Corporate Social Responsibility During the COVID-19 Pandemic in the Extractive Sector

The Impact of the Petroleum Industry Act on Corporate Social Responsibility and Taxation in Nigeria’s Upstream Oil and Gas Sector: A Path towards Sustainable Development

“…Also, the COVID-19 pandemic asked the governments and mining companies to prioritize CSR needs bordering on environmental and human rights issues [16]. While COVID-19 has hugely affected companies in the extractive sector in developing countries, the pandemic has caused global economic and social suffering, and CSR prompted questions on morality regarding community and employee welfare priorities [17]. Whereas environmental and investment concerns have sparked debates on CSR in the extractive industry; a study reported that mines' closure has adverse effects including environmental and job damage.…”

“…From the previous studies reviewed, there are research gaps. Firstly, most studies, for example, have focused on the link between CSR and agitation or violence in oil communities [25][26][27], community and environmental development [7,[15][16][17][18]20], or responsible leadership [19]. But the specific provisions of regulatory laws such as the Petroleum Profit Tax Act or the PIA appear not to be probed concerning the oil and gas sector for the companies to participate in CSR and taxation practices towards sustainable development.…”

“…As protection measures may reduce environmental damage for community benefits [33], this can add to the long-term feasibility of Nigeria's upstream oil and gas sector. While taxation transparency can ensure that tax revenues are well managed to aid investments in efforts to protect the environment by mitigating negative environmental impacts, insecurity issues revolve around environmental damage [17]. Social benefits link to community emancipation, supported by the PIA's provisions on CSR practices prioritizing community benefits.…”

“…vi Long-term projects: The PIA provisions underline sustainable development consistent with the long-term objectives and interests of both the communities and companies. So, investment in sustainable development projects can contribute well to environmental preservation, social inclusion, and economic improvement benefits to all [14,17,33]. vii Measurable performance indicators: There is the need to clearly define CSR initiatives for measurable performance indicators that can help the companies to monitor progress, and to evaluate the impact to improve accountability, trust, transparency, and integrity [22].…”