“Earning a Social License to Operate in Mining: A Case Study from Peru,” by Cesar Saenz (2019), offers a vivid exploration of the conditions under which mining projects can secure—and sustain—social legitimacy within Peruvian communities. Saenz begins by emphasizing that simple procedural compliance is insufficient: instead, real, locally rooted engagement is essential. By analyzing three distinct cases—an open-pit copper mine, a mid-scale gold operation, and a lithium project—he shows how meaningful social acceptance depends on more than legal licensing. It arises when companies demonstrate genuine respect for community norms, invest in shared infrastructure, and establish sustained presence through regular dialogue mechanisms.
A core contribution of the study is its structured application of stakeholder theory. Saenz maps community stakeholders across a spectrum that includes municipal authorities, farmer cooperatives, Indigenous groups, artisanal miners, and local NGOs. He then explores how each group’s expectations shape perceptions of legitimacy. For example, in one case, local Indigenous organizations had deep concerns about environmental monitoring and revenue-sharing. When the company adapted its engagement plan—adding Spanish-Quechua community meetings, improving environmental data transparency, and allocating royalties to local education—it shifted perceptions from suspicion to conditional acceptance. This demonstrates the importance of adaptivity and responsiveness in SLO processes.
Saenz also identifies three pillars that underpin SLO in practice: socio-economic awareness, transparent communication, and long-term commitment. Socio-economic awareness means that companies must understand and respect local economic dynamics, including artisanal mining interests and the role of agriculture. Transparent communication involves consistent and accessible information-sharing in local languages, and open consultation forums rather than one-off events. And long-term commitment is reflected in promises delivered—such as sustained employment, constructive use of royalties, and environmental remediation. Collectively, these pillars offer a nuanced blueprint for mining firms partnering in Peru: go beyond contracts, engage as partners, and prioritize the shared journey toward lasting community legitimacy.