The Impacts of Mining on Arctic Environment and Society from Corporate Social Responsibility and Sustainable Development Perspectives : The Case of Jokkmokk (Kallak) Iron Mines in Northern Sweden

Abstract:

Extractive industry in Arctic is controversial due  to the ecosystems and communities in the region are highly sensitive to natural and anthropogenic disturbances as it is one of the world’s global change hot-spots, as well as its uniqueness and distinctive social and ecological significance. As mining industry has developed into sophisticated operations, yet the basic causes of environmental pollution and degradation and impacts on the natural environment of the Arctic region remain unchanged. Mining in this environment may be faced with dilemmas as the result of adverse impacts they may cause and their escalating environmental footprints;  as well as reactions from pressure groups and indigenous peoples, which in turn may have a detrimental effect on their reputations and financial performances. This may further have social, environmental and political risks in their present and future roles and operations. Thus, the mining industry ought to recognize the impacts in their operations, and are required to work towards minimizing the adverse impacts and maximizing the substantial benefits of their actions on the environment, the community and local people. Corporate social responsibility (CSR) and sustainability are supposed to be two of several principles used to examine the social and environmental endeavours and results of business activity.

The aim of this thesis is to assess the environmental and social impacts associated with major mining operations Arctic region, and to conduct preliminary review of the perspectives of CSR and sustainable development in countries across the Arctic region and subarctic, especially the United States of America (USA), Finland and Sweden. As well as conduct comparative study and analysis on how corporate entities in these countries dealing with the two theoretical frameworks and how they are approached in practice and managed, and information are disclosed. The study also concentrates on how these issues can be handled in the case of Jokkmokk (Kallak) Iron Mines in Sweden. Different methodological approaches and techniques have been adopted in this study. The literature review is supplemented by interviews with strategically important stakeholders. The Environmental Impact Assessment (EIA) statement is reviewed and conceptual modeling is also employed to demonstrate the dynamic effects and consequences of the Kallak North Iron Mines. The findings in this thesis propose that the corporations’ in the USA show differences from those of the European countries in defining and  addressing social and environmental concerns; as well as managing CSR and sustainability issues and communicating them as there are qualitatively different practices and approaches to CSR in these countries. In conclusion, main points are suggested as important recommendations entailing of some clear expectations to fulfill on how CSR and sustainability issues may be handled by extractive industry including the case of Jokkmokk (Kallak North) Iron Mines.