Building Community Power
In-depth report analyzes Community Benefits Agreements across the global energy supply chain
By James J. A. Blair
With the recent announcements that the Trump administration is taking partial ownership of mining projects in Nevada, California, and Alaska, we seem to be entering a new era of MAGA-style “right-wing resource nationalism,” as Thea Riofrancos, Strategic Co-Director of the Climate and Community Institute (CCI), has put it. While the federal government appears to be doing whatever it can to stall development of new wind and solar energy projects, by securing these strategic mining assets, Trump has gone one step beyond his predecessor Biden’s market-making and fast-tracking of projects federally designated as “critical minerals.” This umbrella term, used to describe about half of the periodic table of elements, has come to refer not only to energy transition materials needed to produce batteries and renewable energy infrastructure for climate change mitigation, but also key tools of imperial domination and techno-capitalism capable of profound social and environmental violence, such as military weaponry and artificial intelligence.
Across changing priorities of federal administrations, one thing that remains steady is that the burden is on local communities and tribes to protect their own land, water, health, and well-being. When faced with an incoming development that seems certain to move forward, some communities reach a decision point: do we continue to fight tooth and nail, or should we pivot to negotiations to try to gain concessions from the company before it’s too late? These negotiations may even lead to partial ownership of equity, but this brings significantly more risk and liability to communities than to the federal government—especially in volatile extractive sectors like mining that require strong transparency and accountability measures.
Increasingly, negotiations between community coalitions and developers result in community benefits agreements (CBAs). CBAs—legally binding agreements between community groups and project developers—are one tool that communities can deploy to exert control over their own futures.
Our new report, Building Community Power: Community Benefits Agreements Across the Global Energy Supply Chain examines a wide range of detailed case studies of communities involved in CBA negotiations. Our most consistent finding is that when communities get organized early in the process, know their rights and the opportunities for pressure and participation, and work in coalition with allies, they have the power to shape the political economy of the energy transition: how burdens and benefits are distributed, how projects are designed and governed, and even whether or not it is worth letting a project move forward at all. Crucially, we also find that by studying the entire supply chain of the energy transition—from extraction to processing, manufacturing, and transportation, as well as electric power generation, storage, and transmission—we were able to identify latent opportunities for cross-sectoral organizing and equitable governance.
While we focus primarily on case studies in the United States, we draw lessons from across the global production network of renewable energy and electrified transportation. CBAs are not an American invention restricted to US cities, and global cases of legally binding agreements negotiated between multinational companies and local communities offer cautionary tales, as well as models for advancing Indigenous rights.
In general, legally binding CBAs that treat communities as reciprocal partners tend to generate more enduring local support for policies that invest in the green economy. Our report analyzes the limits and possibilities of CBAs to uphold Indigenous sovereignty, deliver environmental justice, and build solidarity across the global energy supply chain.
Cautions and Alternatives: Beyond CBAs
Our report is not meant to promote CBAs if it is not appropriate for communities to engage in negotiations on unacceptable or unmitigable projects. In fact, we stress that CBAs are no substitute for human rights principles enshrined in international law, such as free, prior, and informed consent (FPIC). We include implications of CBAs for upholding FPIC, we take seriously critiques of CBAs as a form of “greenwashing,” and we outline Indigenous-centered approaches for “working in a good way” beyond monetizing benefits.
Key Strategies for CBA Negotiation
Drawing lessons from the case studies examined in our report, as well as our community review sessions, we identified key strategies that have been critical for community coalitions to successfully negotiate a strong CBA when appropriate. These include:
Organize and act to provide meaningful input early and often.
Beware of required mitigation and compliance disguised as community benefits.
Take an intentional approach to inclusivity for either a broad or close-knit coalition.
Participate in community advisory groups.
Empower trusted local leaders to assume the role of negotiators.
Find a stable, well-resourced organization to anchor the negotiation process.
Increase leverage by communicating across the supply chain about shared experiences.
Top Recommendations
To encourage governments, community organizers, advocates, as well as developers to raise the floor for stronger community benefits in the energy transition, we offer the following recommendations:
Require CBAs: Governments can mandate CBAs as a contingency for permitting or financing with clear criteria that maximize community representation.
Establish clear and consistent standards for CBAs: Communities can define what provisions need to be included in a strong CBA. Our report identifies best practices across a range of provision categories, including governance, financial, labor, environmental, and enforcement.
Set the stage for CBA negotiation: The public sector can build the conditions to give communities more power to negotiate fair agreements.
Directly equip communities to negotiate for CBAs: Organizers can advocate for more resources to support communities that require further assistance.
Our report provides detailed examples and suggestions for governments, organizers, advocates, experts, and practitioners to build community power through each of these recommendations. Additionally, our forthcoming CBA toolkit will offer further practical guidance and interactive worksheets, templates, sample documents, and other resources for entering into effective negotiations for a strong and enforceable CBA.
Read our report to learn more.