INFLUENCE OF CIRCULAR ECONOMY BUSINESS PRACTICES ON OPERATIONAL EFFICIENCY IN THE MINING SECTOR IN TAITA TAVETA COUNTY, KENYA
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Abstract
The mining sector in Kenya, particularly in Taita Taveta County, has faced significant operational inefficiencies despite holding substantial mineral wealth including gemstones, limestone, and iron ore. This study examined the influence of circular economy (CE) business practices on operational efficiency in the mining sector in Taita Taveta County, Kenya, a region endowed with gemstones, limestone, and iron ore yet characterized by persistent inefficiencies. The research was anchored on Diffusion of Innovation Theory, Resource-Based View Theory, Institutional Theory, Stakeholder Theory, and Strategic Management Theory to explain CE adoption dynamics. Using a descriptive and correlational design, data were collected through structured questionnaires from registered mining firms, artisanal miners, county officials, regulators, and cooperatives. Descriptive and inferential statistics were applied to analyze relationships among CE practices, barriers, enablers, regulatory frameworks, and operational efficiency. Findings indicated moderate to strong adoption of CE practices, particularly in waste reduction, resource recovery, and energy efficiency. All independent variables showed significant positive relationships with operational efficiency, with barriers to adoption exerting the strongest influence, followed by regulatory frameworks, enablers, and CE practices. Key constraints included limited technical capacity, inadequate financing, weak regulatory enforcement, and resistance to change, while institutional support, leadership commitment, incentives, and technology emerged as major enablers. The study concludes that integrating CE principles enhances operational efficiency and offers policy and managerial implications for sustainable mining development.
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References
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