Integration of Corporate Environmental Responsibility in Cement Production Processes: a Case of Athi River Cement Mining in Kilifi County

Abstract

Athi River Mining (ARM) Cement Ltd is a limited liability company whose core activity is the mining of locally found minerals, processing and producing fertilizers, lime and cement which are used by other industries as primary raw materials. ARM subscribed to UN Global Compact (UNGC) Code of Ethics in 2011 and adopted measures to increase its environmental responsibility. These include; ensuring that amenities are managed, sustained and, if required, adjusted to guarantee compliance to various regulations relating to environmental management, thus ensuring that their processes and products will not pose harmful effects to individuals and the environment. However, a report by the Kilifi County Joint Parliamentary Committee on Health, Agricultural, Environmental and Natural Resource Services on the Environmental Dangers of the ARM presented to the Kilifi County Assembly in 2015 established that ARM activities were causing air pollution affecting soil, vegetation and human health negatively. On the basis of the above reported negative impacts of air pollution, this study sought to determine how ARM has integrated environmental responsibility in its day to day activities so as to address negative environmental impacts on the environment arising from those activities as well has to synthesize additional initiatives that the company could implement; and lastly to examine how current policies and regulatory frameworks could enhance integration of Corporate Environmental Responsibility (CER) . To achieve these objectives, Focus Group Discussions (FGD), key informant interviews, and literature review were applied in collecting both primary and secondary data. Three FGDs conducted targeting 30 community members living around ARM; and 14 key informant interviews targeted from ARM, Kilifi County Government, National Environment Management Authority, UN Global Compact, Kenya Association of Manufacturers and Kenya Private Sector Alliance. Results from collected data showed that ARM has put in place a number of measures to protect environment and human health from the effects caused by their activities. These measures include; a) waste disposal in line with NEMA requirements, b) conducting the statutory annual environmental audits, c) installing dust precipitators, d) sprinkling the road between the factory and quarries to minimise on dust emissions, e) provision of tree seedlings to members of community, and, f) building of community health centres. Despite these measures the assessment noted that noise and vibration pollution, fugitive dust emissions, lack of regular monitoring by NEMA to assess compliance, over dependence on coal and oil to power the plant as well as regular engagement of community members and few social initiatives in the area. To address these gaps x the study recommends that; a) enforcement of the existing national policies through regulations. b) Government to put in place policy instruments such tax exemptions for social or philanthropic investments and award schemes to increase uptake of CER, training and capacity building for all enterprises, and providing funding for research on CER. c) Government through it legislative arm, parliament to legislate bills geared towards promotion of corporate environmental responsibility. d) Finally, this study recommends the need for UN global compact to undertake compliance audit of its members to establish if the members are implementing what they signed up for and also provide support where need. UNGC should also establish an award scheme to go to members who display exemplary work in CER. This will encourage members to put more effort in their commitment as well as attract more members into the network.