SCENARIO 2
The first community has now been resettled, but as Magda Mining prepares to initiate the resettlement and compensation of the remaining three communities, the local chief calls the mine officials and you as a representative of ESCA to his palace.
He says he wishes to renegotiate the agreement previously agreed upon with the company regarding the resettlement and compensation for his subjects. Since Pangora has a two-pronged legal system, one formal and one customary, a local chief has certain traditional rights of ruling and ownership of land in his kingdom. However, a chief’s position as a representative for the communities is enrooted in tradition and culture more than national law.
At the meeting, the chief says that he is very unhappy with the first resettlement. He states that he has been “cheated” by the company, and that his subjects have been “lured away” from his kingdom. He continue by accusing the mine of bypassing his authority by compensating the affected directly instead of going through him. He demands that he, as a representative for the communities, is given the autonomy to give out land deeds and appropriate compensation as he see fit to the relocated communities. “This is my responsibility to my people, not yours. You are just visitors on my land.” He says.
Four locally elected headmen from the affected communities are also present at the meeting, invited by the chief. When it is their turn to speak, they inform you and the people from the mining company that they have held new, internal, stakeholder meetings in the not yet resettled communities. Apparently, the communities have now unanimously agreed to reject the first agreement made with the mining company – that they should be resettled and compensated to have their livelihoods restored. Now most people wish to instead receive cash-only compensation for their land and assets.
After the meeting, the company officials look to you for guidance on what to do. The contracts have already been signed, but they do not wish to enforce evictions and relocations without local support. They are willing to change the contracts to cash payments only, upon your recommendation to do so.
What do you do?
Advice the company to respect the demands of the local leaders.
Advice the company to re-initiate stakeholder meetings in order to go through with the resettlements as planned.