From ‘transactional relations’ to ‘co-creation of solutions’
The conventional approach to stakeholder investment often involves relationships between industry and local stakeholders developing as transactions, e.g. an amount of money is paid to the community as compensation for impacts on traditional livelihoods, or communities may be paid to resettle away from project activity. For industry this can appear to be a clean-cut solution but a climate of mistrust often develops with frequent wrangling among local stakeholders and between communities and industry.
The North Sea case study provides an excellent example of a joint monitoring programme between industry, local authorities, universities and environmentalists in the North Sea.