Accepted paper:

Local community as an actor in negotiating local cooperation agreements with mining industry: case of Mongolia


Oyuntuya Shagdarsuren (University of Bonn)

Paper short abstract:

Widening the participation in natural resource governance is an important aspect of development projects working in the extractive sector. This paper explores one such initiative aimed at improving the flow of benefits from mineral resources to local communities through Local Cooperation Agreements.

Paper long abstract:

Developing countries rely heavily on natural resources both for trade and subsistence purposes. The management of these resources is governed by the state, however, the implementation of laws and policies requires an active involvement and cooperation with local communities. In recent decades, a broad range of user groups such as water monitoring groups, forest user groups and pasture user groups have been established in Mongolia with assistance of international donor projects. These actors represent local communities who form the joint user groups to help them engage in ongoing dialogue with other stakeholders. For management of mineral resources, the flow of benefits to the local community has emerged as a critical issue. A tri-partite and sometimes four-partite councils have been advocated and experimented for effective flow of investments for local development based on mineral resources. Local Cooperation Agreements are perceived as a tool to reduce conflicts and help create a constructive dialogue by facilitating the use of resources as well as ensuring investments into local communities. This paper explores the case of Mongolia specifically focusing on the policy and practice of engaging local communities in decisions and negotiations of local cooperation agreements.

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