The emergence of the ‘social licence to operate’ in the extractive industries?

The ‘social licence to operate’ (SLO) is a construct that has potential to transform the mining sector internationally. The SLO is increasing in importance because it can reduce all risks during the energy project life-cycle that are detrimental to the success of energy projects. This paper analyses...

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Bibliographic Details
Published in:Resources policy 2021-12, Vol.74, p.101272, Article 101272
Main Authors: Heffron, Raphael J., Downes, Lauren, Ramirez Rodriguez, Oscar M., McCauley, Darren
Format: Article
Language:English
Subjects:
Case studies
Columbia
Energy
Energy development
Energy justice
Energy life-cycle
Environmental impact statements
Extractive industries
Infrastructure
Interdisciplinary aspects
Mining
Mining industry
SLO
Social-licence-to-operate
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Summary:The ‘social licence to operate’ (SLO) is a construct that has potential to transform the mining sector internationally. The SLO is increasing in importance because it can reduce all risks during the energy project life-cycle that are detrimental to the success of energy projects. This paper analyses how SLO's are at first perceived by interdisciplinary energy scholars before examining the legal nature of an SLO and looking at the effectiveness of such an agreement from the perspectives of both the energy company and the local community. In essence, this research seeks to address what is the legal basis of an SLO. Further, an original case study on Columbia is presented which highlights the SLO in action and its transformative effect. The paper also engages in new debates around the relationship of SLOs to related energy concepts such as the energy justice and environmental impact statements, which are also vital to energy infrastructure development. •Analyses origin of social licence to operate’ (SLO) in mining sector.•Examines interdisciplinary and legal nature of SLO.•Presents original case study on the SLO in operation.•Relates SLO with energy concepts such as the energy justice and Eias.
ISSN:0301-4207
1873-7641
DOI:10.1016/j.resourpol.2018.09.012