The Impact of Gas Extraction on the Social License to Operate:

Abstract

This study investigates the multi-dimensional impact of gas extraction on the social license to operate, focusing on Maurel et Prom's activities in Mnazi Bay, Mtwara, Tanzania. Utilizing a mixed methods approach, the study combines quantitative surveys, in-depth interviews, focus group discussions, and document analysis to comprehensively assess the social, economic, and environmental dimensions of the social license. The study reveals that positive social effects, such as job creation and infrastructure development, contribute to community acceptance, while concerns over social cohesion and conflicts present challenges. Economic benefits, including business opportunities and local economic growth, enhance support, whereas environmental impacts, particularly air pollution, shape perceptions. Drawing on stakeholder theory and legitimacy theory, the study demonstrates that effective stakeholder engagement and transparent communication bolster the social license. The findings underline the intricate interplay between diverse factors influencing the social license, emphasizing the need for sustainable practices that balance economic development, community well-being, and environmental preservation. Recommendations include fostering transparent relationships, community engagement, and comprehensive impact assessments, supporting the United Nations Sustainable Development Goals. In conclusion, this study provides insights into strategies for sustaining the social license in gas extraction operations, informing policy, industry practices, and future research.