Gold mining in sub-Saharan Africa: Towards private sector governance

Global mining firms are taking a leading role in the governance of sub-Saharan Africa's gold mining industries. No longer are states seen as the sole source of authority and governance; non-state actors such as firms and industry organisations are contributing to the regulation of the sector through private governance initiatives. This paper highlights the role firms play in governing the gold mining sector using primary evidence gathered through analysis of firms' annual reporting. Reports were analysed to highlight the differences between firms' key rationales for participating in private governance initiatives. Through this analysis it is shown that gold mining firms with broad geographical footprints engage with private governance in order to simplify their compliance burden. Smaller firms are more likely to cite normative reasons for supporting private governance regimes, including a desire to appease stakeholders and communities. The theoretical and empirical evidence presented suggests large, multi-national mining firms are more likely to develop and engage with private governance initiatives, doing so in order to determine the regulatory structure of their industry. These findings present a potential future research agenda, allowing for a greater understanding of why firms engender private governance.