Law and Governance for Sustainable Mineral Resources Development Dr Ana Elizabeth Bastida Centre for Energy, Petroleum and Mineral Law & Policy Presentation to CECHR Symposium 5 February 2014
Outline The context on mining & minerals; connections with sustainable development; Our research, teaching, partnerships, externally funded projects & wider impacts; Linkages with the University’s ‘Transformation Agenda’.
The Context
Mining & minerals:
‘The science, technique and business of mineral discovery and extraction’ (US Bureau of Mines, 1968) Essential materials for consumer and industrial goods.
Demand Demand linked to economic development Substantial growth in recent years; Demand linked to new uses in ‘high technology’ and ‘green products’.
Source: Baxter, 2011.
Source: Baxter, 2011.
Principal Classes of Minerals (UNCTAD, 2007)
The EU Raw Materials Initiative, 2008 "Raw materials are essential for the sustainable functioning of modern societies. Access to and affordability of mineral raw materials are crucial for the sound functioning of the EU's economy. Sectors such as construction, chemicals, automotive, aerospace, machinery and equipment se ctors which provide a total value added of 1,324 billion EUR and employment for some 30 millio n people all depend on access to raw materials. … [T]he EU is highly dependent on imports of strategically important raw materials… Securing reliable and undistorted access to raw materials is increasingly becoming an impo rtant factor for the EU's competitiveness… … the EU should agree on an integrated raw materials strategy [to] be based on the following 3 pillars:
ensure access to raw materials from international markets under the same con ditions as other industrial competitors; set the right framework conditions within the EU in order to foster sustainable su pply of raw materials from European sources; boost overall resource efficiency and promote recycling to reduce the EU’s cons umption of primary raw materials
Minerals Supply
Shifting Towards Developing Countries Traditionally: Demand from minerals met from deposits close to where they are consumed;
Traditionally mining developed countries: EEUU, Canada, Australia. Minerals supply: Shifting towards developing countries facilitated by liberalisation over the 90s
Types of Deposits Traditionally: minerals extracted from underground mines and alluvial deposits; now: Surface mine (or ‘open pit’ mining): predominant (84% metallic mines)
Ore grades falling, deposits that demand moving more material… and trend towards bigger mines: More costs to produce; more remote from consumption countries;
Large companies: interested in ‘world-class’ deposits.
Mining & Sustainable Development? Mining, the quintessentially non-sustainable activity; Rather than ‘sustainable mining’: Thinking on mining as a catalyst to development:
Need of actions to ‘Enhancing the contribution of mining, minerals and metals to sustainable development’ (Para 46 2002 Johannesburg Declaration & Plan of Implementation) “Mining offers the opportunity to catalyse broad-based economic development, reduce poverty and assist countries in meeting internationally agreed development goals… when managed effectively and properly (Rio + 20 Outcome Document The Future We Want, 227)
Mining & Sustainable Development: Role of Law “We recognize the importance of strong and effective legal and regulatory frameworks, policies and practices for the mining sector that deliver economic and social benefits and include effective safeguards that reduce social and environmental impacts, as well as conserve biodiversity and ecosystems, including during postmining closure. We call on governments and businesses to promote the continuous improvement of accountability and transparency, as well as the effectiveness of the relevant existing mechanisms to prevent the illicit financial flows from mining activities.� (Rio + 20 Outcome Document The Future We Want, 228)
Our Work
Law & Governance for Sustainable Resources Development: A Few Strands of Research & Publications
Book: Mining Legal Regimes: Reframing the Basis for Sustainable Resource Management (A. E. Bastida) to be published by Hart Publishing.
Special Issue in Mineral Economics Journal (forthcoming, 2014): Can Mining be a Catalyst to Diversifying Economies? (A. E. Bastida, editor)
International & Comparative Mineral Law & Policy: Trends and Prospects (Bastida, A.E., Waelde, T. and WardenFernandez, J. (eds.); The Hague: Kluwer Law International, 2005)
Law & Governance for Sustainable Resources Development: A Few Strands of Research
Artisanal and Small Scale Mining / Corporate Security & Human Rights / Mine Closure (Leon Gerber, Rio Tinto Research Fellow). Proposal on a Process to Advance a Treaty on Business & Human Rights (Julius Nayak, PhD thesis) Legal & Institutional Arrangements for Sharing Infrastructure (Abdoul Camara, PhD candidate) Implementing Strategic Environmental Assessments in local contexts (Samantha Boy, LL.M thesis)
Externally Funded Projects
POLINARES (EU FP-7, 2010-2012; around 2.7 million Euros) Source Book project (World Bank, US$1.5 million; 20102012): www.eisourcebook.org Advisory work on mining law and policy to government of Kyrgyzstan funded by the European Bank for Reconstruction and Development on mining policy (20132014); Design of training programme for Ministry of Mines in Malawi funded by World Bank/EU joint project Mining Governance Initiative (2013).
Teaching & Partnerships
LL.M in Law, Policy and the Governance of Mineral Resources
On-campus & Distance Learning
15 Years-Partnership Agreement with Rio Tinto
Impact
Engagement in processes of law & policy design:
MMSD Project;
United Nations Economic Commission for Africa’ International Study Group on the Review of African Mining Regimes; ‘Model Mining Development Agreement’, International Bar Association; Review of IUCN Guidelines for Biodiversity Management in Quarries.
Links with the University’s ‘Transformation Agenda’ ‘promoting sustainable use of global resources’; ‘improving social, cultural and physical wellbeing’
Opportunities for strengthening interdisciplinary research and collaboration?
References Baxter, Roger, “Opportunities and challenges facing the South African Mining Industry, 17 Febrero 2011 (power point presentation). EU Communication, Tackling the Challenges in Commodity Markets and on Raw Materials, http://ec.europa.eu/enterprise/policies/rawmaterials/files/docs/communication_en.pdf (02.02.11) EU RMI at http://ec.europa.eu/enterprise/sectors/metalsminerals/files/sec_2741_en.pdf#page=5