Large-Scale Land Acquisitions and Customary Land Tenure Systems : Corporate Playground or Minefield? The Case of Addax Bioenergy SL Ltd. and a Communal Land Conflict in its Project Area

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2013-09
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en
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Large-scale land acquisitions (LSLAs) are the subject of a heated debate among academics, non-governmental organisations (NGOs), and development institutions. Given the risks these acquisitions bring with them, some international institutions have proposed Codes of Conduct (CoCs) for companies that wish to pursue a socially responsible LSLA. Many critics find these CoCs to be ineffective in sufficiently protecting affected communities from LSLA related risks, such as food security and landlessness. There are, however, other ways in which an LSLA affects communities: they are likely to induce local renegotiation of land governing authorities and the legitimacy of those authorities. This may especially problematic in post-conflict societies, where relations between people and authorities may be ambiguous or contested. An LSLA may worsen these relations and may even enforce exclusion and social tensions. It is thus important to look beyond the question whether or not a CoC guided LSLA is desirable as development tool and to assess how an LSLA affects land governance processes. This research focuses on how Addax Bioenergy SL Ltd. - a company that pursues a presumably socially responsible LSLA in Sierra Leone’s Northern Province - affects social dynamics and local land governance processes in Komarabai, a village in their project area. By doing so, the aim of this study is to contribute to to the debates on CoCs by exploring what the International Finance Corporation - Performance Standards (IFC-PS) and the Roundtable on Sustainable Biofuels - Sustainability Standards (RSB-SS) are lacking and whether and how overlooked effects of LSLAs can be better addressed in these CoCs. Qualitative research conducted in July-September 2012 found that (i) land governance in Sierra Leone is organised through strict social hierarchies, that are based on narratives of descendancy. This causes both land governance and the social hierarchies to be prone to disagreements and thus conflict. (ii) Competing visions on social hierarchies created a conflict over authority in Komarabai. This conflict over authority formed the basis of a conflict that was fought over a territory. (iii) Disagreement between conflicting parties over what constitutes a legitimate authority impedes mutual acceptance of possible solutions presented by third parties. This led the conflict to come to a stalemate prior to the Addax project. (iv) When the company made its entry in the area, the village head man was appointed as a central point of contact in the community. Given the fact that his authority was contested, Addax contributed to exclusion by showing respect for local (land) governing actors, (v) Addax’s signatory system has led the company to be perceived as a legitimate authority in the area, (vi) the implementation of CoC recommendations, such as stakeholder engagement has contributed to the resurgence of the conflict, rather than providing a platform where all stakeholder could equally participate and present their concerns. In addition, both the CoCs and Addax’s project design display a reliance on the legitimacy of traditional and other governance actors, whereas this case indicates that their legitimacy might well be contested, which in turn may result in failure to resolve a conflict. These conclusions lead to the notion that there does not seem to be a panacea that ensures negative consequences of LSLAs to be effectively mitigated or neutralised. Companies involved in large-scale land acquisitions should therefore look beyond the CoCs and determine for themselves to what extent the recommendations are relevant to the environment they wish to conduct business in. At the same time, it is advised to such companies to be highly aware of local problematic circumstances, because the example of Addax Bioenergy indicates that marginalisation and social tensions can be triggered accidentally.
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Faculteit der Managementwetenschappen