Environmental Engineering Reference
In-Depth Information
compensator. The negotiated price is at least sufi cient to enable the compensated party to
replace or renew whatever was sold.
The concepts of ownership and compensation, particularly i nancial compensation,
are alien to some indigenous societies and may be misunderstood. In the past, compensa-
tion has been negotiated with different perceptions about what the compensation is for.
Traditional owners have believed that they were being compensated for allowing access to
or usage of the land, while the mining company was paying for transfer of ownership with
consequent denial of access to traditional owners.
Language can be a signii cant problem. Given their different cultures, level of educa-
tion, and a tendency for non-indigenous groups to (for example) produce legalistic doc-
uments for negotiation, there is a considerable risk that neither group will succeed in
communicating its concerns or aspirations clearly.
Other factors relate to the form of compensation (i nancial or other), the recipients (indi-
viduals or groups), and payment schedules (in one or multiple instalments). Many indig-
enous societies function mainly outside the cash economy. Accordingly, some Indigenous
Peoples are largely unfamiliar with commerce and the 'value of money'. There are many
examples from the past where cash compensation in such circumstances has led to nothing
of lasting value while at the same time causing social disruption. Examples of innovative,
non-cash compensation schemes are rare, as most Indigenous Peoples prefer cash payment
and companies i nd it much easier to administer. In cases where compensation was paid
in the form of housing, vehicles, and equipment, the results have often been disappoint-
ing, because the recipient communities did not have access to spare parts or the capabilities
required for maintenance and repair.
Procedures for administration of compensation payments are also important to ensure
that compensation goes where it is intended. As always, large amounts of money often
attract opportunistic outsiders including criminals; Indigenous Peoples are particularly
vulnerable to exploitation by such people .
The concepts of ownership
and compensation, particularly
fi nancial compensation, are alien
to some indigenous societies and
may be misunderstood.
Uncontrolled Infl ux of People
A common problem in developing countries is the inl ux of people looking for work at a
new project, such as a mine under construction. If they are unable to i nd work, some will
remain in the vicinity hoping to i nd casual work. Uncontrolled inl uxes of people can lead
to 'shanty towns' characterized by poverty, poor sanitation, and high incidences of disease
and crime, which are potentially damaging to local indigenous communities.
A mining company does not normally have (or want) the legal authority to control
activities outside its mine site. However, companies need to anticipate where and when
large inl uxes of people may occur and to assist the authorities in their response to the situ-
ation. Such assistance might include sponsoring and paying for planning, capacity building
and strengthening of community services. In this way the mining company can cooperate
with and support an indigenous community to help preserve and protect its interests.
Disruption of Societal Organization
Societal organization, or the way a society organizes itself, is determined by many factors,
including population composition, activities, institutions, and interaction. Population com-
position is determined by factors such as gender balance, ethnicity, and age-group propor-
tions within a community. Daily activity trends may include employment participation,
 
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