Title: Conflicts between Mining Companies and Communities: Institutional Environments and Responses (Comparative Case Study Peru & Chile)
Author/Institution: CH Oh et al. – Business Ethics & Environmental Responsibility research Publication Year: 2023
Scope of the Study
The study Conflicts between Mining Companies and Communities: Institutional Environments and Responses explores how institutional contexts shape the emergence and resolution of mining-related conflicts in Peru and Chile, two of the world’s most important mining economies. By comparing these countries, the authors examine how differences in governance structures, regulatory regimes, and community relations affect both the intensity of disputes and the capacity of stakeholders to manage them. The research positions mining conflicts not simply as local disturbances, but as outcomes of broader institutional arrangements that define rights, responsibilities, and expectations.
Key Findings
The analysis shows that while both Peru and Chile face recurring mining conflicts, the institutional environments differ significantly in their capacity to channel grievances. In Chile, stronger regulatory frameworks and more established benefit-sharing mechanisms provide formal avenues for addressing disputes, although tensions remain around water use and Indigenous rights. In Peru, weaker state presence, fragmented institutions, and inconsistent enforcement amplify local grievances, leading to more frequent protests and roadblocks. Across both countries, the absence of early, meaningful engagement with communities was identified as a key factor escalating disputes into full-blown conflicts.
Implications for Policy and Practice
The study concludes that sustainable mining in resource-dependent countries depends as much on institutional credibility as on geology or capital investment. For policymakers, the findings stress the importance of strengthening governance frameworks, ensuring transparency, and building trust through consistent regulation. For companies, the lesson is clear: strategies must adapt to the institutional environment, combining compliance with proactive stakeholder engagement. Ultimately, the comparative cases of Peru and Chile highlight that effective conflict management requires not only technical solutions but also robust institutions capable of mediating between community demands and industrial development.