Codes of conduct
Social responsibility agreements in Ghana’s forestry sector
Enabling forest communities in Ghana to participate in benefits from timber
Authors:
D.M. Ayine
Publisher:
International Institute for Environment and Development , 2008
In Ghana, legislation requires logging firms to commit a portion of their financial resources towards the provision of social amenities to local forest communities. Logging firms must perform this legal obligation by signing and implementing “Social Responsibility Agreements” (SRAs) with forest communities. This report is about legal arrangements for enabling forest communities in Ghana to participate better in the benefits generated by timber activities.
The document considers whether SRAs serve as effective vehicles for the sharing of benefits between local forest communities and investors. It reviews experience with Social Responsibility Agreements, and looks at what difference they have made to forest communities. In addition the author assesses the design, implementation and outcomes of Social Responsibility Agreements in the forestry industry in Ghana, drawing on a number of SRAs concluded between timber firms and local communities. Conclusions include:
- Ghana’s experience may provide interesting lessons for other countries that are looking into developing arrangements to promote benefit sharing in forestry or in other sectors
- the positive features of SRAs include clearly laid out minimum standards, explicit legal backing, and consideration for the conditions laid out in SRAs in the selection process for competitive TUC bids
- wthe legal framework provides an enabling environment for the negotiation of SRAs, the actual practice of negotiating and implementing these agreements leaves much to be desired
- Social Responsibility Agreements may become a more effective tool if local groups are better equipped to negotiate them. This requires establishing mechanisms to broaden community representation, so as to minimise local elite capture of SRA benefits.



