The Role of Corporate Social Responsibility in Sustainable Development in Ghana: a Critical Perspective on Anglogold Ashanti, Ghana

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The Role of Corporate Social Responsibility in Sustainable Development in Ghana: a Critical Perspective on Anglogold Ashanti, Ghana THE ROLE OF CORPORATE SOCIAL RESPONSIBILITY IN SUSTAINABLE DEVELOPMENT IN GHANA: A CRITICAL PERSPECTIVE ON ANGLOGOLD ASHANTI, GHANA by VICTORIA MENSAH NYAMADI submitted in fulfilment of the requirements for the degree of DOCTOR OF PHILOSOPHY in the subject DEVELOPMENT STUDIES at the UNIVERSITY OF SOUTH AFRICA SUPERVISOR: PROFESSOR LINDA CORNWELL ABSTACT The aim of this research was to identify and assess the extent to which AngloGold Ashanti (AGA) Mining Company has been able to apply its corporate social responsibility (CSR) policies in its operations, in a participatory manner, in contributing to sustainable development in its area of operation. The mixed method approach was used. Cluster sampling under the random sampling and purposive sampling methods were used to select both the respondents and communities affected by mining. Six communities were surveyed from the Obuasi Municipality in the Ashanti region of Ghana. Participatory interviews, questionnaires, focus group discussions and participant observation techniques were used to gather data. The study identified that the CSR initiatives of AGA are evaluated on five main principles, namely commitment to core values, compliance with legal provisions, managerial discretion in taking actions, economic contributions and participatory mechanisms. The study found that, to some extent, the local people have been engaged in the implementation of AGA’s CSR activities. 25.2% were involved in project planning and design, and more than 80% were informed before the start of projects. Also, the results reveal that AGA’s mining activities have had both positive and negative impacts on the economic well-being of residents within the selected communities. The impact of AGA’s mining activities on the environment, especially on water quality, soil quality, sanitation and noise levels, was found to be negative, resulting in major health problems for residents in mining communities. As a contribution to knowledge, the study shows how community members (respondents) perceive AGA’s CSR activities as fulfilling just one aspect of CSR (philanthropic dimension) and not necessarily rectifying the effect of their mining activities on the environment (ethical dimension). The study therefore recommends that comprehensive CSR measures principled through the lens of non- philanthropic considerations be developed to reverse the general negative outcomes of mining on communities economically, socially and environmentally, especially regarding the growing unemployment and displacement of communities. Key words: Corporate social responsibility, sustainable development, mining, development, resource, sustainability, resource curse I ISIFINQO Inhloso yalolu cwaningo kwakuwukuhlonza nokuhlola ukuthi iNkampani yeMayini i- AngloGold Ashanti (AGA) ikwaze kanjani ukusebenzisa izinqubomgomo zayo zegunya lokubambisana kwezenhlalo (GLK) ekusebenzeni kwayo, ngendlela yokubamba iqhaza, ekunikelweni entuthukweni esimeme emkhakheni esebenza kuyo. Kusetshenziswe indlela ehlanganisiwe. Iqoqo lamasampula ngaphansi kwesampula engahleliwe nezindlela zokwenza amasampula ahlosiwe asetshenziselwe ukukhetha bobabili abaphendulayo kanye nemiphakathi ethintekayo ezimayini. Kuhlolwe imiphakathi eyisithupha ivela kuMasipala wase-Obuasi esifundeni i-Ashanti eGhana. Izingxoxo zokubamba iqhaza, iqoqo lemibuzo, izingxoxo zamaqembu okugxilwe kuwo kanye namasu wokubuka ababambiqhaza asetshenziselwe ukuqoqa idatha. Ucwaningo lukhombe ukuthi izinhlelo ze(GLK) le-AGA zihlolwa ngemigomo engqala emihlanu, okungukuthi ukuzibophezela kumanani ayisisekelo, ukuhambisana nezinhlinzeko zomthetho, ukuqonda ekuthatheni izinyathelo ezithile, iminikelo yezomnotho nezindlela zokubamba iqhaza. Ucwaningo luthole ukuthi, ukuya ezingeni elithile, abantu bendawo babambe iqhaza ekwenzeni imisebenzi ye-AGA's ne GLK. Ama-25.2% abambe iqhaza ekuhleleni nasekuklanyweni kwamaphrojekthi, kwathi abangaphezu kuma- 80% aziswa ngaphambi kokuqala kwamaphrojekthi. Futhi, imiphumela iveza ukuthi imisebenzi yezimayini ye-AGA ibe nemithelela emihle nemibi enhlalweni yezomnotho yabahlali emiphakathini ekhethiwe. Umthelela wemisebenzi yezimayini ye-AGA emvelweni, ikakhulukazi kwizinga lamanzi, ikhwalithi yenhlabathi, ukuthuthwa kwendle namazinga omsindo, kutholakale kukubi, okuholele ezinkingeni ezinkulu zezempilo kubahlali emiphakathini yezimayini. Njengokunikela olwazini, ucwaningo lukhombisa ukuthi amalungu omphakathi (abaphendulayo) bayibona kanjani imisebenzi ye-AGA's CSR njengokufeza isici esisodwa seGLK (ubukhulu bokusiza) hhayi ukuthi kulungiswe umthelela wemisebenzi yabo yezimayini emvelweni (ubukhulu bokuziphatha).Ngakho-ke ucwaningo luncoma ukuthi izinyathelo eziphelele ze-GLK eziqondiswa ngokusebenzisa ukuqondwa kwezinto ezingenkulu ezingezona zokusiza zithuthukiswe ukuguqula imiphumela emibi ejwayelekile yezimayini emiphakathini ngokwezomnotho, kwezenhlalo nangokwezemvelo, ikakhulukazi maqondana nokwanda kwemiphakathi engasebenzi kanye nokufundiswa kwayo. Amagama abalulekile: IGunya lokubambisana kwezenhlalo, intuthuko esimeme, intuthuko kuyizimayini, izinsiza, ukusimama, isiqalekiso sezinsizakusebenza II SETSOPOLWA Maikemišetšo a dinyakišišo tše ke go tseba le go sekaseka bogolo bjo ka bjona Khamphani ya Moepo ya AngloGold Ashanti (AGA) e kgonnego go phethagatša melawana ya ona ya maikarabelo a khamphani setšhabeng (CSR) ka mešomong ya yona, ka mokgwa wa go kgatha tema ga badudi, ka nepo ya go tsenya letsogo go tlhabollo ya go ya go ile ka lefelong leo e šomelago go lona. Mokgwa wo o hlakantšego mekgwa o šomišitšwe ka mo dinyakišišong tše. Go dira sampole sehlopha ka fase ga mekgwa ya go dira sampole ka sewelo le go dira sampole ka maikemišetšo go šomišitšwe go kgetha bobedi baarabi le ditšhaba tšeo di amilwego ke meepo. Go ile gwa dirwa dinyakišišo go metse ye tshela ka Masepaleng wa Obuasi ka seleteng sa Ashanti sa Ghana. Dipoledišano tšeo baarabi ba kgathago tema ka go tšona, lenaneo la dipotšišo tša dinyakišišo, dipoledišano tša dihlopha tšeo di nepišitšwego le mekgwa ya go lekola bakgathatema e šomišitšwe go kgoboketša tshedimošo. Dinyakišišo di utollotše gore maitekelo a CSR a AGA a sekasekwa go melawana ye mehlano ye megolo, e lego boikgafo go maitshwaro a bohlokwa, go obamela ditlhagišo tša melao, sephetho sa ba taolo sa go tšea dikgato, seabe sa ekonomi le mekgwa ya go kgatha tema. Dinyakišišo di utollotše gore, go fihla mo go itšego, go rerišanwe le batho ba tikologo ka go phethagatšeng ga ditiro tša CSR tša AGA. 25.2% ya bona e kgathile tema ka peakanyong le tlhamo ya protšeke, gomme palo ya go feta 80% e tsebišitšwe pele ga ge diprotšeke di ka thoma. Gape, dipoelo di utolla gore mešomo ya meepo ya AGA e bile le bobedi diabe tše botse le tše mpe go seemo sa ekonomi sa badudi ka metseng ye e kgethilwego. Seabe sa mešomo ya meepo ya AGA go tikologo, kudukudu go boleng bja meetse, go boleng bja mobu, go kelelatšhila le go maemo a lešata, go hweditšwe gore e bile ao a sego a loka, gomme se ile sa feletša ka mathata a magolo a tša maphelo go badudi ba ka metseng yeo meepo e lego gona. Bjalo ka seabe go tsebo, dinyakišišo di bontšha ka fao maloko a setšhaba (baarabi) ba bonago mešomo ya CSR ya AGA e lego yeo e phethagatšago fela selo se tee sa CSR (e lego ditiro tša go abela setšhaba) e sego go phošolla seabe sa mešomo ya bona ya meepo go tikologo (e lego ditiro tša maitshwaro). Dinyakišišo ka fao di šišinya gore magato ka kakaretšo a CSR ao a beilwego go se gwa lebelelwa go abela setšhaba a phethagatšwe ka nepo ya go phošolla dipoelo tša kakaretšo tšeo di sego tša loka tša mešomo ya meepo go ditšhaba mabapi le tša ekonomi, tša leago le tikologo, kudukudu mabapi le go tlhokego ya mešomo ye e golago le go tloša ditšhaba mafelong a tšona. Mantšu a bohlokwa: Maikarabelo a khamphani setšhabeng, tlhabollo ya go ya go ile, meepo, tlhabollo, mothopo, tirišo ya go ya go ile, tirišobošaedi ya methopo III DEDICATION This thesis is dedicated to my parents, my husband, my children, my siblings and my friends for their unflinching love, care and support throughout my studies. IV DECLARATION I, Victoria Mensah Nyamadi, do hereby declare that this thesis, “The Role of Corporate Social Responsibility in Sustainable Development in Ghana: A Critical Perspective on AngloGold Ashanti, Ghana”, is my original work towards the award of a Doctor of Philosophy in Development Studies. This dissertation is my research except where external sources have been quoted and have been duly acknowledged. I certify that this dissertation has not been submitted for any other degree to any institution of higher learning either in part or as a whole. SIGNATURE: DATE: 29th February, 2020 (Victoria Mensah Nyamadi) V ACKNOWLEDGEMENTS I would like to express my profound gratitude to Almighty God for seeing me through this doctoral thesis journey. Indeed, Ebenezer, this is how far the LORD has brought me. I am particularly thankful to my supervisor, Professor Linda Cornwell, for her support, care and guidance. It is her immense scrutiny and criticism that has pushed me to refine this work to its current state. My special thanks go to my husband, Franklin Russell Nyamadi, for his support in managing my home and my research work. To my children, Mawuena, Nana Esi and Ewurabena thank you for understanding me during the many times I was not available to you when you needed me. I am also immensely grateful to my mother, Ekua Tawiah, for her encouragement and her support. My dad and my siblings, Joseph, Maame Efua and Lennin also deserve special mention. To my friends, Nana Yaa Amponsah, Harriet,
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