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Social development benefits of hydroelectricity CDM projects in Brazil

In recent years, the concept of sustainable development (SD) has become increasingly recognized and important. Within organizations, SD is often portrayed as a balancing act and requires a combination of three elements to be considered: economy, environment, and society. Traditionally, organizational management research has been focused on economical and environmental fronts. However, social aspects are also important for organizations, especially those in emerging and developing countries. The goal of this article is to investigate the potential of Clean Development Mechanism (CDM) projects to deliver social benefits in Brazil’s hydroelectricity sector. The investigation involved the assessment of 46 registered hydro CDM projects under the Kyoto Protocol in terms of their potential impact on the envisaged social development goals. Two case studies were also examined. Results indicate that organizations managing hydroelectric initiatives in Brazil can provide the pathway toward achieving a number of important social benefits. Successful projects were found to have good community involvement and were managed by both cooperative ventures and money-making corporations. The research also identified several challenges that are hindering hydro CDM projects from delivering more social benefits and enabled a number of recommendations to be extracted for the organizations facing these challenges.