Governance Processes and Sustainability Impacts of the Extractive Industries: Generating Transformation Knowledge in the Biodiversity Hotspot of Madagascar

What is the role of large-scale extractive investments in the achievement of Sustainable Development Goals and their contradictory dynamics?

Project Summary

The extractive industries sector is growing rapidly worldwide. Large-scale extractive investments (LEIs) target land in developing countries, especially on the African continent. This raises questions concerning the beneficiaries of these operations and their cost-bearers. Conflicts over such investments have been widespread, highlighting doubts about host countries’ ability to achieve the 2030 Agenda’s Sustainable Development Goals (SDGs). Around 30 LEIs are currently operational in Madagascar in areas otherwise used by subsistence farmers and cattle herders. In this context, it is important to consider impacts on social, economic, and environmental sustainability and address the conflicts between different SDGs, especially between SDG 9 (Industry, Innovation, and Infrastructure) and SDGs 1 (No Poverty), 6 (Clean Water and Sanitation), 11 (Sustainable Cities and Communities), 15 (Life on Land), and 16 (Peace, Justice and Strong Institutions). Many questions remain with regard to the legal and procedural frameworks governing environmental and social impact assessments.

The project pursues the following questions:

  •  Who takes the decisions regarding environmental and social impact assessments?
  • At what point in the process of LEI establishment are such assessments conducted?
  • How are local farmers and cattle herders involved?

Other questions concern the different impacts of LEIs on social, economic, and environmental sustainability in close vicinity but also in the wider landscapes and nearby urban centres.

The methods used in this inquiry include the analysis of satellite images to identify land use changes in the surroundings of LEIs, social network analysis to disentangle the interactions between different actors involved, as well as interviews and surveys with land users, cattle herders, and other local stakeholders.

This project will produce scientific and transformation knowledge that helps devise policy measures to improve the extractive industries’ contribution towards the SDGs in Madagascar and other developing countries.

Academic Output

Executive Summary

The legal and policy framework governing Environmental and Social Impact Assessments (ESIAs) plays a crucial role in identifying, assessing, and mitigating potential environmental and social impacts of large-scale extractive investments (LEIs). Although the current framework in Madagascar (as of 31 December 2022) demonstrates many strengths, it also has limitations that hinder the industry’s contribution to sustainable development. To address these limitations, we propose several key actions: eliminating or reducing the scope of stabilization clauses, centralizing the technical advice from the National Office for the Environment in the licensing process, making environmental permits mandatory for operating permit applications, and strengthening inclusive public involvement throughout the ESIA process.

Report

Global mineral resource extraction has been growing rapidly and is primarily driven by
increasing consumption in the Global North. The global extent of above-ground mines active between 2000 and 2017 amounted to an area of nearly 60,000 km2 (13% in Africa) and a recent update by Tang and Werner arrived at 65,585 km2. Due to the distance between local extraction and international consumption, this increase in mining has led to growing resource, financial and knowledge flows between different social-ecological systems, a phenomenon termed telecoupling. Within these interconnected systems, the positive and negative impacts of extractive industries on the environment and people’s livelihoods are distributed unevenly across scales. The socio-ecological transformations and burdens associated with large-scale mining activities also often result in processes that reinforce inequities and injustices. These injustices have led to widespread conflicts, raising concerns about host countries’ ability to achieve the 2030 Agenda’s Sustainable Development Goals (SDGs).

Research Team

Julie Zähringer
Coordinator
University of Bern

Peter Messerli
Co-Coordinator
University of Bern

Sandra Eckert
Principal Member
University of Bern

Oliver Jütersonke
Principal Member
Graduate Institute

Nathalie Bernasconi-Osterwalder
Principal Member
International Institute for Sustainable Development

Xin “Joe” Zhang
Principal Member
International Institute for Sustainable Development

Bruno Ramamonsjisoa
Principal Member
University of Antananarivo

Onintsoa Ravaka N. Andriamiahja
Principal Member
University of Antananarivo

Voahirana Randriambola
Associated Member
WWF Madagascar

Simon André Rafanomezantsoa
Associated Member
WWF Madagasca

Status

completed

Disciplines

SDGs

Policy domains

Regions

Countries

Madagascar

Host Institution

Coordinator

Co-Coordinator

Year