Open access peer-reviewed chapter

The Blindspot of Environmental Issues in Corporate Social Responsibility in Africa

Written By

Yamikani Ndasauka

Submitted: 06 January 2024 Reviewed: 20 February 2024 Published: 18 September 2024

DOI: 10.5772/intechopen.1005184

From the Edited Volume

Corporate Social Responsibility - A Global Perspective

Muddassar Sarfraz and Kashif Iqbal

Chapter metrics overview

16 Chapter Downloads

View Full Metrics

Abstract

This chapter examines and interrogates why environmental sustainability has been marginally prioritised in Africa’s corporate social responsibility (CSR) efforts. While CSR programming has increased, ecological issues remain overlooked despite Africa’s acute climate change vulnerabilities threatening long-term development. After surveying CSR trends, climate risks and existing environmental commitments, the chapter identifies drivers perpetuating this blind spot, including lack of public eco-consciousness, emphasis on immediate basic needs given high poverty rates, policy trade-offs balancing growth and emissions, and uneven regulations and enforcement capacities. However, reconciling protections for ecosystems supporting livelihoods and economies with infrastructure access and industrialisation constitutes responsible business now. This demands strategically integrating environmental sustainability across CSR agendas through transparency, participation and climate justice. Business leadership must catalyse this system shift through partnerships fostering prosperity within ecological boundaries. CSR that fails to centre environmental stewardship amidst climate disruption forfeits legitimacy.

Keywords

  • CSR
  • Africa
  • environment
  • justice
  • accountability

1. Introduction

Corporate social responsibility (CSR) has become increasingly prominent across Africa over the past two decades, with companies undertaking various initiatives to benefit local communities and advance sustainable development. However, environmental sustainability issues have frequently been neglected or marginalised within African CSR agendas and programming compared to more overt social causes like health, education, poverty alleviation and infrastructure access. This lack of emphasis on environmental stewardship is highly concerning given Africa’s profound and mounting vulnerabilities to intensifying climate change impacts. Impacts include extreme weather events, worsening droughts, increased flooding, desertification, biodiversity declines, and broader ecological shifts undermining the natural capital and ecosystem services underpinning local livelihoods and development pathways.

This chapter examines why environmental stewardship has yet to be prioritised under African CSR agendas. The chapter contends that strategically transforming CSR programs in Africa to devote more resources towards environmental sustainability would increase public awareness, positively shape attitudes, and catalyse new socially and ecologically conscious behaviours over the long term. Business leadership has an opportunity to drive such a shift. However, progress relies on reconciling environmental protections with economic inclusion and participation through multi-stakeholder partnerships. The chapter begins by discussing the current state and critical issues shaping CSR approaches across African countries and companies. It then outlines why Africa remains uniquely vulnerable to climate change burdens despite contributing little to historical emissions. Next, the chapter surveys existing environmental CSR commitments and gaps. The bulk of the analysis then interrogates the political economy drivers, regulatory frameworks, socio-cultural attitudes, and business incentives perpetuating the lack of emphasis on ecological sustainability within CSR programs. Finally, the chapter argues that fulfilling universal corporate social obligations in Africa requires centring on environmental responsibility and climate justice, given the direct dependence of local livelihoods and development prospects on ecological stability.

Advertisement

2. The state and nature of CRS in Africa

Corporate social responsibility (CSR) in Africa contends with unique development challenges that vary enormously across contexts [1]. With 54 diverse countries, we risk overgeneralising the business landscape. Economic realities and stakeholder expectations differ significantly from rising economies like Nigeria and Kenya to post-conflict nations like Rwanda. However, despite national particularities, African CSR strategising must consider localised social needs and universal corporate principles [2]. Endemic poverty conditions frame CSR not as philanthropy but as an ethical obligation; governance gaps require that firms avoid corruption in operational partnerships. Uneven infrastructure compels creative distribution and sustainability commitments attuned to rural access limitations. Ultimately, responsible conduct means addressing societal inequalities exacerbated by market activities. While Africa hosts escalating consumption classes, parallel deprivations in essential services propagate distrust. In addition, the diversity across African nations means responsible firms must emphasise local variability in CSR delivery, even as they uphold consistent ethical values in business dealings across all contexts.

While terminology and reporting structures may be imported from Western frameworks, CSR in Africa has followed a more community-centric path, prioritising philanthropic assistance over embedded, strategically integrated responsibility [3]. This emphasis on meeting immediate societal needs like health, education and welfare over business case approaches reflects Africa’s deprivation and vulnerability. However, debates continue transitioning towards more sustainable, capacity-building CSR without abandoning communities [4]. Complex dynamics underpin these tensions between international standards and localisation imperatives, global business integration versus community expectations, and competing developmental priorities in poor societies with limited resources [5]. Understanding Africa’s unique CSR narrative requires examining key issues across industries, stakeholders and national contexts.

Defining CSR priorities constitutes a central tension in Africa, given contrasting community demands, government policy objectives and business strategic goals. Four vital and interlinked CSR issues stand out. First is the community focus and the philanthropy-strategy debate. With high poverty rates, limited social services, and underdeveloped infrastructure, local African communities understandably expect corporations—especially high-profile foreign investors in extractives, infrastructure and agriculture—to fill developmental gaps as part of their social licence to operate [6]. CSR, therefore, focuses first on providing jobs, building schools and clinics, improving livelihoods and access to necessities like clean water. However, should community assistance remain the business’s responsibility? Critics argue that such an approach risks fostering dependence without empowering communities to meet their needs over the long term [7]. This critique feeds into debates on transitioning from philanthropic, spend-based CSR to more strategic initiatives targeting core business operations and value chains to enable sustainable economic participation and self-sufficiency.

The second debate concerns navigating community expectations surrounding shared values, which remains tricky yet imperative across Africa’s resource projects [8]. When governments overpromise but underdeliver local benefits—jobs and incomes from natural resource concessions—unrealistic assumptions take hold. Without precedent on the timing or scale of potential gains, communities lack context, while firms fail to grasp local priorities and constraints. Tensions ignite when anticipated benefits fail to materialise, fuelling distrust quickly. Proactive, transparent engagement between companies and communities aligns objectives, sets reasonable expectations, and works towards shared value [9]. Frank dialogue maps mutual interests and realities to find common ground. Africa’s history of inequitable resource extraction elicits scepticism around dividing risks and rewards between producers and host communities—a legacy requiring urgent repair. Renewing that broken social licence means closing expectation gaps through consistent communication and forecasting gains at realistic levels.

The third debate considers striking the right balance between legislated and voluntary CSR [10]. The regulation sets standards and motivates laggard firms. However, most argue that incentives and partnerships better empower businesses to alleviate poverty and drive sustainable development [11]. External reporting pressures also risk a box-ticking culture over real behavioural change. There are no definitive answers to balancing business interests, government policy, and social needs. However, genuine CSR requires a strategic shift—from philanthropy and optics towards integrated and substantive solutions [12]. With weak institutions, legislation risks uneven enforcement and overburdening compliant firms. Incentives and partnerships thus enable more firms to internalise societal objectives voluntarily. Still, regulations play an essential signalling function around minimum ethical standards that should be non-negotiable across all businesses. Hybrid approaches that regulate egregious practices while incentivising voluntary efforts beyond compliance may suit the African context best.

Finally, pressure builds between localising CSR to resonate and standardising for external stakeholders. Global reporting frameworks and business models drive uniformity [13]. However, resonance requires calibrating to national and community realities—from cultural nuances to societal expectations. Even leading African firms need to customise before exporting external models. However, standardisation brings clarity for regional and global investors around shared values and ethical commitments in operations. There are no easy fixes to resolve this tension. Necessary compromise means core responsibility principles that align with global conventions while customising programming to local developmental needs and cultural preferences. Jointly creating appropriate accountability tools with communities and policymakers can reinforce localisation fit. Africa still largely relies on external assessments of responsible conduct. However, insider insights on ethical risks and possible harms should inform standardised reporting. Ultimately, responsible businesses in Africa cannot sacrifice resonance for stakeholders that matter most - communities themselves - in the name of external legitimacy.

2.1 Variations across industries, countries and stakeholders

CSR priorities and performance unsurprisingly vary across industrial sectors, national contexts and stakeholder groups in Africa. While common themes permeate, pluralism across several dimensions merits highlighting. The natural resource sector features prominently across African CSR research, reflecting the industry’s disproportionate economic footprint and risks in often fragile resource-rich states [14]. Oil, gas, and mining operations concentrate capital, infrastructure, and jobs in remote regions, which affects livelihoods, migrant labour, and community dynamics. This confrontation of vulnerability and opportunity plays out through CSR in contested ways. However, the concentration of scholarship should pay attention to broader CSR patterns across small and medium enterprises (SMEs), family conglomerates, manufacturing, transport, telecoms, banking, healthcare and other service industries [15]. As economies diversify, understanding whether and how CSR practice permeates broader corporate activity will grow in importance.

CSR strategies align with national development agendas and industrial policies—which diverge across Africa’s sub-regions with their distinct economies [1]. Contrasting priorities shape CSR in resource-heavy central and western Africa, more diversified northern and southern countries, and the predominantly agricultural East. South Africa’s leadership in sustainability reporting reveals noteworthy national variety [16]. Pan-African themes resonate, but analysis must avoid flattening dynamics driving CSR at federal and local levels across Africa’s economically heterogeneous and socially complex landscape. Given heavy foreign involvement, resource-based economies need interventions on revenue transparency, environmental standards and benefit sharing. More diversified, service-based economies better integrate CSR across banking, telecoms, retail and other mature sectors. Agrarian societies might prioritise interventions targeting sustainable agricultural practices and smallholder livelihoods. These distinctions matter when translating policy into practice. While Africa shares common development challenges, varied industrial structures and priorities call for avoiding one-size-fits-all CSR. There are multiple context-specific paths on Africa’s road towards ethical and sustainable business.

CSR debates frequently overlook uneven power relations across companies, communities, and public and private sectors [9]. Multinationals garner disproportionate attention yet constitute smaller players. The responsible conduct of domestic small- and mid-sized enterprises (SMEs) slips under the radar. Power imbalances permeate CSR outcomes, mirroring social divides across gender, class and urban-rural geographies [17]. Large foreign firms retain immense influence over supply chains, linking remote producers to global consumers. Urban elites often dominate decision-making around resources that impact rural livelihoods and environments. Minority or disenfranchised groups struggle for representation in development planning on their lands, yet rarely reflect bottom-up aspirations. As CSR differs across sectors and countries, so do uneven power relations within societies determine who participates and who benefits. Renewing Africa’s growth path towards inclusivity and sustainability first requires empowering its diverse voices in decisions-driving socioeconomic futures. Moreover, responsible firms can choose to either exacerbate or help balance these complex, ingrained social power dynamics.

Despite ongoing gaps in translating responsible business principles into tangible livelihood and sustainability gains, promising progress has emerged. Beyond South African frontrunners, a vanguard of Nigerian and Kenyan conglomerates champions more strategic CSR—integrating economic inclusion and value chain programs [18]. Firms in banking, telecoms, commodities and other mature sectors increasingly view CSR as central to risk management, securing operating licences and nurturing local workforces over the long term. Large domestic firms also better grasp environments, enabling positive outcomes that meet business and social needs. And regional expansion drives transfers of more sustainable models. However, questions remain about whether smaller, informal players can undertake similar upgrades without public incentives or policy nudges around the standard setting. Scale and consistency issues also continue across projects despite growing CSR sophistication.

Cross-sector partnerships provide vital mechanisms to diffuse responsible conduct where state capacities fall short [19]. Collaborations across companies, government agencies, civil society groups, and development partners allow the pooling of expertise and local knowledge essential for embedding genuine CSR instead of detached reporting for external stakeholders. With so many African states stretched thin, the private sector must partner to fill governance gaps in providing public goods. National development visions increasingly recognise and reinforce responsible business conduct grounded in domestic realities and aligned with local priorities. However, while coordination across sectors prevents duplication of efforts, consistency of implementation across partners over time remains tricky. Questions persist around optimal participation and power balances to ensure policies and activities respond to public interests rather than sectoral agendas.

While CSR manifests differently across contexts, sectors and firms, Africa underdelivers the core pillars of ethical business: leadership commitment, community participation, transparency, and accountability [20]. Meeting immediate needs via jobs and charity must connect to long-term, strategic empowerment fostering inclusive economic participation, local skills and self-sufficiency. Beyond signals of good faith, responsible leaders embed sustainability by design, not as an add-on. Structural community engagement in decisions enables locally-owned development centred on self-defined aspirations. Transparency builds trust, while accountability ensures follow-through when gaps emerge between ambitions, actions, and outcomes. Universal frameworks constitute a starting point, but localised calibration is essential in moving CSR beyond a box-ticking exercise to transform Africa’s growth trajectory genuinely. Moreover, no blueprint can substitute for the humility to first listen before leading change.

Advertisement

3. Africa is uniquely vulnerable to climate change impacts

Climate change exacerbates Africa’s development challenges through escalating droughts, floods, cyclones and broader environmental shifts [8]. Impacts cascade across livelihoods, food systems, water access, health and conflict. Southern Africa, the Sahel, and Horn face intensifying drought with rainfall declines and temperature rises, while coastal flooding displaces West African communities. Indian Ocean cyclones also wreak greater humanitarian and economic havoc. Future projections suggest climate impacts could hit Africa disproportionately hard through spiralling crop failures, water scarcity, disease spread and economic declines compared to other developing regions [21]. Africa’s vulnerability reflects reliance on smallholder rain-fed agriculture, informal settlements in climate hotspots, inadequate resilient infrastructure, and weaker emergency response capacities. With livelihoods tied directly to natural capital, extreme weather undermines development more directly than elsewhere. Climate risks compound governance and fragility challenges through increasing migration, resource pressures and community conflicts.

Intersecting geographical, economic and institutional factors entrench climate vulnerabilities in Africa [22]. Poverty limits adaptation capacities, as livelihoods remain tied to climate-exposed smallholder farming. Informal settlements mushroom in low-lying urban zones vulnerable to flooding. Resilience deficits plague crisis response across communities, cities and national agencies alike. Such precarity reflects historical underinvestment, not intrinsic weaknesses.

Meanwhile, Africa’s negligible greenhouse gas emissions underscore the doubly unjust nature of disproportionate climate burdens. Governance challenges exacerbate climate pressures through increasing migration, resource disputes, and communal conflicts triggered by ecological decline. Ultimately, the story remains one of the human development pathways built on fossil fuels now destabilising the world’s most vulnerable people who contributed the least in emissions—but pay the heftiest price through loss of lives, livelihoods and ecological stability. Africa’s populations face existential threats rooted in the profits of others who do too little to curb further damage.

Africa’s latitudinal span across the tropics and subtropics sees warming already outpacing global averages, with drastic ecosystem shifts as floral, faunal, and pathogen ranges rapidly move poleward [23]. Biodiversity adaptation capacities remain uncertain, with risks of ecological tipping points. Meanwhile, climate models consistently predict precipitation declines this century for southern Africa, the western Sahel and the Horn of Africa. Moisture stress direly threatens rain-fed agriculture, which is dominant across the continent. Such drying stems from changes in sea surface temperatures and pressure systems altering historical rainfall patterns. Temperature rises drive higher evaporation losses, soil moisture loss and desertification, with shrinking lakes and rivers undermining water security for communities and wildlife. Of course, climate models carry inherent uncertainties. However, the preponderance of evidence points to a hotter, drier trajectory even as population growth and development needs continue rising. Africa faces a climate emergency compromising ecological stability and tenure of human settlement across regions.

Economically, heavy reliance on smallholder farming, livestock, forestry and fisheries leaves millions vulnerable to climate disruptions [24]. Production declines or failures reverberate through household incomes, nutrition, and livelihood transitions. National GDPs also remain closely tied to climate-sensitive export commodities like coffee, cocoa and minerals. Extreme weather, water constraints and damaged transport infrastructure undermine commodity chains. Growth projections already factor in climate impacts but underestimate future volatility. Adaptive capacities lag as most countries need more resources to invest sufficiently in resilient infrastructure and diversified economic activities less vulnerable to agricultural failure or commodity price shocks. Moreover, where livelihood transitions falter due to a lack of opportunity, climate migrants move to urban centres for income, stretching municipal service provision capacities. Without significant adaptation support, Africa’s projected population boom this century will overlap with increasing climate disruptions -undermining food and economic security.

Constrained state capacities, under-resourced policy responses, threadbare social safety nets and widespread poverty undermine climate resilience [25]. Agricultural adaptation remains limited, alternative work is inaccessible, commercial insurance is rare, and relocation is impossible for rural poor facing threats like coastal erosion or desertification. Infrastructure deficits exacerbate risk while informational, financial and technological barriers check transitions towards clean energy, climate-smart farming and ecosystem-based adaptation. Climate migrants thus swell urban peripheries, overburdening already inadequate services. Endemic governance challenges also hamper climate planning and funding flows from local to national levels. Moreover, where climate impacts interact with communal tensions over diminished natural resources, violence can readily emerge without mediation capacities. Overall, the need for more finance mechanisms reaching local government and producers hobbles preparation investments before disaster strikes and relief interventions afterwards. While climate vulnerabilities flow from external emissions drivers, internal development deficits render populations least responsible yet most exposed. Vulnerabilities concentrate among marginalised groups—low-income households, remote settlements, indigenous communities, and migrant workers—with climate shocks reinforcing structural inequalities [26].

Finally, climate change is a threat multiplier exacerbating resource disputes, migration fluxes, food price spikes, and disasters that overwhelm response capacities [25]. Transboundary water shortages and associated agricultural losses can ignite inter-community grievances even within nations, while spillovers of internal migration or refugees triggered by climate shocks may heighten regional tensions. Flooding and drought also often prompt food price volatility that further strains poorer consumers and inflames anti-government sentiments during protests over high living costs. Extreme weather events similarly expose institutional failures around warning systems, evacuation support, emergency shelter, and recovery efforts—all of which undermine state legitimacy when unreliable. Where such governance shortfalls intersect with pre-existing communal tensions, the strain can readily escalate localised climate event impacts into broader violence. The risks are highest in fragile contexts across the Sahel, Horn and southern Africa. Ultimately, climate change interacts with entrenched development deficits and governance fragilities to threaten hard-won stability gains, setting back African peace and prosperity.

Advertisement

4. The state of environmental CSR in Africa

Research on environment-focused corporate social responsibility (CSR) reveals interlinked progress across several fronts: growing private sector leadership among pioneering African multinationals, tightening regulatory frameworks with transparency mechanisms, increasing adoption of international sustainability standards, emerging green finance and impact investing, strategic public-private partnerships and leveraging technology and innovation for environmental stewardship.

First, a vanguard of leading African companies—especially South African industrials and Nigerian conglomerates along with ascendant Kenyan, Ghanaian and regional firms—spearheads sustainability strategies by embedding environmental risk management and conservation initiatives [16, 27]. Motivations blend ethical principles with global expansion calculations. Compliance gains hold on international reporting standards, emissions limits, and energy efficiency while proactive measures around conservation, clean technology adoption and product stewardship signal next-level commitments. Such approaches remain exceptional rather than the normal, concentrated among a few sustainability frontrunners. However, demonstrating that Africa can foster world-class sustainable enterprises remains vital, given Western assumptions of low standards. Pioneers aim to pull supply chains towards upgraded conduct rather than meet minimums or optics. Questions persist, though, around breadth, depth and consistency. Project scale, transparency and community participation determine whether showpiece initiatives eventuate into catalysts for diffusing best practices.

Second, emerging environmental regulations, development bank safeguards and sectoral guidelines impose improved conduct on significant investments [28]. Extractives and energy face particular scrutiny, though frameworks tighten across construction, agriculture and manufacturing. South Africa pioneers integrated reporting, combining financial and sustainability metrics for listed firms. While ahead of actual proficiency, such policy progress promises improved rigour and benchmarking to lift environmental CSR across sectors. Despite uneven enforcement, regulations signal directionality towards higher standards and prescribe methodologies standardising disclosure. Questions still need to be answered regarding upstream support and incentives enabling firms, especially domestic small and medium players, to enhance skills and outputs rather than measure transparency genuinely. Without accessible compliance guidance, under-resourced authorities risk over-burdening well-intentioned actors while unable to bring negligent groups to account. Meanwhile, ongoing infrastructure expansion stresses already degraded habitats and overexploited resources. Africa’s development pathways require balancing sustainability with scale through regulation and incentives, spurring responsible innovation.

Third, green finance and impact investing are beginning to influence environmental CSR in Africa. As sustainability-focused investment grows globally, these financial instruments can potentially drive corporate environmental responsibility [29]. Development finance institutions, multilateral banks, and private impact investors increasingly incorporate environmental, social, and governance (ESG) criteria into their funding decisions. Access to green finance can shape African companies’ CSR strategies and projects, encouraging the adoption of more sustainable practices.

Fourth, public-private partnerships (PPPs) are emerging as catalysts for environmental CSR initiatives. Collaborations between governments, businesses and civil society organisations can pool resources, expertise, and legitimacy to tackle complex sustainability challenges [30]. PPPs focused on renewable energy, sustainable agriculture, or ecosystem conservation provide models for scaling environmental CSR impact. Successful cases demonstrate the enabling factors for effective PPPs in Africa, such as shared vision, complementary strengths and robust governance mechanisms.

Finally, technology and innovation offer the potential to enable environmental CSR. Advances in clean energy, precision agriculture, remote sensing and blockchain could help companies monitor, manage and report on their environmental footprint more effectively [31]. African businesses are beginning to leverage these technologies for CSR purposes, realising benefits such as improved efficiency, transparency, and stakeholder engagement. However, access, affordability, and capacity-building challenges must be addressed to harness their potential fully.

Despite these promising developments, progress remains uneven. Upstream support and incentives are still needed to enable more firms, especially domestic small and medium players, to enhance skills and outputs rather than merely measure transparency. Without accessible compliance guidance, under-resourced authorities risk over-burdening well-intentioned actors while unable to bring negligent groups to account. Moreover, ongoing infrastructure expansion stresses already degraded habitats and overexploited resources. Africa’s development pathways require balancing sustainability with scale through regulation and incentives, spurring responsible innovation.

Advertisement

5. Why environmental issues are not adequately considered in African CSR

Despite rising sustainability rhetoric, environmental responsibility must be more integrated into broader CSR approaches across Africa. Multiple complex and interlinked blockages rooted in political economy, culture and consciousness undermine progress. Self-reinforcing state, market and community dynamics perpetuate the deficit. States balance infrastructure demands and growth imperatives against ecological protections. Markets prize short-term profits over long-term resilience. Communities facing endemic poverty often prioritise immediate needs before sustainability. Culture influences all spheres, shaping perceived trade-offs between development and conservation [32]. Governance and market failures generate mistrust, limiting social licences’ ability to operate. Moreover, the lack of climate change education curtails civic activism. Breaking inertia requires confronting political incentives, economic disincentives and socio-cultural perspectives obstructing environmental mainstreaming under combined responsibility frameworks. No singular policy, regulation or campaign promises to change. Instead, reconciliation works across state oversight, business operations and community partnerships. Sustainability demands reconciling environmental protections with energy access, employment and livelihoods. Progress emerges not from maximising narrow interests but from optimising equitable priorities supporting prosperity within ecological limits through accountability and participation.

First, beyond pockets of civil society mobilisation, African publics historically displayed relatively weak ecological consciousness and activism compared to rights, democracy and development movements. Where environmentalism gains local traction, it links more to visible livelihood impacts from extractives, wildlife and disasters rather than abstract planetary boundaries or existential threats like climate change galvanising Western activists. Essential public awareness, media coverage and societal discourse on sustainability thus lag, hindering consumer and civic pressures on companies. South Africa constitutes a partial exception, as the environmental movement fused conservation with anti-apartheid social justice appeals. However, across much of Africa, cultures prioritising environmental protection remain nascent. Education curricula feature minimal climate change or ecology exposure, reinforcing apathy. With endemic poverty and unemployment challenges occupying policy agendas, sustainability wrestles for political attention against immediate constituent needs. Moreover, where states pursue unfettered infrastructure expansion or resource extraction, fuelling growth at the environmental expense, resistance further marginalises. Cultural attitudes prove sticky to shift, especially under institutional messaging dismissing ecological threats. However, local voices connecting sustainability to community livelihoods and resilience gain standing, promising grounds for consciousness evolution.

Relatedly, Africa’s profound poverty and vast unmet welfare needs shape societal expectations of firms prioritising immediate health, jobs and infrastructure assistance over long-term ecological considerations. With limited state capacity, businesses fill provision gaps, but through donor-type philanthropy, they need to be connected to core strategy and environmental footprints. Community and government pressures emphasise visible clinics, roads and food relief rather than often invisible ecosystem stewardship and climate resilience [33]. Plight compels corporate generosity, easing frontline suffering—where Somalia’s pastoralists need emergency fodder, not climate forecasting. However, such legitimate humanitarian demands eclipse sustainability, entrenching deficits between current well-being and future welfare. Moreover, lacking transparency requirements or participatory planning processes, traditional CSR rarely aligns community priorities with responsible expansion. Co-option risks manifest when companies elicit local gratitude through charitable acts to secure acquiescence for harmful practices. Real progress requires reconciling ecological protections with economic inclusion—integrating environmental responsibility across decision-making rather than annexing sustainability initiatives. However, this demands communities to articulate expectations through participatory processes while firms uphold ethical obligations within operational strategies.

Consequently, healthcare crises, endemic poverty and uneven education access dominate public policy—more urgent on human timescales than climate change or biodiversity decline threatening future generations. Governments allocate minimal resources towards environmental agencies or resilience interventions rather than overflowing social sector needs [34]. Business CSR budgets mirror such priorities. Where nine in ten rural Africans still lack electricity access, governments prize expanding generation over clean energy transitions. With communities facing immediate livelihood precarity, adaptation seems an unaffordable luxury. This reality checks environmental policy budgets, capacity and commitments. Short political time horizons further discount long-term threats when current constituents prioritise jobs, healthcare and social spending. Such trade-offs need not constitute inherent conflicts; policy myopia risks irreconcilable tensions. Leadership involves transcending false dichotomies between environment and economy. Africa’s sustainability relies on balancing ecology, energy access and employment through responsible business models aligned with community realities and not detached from livelihood constraints and welfare demands.

Concurrently, a lack of strong environmental regulations, frameworks and enforcement enables a race to the bottom [28]. Firms exploit state oversight gaps, maximising extraction at minimum sustainability cost rather than adopting progressive safeguards and reporting. Even where statutory progress manifests on paper, implementation gaps pervade given low monitoring capacities. With underfunded and often capricious bureaucracies, compliance risks overburdening responsible actors while negligent entities escape sanction. Overlapping national and local authorities breeds confusion, allowing regulatory arbitrage. Clear yet practical guidelines match capacity, thus proving vital so stakeholders appreciate the duties and means for fulfilling them. An ethical business cannot hinge on punishment threats, given judiciary inconsistencies. Instead, progress relies on incentivising responsible conduct through market rewards and social licences to operate. Where communities understand and value sustainability, they can help hold firms accountable through participatory monitoring that lifts standards across laggards through naming and shaming.

The absence of consumer, civil society and media scrutiny compounded regulatory gaps in enabling ecological externalisation without damaging reputations or operations. South Africa again stands out with greater consumer awareness and shareholder activism, pressing firms on sustainability conduct. Elsewhere, low ecological visibility shields companies, while lack of transparency forecloses accountability that could force internalising environmental costs. With limited platforms for communities to voice concerns and participation channels to shape decisions, businesses sideline stakeholders bearing ecological burdens. Civil society mobilises unevenly across issues, geographies and sectoral fronts. Few organisations consistently spotlight business impacts on landscapes and livelihoods except for conservation groups. Investigative media sometimes expose negligence but rarely prompt redress from endemically unresponsive institutions. Ultimately, progress relies on informed, empowered societies holding firms to account through legal, advocacy, purchasing and investment levers. However, change still needs genuine environmental consciousness, avenues for voice, platforms for pressure and regulators addressing grievances with teeth, not just rhetoric.

Finally, portrayals of environmentalism as an elite Western concern foster perceptions of its irrelevance to poor majority communities prioritising daily survival [13]. Conservation groups often associated with external interests risk being seen as locking up resources from development or displacing communities. Climate change simultaneously appears too abstract and overwhelming for individual actions, absent visible impacts like flooding, desertification, or disaster displacement, which are concentrated in hotspots. Resulting in apathy enables states and businesses to dismiss sustainability as secondary to growth, infrastructure and employment. Nuanced narratives thus remain vital, highlighting how ecological stability and local livelihood resilience constitute two sides of Africa’s sustainable development coin. Business and economic expansion need to uphold environmental protections, just as conservation need not obstruct community aspirations if pursued collaboratively, not coercively.

Advertisement

6. Why do African CSR obligations require an environmental focus?

Across Africa, escalating climate disruptions, biodiversity declines, toxic pollution and intensifying land and water stresses spotlight community livelihoods’ dependence on ecological sustainability and health and development prospects [22]. Droughts imperil pastoralists; extreme weather displaces populations; deforestation threatens indigenous cultures; and mining toxins poison children. As climate change accelerates, Africa’s acute vulnerabilities magnify amidst entrenched resilience deficits [26]. The continent’s negligible historical emissions underscore the doubly unjust nature of current and potential future harms. Meanwhile, accelerating infrastructure demands risk repeating Western missteps lacking climate compatibility or circular designs, minimising further emissions and waste. Sustainable pathways demand reconciling Africa’s infrastructure access imperative and industrialisation ambitions with ecological boundaries through responsible, ethical and accountable approaches. Governments, firms and communities must forge innovation partnerships to advance prosperity while conserving habitats and carbon sinks.

Within this context, businesses balancing risk, reputation and returns confront profound threats and opportunities from looming ecological tipping points and climate disruptions. However, more foundationally, fulfilling universal corporate social responsibilities around ethical, accountable and transparent conduct demands environmental stewardship. No business respecting human rights and contributing to sustainable development under Africa’s prevailing conditions can ignore ecological balance, profitability and social performance [20]. The business case and moral imperative converge. As climate change accelerates, so do transparency demands and activist pressures on firms to mitigate further emissions, minimise ecological burdens and support community resilience. Companies reconciling environmental sustainability with commercial success will capture upside opportunities while laggards court sanctions and stranded asset risks that spark divestment.

Africa’s populations and landscapes now live with the consequences of unchecked extraction and emissions normalised elsewhere. Responsible firms stand duty-bound to uphold and help remedy those burdens of injustice through accountability, innovation and participation [3]. The private sector ignoring climate adaptation and ecological protection amid ever-starker hazards forfeits legitimacy. True CSR now demands environmental responsibility at enterprises’ strategic core, not just peripheral philanthropy. The hour has passed for incremental change. Transformational sustainability leadership constitutes firms’ foremost social obligation in this unprecedented epoch. Africa’s inclusive and resilient future relies on businesses fostering prosperity within ecological boundaries through clean technology, circular models and climate justice commitments benefitting vulnerable groups over vested interests. Either business promotes sustainability, or sustainability overcomes business.

Before examining why environmental sustainability is an indispensable CSR pillar alongside local procurement, skills development and community assistance, considering risks from existing neglect proves instructive. First and foremost, visible ecological degradation, dispossession or displacement jeopardises reputations, especially for high-profile multinationals in extractives, infrastructure and agriculture. Others may argue against target firms ignoring planetary boundaries, linking local damage to global climate and biodiversity crises. Equally, such associations erode social licences and consent to operate indirectly, impacting host communities through disposing of lands, livelihoods and natural capital underpinning cultural identity. Environmental mismanagement thereby undercuts local support and heightens costly conflict.

Second, related skirmishes also endanger operations through protests, sabotage, work stoppages or violence that delay projects and necessitate security interventions. Community ties further suffer. Third, conflict SITE reputational risks also discourage investment partners wary of volatile contexts. High-profile clashes like the Ogoni struggle against Shell over Niger Delta pollution spark global divestment campaigns. Fourth, with climate change accelerating ecological instability, political, economic and social volatility will strain states with security and migration consequences. Businesses depend on stability. CSR minimising environmental burdens bolsters resilience. Finally, ignoring sustainability concerns, courts policy sanctions from host governments and shareholders demanding transparency around externalities management.

Ultimately, responsible business in Africa today means pairing productivity with ecological compatibility and social justice. Trade-offs likely exist but synergies abound around participatory approaches curbing emissions while fostering inclusion. Clean energy propels decentralised access; climate-smart agriculture buffers smallholders against volatility; circular models regenerate resources for green jobs; resilience technologies cushion communities; and nature-based solutions from wetland restoration to agroforestry sink carbon while improving welfare. Done right, sustainability surmounts old dichotomies. Transparency alongside accountability to local stakeholders guides responsible optimisation. However, action cannot be delayed. Transformational leadership must emerge, crossing sectors and interests to forge Africa’s inclusive, resilient and ethical future.

Advertisement

7. Implications for policy, corporate strategy and future research

This chapter’s insights into the state of environmental CSR in Africa have significant implications for policymakers, corporate leaders and researchers. By understanding the current challenges, progress and potential of environmental CSR on the continent, these stakeholders can develop informed strategies, policies and research agendas to drive sustainable development.

The chapter highlights the need for policy interventions to promote environmental CSR in Africa. Governments have a crucial role in creating an environment that enables businesses to adopt sustainable practices. This can be achieved through regulations, incentives and enforcement mechanisms. Policymakers should consider implementing mandatory CSR reporting requirements similar to those pioneered in South Africa to enhance transparency and accountability. Additionally, tax incentives, subsidies and preferential procurement policies can encourage companies to invest in green technologies, renewable energy and ecosystem conservation projects. Furthermore, policymakers should strive for coherence and alignment between environmental CSR policies and broader national development goals. Integrating CSR considerations into sectoral policies, such as those governing extractive industries, agriculture and infrastructure development, can ensure a more holistic approach to sustainability. Governments should also actively promote public-private partnerships and multi-stakeholder collaboration to pool resources, expertise and legitimacy in tackling complex environmental challenges.

The chapter also offers valuable insights for corporate leaders seeking to develop and implement effective environmental CSR strategies in Africa. Companies should recognise the importance of integrating environmental considerations into their core business operations and decision-making processes rather than treating CSR as a peripheral concern. This requires shifting from focusing on short-term profits to a long-term, sustainable value-creation approach. To capitalise on emerging opportunities, companies should explore ways to leverage green finance, impact investing and sustainable technologies. By aligning their CSR strategies with these trends, businesses can attract investment, enhance their reputation and contribute to the transition towards a low-carbon, resource-efficient economy. However, companies must adopt context-specific approaches that consider the unique social, cultural and environmental realities of the African countries in which they operate. Engaging with local stakeholders, including communities, civil society organisations and government agencies, can help businesses develop CSR strategies responsive to local needs and priorities.

While this chapter provides a comprehensive overview of environmental CSR in Africa, it also reveals several knowledge gaps and areas for further research. Future studies could explore the effectiveness of different policy interventions in promoting environmental CSR, such as mandatory reporting requirements, tax incentives and public-private partnerships. Researchers could also investigate the drivers and barriers to African businesses adopting sustainable technologies and practices, as well as tiny and medium enterprises. Another potential avenue for research is the role of cultural factors in shaping environmental CSR practices and perceptions in Africa. Studies could examine how traditional values, beliefs and norms influence corporate sustainability strategies and stakeholder expectations. Additionally, researchers could explore the potential of indigenous knowledge systems in informing context-specific CSR approaches. Interdisciplinary and collaborative research efforts are needed to advance the field. Bringing together experts from business, environmental studies, social sciences and policy can foster a more holistic understanding of Africa’s complex challenges and opportunities associated with environmental CSR. Furthermore, research that bridges theory and practice, informing policy and corporate strategy, is essential for driving meaningful change.

Advertisement

8. Conclusion

This chapter has revealed a concerning yet surmountable paradox across African corporate social responsibility efforts—aimed at enabling ethical and sustainable business while meeting societal needs. CSR programming frequently neglects escalating ecological threats that undermine the welfare of those vulnerable communities. Political economy drivers rooted in Africa’s commodities and infrastructure-led growth models incentivise ecological externalisation. Weak and uneven environmental regulations enable neglect by firms seeking shortcuts amidst slim profits. Entrenched poverty compels community demands for employment and charity assistance over sustainability. Enduring post-colonial attitudes fostering premature industrialisation dreams with scant climate compatibility reinforce policy disincentives. A lack of public environmental awareness due to minimal educational exposure hinders civic pressures.

These complex yet navigable barriers demand nuanced yet urgent redress to transition African CSR towards strategic integration of environmental sustainability across decision-making, operations and supply chain. Firms reconciling productivity with ecological stewardship while enabling economic participation will capture upside opportunities. Responsible leadership means transparency through participatory processes and accountability to empowered civil society watchdogs, not detached box-ticking. Fulfilling universal corporate obligations requires climate justice commitments to lifting vulnerable groups through resilience financing, clean energy access, ecosystem rehabilitation and livelihood diversification.

The central argument in this chapter echoes calls to put aside false dichotomies between environment and development. Africa’s sustainability pathway requires optimising across economic, social and ecological priorities. Business responsibility means transparency and accountability towards regenerative innovation. In this unprecedented era, transformational sustainability leadership constitutes firms’ foremost social obligation. Too often, short-term commercial interests precede long-term welfare and justice. That asymmetry must be reconciled towards stability. Africa’s populations and biodiversity deserve nothing less than ethical corporations fostering flourishing communities within thriving ecological limits—through collective empowerment, not coercive conservation. Genuine CSR demands environmental responsibility at the enterprises’ strategic core, not just peripheral philanthropy. With climate change accelerating instability, firms promoting sustainability will thrive. Corporate social responsibility requires driving Africa’s inclusive, resilient and just future.

References

  1. 1. Idemudia U. CSR and Africa. In: Idowu SO, Capaldi N, Zu L, Gupta AD, editors. Encyclopedia of Corporate Social Responsibility. Berlin, Heidelberg: Springer; 2013.DOI: 10.1007/ 978-3-642-28036-8_678
  2. 2. Jamali D. CSR in developing countries through an institutional lens. In: Corporate Social Responsibility and Sustainability: Emerging Trends in Developing Economies. Leeds: Emerald Group Publishing Limited; 2014. pp. 21-44. DOI: 10.1108/S2043-905920140000008005
  3. 3. Kivuitu M, Yambayamba K, Fox T. How can corporate social responsibility deliver in Africa? Insights from Kenya and Zambia. Perspectives on Corporate Responsibility for Environment and Development. 2005;3:1-5
  4. 4. Gajadhur R, Nicolaides A. A reflection on corporate social responsibility in Africa contrasted with the UAE and some Asian nations. Athens Journal of Law. 2022;8(2):157-172. DOI: 10.30958/ajl.8-2-4
  5. 5. Boidin B, Ballet J. What is corporate social responsibility in sub-Saharan Africa? Revue de la Régulation. 2020;27. DOI: 10.4000/regulation.16761
  6. 6. Logsdon J, Thomas D, Van Buren H. Corporate social responsibility in large Mexican firms. Journal of Corporate Citizenship. 2006;(21):51-60
  7. 7. Andrews N. Community expectations from Ghana’s new oil find: Conceptualizing corporate social responsibility as a grassroots-oriented process. Africa Today. 2013;60(1):55-75. DOI: 10.2979/africatoday.60.1.55
  8. 8. Campbell B. Corporate social responsibility and development in Africa. Resources Policy. 2012;37:138-143
  9. 9. Maignan I, Ralston DA. Corporate social responsibility in Europe and the US: Insights from businesses self-presentations. Journal of International Business Studies. 2002;33:497-514
  10. 10. Wirba AV. Corporate social responsibility (CSR): The role of government in promoting CSR. Journal of the Knowledge Economy. 2023:1-27. DOI: 10.1007/s13132-023-01185-0
  11. 11. Zhao J. Promoting more socially responsibly corporations through a corporate law regulatory framework. Legal Studies. 2017;37(1):103-136. ISSN 0261-3875
  12. 12. Kühn L, Stiglbauer M, Fifka MS. Contents and determinants of corporate social responsibility website reporting in sub-Saharan Africa: A seven-country study. Business & Society. 2015;57(3):437-480. DOI: 10.1177/0007650315614234
  13. 13. Dartey-Baah K, Amponsah-Tawiah K. Exploring the limits of Western corporate social responsibility theories in Africa. International Journal of Business and Social Science. 2011;2:126-137
  14. 14. Jenkins HM, Yakovleva N. Corporate social responsibility in the mining industry: Exploring trends in social and environmental disclosure. Journal of Cleaner Production. 2006;14:271-284
  15. 15. Kolk A, Hong P, Van Dolen W. Corporate social responsibility in China: An analysis of domestic and foreign retailers’ sustainability dimensions. Business Strategy and the Environment. 2010;19:289-303
  16. 16. Mitchell CG, Hill T. Corporate social and environmental reporting and the impact of internal environmental policy in South Africa. Corporate Social Responsibility and Environmental Management. 2009;16:48-60
  17. 17. Ndong Ntoutoume AG. Challenges of CSR in sub-Saharan Africa: Clarifying the gaps between the regulations and human rights issues. International Journal of Corporate Social Responsibility. 2023;8(1):1-9. DOI: 10.1186/s40991-023-00079-3
  18. 18. Rampersad R, Skinner C. Examining the practice of corporate social responsibility (CSR) in sub-Saharan Africa. Corporate Ownership & Control. 2014;12(1):723-732
  19. 19. Baughn CC, Bodie NL, McIntosh JC. Corporate social and environmental responsibility in Asian countries and other geographical regions. Corporate Social Responsibility and Environmental Management. 2007;14:189-205
  20. 20. United Nations. CSR and developing countries: What scope for government action? Sustainable Development Innovation Briefs. 2007;(1)
  21. 21. Boko M. Africa climate change: Impacts, adaptation and vulnerability. In: Contribution of Working Group 2 to the Fourth Assessment Report of the Intergovernmental Panel on Climate Change. Cambridge: Cambridge University Press; 2007
  22. 22. IPCC. Summary for policymakers In climate change 2014: Impacts, adaptation, and vulnerability. Part a: Global and sectoral aspects. In: Field CB et al., editors. Contribution of Working Group II to the Fifth Assessment Report of the Intergovernmental Panel on Climate Change. Cambridge Cambridge, United Kingdom and New York, NY, USA: Cambridge University Press; 2014
  23. 23. Conway D, Schipper ELF. Adaptation to climate change in Africa: Challenges and opportunities identified from Ethiopia. Global Environmental Change. 2011;21(1):227-237. DOI: 10.1016/j.gloenvcha.2010.07.013
  24. 24. Lateef M, Akinsulore A. Covid-19: Implications for corporate governance and corporate social responsibility (CSR) in Africa. Beijing Law Review. 2021;12:139-160. DOI: 10.4236/blr.2021.121008
  25. 25. Birkmann J, Liwenga E, Pandey R, Boyd E, Djalante R, Gemenne F, et al. Poverty, livelihoods and sustainable development. In: Climate change 2022: Impacts, adaptation and vulnerability. In: Pörtner H-O, Roberts DC, Tignor M, Poloczanska ES, Mintenbeck K, Alegría A, et al., editors. Contribution of Working Group II to the Sixth Assessment Report of the Intergovernmental Panel on Climate Change. New York, NY, USA, Cambridge, UK: Cambridge University Press; 2022. pp. 1171-1274. DOI: 10.1017/9781009325844.010
  26. 26. Serdeczny O, Adams S, Baarsch F, et al. Climate change impacts in sub-Saharan Africa: From physical changes to their social repercussions. Regional Environmental Change. 2017;17:1585-1600. DOI: 10.1007/s10113-015-0910-2
  27. 27. Antonites E, De Villiers C. Trends in south African corporate environmental reporting: A research note. Meditari Accountancy Research. 2003;11:1-10
  28. 28. Lin L. Mandatory corporate social responsibility legislation around the world: Emergent varieties and National Experiences. University of Pennsylvania Journal of Business Law. 2021;23:429-469
  29. 29. AUC/OECD. Africa’s Development Dynamics 2023: Investing in Sustainable Development. Paris: AUC, Addis Ababa/OECD Publishing; 2023. DOI: 10.1787/3269532b-en
  30. 30. Lund-Thomsen P. Assessing the impact of public–private partnerships in the global south: The case of the Kasur tanneries pollution control project. Journal of Business Ethics. 2009;90(Suppl. 1):57-78. DOI: 10.1007/s10551-008-9914-x
  31. 31. Asongu SA, Agboola MO, Alola AA, Bekun FV. The criticality of growth, urbanisation, electricity and fossil fuel consumption to environment sustainability in Africa. The Science of the Total Environment. 2020;712:136376. DOI: 10.1016/j.scitotenv.2019.136376
  32. 32. Zheng X, Wang R, Hoekstra AY, Krol MS, Zhang Y, Guo K, et al. Consideration of culture is vital if we are to achieve the sustainable development goals. One Earth. 2021;4(2):307-319. DOI: 10.1016/j.oneear.2021.01.012
  33. 33. Idemudia U. Corporate social responsibility and development in Africa: Issues and possibilities. Geography Compass. 2014;8(7):421-435. DOI: 10.1111/gec3.12143
  34. 34. Satterthwaite D, Archer D, Colenbrander S, Dodman D, Hardoy J, Mitlin D, et al. Building resilience to climate change in informal settlements. One Earth. 2020;2(2):143-156. DOI: 10.1016/j.oneear.2020.02.002

Written By

Yamikani Ndasauka

Submitted: 06 January 2024 Reviewed: 20 February 2024 Published: 18 September 2024