Extractive Industries and Water Governance in the Nile Basin, now and in 2030: Lessons from Upstream around Lake Victoria in Tanzania   Donald Kasongi,

Outline Background Political Economy Analysis of Water Governance in Extractive Investments Spotting the emerging issues in policies and practices Are there promising practices? Recent lessons from the field Challenges in improving water governance in extractive destinations Conclusions Recommendations and the way forward 1/2/2019 Donald Kasongi

Background Extractive resources have demonstrated the potential to bring significant wealth to states, even though translating this into sustainable development cannot be guaranteed. The extractive sector is invariably linked to most of the Sustainable Development Goals (SDGs) Since the 1990s, North Western Tanzania has become a magnet for mining investments There is abundant evidence that aquatic and riparian ecosystems are subject to a number of threats. Increasingly, there is growing understanding of the environmental and health impacts of wastewater constituents and toxic contents found in effluents from extractive operations 1/2/2019 Donald Kasongi

Political Economy Analysis of Water Governance in Extractive Investments Political Economy Analysis is about understanding how change is embedded within and shaped by political and economic relations that interact and are particular to each context. These political economy dynamics determine the distribution of power and resources within any given society and must be taken into account when attempting to achieve change(Denny and Domingo,2017 ) 1/2/2019 Donald Kasongi

Spotting the emerging issues in policies and practices There is growing evidence that pollution and degradation of water sources are widespread and likely to deepen the vulnerability of local The only corporate-community interface is through the voluntary Corporate Social Responsibility Lack of clarity and transparency on local content and Corporate Social Responsibility systems renders communities to view extractive corporate as self-regulating Lack of information on environmental compliance in the field leads to the common belief that regulatory systems are hugely opaque for communities and local authorities. Exclusion of local authorities and communities in environmental monitoring during extractive operations  Environmental and Social Impact Assessments in custody of national authorities not popularized in the local context Failures of engagement at local level raise anxiety in communities with ultimate feeling of government capture Competence of local authorities in regulation questioned while central government not taking steps to address the gaps 1/2/2019 Donald Kasongi

Are there promising practices? Extractive sector corporate sector engagement through consultations with local community and institution on water governance is fundamental Due diligence processes are meaningful when they are inclusive of local stakeholders to address credibility deficit   Establishment of “shared value “ initiatives in which the government, corporate sector 1/2/2019 Donald Kasongi

Recent lessons from the field Recognizing the value of multi-stakeholder collaboration from the beginning of operations. Articulating collaboration should not be viewed as difficult, impractical, time-consuming, and conflicting with corporate reputational objectives Making it simple for communities and local government authorities to understand the models and metrics guiding environmental compliance and accountability. In order to optimize expectations in the local context, investments in removing barriers for communication should be built into local consultations and social engagement functions Much as extractive companies are aligning with upper national government levels, the approaches should be replicated at local level to avoid the feeling of fragmented governance Civil Society Organization and aid agencies should deploy their experiences facilitate the practical intersection between their missions and corporate interests through partnerships to improve local societal outcomes on water governance 1/2/2019 Donald Kasongi

Challenges in improving water governance in extractive destinations Policy confusion on the multi-level responsibilities and accountability for ecological monitoring Sector blindness limiting the visibility of water catchment management The experience on trans- boundary water governance models at basin level not rippling Heavy governmentalization of trans-boundary initiatives 1/2/2019 Donald Kasongi

Conclusions It is time to take stock of the regulatory mechanisms towards allowing more proactive inclusion of local level institutions and communities in ecological monitoring. Whereas the regulatory role of government is critical in environmental compliance, civil society through Nile Basin Discourse is challenged to reposition in promoting local accountability on balancing economic and social benefits of extractive industries 1/2/2019 Donald Kasongi

Where do we go from here ? Rediscovering the role of local government authorities and their communities in water resources management Exploring and promoting incentive mechanisms for community inclusion in ecological monitoring Resolving the policy confusion on the multi-level responsibilities and accountability for local water governance Attention to Environmental flows and Payment for Environmental Services through mainstreaming strategies Tracking corporate sector compliance on sustainable natural resources management through participatory methods and sensitivity to local context Strengthening the synergetic collaboration of institutional actors in the basin including exploring ways to work with -non traditional partners   1/2/2019 Donald Kasongi