'You have to be with God and the Devil': Linking Bolivia's Extractive Industries and Local Development through Social Licences

Abstract

The social licence is an instrument that establishes the conditions for community acceptance of an extractive industry project in a locality. It emerges at the interface of debates on corporate social responsibility and indigenous rights in Bolivia. In this article, relations between mining companies and local communities are explored, with a particular focus on the role of participation and firm-based commitments to local development. The conclusions point to the limits of voluntary firm initiatives in strengthening local sustainable development. A more demanding regulatory instrument is required that may facilitate mutual agreement on the terms by which resources are extracted.