Environmental Reporting, Corporate Governance, and Sustainable Development in Africa’s Mining Sector

In addressing sustainability, there are debates as to whether the focus should be on the corporate-led Environmental, Social and Governance (ESG) indicators or the United Nations-led Sustainable Development Goals (SDGs). Interestingly, corporate-led standard setters like the Global Reporting Initiative (GRI) continue to link their frameworks to the SDGs, and firms are increasingly linking the SDGs to their ESG reporting in their sustainability reports. In this chapter, we explore the current corporate reporting landscape from a global perspective and link it to the current state of environmental reporting practices among mining firms in Africa, the determinants, and the link with the SDGs. The study reveals how African firms continue to be laggards in the environmental reporting and the broader sustainability reporting landscape. With the mining sector being an environmentally sensitive “hotspot,” the study argues that the private sector has a critical role in driving sustainable development and environmental action. There is a discussion of the current developments in the reporting landscape and the progress toward harmonization and standardization. It is evident that the future of African corporate reporting needs to be more proactive in addressing environmental issues. With the understanding that the SDGs are time-bound while the private sector initiatives are not, the study calls for companies to consider the SDGs as a macro-framework in driving their corporate strategic stance. Also, with the youthful African population and an increasing number of young people that are concerned about environmental issues, the chapter discusses how firms need to leverage the use of the SDG framework with the other frameworks as a means to enhance corporate reputation and competitive or transient advantage. The discussions of the study reveal useful insights for policymakers, civil society stakeholders, government officials, the international community, professional and regulatory institutions, the mining sector, and the academic community.