Evaluation of the Effectiveness of Environmental and Social Impact Assessment Compliance on the Mining Sector in Rwanda

Abstract

This research evaluates the mining sector of Rwanda in terms of compliance, enforcement challenges and implementation of the Environmental and Social Impact Assessment (ESIA) regulatory requirements.  As at 2022, the sector was one of key economic drivers contributing hugely about $733 million in exports and 3.6% of GDP to the growth, however, the sector is undoubtedly grappling with obvious environmental and social challenges. The effectiveness ESIA compliance in the mining sector was evaluated using a mixed-methods approach, integrating qualitative and quantitative data from the government, companies, and communities. Data were analyzed using frequencies, percentages, means, regression and correlation analysis. The results indicated that males across all age groups constituted 62% of the miners while female constituted only 38% demonstrating a higher participation of males in the mining sector compared to females. Also, various levels of inconsistency in compliance with proper ESIA procedures and guidelines were observed with only 28% of the companies in Full Compliance (FU), 48% Partial Compliance (PC), and 24% showed Non-Compliance (NC).  It was also observed   that a statistically significant negative correlation was observed between deforestation and ESIA compliance (r = -0.62, p < 0.01), and a strong inverse relationship was found between ESIA compliance and water contamination (r = -0.58, p < 0.01). Similarly, a stronger ESIA enforcement corresponds with lower biodiversity loss (r = -0.55, p < 0.01). ESIA compliance and stakeholder participation were correlated and the result showed (r = 0.67, p < 0.01), also, the relationship between ESIA compliance and conflict reduction was (r = -0.54, p < 0.05). Again, significant positive relationship between ESIA compliance and mining sector profitability (β=0.42, p<0.01 & beta = 0.42, p < 0.01 β=0.42, p<0.01) was observed. While ESIA compliance initially imposes higher operational costs, the regression analysis indicated that it ultimately results in long-term cost savings (β=−0.38, p<0.05 & beta = -0.38, p < 0.05 β=−0.38, p<0.05). The findings highlighted a strong association between ESIA compliance and a company's market reputation (β=0.55, p<0.01 & beta = 0.55, p < 0.01β=0.55, p<0.01). The study recommends strengthening regulatory oversight, implementing digital compliance tracking, enhancing community participation, and enforcing stricter penalties for non-compliance. Addressing these challenges is essential for aligning Rwanda's obligated best practices in the mining sector with Vision 2050 and the Sustainable Development Goals (SDGs), ensuring responsible resource management, proper environmental conservation, and responsible social justice.

Key words : Mining, Compliance, Environment, Sustainability, Impact, Assessment