ABSTRACT

The hazardous impact of mining in Ghana, coupled with inadequate development, has resulted in tensions between mining companies and host communities, despite corporate social responsibility (CSR) initiatives aiming to benefit the locals. Consequently, disputes in the mining sector have escalated to international arbitration cases. Mining communities argue that the government’s legal authorization granted to mining companies neglects their needs, leading to the perception that the companies solely benefit from resource exploitation. Currently, mineral exploitation contracts are executed between mining companies and governments without input from host communities, resulting in unresolved conflicts. Moreover, corporate social responsibility (CSR) practices have not granted mining companies the desired social legitimacy for smooth operations. This chapter advocates for a novel approach to negotiating mining agreements to foster better relations between companies and communities. The chapter emphasizes the importance of involving mining communities as stakeholders in the negotiation process, granting them a voice in decision-making. This involvement can reduce community-company conflicts as both parties agree on sustainable methods to address the community’s needs. Integrating the development needs of host mining communities into Ghana’s mining laws is essential to enhance social legitimacy and promote sustainable mining practices, ultimately fostering conditions for peace.