, and are closed; that is, respondents cannotintroduce topics into the survey and cannot expand on or qualifytheir responses.

Ranking: An exercise in which respondents identify what ismost important to them (for example, in identifyingdevelopment needs, communities may rank livelihood as moreimmediately important than education). Ranking allowsfacilitators to understand local preferences and to understandhow values differ among different groups. Identifying localpreferences and priorities is critical to choosing appropriate andeffective development strategies and interventions.

Secondary data: Qualitative or quantitative information that hasalready been assembled, having been collected for some otherpurpose. Sources may include census reports, journal articles,technical or academic studies, and other publications.

Semi-structured interviews: Interviews that are partiallystructured by a flexible interview guide with a limited number ofpreset questions. The guide ensures that the interview remainsfocused on the issue at hand while providing enough flexibilityto allow participants to introduce and discuss topics that arerelevant to them. Semi-structured interviews are a deliberatedeparture from survey-type interviews with lengthy,predetermined questionnaires.

Stakeholders: Persons or groups who are affected by or canaffect the outcome of a project. Stakeholders may beindividuals, interest groups, government agencies, or corporateorganizations. They may include politicians, commercial andindustrial enterprises, labor unions, academics, religiousgroups, national social and environmental groups, public sectoragencies, and the media.

Stakeholder Analysis: A process that seeks to identify anddescribe the interests and relationships of all the stakeholdersin a given project. It is a necessary precondition to participatoryplanning and project management.

Standard of living: The level of well-being of an individual,group, or the population, as measured by the level of income orby the quantity of various goods and services consumed.

Strategic plan: An outline of the program or organization’slong-term goals, and of the specific strategies, approaches,methodologies, and resources through which those goals willbe achieved.

Strategic planning: A process by which a future vision isdeveloped for an organization, taking into account its politicaland legal circumstances, its strengths and weaknesses, and thethreats and opportunities facing it. Strategic planningarticulates the organization’s sense of mission and maps outfuture directions to be taken, given the organization’s currentstate and resources.

Strategy: A planned course of action undertaken with the aim ofachieving the goals and objectives of an organization. Strategymay be developed for any aspect of an organization’s activitiesor, at the broadest level, for the organization itself.

Sustainable development: Development that meets the needsof the present without compromising the ability of futuregenerations to meet their own needs. Progress measured insocial or economic terms is accomplished without irreversibleenvironmental degradation or social disruption. The benefitsshould not only outweigh the social and ecological costs butshould also be founded on a rational use of human and naturalresources that can be maintained indefinitely.

Sustainability: The ability of an organization to secure andmanage sufficient resources to enable it to fulfill its missioneffectively and consistently over time without excessivedependence on a single funding source. Sustainableorganizations have (a) the ability to scan the environment, adaptto it, and seize opportunities it offers; (b) strong leadership andmanagement; (c) the ability to attract and retain qualified staff;(d) the ability to provide relevant benefits and services formaximum impact in communities; (e) the skills to demonstrateand communicate this impact to leverage further resources; (f)community support and involvement; and (g) commitment tobuilding sustainable (not dependent) communities.

Survey: The collection of data from a population for the purposeof analysis of a particular issue. In a sample survey data arecollected from a representative sample of the population.

Triangulation: A process of using multiple data sources, datacollection methods, evaluators, or theories to study an issuefrom different perspectives, validate research findings, helpeliminate bias, and detect errors or anomalies in results.

Vision: A description of the large-scale development changes(economic, political, social, or environmental) to which theprogram hopes to contribute.

Vulnerability: Condition characterized by higher risk andreduced ability to cope with shock or negative impacts. It maybe based on socioeconomic condition, gender, age, disability,ethnicity, or other criteria that influence people's ability toaccess resources and development opportunities. Vulnerabilityis always specific to the particular location and time.Development initiatives should assess vulnerability and targetinterventions to particularly vulnerable and marginal membersof the community.

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Pioneering New Approaches in Support of Sustainable Development in the Extractive Sector

BACKGROUNDVOLUME

i

Acknowledgments

The project was jointly coordinated and managed bythe World Bank Group’s Oil, Gas, and Mining PolicyDivision and the International Council on Mining andMetals (ICMM). Financial support was provided bythe Energy Sector Management Assistance Program(ESMAP), ICMM, and the World Bank.

The first phase of work (as presented in theBackground volume) was overseen by a RegionalAdvisory Committee consisting of Agnes Bwalya(Chair of the Chambishi Bakabomba CommunityDevelopment Trust, Chambishi Metals, Zambia),Gloria Dhlamini (Executive Mayor, Emalahleni LocalMunicipal Council, Mpumalanga, South Africa),Karin Ireton, (Group Manager, SustainableDevelopment, Anglo American plc), Len le Roux(Director, Rössing Foundation, Namibia), MaryMetcalf (Member of Executive Council, Agriculture,Conservation, Environment and Land Affairs,Gauteng, South Africa), Nchakha Moloi (DeputyDirector General, Mineral Development, Departmentof Minerals and Energy, South Africa), SilaneMwenechanya (Business Forum Coordinator,Zambia Trade and Investment Enhancement Project,Zambia), and Archie Palane (Deputy GeneralSecretary, National Union of Mineworkers, SouthAfrica).

The consultants who completed the working papersin the first phase were Davin Chown, BelyndaHoffman, and Johan van der Berg (OneWorldSustainable Investments); Marie Hoadley and DanielLimpitlaw (University of the Witwatersrand); BrenSheehy (URS Australia); David Shandler (CommonGround); and Markus Reichardt and MokhethiMoshoeshoe (African Institute of CorporateCitizenship).

Community development is the process of increasing the strength andeffectiveness of communities, improving peoples’ quality of life, and enablingpeople to participate in decision making to achieve greater long-term controlover their lives. Sustainable community development programs are those thatcontribute to the long-term strengthening of community viability. Mining andmineral processing activities can play a central role in sustainable communitydevelopment by acting as a catalyst for positive economic and social change inareas that may otherwise have limited opportunities for economic and socialdevelopment.

The Pioneering New Approaches in Support of Sustainable Development in theExtractive Sector project was jointly coordinated and managed by the WorldBank Group’s Oil, Gas, and Mining Policy Division and the International Councilon Mining and Metals (ICMM), and was supported financially by the EnergySector Management Assistance Program (ESMAP), ICMM, and the World Bank.The aim of the project was to develop new approaches and tools to supportgovernment, industry, and community efforts to realize more sustainablecommunity development around mining and mineral processing operations.

The second phase of work (as presented in theTools) was overseen by a working group of ICMM’sCommunity and Social Development Task Force:Tony Andrews (Prospectors and DevelopersAssociation of Canada), Carolyn Brayshaw(AngloGold Ashanti), Paul Hollesen (AngloGoldAshanti), Karin Ireton (Anglo American), RamanieKunanayagam (Rio Tinto), Jim Mallory (PlacerDome), Dave Rodier (Noranda), Russell Williams(Alcoa), and Ian Wood (BHP Billiton). CatherineMacdonald (URS Australia) led the consultant teamfor the second phase and was supported by BrenSheehy, Belinda Ridley, and Nia Hughes-Whitcombe(URS).

The preparation and publication of the Toolkit wascoordinated by Jeffrey Davidson (Task Manager),John Strongman (Mining Adviser), and Allison Berg(Operations Officer) of the World Bank and KathrynMcPhail, Julie-Anne Braithwaite and Caroline Digbyof ICMM. Adriana Eftimie and Michael Stanley of theWorld Bank prepared the “Government Tools forSector Sustainability” in the Background volume.Peer reviewer comments were provided by KerryConnor (Bechtel), Aidan Davy (consultant), TedPollet (International Finance Corporation), Leyla Day(International Finance Corporation), and Dan Owen(World Bank). The CD-ROM accompanying theToolkit was produced by Marjorie K. Araya and theWorld Bank Group Graphics Department. Finalediting was done by Michael Schwartz.

CONTENTS

ACKNOWLEDGEMENTS i

LIST OF ABBREVIATIONS AND ACRONYMS ii

PREFACE 1 1

1 INTRODUCTION 2

Background to the Project 2

Structure of the Toolkit 4

Target Audience 4

2 TOOLKIT DEVELOPMENT PROCESS 6

Initial Work in Southern Africa: Phase 1 8

Assembling the Tools: Phase 2 10

Next Steps 1010 0

3 GOVERNMENT TOOLS FOR SECTOR SUSTAINABILITY 12

Method 12 1

Results 12 12

4 BIBLIOGRAPHY 17

ANNEX 1: KEY COMPONENTS OF A MINERAL POLICY AND REGULATORY FRAMEWORK 30

ENDNOTES 49 30

TABLES: Table 1.1 Community Development Toolkit at a Glance 5 5Table 2.1 Southern Africa: Coal Reserves and Production 6 6Table 2.2 Importance of Mining in Southern African Countries 7 7

FIGURES: Figure 2.1 Per Capita Gross National Product and Life Expectancy in Selected 7 7Southern African Countries

Figure 2.2 Adult Illiteracy and Impoverishment Rates in Selected 8 8Southern African Countries

Figure 3.1 Mining Sector Policy and Legal Framework Level of 13 13Addressing Sustainable Development

BOXES: Box 1.1 ICMM Sustainable Development Principles 3 3Box 2.1 Elements of the Consultative Process for the Phase 1 Work 8 8Box 2.2 Survey of Key Actors in the Development Process 11 11Box 3.1 Social Responsibility Requirements of South African Mining Legislature 14 14Box 3.2 Rietspruit: Planning for Post-Closure Sustainability 16 16

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LIST OF ABBREVIATIONS AND ACRONYMS

AusAID Australian Agency for International Development

BPD Business Partners for Development

CASM Communities and Small-Scale Mining

CBOs Community-based organizations

DFID Department for International Development (UK)

EITI Extractive Industries Transparency Initiative

ESMAP Energy Sector Management Assistance Program

E3 Environmental Excellence in Exploration

IAIA International Association of Impact Assessment

ICME International Council on Metals and the Environment

ICMM International Council on Mining and Metals

IDS Institute for Development Studies (Sussex University, UK)

IFC International Finance Corporation (part of World Bank Group)

IIED International Institute for Environment and Development

IISD International Institute for Sustainable Development

IPIECA International Petroleum Industry Environmental Conservation Association

LNG Liquefied natural gas

M&E Monitoring and evaluation

MMSD Mining, Minerals, and Sustainable Development

OGP International Association of Oil and Gas Producers

SADC Southern African Development Community

UNEP United Nations Environment Programme

UNCTAD United Nations Committee on Trade and Development

USAID United States Agency for International Aid

WBCSD World Business Council for Sustainable Development

Community Development Toolkit: Background Volume

ii

PREFACE

The Pioneering New Approaches in Support ofSustainable Development in the Extractive Sectorproject aims to:

• Foster constructive working relationships and alliances among communities, companies, and governments.

• Build capacity within governments, companies, and communities to address sustainable development issues at the local level.

• Promote the value-adding potential of mine development and operation in support of local and regional social and economic sustainable development efforts.

• Improve opportunities for the sustainable development of mining communities and regions during all phases of the mining cycle.

The Pioneering New Approaches project builds onprevious World Bank Group work to strengthen thecapacity of governments, private sector, andcommunities to manage mineral development in waysthat will contribute more effectively to the longer-termsustainable development of mining regions. This workincludes the International Finance Corporation (IFC)good practice manuals and reports such as “DoingBetter Business Through Effective Public Consultationand Disclosure” (1998), “Investing in People: SustainingCommunities through Improved Business Practice”(2000), “Developing Value: The Business Case forSustainability in Emerging Markets” (SustainAbility andIFC, 2002), World Bank sponsorship of the BusinessPartners for Development (BPD) initiative (1998–2002),and several World Bank–supported internationalworkshops and conferences including Mining andCommunity (Quito in 1997 and Madang in 1998), Miningand Sustainable Development (Madang in 2002) andWomen in Mining (Madang in 2003 and 2005).

The project also responds to recommendations in“Breaking New Ground,” the report of the Mining,Minerals, and Sustainable Development (MMSD) project(2002), for new approaches to enable governments,industry, and communities to create country-specificframeworks, including community sustainabledevelopment plans, that would ultimately reduceconflict, promote cooperation, and enhance thecontribution of mineral-related investment tosustainable development.

The result is this Community Development Toolkit, towhich there are two main parts:

• This Background volume, which contains the background and context to the project as well as an examination of the mineral policies and mining laws necessary for mineral activity to contribute to sustainable development

• 17 Tools intended for use throughout the project cycle and which cover the assessment, planning, management, and evaluation phases of community development as well as stakeholder relationships.

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1 INTRODUCTION

Background to the project

A key objective of the World Bank Group's Oil, Gas, andMining Policy Division is to determine how extractiveindustry investments can better contribute to povertyreduction and sustainable development at both thecommunity and country levels. The division is currentlycarrying out a sustainability work program intended tocreate and add value for all stakeholders: governments,affected communities, and private companies. Theprogram includes the implementation of a variety ofnew initiatives to maximize the contribution of extractiveactivities to more sustainable national and localdevelopment in those countries and communities wherenonrenewable resource extraction is or has thepotential to become a significant economic activity.

Such initiatives include the Extractive IndustriesTransparency Initiative (EITI) and the Communities andSmall-Scale Mining (CASM) knowledge-sharinginitiative, as well as this Community DevelopmentToolkit. The approach underlying the initiatives is basedon strengthening the capacity of all stakeholders to:

• Articulate and represent their interests and needs in an informed way.

• Manage their interactions with other stakeholders in constructive ways that ultimately translate into equitable sharing of the various potential benefits –social and economic, short and long term – that can be derived from large-scale oil, gas, and mining development.

This project has focused on developing a methodologicalapproach supported by relevant tools that can be usedby the various stakeholders to identify opportunities,build durable relationships, and promote communitydevelopment and create the basis for long-termcommunity sustainability beyond the life of theextractive activity.

The project concept was originally conceived at a jointworkshop held in November 2000 in Johannesburg formembers of the Southern African DevelopmentCommunity (SADC). The convenors included the WorldBank and the International Council on Metals and theEnvironment (ICME)i, among others. The objective of theworkshop was to advance the understanding of themajor issues and challenges standing in the way ofsustainable mining sector development within countriesof southern Africa.

A consensus emerged around the need to have practicaltoolkits to facilitate implementation of the key elementsof a generative process for fostering constructiveworking relationships between communities,companies, and government while securing thesustainability of communities. It was argued that thetoolkits should themselves be developed through aparticipatory process involving all stakeholders.

The World Bank and ICME followed up by drafting aproposal (2001–02) for a joint project to elaborate suchtools. The World Bank’s Oil, Gas, and Mining PolicyDivision turned to the Energy Sector ManagementAssistance Program (ESMAP) trust fund for financialsupport. The proposal addressed a number of ESMAP’score objectives, and the knowledge product was to begrounded in the southern African experience, also apriority region for ESMAP support. The ICME pledgedadditional financial support from its own resources,even as it was undergoing its own transition to theInternational Council on Mining and Metals (ICMM). Thenew ICMM affirmed its commitment to workcollaboratively with other stakeholders in its inauguralToronto Declaration of May 2002.

The ICMM Sustainable Development Frameworkii

followed shortly thereafter (2003). From ICMM’sperspective, the project provided an opportunity todevelop tools to assist members, and others, implementICMM’s 10 sustainable development principles (see box1.1), against which corporate members have committedto measure and report their performance. In particular,the project was relevant to the ninth principle wheremembers have committed to “contribute to the social,economic and institutional development of thecommunities in which they operate.”

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Box 1.1 ICMM Sustainable Development Principles

1 Implement and maintain ethical business practices and sound systems of corporate governance.

2 Integrate sustainable development considerations within the corporate decision-making process.

3 Uphold fundamental human rights and respect cultures, customs, and values in dealings with employees and others who are affected by our activities.

4 Implement risk management strategies based on valid data and sound science.

5 Seek continual improvement of our health and safety performance.

6 Seek continual improvement of our environmental performance.

7 Contribute to conservation of biodiversity and integrated approaches to land use planning.

8 Facilitate and encourage responsible product design, use, re-use, recycling, and disposal of our products.

9 Contribute to the social, economic, and institutional development of the communities in which weoperate.

10 Implement effective and transparent engagement, communication and independently verified reporting arrangements with our stakeholders.

International organizations and associations, such asthe ICMM, the World Coal Institute and the WorldBusiness Council for Sustainable Development(WBCSD), and multilaterals, such as the World Bankand the International Finance Corporation (IFC), nowmore than ever recognize the importance of providingguidance to improve the contribution of extractiveindustries to the sustainability of communities. Suchguidance includes the design and introduction of newtools and operating frameworks to facilitate theachievement of sustainability objectives. Recentexamples of tools, both generic and sector specific,include WBCSD’s “Doing Business with the Poor: A Field Guide” (2004), the IFC’s “Doing Better BusinessThrough Effective Public Consultation and Disclosure: A Good Practice Manual” (1998), as well as the ICMMand the World Conservation Union’s “Integrating Miningand Biodiversity Conservation: Case Studies fromaround the World” (2004), the IFC’s “HIV/AIDS Guide forthe Mining Sector” (2004), the IFC’s “Developing Value:The Business Case for Sustainability in EmergingMarkets” (SustainAbility and IFC, 2002), and ICMM andthe United Nations Environment Programme’s (UNEP)“Good Practice in Emergency Preparedness andResponse” (2005). In addition the World Bank and theIFC have various guidelines and safeguards such as forResettlement and for Indigenous Peoples that guide theimplementation of development projects includingextractive industry projects.

The Background volume and Tools are the end productsof an extended process to design and disseminate a setof community development, engagement, and planningtools that will be relevant and valuable to communities,mining companies, and governments. Toolkitcomponents were developed with the assistance ofcommunity-oriented practitioners living and working inthe southern Africa region. In addition, analyses wereundertaken to define the constraints and opportunitiesprovided by existing government policy and institutionalframeworks to promote social and economicdevelopment around extractive activities within theregion. These analyses are included on theaccompanying CD-ROM.

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Structure of the Toolkit

There are two main parts to the CommunityDevelopment Toolkit (see table 1.1). The Backgroundvolume contains the background and context to theproject and an annotated bibliography as well as anexamination of the mineral policies and mining lawsnecessary for mineral activity to contribute tosustainable development. It is divided into four sections:

• An Introduction describing the background of the project, how it builds on previous work by the World Bank Group and the mining, minerals, and metals industry, the structure of the Toolkit, and the target audience. (This Introduction is the same for both volumes.)

• An overview of the Toolkit development process, including consultation activities, work undertaken, and experience drawn from southern Africa.

• A discussion of Government Tools for Sector Sustainability. This includes an examination of overarching mineral policies and mining laws in five countries (Botswana, Namibia, South Africa, Tanzania, and Zimbabwe) to identify current trends inmineral development that contribute to sustainable development and to define key components that, if embedded in overarching policy and legal instruments, become tools for enhancing the contribution of the mining and metals sector to sustainable development.

• An annotated Bibliography, describing the broader range of information and resources available on mining and community development. Key references are also listed in each tool.

The companion Tools are divided into four sections:

• An Introduction describing the background of the project; how it builds on previous work by the World Bank Group and the mining, minerals, and metals industry; the structure of the Toolkit; and the target audience. (This Introduction is the same for both volumes.)

• A brief discussion of mining and community development, including community development goals and processes, and opportunities to link community development to the mining project cycle.This section includes good practice principles for sustainable community development, advice on the scheduling of development activities in the mining cycle, and on the roles of government, companies, and communities.

• The Community Development Tools section introduces the essential building blocks of community development and describes 17 tools. Each community development tool is supported by detailed, step-by-step instructions on how and when to use them. The tools are designed to be easily extracted for use in the field.

• A Glossary of community development terms and concepts.

Target Audience

The Toolkit provides practical guidance for all stages ofthe community development process, from explorationthrough construction, operations, and eventuallydecommissioning and closure, including post closure.

Because it is the mining company (rather than thegovernment or the community) that applies forexploration and mining licenses, selects explorationtargets, commissions feasibility studies, contractsconstruction, manages the mine during its operationallife, and prepares and implements the mine closureplan, it became evident during preparation of the Toolkitthat much of it should be aimed at enabling the miningcompany to undertake these various steps in a mannerthat would take account of community views and wouldcontribute to community sustainability. Thus, much ofthe Toolkit is aimed at mining company staff as theprimary users, and different instruments are linked tostages of development of a mining project. However,there are tools that would be used by communities andwhere the mining company would at most play afacilitator role. Governments may also decide to modifytheir licensing regulations to provide a framework thatwould set rules and allocate responsibilities forundertaking some of the actions included in the Toolkit.

In addition to being a valuable resource for companies,communities, and government agencies, the Toolkitshould also be a valuable resource and guide for civilsociety groups such as nongovernmental organizations(NGOs) and community-based organizations (CBOs),academics, training and education providers, tradeunions, business associations, and mining servicescompanies. In fact, the Toolkit is for anyone who isinterested in facilitating community development.Ideally, most of the tools will be used by severalparticipants together.

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While the work that supported the development of theToolkit took place in southern Africa, and was largelyfocused on coal mining operations, the Toolkit has abroader applicability, both regionally and in terms ofdifferent types of operation. The Toolkit is designed tobe applicable for projects in all parts of the world, withthe important proviso that it does not address theunique characteristics of Indigenous Peoples’communities. The World Bank has operational policiesiii

in relation to Indigenous Peoples that apply to anyprojects (not just mining projects) that affect them.ICMM recognizes that relationships with communitiesare often complex and this is particularly the case inrelationships with Indigenous Peoples. As a result,ICMM commissioned an independent reviewiv of theissues surrounding Indigenous Peoples and mining andmetals operations to assist in facilitating moremeaningful relationships in these areas.

Table 1.1 Community Development Toolkit at a Glance

Section Key Points

Background volume


2 Toolkit Development Process Work carried out to develop the Toolkit, including initial work in southern Africa and consultation activities

3 Government Tools for Sector Analysis of the elements of legislation and regulations that canSustainability enable a government to create an environment conducive to

sustainable mineral development

4 Bibliography A guide to additional information and resources on community development in mining communities

Tools


2 Mining and Community Definition of community development, key principles for Development sustainable community development, phases of the mining

project cycle, and stakeholder roles and responsibilities

3 Community Development Tools 17 practical tools for community development supported by step-by-step guidance to assist in using them

Assessment ToolsPlanning ToolsRelationships ToolsProgram Management ToolsMonitoring and Evaluation Tools

4 Glossary A guide to some important community development terms and concepts

Last, while the initial work focused on coal mining, theToolkit is considered useful also for other mining andmetals activities, and most if not all of the instrumentswould also be relevant for other energy projects (forexample, oil and gas investments).

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2 TOOLKIT DEVELOPMENT PROCESS

South Africa is the world’s sixth largest producer ofsteam and metallurgical coal. It uses about two-thirds ofits production for coal-fired power generation. Coal isalso used for synthetic fuel production and themetallurgical coal goes for domestic production of ironand steel.

Coal is also produced in Botswana, Malawi,Mozambique, Tanzania, Zambia, and Zimbabwe (table2.1). Most of this production is also used domestically,although a small part moves across borders within theregion. The total production of all these other countriesis only a fraction of South Africa’s. Nonetheless, coalprovides fuel to power domestic manufacturing (cement,sugar, beer, and textiles), tobacco dryers, rail transport,and, in the case of Zambia, its smelting industry.However, unlike in South Africa, the majority of thepopulation must still rely on the use of bio-fuels for theirdomestic energy.

Given current international market conditions for bothsteam and coking coal, and increasing regional powerdemand, new coal mines continue to be brought on linein South Africa, and there has been a resurgence ofexploration effort outside of South Africa.

Mozambique has recently signed an exploration andoption agreement with CVRD of Brazil to evaluate thefeasibility of redeveloping the Moatize coalfields in TeteProvince and is interested in attracting additionalinvestors to assist with the exploration and evaluation ofother deposits. Moatize, if and when it is rehabilitated bythe Brazilian consortium, will produce mainly cokingcoal. While most of it may well end up being exported toEurope and Asia, Mozambique is also interested inpromoting downstream beneficiation and its use infoundry iron and steel works as well. A part of thebituminous resource not suitable for metallurgical usecould potentially feed a mine mouth coal–fired powerplant. In both cases, considerable new infrastructureinvestment in transmission lines, rail lines, and portimprovements will be required. Other countries,including Tanzania, Zimbabwe, and Zambia, are alsoencouraging private sector development of as yetundeveloped coalfields.

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Table 2.1. Southern Africa: Coal Reserves and Production

2003Reserves production Operating mines

Country (million tons) (million tons)

Botswana 4,300 0.9 Morupule (joint with Anglo American)Congo, Dem. Rep. of 88 0.1 Small-scaleMalawi 22 0.1 Mchenga (privatized)Mozambique 212 0.1 Moatize (privatized)South Africa 49,520 237.4 MultipleSwaziland 208 0.4 Maloma (state, closed 2002)Tanzania 200 0.1 Kiwira (joint with China)Zambia 10 0.2 Maamba (state)Zimbabwe 502 3.4 Wankie (public with 40% state ownership)

Source: U.S. Department of Energy (www.eia.doe.gov)

http://www.eia.doe.gov

When other minerals are also included, the significanceand importance of the minerals sector to the nationaleconomies of many of the countries in southern Africabecomes even more transparent (table 2.2).

Table 2.2. Importance of Mining in Southern African Countries

Percent mining Population 2003 Gross national income of exports, 1990–99 (millions) per capita, 2003 Atlas

Country Method (US$)Angola 10.0 13.5 760Botswana 70.0 1.7 3530Congo, Dem. Rep. of 80.0 53.1 100Namibia 55.4 2.0 1930South Africa 30.0 45.8 2850Tanzania 15.8 35.9 310Zambia 74.8 10.4 380Zimbabwe 12.2 13.1 n.a.

Source: World Bank: World Development Indicators 2005n.a., not available – last available data is U$480 in 2001.

Despite significant mineral endowment and a political-economic reality in which mining companies are majoractors in the formal economic sectors of almost all ofthe countries, many national social and economicindicators have remained low. With a per capita dailyincome of less than US$1 per day, Mozambique,Tanzania, Zambia, and Zimbabwe are extremely poor.

While progress is being made in some southern Africancountries, many still face the challenges of low lifeexpectancy at birth, illiteracy and poverty as illustratedby figures 2.1 and 2.2.

0 10

Figure 2.1: Per Capita Gross National Product and Life Expectancy in Selected Southern African Countries

Zambia

Tanzania

South Africa

Namibia

Mozambique

Source: United Nations: Human Development Report 2005

20 30 40 50

Zimbabwe

60

Years

0 500 1000 1500 2000 2500 3000

US $

Per capita annual income, 2003

Life expectancy at birth, 2003

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In southern Africa, as in other parts of the developingworld, where post independence national governmentshave now opened up to free market economic policies,but widespread poverty continues to persist, nationalexpectations are increasing, but governments’ abilitiesto deliver on their citizens’ expectations remainconstrained.

0 10%

Figure 2.2: Adult Illiteracy and Impoverishment Rates in Selected Southern African Countries

Zambia

Tanzania

South Africa

Namibia

Mozambique

Source: United Nations: Human Development Report 2005

20% 30% 40% 50%

Zimbabwe

60%

Adult illiteracy rate, 2003

Population living on less than U$1 per day (%), 1990-2003

70%

Box 2.1. Elements of the Consultative Process forthe Phase 1 Work

The work included a process of extensiveconsultation with stakeholders from government,business, and civil society throughout southernAfrica.

• A Regional Advisory Committee with representatives from government, unions, and industry provided input to consultant terms of reference, reviewed proposals, selected consultants, and identified participants for the stakeholder workshops.

• An interim workshop was held in Johannesburg (September 2003) to review and comment on concept papers produced by the consultants for each of the five areas. Attendees included the Regional Advisory Committee as well as other government, academic, union, community, and industry representatives.

• A final workshop was held in Namibia (December 2003) to finalize the reports and ensure the results were valid and regionally appropriate.

Initial Work in Southern Africa: Phase 1

The initial phase of the Pioneering New Approachesproject involved commissioning a series of foundationpapers and was carried out in a participatory manner.The project was managed jointly by ICMM and the WorldBank, and a regional advisory group was formed toprovide guidance regarding the terms of reference, theidentification and selection of consultants, and thereview of works in progress and their finalization (box2.1).

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Preference was given to consultants with substantivesouthern African experience since the aim was to builda set of materials that would reflect the regionalexperience and lessons learned within the southernAfrican operating environment regarding industrialmining activity and the potential of mining operations tocontribute to social and economic development.Consequently, the initial papers were prepared byconsultants based in the region and were developedwith significant input from local stakeholders through aseries of multistakeholder workshops. A shortdescription of each paper is provided below, and the fullpapers are available on the accompanying CD-ROM.

1. “Guidelines for Sustainable DevelopmentAssessments” (Prepared by Davin Chown and BelyndaHoffman of OneWorld Sustainable Investments)

The development of methodologies and guidelines forsocial sustainable development assessments is seen asa necessary first step toward the articulation ofmethodologies for integrated life-cycle impactassessments and sustainable development monitoring.This work aims to extend existing social impactassessment methodologies to include identification ofopportunities to contribute more effectively to local andregional economic and social development. The paperexplores these prospects through the use of anopportunity assessment process.

2. “Background Paper and Guidelines for EnhancingSkills and Resources for Participation andSustainability” (Prepared by Marie Hoadley and DanielLimpitlaw of the University of the Witwatersrand andBren Sheehy of URS Australia)

The capacity of communities and local authorities toengage constructively with outsiders, assess andprioritize their needs, communicate needs and interestsconstructively, deploy internal resources, secure andmanage external resources (including any miningrelated revenues), as well as design, promote, andmanage projects are some of the key elements that willdefine their ability to participate in developmentprocesses effectively. This paper aims to review thecurrent state of thinking and to identify those skills,resources, and processes that are appropriate andnecessary to allow communities and local authorities tobecome full participants in the development process. Itidentifies the skills and resources that communitiesassociated with mining operations need in order toparticipate effectively in development planning, thosethey already possess, and those they lack. Various waysto strengthen skills and resources are provided in theguidelines for use in the design and management ofcommunity development programs. The work focusedon two mineral zones in southern Africa: LimpopoProvince in South Africa and the Copperbelt in Zambia.It drew on 26 interviews with a wide variety ofstakeholders.

3. “A Guide for the Design of Public ParticipationProcesses” (Prepared by Common Ground)

Existing guidelines on public consultation are either notspecific to the mining industry or do not cover the fullrange of life-cycle activities. This paper involved a gapanalysis and review of historic and customary practicesand examples of best contemporary practice at allstages of the life cycle as the basis for developingguidelines on public participation. It aims to help anyonedesigning public participation processes as well asthose who review the design of such processes.

4. “Guidelines and Methodologies for ConflictManagement” (Prepared by Belynda Hoffman and Johanvan der Berg of OneWorld Sustainable Investments)

Disputes and conflicts among local communities,governing authorities, and business operations mayresult from individual or collective complaints and mayrelate to events, circumstances, policies, or practiceslinked to the project or even to its workers andmanagers. Operational efficiency and profitability areeasier to achieve in an environment of social peace andstability, than in one of tension, confrontation, and, attimes, conflict. While it is clearly in the long-terminterest of all parties to prevent disputes and conflictsfrom arising, they are sometimes unavoidable. If andwhen they do occur, it then becomes critically importantto resolve them quickly and effectively. This work aimsto develop practical guidelines for dispute resolutionthat address conflicts that arise both from contractualand noncontractual issues.

5. “Background Paper and Guidelines for CorporateStrategic Planning Frameworks for CommunityDevelopment” (Prepared by Markus Reichardt andMokhethi Moshoeshoe of the African Institute ofCorporate Citizenship)

A company’s impact on community development isinfluenced by a range of its policies including operatingpolicies, social investment practices, skills trainingprograms, community development assistance,development trusts and foundations, local procurementpolicies, and promotion of local economic development,management, and monitoring systems. This work aimsto review and advance current thinking within theindustry in relation to developing site-specificcommunity development strategies and managementsystems. A review of existing and proposed frameworksand their strengths and limitations serves as the basisfor identifying and explaining factors that support orlimit the success of corporate initiatives throughout thelife cycle of the mine and for defining possibilities forimproved planning and results.

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Assembling the Tools: Phase 2

The accompanying tools were developed through aniterative process involving initially one of the southernAfrican consultants, Common Ground, and then theconsulting group URS Australia. They took the originalwork and crafted it with additional inputs into anintegrated practical how-to reference guide forpromoting social and economic development at thecommunity level throughout the life cycle of a mine.Members of ICMM’s Community and SocialDevelopment Task Force and of the World Bank Oil, Gas,and Mining Policy Division were involved in the reviewand refinement of successive drafts.

The tools are themselves generic while drawing on thesouthern African experience to lay out a process ofengagement and development that stretches from initialreconnaissance and exploration activities through mineconstruction and operation to closure. Their individualand combined application will be determined bycountry, community, and site-specific circumstancesand by the needs of the different users.

Lessons Learned Applied to the Toolkit

Southern Africa’s extended mining history, its newpolitical realities, and its unique developmentchallenges have pushed the mining industry to pioneernew forms of community engagement and socialinvestment but have also given rise to new expectationsregarding the private sector’s role in the developmentprocess.

Within the region, the South African government hasrecently created a new regulatory framework to ensurethat historically disadvantaged South Africans areassured opportunities to profit and benefit from miningactivities. The new framework obligates the industry toplan and operate in ways that would minimize adverseand maximize positive developmental impacts. Howeffective this legislated approach will be and the extentto which other countries in the region will follow remainto be seen.

While the development trust approach may have been auseful vehicle for rolling out social investment in thepast, it is now clear that it will not be sufficient in and ofitself to achieve the kind and quality of results expectedunder new legislative regimes. Most of the focusedstudies undertaken as part of the project havehighlighted the lack of capacity on the part of allstakeholders at the operational and ground levels todeal effectively with the complex array of social,economic, and political issues and relationships thatmust be understood and managed properly by allstakeholders to create successful engagement,collaboration, empowerment, and sustainabledevelopment outcomes at the community and regionallevels.

In particular, the community needs assessment work byHoadley, Limpitlaw, and Sheehy pinpoints the extent ofthe skills deficiency at both the community andcompany operational levels across a number ofsituations examined (box 2.2).

The work by Hoadley, Limpitlaw, and Sheehy also foundthat more often than not interchange and collaborationamong local actors is limited or non-existent. The lackof involvement of local authorities with mining andminerals operations in the planning and implementationof social investments and interventions has in a numberof cases resulted in inappropriate development projectsand technologies or has meant that projects have notmet the needs of local communities. Even whenprojects have had a positive impact, this impact hasoften not been sustained after the company withdrawsfrom active involvement, because there has been noinvestment in the development of local leadership tomanage the initiative.

The success of local initiatives is further hampered bythe lack of organized development planning at the locallevel. Consequently, progress often takes place inisolated pockets, with little or no relationship to otherefforts being undertaken in the region. Where there is aregional planning framework in place, coordination oralignment between local and regional plans may becrucial to the success or failure of local developmentinitiatives.

It became clear that the most significant contributionthat a toolkit could make would be to bolster capacityand guide relationship building for more effectivecommunity engagement and development of the mostdirectly affected stakeholder groups; that is, the siteoperations managers and support staff, communityleaders, and local government authorities.

Next Steps

The tools are a work in progress and have yet to betested in the field. ICMM and the World Bank willdisseminate and support their use, in conjunction withhost governments and local communities.

Beyond dissemination, ICMM and the World Bank willcontinue their collaboration with a view to supportingfield-level application of the tools with input from theprivate sector and other principal stakeholders who will benefit from its successful application andimplementation (for example, governments,NGOs/CBOs, and communities). Application of the tools will help to ensure that local communities andmining regions can benefit in a sustainable mannerfrom extractive industry investments.

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Box 2.2. Survey of Key Actors in the Development Process

The work by Hoadley, Limpitlaw, and Sheehy identifies actors who are key to the development processes andrelationships occurring at the local level. Their work found that virtually all actors suffer from a lack ofappropriate skill sets or that skill sets available within a region are underutilized or not used because of a lack ofknowledge of other resources present or reluctance to involve “unknowns.” The results of the survey aresummarized below.

• Development agencies: NGOs are undercapacitated and reliant on donor funding, and donors often demandthat development projects are undertaken in terms of their own objectives and perceptions of priorities.Historically, NGOs have not had a good relationship with government, but are well regarded within thecommunities. In the communities surveyed for this report, NGOs generally had little or no contact with miningcompanies, with the exception of those working in the HIV/AIDS sector. NGOs in the region are traditionallyhostile to mining companies, and their view is that mining activities only have negative impacts on communities.However, interviewees from this group indicated that they wanted to be involved in development projects and hadskills and capacity that they could contribute to partnerships.

• Local governments: They are under-resourced and lack capacity. Local government does not take the lead incommunity development initiatives, even though this should be one of its key functions. Generally, other roleplayers commented that local government was inefficient and ineffective. Some local councils in the copperbelt,although similarly undercapacitated, were reported to be cooperative as far as their limited resources allowedthem to be (D. Sonnenberg, pers. comm., 2003). Reports about the relationship between local government andtraditional leaders varied, but, in the areas covered by the research team, the two structures seem to havereached a modus vivendi.

• Local Community representatives: In periurban communities, community representatives are generally noteasily identifiable, and communities tend to rely on development agencies, companies, and local government forinformation and leadership. Local community representatives are easier to identify in the rural areas and aremore confident. They feel that communities have negotiating skills and, in a few instances, can identify andprioritize their own needs. However, the other skills necessary for full participation in development projects arelacking.

• Local mining operations staff: Many interviewees expressed uncertainty about their approaches tocommunity development, and some admitted that these are not working properly and that new guidelines arebeing developed. Even those who are conducting engagement in a carefully managed and structured wayrequested feedback on possible gaps in their programs.

• Church organizations: These were, almost without exception, not involved directly in development projects.They are highly valued in the communities for their spiritual leadership, but appear to lack capacity to take agreater development project role. They were identified by several interviewees as good resources for thedissemination of information to the community as well as good sources of information about the community.

• Service and mentorship providers to the community: Interviewees were in agreement that applicants forassistance who approached them lack business management, financial management, project management, andmarketing and technical skills. In addition, they stressed that the majority of applicants were not able to writeacceptable business plans and that a culture of entrepreneurship needed to be cultivated. A service provider inLimpopo Province stated that the vast majority of the agency’s clients (98 percent) are women, and a Gautengorganization noted that the success rate for enterprises started by women is much higher than for those startedby men.

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3 GOVERNMENT TOOLS FOR SECTOR SUSTAINABILITY

Sustainability in the mineral sector includes thepromotion of extractive industries activity, the creation ofconditions that are conducive to its growth andsustainability over the long term, and the conversion ofnonrenewable and depleting natural resource capitalinto sustainable human, social, and financial capital.Therefore, an analysis was undertaken of the constraintsto, and opportunities for, social and economicdevelopment in mining regions as provided by existingmineral policies and mining laws in five southernAfrican countries.

This work indicates that overarching policy and legalinstruments can become tools for enhancing thecontribution of the mining sector to sustainabledevelopment. The method and results of this analysisare summarized below and are available in full on theaccompanying CD-ROM.

Method

World Bank staff analyzed five countries: Botswana,Namibia, South Africa, Tanzania, and Zimbabwe. The keycomponents of overarching policies and laws used toadminister and regulate the minerals sector wereidentified. The strength of a policy or law was thenestimated by assessing the key components and lookingfor gaps that might make roles and responsibilities ofgovernment, companies, and communities less welldefined.

The full evaluation tableau is comprehensive, havingmore than 30 key components for mineral policy and 40key components for mining law. Added to that are morethan 15 key components for general administration ofthe law, including references to other pieces of essentiallegislation and regulations.

Recognizing that each component is itself a compoundmeasure, more than 100 elements in total were used toevaluate the overarching instruments of the five nationswithin this study. The full evaluation tableau withdetailed descriptions for each component is included inAnnex 1.

Results

The major mineral producing nations of the region allrecognize the importance of sustainable development(figure 3.1). Some have explicit policy statementsregarding the sustainable development challenges facedby communities and regions affected by mining relatedactivities and operations. Most governments’ responsesto such challenges have focused on specific needs, suchas infrastructure and public services, or have beenreactive to particular situations demanding urgentattention (for example, imminent mine closures).However, in light of recent changes in South Africa,many of the countries in the region have begun to re-think their own benefit sharing frameworks. Botswanais renegotiating equity share distributions with DeBeersfor all joint venture operations. Both Namibia andZimbabwe have recently indicated their interest inadapting elements of the South African approach tomining sector regulation on social issues to their ownsituations.

Of all the countries, South Africa has been the mostexplicit in articulating policies and targets relating tosocial and community development (see box 3.1). Thegovernment has over the past few years set in place thepieces of a legal and regulatory framework for themining sector that aims to promote employment andadvance the social and economic welfare of all SouthAfricans, while “ensuring economic growth and socio-economic development.”v

This framework includes the Mining and PetroleumResources Act of 2002, the Mineral and PetroleumResources Development Regulations (April 2004),vi andthe Mining Charter (subtitled, Broad Based Socio-Economic Empowerment Charter for the South African Mining Industry, February 2005).vii

The achievement of the objectives of the charter aremonitored and evaluated on the basis of a scorecard,which is also used by the government to determinewhether a company has met its socioeconomicobligations under which its mining right was granted.

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This framework is supported by other legislative andregulatory provisions relating among other things toprocurement of services, employment equity, and skillsdevelopment and training, and linked to variousinstruments created to promote social and economicgrowth and development at the local and regional level(for example, the integrated development planningprocess). The government is also working on aBeneficiation Bill, which will promote the developmentof downstream value adding and processing activities,and has created a Directorate for Social Developmentwithin the Department of Minerals and Energy.

0% 10%

Figure 3.1: Mining Sector Policy and Legal Framework Level of Addressing Sustainable Development

Botswana

South Africa

Namibia

Tanzania

Zimbabwe

Source: World Bank staff estimates

20% 30% 40% 50% 60%

Mining Policy (%)

Mining Law (%)

70% 80%

Other relevant legislation (%)

Percentage Coverage

Beyond the right policies and implementing rules andregulations, a key issue for all of the countries is thelack of capacity and resources to effectively implementpolicies and programs. Mining regions and thecommunities affected by mining activities are nottypically seen as high stress situations requiring specialattention or targeted measures. In Tanzania, the miningregion is regarded as a privileged area, where localcommunities benefit in significant ways from theinfrastructure and jobs that accompany mineraldevelopment. In Botswana and to some extent Namibia,the “mining affected communities” is not an issue perse; that is, “mining” towns exist, but because of thedependence of the entire country and its smallpopulation on the mineral economy, the mining affected“community” is the country as a whole, and situationsaround site-specific mining operations, which requireattention, are dealt with on a case by case basis.

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Box 3.1. Social Responsibility Requirements of South African Mining Legislature

South Africa’s Mining and Petroleum Resources Development Act of 2002 recognizes the need of the government“to promote local and rural development and the social uplifting of communities affected by mining.” Oneobjective is to “ensure that holders of mining and production rights contribute towards the socio-economicdevelopment of the areas in which they are operating.”

A Mining Charter for broad based socioeconomic empowerment within the mining sector was mandated by theAct. Its covenants aim to:

• Redress the results of past or present discrimination based on race, gender, or other disability of historicallydisadvantaged persons in the minerals and petroleum industry, related industries, and in the value chain of suchindustries.

• Transform the industry in order that it may allow and provide for greater ownership participation; greatermanagement control or participation; participation in procurement processes and the development of technicaland managerial skills with the historically disadvantaged populations of South Africans; and the integratedsocioeconomic development of host communities, major labor sending areas, and of populated areas underthreat of decline and abandonment as a result of past or current mining activities.

Section 4.4 of the charter refers specifically to the responsibility of all stakeholders, including the government, tocooperate in the “formulation of integrated development plans for communities where mining takes place and formajor labor sending areas….”

The South Africa scorecard reflects progress on achieving the charter’s objectives relating to human resourcedevelopment, employment equity, treatment of migrant labor, mine community and rural development, housingand living conditions of employees, procurement processes, ownership and equity participation targets, valueaddition and upstream processing of minerals, and reporting requirements. In the case of mine community andrural development, the scorecard poses the following questions:

• Has the company cooperated in the formulation of integrated development plans, and is the companycooperating with government in the implementation of these plans for communities where mining takes placeand for major labor sending areas?

• Has there been effort on the side of the company to engage the local mine community and major laborsending area communities? (Companies will be required to cite a pattern of consultation, indicate moneyexpenditures, and show a plan.)

These social and labor plans are the legal instrument that the government uses to ensure that holders of miningor production rights contribute to the socioeconomic development of the areas in which they are operating aswell as the areas from which the workforce is sourced. They must make explicit the approaches to humanresource development (workforce skills development, including attachment and training, career progression, andachieving employment equity targets) and local economic development (enterprise and infrastructuredevelopment, workforce housing and living conditions, and procurement progression). The plans must be alignedwith the integrated development plan of the district municipality where the mine is located and of the major laborsending areas, and the management of down-scaling and closure of mining operations and retrenchment of theworkforce and its socioeconomic impacts on individuals, communities, and local and regional economies. Thecompany must also indicate its commitment of financial resources to implement the plans.

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Within the southern Africa region, an issue of paramountpolitical, social, and economic concern is the closure ofmines where reserves have been exhausted or whereoperation has become uneconomic. Virtually all of thecountries in the region are struggling with mine closureand post-mine closure situations, for which appropriatemitigation provisions and measures have not beenplanned or adequately prepared. In many cases, wholetownships have grown up around the older mines andtheir future hangs in the balance.

National governments are committed to maintainingthese population centers, their physical infrastructure aswell as social services, because there is no practicalalternative. In some situations, community life is beingsustained through direct government subsidies (forexample, the Zambian copperbelt) or through additionalimpositions on an already marginal or failing miningoperation (for example, Wankie in Zimbabwe). In a fewcases governments have invested in trying to establishalternative commercial and industrial activities that haveto potential to be self-sustaining (for example, at SelebiPhikwe, Botswana, and at Tsumeb town, Namibia), andhave also converted mining towns into independent localgovernment authorities in order to create a legal andadministrative framework for continuity of servicesprovision and promotion of new nonmining businesses.

The Zimbabwe government has indicated its intent tominimize the risks of additional mine closures and eventake measures to promote the reopening of suspendedand closed operations through fiscal incentives anddirect subsidies, respectively. The Namibian governmenthas managed to turn over to a public-private operationwhich has been able to reopen the operation. Even inSouth Africa, which has been embedding planning forclosure and job loss into its new mining regulations (thatis, the social and labor plan), the government and theNational Union of Mineworkers recently agreed to revivea special committee (the Sector Partnership Committee)to develop short- and long-term approaches for dealingwith continuing job loss in the mining industry. AtRietspruit in South Africa the mining company hasworked with the local community and a local NGO in acollaborative process to help the community prepare forpost-closure (see box 3.2).

It is partly in response to the shifting dynamics ofextractive activity and the mature nature of much of themining sector that countries like Botswana, Namibia,and Zimbabwe have begun to review their own approachto dealing with benefit sharing and communitydevelopment issues.

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Box 3.2. Rietspruit: Planning for Post-Closure Sustainability

An integrated plan for community self-reliance is helping local people develop alternative economic opportunitiesfollowing closure of Rietspruit Mining Services’ operations in May 2002.

The plan was developed in partnership between RMS (part of BHP Billiton’s Ingwe Coal Group), the community-based Rietspruit Community Development Forum, and the NGO Sustainable Villages Africa (SVA). The plan isbased on a comprehensive assessment of local resources, skills, and capacities.

The plan envisages two phases: (a) quick-win projects designed to secure community participation and assistwith the immediate loss of incomes locally and (b) a number of medium- and long-term projects.

The quick-win projects include initiatives in areas such as home gardens, hydroponics, meat processing, small-scale farming, textiles, and basket manufacture. There are also opportunities to outsource a number of municipalservices, such as blocked drains, to community members. These projects largely draw on existing skills withinthe community, both those acquired in the mines and indigenous skills. Where gaps are identified (for example,in business, personal finance, and technical skills) SVA uses the experiential method of teaching to transfer skillsto community members.

These quick-win projects have achieved their aim of generating community participation and livelihoods. Theyare likely to be sustainable in the long-term and provide much of the skills and experience needed for the biggerprojects envisaged by the Development Forum. Profits from the projects are being put into a fund for further jobcreation and project development which is under the control of a trust representing the community, the company,the local council, SVA, and other stakeholders.

The last phase of the project is now under way, and five large projects (R1 million and more) will begin as soonas funding has been secured. These will provide 200 jobs in the formal sector, estimated monthly revenues forthe community of R200,000, and opportunities to develop more sophisticated skills in financial management,business management and marketing.

Lessons learned include:• Comprehensive knowledge of resources and skills available in the community means communities can

participate instead of being passive recipients of development initiatives, and this knowledge promotes sustainability.

• Proactive socioeconomic planning gives the community a breathing space between closure and the establishment of alternative economic activities.

• A quick response to critical or potentially critical situations can prevent these situations from developing into entrenched attitudes and practices.

• Strong and visionary partnerships motivate the community, build trust, and ensure projects reflect communityconcerns, aspirations, and capacity.

• Quick-win projects lessen the risk of passivity and of survival strategies such as theft, violent crime, and prostitution. They also increase the skills pool that larger projects can draw up.

Source: M.Hoadley, D. Limpitlaw, and B. Sheehy. “Background Paper and Guidelines for Enhancing Skills and Resources for Participation andSustainability.” Included on the CD-ROM.

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4 BIBLIOGRAPHY

General Resources

AusAID: Logical Framework Approach, 2003

The Logical Framework approach (or “logframe”) consists of a set of analytical tools that support problem analysis,preparation of a logical hierarchy of project/activity objectives, identification of important assumptions and risks, andspecification of monitoring and evaluation instruments. The logframe was developed in the 1970s and is today usedas an aid to thinking and a planning and management tool by a large number of development assistance agenciesand has widespread and flexible application. It can be used throughout the activity management cycle in identifyingand assessing activities that fit within the scope of country programs, preparing the project design in a systematicand logical way, appraising project designs, implementing approved projects, and monitoring and evaluating projectprogress and performance. A logframe is best started early in the activity cycle, but the same analytical tools can beused to help review and restructure ongoing projects that have not previously been designed using logframeprinciples. The logframe involves problem analysis, stakeholder analysis, developing a hierarchy of objectives, andselecting a preferred implementation strategy. The outputs of these processes are then used to form a matrix, theheart of which is the logframe. The matrix summarizes what the project intends to do and how, what the keyassumptions are, and how outputs and outcomes will be monitored and evaluated. The logframe can be used byproject managers and community development practitioners as an adaptable and highly functional strategicplanning/management framework for any complex field-based development program or activity.

www.ausaid.gov.au/ausguide/ausguidelines/ausguidelines-1.pdf

Burdge, Rabel J. A Community Guide to Social Impact Assessment, Rev. Ed. Middleton, WI: Social Ecology Press, 2004

This Guide is a tool for practitioners at all levels – social scientists, agency employees, community leaders,volunteers – to complete social impact assessments (SIAs) efficiently and effectively. It is a how-to manual thatprovides the users with a step-by-step process easily followed by persons with minimal social science training.

www.dog-eared.com/socialecologypress/

CARE International: Community Resources Management Guidelines, 2002

These guidelines aim to pass on field experience and the lessons learned from CARE Zimbabwe’s rural developmentinitiatives over the past six years. They have been developed as a practical reference tool for implementation ofCARE’s Small Dams and Community Resources Management Program. The content and processes included in theguidelines detail the theory and necessary steps for successful implementation and post-project community-basedmanagement. The guidelines have been prepared as a resource kit for use by program and field staff inimplementation. The document has been designed in a program-specific context to be supported withcomplementary manuals. In particular, it is used in conjunction with CARE Zimbabwe’s Community ResourcesTraining Manual.

www.careinternational.org.uk/resource_centre/livelihoods/comm_resources_management_guidelines_zimbabwe.pdf


http://www.dog-eared.com/socialecologypress

http://www.careinternational.org.uk/resource_centre/livelihoods/comm_resources_management_guidelines_zimbabwe.pdf

Consultative Forum on Mining and Environment: Public Participation Guidelines for Stakeholdersin the Mining Industry, 2002

The Consultative Forum on Mining and the Environment was established and a task team was appointed tocoordinate the activities of the forum. The task team identified the need for a guide for public participation andinitiated the process for developing these guidelines. These guidelines were developed between December 2001 andMay 2002 in which representatives of the mining industry, community-based organizations, NGOs, and laborparticipated. The guidelines were enriched by the views of the people who participated. The guidelines aim to provideguidance to stakeholders in the mining industry on how to extract the greatest benefit from public participation. Inparticular, the document provides guidance on the scale and extent of public participation for different types ofprojects, from short-duration and inexpensive processes to long, complex, and costly processes. The guidelines arefully intended for stakeholders to use and implement actively and to be distributed widely, including to the neighborsof mining companies and other stakeholders.

www.goodpracticemining.org/documents/jon/CMSA-PPGuide.pdf

CorCom: Mechanisms for OVO and NGO Collaboration: The Development Community’sExperience (Prepared by Shirley Buzzard and Anna Kathryn Webb for the Office of Private andVoluntary Cooperation, Bureau for Democracy, Conflict, and Humanitarian Assistance, U.S.Agency for International Development), 2004

Academic report on brokering and facilitating partnerships and strategic alliances between business and not-for-profits in development.

www.corcom.org/Publications/PVO-NGO-Report.pdf

DFID and IDS: Sustainable Livelihoods Program, Livelihoods Connect: Sustainable LivelihoodsToolbox, 2002

Part of the Sustainable Livelihoods joint initiative of the U.K. Department for International Development (DFID) andthe Institute for Development Studies (IDS) (Sussex University), Livelihoods Connect is a Web-based resource,providing a directory of tools to help practitioners in using sustainable livelihoods approaches at different stages ofthe project cycle. It includes Policy Institutions and Processes (power, policy, and institutional analysis), ProgramIdentification and Design (Participation Farm Analysis, Quantitative and Qualitative Survey Methods, Social CapitalQuestionnaire, FAO Participatory Field Tools, Gender Analysis), Planning New Projects (Logical Framework,Livelihoods System Approach), Reviewing Activities (Output to Purpose Review/Monitoring), Monitoring andEvaluation (Grassroots Development Framework, Best Practice in Participatory Monitoring and Evaluation, LivelihoodMonitoring and Evaluation Tool), Ways of Working (Facilitating, Appreciative Inquiry, Care Partnerships Field Guide),Training Support.

www.livelihoods.org/info/info_toolbox.html

DFID: Tools for Development: A Handbook for Those Engaged in Development Activity, 2002

Initially aimed at DFID staff, this comprehensive handbook of practical skills, tools, and techniques is designed toassist development practitioners in the successful delivery of a broad range of different development activities andinterventions. The handbook gives step-by-step guidance by introducing the thinking behind each tool, describing andexplaining its application in the field, and providing illustrative examples in order to guide the practitioner in using iteffectively. The skills/tools are presented in an order that mirrors the life cycle of activity associated withdevelopment initiatives, from initial identification and problem analysis through implementation to evaluation andmonitoring. The techniques it covers are Stakeholder Analysis; Problem and Situational Analysis; Visioning; LogicalFrameworks; Risk Management; Participatory Methodologies; Team Working; Influencing and Negotiating; BuildingPartnerships; Conflict Reduction; Monitoring, Reviewing, and Evaluating; Facilitation Skills; and Training andManagement Resources. The handbook also examines the relationship between Sustainable Livelihood approachesand country-level development strategies such as the Comprehensive Development Framework, Poverty ReductionStrategy Papers, and National Strategies for Sustainable Development, and compares the approaches.

www.dfid.gov.uk/pubs/files/toolsfordevelopment.pdf

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http://www.corcom.org/Publications/PVO-NGO-Report.pdf

http://www.livelihoods.org/info/info_toolbox.html


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UNEP and ICMM: Good Practice in Emergency Preparedness and Response, 2005

This report addresses operating sites and their preparations, particularly in respect of their neighbors, for possibleemergencies. The involvement of local people in the development of an emergency plan was identified in aquestionnaire as a key gap in many companies, and the report seeks to address it. Chapter 2 presents the ten stepsof UNEP’s Awareness and Preparedness for Emergencies at Local Level (APELL) process and other elements of abest practice emergency plan. It covers everything from identifying who does what in an emergency to training andproper liaison with the local community. This is followed by and linked to a series of case studies (Chapter 3)gathered from across the industry that illustrate some of the principles involved and how they might be betterapplied. Appendices provide key reference materials.

www.icmm.com/project.php?rcd=26

ICMM/DFID/UNEP/UNCTAD: Good Practice Sustainable Development in the Mining and Metals Sector

The Good Practice Web site has been jointly developed by the International Council on Mining and Metals (ICMM),United Nations Committee on Trade and Development (UNCTAD), United Nations Environment Programme (UNEP),and the UK Department for International Development (DFID) and is designed to provide access to a library of goodpractice guidelines, standards, case studies, legislation, and other relevant material that are leading examples oftheir kind globally. It is a Web-based directory of up-to-date mining good practice resources, from practical field toolsfor the impact assessment or community development practitioner to academic discussion papers and best practiceworkshop reports for the strategic planning or corporate social responsibility/sustainability manager of a miningcompany. It can be searched using key words or by theme in order to tailor findings to specific issues or concerns. Itgives titles and authors as well as direct Web links to each resource, but does not provide abstracts or comment onreliability or usefulness.

www.goodpracticemining.org/

ICMM: Mining and Indigenous Peoples Issues Review, 2005

While industry, Indigenous Peoples, governments and other stakeholders all have a role to play in ensuringsustainable communities, ICMM has recognised the need to facilitate more meaningful industry engagement withIndigenous Peoples. As a result, in 2004, Jo Render was commissioned to carry out an independent review of theissues surrounding Indigenous Peoples and mining and metals operations.

www.icmm.com/publications/763IPReport.pdf

IFC Environment Division: Investing in People: Sustaining Communities Through ImprovedBusiness Practice. A Community Development Resource Guide for Companies, 2000

This aims to serve as a resource guide to help International Finance Corporation (IFC) clients and other companiesestablish effective community development programs for communities located near or affected by their operations.The guide lays out general principles and methods, describes good practice, and points readers to other resources todevelop an appropriate community development program. The guide uses examples from sectors that have largelocal and regional social, community, and environmental impacts. The guide takes the reader through topics such asthe business case for community development, defining community, defining community development programareas, linking core business activities with community development (maximizing local employment and localsubcontracting), partnerships for local development (key principles, building capacity, and coordinating withstakeholders), options for program structure, and participation and sustainability. A case study, Escondida: CreatingFoundations for Sustainable Mining, explores the Escondida Mining Company in Chile.

www.ifc.org/ifcext/enviro.nsf/Content/Publications

IFC Environment Division: Doing Better Business Through Effective Public Consultation andDisclosure: A Good Practice Manual, 1998

The primary function of this manual is to provide good practice guidance to private sector project sponsors ondisclosing information and consulting with the public with the aim of building not only financially successful projectsbut environmentally and social responsible ones as well. The manual begins by answering what public consultation isand why public consultation and disclosure make good business sense. The manual also includes actions formanaging public consultation, management principles for disclosure of project information, and a series of guidancenotes to help the reader through the entire process.


http://www.icmm.com/project.php?rcd=26

http://www.goodpracticemining.org

http://www.icmm.com/publications/763IPReport.pdf



IFC Environment and Social Development Department: Good Practice Notes: Addressing theSocial Dimensions of Private Sector Projects, 2003

A practitioner’s guide to undertaking social impact assessment at the project level for IFC-financed projects. This hasbeen written by IFC social development specialists based on years of private sector experience across industrysectors and regions. It covers issues from scoping and baseline data collection to impact analysis, mitigation, andmonitoring of social impacts. Social assessment is presented as both an integral part of IFC's environmentalassessment process and as a tool for identifying value-adding opportunities that go beyond traditional mitigationmeasures to promote sustainable development on a broader scale.


More good practice publications can be found at:www.ifc.org/ifcext/enviro.nsf/Content/Publications#Social

IFC: HIV/AIDS Resource Guide for the Mining Sector, 2004

This HIV/AIDS Resource Guide for the mining sector is a resource for developing stakeholder competency in miningcommunities in southern Africa. The Guide contains 23 interventions that collectively comprise a comprehensiveworkplace response. There is an overall framework consisting of management strategies, the workplace programand outreach interventions, as well as a roadmap for achieving a ‘blue-chip’ HIV/AIDS response and a template forcustomizing the Guide.

www.ifc.org/ifcext/aids.nsf/Content/Publications

IFC: Operational Directives: Safeguard Policies: Involuntary Resettlement

Directive OD 4.30 describes IFC policy and procedures on involuntary resettlement, as well as the conditions thatborrowers are expected to meet in operations involving involuntary resettlement. Planning and financingresettlement components as well as community development programs are an integral part of preparation forprojects that cause involuntary displacement. At the time of publication of the Toolkit, the IFC was updating itsSafeguard Policies, including OD 4.30.

ifcln1.ifc.org/ifcext/enviro.nsf/AttachmentsByTitle/pol_Resettlement/$FILE/OD430_InvoluntaryResettlement.pdf orwww.ifc.org

IFC: Operational Directives: Safeguard Polices: Indigenous Peoples

Directive OD 4.20 describes IFC policy and procedures for projects that affect Indigenous Peoples. There is policyguidance to ensure that Indigenous Peoples benefit from development projects to avoid or mitigate potentiallyadverse effects on Indigenous Peoples and special action required when certain groups are affected. At the time ofpublication of the Toolkit, the IFC was updating its Safeguard Policies, including OD 4.20.

ifcln1.ifc.org/ifcext/enviro.nsf/AttachmentsByTitle/pol_IndigPeoples/$FILE/OD420_IndigenousPeoples.pdf or www.ifc.org

World Bank: Operational Policy (OP) 4.10 Indigenous Peoples and Bank Procedures (BP) 4.10,Indigenous Peoples (July 2005)

For all projects that are proposed for World Bank financing and affect Indigenous Peoples, the World Bank requiresthe borrower to engage in a process of free, prior, and informed consultation. The policy and procedures regardingWorld Bank projects that affect Indigenous Peoples are inter alia designed to ensure that the Indigenous Peoplesreceive social and economic benefits that are culturally appropriate and gender and intergenerationally inclusive.

web.worldbank.org/WBSITE/EXTERNAL/TOPICS/EXTSOCIALDEVELOPMENT/EXTINDPEOPLE/O,,menuPK:407808~pagePK:149018~piPK:149093~theSitePK:407802,00.html

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http://www.ifc.org/ifcext/enviro.nsf/Content/Publications#Social

http://www.ifc.org/ifcext/aids.nsf/Content/Publications

http://www.ifc.org

http://www.ifc.org

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World Bank: Operational Policy (OP) 4.12, Involuntary Resettlement (April 2004) and BankProcedures (BP) 4.12, Involuntary Resettlement (December 2001)

World Bank experience indicates that involuntary resettlement under development projects, if unmitigated, oftengives rise to severe economic, social, and environmental risks: production systems are dismantled; people faceimpoverishment when their productive assets or income sources are lost; people are relocated to environmentswhere their productive skills may be less applicable and the competition for resources greater; communityinstitutions and social networks are weakened; kin groups are dispersed; and cultural identity, traditional authority,and the potential for mutual help are diminished or lost. The World Bank’s policy includes safeguards to address andmitigate these impoverishment risks.

web.worldbank.org/WBSITE/EXTERNAL/TOPICS/EXTSOCIALDEVELOPMENT/EXTINVRES/O,,contentMDK:20486717~menuPK:1242266~pagePK:148956~piPK:216618~theSitePK:410235,00.html

OGP and IPIECA: “Key Questions in Managing Social Issues in Oil and Gas Projects”, 2002

This document, prepared by the International Association of Oil and Gas Producers (OGP) and the InternationalPetroleum Industry Environmental Conservation Association (IPIECA) is not a guidance document nor a template forSocial Impact Assessment. It provides typical questions relating to the management of social issues in oil and gasprojects. The 10 lists of questions provide a tool to help with social planning issues. Background for the list ofquestions, which cover the social planning and management issues during all stages of a project life cycle fromcountry-entry through decommissioning, are provided. Also included are additional reference materials andinformation for the practitioner.

www.ogp.org.uk/pubs/332.pdf

Environment Australia and UNEP: Best Practice Environmental Management in Mining Series,2002

The series of booklets providing personnel responsible for environmental issues with the information needed toachieve good environmental performance, minimize conflicts with other land users, maintain ecological values insurrounding areas, and restore or enhance the land use capability of the areas affected by their activities. They coverplanning, monitoring, management systems, and technical issues. Members of stakeholder representative groups,regulatory authorities, and students of mining and environment subjects will also find the booklets a valuableresource to improve environmental awareness, understanding of various principles and technologies, and thecapacities of leading practitioners to significantly reduce the level of environmental impact from mining. All thebooklets include illustrated case studies that demonstrate the application of a wide range of best practice techniquesto address different environmental issues across many different mine type, commodity, geographic, andenvironmental settings. The booklets offer references for further information, and some contain short guides on thesteps to be taken to achieve best practice on the specialized topic. Some of the most relevant booklets are “Checklistfor Sustainable Minerals,” “Community Consultation and Involvement,” “Best Practice Environmental Management inMining,” “Environmental Impact Assessment,” and “Overview of Best Practice Environmental Management.”

www.natural-resources.org/minerals/CD/ea_overv.htm

IIED: MMSD Workshop: Managing Mineral Wealth Workshop Report: How Can the Minerals SectorSupport the Development of Mineral Economies and Contribute to Building SustainableCommunities, Especially in the Poorest Countries?, 2001

The aim of this Mining, Minerals, and Sustainable Development (MMSD) Workshop (August 15–17, 2001) was tofacilitate discussion among diverse stakeholders of the critical issues surrounding the contribution of the mineralssector to economic development. The objectives were to understand the range of perspectives and issues related tohow the mining and minerals sector can support the development of mineral economies and contribute to buildingsustainable communities, especially in the poorest countries; to identify existing initiatives at policy level and inpractice and policy options; and to identify further research, information needs, and follow-up activities. Specifictopics discussed included the management and distribution of mineral revenue; contributing to building sustainablecommunities; community participation in decision making; roles, capacity building, and institutional strengthening;and development of community-based organizations. These topics are discussed through the use of case studiesfrom various countries throughout the world. The roles of the various stakeholders are also explicitly discussed.Finally, a study of management and distribution of revenue in Papua New Guinea by an outside consultant isprovided.

www.iied.org/mmsd/mmsd_pdfs/mmw_workshop_report.pdf

http://www.ogp.org.uk/pubs/332.pdf

http://www.natural-resources.org/minerals/CD/ea_overv.htm

http://www.iied.org/mmsd/mmsd_pdfs/mmw_workshop_report.pdf

BPD: Seven Training Modules for Managing Social Issues in the Extractive Industries Through theTri-Sectoral Partnership Approach

The Natural Resources Cluster of Business Partners for Development (BPD) developed a comprehensive set ofpractical training modules to create awareness for a tri-sectoral partnership approach to the management of socialissues in the extractive industries. The modules build capacity and skills to navigate the complex task of exploring,building and maintaining this new type of partnership.

www.bpd-naturalresources.org/html/tools_train.html

BPD: Putting Partnerships to Work: Strategic Alliances for Development Between Government,the Private Sector, and Civil Society (Edited by Michael Warner and Rory Sullivan), 2004

The purpose of this book is to contribute to the understanding of partnerships— specifically, of three-way (tri-sector)partnerships combining partners drawn from government, civil society, and the business sector—and of the way inwhich partnerships can contribute to poverty alleviation and development. The focus is on the oil, gas, and miningindustries because these sectors have tended to be the primary drivers of foreign direct investment in developingcountries. The material presented is based on the BPD program that ran from 1998 to 2002 and studied theexperience of specific natural resource operations around the world. Its purpose was to assess how partnershipsinvolving companies, government authorities, and civil-society organizations could be an effective means of reducingsocial risks and of promoting community and regional development.

www.greenleaf-publishing.com/catalogue/partners.htm

Rietbergen-McCracken, J. and Deepa Narayan: Participation and Social Assessment: Tools andTechniques. Washington, DC: IBRD/World Bank, 1998

This report comprises a resource kit that presents information and experiences on participatory methods in order tosupport the adoption of participatory approaches in World Bank-supported projects and studies. These materialsprovide core information about the different methods and applications, with the primary focus on providing practicalguidance and case examples. The modules presented are on the following topics: social assessment, stakeholderanalysis, participatory methodologies, and participatory monitoring and evaluation. The modules include foursections: an overview; a sample of trademark techniques and tools with brief guidelines for their use and shortexamples of their applications in the field; case studies of four or five countries to show the process and techniquesinvolved, the difficulties and limitations encountered, and the outputs and impacts where the methodology has beenapplied; and suggestions for seminars.

www-wds.worldbank.org/servlet/WDS_IBank_Servlet?pcont=details&eid=000009265_3980624143608

Social Impact: Impact Notes

Social Impact is a values-based management consulting and training firm dedicated to increasing developmenteffectiveness. Their work involves improving the capacities of organizations to become more effective agents of socialand economic change through implementing best practices in participatory program management and organizationalchange. They have produced a set of impact notes to describe and explain their work and provide practical tips forpractitioners in the fields of socioeconomic development and project management.

www.socialimpact.com/resource-center/impact-notes.html

SustainAbility and IFC: Developing Value – The business case for sustainability in emergingmarkets, 2002

The first large-scale study analyzing the business case for sustainability in emerging markets. Developing Value: TheBusiness Case for Sustainability in Emerging Markets aims to help business managers understand the opportunities,risks and bottom line implications of sustainability strategies. It includes analysis of over 240 company examplesfrom Africa, Asia, Latin America and Central and Eastern Europe, examples of higher sales, reduced costs and lowerrisks from better corporate governance, improved environmental practices, and investments in social and economicdevelopment.

www.ifc.org/ifcext/sustainability.nsf/Content/DevelopingValue

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http://www.bpd-naturalresources.org/html/tools_train.html

http://www.greenleaf-publishing.com/catalogue/partners.htm


http://www.ifc.org/ifcext/sustainability.nsf/Content/DevelopingValue

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USAID: Intersectoral Partnerships (Partnering for Results)

Intersectoral partnering is the process of creating joint inter-organizational initiatives across two or three sectors.This strategy generates sustainable solutions to development challenges by combining the distinct interests andresources of different actors in business, government, and civil society. This U.S. Agency for InternationalDevelopment (USAID) users guide to intersectoral partnerships (ISPs) introduces ISPs, highlighting what form theytake, what function they fulfill, and their value as a development strategy. It gives illustrated examples of ISPs inaction, showing the benefits and challenges for users of employing ISPs in different development contexts.

www.usaid.gov/pubs/isp/

Voluntary Principles on Security and Human Rights

The participants of this principles initiative recognize the importance of the promotion and protection of human rightsthroughout the world and the constructive role business and civil society—including NGOs, labor and trade unions,and local communities—can play in advancing these goals. Through this dialogue, the participants have developed aset of voluntary principles to guide companies in maintaining the safety and security of their operations within anoperating framework that ensures respect for human rights and fundamental freedoms. Mindful of these goals, theparticipants agree to the importance of continuing this dialogue and keeping under review these principles to ensuretheir continuing relevance and efficacy.

www.voluntaryprinciples.org

World Bank: Community-Driven Development: Key Design Principles for Design andImplementation of Community-Driven Development Programs

Can Community-Driven Development (CDD) be supported on a large scale so that many communities can eachsimultaneously drive investment decisions? The World Bank has identified 10 principles to guide policy formulationand program design and to enhance the effectiveness and sustainability of support to CDD. These principles arelisted and discussed in detail and emerged from an analysis of large-scale CDD programs that received positiveevaluations and from a series of consultations between the World Bank and leading practitioners.

lnweb18.worldbank.org/ESSD/sdvext.nsf/09ByDocName/ProjectPreparationImplementation

World Bank: “Integrating Social Concerns Into Private Sector Decision Making: A Review ofCorporate Practices in the Mining, Oil, and Gas Sectors” (Prepared by Aidan Davy and KathrynMcPhail. 1998. Discussion Paper. Washington, DC.), 1998

This paper contains two separate but intimately linked reports that deal with corporate social responsibility. The firstexplores the critical success factors supporting the integration of social concerns into the planning andimplementation of privately financed projects in the mining, oil, and gas sectors. The primary focus is oncorporations, and a series of recommendations are presented to assist corporations to manage the social aspects oftheir activities. The second reviews corporate practices with respect to social and environmental assessment andmakes specific recommendations on their integration. The publication is aimed at both strategic decision makers(within corporations, governments, and NGOs) and at those with direct responsibility for managing social issues atthe project level.

www.worldbank.org/

World Bank: Participation Sourcebook, 1996

A key resource for community development practitioners, giving both a broad overview of the role of participatorytechniques and approaches throughout the project cycle as well as detailed explanations of how and where thosetechniques have been successfully applied in practice, illustrated with extensive case studies and a glossary of toolsand methods.

www.worldbank.org/wbi/sourcebook/sbpdf.htm

http://www.usaid.gov/pubs/isp

http://www.voluntaryprinciples.org

http://www.worldbank.org


World Bank: Social Analysis Sourcebook: Incorporating Social Dimensions Into World BankOperations, 2003

This sourcebook presents a conceptual framework for social analysis and describes how task teams can incorporateits principles into project design, implementation, and monitoring and evaluation. The sourcebook is not a policystatement and does not prescribe any mandatory requirements. Instead, it provides guidance on good practice toimprove the quality and impact of social analysis by harnessing it to examine the social opportunities, constraints,and likely impacts of Bank-supported operations, based on the lessons learned during 1997–2002. The sourcebookdescribes a systematic approach that places social analysis in the service of poverty reduction by focusing directly onequity and social sustainability to improve social development outcomes. It describes an approach that is open endedin terms of social development outcomes and yet practical. It describes good practice in the application of socialanalysis to Bank-supported operations. It addresses social dimensions through the use of social assessments byclients to inform project design and by social development specialists in project preparation and appraisal. It does notrepresent operational policy and does not describe minimum requirements for Bank-supported projects.

www.worldbank.org/socialanalysissourcebook/

World Bank: Workshops and Conferences on Mining and Community Development, SustainableMining Development, and Women in Mining

Proceedings of the 1997 Quito Conference on Mining and Community are available from the World Bank Oil, Gas, andMining Division. Also available are proceedings of the World Bank-supported Madang, Papua New Guinea,Conference on Mining and Community (1998), Mining and Sustainable Development (2002), and Women in Mining(2003 and 2005). These are available from the Papua New Guinea Department of Mining or from the World Bank Oil,Gas, and Mining Division.

www.worldbank.org/mining

RESOURCES ASSOCIATED WITH SPECIFIC TOOLS

STAKEHOLDER IDENTIFICATION AND ANALYSIS

IIED and WBCSD: “Breaking New Ground – Mining, Minerals and Sustainable Development”, 2002

MMSD was an independent two-year project of research and consultation seeking to understand how the mining andminerals sector can contribute to the global transition to sustainable development. MMSD was a project of theInternational Institute for Environment and Development (IIED) commissioned by the World Business Council forSustainable Development. The Web site contains a wealth of information gathered in the course of the project.

www.iied.org/mmsd/

For resources on stakeholder engagement, see the Working Paper prepared for the Australian section of the project,“Developing New Approaches for Stakeholder Engagement in the Minerals Sector” (prepared by Lynda Harding andCatherine Macdonald).

www.icmm.com/library_pub_detail.php?rcd=90


The DFID handbook provides useful material regarding stakeholder analysis (in section 2), problem and situationalanalysis (in section 3), influencing and negotiating (in section 9), and building partnerships (in section 10).


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http://www.worldbank.org/mining




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Sartorious, R. Social Impact: Training Manuals – Managing the Project Cycle

This set of workshop participants’ notes is based on Social Impact’s high impact training course on Project CycleManagement conducted for thousands of development managers around the globe. The notes synthesize worldwidebest practices in program management offering practical guidance on how to improve performance at each stage ofthe project cycle. The initial sections provide an overview of the project cycle, practical tips on stakeholder analysis,and an overview of several approaches for problem and needs assessment. The section on project design presentsbasic concepts for developing project objectives, practical indicators of project performance, including indicators ofparticipation, and analysis of risk. The section on project implementation includes steps for developing realisticoperational plans, including how to avoid common problems in estimating project schedules and budgets. Additionalsections provide practical tips on monitoring and evaluation, differences in planning projects versus programs,managing for sustainability, and team building. The guide includes a bibliography of practical resources.

www.socialimpact.com/resource-center/training-manuals.html

World Bank: Participation Sourcebook, 1996

Chapter 3 gives detailed guidance and practice pointers on participatory planning and decision making, includingdifferent approaches to identifying and involving stakeholders (such as government and directly affected andindirectly affected groups) and using participatory methods in stakeholder consultation and engagement. Chapter 4provides practice pointers in enabling the poor to participate.

www.worldbank.org/wbi/sourcebook/sbpdf.htm

IFC Environment Division: Investing in People: Sustaining Communities Through ImprovedBusiness Practice. A Community Development Resource Guide for Companies, 2000

Section 2, Defining Community, discusses the need for a company to define and understand the community at alllevels in which it plans to operate in order to assess the impacts its operation will have and who they will affect. Itlooks at information sources and techniques, identifying stakeholders, undertaking social impact assessment,balancing local, regional, national, and international interests, and the need for awareness and inclusion ofvulnerable groups in community development programs. It defines stakeholders and gives guidance on stakeholderidentification and the key process of building a social map of the area through baseline surveys, forming thefoundation of the social and environmental impact assessment.


IFC: Good Practice Notes: Doing Better Business Through Effective Public Consultation andDisclosure, 1998

Contains guidance on how to identify stakeholders and guidance on the 11 actions required for effective consultation,including identification and working with government and NGOs.


INSTITUTIONAL ANALYSIS

International Institutional Rural Reconstruction (IIRR): Participatory Methods in Community-Based Coastal Resource Management, 1998

The sourcebook is a documentation of various tools and methods developed in the course of doing CBCRM aseffectively and efficiently employed by field practitioners in the Philippines, Indonesia, India and other Asiancountries. The main section of the sourcebook is the step-by-step description of various participatory methods fieldtested by the authors and their organizations. A simple outline was devised for most of the topics to include thedefinition, purpose, materials, suggested approach, outputs, strengths, weaknesses and variations. The sourcebookis designed for use by people working directly with coastal communities to help strengthen their capability tomanage, protect and develop their local resources.

www.iirr.org/publicationbdate.htm





http://www.iirr.org/publicationbdate.htm

SOCIAL IMPACT AND OPPORTUNITIES ASSESSMENT

IFC Environment and Social Development Department: Good Practice Note: Addressing the SocialDimensions of Private Sector Projects, 2003

This is a key guidance note for practitioners, which addresses the IFC’s best practice standards and approach tosocial assessment. Sections 1–4 help the user to understand what value can be added to their project by undertakingan assessment of the socioeconomic issues and impacts. Sections 1 and 2 define social assessment and discuss theIFC’s standards and approach to it. Sections 3 and 4 explain the value of socioeconomic assessment and identify thetypes of projects for which it is seen to be a necessary component. Sections 5–7 discuss the key components of SocialImpact Assessment and the processes of scoping and establishing the social baseline. Section 8 discusses theanalysis of the social impacts and the mitigation of adverse impacts. Sections 9–11 discuss the identification ofsustainable development opportunities, preparing the social component of the Environmental and Social Action Plan,and monitoring.


IAIA: Database

A social impact assessment Web-based database by the International Association of Impact Assessment (IAIA) forimpact assessment practitioners, with bibliographical data.

www.iaia.org/Non_Members/SIA%20Database/SIA_interface.asp

IPIECA: Guide to Social Impact Assessment in the Oil and Gas Industry, 2004

A useful industry-based guide, although not metals and mining-focused.

www.ipieca.org/downloads/social/SIA_Document_Final.pdf


Chapter 3 gives guidance on conducting preliminary assessments, preparing for feasibility studies, conductingtechnical and economic feasibility studies, conducting social feasibility studies, and selecting final sites.


DFID: Sustainable Livelihoods Guidance Sheets, 1999

Section 2 provides a schematic framework to aid users in understanding and analyzing the livelihoods of the poor. Itis also useful in assessing the effectiveness of existing efforts to reduce poverty. The guidance notes stress that likeall frameworks this is a simplification and that the full diversity and richness of livelihoods can be understood only byqualitative and participatory analysis at a local level.

www.livelihoods.org/info/guidance_sheets_pdfs/section1.pdf

IFC: Good Practice Notes: Doing Better Business Through Effective Public Consultation andDisclosure, 1998

Contains guidance on how to identify stakeholders in and guidance on the 11 actions required for effectiveconsultation, including identification and working with government and NGOs.


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http://www.iaia.org/Non_Members/SIA%20Database/SIA_interface.asp

http://www.ipieca.org/downloads/social/SIA_Document_Final.pdf


http://www.livelihoods.org/info/guidance_sheets_pdfs/section1.pdf


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UNEP Division of Technology Industry and Economics: EIA Training Resource Manual (2nd Edition):Topic 13: Social Impact Assessment, 2002

This manual is a tool for trainers, designed to assist them in preparing and delivering training courses that provide anunderstanding of, and basic capability in, the application of Environmental Impact Assessment (EIA). The manual isdesigned to assist trainers to identify local EIA needs and priorities and to custom design training courses to meetthese needs. The objective of section 13 of the resource manual is to help the reader develop an understanding of therole and scope of Social Impact Assessment (SIA) in relation to the EIA process; the types of social impacts that canresult from development proposals; and the principles, procedure, and methods that are used to assess and mitigatesocial impacts. Also provided are discussion themes, group activities, SIA tools and methods that are useful inevaluating local project needs.

www.iaia.org/Non_Members/EIA/contents.asp

World Bank: Social Analysis Sourcebook: Incorporating Social Dimensions Into World BankOperations, 2003

A conceptual framework for social analysis and describes how task teams can incorporate its principles into projectdesign, implementation, and monitoring and evaluation. It is not a policy statement and does not prescribe anymandatory requirements. Instead, it provides guidance on good practice to improve the quality and impact of socialanalysis by harnessing it to examine the social opportunities, constraints, and likely impacts of Bank-supportedoperations, based on the lessons learned during 1997–2002. It describes a systematic approach that places socialanalysis in the service of poverty reduction by focusing directly on equity and social sustainability to improve socialdevelopment outcomes. It describes an approach that is open ended in terms of social development outcomes andyet practical.

www.worldbank.org/socialanalysissourcebook/

COMPETENCIES ASSESSMENT


The DFID handbook provides useful material regarding teamworking (in section 8), building partnerships (in section10), facilitation skills (in annex1), and training and management resources (in annex 2).



http://www.iaia.org/Non_Members/EIA/contents.asp



CONSULTATION MATRIX


Section 4 includes guidance on introducing the community to the program, identifying community priorities andplans, establishing a local Technical Advisory Committee, developing management structures, and selectingcommittees and community mobilizers.


Consultative Forum on Mining and Environment: Public Participation Guidelines for Stakeholdersin the Mining Industry, 2002

This aims to provide guidance to stakeholders in the mining industry on how to extract the greatest benefit frompublic participation. In particular, it provides guidance on the scale and extent of public participation for differenttypes of projects, from short-duration, inexpensive processes through to long, complex, and costly processes. Theguidelines are fully intended for stakeholders to use and implement actively and to distribute widely, including to theneighbors of mining companies and other stakeholders. The guidelines define stakeholders, the environment, andthe impact assessment process; discuss the benefits of public participation to mining companies, to stakeholders,and to sustainable development; and looks at public participation levels, definition, and objectives.

www.goodpracticemining.org/documents/jon/CMSA-PPGuide.pdf

PARTNERSHIP ASSESSMENT/PARTICIPATORY PLANNING

Methods for Community Participation: A Complete Guide for Practitioners (Prepared by Kumar, Somesh), 2002

Kumar provides extensive discussion and India-based examples of a wide range of participatory tools and methods. A very useful handbook for anyone wanting to learn more about participatory methods. (Available from IntermediateTechnology Development Group Publishing, UK)

www.itdgpublishing.org.uk

The National Environment Secretariat, Kenya; Clark University, United States; Egerton University,Kenya; and the Center for International Development and Environment of the World ResourcesInstitute: Participatory Rural Appraisal Handbook, 1994

Participatory Rural Appraisal (PRA) is a way to systematize a very old approach to rural development: communityparticipation. This guide presents field-based steps of the PRA methodology including data gathering, organizing andranking problems and opportunities, creating community action plans for resource management, and evaluation andmonitoring. PRA is an excellent tool for identifying community needs and addressing the needs through anintegration of traditional skills and external technical knowledge.

Implementing PRA: A Handbook for Facilitating Participatory Rural Appraisal. (Prepared byElizabeth Oduor-Naoh and Isabella Asamba, National Environment Secretariat, Ministry ofEnvironment and Natural Resources, Kenya; Richard Ford and Lori Wichhart, Program for International Development, Clark University; and Francis Lelo, Egerton University, Njoro,Kenya), 1992

This handbook is a sequel to the basic PRA handbook. Drawing on several PRA experiences, it focuses on how todevelop a Community Action Plan (CAP). It helps to focus community discussion, mobilize community groups duringthe CAP implementation, and helps communities measure their progress toward achieving CAP objectives.

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http://www.itdgpublishing.org.uk

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LOGICAL FRAMEWORKS

AusAID: Logical Framework Approach, 2003

The Logical Framework approach can be used by project managers and community development practitioners as anadaptable and highly functional strategic planning/management framework for any complex field-based developmentprogram or activity.

www.ausaid.gov.au/ausguide/ausguidelines/ausguidelines-1.pdf

Social Impact: Impact Notes

www.socialimpact.com/resource-center/impact-notes.html

CONFLICT MANAGEMENT

Conflict Research Consortium, University of Colorado: Conflict Mapping, 1998

University of Colorado web site that contains information on conflict mapping, including links to additional resources.

www.colorado.edu/conflict/peace/treatment/cmap.htm

Association for Conflict Resolution: Conflict Resolution

Association for Conflict Resolution Web site that contains a wealth of information about a wide range of topicsconcerning conflict resolution.

www.acrnet.org/about/CR-FAQ.htm

Mediate.com: Mediation

Mediate.com provides a variety of resources on conflict resolution, including articles on mediation, negotiation,dispute settlement, and other relevant topics.

www.mediate.com/articles/Mediationfaq.cfm

BPD: Briefing Notes: Preventing and Resolving Disputes With Communities and NGOs

The Natural Resources Cluster (oil, gas and mining sector) of the World Bank's Business Partners for Developmentresearch program produced practical examples, based on focus projects around the world, of how three-waypartnerships involving companies, government authorities and civil society organizations can be a more effectivemeans of reducing social risks and promoting community development. Working in different countries and atdifferent stages of project development the performance of these 'tri-sector partnerships' was systematically testedin terms of both business benefit and development impact.

www.bpd-naturalresources.org/media/pdf/bn/Bnote6final.pdf

International Alert: Conflict-Sensitive Business Practice: Guidance for Extractive Industries, 2005

Guidance on doing business in societies at risk of conflict for field managers working across a range of businessactivities, as well as headquarters staff in political risk, security, external relations and social performancedepartments. It provides information on understanding conflict risk through a series of practical documents.

www.international-alert.org/publications/28.php



http://www.colorado.edu/conflict/peace/treatment/cmap.htm

http://www.acrnet.org/about/CR-FAQ.htm

http://www.mediate.com/articles/Mediationfaq.cfm

http://www.bpd-naturalresources.org/media/pdf/bn/Bnote6final.pdf

http://www.international-alert.org/publications/28.php

ANNEX 1 KEY COMPONENTS OF AMINERAL POLICY AND REGULATORYFRAMEWORK

This outlines the key components of overarchingpolicies and laws required to administer and regulatethe minerals sector. More than 30 key components formineral policy and 40 key components for mining laware presented. Added to that are more than 15 keycomponents for general administration of the law,including references to other pieces of essentiallegislation and regulations. Recognizing that eachcomponent is itself a compound measure, more than100 elements in total were used to evaluate theoverarching instruments of the five countries withinthe study (Botswana, Namibia, South Africa, Tanzania,and Zimbabwe).

Some components carry the descriptor “veryimportant,” as indicated by bold (P1b). This addressesthe need to discern major trends within overarchinginstruments that specifically provide guidance onsustainability.

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COMPONENT DESCRIPTIONS: MINERAL POLICY

P1 GOVERNANCE

Code

P1a

P1b

P1c

P1d

P1e

P1f

P1g

Component

Guiding principles

Ownership of mineralresources

Overview of economiccontribution of the industry

Role of the state asregulator

Defining economic,environmental, and socialobjectives at the regionaland local scale, includingcommunity miningagreements

Objectives of the policy

Artisanal and small-scalemining

Description

• The mineral policy honors the constitution, in thatthe policy itself provides the intent of the government,and laws and regulations are viewed as instrumentsfor guidance

• Policy principles may include sustainabledevelopment, poverty abatement, and selfdetermination. For each guiding principle, somemetric should be provided whereby the policy workstoward broad objectives

Role of the state as owner of mineral resources, therole of minerals in the national interest, andprovisions for assigning temporary mineral rights toindividuals and corporations in order to stimulateinvestment and development

Role of the mining sector in the overall economy, itscurrent and expected economic contributions

Role of the state as regulator of mineral industries

• Society expectations for mineral developmentguided by the principles of sustainable developmentusing economic, environmental, and social objectives

• Consideration given to impacts at the local, regional,and national scale; and consultative frameworksthrough which impacted communities are empoweredto participate in the planning and execution of impactmanagement and benefit programs related to mining

What the policy intends to accomplish, with specificreference to developing short-, mid-, and long-termstrategies within a holistic framework

• Safeguard policies (that is, environment, child-labor,hazardous materials management, and health andsafety) for artisanal and small-scale miners to protectand enhance their well-being, and mechanism toassign mineral rights to those having establishedcustomary use of specific mineral resources

• Policies and mechanisms to organize and formalizethe sector, including ways for artisanal miners tograduate to entrepreneurial mining enterprises

Code

P1h

P1i

Component

Mineral access• Inspection and control• Capacity building• Mining cadastre• Geological survey(promotion of resourcepotential)

Right of recourse,administrative appeals,judicial appeals, disputeresolution, arbitration

Description

Transparent, nondiscriminatory public access tomineral resources through the provision of mineralrights, subject to compliance with the Mining Law andMining Regulations with the state:

• Authorized to regulate mineral industries through atransparent and nondiscriminatory minesinspectorate

• Providing and implementing programs to improvesector governance through capacity building

• Authorized to administer mineral rights through atransparent and nondiscriminatory mining cadastre

• Providing public access to geologic data in order tostimulate investment in the sector through promotionof mineral resource potential

• Rights recourse to resolve disputes throughadministrative, judicial, or arbitration processes

• Procedures for administrative appeals and theremedies available and defined within the miningregulations

• Procedures for judicial appeals and the generalprinciples of law that apply are clearly defined

• Dispute resolution includes definition of provisionsin contracts and agreements, amicable settlementthrough discussion, and courts of arbitration andbinding agreement

• Arbitration clauses that define domestic andinternational courts available and rules for arbitration

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COMPONENT DESCRIPTIONS: MINERAL POLICY

P1 GOVERNANCE continued

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P2 ECONOMIC: BUSINESS CLIMATE

Code

P2a

P2b

P2c

P2d

P2e

P2f

Component

Equal treatment of domesticand foreign investors

Encouraging developmentand exploration

Promotion of the privatesector, economic growth, andjob creation

Transparency of the licensingprocess

Fiscal and regulatory regime• Stability• Competitiveness• Efficiency

Revenues management andExtractive IndustriesTransparancy Initiative (EITI)

Description

Equal access to mineral resources for both domesticand foreign investors through transparent,nondiscriminatory sector regulation

The state encourages exploration and development bycreating a competitive business climate through theapplication of international best practices inregulatory and fiscal policies

Role of the private sector in providing investmentcapital

Mining regulations clearly define the procedure foracquiring mineral rights, and the concept ofpreference given to applications according to theorder they are filed

• Whether the government supports the concept ofstability of fiscal and regulatory terms and conditions,as defined in the mining agreement, for a definedperiod of time

• Fiscal and regulatory reforms that reflectinternational standards and make the statecompetitive in attracting private sector investment

• Programs and efforts toward administrative reformsand institutional strengthening to improve governancein the sector. This may also include setting time limitswithin regulatory processes to ensure thatunnecessary delays in administrative functions areremoved

The state endorses EITI, a program sponsored by theDFID to increase transparency over payments bycompanies to governments and government-linkedentities, as well as transparency over revenues bythose host country governments

P3 ENVIRONMENTAL: STEWARDSHIP

Code

P3a

P3b

P3c

Component

Risk assessment andmanagement

Health and safety

Mine reclamation

Description

Policies that seek to safeguard the environment fromharm by requiring Environmental Impact Assessment(EIA) and Environmental Management Plan (EMP) formining activities:

• EIA is an instrument to identify and assess thepotential environmental impacts of a proposedproject, evaluate alternatives, and design appropriatemitigation, management, and monitoring measures

• EMP is an instrument that details the measures tobe taken during the implementation and operation ofa project to eliminate or offset adverse environmentalimpacts, or to reduce them to acceptable levels, andthe actions needed to implement those measures

Policies that seek to ensure health and safetystandards for workers and mine-impactedcommunities. This policy generally refers to anotherpolicy specifically detailing objectives for the industry

A clear policy on reclamation of mining lands,including responsibilities and obligations for:

• Planned closures• Abrupt closures

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P4 SOCIAL: MINING AND COMMUNITIES

Code

P4a

P4b

P4c

Component

Consultation processes

Resettlement andcompensation

Community well-being

Description

A demonstration of a framework for communityconsultation in mine planning, development, ongoingoperations, and closure. This includes:

• Consultative processes for assessing thesocioeconomic impact of mining

• Consultative processes for developing voluntarycommunity mining agreements

• Frameworks that integrate communities intoclosure and post-closure planning

A resettlement policy framework and action plan for resettlement that includes:

• Identification of affected populations• Legal frameworks• Compensation frameworks• Resettlement assistance• Organizational responsibilities• Dispute resolution• Budgeting and financing• Implementation (action steps)• Monitoring and evaluation

Affirmative action policies related to empowerment ofdisadvantaged ethnic groups and/or IndigenousPeople. Policies to address mining-impactedcommunities, including specific consideration of:

• Gender (discrimination and equality)

• Family issues (family welfare, substance abuseprevention and control, access to education)

• Empowerment of NGO’s and other partners

P5 SUSTAINABLE DEVELOPMENT: IMPLEMENTATION

Code

P5a

P5b

P5c

P5d

P5e

P5f

P5g

Component

Land-use planning

Mine closure planning

Capacity-buildingeducation

Local and regionaleconomic and businessdevelopment

Roles of civil society,community, governments,and companies

Partnerships in socialdevelopment:• Social• Economic• Environmental

Inter-regional cooperation• Social• Economic• Environmental

Description

A policy for holistic integrated land-use plans thatconsider both mining activities and complementaryand competing land uses. Some statement as to howto support long-range planning at the community andregional level where capacity might be deficient

A clear policy on the need for mine closure plans priorto development that include:

• Considerations for retraining and redeployment ofworkers after closure

• Reconversion of plant site

• Community sustainability

The state’s commitment to building capacity within itsinstitutions, in regional government, and at the locallevel

Programs or policies to foster small-to-mediumenterprises at the local level using mining as anengine of growth. The policy should define:

• Capacity for ensuring sustainability at thecommunity level

• Effective dispute resolution processes forcommunities

• Social safeguard policies for vulnerable groups

• Frameworks for local economic development

Roles of the state, regional governments, community,NGOs, and company in defining, implementing, andmonitoring sustainable development programs. Aclear statement as to funding sources for majorobligations should be included

The state’s expectations for partnerships to achievesustainable development goals. Includes aconsideration potential partners for each of the threemain objectives

How the state can facilitate and support inter-regionalcooperation on mining-related issues. Includes aconsideration of trans-boundary issues and regionalcooperation agreements

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Code

P5h

P5i

Component

Measuring outcomes(policy implementation)

HIV/AIDS

Description

The state’s role in implementing its policy, including:

• Key programs and associated time lines• Measuring program performance• Reporting on programs, to whom, when• Mechanisms for program adjustments

A policy to address the problems of HIV/AIDS infectedstaff and communities, and specific short, medium,and long-term strategies to arrest the spread ofinfection

L1 INTRODUCTION

Code

L1a

L1b

L1c

L1d

Component

Purpose and scope of law

Objectives of the law

Ownership of mineralresources

Role of the state asregulator

Description

A provision as to:

• Role of private investment • Definitions for key terminology• Scope of the law covering all mineral activities

Clear statements regarding objectives for the law inregulating the sector

Provision for state ownership in which mineralinvestment by the private sector provides broadersocial benefit

The role of the state clearly defined to:

• Promote efficient development by the private sector• Mandate that state-owned enterprises, if any, aresubject to the law

COMPONENTS DESCRIPTION: MINING LAW and RELATED REGULATIONS

L2 ECONOMIC

Code

L2a

L2b

L2c

L2d

L2e

L2f

L2g

L2h

Component

Security of tenure

Transparent, clear,nondiscriminatorylicensing framework

Promotion of the privatesector, economic growth,and job creation

Flexibility in timing ofexploration, development,exploitation, period andextensions

Mineral rights: types ofrights and eligibilitycancellation

Mineral rights: commonprovisions for period,extension, renewal,transfer, relinquishment,withdrawal, termination

Mineral rights: obligationsfor maintenance, relationswith surface land ownersand between holders ofrights, infrastructure,health and safety,protection of culturalheritage

Mineral rights: obligationsfor taxes, duties, royalties

Description

Provision of suitable guarantees for the investoragainst arbitrary actions that would threaten mineralrights

Statements regarding the licensing framework thatreflect the granting of licenses in the order ofapplication filed, what rights are provided, to whom,how, and under what obligations

The reliance on the private sector to provideinvestment capital, with expectations for economicmultipliers in the economy, and job creation

The issuance of mineral rights that allow a holder todetermine the timing of their program within thebounds of the mineral right, the right to proceed fromexploration to exploitation subject to regulatorycompliance, and the ability to file for extensions ofmineral rights

The types of mineral rights that can be acquired,eligibility requirements that are nondiscriminatory,and clearly defined regulations for cancellation ofsuch rights

The period of a mineral right, processes for extensionof perimeters, processes for transfer of rights to thirdparties, the right and regulatory process for a holderat any time to relinquish whole or a part of a right,conditions and processes for temporary withdrawal orpermanent termination of a mineral right, andprocess for appeals of the above actions

The obligations of a mineral right holder to maintaingood standing through payments of fees and/or workcompletion of commitments, to maintain goodrelations with surface owners and other rightsholders in the area, processes for resolution ofdisputes in this regard, procedures for the provisionand/or sharing of infrastructure, compliance withlocal health and safety regulations, and safeguards forthe protection of cultural heritage, vulnerable groups,and communities in general

A clear statement of obligations on holders of mineralrights to pay taxes, duties, and royalties; what agencyand authorized person collects those obligations(including procedures, schedules for payment, andapplicable rates)

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L2 ECONOMIC continued

Code

L2i

L2j

L2k

L2l

L2m

Component

Mining-related taxation,including provisions forpreproduction andproduction expenditures,tax stability, and incentives

Secondary processing ofmaterials

Informal and small-scalemining

Other mineral activities

Fiscal requirements:closure funds andenvironmental guarantyClosure plan: initial plan attime of license application,updated periodically

Description

• A clear statement as to the authorization of theappropriate government agency to provide financialtax provisions for amortization of preproductionexpenses, (accelerated) depreciation of capitalinvestments, and loss carried forward

• A clear statement as to the ability of thegovernment to provide for binding tax stability for aperiod of time agreed upon with the holder of amineral right, and courses of actions should thestability clause be involuntarily terminated

• A clear statement as to prevailing regulationsregarding materials beneficiated from secondarysources including scrap, waste streams and piles, andrecycling

• Provisions to encourage value-added (downstream)mineral processing

• Special provisions for the issuance of mineralrights, regulatory compliance, and/or financialobligations of artisanal miners

• Special regulations should be included foremployment of pregnant or postnatal women, childlabor and forced labor of disabled persons, processingmineral ores in surface waters, using chemicalshazardous to health, and control of black markets

Provisions relating to other mineral activities thatmight include crafts, collection of gem specimens,and fossils

• Obligations on the holder of mineral rights toprovide financial certainty of mine closure throughinstruments that include one-time sinking fund orbonded closure funds and tax treatment of theseinstruments

• Obligations on the holder of mineral rights toprovide financial certainty of funds to coverenvironmental abatement, mitigation, and clean up inthe case of accidents and tax treatment ofinstruments used

L2 ECONOMIC continued

Code

L2n

L2o

L2p

L2q

Component

Closure plan: initial plan attime of license application,updated periodically

A clear statement ofviolations, penalties, andpowers of enforcement

Recognized disputeresolution mechanismsand appeals

Revenue sharing withcommunities

Description

Obligations on the holder of mineral rights to providea comprehensive mine closure plan at the time ofapplication for an exploitation right. This plan wouldinclude consideration of economic, environmental,and social impacts and remedies by which thecompany, community, and government mightindividually or in partnership achieve sustainabilityduring and post closure of operations. The closureplan should define financial and social obligations onthe holder of the mineral right, and procedures forregular update and consultation of the plan

A clear statement of actions constitute violation of thelaw, a schedule of civil and criminal penalties (orreference to applicable law), the civil and criminalpowers of the state over the sector, and enforcementpowers

A clear statement of dispute resolution procedures,including election to voluntary arbitration, rights ofrecourse to international courts, mechanisms andprocedures for filing appeals, and time limits set onthe above

• A provision to share revenues from mining (royaltiesand fees) with local affected communities

• A mechanism to direct mining contributions fromcentral accounts to local accounts

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L3 ENVIRONMENTAL STEWARDSHIP

Code

L3a

L3b

L3c

Component

Risk assessment andmanagement duringexploration and exploitation

Health and safety andemergency preparedness

Mine reclamation

Description

A clear statement of environment safeguards requiredby rights of mineral holders. This includes definingwhen EIA and EMP are to be prepared, references toframeworks for preparing these plans, andprocedures for submission, public comment (ifapplicable), and approval:



Clear statements regarding the obligation of holdersof mineral rights to maintain health and safety andemergency preparedness plans and action teamswhen and when applicable

Clear statement as to expectations for mine areareclamation, including rehabilitation plans, restorationof flora and fauna, performance standards, andpenalties for non-compliance

L4 SOCIAL: MINING AND COMMUNITIES

Code

L4a

L4b

L4c

L4d

Component

Consultation frameworks

Predevelopment socialplanning

Resettlement andcompensation

Community well-being

Description

Requirements to develop frameworks for communityconsultation and empowerment on resource planningand development. This may include reference to:

• Consultation frameworks for community impactanalysis

• Consultation frameworks for grievances and disputeresolution

• Consultation and empowerment of localcommunities on land-use planning and post-miningactivities

• SIA, requirements for holders of mineral rightsapplying to obtain a mineral exploitation right toassess social impacts in local communities. Thiswould include consideration of vulnerable groups andgender issues

• Requirements for holders of mineral rights applyingto obtain a mineral exploitation right to prepare asocial mitigation plan to address adverse impactsidentified in the SIA and enhance opportunities forvulnerable groups and gender issues

Reference to safeguards policies for voluntaryresettlement and equitable compensation forresidents

• A specific reference to gender and family issueswith respect to SIA and social mitigation planning

• A specific reference to affirmative action forcommunity members and minority or disadvantagedgroups

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L5 SUSTAINABLE DEVELOPMENT: COMMUNITY PLAN

Code

L5a

L5b

L5c

L5d

Component

Economic closure planning:• Local economicdevelopment• Diversification

Environmental closureplanning:• Reclamation plan• Environmental andhabitat enhancement

Social closure planning:• Retraining• Reconversion

Informal and small-scalemining

Description

The obligation for holders of mineral rights,community, and government to implement the mineclosure plan prepared as part of the application forthe exploitation license. To achieve economicsustainability by:

• Fostering local economic development throughprocurement of goods and services in mine impactedcommunities and the region

• Economic development programs to lessen acrosstime the dependence of local companies on the mine,as prepared for the mine closure plan

• Opportunities to partner with local and regionaleconomic development agencies to shareinfrastructure and foster new alternative landuses

The obligation for holders of mineral rights,community, and government to implement the mineclosure plan prepared as part of the application forthe exploitation license. To achieve environmentalsustainability:• Mine closure according to the reclamation plan• Creation of habitat, biodiversity, and protected areas• Ongoing monitoring and reporting for a definedperiod of time

The obligation for holders of mineral rights,community, and government to implement the mineclosure plan prepared as part of the application forthe exploitation license. To achieve economicsustainability:

• Reskilling of mine workers for professionaladvancement and increased technological capacity

• Redeployment of redundant mine labor throughretraining for other sectors

• Opportunities and incentives to partner with local orregional development agencies on job placement inother sectors

• Opportunities and incentives for reconversion ofclosed mining facilities for other purposes

• Clear provision of the legal status of informal andunlicensed operators, and processes by which theymight register

• Assistance made available to small-scale minesfrom larger mining operations and the government onissues of legal and administrative, health and safetytraining, technical training on equipment andmechanized mining, environmental protection, andaccess to fair and competitive markets

L6 ADMINISTRATION OF LAW

Code

L6a

L6b

L6c

L6d

Component

Competent authorities:responsibilities,inspections, and controls

Miscellaneous provisions:data status, miningcadastre and geologicaldatabase, and access toinformation

Classification of mineraldeposits

Provisions includingmiscellaneous,transitional, transparency,public inspection,confidentiality, and repeals

Description

Ensuring that responsibilities of regulatory offices areclearly defined (Mines Inspectorate, Mining Cadastre,Geologic Survey), and that these agencies have clearlydefined protocols for regulatory inspection andcontrols

• Data status relates to the collection anddissemination of geological and exploration data,including to whom does the data belong, which dataare public domain versus confidential or classified

• Mining Cadastre should have clearly definedfunctions and procedures

• Geological database is maintained, updated, andadministered by the geological survey, and that thereis open, equal access to land status, mineral rights,and geologic information for investors

That the government uses a recognized, industry-accepted system for the classification of mineralresources using classifiers such as commodity type,quality (coal), or industry-standard nomenclaturesuch as rock type (quarry materials)

• Miscellaneous includes the obligation oftransparency, availability of information for publicinspection, confidentiality, and consistency of themining regulations with the mining law

• Transitional includes the promulgations ofregulations, establishment of data inventories, andtreatment of existing mineral rights

• Transparency includes the EITI, a programsponsored by DFID to increase transparency overpayments by companies to governments andgovernment-linked entities, as well as transparencyover revenues by those host country governments

• Public inspection means that the state shall compileand make publicly available reports concerningmineral rights, mineral production, state revenuesand other direct or indirect economic benefitsreceived

• Confidentiality includes the confidential treatmentby the state or sector ministry of technical, geological,or financial data as submitted by the holders ofmineral rights and as may be required by law. Theperiod of confidentiality will be defined within themining regulations

• Repeals means those laws that have been nullifiedthrough changes to the current set of lawsThe entitlement of holders of mineral rights to buildand maintain infrastructure required for the activitiesconnected with the mineral rights

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45

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L6 ADMINISTRATION OF LAW continued

Code

L6e

L6f

L6g

Component

Authorizations forconstruction ofinfrastructure

Processing, transportation,and sale of mineralproducts

Clearly defined violationsand penalties

Description

The entitlement of holders of mineral rights to buildand maintain infrastructure required for the activitiesconnected with the mineral rights

The entitlement of holders of mineral rights toprocess mineral substances, transport and storemineral products, and sell products at freelynegotiated prices

Clearly defined:

• Violations defined according to the statutes of themining law and corresponding mining regulations

• Offenses established by the sector ministrypunishable by civil (fines) or criminal (fines andimprisonment) penalties

• Powers of enforcement and courts of competentjurisdiction clearly defined

G1 CONSTITUTIONAL AUTHORIZATION

Code

G1a

Component

Reference to theconstitution and its guidingprinciples

Description

• Equality of people (including gender equality)

• People have the right to live in clean communities

• People have the right to own property, and thoserights are protected

• People have the right to information

COMPONENTS DESCRIPTION: GENERAL

G2 OTHER LEGISLATION: TAX AND FISCAL

Code

G2a

G2b

G2c

G2d

Component

Reference to direct taxes:income and sales

Indirect taxes: value addedtax and presumptivebusiness

Investment and banking

Customs duties and tariffs

Description

Includes references to other laws containing generalprovisions for the assessment and payment of taxes,basis for calculation of taxes, taxpayers affected,jurisdictions, and powers of the government to levytaxes

Includes references to other laws containingprovisions relating to assessment and payment oftaxes, basis for calculation of taxes, taxpayersaffected, jurisdictions, and powers of the governmentto levy taxes

Includes references to other laws containingprovisions for:

• Protection of investments, foreign exchange andstate guarantees, and treatment of domestic andinternational bank accounts

• State guarantees including the freedom for holdersof mineral rights to organize and conduct business asthey see fit, import and export goods and services,and the free circulation of personnel according tointernational conventions

Includes references to other laws containing duty andtariff schedules for the temporary and permanentimport and export of goods, and state guarantees forthe free movement of those goods as is required forthe activities connected with the mineral rights

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47

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G3 OTHER LEGISLATION: REGULATORY AND MISCELLANEOUS

Code

G3a

G3b

G3c

G3d

G3e

G3f

G3g

Component

EIA, EMP, and guidelinesfor reporting

Water regulations

Forest regulations

Protected areas includingcultural and natural

Health and safety

Labor and social welfare,including training andreskilling, and technologytransfer, resettlement,wages and pensions,union-related

Planning and public worksincluding constructioncodes and standards

Description

A clear statement regarding regulatory authority andthe use of EIAs and EMPs in safeguarding theenvironment during exploration, exploitation, andpost-mining activities



• Reference to an atmospheric pollution preventionact

• Reference to a waste management act

A clear statement regarding regulatory authority forthe protection and use of water in mining

A clear statement regarding regulatory authority andapplicable forest regulations that apply to theactivities of mineral rights holders, includingrestricted and limited use areas

A clear statement regarding regulatory authority andrestrictions to the holder of mineral rights vis a visaccess and permissible activities within protectedareas

A clear statement regarding regulatory authority forhealth and safety issues associated with mining

A clear statement regarding applicable labor andsocial welfare regulations as they apply to theactivities of the holder of mineral rights:

• Training and reskilling includes redeployment ofredundant labor through education and vocationaltraining

• Resettlement considers safeguard policies thatpromotes participation of displaced people inresettlement planning and implementation, andeconomic objectives to assist displaced persons intheir efforts to improve or at least restore theirincomes and standards of living after displacement

A clear statement regarding regulatory authority forpublic works

G3 OTHER LEGISLATION: REGULATORY AND MISCELLANEOUS continued

Code

G3h

G3i

G3j

G3k

G3l

Component

Urban and rural and land-use planning

Inspection and control

Workforce movement

Local regulations

Emergency responseplanning

Description

A clear statement regarding regulatory authority forland-use planning at the federal, regional, and localscale and any coordinating bodies that would assist inmine planning in this regard

A clear statement regarding regulatory authority foragencies to inspect, monitor, and control miningactivities

A clear statement regarding regulatory authority forthe importation of labor and control of migrationassociated with mining activities

A clear statement regarding regulatory authority forlocal authorities with respect to mining activities

A clear statement regarding regulatory authority forcivil defense to protect and otherwise safeguardmines during emergencies

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TES


ENDNOTES

i On May 21, 2001, the Board of Directors of the International Council on Metals and Environment(ICME) agreed to broaden the groups’ mandate and transform itself into the International Council onMining and Metals (ICMM), and to move its headquarters from Ottawa, Canada, to London.

ii See www.icmm.com/sd_framework.php.

iii World Bank Revised Operational Policy and Bank Procedure on Indigenous Peoples (OP/BP 4.10)available atweb.worldbank.org/WBSITE/EXTERNAL/TOPICS/EXTSOCIALDEVELOPMENT/EXTINDPEOPLE/0,,menuPK:407808~pagePK:149018~piPK:149093~theSitePK:407802,00.html.

iv See ICMM Mining and Indigenous Peoples Issues Review, available atwww.icmm.com/library_pub_detail.php?rcd=175.

v Language drawn from the South African Department of Minerals and Energy’s “Social and LabourPlan Guidelines for the Mining and Production Industries.”

vi This establishes the requirement for a “social and labor plan,” which must accompany an applicationfor a new mining right or for the conversion of an old order right (Part II: Social and Labour Plan,paragraphs 40–46).

vii This obliges all stakeholders to “undertake to create an enabling environment for the empowerment”of historically disadvantaged South Africans.

http://www.icmm.com/sd_framework.php


50


CREDITS

The designation of geographical entities in this Toolkit, and the presentationof the material, do not imply the expression of any opinion whatsoever on thepart of ESMAP, the World Bank or ICMM concerning the legal status of anycountry, territory, or area, or of its authorities, or concerning the delimitationof its frontiers or boundaries.

The views expressed in this publication do not necessarily reflect those ofESMAP, the World Bank or ICMM.

Published by ESMAP and the World Bank, Washington, USA and ICMM,London, UK

ESMAP, the World Bank and ICMM (2005). Community Development Toolkit

ISBN: 0-9549954-3-0

Photos: Catherine MacdonaldDesign: DuoPrint: Quadracolor Limited

Available online and in hard copy from ICMM, www.icmm.com [email protected] or www.esmap.org

© 2005 Energy Sector Management Assistance Programme, the World Bankand the International Council on Mining and Metals

Reproduction of this publication for educational or other non-commercialpurposes is authorised without prior written permission from the copyrightholders provided the source is fully acknowledged. Reproduction of thispublication for resale or other commercial purposes is prohibited withoutprior written permission of the copyright holders.

This Toolkit is printed on Challenger Offset 150gsm and 300gsm. A greatproportion of the raw material used is the by-product from other processesi.e. saw mill waste and waste which results from forest thinning. The millholds not only ISO 2002 but also the ISO 14001 accreditation for theirenvironmental management systems, which include an active policy onsustainable forestry management.

http://www.icmm.com

mailto:[email protected]

http://www.esmap.org

ESMAP

The Energy Sector Management Assistance Programme(ESMAP) is a global technical assistance program whichhelps build consensus and provides policy advice onsustainable energy development to governments ofdeveloping countries and economies in transition.ESMAP was established in 1983 under the jointsponsorship of the World Bank and UNDP as apartnership with UNDP, in response to global energycrises.

ESMAP promotes the role of energy in poverty reductionand economic growth in an environmentally responsiblemanner. Its work applies to low-income, emerging, andtransition economies and contributes to theachievement of internationally agreed developmentgoals.

The Community Development Toolkit was publishedunder the ESMAP Formal Report Series, Report No.310/05, October 2005.

www.esmap.org

The World Bank Group

The World Bank Group is an international organizationof more than 180 member countries comprised of fiveinstitutions: the International Bank for Reconstructionand Development (IBRD) and the InternationalDevelopment Association (IDA), together known as theWorld Bank; the International Finance Corporation(IFC); the Multilateral Investment Guarantee Agency(MIGA); and the International Center for the Settlementof Investment Disputes (ICSID).

The World Bank is a vital source of financial andtechnical assistance to developing member countries.IBRD provides low-interest loans to middle-incomecountries and IDA provide interest-free credits andgrants to low-income countries for education, health,infrastructure, and other purposes to promote povertyreduction and sustainable development. IFC promotessustainable private sector investment in developingcountries as a way to reduce poverty and improvepeople’s lives.

A key objective of the World Bank’s Oil, Gas and MiningPolicy Division is to determine how extractive industryinvestments can better contribute to poverty reductionand environmentally and socially sustainabledevelopment at both the community and country levels.

www.worldbank.org

ICMM

The International Council on Mining and Metals (ICMM)is a CEO-led organization comprising many of theworld's leading mining and metals companies, as wellas regional, national and commodity associations, all ofwhich are committed to improving their sustainabledevelopment performance and to the responsibleproduction of the mineral and metal resources societyneeds.

ICMM’s vision is a viable mining, minerals and metalsindustry that is widely recognized as essential for modern living and a key contributor to sustainabledevelopment.

www.icmm.com

http://www.esmap.org

http://www.worldbank.org

http://www.icmm.com

Community Development Toolkit

Documents

Transcript of Community Development Toolkit