CSR Stakeholder Engagement, Governance, Social Impact and Environmental Sustainability Relationships Among Mining Communities in Ghana

Abstract

This research examines the relationship between CSR stakeholder engagement, CSR social impact and environmental sustainability in gold mine host communities in Ghana, using governance and leadership as mediators. Applying stakeholder and institutional theory, the research deployed a positivist paradigm and a cross-sectional quantitative design and sampling technique to select 400 residents from seven Newmont host communities in the Ahafo region. Data analyses were conducted using Partial Least Squares (PLS) Structural Equation Modelling (SEM). Results demonstrated that CSR stakeholder engagement has significantly positive effects on environmental sustainability and CSR social impacts positively on environmental sustainability. CSR governance and leadership was also positively related to environmental sustainability. Additionally, CSR governance and leadership were also identified as mediating the relationships of CSR stakeholder engagement, CSR social impact and environmental sustainability. The findings indicate that CSR performance leads to significant environmental benefits only when the policies are implemented in strong governance frameworks and with leadership that is dedicated to transparency, accountability and sustainability. The study makes theoretical contribution by combining relational and institutional perspectives in explaining CSR effectiveness and practical contribution by identifying governance and management systems as the pivot for achieving green environmental performance goals in mining communities in Ghana.