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Implementing SLO in the SecREEts Project for Rare Earth Extraction

Explore how the SecREEts project is applying Social License to Operate (SLO) principles in the extraction of rare earth elements (REEs). This includes engaging with local communities, mapping stakeholders, and building trust to ensure the acceptability and legitimacy of the project.

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Implementing SLO in the SecREEts Project for Rare Earth Extraction

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  1. High-level Expert Panel on SLO23/09/2019 Martin Watson & Clara Boissenin Prospex Institute Martin.Watson@prospex-institute.org Clara.Boissenin@prospex-institute.org

  2. SecREEts Pilot processes based on innovative extraction, separation and transformation of REEs Industrial implementation will provide at least 3000 tonnes annually of REEs Efficient use of European raw materials Complete value chain in Europe More info at: http://www.secreets.eu

  3. SLO in Boutilier & Thomson 2011 Boutilier & Thomson originally worked on SLO “to help [their] clients and [themselves] make sense of the confusing array of challenges raised by stakeholders.” “A social licence to operate is a community’s perceptions of the acceptability of a company and its local operations” • A concept they defined through the mining industry in Bolivia • SecREEts is applying some SLO aspects to European raw materials manufacturing: • Acceptability of a company by the community • Local engagement at industrial pilot sites

  4. Mapping stakeholders in SecREEts Using Freeman (1984) definition of stakeholders as groups or individuals who can affect or be affected by the actions of a company/policy Prospex-CQI method is part of the Stakeholder Integrated Research approach (Gramberger & co 2014) C- Criteria: Defining a set of criteria and categories for stakeholder groups that are or could either be affecting the topic, be affected by it, or both; Q- Quota: Setting specific minimum quotas for all categories; I- Individuals: Identifying individuals that fit the categories, with the overall selection fitting the quotas set.

  5. Arrowhead model in Boutilier & Thomson 2011 • Economic legitimacy • Perception that the company/project offers a benefit to the perceiver • Socio-political legitimacy • Perception that the company/project contributes to the wellbeing of the region, respects the local way of life, meets expectations about its role in society and acts according to stakeholders’ views of fairness • Interactional trust • Perception that the company/project listens, responds, keeps promises, engages in mutual dialogue and exhibits reciprocity in interactions • Institutionalized trust • Perception that relations between stakeholders and the project/company are based on an enduring regard for each other’s interests Levels of SLO with the Four Factors that Determine the Proportions of Stakeholders at Each Level (Boutilier & Thomson 2011)

  6. Multi-level engagement in SecREEts • European-level engagement - Policy Council • Yearly meeting in Brussels (BE) • Mapping and engaging policy and industrial stakeholders • Discussing strategic needs for REE • Assessing the pertinence and potential of SecREEts • Local engagement – Citizen Labs • Yearly meetings at the pilot sites of Porsgrunn (NO) and Ellesmere Port (UK) • Mapping and engaging members of the local community • Introducing REE in general and the SecREEts project • Identifying concerns and opportunities

  7. About the Citizen Labs • Ellesmere Port (UK) • Strong industrial region, but our local partner is rather new to the area • First meeting in January 2019, general interest about Rare Earth and enthusiasm about the international dimension of the project • Follow-up bilateral meetings to define potential activities (school visit, science fair, university lecture, talks with local associations…) • The main challenge is to encourage the local industrial partner to engage with activities suggested by local stakeholders • Porsgrunn (NO) • Strong industrial region with two partners, one of them being the backbone of the local economy • First meeting in August 2019, the community is already well educated on rare earth • Interest in the project, but in a more pragmatic way • No follow-up contact yet, to happen in the next months

  8. Arrowhead model in SecREEts • Economic legitimacy • Little immediate economic benefit from SecREEts • But understanding of longer-term opportunity • Socio-political legitimacy • Positive contribution to local way of life • Need more data on fairness • Interactional trust • Next months are critical for SecREEts to follow-up on stakeholders’ suggestions and activities • Institutionalized trust • Difficult – SLO conducted by PI as intermediary, with a short time frame. Need to prepare partners for after the project

  9. To discuss The SecREEts project is a time-limited R&I action funded through the Horizon 2020 European programme. How can R&I projects apply mainstream SLO approaches? In particular: How does the “arrowhead model” apply to the context of a project, limited in time? Can institutionalized trust be reached? Does the “arrowhead model” allow for a third party as an intermediary between the stakeholders and the company?

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