Social License for Closure—A Participatory Approach to the Management of the Mine Closure Process
Abstract
:1. Introduction
- Decarbonization of the Polish economy. The current situation of the Polish mining sector in the face of transformation activities is described. It is pointed out that the inevitable decarbonization of the Polish economy is a great challenge for Poland.
- Social acceptance of liquidation. The current methods of involving the community in the decommissioning process and the perceived gaps are presented.
- Sustainable development and social issues in the context of mine closure. The need to consider the three SD pillars (environment, society, economy) at the liquidation stage is emphasized, and the discussed area is indicated as requiring development and continuing research.
2. Theoretical Background and Literature Review
2.1. Decarbonization of the Polish Economy
2.2. Social Acceptance of Mine Closure
2.3. Sustainable Development and Social Issues in the Context of Mine Closure
3. Materials and Methods
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- Case study of the Lower Silesian Coal Basin (LSCB) and the city of Wałbrzych to illustrate the unforeseen consequences of the comprehensive and improperly managed liquidation of hard coal mines. The city of Wałbrzych experienced an economic decline after the closure of all mines in the 1990s. To clarify the nature and scale of the problems, an analysis of statistical data on unemployment and population was carried out. The number of unemployed people in the Wałbrzych region in the years 1990–2020 (data source: Poviat Labor Office in Wałbrzych [66]) and population changes in the years 1995–2020 (data source: Central Statistical Office [67]) were analyzed. The differences in the analyzed time periods result from the availability of data. We supplemented this data with the study of the Statistical Office in Wrocław from 2019 [68] to indicate that Wałbrzych is still struggling with problems of a socio-economic nature. A review of the literature describing the scale of problems of the LSCB after its liquidation was carried out. The review was supplemented with information from the documents and studies of the Wałbrzych City Hall: Social Territorial Plan for Just Transformation of the Wałbrzych Subregion [69], Resolution No. XIX/285/2016 of the Wałbrzych City Council of March 29, 2016 (with attachments) [70].
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- Presentation of the current activities of Polish mining companies in the face of mine closures based on non-financial reports of mining companies. Reporting non-financial data related to CSR in Poland is regulated by law in accordance with the Accounting Act [71], implementing the EU Directive 2014/95/EU [72]. At the beginning of 2017, the presentation of these data (ESG: E—Environmental, S—Social, G—Governance) became an obligation among selected entities meeting the criteria of the number of employees and the level of financial results. A list was prepared showing the activities planned and implemented by mining companies in environmental and social aspects. Data from three companies mining hard coal in Poland were analyzed: Tauron, Lubelski Węgiel Bogdanka and Jastrzębska Spółka Węglowa.
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- Analysis of approaches involving the community in closure planning. The Google Scholar database was searched for the co-occurrence of specific phrases in the articles, such as: “mine closure planning”, “stakeholder engagement”, “sustainability”, “corporate social responsibility”, “social license”, “social contract”, “social acceptance”, “European Union”. Based on this, a review of stakeholder engagement practices in closure planning was made. The guidance on mine closure and mine closure planning approaches involving the community in planning mine closures were analyzed (prepared by World Bank Group, Department of Mines and Petroleum & Environmental Protection Authority (DMP&EPA, Western Australia), Anglo American, International Council on Mining and Metals (ICMM) and EIT RawMaterials Closurematic project).
4. Closure of Hard Coal Mines in Poland—Previous Experience and Prospects
4.1. Wałbrzych as an Example of an Incorrect Liquidation Process
- 48th place, taking into account the city’s own income per capita in PLN, which amounted to PLN 3088, while the first place in the ranking was PLN 7834, and the last place was PLN 2277;
- 62nd place, taking into account completed dwellings per 10 thousand inhabitants—15.2 dwellings, while the first place in the ranking is 177.7 and the last 5.8 dwellings;
- 50th place, taking into account the share of people using social assistance, which amounted to 4.7%, while the first place in the ranking was 1.4%, and the last was 8.0%;
- 42nd place, considering the registered unemployment rate, which amounted to 4.9%, while the first place in the ranking was 1.0% and the last place was 11.3%. The unemployment rate of the City of Wałbrzych is decreasing every year—in 2017 it was 7.2%, and in 2018 it was already 6%. However, it remains higher than in the entire Lower Silesian voivodeship.
- The situation and needs of mine workers. It is reasonable to analyze the labor market vs. professional skills of people leaving mining plants; targeted training response, including improving professional competences and acquiring the skills to look for a new job and preventing professional inactivity (activation of the region’s inhabitants).
4.2. Planned Activities of Mining Companies in the Face of Liquidation of Hard Coal Mines
5. Involving Communities in Closure Planning—An Overview of World Practices
6. Social License for Closure—Assumptions and Framework of Functioning
6.1. Identification and Mapping of the Stakeholders
6.2. Proposed Organizational Approach
7. Discussion
8. Conclusions
Author Contributions
Funding
Institutional Review Board Statement
Informed Consent Statement
Data Availability Statement
Conflicts of Interest
References
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Information | Tauron | Lubelski Węgiel Bogdanka | Jastrzębska Spółka Węglowa |
---|---|---|---|
Basic information | 6458 employees (in Tauron Wydobycie, employment contract as at the end of 2020), including 566 women. Coal mining is carried out in three plants: Brzeszcze, Janina, Sobieski. | 4929 employees (employment contract as at the end of 2020), including 278 women. Mining is carried out at the Bogdanka mine (the mining area is divided into three subareas). | 21,973 employees (employment contract as at the end of 2020), including 2071 women. Mining is carried out in the following coal mines: Borynia-Zofiówka, Budryk, Jastrzębie Bzie, Knurów-Szczygłowice and Pniówek mainly producing coking coal, but also coal for energy purposes. |
Planned and implemented activities-environmental issues | Increase in the share of installed capacity in low and zero-emission sources to 28% in 2025 and to 66% in 2030. Decrease in emissions by approx. 50% in 2030 (compared to 2018). The introduction of the “TAURON Green Return” program in 2019, updating the strategic directions of the Group, includes, inter alia, investments in renewable energy | Awareness of changes related to the Energy Policy and taking responsibility for preparing the region for them. Gradual abandonment of thermal coal production and increasing coke production. In 2020, the contractor for the feasibility study for the construction of a photovoltaic farm on the company’s premises was selected. Among the strategic initiatives until 2030: sustainable use of heaps. Work in the team preparing the anti-smog resolution for the province Lublin. | Reduction of the carbon footprint, identification and reduction of emissions in the production chain; energy self-sufficiency; use of methane and coke oven gas to produce electricity and heat; has the title of “Climate Aware Company” based on a climate awareness survey conducted by the Reporting Standards Foundation, the Association of Stock Exchange Issuers and Bureau Veritas Polska Awareness of the end of steam coal exploitation. |
Planned and implemented activities-social issues | Caring for the competences of employees to match the needs of the changing energy industry: development of new competences, preparation for change management; focusing on acquiring new qualifications and improving employees’ competences. The realization takes place through the implementation of development initiatives and recruitment of staff. Meetings with the “social party” identified as employees (internal stakeholders) concerning, inter alia, financial situation in the TAURON Group or the implementation of the Voluntary Redundancy Program in the Group companies. | Engaging in work on the Territorial Just Transition Plan for the Lubelskie Voivodeship. Preparation of employment guarantees for employees independent of the Social Contract [39]. | Awareness and emphasizing of future socio-economic changes in the region. Planning meetings of the JSW management board with local government officials, the purpose of which will be, inter alia, presentation of employment plans (recruited employee profile). System of training and development programs offered to employees as a key element of the low-emission transformation. |
Searched Phrases | Number of Results |
---|---|
“mine closure” | 18,400 |
“mine closure planning” | 1080 |
“mine closure planning” AND “sustainability” | 685 |
“mine closure planning” AND “corporate social responsibility” | 171 |
“mine closure planning” AND “social contract” OR “social license” OR “social acceptance” | 159 |
“mine closure planning” AND “stakeholder engagement” | 236 |
“mine closure planning” AND “stakeholder engagement” AND “sustainable development” AND “corporate social responsibility” | 73 |
“mine closure planning” AND “European Union” | 112 |
“mine closure planning” AND “stakeholder engagement” AND “sustainable development” AND “corporate social responsibility” AND “European Union” | 10 |
Source & Author | Identified Stakeholders | Comments |
---|---|---|
Toolkit for sustainable decommissioning prepared by World Bank Group (2010) | Four stakeholder categories: authorities (central, provincial/regional & local governments), responsible parties (company, joint venture, or operator), potentially affected parties (communities, employees/workers, local businesses), interested parties (lenders/development agencies, decommissioning subcontractors, industry organizations, insurance/bond/third party guarantee providers, civil society, other) | Prepared toolkit encourages to use stakeholder engagement to better understand key community priorities and to contribute as partners in closure planning, while at the same time fine-tuning government’s role in this process. |
Guidelines for Preparing Mine Closure Plan made by DMP & EPA (2015) | Internal: mine managers, mine planners, engineers, staff involved in mine planning; External: government (regulatory agencies, local authorities), post-mining land owners, local community members or groups, non-government organizations, adjacent landholders, downstream users of surface and groundwater resources. | The guidance suggests that the Mine Closure Plan should include Stakeholder Engagement Register (identifying the rehabilitation and closure consultation that has been conducted) & Stakeholder Engagement Strategy (identifying the stakeholder engagement) |
The Integrated Closure Planning System (ICPS) developed by Anglo American (2015) | Four stakeholder groups: employees, affected parties, interested parties & regulators | The identified ICPS sub-processes related to target conditions include but are not limited to evaluate internal and external stakeholder expectations and implement the Stakeholder Engagement Plan. Via the ICPS social aspects are fully integrated. |
Guidelines prepared by ICMM (2019) | Internal: mine employees; External: local community members, indigenous community leaders, regional and local government representatives | The guidelines emphasize that the stakeholders should include informal and traditional representatives of women, youth, community associations, vulnerable groups, and under-represented minorities |
Closurematic project funded by EIT RawMaterials (2018–2021) | Internal (including working contractors) & external | Introduction of the digital management system for mine closure and mechanism for interaction with both internal and external stakeholders: dedicated digital stakeholder engagement systems. |
Level | Expected Stakeholders | Decommissioning Concerns | Decommissioning Opportunities |
---|---|---|---|
1 | employees of mining enterprises | - finding stable employment, ensuring decent earnings [8,106]; | - retraining and development of new skills; - finding employment in a safe working environment |
2 | regional authorities | - increase in unemployment in the region, increase in social assistance costs [107]; - migrations, population decline, shrinking cities [107]; - lower investment attractiveness of the region [108]; - reduction of the region’s tax revenues and reduction of investment expenditure [108]; - abandoned post-mining infrastructure and reduced attractiveness of the region [109]; - environmental changes (i.e., disturbances in water conditions [110], deterioration of water quality [111], pollution and contamination of air, waters, river sediments and soil [112,113], changes in abiotic conditions for habitats and species of plants and animals, secondary deformations site [114]), requiring long-term monitoring, intervention and protection; | - economic development of the region, use of post-mining facilities in directions that provide income, e.g., tourism; - development of renewable energy investments ensuring a clean environment for residents; - attraction of new investments to the region; - investments in new public utilities; |
inhabitants of the mining region | - liquidation of workplaces indirectly related to the operation of the mine [73]; - deterioration of the technical and social infrastructure [88]; - degradation of urban space [75,85]; - increase in inappropriate social behavior [28]; | - creating new jobs related to the transformation of the region; - increasing the attractiveness of the urban landscape, improving the quality of life of the inhabitants; | |
entrepreneurs and suppliers from the mining region | - de-industrialization of the region, shrinking economy, decline in demand for goods and services [106,115]; | - creating new cooperation opportunities; | |
3 | other working people | - favoring one social group (miners), no system support in the case of liquidation of other workplaces [116,117]; | - no need to maintain unprofitable mines; |
citizens | - ensuring energy security; - high and unpredictable decommissioning costs [8]; - economic collapse. | - development of new technologies providing an inexhaustible source of energy. |
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Kozłowska-Woszczycka, A.; Pactwa, K. Social License for Closure—A Participatory Approach to the Management of the Mine Closure Process. Sustainability 2022, 14, 6610. https://doi.org/10.3390/su14116610
Kozłowska-Woszczycka A, Pactwa K. Social License for Closure—A Participatory Approach to the Management of the Mine Closure Process. Sustainability. 2022; 14(11):6610. https://doi.org/10.3390/su14116610
Chicago/Turabian StyleKozłowska-Woszczycka, Aleksandra, and Katarzyna Pactwa. 2022. "Social License for Closure—A Participatory Approach to the Management of the Mine Closure Process" Sustainability 14, no. 11: 6610. https://doi.org/10.3390/su14116610