Social Impact Assessment (SIA) is the process of identifying and managing the social issues of project development.

A development project can have social impacts that result in changes to people’s
  • way of life – their lifestyles, work, interactions and recreation;
  • culture – belief systems, customs, values, language or dialect;
  • community – its cohesion, stability, character, services and facilities;
  • political and governance systems – the extent to which people are able to participate in decisions that affect them, the level of democratisation, and resources provided for this purpose;
  • environment – air and water quality, availability and quality of food, levels of hazard or risk, dust and noise exposure, adequacy of sanitation, physical safety, and access to and control over resources;
  • health and wellbeing – physical, mental, social and spiritual wellbeing;
  • personal and property rights – particularly where people are economically affected, or experience personal disadvantage e.g. a violation of their civil liberties, human rights or customary rights; and
  • fears and aspirations – perceptions about safety, fears about the future of their community, and aspirations for their future and the future of their children.
Social impact assessment (SIA) can be applied as part of the EIA process to specifically analyse, monitor and manage social impacts. When applied effectively, by appropriately qualified and experienced personnel, SIA can help to promote community development and empowerment, build community capacity, and develop social networks and trust.

SIA requires an understanding of its core concepts such as culture, community, power, human rights, gender, justice, place, resilience, sustainable livelihoods and the capitals, as well as of the theoretical bases for participatory approaches. It is crucial to understand how these concepts influence the way social relationships are created, change and respond to change.
An SIA should:
  • Identify stakeholders, groups and communities impacted by the project
  • Collect baseline data covering key social issues of the impacted communities such as community history, indigenous communities, culture and key events that have shaped economic and social development, key industries presently and in the past
  • Explain the methods used to gather information, including a description of how the communities of interest were engaged during the development of the SIA
  • Identify potential direct social impacts and prediction of the significance, duration and extent of any impacts
  • List proposed mitigation measures; and
  • Describe the monitoring framework that informs stakeholders on the progress of the project. 

SIA is an iterative process informed by on-going engagement with project proponents and other stakeholders, especially with impacted communities.
Social Impact Assessment Process
IAIA SIA Guidance, p.15
A Social Impact Management Plan (SIMP) and related management documents, e.g. Community Health & Safety Plan, Resettlement Action Plan, Stakeholder Engagement Plan, Local Procurement Plan collectively provide an integrated set of actions and procedures to manage the social issues created by the project.