Hydro-Québec and the Crees: the challenges of being accountable to First Nations - case and teaching notes

Abstract

This case highlights various phases in four decades of relations between Hydro-Quebec, a provincial utility, and the Crees, a First Nation living mainly in northern Quebec, progressing from conflicts and impasse to accountability. It highlights two processes: 1) the stages in the relational process between a company and a community from the perspective of a social license to operate at the interorganisational level; 2) management accounting processes, which translate into corporate commitments and agreements concerning accountability and transparency. The major purpose of this case is to provide material (background) for discussion on how a company can improve its corporate social responsibility by enhancing transparency and accountability towards its stakeholders. This case illustrates how Hydro-Quebec has used accountability mechanisms such as voluntary and mandatory disclosure, environmental impact measurement and assessment, and compensation to engage with the First Nations and to build a long-term reciprocity-based relationship with them.