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Sylva 1
Anna Sylva
Dr Sando
Geos 320
May 1 2015
The Effects of Multinational Corporations on the Environment
Case Study: The Republic of Sierra Leone
Multinational corporations are one of the few important factors that have brought an
increase in wealth to both developed and developing nations. However, multinational
corporations have also contributed to the degradation of the environment caused by commercial
activities such as mining. This is common in developing nations because they need foreign
investors to create more jobs in the economy, and as a result they endure the environment effects.
In developing nations such as Sierra Leone, mining companies such as Sierra Rutile mining has
caused more harm than good. The activities by Sierra Rutile mining has caused a decrease in
arable land, a decrease in available hunt, the creation of unnecessary lakes that harbor disease
carrying bacteria and contaminated water, and most families also lose their homes. Sierra
Leoneans live in frustration due to the fact that they do not benefit from the mining boom.
Sierra Leone remains one of the poorest and least developed countries on the West
African coast. This West African nation is endowed with mineral resources that have attracted
renewed economic interest. Sierra Leone endured a civil war from 1992- 2002. After a 10 year
long civil war, the country undertook a journey to economic recovery. Economic recovery has
been slow because the rebuilding needs are numerous (BBC News). Sierra Leone is also rich in
diamonds and other minerals but half of its population lives in absolute poverty (BBC News).
The government of Sierra Leone receives all its funding from foreign investors and International
Sylva 2
development agencies. This need attracted multinational corporations into this resource rich
nation.
In Sierra Leone, erosion has led to so many families losing their places of residence.
Taking sand from one part of the beach upsets the balance and directly hits the coast. This leaves
buildings whose foundations have been washed from underneath as a result of sand-mining
susceptible to destruction. Many of these individuals that live around the coast are watching their
houses slowly erode. However most of these families cannot afford to move so they remain
along the coast expecting the worst (This is Sierra Leone).
However despite most families’ reluctance to leave, they are eventually forced to sell their lands
and leave due to lands being overcome by the sand which threatens the foundations of these
houses (Standard Times Press). From this image, the damages caused by sand mining is very
evident, as this house has being brought down to ruins. Families spend huge amounts of money
Sylva 3
to protect the fence from falling, but the destruction that awaits them is unavoidable. It is the
ultimate price that has to be paid due to extensive sand mining in these residential areas
(Standard Times Press). Another technique most residents are using to protect their houses is the
use of stone walls that are believed to be strong enough to withstand any form of destruction;
however the construction of stone walls cannot prevent these buildings from facing destruction
because the sand is being taken away on an hourly basis (Standard Times Press). In Lakka
Village, a small community where the effects of mining has hit hard, villages report that houses
fall down in the community on a daily basis. It has become so extreme to the point that a
building that is standing erect today might not be in the same position if you return to the village
a week or so later (Standard Times Press).
Alongside the destruction of housing leaving people displaced without anywhere to call
home, deforestation and the decrease in arable land has also become a major issue for Sierra
Leoneans that are enduring the effects of mining within their communities. Extensive mining has
disrupted the eco system thus decreasing the availability of arable land. As people are being
forced to relocate out of the coastal communities, they cannot claim lands anywhere else which
hence leaves with no form of employment to feed their families. Chemicals such as titanium
dioxide also known as Rutile has contributed in destroying the top soil which makes it hard or
even impossible to cultivate anything on agricultural lands. The chemicals being used have also
affected sea organisms such as the fish that die from poisoning. It has become increasingly hard
for families to survive from the land and the sea as they have both being contaminated by mining
companies. These hardships have increased the poverty rate which contradicts what
multinationals stand for which is supposedly the creation of jobs and opportunities for their host
countries. The rebuilding process for Sierra Leone will take a while to come to fruition because
Sylva 4
damages caused on the environment by multinationals and the recent Ebola outbreak has set the
nation back many steps down the development ladder (Interview: Andrew Conteh).
In the picture above, the horrible effects of deforestation is seen. The landscape has been
completely destroyed by mining. However landscapes altered by mining can be rehabilitated
with enough available funds or through land restoration programs. For example in the Kono
district of Sierra Leone, a non-profit called Brilliant earth has supported land restoration
programs and they are helping revive the local ecosystem and make former land mines available
for farming in the long run ( Brilliant Earth).
Global economic interests exploit natural resources and impact the environment. Export
production of materials and other natural resources such as Rutile; primarily benefit the core
countries or the developed nations at the expense of the peripheral nations which are developing
Sylva 5
countries such as Sierra Leone. Through this imbalance partnership, natural environments of
peripheral nations are destroyed. There are no other jobs for Sierra Leoneans as most of the
economy is now focused on mining. Mining has become a big business in the region employing
almost thousands of workers who travel regularly for work (The Guardian). It is believed that the
world’s largest supply of Rutile can be found in Sierra Leone (MIDAS). Sierra Rutile, a major
mining company in Sierra Leone is making huge profits from the sale of Rutile. The price of
Rutile according to the global economic prices has rocketed since 2013 due to a shortage in
supply in previous years. This now brings the price of Rutile to more than $2,500 per ton
(MIDAS). While Sierra Leoneans are languishing in poverty and struggling to find employment
and make ends meet, companies such as Sierra Rutile are making millions at the expense of the
poor. While high government officials that have signed contracts with mining companies are
reaping the benefits of the deals, middle class Sierra Leoneans are looking for ways to keep the
tourism industry booming (Standard Times Press).
Sand
mining is destroying Sierra Leone’s tourism industry as the beaches consist of one of Sierra
Sylva 6
Leone’s most beautiful asset (Coastal Care.org). The potential jobs that can be created from the
tourism industry are all part of wishful thinking as the environment is enduring further
destruction. The beaches are being degraded and the eco-tourism projects are failing because the
beaches they are meant to protect are being destroyed. Sand mining is jeopardizing most
villages’ hope of attracting tourists (ThisisSierraLeone).
Sierra Leoneans demand change but the government has done little or nothing at all to
respond to the complaints of its citizens. Most citizens demand that the government put stringent
measures to protect their environment. They also demand that the government pay more attention
to what is going on in the environment in order to establish regulations that will limit sand
mining (Standard Times Press). The protection of natural resources require the participation of
many parties which therefore means that there is a need for an integrated set of programs by host
countries to halt massive environmental damage (The Jakarta Post). Through this method,
Multinational corporations can be rooted out if they do not follow standard procedure for
sustainable practices in running their businesses (The Jakarta Post). Another possible way to
limit participation in sand mining by the citizens of Sierra Leone if for the government to provide
alternative employment options that are sustainable. Mining pays better than most jobs out in the
peninsula thus most young people will much rather work for mining industries than sit idle
(ThisisSierraLeone). Consumer boycotts and public information campaigns are another way to
get the word out on the destruction caused by multinational corporations in Sierra Leone. This
can be instrumental in bringing change in some instances (The Encyclopedia of Earth).
However it still remains the task of governments especially the government of Sierra Leone in
this case to set the legal boundaries for how multinational corporations should behave. Reforms
at the national level can be initiated to limit the damages caused by multinationals and through
Sylva 7
this the social wellbeing of the citizenry will be considered and held at high esteem (The
Encyclopedia of Earth). International Corporation is also needed to raise awareness about the
dangers posed by multinationals in countries such as Sierra Leone. Multinationals transcend the
global market and national boundaries which gives them a larger audience. However since they
are transcending borders, it becomes increasingly hard to regulate these corporations, however
with international treaties and international institutions multinational corporations can be
scrutinized and checked. International aid will help develop civil governance since there is no
world government that can enforce laws for multinationals to follow (The Encyclopedia of
Earth). In 2009, the Mines and Mineral Act was introduced to protect the economy, the
environment and the interest of the people of Sierra Leone. Thus Act amends laws pertaining to
the use of land for mining and provides a list of regulations and procedures (The Mines and
Mineral Act, 2009).The benefits of this act are yet to be seen in Sierra Leone as the country is
still experiencing colossal damages caused by mining companies (MIDAS). An integrated
approach to environmental monitoring and policy strategies is needed in developing countries to
regulate the activities of mining companies.
With the provision of laws, it will be easier to control multinationals, however
establishing these laws have become a major problem. There is a lack of a standardized
verification system that will put everything in place. Another problem is that most multinationals
focus on the shareholders and the profit making ventures instead of focusing on the affected
groups which includes the people that are displaced and put out of work by these companies, the
consumers and the workers (The Encyclopedia of Earth). Corruption and poverty has also served
as a hindrance in establishing laws that will protect the environment. Local chiefs are getting rich
taxing the land and thus are refusing to understand the plight of the people (ThisisSierraLeone).
Sylva 8
There is also confusion about who is in charge, in 2004; the control of natural resources was
vested upon local chiefs leaving the Environmental Protection Agency (EPA) out of the picture.
The leadership role granted to chiefs has left the EPA without power and unable to act
(ThisisSierraLeone). Finally the lack of understanding on the harmful effects of the chemicals
being mined also serves as stumbling block for any form of legal intervention. A change of
perception is needed to better understand the destructive effects of mining. Once people start
seeing the impact, there will be an increased amount of pressure which will then force
governments to come to the aid of local communities (ThisisSierraLeone).
The rules of developed countries are stricter than those of developing countries thus
multinational corporations relocate to places where the law is very flexible and corruption is
rampant. They are able to bribe their way through without getting in trouble for illegal activities.
It is also very easy to penetrate into the markets of developing nations because they need
investors and will jump at any opportunity that presents itself. It is believed that multinational
corporations are strictly profit minded businesses and have no legal obligation to keep the
interest the of the host country. It will be very hard to put a stop to the environmental damages
caused by multinational corporations but by tracking environmental change, a better
understanding of what is going on can be used to alleviate the issues. Financial constraints might
make this initiative impossible but with dedication, at least some part of this initiative will be
established.
Sylva 9
Works Cited
"Blood Diamond-Environment." Brilliant Earth. Web. 1 May 2015.
Conteh, Andrew. "The Effects of MNCs on Local Communities." Personal interview. 17 Apr.
2015.
Digdowiseiso, Kumba. "How MNCs Threaten Our Environment." The Jakarta Post 22 Oct.
2010. Print.
"Ebola's Catastrophic Consequences on Sierra Leone’s Small-scale Mining Sector." The
Guardian 4 Nov. 2014. Print.
Ginsburg, J.A. "How Saving West African Forests Might Have Prevented the Ebola
Epidemic." The Guardian 3 Oct. 2014. Print.
Hart, Joanne. "Titanium's Strength Lifts African Miner Sierra Rutile." Thisismoney. 18 Feb.
2012. Web. 18 Apr. 2015.
"How Illegal Sand Mining in Sierra Leone Is Destroying the Local Beaches." How Illegal Sand
Mining in Sierra Leone Is Destroying the Local Beaches. Coastal Care, 3 Apr. 2015.
Web. 29 Apr. 2015.
"In Pictures: Sand Mining in Sierra Leone." BBC News 7 Jan. 2013. Print.
Kindama-Dumbuya, Ishmael. "Sand Mining Will Continue to Relocate Families in Sierra
Leone." Standard Times Press. Print.
"Sand Mining in Sierra Leone." This Is Sierra Leone. Print.
"Social and Environmental Responsibility of Corporations." Social and Environmental
Responsibility of Corporations. Encyclopedia of Earth. Web. 24 Apr. 2015.
Sylva 10
"The Mine's and Minerals Act, 2009." (2010). Print.

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Multinationals and the Environment-Final Copy

  • 1. Sylva 1 Anna Sylva Dr Sando Geos 320 May 1 2015 The Effects of Multinational Corporations on the Environment Case Study: The Republic of Sierra Leone Multinational corporations are one of the few important factors that have brought an increase in wealth to both developed and developing nations. However, multinational corporations have also contributed to the degradation of the environment caused by commercial activities such as mining. This is common in developing nations because they need foreign investors to create more jobs in the economy, and as a result they endure the environment effects. In developing nations such as Sierra Leone, mining companies such as Sierra Rutile mining has caused more harm than good. The activities by Sierra Rutile mining has caused a decrease in arable land, a decrease in available hunt, the creation of unnecessary lakes that harbor disease carrying bacteria and contaminated water, and most families also lose their homes. Sierra Leoneans live in frustration due to the fact that they do not benefit from the mining boom. Sierra Leone remains one of the poorest and least developed countries on the West African coast. This West African nation is endowed with mineral resources that have attracted renewed economic interest. Sierra Leone endured a civil war from 1992- 2002. After a 10 year long civil war, the country undertook a journey to economic recovery. Economic recovery has been slow because the rebuilding needs are numerous (BBC News). Sierra Leone is also rich in diamonds and other minerals but half of its population lives in absolute poverty (BBC News). The government of Sierra Leone receives all its funding from foreign investors and International
  • 2. Sylva 2 development agencies. This need attracted multinational corporations into this resource rich nation. In Sierra Leone, erosion has led to so many families losing their places of residence. Taking sand from one part of the beach upsets the balance and directly hits the coast. This leaves buildings whose foundations have been washed from underneath as a result of sand-mining susceptible to destruction. Many of these individuals that live around the coast are watching their houses slowly erode. However most of these families cannot afford to move so they remain along the coast expecting the worst (This is Sierra Leone). However despite most families’ reluctance to leave, they are eventually forced to sell their lands and leave due to lands being overcome by the sand which threatens the foundations of these houses (Standard Times Press). From this image, the damages caused by sand mining is very evident, as this house has being brought down to ruins. Families spend huge amounts of money
  • 3. Sylva 3 to protect the fence from falling, but the destruction that awaits them is unavoidable. It is the ultimate price that has to be paid due to extensive sand mining in these residential areas (Standard Times Press). Another technique most residents are using to protect their houses is the use of stone walls that are believed to be strong enough to withstand any form of destruction; however the construction of stone walls cannot prevent these buildings from facing destruction because the sand is being taken away on an hourly basis (Standard Times Press). In Lakka Village, a small community where the effects of mining has hit hard, villages report that houses fall down in the community on a daily basis. It has become so extreme to the point that a building that is standing erect today might not be in the same position if you return to the village a week or so later (Standard Times Press). Alongside the destruction of housing leaving people displaced without anywhere to call home, deforestation and the decrease in arable land has also become a major issue for Sierra Leoneans that are enduring the effects of mining within their communities. Extensive mining has disrupted the eco system thus decreasing the availability of arable land. As people are being forced to relocate out of the coastal communities, they cannot claim lands anywhere else which hence leaves with no form of employment to feed their families. Chemicals such as titanium dioxide also known as Rutile has contributed in destroying the top soil which makes it hard or even impossible to cultivate anything on agricultural lands. The chemicals being used have also affected sea organisms such as the fish that die from poisoning. It has become increasingly hard for families to survive from the land and the sea as they have both being contaminated by mining companies. These hardships have increased the poverty rate which contradicts what multinationals stand for which is supposedly the creation of jobs and opportunities for their host countries. The rebuilding process for Sierra Leone will take a while to come to fruition because
  • 4. Sylva 4 damages caused on the environment by multinationals and the recent Ebola outbreak has set the nation back many steps down the development ladder (Interview: Andrew Conteh). In the picture above, the horrible effects of deforestation is seen. The landscape has been completely destroyed by mining. However landscapes altered by mining can be rehabilitated with enough available funds or through land restoration programs. For example in the Kono district of Sierra Leone, a non-profit called Brilliant earth has supported land restoration programs and they are helping revive the local ecosystem and make former land mines available for farming in the long run ( Brilliant Earth). Global economic interests exploit natural resources and impact the environment. Export production of materials and other natural resources such as Rutile; primarily benefit the core countries or the developed nations at the expense of the peripheral nations which are developing
  • 5. Sylva 5 countries such as Sierra Leone. Through this imbalance partnership, natural environments of peripheral nations are destroyed. There are no other jobs for Sierra Leoneans as most of the economy is now focused on mining. Mining has become a big business in the region employing almost thousands of workers who travel regularly for work (The Guardian). It is believed that the world’s largest supply of Rutile can be found in Sierra Leone (MIDAS). Sierra Rutile, a major mining company in Sierra Leone is making huge profits from the sale of Rutile. The price of Rutile according to the global economic prices has rocketed since 2013 due to a shortage in supply in previous years. This now brings the price of Rutile to more than $2,500 per ton (MIDAS). While Sierra Leoneans are languishing in poverty and struggling to find employment and make ends meet, companies such as Sierra Rutile are making millions at the expense of the poor. While high government officials that have signed contracts with mining companies are reaping the benefits of the deals, middle class Sierra Leoneans are looking for ways to keep the tourism industry booming (Standard Times Press). Sand mining is destroying Sierra Leone’s tourism industry as the beaches consist of one of Sierra
  • 6. Sylva 6 Leone’s most beautiful asset (Coastal Care.org). The potential jobs that can be created from the tourism industry are all part of wishful thinking as the environment is enduring further destruction. The beaches are being degraded and the eco-tourism projects are failing because the beaches they are meant to protect are being destroyed. Sand mining is jeopardizing most villages’ hope of attracting tourists (ThisisSierraLeone). Sierra Leoneans demand change but the government has done little or nothing at all to respond to the complaints of its citizens. Most citizens demand that the government put stringent measures to protect their environment. They also demand that the government pay more attention to what is going on in the environment in order to establish regulations that will limit sand mining (Standard Times Press). The protection of natural resources require the participation of many parties which therefore means that there is a need for an integrated set of programs by host countries to halt massive environmental damage (The Jakarta Post). Through this method, Multinational corporations can be rooted out if they do not follow standard procedure for sustainable practices in running their businesses (The Jakarta Post). Another possible way to limit participation in sand mining by the citizens of Sierra Leone if for the government to provide alternative employment options that are sustainable. Mining pays better than most jobs out in the peninsula thus most young people will much rather work for mining industries than sit idle (ThisisSierraLeone). Consumer boycotts and public information campaigns are another way to get the word out on the destruction caused by multinational corporations in Sierra Leone. This can be instrumental in bringing change in some instances (The Encyclopedia of Earth). However it still remains the task of governments especially the government of Sierra Leone in this case to set the legal boundaries for how multinational corporations should behave. Reforms at the national level can be initiated to limit the damages caused by multinationals and through
  • 7. Sylva 7 this the social wellbeing of the citizenry will be considered and held at high esteem (The Encyclopedia of Earth). International Corporation is also needed to raise awareness about the dangers posed by multinationals in countries such as Sierra Leone. Multinationals transcend the global market and national boundaries which gives them a larger audience. However since they are transcending borders, it becomes increasingly hard to regulate these corporations, however with international treaties and international institutions multinational corporations can be scrutinized and checked. International aid will help develop civil governance since there is no world government that can enforce laws for multinationals to follow (The Encyclopedia of Earth). In 2009, the Mines and Mineral Act was introduced to protect the economy, the environment and the interest of the people of Sierra Leone. Thus Act amends laws pertaining to the use of land for mining and provides a list of regulations and procedures (The Mines and Mineral Act, 2009).The benefits of this act are yet to be seen in Sierra Leone as the country is still experiencing colossal damages caused by mining companies (MIDAS). An integrated approach to environmental monitoring and policy strategies is needed in developing countries to regulate the activities of mining companies. With the provision of laws, it will be easier to control multinationals, however establishing these laws have become a major problem. There is a lack of a standardized verification system that will put everything in place. Another problem is that most multinationals focus on the shareholders and the profit making ventures instead of focusing on the affected groups which includes the people that are displaced and put out of work by these companies, the consumers and the workers (The Encyclopedia of Earth). Corruption and poverty has also served as a hindrance in establishing laws that will protect the environment. Local chiefs are getting rich taxing the land and thus are refusing to understand the plight of the people (ThisisSierraLeone).
  • 8. Sylva 8 There is also confusion about who is in charge, in 2004; the control of natural resources was vested upon local chiefs leaving the Environmental Protection Agency (EPA) out of the picture. The leadership role granted to chiefs has left the EPA without power and unable to act (ThisisSierraLeone). Finally the lack of understanding on the harmful effects of the chemicals being mined also serves as stumbling block for any form of legal intervention. A change of perception is needed to better understand the destructive effects of mining. Once people start seeing the impact, there will be an increased amount of pressure which will then force governments to come to the aid of local communities (ThisisSierraLeone). The rules of developed countries are stricter than those of developing countries thus multinational corporations relocate to places where the law is very flexible and corruption is rampant. They are able to bribe their way through without getting in trouble for illegal activities. It is also very easy to penetrate into the markets of developing nations because they need investors and will jump at any opportunity that presents itself. It is believed that multinational corporations are strictly profit minded businesses and have no legal obligation to keep the interest the of the host country. It will be very hard to put a stop to the environmental damages caused by multinational corporations but by tracking environmental change, a better understanding of what is going on can be used to alleviate the issues. Financial constraints might make this initiative impossible but with dedication, at least some part of this initiative will be established.
  • 9. Sylva 9 Works Cited "Blood Diamond-Environment." Brilliant Earth. Web. 1 May 2015. Conteh, Andrew. "The Effects of MNCs on Local Communities." Personal interview. 17 Apr. 2015. Digdowiseiso, Kumba. "How MNCs Threaten Our Environment." The Jakarta Post 22 Oct. 2010. Print. "Ebola's Catastrophic Consequences on Sierra Leone’s Small-scale Mining Sector." The Guardian 4 Nov. 2014. Print. Ginsburg, J.A. "How Saving West African Forests Might Have Prevented the Ebola Epidemic." The Guardian 3 Oct. 2014. Print. Hart, Joanne. "Titanium's Strength Lifts African Miner Sierra Rutile." Thisismoney. 18 Feb. 2012. Web. 18 Apr. 2015. "How Illegal Sand Mining in Sierra Leone Is Destroying the Local Beaches." How Illegal Sand Mining in Sierra Leone Is Destroying the Local Beaches. Coastal Care, 3 Apr. 2015. Web. 29 Apr. 2015. "In Pictures: Sand Mining in Sierra Leone." BBC News 7 Jan. 2013. Print. Kindama-Dumbuya, Ishmael. "Sand Mining Will Continue to Relocate Families in Sierra Leone." Standard Times Press. Print. "Sand Mining in Sierra Leone." This Is Sierra Leone. Print. "Social and Environmental Responsibility of Corporations." Social and Environmental Responsibility of Corporations. Encyclopedia of Earth. Web. 24 Apr. 2015.
  • 10. Sylva 10 "The Mine's and Minerals Act, 2009." (2010). Print.