voorblad thesis
Transcription
voorblad thesis
Environmental and Socio-Economic impacts of mining in Guatemala: The role of local communities and the ecological justice movement Auteur: Esther Vandenbroucke Acknowledgments The two years in which I’ve studied Human Ecology and Sustainable Development at the VUB have known several changes on personal and professional level. Combining this with writing a thesis hasn’t been easy. Still, the interesting subject and the support I’ve felt made me able to finish it. I want to thank the following persons: My promoter prof. Boon for encouraging this investigation. He always addressed my problems with much attention. My co-promoter Dirk Govaert who took the time to inform me and to revise several draft versions. As I wasn’t able to go to Guatemala to interview the stakeholders, I depended on other people to do this. Asking over and over again didn’t help, the interviews didn’t happen. Luckily, I could do some interviews myself. I would like to thank Magalí Rey Rosa, Oscar Rosal and Dirk Govaert for answering my questions. Klaartje, Gert, Frauke, Marijke, Johan, Daan and other Catapistas for the information, the support and for giving their attention to mining in Guatemala. Tim and Arne for revising my English. Kristof for being my postman. Sam for the much-needed support. Mathias for the last and longest mile. Many other persons for being there. Esther Vandenbroucke, Gent, August 2008 I Samenvatting Wereldwijd verlegt de groeiende industriële economie de grenzen van de grondstoffen-exploitatie. De groeiende vraag en de stijgende grondstofprijzen stimuleren multinationale ondernemingen om steeds meer en verder te exploiteren. Dit zorgt voor conflicten: Lokale gemeenschappen zijn afhankelijk van zuiver water en aarde om in hun levensonderhoud te voorzien, bedrijven hebben diezelfde bronnen nodig voor het ontginnen van de grondstof. Op die manier ontstaat een ecologisch distributieconflict: een sociaal conflict met de natuur als inzet. De aantasting van de natuur treft niet iedereen even op dezelfde manier. De lokale bevolking die het hardst getroffen wordt behoort meestal tot een arme, weinig vertegenwoordigde groep. Zij komen daartegen in opstand en gebruiken een denkkader waarbij machtsanalyse en het opeisen van fundamentele rechten centraal staat. Op die manier strijden ze voor ‘environmental justice’. Een belangrijk element in deze conflicten is hoe de natuur naar waarde wordt geschat: krijgt die enkel een monetaire waarde of wordt ook de spirituele, culturele, ... waarde in rekening gebracht? Guatemala is typisch een land dat buitenlandse bedrijven aantrekt om een graantje mee te pikken. Gunstige maatregelen worden daartoe uitgewerkt. We onderzoeken wat de aanwezigheid van die bedrijven op het terrein betekent, wat de ecologische en socio-economische impact is. Dit wordt duidelijk in twee cases: de Marlin goudmijn in San Marcos en het Fenixproject in El Estor dat in de nabije toekomst nikkel zal ontginnen. De Marlinmijn is sinds 2005 een operationale open pit goudmijn die nu reeds voor een pak problemen zorgt voor de lokale bevolking: vervuiling door zware metalen, waterschaarste, geweld en intimidatie zijn nu reeds hun deel. In El Estor brengt de aanwezigheid van het mijnbouwbedrijf het historisch grondconflict extra in de aandacht. Inheemsen die grond bezetten die ze historisch als hun land beschouwen werden hardhandig ontzet. Kan de strijd in San Marcos en El Estor gezien worden als een strijd voor ecologische rechtvaardigheid? We zien dat de bevolking die in opstand komt hun ‘livelihood’ proberen te beschermen. Ze maken daarbij gebruik van hun inheemse (territoriale en andere) rechten en stellen de ongelijke verdeling van de lasten van de milieuproblematiek in vraag. De macht van anderen om over hun gronden en levensonderhoud te beslissen wordt in vraag gesteld. Op die manier maken de lokale gemeenschappen in San Marcos en El Estor deel uit van een wereldwijde beweging voor ecologische rechtvaardigheid. II Abstract The growing industrial economy shifts the borders of the exploitation of resources worldwide. The growing demand and the increasing commodity prices stimulate multinational companies to exploit further and more. This causes conflicts: Local communities depend on clean water and land for their livelihood, companies need the same resources for exploiting the natural resources. This creates an ecological distribution conflict: a social conflict with nature at stake. Not everybody has a same share in the burden of environmental degradation. The local communities who are most affected are mainly poor and poorly represented. They oppose this situation, seeing the problem in terms of power and using a discourse in terms of rights. As such, they are struggling for environmental justice. Important in these conflicts is the value given to nature: is it only valued in monetary terms or are spiritual, cultural, ... values also taken into account? Guatemala is a typical country that wants to take advantage of the presence of foreign companies. Several measures are taken to attract them. We investigate what the presence of these companies means on the ground, what ecological and socioeconomic impacts they have. This becomes clear in two cases: the Marlin goldmine in San Marcos and the Fenix Project in El Estor which soon will start producing nickel. Since 2005, the Marlin Mine is an operational open pit goldmine which is already creating several problems for the local communities: contamination of toxic metals, water scarcity, violence and intimidation are their share. The presence of the mining company in El Estor brings the historical conflict over land into the open again. Indigenous communities occupying lands they historically claim their own were violently evicted. Can the struggles in San Marcos and El Estor be seen as a struggles for environmental justice? The local communities who oppose the mine try to protect their livelihood. Therefore they use (territorial and other) indigenous rights. They question the unequal distribution of the burdens of the environmental problem. The power of others to decide over their grounds and livelihood is questioned. As such, the local communities of San Marcos and El Estor take part in a worldwide movement for environmental justice. III Contents List of Abbreviations .....................................................................................................1 Introduction....................................................................................................................2 CHAPTER 1 Mining in Guatemala .........................................................................4 1.1 Background ....................................................................................................4 1.2 Concessions, Corporations, Exploitation.......................................................8 CHAPTER 2 Marlin mine......................................................................................13 2.1 Area..............................................................................................................13 2.2 Background ..................................................................................................14 2.2.1 Goldcorp ..............................................................................................15 2.2.2 The mine ..............................................................................................16 2.2.3 A history of confrontation....................................................................19 2.3 Impacts.........................................................................................................25 2.3.1 Environmental......................................................................................25 2.3.2 Social ...................................................................................................28 2.3.3 Economic .............................................................................................31 2.3.4 Further expected impacts .....................................................................32 CHAPTER 3 Fenix Project ....................................................................................34 3.1 Area..............................................................................................................34 3.2 Background ..................................................................................................35 3.2.1 The mine ..............................................................................................37 3.2.2 Historical Conflicts over land ..............................................................38 3.2.3 Consultation .........................................................................................41 3.3 Impacts.........................................................................................................42 3.3.1 Social ...................................................................................................42 3.3.2 Environmental......................................................................................44 3.3.3 Economic .............................................................................................44 CHAPTER 4 Environmental justice movement ....................................................46 4.1 Origin ...........................................................................................................46 4.2 Ecological Distribution Conflicts ................................................................48 4.2.1 Ecological economics and political ecology........................................49 4.2.2 The language of valuation....................................................................52 4.2.3 Mining as an ecological distribution conflict. .....................................53 4.3 Environmental Justice Movements in Guatemala?......................................55 4.3.1 Analysis in terms of power ..................................................................55 4.3.2 Analysis in terms of rights ...................................................................57 4.3.3 Grassroots movement ..........................................................................58 4.3.4 Ecological and economic distribution..................................................59 4.3.5 Livelihood ............................................................................................60 4.3.6 Languages of valuation ........................................................................60 4.3.7 Guatemalan environmental justice movements? .................................61 4.4 Recommendations........................................................................................62 Conclusions..................................................................................................................65 Appendices...................................................................................................................75 IV List of Abbreviations1 ADISMI Association for the Integral Development of San Miguel Ixtahuacán AEPDI Association for the Integral Development of El Estor CACIF Coordinating Committee of Agricultural, Commercial, Industrial, and Financial Associations COPAE Pastoral Commission Peace and Ecology CGN Guatemalan Nickel Company EIS Environmental Impact Study EPA Environmental Protection Agency EXMIBAL Metal Explorations and Explotations of Izabal, S.A. HCC Historical Clarification Commission IMF International Monetary Fund FIAN FoodFirst Information and Action Network FONTIERRAS Land Fund FTCC Federation of Country and City Workers FRG Guatemalan Republican Front ILO International Labor Organization INCO International Nickel Company INTA National Institution of Agrarian Reform MARN Ministry of the Environment and Natural Resources MEM Ministry of Energy and Mines MTC Peasant Workers Movement NAFTA North American Free Trade Area RIC Register of Cadastral Information WTO World Trade Organization 1 Names in Spanish are translated. 1 Introduction There's a deep fundamental ecological crisis going on. Much attention is given to climate change, but that's only one of the problems we're facing. In fact we're eating the world: every year we need more of the earth to face our needs, and the earth can't recuperate fast enough. According to the Global Footprint Network, we reached Ecological Debt Day on October 6th 2007.2 On that day, humanity has consumed the total amount of new resources that our planet could produce in 2007. One of the causes of this situation is how our economy is organized: the only focus of our economic system is growth, without taking nature in account. One of the industries where this situation is most visible is the extractive industry. The last two decades are featured by an explosive growth in the extraction of raw materials. These materials are mostly found in southern countries. The extractive industry has a big impact on nature and the people living there. This causes conflicts: local communities are threatened in their livelihood, human rights are violated. How is this situation felt on the ground? To answer this question, two mining projects in Guatemala are investigated: the Marlin project in San Marcos and the Fenix Project in El Estor. We shall take a look on the area where the mines are located, the background of the project and the environmental, social and economic impacts. We shall also give some general information on mining in Guatemala. As such we give the conflicts behind the extraction of resources a face: it’s about real people in real places. Several resources are used to sketch the cases: articles from ngo’s, newspaper articles, scientific articles, reports from various instances, … Several fact finding missions taken by different organizations informed me how the indigenous people affected by the mines feel about their situation. There are not many truly scientific sources available on the subject. Still, the information gathered was as much as possible compared with other resources. As mining is just one example of outlets of our economic system, these two cases are placed in the framework of the environmentalism of the poor or the environmental justice movement. This movement says it’s not a coincidence that the incidence of 2 Global Footprint Network (2007). October 6 is Ecological Debt Day. Available at http://www.footprintnetwork.org/gfn_sub.php?content=overshoot. Last check 11 August 2008 2 environmental harm is bigger in regions where minorities live or where poverty flourishes. Environmental economics and political ecology are used to show that the ecological problem is an unjust problem and that this is most visible in the extractive industry. Here, we use the works of Juan Martinez-Alier. After giving some general features and background on this movement, we shall take a look at the movements in San Marcos and in El Estor, if they can be seen as ecological justice movements. The first part looks at mining in Guatemala and the two cases more in specific. Then, we define the theoretical framework in which we want to place these cases. Using the perspective of Juan Martinez-Alier, we’ll take a look at ecological distribution conflicts and at some general features of the environmental justice movement. These are placed upon the movements in Guatemala. Finally, we formulate some recommendations for mining in general and in Guatemala. 3 CHAPTER 1 Mining in Guatemala Pushed by economic growth, the demand for commodities grows. Transnational companies are looking for new resources, mainly in development countries. Guatemala is interesting for several reasons: it has enormous supplies of minerals and it offers good conditions for transnational companies. Figure 1 - Guatemala and it's neighbours3 1.1 Background Under the government of Alváro Arzú (1996 – 2000) the current mining law was last adapted. He tried to reactivate the economy by making foreign investments easier. 3 Digiatlas, 2008. Guatemala. Available at www.digiatlas.com. Last check 12 August 2008. 4 This reformed law, together with the signing of a great deal of the peace accords in 1996 which gave a more stable political situation, was most appreciated by the mining companies. In that time, the revenue for the state was reduced from 6% to 1%. In 2003, Berger came at stage. His Alianza Nacional made a difference with the former Guatemalan Republican Front (FRG)-government of Portillo (2000 – 2003). The Portillo-administration tried to compete with the industry, but Berger put a great deal of power in hands of the industrials and the agro-exporters. Like Arzú, he provided a legal framework and political stability to attract foreign investments. The governmental priority lay in economic growth by big investment projects in the market of regional trade agreements.4 According to Dirk Govaert, Guatemala expert, Arzú and Berger come from the same political family, which is related to the big landowners in Guatemala. The country has always known a powerful economic sector which forms a rich minority. Both governments were formed by members of the Coordinating Committee of Agricultural, Commercial, Industrial, and Financial Associations (CACIF) wich represents the national economic powers. Because off the coffee crisis in 2000, these landowners saw their income diminish. This made them very interested in negotiations with big transnational companies to establish their economic and political power and to enlarge their financial patrimony. This puts the policy of both Arzú and Berger to attract foreign capital in a bigger framework.5 In January 2008, Alvaro Colom came in power. He promised to change the policy towards mining companies, by putting the national interests central and by listening to the Mayan population. This promise was received with skepticism, as the foreign mining companies managed to put the national law and the governmental practice to their hand.6 The Guatemalan mining law (Decreto 48 – 97) is very favourable to companies. This law came about in the mark of the structural adjustments in Latin America forced by the IMF. Illustrative are the following points: 4 Solano, Luis (2005), No todo lo que brilla es oro. Minería, petróleo y poder en Guatemala. Inforpress Centroamericana. Enforme Especial, p2. 5 Vandenbroucke Esther. Interview with Dirk Govaert, 15 May 2008. 6 Coolen, Mario (2008). Nieuwe regering in Guatemala. Bescheiden hoop met Alvaro Colom. 5 - A 100% ownership by foreign persons or institutes is permitted. No import taxes have to be paid for machinery, equipment and production goods for mining. - The companies have to pay 1% revenues: 0,5% to the state and 0,5% to the municipality where the exploitation occurs. - As the resources in the underground belong to the state, exploration and exploitation permits are easily granted. - Environmental rules don’t exist or are not strict. - Water can be used for free.7 Relevant to mention here is the problem of land: the civil war (1960 – 1996) was about land and until today it stays a problem, for example regarding the granting of the mining licenses. Land has a double dimension in Guatemala: it has an economic role as the main vehicle to develop income-generating activities, and a cultural, even spiritual asset for indigenous communities. But Guatemala is one of the world’s most unequal countries as to the distribution of land. 92,06% of small agricultural producers occupy 21,86% of the territory, 56.59% of the territory is occupied by 1.86% of the commercial producers. Moreover, 72% of the country’s fertile land is idle, worsening the high concentration of ownership of productive land. When the peace accords were signed in 1996, a comprehensive land reform was included through the promotion of ownership rights via regularization/deed granting, land and ownership registry. Until now, this has not been complied. FONTIERRAS, the most important state agency therefore created, fails to be an efficient land mechanism for farmers with no or insufficient land. As land titles still aren’t clear in Guatemala, it’s easy for people with political and economic interests to appropriate grounds without leaving traces. This problem of land titles is most clear in the El Estor case.8 As Guatemala is a newcomer to the sphere of mining, civil society and ngo’s did not recognize at once the far-reaching impact of this type of exploitation of the country’s mineral resource. They didn’t react immediately when the new mining law was passed in 1997. Only at the end of 2003 protests begun.9 7 Maldorado, Marco Vinicio Lopez, Análisis. La industria minera en Guatemala: entre el despojo y el etnocidio. In: Voces del tiempo, 56, p16 8 Social Alert (2007). Guatemala 10 years after the Peace Accords. Social Alert Reports on Economic, Social and Cultural Rights, p23. 9 McBain Brigitte, Bickel Ulricke (2005), Open Pit Gold Mining. Human Rights Violations and Environmental Destruction – The Case of the Marlin Gold Mine – San Marcos, Guatemala, FIANdocument d44e, p9. 6 The growing protests set up a process of discussion: a multisectoral commission, named High Level Commission on Mining, was founded, with participation of the social and environmental sectors, the Ministry of Energy and Mines (MEM), and the Catholic Church to discuss the problems. In August 2005 their conclusions consisted of reforming the mining law and supervising and controlling more.10 Throughout 2006, the Commission brought together various civil society organizations and government officials in order to come up with a proposal to reform the current law. This led to the presentation in 2007 by the MEM of the “Mining Policy Guidelines 2008 – 2015”, which designs the future for mining exploitation in Guatemala. This document wants to be a guiding instrument to develop the mining activity in a sustainable manner. It states different targets to achieve this: - Modernizing the legal framework applicable to mining and strengthen the regulating role of the government - Developing politics of dialogue with the involved communities in agreement to the Convention 169 of the ILO - Assuring that the benefits will be invested in the involved communities. - Assuring the protection of the environment and complying to the promises about health and security of the population, closing of the mine and paying of the finances.11 This guidelines received skepticism from civil society. The Pastoral Commission Peace and Ecology (COPAE), who supports the people of San Marcos in their struggle against the Marlin Mine, says it’s strange that the Ministry keeps on granting new mining licenses, while this document shows the deficiencies of the responsible Ministries. COPAE states that the guidelines should become more precise and concrete, before mining can be stimulated.12 In March 2008, the new Parliamentary Commission on Energy and Mines reactivated the debate to reform the current Mining Law. The reformation of the mining law should be completed by the end of 2008. The recommendations presented by the initiative of the High Level Commission on Mining are taken as a starting point: - The increase of revenues for the Guatemalan state - The genuine recognition of the community consultations - Changing the way an Environmental Impact Assessment can be obtained 10 Solano, Luis (2005). Guatemala petróleo y minería en las entrañas del poder, pp 126 – 127. Ministerio de Energía y Minas (2007). Lineamientos de política minera 2008 – 2012, pp 13 – 17. 12 COPAE (2007). Presentación de los nuevos Lineamientos de la Política Minera del Estado. 11 7 - More controls on the companies and the environment13 In June 2008, the Constitutional Court in Guatemala found eight articles or sections thereof of the Mining Law to be unconstitutional14. The mining law was brought to court by civil society in 2004, the conviction was conceived as a victory.15 However, the conviction doesn’t seem to make much impression on the Ministry for Energy and Mines. MEM Director Oscar Rosal says the MEM will keep on granting licenses with the same law, complying to the requests made by the Constitutional Court.16 1.2 Concessions, Corporations, Exploitation Guatemala is a country rich in mineral resources. Currently, more than 30% of the country is in demand for concessions by mining companies. Three types of licenses can be granted: - Recognition license: exclusive permission to identify and locate possible exploration, in an area of 500 to 3000 km2. The license is granted for 6 months and can be extended for the same period. - Exploration license: exclusive permission to locate, study, analyse and evaluate the site in an area of maximum 100 km2. The license is granted for 3 years and can be extended two times for 2 years, for each extension the site is reduced by 50%. - Exploitation license: exclusive permission to exploit the site in an area of maximum 20 km2. The license is granted for 25 years and can be extended for the same period. As the underground is owned by the Guatemalan state 17, the granted licenses are unlimited in the depth of the underground, but limited in territorial terms. 18 13 Lucía Blas, Ana (2008). Reactivan debate para cambiar Ley de Minería. In: La Prense Libre, 14 March 2008. 14 Among the Articles deemed unconstitutional are 19 and 20, which allow mining activities to start while the corresponding paperwork is still being processed, Articles 21, 24 and 27, which allow mining activity to take place to unlimited depths of the subsurface, Article 75, which allows mining companies to discharge water from their tailings pond directly into surface water, as well as Articles 81 and 86. 15 Espada, Ramírez Espada (2008). CC resuelve contra Ley de Minería. In: La Prensa Libre, 17 June 2008. 16 Vandenbroucke Esther. Interview Oscar Rolas, 16 June 2008. 17 Guatemalan law only gives the title deed owner the right to exploit land resources on the surface, while the subterranean resources belong solely to the state. 18 MEM, 2008. Ministerio de Energía y Minas. Dirección General de Minería. Licencias Mineras. 8 Currently (June 2008), 247 exploitation permits have been granted, as told by the MEM in figure 2. Alta Verapaz Baja Verapaz Chimaltenango Chiquimula El Progreso Escuintla Guatemala Huehuetenang o Izabal Jalapa Jutiapa Petén Quetzaltenang o Quiché Retalhuleu Sacatepéquez San Marcos Santa Rosa Sololá Suchitepéquez Totonicapán Zacapa TOTAL: RECONOCIMIENT O EXPLORACIÓN EXPLOTACIÓN TOTAL 0 0 0 1 0 0 0 21 10 0 7 13 0 9 13 13 4 12 40 7 59 34 23 4 20 53 7 68 0 0 0 0 0 15 20 7 9 2 26 14 3 5 1 41 34 10 14 3 0 0 0 0 0 0 0 0 0 0 1 1 3 0 0 15 2 0 1 4 3 142 4 11 0 4 3 8 0 2 2 16 247 5 14 0 4 18 10 0 3 6 19 390 Table 1 - Mining License for Department – June 200819 There are different companies active in Guatemala. The main players in the mining industry are Canadian and US companies. They mostly operate under various registered names in Guatemala. Table 1 gives an overview. The Marlin Mine is 19 Available at: http://www.mem.gob.gt/Portal/Home.aspx?secid=52. Last check 11 August 2008. MEM, 2008. Ministerio de Energía y Minas. Dirección General de Minería. Estadísticas Mineras. Licencias Mineras por departamento. Available at: http://www.mem.gob.gt/Portal/Home.aspx?tabid=226. Last check 11 August 2008. 9 owned by Goldcorp, Montana Exploradora is the Guatemalan subsidiary. For the Fenix Project it’s Skye Resources (very recently Hudbay Minerals, cf. Supra) and the Guatemalan Nickel Company (CGN). Company Country Goldex Resources Canadá Goldcorp Inc. USA Goldcorp Inc. USA Skye Resources Canadá Radius Gold Inc. Canadá BHP Billiton Australia Guatemalam Subsidiary Project Compañía Minera El Cóndor, El Pato S.A. Montana Exploradora S.A. Marlin Entre Mares de Guatemala, S.A. Compañía Guatemalteca de Níquel, S.A.(antes EXMIBAL) Exploraciones Mineras de Guatemala, S.A. Mayaniquel, S.A. Cerro Blanco Aurogin Resources Canadá o Castle Gold Corp Firestone Ventures Canadá Rocas El Tambor, S.A El Sastre Gold Ore Resources Canadá Sammy González Bueso Nichromet Extraction, Inc Nichromet Extraction, Inc Canadá Nichromet Guatemala, S.A. Canadá Guatemala Copper, S.A. Fénix Mineral Gold and Silver Gold and Silver Gold and Silver Nickel Marimba, Tambor Gold and y Banderas Silver Sechol Nickel Cooperativa Juventud Minera Torlón Gold and Silver Lead and Zinc Uranium El Rincón y El Incienso (RENUNCIADAS) Chinabenque I y II Nickel Padre Antonio y Lajitas Copper Table 2 - Foreign companies with operation in Guatemala20 Next to the foreign companies, there are several other companies active in Guatemala. An overview is found in Appendix 1. Until 2005, mineral production in Guatemala consisted mainly of non-metallic mines. Between 1997 and 2005, the value of the production for these 9 years was about Q 686,7 million21. The production of metallic mining started in 2006, as such the value rose significantly: in 2007 the estimated value was Q 1422,0 million. The contribution of mining to the Guatemalan GDP maintained more or less 0,52% between 2002 an 2006, the GDP rose 13,2% in the same period. In 2006, the share of mining in the 20 21 Overview sent by Sr. Oscar Rosal, Director General de Minería. 1 Guatemalan Quetzal is exchanged for 0,14 US Dollar (August 2008) 10 Guatemalan economy rose significantly because of the production of gold and silver in San Marcos.22 This Marlin Mine was the first large-scale modern capital intensive mining operation in the country, the Fenix Project in El Estor is the second in line. 23 Goldcorp, the multinational company behind the Marlin Mine, is the single largest taxpayer of Guatemala and claims that it will be contributing US $ 69,9 million in taxes and royalties over 11 years to the Guatemalan government.24 As the commodity prices were rising, the Guatemalan government proposed to the mining companies to raise the revenues. In April 2008, an agreement was signed between CGN and the Guatemalan government to raise the revenues from 1% to 4%. As such, the Guatemalan government will gain $ 250 million the first 20 years of the operational Fenix project, according to the Ministry of Energy and Mines.25 Mining and poverty A report of the Ministry of Energy and Mines of 2004 states that the mining potential of Guatemala coincides for a great part with poor or extremely poor regions. These are characterized by rocky undergrounds with little or no vegetal underground, zones with little development and without labour opportunities.26 Figure 3 shows the concessions given in 2004 on a map of Guatemala where the poverty lines are drawn. 22 Ministerio de Energía y Minas (2007). Lineamientos de política minera 2008 – 2012, pp6-7. Wiig, Henrik (2008). Promoting Respect for the Collective Rights of the Q’eqchi’Population. An evaluation of AEPDI in El Estor, Guatemala. NIBR Working Paper 2008:102, p20. 24 Imai, Shin, et al. (2007). Breaching Indigenous Law: Canadian Mining in Guatemala. In: Indigenous Law Journal, 6 (1), p118. 25 Lix, Beatriz (2008). CGN sube regalías de 1% al 4%. In: La Prense Libre, 8 april 2008. 26 Ministerio de Energía y Minas (2004), Caracterización de la Minería en Guatemala. Primer Foro Nacional de la Minería en Guatemala, p2. 23 11 Figure 2 - Mining concessions and poverty in Guatemala - 200427 27 Madre Selva (2004), Principales mapas de minería de metales en Guatemala. Powerpoint MadreSelva. 12 CHAPTER 2 Marlin mine Montana (100 % property of the Canadian Glamis Gold Ltd.) acquired the Marlin mine in the department San Marcos in Guatemala in 2002 with a loan from the International Finance Corporation, the private sector arm of the World Bank Group. By 2005 they started producing gold (10%) and silver (90%). 2.1 Area The Marlin Mine lies at an altitude of 2000 m in the south-western highlands of Guatemala between the municipality of San Miguel Ixtahuacán and Sipakapa. This area is mountainous, consisting of volcanic rocks, and lies in the River Cuilco basin. Water is not abundant: according to the FoodFirst Information and Action Network (FIAN), an international human rights organisation dedicated to the right to food) researchers, villagers complain about increasing water scarcity due to erratic and receding rain falls with ensuing conflicts about water usage. The population consists of indigenous Mam and Sipakapense subsistence farmers. The area is one of the poorest departments with up to 95% of the population living in severe poverty.28 San Miguel Ixtahuacán comprises of 19 villages, Sipakapa of 13. Since 2005, villages in San Miguel Ixtahuacán have been transformed in an open pit mine, which eventually will encompass 5 square kilometres. 85% of the total expanse of the planned mine is in San Miguel Ixtahuacán, 15% in Sipakapa.29 28 McBain Brigitte, Bickel Ulricke (2005), Open Pit Gold Mining. Human Rights Violations and Environmental Destruction – The Case of the Marlin Gold Mine – San Marcos, Guatemala, FIANdocument d44e, p11. 29 Saunders Sakura ed. (2008), Investing in Conflict. Public money, private gain: Goldcorp in the Americas, Rights Action, p10. 13 Figure 3 - Mining in San Marcos in 2004 (red ball = Marlin Mine, exploitation started in 2005)30 2.2 Background As seen before, the Arzú-administration changed the mining law to attract more foreign investments. The Canadian company Montana Gold was one of the companies who quickly entered the country under this new law. In 1996 they got a license for the Marlin Mine, situated in the municipalities of San Miguel Ixtahuacán and Sipacapa, in the department of San Marcos. After the exploration phase in San Miguel Ixtahuacán, the company began buying properties from small landholders, paying between eight and eighty times market value for the land they acquired. 31 Before the exploitation of the Marlin Mine, Montana Gold was bought by other Canadian companies: first Francisco Gold, one year later Glamis Gold.32 This acquisition fitted in a strategic plan of Glamis Gold starting in 1998 to pursue growth 30 Madre Selva (2004), Principales mapas de minería de metales en Guatemala. Powerpoint Madre Selva. 31 Paley, Dawn (2007). Turning Down a Gold Mine. The Tyee, 7 Februari 2007. 32 Solano, Luis (2005). Guatemala petróleo y minería en las entrañas del poder, p106. 14 opportunities in the Americas to lower production costs. This included buying other companies of the sector operating outside of the US. The first business venture of Glamis Gold outside the VS was the acquisition of Marwest Resources Ltd. This brought the San Martín mine in Honduras in their hands, operated by the subsidiary Entre Mares.33 The Guatemalan subsidiary is Montana Exploradora, which acquired the exploitation permit in 2003 after approval of the Environmental Impact Assessment. It started executing the Marlin Mine in 2004. Glamis expected to have an annual production of 217,000 ounces of gold and 3,3 million ounces of silver over a ten-year mine life.34 In November 2006, Goldcorp bought Glamis Gold, thus creating one of the worlds largest gold mining companies.35 Goldcorp is also seeking to expand its operations in Guatemala. They started exploring in Asunción Mita, Jutiapa in 1996, for the Cerro Blanco project. This project is seen as an underground deposit, with possible operating synergies with the Marlin Mine.36 The Berger government gave a big impulse to the Marlin project, which already got a loan of $45 million from the International Finance Corporation.37 Until July 2006, Glamis Gold was not required to pay taxes other than royalties. It had negotiated to be legally recognized as maquila (free trade zone).38 Because of the rise of the gold prices, the Guatemalan state made an agreement with Glamis that, from July 2006 onwards, they would pay taxes for “improvements to services and infrastructure in areas near the Marlin Mine” and “increased capacity building within government ministries with mining responsibilities.”39 2.2.1 Goldcorp Goldcorp is one of the world’s largest gold mining companies. It has 11 operations and 6 developments project throughout the Americas. Over 70% of Goldcorp’s reserves are situated in NAFTA countries. Goldcorp doubled its reserves and 33 Peace Brigades International (2006). Metal Mining and Human Rights in Guatemala. The Marlin Mine in San Marcos, p10. 34 Glamis Gold Ltd. (2003). Glamis Gold receives key exploitation license for Marlin project. News Release, p1. 35 Goldcorp, 2008. Company. Available at http://www.goldcorp.com/company/. Last check 11 August 2008. 36 Goldcorp, 2008. Operations. Cerro Blanco. Available at http://www.goldcorp.com/operations/cerro_blanco/. Last check 11 August 2008. 37 Solano, Luis (2005). Guatemala petróleo y minería en las entrañas del poder, p 110. 38 Angél, Otto N. (2006). Montana Exploradora pagará IUSI y ISR. In: Siglo XXI, 19/7/06. 39 Mining Watch (2007), Goldcorp Analysis, p 16. 15 resources from 5 to 10 million ounces in 2006, through the acquisition of Glamis Gold Ltd among others. Goldcorp expects to increase its production by over 50% in the next five years. The company prides itself on being one of the world’s lowest cost and fastest growing multi-million ounce gold producers.40 The acquisition of Glamis Gold made of Goldcorp the third largest gold producer in North America. 2.2.2 The mine The Marlin mine combines open pit and underground mining. Commercial production commenced in the fourth quarter of 2005 and in its first full year of production 2006 Marlin achieved 161,000 ounces of gold and 1,6 million ounces of silver. The Marlin mine is expected to produce through 2015.41 Open pit mining Open pit mining is the least expensive but the most polluting form of mining. It scraps the surface of the earth to get to the rocks which contain minerals. There are several problems with open pit mining: - Lands are often illegally acquired, or at very low prices. - The mountains are deforested, as such destroying the ecosystem and causing water depletion. - The fertile earth is removed to discover the rocks containing the minerals of low quality. - Explosions of the rocks and grinding of the waste rock causes dust which contains heavy metals, this causes acid rain run off. - Open pit mining requires a dumping location for the waste (waste rock and tailings42). - Extraction requires an enormous amount of water, causing drought. - Leaching of heavy metals. - Acid rock drainage (cfr. infra). Open pit mining is considered to be one of the most contaminating activities in the world.43 Six of the ten most polluted places in the world, according to a study of the Blacksmith Institute, are because of mining activities.44 40 Goldcorp, 2008. Company. Available at http://www.goldcorp.com/company/. Last check 11 August 2008. 41 Goldcorp, 2008. Operations. Marlin. Available at http://www.goldcorp.com/operations/marlin/. Last check 11 August 2008. 42 Tailings is the waste that arises after the rocks are grinded. 16 Cyanide The production process consists of a leaching process of the metals in tanks. This leaching process requires the use of a lixiviation solution: sodium cyanide solution. Cyanide is thus used to separate metal from the rock. When the lixiviation process is done, adding zinc precipitates gold and silver. The residuals go through a neutralization circuit and then to the tailings deposit. To separate gold and silver from the rock, 6 tons of cyanide will be required each day. One ton of rock must undergo this process to obtain one ounce of gold. According to the Environmental Impact Study (EIS), the toxic rock must undergo a process to eliminate toxicity after lixiviation. This INCO process converts the cyanide in cyanate. At the end of the chain, the toxic waste is stored in a tailings dam, which is a steel tank inserted in another tank of cement. This tailings waste will stay on the site after the mine is closed.45 Cyanide is extremely toxic: for a human being 50 to 200 milligram is mortal. The environmental impacts of noncatastrophic releases of cyanide from impoundments are mitigated because cyanide breaks down quickly in sunlight. But sometimes free cyanide breaks down slowly, for example in water that is ice-covered and so protected from direct sun. It can also break down into less toxic but longer-lasting forms, such as cyanate and cyanogen. Free cyanide will quickly kill aquatic life. Cyanide is highly reactive with many heavy metals, and during the leaching process a variety of metal-cyanide complexes can be formed: arsenic, mercury, selenium and other heavy metals can be leached. Cyanide doesn’t react directly with many of these metals, but it breaks down the sulphides to which they are bound, releasing them. Thus, when tailings containments leak, these metals often enter ground or surface water.46 Revision of the Environmental Impact Study Robert Moran, an independent U.S. hydrologist with much experience in mining, revised the Environmental Impact Study of Montana, and had several remarks on 43 Ramirez, Chiqui (2008). Que es (M.C.A.) la Minería a Cielo Abierto? Albedrío.org, 1 July 2008. Blacksmith Institute (2007). Annual Report 2007, p2. 45 Montana exploradora de Guatemala, S. A. (2003). Estudio de Evaluación de Impacto Ambiental y Social “Proyecto Mina Marlin”, pp. 3-45, pp. 3-49 en p 9-6. 46 Fields, Scott (2001). Tarnishing the earth: Gold Mining’s dirty secret. In: Environmental Health Perspectives. 109 (10), pp. 478-479. 44 17 this EIS. One considers the fact that the tailings impoundment will be unlined (this means that the impoundment doesn’t have an under-seal or liner) “because of the mountainous setting of the region”. Moran states that most modern tailings impoundments are constructed with some sort of liner, and these are often constructed in mountainous areas. He calls it unreasonable to assume that this tailings dam will not develop some degree of contaminated leakage over the longterm.47 Moran also criticizes the fact that Montana didn’t study in detail the quality of the water, surface water and ground water. The EIS doesn’t comment the amounts of water available in the project area, nor the likely impacts to the flows or to neighbouring wells and springs.48 Knowing that the mine will consume about 250.000 litre water an hour49, it’s clear that the Marlin Project will severely affect the whole water household in the area. Another point where the EIS doesn’t give the information needed, is concerning the natural toxicity of the rock. According to Moran, much of the rock probably is sulphide rich, which makes the chances of developing acid rock drainage high.50 Acid rock drainage is a known problem with mining activities. The rock containing for example gold also contains sulphides. This is not dangerous if it remains trapped in the rock. However, when the rock is pulverized to extract gold, the sulphide remains suspended in the air. Rainwater coming into contact with the sulphide is contaminated, affecting surface and ground water. This acid rock drainage is a longterm problem, it stays problematic for years after the mine will be closed. Moreover, acid rock drainage causes further dissolving of heavy metals such as copper, lead, arsenic, zinc, selenium or mercury into surface or ground water.51 Moran has several other critiques: 47 Moran Robert E. (2004), New Country, Same Story: Review of the Glamis Gold Marlin Project EIA, p5. 48 Ibid., p3 49 Montana exploradora de Guatemala, S. A. (2003), Estudio de Evaluación de Impacto Ambiental y Social “Proyecto Mina Marlin”, p3-49 50 Moran Robert E. (2004), New Country, Same Story: Review of the Glamis Gold Marlin Project EIA, p4. 51 Saunders Sakura ed. (2008), Investing in Conflict. Public money, private gain: Goldcorp in the Americas, Rights Action, p 4. 18 - The unrealistic analysis that the risk on an earthquake is low or very low, based on the last 19 years and as such neglecting any seismic records from 1976, a period of extremely damaging Guatemalan earthquakes. - The totally disingenuous and incorrect statements about how fast cyanide degrades. - The statement that leachates from waste rock are not toxic because they have not been treated with cyanide, as such ignoring the pervasive tendency for waste rock to contaminate surface and ground waters with inorganic pollutants such as metals. - The fact that the EIS doesn’t give information about the detailed chemical composition of effluents from the INCO cyanide decontamination process and if they are toxic to local aquatic organisms.52 - The EIS doesn’t give a realistic financial assurance measure for future problems, like acid rock drainage, or leaking of the tailings dam, or toxic rock remaining on the site. To conclude, Moran states: “This EIA would not be acceptable to regulatory agencies in most developed countries, specifically the European Union countries, the U.S.A., and Canada.”53 2.2.3 A history of confrontation The Marlin project got immediate response from civil society: in February of 2004, about 500 Sipakapense farmers were the first to protest. Several months later, the National Front against Metal Open Pit Mining was founded, trying to avoid new mining licenses. Another more recent initiative was added in 2005: the Western Front against Mining consists of civilians of 8 departments and openly opposes the exploration and exploitation of mines. Not only protests marked the opposition to the mine. A research by the Prensa Libre in November 2004 showed that 95,5% of the examined did not agree with the mining project. By the end of 2004 the inhabitants got more and more organized, most of all the people of Sololá: on the 6th of December, the mayor of Sololá stated in an open meeting with 3000 inhabitants that he never authorized mining in the region. Farmer 52 Moran Robert E. (2004). New Country, Same Story: Review of the Glamis Gold Marlin Project EIA, pp.3-6. 53 Ibid., p 11 19 leaders signed a document in which they promised not to permit mining operations nor the use of roads for this purpose. The community leaders and mayors of Totonicapán took similar positions. According to Solano, it was clear from the beginning that there wasn’t a dialogue between the major actors: the communities and the government.54 In December 2004, the citizens of Sololá blocked the passage of a big cylinder. In the village of Los Encuentros, workers started dismantling a pedestrian bridge to make a way for the cylinder (7 meters in diameter, 52 ton). The inhabitants protested, complaining that they were not consulted, so the cylinder remained at the side of the road. As the civilians were not informed where the cylinder was going to be used, the rumour was spread that a mining company in Sololá needed it. This provoked an immediate response from the people who continued to block the passage of the cylinder, demanding that the government negotiate with them to cancel any existing concessions in Sololá. The government didn’t comply to this demand, instead, in January 2005, they sent 1500 police officers and 300 soldiers to move the cylinder by force. In the confrontation between security forces and residents, one resident, Raul Castro Bocel, died and 16 police officers were injured. The next day, the cylinder finally reached its destination: the Marlin plant.55 The social mobilization against the mining rose. A big manifestation in 2005 brought thousands on the road in San Marcos, under the leadership of bishop Ramazzini56. In February again thousands of civilians of Sololá protested against the mining. The opponents of the mining industry experienced a climate of insecurity. Death threats were pronounced against leaders of the indigenous, catholic and environmental movements. Another death was counted in March 2007: Álvaro Sánchez who openly denounced the mining industry, was shot down by a private guardian of the Marlin mine. The popular consultation in Sipakapa on the 18th of June 2005 marks another important point in the history of the Marlin Mine. 54 Solano, Luis (2005). Guatemala petróleo y minería en las entrañas del poder, p111. Peace Brigades International (2006). Metal Mining and Human Rights in Guatemala. The Marlin Mine in San Marcos. p13. 56 The Catholic Church in Guatemala plays an important role in the conflict in San Marcos: Bishop Ramazzini of San Marcos and Cardinal Toruño openly oppose open pit mining. 55 20 The issue of consultation of the population is stated in the Guatemalan legislation (Decreto 12 – 2002 of the Código Municipal57) and in international law, ratified by the Guatemalan state (ILO Convention 169 on Indigenous People and Tribals58): the population living around any project that might affect them, must be consulted before it can be approved. This obligation of the Guatemalan state is not included in the Mining Law, which leaves a legal void, according to the public prosecutor of Human Rights in Guatemala.59 So even though the Guatemalan law is responsible for informing and consulting the affected population before granting an exploitation permit to the mining company, this was not the case. Montana states that, when the EIS was ordered in 2003, it distributed a shorter version in the regional Mam language to inform the affected populations. Researchers of FIAN state that “none of the regional groups in San Marcos or NGO’s dedicated to the subject could present a copy of the document and local people stated that they never received such information in their indigenous language.”60 Although Montana maintains that they duly informed and affected Mayan communities, several sources (the public prosecutor of human rights, the researchers of FIAN and Mesereor, and the Compliance Advisor/Ombudsman) agree that there was no due consultation process to get the informed consent.61 The answer of the Sipakapa people was to make their own declaration on the matter. On the 18th of June 2005, they held a referendum, despite the intimidations and threats by Montana, who tried to prevent it by a complaint to a local court and by spreading flyers in the town which said the referendum was suspended by the court. In the referendum 45% of the town’s registered residents voted, the result was 98% against the mining operations (11 communities against mining, 1 in favour and 1 57 “Los vecinos tienen el derecho de solicitar al Concejo Municipal la celebración de consultas cuande so refiera a asuntos de carácter general que afectan a todos los vecinos del municipio.” 58 “The peoples concerned shall have the right to decide their own priorities for the process of development as it affects their lives, beliefs, institutions and spiritual well-being and the lands they occupy or otherwise use, and to exercise control, to the extent possible, over their own economic, social and cultural development. In addition, they shall participate in the formulation, implementation and evaluation of plans and programmes for national and regional development which may affect them directly.” (article 7 of the Convention 169 concerning Indigenous and Tribal peoples in Independent Countries) 59 Procuraduría de Los Derechos Humanos, Unidad de Estudio y Análisis (2005). Tema: La Minería y los Derechos Humanos, pp 7-8. 60 McBain Brigitte, Bickel Ulricke (2005). Open Pit Gold Mining. Human Rights Violations and Environmental Destruction – The Case of the Marlin Gold Mine – San Marcos, Guatemala, FIANdocument d44e, pp 9-15. 61 Procuraduría de Los Derechos Humanos, Unidad de Estudio y Análisis (2005). Tema: La Minería y los Derechos Humanos, p 9. - McBain Brigitte, Bickel Ulricke (2005). Open Pit Gold Mining. Human Rights Violations and Environmental Destruction – The Case of the Marlin Gold Mine – San Marcos, Guatemala, FIANdocument d44e, p 12. – Compliance Advisor/Ombudsman (2005). Assessment of a complaint submitted to CAO in relation to the Marlin Mine Project in Guatemala, pp 28-30. 21 abstention).62 Despite the outcome of the consultations, Glamis continued to employ various strategies to enter in Sipacapa. For example, they offered the municipality a gift of over $150,000 CDN63, which was refused.64 On the 8th of March 2007, the Constitutional Court ruled that the results of the consultations are unconstitutional, because these cannot be considered binding. Analysts in Guatemala have speculated that the recent decision by the Magistrates of the constitutional court could have been influenced by political, economic and commercial interests. The people of Sipakapa filed a complaint against that decision on 11 December 2007 at the InterAmerican Commission on Human Rights.65 How the Ministry of Energy and Mines feels about these consults is illustrated by the answer of Dr. Rosal, general director of mining, on what he thinks about the community consultations: “Todas las consultas han sido bajo la base de mala información, diciéndole a la gente que se van a secar las fuentes de agua, que sus hijos van a nacer con cola, que el cianuro permanece por siglos en la tierra (científicamente probado que desaparece en 15 días), que al hacer túneles van a salir serpientes que se los van a comer, etc.”66 This gives the idea that the MEM doesn’t take the concerns of the local communities serious. Since the Consulta in Sipakapa, some 25 other communities in different municipalities of Guatemala consulted their population. Most consultations spoke out against mining, some against hydroelectric projects and one specific case against a cement fabric.67 Next to the consultations in Sipakapa, five more were related to the Marlin Mine: Tutuapa, Ixchiguá, Comitancillo, Sibinal and Tacaná all rejected mining unanimously or with a great majority.68 In August 2006, 1000 people demonstrated in favour of mining in a march in the capital. The marchers were mainly from the communities of Izabal and Alta Verapaz, as well as workers from the Marlin Mine. The people from Izabal and Alta Verapaz 62 Peace Brigades International (2006). Metal Mining and Human Rights in Guatemala. The Marlin Mine in San Marcos, p22 63 1 Canadian Dollar is exchanged for 0,94 US $ (August 2008) 64 Paley, Dawn (2007). Turning Down a Gold Mine. The Tyee, 7 Februari 2007. 65 Loarca, Carlos (2008), Las consultas de buena fe in Guatemala y la corta interamericana de derechos humanos, Albedrío.org, 27 May 2008, p9. 66 “All the consults have occured on the basis of wrong information, saying that the mine will draw the water sources, that the children will be born with a tail, that the cyanide will stay for centuries in the ground (scientific proven that it disappears in 15 days), that snakes will come out of the tunnels that will eat their children, etc.”. Vandenbroucke Esther. Interview Oscar Rolas, 16 June 2008. 67 Sandoval, Miguel Angel (2008), Que occurre en Sipakapa? Albedrío.org, 28 July 2008. 68 COPAE, (2008), Listado de municipios donde efectuaron “Consultas Comunitarias” sobre la actividad minera química de metales en los departamentos de San Marcos y Huehuetenango, p1. 22 were brought to Guatemala City in eleven small planes and a larger number of buses, paid by the Guatemalan Nickel Company (subsidiary of Skye Resources who owns the Phoenix Project, supra). The Marlin workers were transported by twelve light trucks, organized by Montana. According to the Peasant Workers Movement (MTC) of San Marcos, the company also offered 500 Quetzals to each participant, while those not participating could lose their jobs.69 Between the 10th and the 22th of January 2007, around 600 residents of the communities surrounding the Marlin Mine blocked the access roads to the mine, protesting against the probable contamination of the Tzalá River and asking compensation for the cracks in several houses, due to the explosions of the company. They also felt that they had been unfairly compensated for their lands so they demanded a renegotiation of the prices. The immediate reason for blocking the access to the mine came when local people found out that Montana had recently paid between 30 and 40 thousand quetzals per cuerda (715m) for a terrain adjacent to the actual exploitation-site. The people who sold their land to the company between 1999 and 2003 got 4000 quetzales per cuerda. In addition, several local residents testify that they have been blackmailed: “Montana representatives told us that they had already received all necessary permits to start their work. If we wouldn’t leave our terrain, they announced that it would be evicted. So in the end our only choice was between selling our land or being thrown off”. When Montana guaranteed a meeting with the directors of the mine, the blockade was removed.70 Seven participants in the blockade were accused by the company of assaulting an employee. Five were released after one year of legal battles, and two were found guilty and are paying a daily fine.71 In September 2007, municipal elections were held. These became a victory for the opponents of the Marlin project: the Sipakapa Civic Committee, formed in 2003 out of people opposing the mines, won the elections. This Civic Committee was founded apart from the traditional parties because none of them was willing to stand against the presence of Montana in Sipakapa, says Delfino Tema Bautista, the mayor of Sipakapa.72 69 Peasant Workers Movement (2006), Where did the mining companies’ ethics go? COPAE (2007) , Residents of San Miguel Ixtahuacán obstruct entrance ways to the Marlin mine. 71 Saunders Sakura ed. (2008), Investing in Conflict. Public money, private gain: Goldcorp in the Americas, Rights Action, p10. 72 Rights Action (2008), Local Democracy & Indigenous Rights versus Goldcorp inc., Global Investors, the Canadian Government, the International Community, etc. 70 23 January 2008, another conflict between the neighbours of the mine and the mining company came into the open, when riot police forced the entry of electrical workers into the yards of the villagers. The conflict was about the building of electrical lines to supply energy to the mines processing plant. In 2004, mine representatives approached indigenous Mayan farmers asking them to grant right of way for these lines. Those who signed the right of way did not understand what they were signing, as the document was written in Spanish and they were addressed in Spanish, a language some of them minimally understand. Moreover, they did not understand the type of line they ended up installing. In 2005, the company came to install high tension energy lines and large posts in their lands. The presence of the lines has been a source of constant protest by the villagers, as the lines run directly above their homes and represent a threat to their safety and health. So on January 9 and 10, police forced the way for the electrical workers. This intrusion was unwarranted, the objecting villagers got a violent response by the police. In June 2008, the energy lines were damaged, which affected the capacity of the mine to operate. The mine had to suspend its operations until July 1. Charges have been raised against the women of the actions.73 Recently, some Goldcorp shareholders reacted to the Marlin Mine. They visited Guatemala in February 2008 and witnessed the growing opposition from local communities and concerns related to compensation and land rights, inadequate consultation, water quality and quantity, safety and security and damage to homes in the areas close to the mines. In April 2008, these Canadian and Swedish Goldcorp shareholders urged Goldcorp to undertake an independent human rights impact assessment. Goldcorp agreed to undertake the assessment before February 2009 to withdraw to shareholders resolution. Yet, Goldcorp refused to circulate another shareholder resolution that called on the company not to expand its activities without the free, prior and informed consent of the affected communities.74 73 Rights Action (2008), Death Threats and Persecution Following Power Disruption to Marlin Mine in San Marcos, Guatemala 74 Jantzi Research Inc. (2008). Jantzi Research recommends Goldcorp as ineligible for SRI portfolios, p2. 24 2.3 Impacts 2.3.1 Environmental As seen before, the Environmental Impact Assessment was criticised by Moran on several points. The environmental risks posed to the local communities have been described before. Some of these problems have already been reported. Water In November 2006, Flaviano Biachini, an Italian volunteer of the Madre Selva Collective, effectuated a study of the quality of the water of the rivers near the Marlin Mine. He investigated the Tzalá river, which flows in the western part of Sipaka and flows about 20 km eastwards before it merges with the Cuilco river, affluent of the Grijalva river which goes to the golf of Mexico. The water of this river is used to wash and to irrigate the grounds for agriculture. It’s also used as drinking water for some communities who live on the banks of the river. Figure 4 - Rivers around the Marlin Mine75 75 Madre Selva (2006). Caso: Expansión de Concesiones y Actividades Mineras en Territoreo Guatemalteco. Powerpoint Madre Selva. 25 Engineer Bianchini found that the water of the Tzalá river contained four heavy metals with values above the limits of various international law, as seen in table 2: copper, aluminium, manganese and iron. In contact with human beings, these metals can produce cancer, congenital disorders and skin problems. According to Bianchini, the cause of this higher level of heavy metals is acid drainage of the Marlin Mine.76 Table 3 - Water in the Tzalá River, downstream77 (the red values are above the limits of the World Bank Guidelines for Open Pit Mining, the WHO Guidelines for Drinking Water, the US Environmental Protection Agency (EPA) for Aquatic Life and the Canadian limits for drinking water).78 The MEM called the Bianchini research a pseudo-study without any scientific basis. Bianchini responded that the Ministry never presented clear proof that his results were false.79 According to Magalí Rey Rosa, Guatemalan mining expert, a counter analysis was made by Montana. This unpublished study was sent to the government, which states that as long as the contamination isn’t proven, they won’t take any measures.80 Bianchini, an Italian national who worked as a volunteer for Madre Selva, received several anonymous phone calls and has been kept under surveillance since the publication of his study. Amnesty International launched a campaign in January 2007 because they feared for his safety.81 Bianchini decided to go back to Italy in February 76 Bianchini, Flaviano (2006), Estudio técnico. Calidad de agua del Río Tzalá (municipio de Sipakapa; departamento de San Marcos), pp 1-8. 77 Upstream, no values above the limits were found. This indicates that the contamination is due to the mine. 78 Comparing these values to the VLAREM guidelines shows for copper for example that the value in the Tzalá river (39,9 mg/l) is far above the basic quality norm for surface water (max 50 µg/l). 79 COPAE (2007), Madre Selva informs on the quality of the Tzalá River. 80 Vandenbroucke Esther. Interview Magali Rey Rosa, 9 March 2008. 81 Amnesty International (2007). Guatemala: Fear for Safety: Flaviano Bianchini. 26 2007.82 In March 2007, Goldcorp lodged a formal complaint against María Eugenia Solís from Madre Selva and Bianchini, for false material, commercial loss of prestige, simulating a delict and usurpation of quality and functions.83 In February 2008, the Municipal Council of Sipakapa requested a visit to the Marlin Mine to take water samples. This request was authorized but than revoked by the company, stating they didn’t get an attendants list, although the council states never had received a request for such a list. A next try to take samples in the site was taken by the Ministry of Environment and Natural Resources on the 14th of March 2008. Although they sent a notification with the purpose of their visit days in advance, the company wouldn’t let them in, stating that it concerned industrial water that is not concluded as a monitoring site in the EIS.84 In April 2008, Ing. Agr. Fausto Valiente of COPAE presents the results of a study on the Tzalá River, the Quivichil River, the Xcus River (origin of the Quivichil River) and effluents of the tailings impoundment of the Marlin Mine. Some findings from Biachini were confirmed: there is too much copper and iron in the rivers. The rate of manganese was acceptable, except for the Tzalá River. The aluminium rate diminished. Worrying was also the concentration of metallic and semi-metallic arsenic in the Quivichil river, which reaches 2 times the parameter of the USA EPA (Environment Protection Agency) norms. Arsenic is very toxic and can cause different sorts of cancer. It’s very clear that there was never arsenic in this river before.85 Nowadays, Guatemalan and European ngo’s are trying to establish an independent commission in cooperation with some universities, to make independent water studies possible.86 82 Amnesty International (2007), Guatemala: Further Informaton on Fear for Safety: Flaviano Bianchini. 83 (anon.) (2007), Gerente de Montana denuncia a Madre Selva. In: La Prensa Libre, 9 March 2007. 84 COPAE (2008), Montana prevents Guatemalan Authorities to enter the Marlin Mine. 85 Valiente, Fausto (2008), Monitoreo y analisis de calidad del agua de los ríos Tzala (parte alta y parte baja), Quivichil, Xkus (nacimiento del río Quivichil) y efluente del dique de cola de la mina Marlin en San Miguel Ixtahuacán y Sipacapa, San Marcos, Guatemala, COPAE, pp 1-6. 86 Vandenbroucke Esther. Interview Dirk Govaert, 15 May 2008. 27 Tailings Goldcorp plans to discharge the first ‘end of pipe’ late in the 2008 rainy season or during the rainy season of 2009. According to the 2007 Annual Monitoring Report: “During discharge events, water quality will be monitored and flow measured regularly and reported quarterly to both the Ministry of the Environment and Natural Resources (MARN) and the MEM.”87 COPAE is concerned about this discharge, as there is no information available – neither from the mining company, nor from the MEM, nor the MARN – about the quantity or chemical make-up of the process affected waters that will be released, and because they don’t know how much time the tailings water has remained in the impoundment to allow the cyanide compounds to decompose. The concern of COPAE is also based on the problematic track record of Goldcorp in other countries, regarding illegal releases and the contamination of water.88 2.3.2 Social Development projects Goldcorp established the Fundación Sierra Madre to improve access to and quality of health services, increase economic opportunities by supporting micro loans, promoting environmental awareness and developing local community capacity. This ‘social wing’ of Goldcorp intends to promote development in fields not directly connected to mining. Their Integral Community Development Program will run during the lifetime of the mine, estimated 10 to 15 years. According to Solano, this Foundation was created to be able to work in the region with the least social tensions possible.89 Mario Tema, Sipakapa community leader and brother of Delfino Tema, feels the same. He sees the social work of the company as a manipulation to gain the thrust of the people instead of offering a real development alternative to mining.90 Moran asks: “Following mine closure, who will pay for the continued operation and maintenance of the public facilities that Montana Exploradora de Guatemala and International Finance Corporation say are being constructed or augmented at the 87 Montana Exploradora de Guatemala, S.A. (2008). Environmental and Social Performance Annual Monitoring Report (AMR) Marlin Mine, p 56. 88 COPAE (2007), New Environmental Concern in San Marcos. 89 Solano, Luis (2005). Guatemala petróleo y minería en las entrañas del poder, pp 127 - 128 90 Peace Brigades International (2006). Metal Mining and Human Rights in Guatemala. The Marlin Mine in San Marcos, p19 28 site, such as water supplies and treatment systems, schools, roads, health clinic, etc.? Once the mine closes, the funding to operate and maintain such activities ceases.”91 Moreover there are no guaranties nor compromises form the company about the reforestation project after closing the mine. FIAN researchers heard local people complain that the Fundación Sierre Madre only reaches the persons who agree with the mine. They got the impression that Montana’s foundation had not consulted the affected communities and did not work for their benefit, but was completely depended on Montana funds, cooperating closely with the company in order to promote mining activities in the region. 92 Meanwhile, the residents of Sipakapa have initiated other types of development models, based on their local knowledge. An alternative project was presented in March 2006 as an answer to the development model of the extractive industry and to the impact the hurricane Stan93 had on the communities. The development model consists of three strategic components: - Ecological development and environmental monitoring of the natural resources of the community of Sipakapa. This encompasses the total rejection of the Marlin Mine because of its environmental and social impacts. - Developing a program of sustainable economic production, based on an agro ecological vision, cattle, manufacturing and community factories. - Political, organizing and social development of the municipality of Sipakapa. The Civic Committee is mentioned as a good practice.94 The in 2007 elected mayor of Sipakapa Delfino Tema also mentioned how to develop Sipakapa: he wants the amount of public resources to be invested in agricultural programmes to increase and centred on the organic production of fruit, vegetables and coffee beans.95 91 Quotation Robert Moran in: Moran Robert E. (2004), New Country, Same Story: Review of the Glamis Gold Marlin Project EIA, p6. 92 McBain Brigitte, Bickel Ulricke (2005), Open Pit Gold Mining. Human Rights Violations and Environmental Destruction – The Case of the Marlin Gold Mine – San Marcos, Guatemala, FIANdocument d44e, p 13 93 Hurricane Stan hit Guatemala hard in 2005, floods and mudslides overwhelmed several communities. 94 Organizaciones del Municipio, Parroquia de Sipacapa (2006), Programa de Desarollo del Municipio de Sipacapa, Departamento de San Marcos, 81p. 95 COPAE (2008). Civic Committee takes possession of the municipality in Sipacapa, San Marcos, 29 Explosions Over 59 houses near the Marlin plant have significant crevices and fissures, particularly in the villages of Ajel and San José Nueva Esperanza, which are only a few meters away from the mine. The fissures are probably due to the explosions carried out to destroy entire hillsides in the Marlin project. The residents testify that it began when the company placed explosives: “We felt the earth shake and little by little the fissures have turned into large crevices”, states Mrs. Hernández Pérez. She came together with a number of residents to complain to Montana, but their engineers said the cracks were due to poor construction work or the shaking form vehicles, but that it was not the company’s fault.96 Intimidation and violence As seen before, the history of the Marlin Mine is a violent history. The death of Raul Castro Bocel during the events in Sololá in 2005 and the killing of Alvaro Benigno Sanchez by a mine security guard were already mentioned. Both murders have never been prosecuted. In April or May of 2007, Byron Bamaca Perez and his nephew Marco Tulio Vasquez, who worked as cooks for a company subcontracted to dig the tunnel associated with the mine, disappeared. Vasquez had participated in anti mining protests prior to employment with the month. Despite months of inquiries, the company has provided the families with no information as to their whereabouts. On June 15 2007, the decapitated body of Pedro Miguel Cinto was found. Cinto was an elderly man who lived in front of the mines entrance and who’s family has been active against the mine. When the head was found by the authorities, it was communicated through the mining company to the family, which was perceived to be a threat to those who dared to protest the mine.97 Death threats were outed against bishop Ramazzini and to Bianchini, as seen before. Several community members who oppose the mine are also subject to threats of death. An example of the intimidation by the company is what happened in January 2007, right before the 13 days roadblock, when 28 community members asked for a meeting with the company to discuss the numerous issues affecting their 96 Rodríguez, J. (2007), Gold Mine Worsens Social Tensions. Rights Action (2008), Death Threats and Persecution Following Power Disruption to Marlin Mine in San Marcos, Guatemala. 97 30 communities. After the meeting, Fernanco Basilio Pérez was hit by the general manager of Montana and other community members were threatened with guns by the company’s private security. Intimidation doesn’t come from the company alone. The municipal mayors of both Sipakapa and San Miguel Ixtahuacán from 2003 – 2007, have continually argued in favour of the mining project. They sought re-election in 2007 under the slogan: “In order for Peace to continue, vote for Mayor Oswaldo”. This slogan was interpreted as a threat by community members.98 2.3.3 Economic Economic growth As stated before, the Marlin Mine has contributed to the economy of Guatemala. Still, this didn’t mean an improvement for the majority of the population. The distribution of wealth in Guatemala is one of the most inequitable of all the countries in the world, and the concentration of wealth is extreme: 5.6% of the richest households control 50 % of the total income. Economic growth has not reduced inequality, with the benefits of growth accruing mainly to the rich.99 The positive impact of the Marlin Mine on the Guatemalan economy will probably not be felt by the local communities. Ground water The Marlin Mine uses an average of 250,000 litres water per hour, while a typical family in San Marcos uses 30 litres per day. This means the gold mine uses the same amount of water a typical family uses in over 22 years in one hour. Mrs. Hernández Pérez states that their wells have dried up: “Before, up to 40 people could bring water from that well, but now it is dry. It has been a year since it dried. We have 6 wells which have gone dry.”100 Employment In 2006, during the construction phase of the mine, the Marlin Mine employed an average of 1,132 workers. An average of 99% were Guatemalan residents, 72% were from the local communities, and virtually all of these people were indigenous, 98 Rodríguez, J. (2007), Gold Mine Worsens Social Tensions. Economic and Social Council (2006). Economic, social and cultural rights. Mission to Guatemala, p6. 100 Rodríguez, J. (2007), Gold Mine Worsens Social Tensions. 99 31 states Goldcorp.101 The Marlin Mine provides 200 jobs during its operational phase, expected to last until 2015, 160 of these is staff recruited locally.102 The area has more than 40.000 inhabitants. According to Goldcorp, each direct job created by the mine produces four indirect jobs. Guatemala’s Human Rights Officer states that 5 indirect jobs requires 10 direct jobs. Moreover, he says the quality of the jobs is not taken into account. He thinks it’s necessary to investigate what the economic benefits from these jobs are and if they contribute to diminishing the levels of poverty.103 According to the World Bank, the migration from San Miguel to the coast to work on sugar and coffee plantations virtually stopped since construction of the mine started. According to Paley, the reality on the ground is different. She cites Maria Lopez, a citizen of San Miguel Ixtahuacán, whose husband is currently working on a plantation. She says that everyone who can is looking for work in the plantations. Some people are working at the mine, but only the few who have an education. The others go to the coast and many go to the U.S., says Maria Lopez.104 2.3.4 Further expected impacts The San Martín Mine in Honduras is another gold mine of Goldcorp and previously of Glamis Gold. Production started in 2000 by Glamis’ subsidiary Entre Mares. The mine had it’s last year of production in 2007. The same technique as in the Marlin Mine (heap leaching with cyanide) was used to extract gold. Some impacts on the people of Siria Valley, where the mine is located, are similar to those felt by the people of San Marcos, like the deforestation of the region, and noise pollution, dust pollution and cracks in dozens of farmers houses due to the explosions to remove the mountaintop.105 Further impacts of the San Martín open pit mine predict what else the people of San Miguel Ixtahuacán and Sipacapa can expect: 101 Goldcorp, 2008. Operations. Marlin. Sustainability. Available at http://www.goldcorp.com/operations/marlin/sustainability/. Last check 11 August 2008. 102 Montana exploradora de Guatemala, S. A. (2003), Estudio de Evaluación de Impacto Ambiental y Social “Proyecto Mina Marlin”, p 2-19. 103 Procuraduría de Los Derechos Humanos, Unidad de Estudio y Análisis (2005) Tema: La Minería y los Derechos Humanos, pp 19-20. 104 Paley, D. (2007), Turning Down a Gold Mine. 105 Russell, Graham (2007). Goldcorp Inc. mining company in Honduras. 32 - People living near the mine have been found to have high levels of arsenic, mercury and lead in their blood. This is causing severe health problems and skin infections. Goldcorp has stated that this has nothing to do with the mine but that it’s due to poverty, malnutrition and the bad health situation.106 - The enormous quantity of water used by the mine has led to water shortage. According to community representative Carlos Amador, this has destroyed the Siria Valley’s local economy, traditionally based on agriculture and cattle, which caused a wave of immigration to the United States. - Cyanide and heavy metal contamination of several water sources in the area has been confirmed by several studies.107 According to a study of February 2007, water sources, including a domestic use well built by the company, have higher levels of copper and iron than the World Bank guidelines for open pit mining.108 There are also reports of cyanide leakages due to some unlined cyanide filtering pools.109 Moreover, according to the Movemiento Madre Terra Honduras, the closure plan of the San Martín mine didn’t take the health problems of the local communities into account and denied the responsibility of the mine in the pollution of metals and toxic semi-metals by defining it as a natural problem.110 106 Meza, Dina (2008). Plomo, mercurio y arsénico fueron encontrados en pobladores del Valle de Siria. Revistazo.com, 22 January 2008. 107 Amador, Carlos, Tema, Juan (2006). Statement to Glamis Gold Shareholders from Honduras and Guatemala. 108 Bianchini, Flaviano (2006). Estudio Técnico. Contaminación de agua en el área de exlotación minera del proyecto San Martin, en el Valle de Siria y repercusiones sobre la salud humana, p5. 109 Russell, Graham (2007). Goldcorp Inc. mining company in Honduras 110 Almendares, Juan (2008). Public Letter: Goldcorp Inc. mortal closure plan of the “San Martín” Mine, Honduras. 33 CHAPTER 3 Fenix Project The corporation Mining Exploration and Exploitation of Izabal (EXMIBAL) (local substitute of the Canadian International Nickel Corporation) got a license of 40 years in 1960 for the exploitation of nickel in the commune of El Estor, Izabal. Ten years later EXMIBAL decided to retreat from the country because of the low nickel prices. Recently they were interested to restart their activities.111 3.1 Area The Fenix Project will be carried out in the jurisdiction of El Estor in north-eastern Guatemala, which lies at sea level on the shore of Lake Izabal, the country’s largest freshwater lake. Maya Q’eqchi’ communities represent more than 90% of the population. Over 35.000 persons, mainly subsistence farmers and fisherman, live scattered over an area of nearly 3000 km2 in more than 100 villages as well as in the town of El Estor. The exploitation license covers an area of 250 km2, mostly on lands possessed by 16 Q’eqchi’ communities as their historical territory.112 The Q’eqchi live in precarious economic and social conditions, they have one of the worst levels of analphabetism and of school absence.113 The region has a very rich biodiversity: the Dulce River flows out of Izabal and hosts Guatemala’s most extensive area of aquatic biodiversity. Beneath the lake’s surface rich petroleum deposits are found. In the surrounding mountains, a thin layer of topsoil covers rich nickel reserves.114 The reserves are enormous: about 20 percent of the known nickel reserves in the world.115 111 Procuraduría de Los Derechos Humanos, Unidad de Estudio y Análisis (2005). Tema: La Minería y los Derechos Humanos, p2. 112 Defensoría Q’eqchi’ (2006), Land Conflicts in El Estor, Izabal, Guatemala & the Rights of the Maya Q'eqchi' People. 113 Wiig, Henrik (2008). Promoting Respect for the Collective Rights of the Q’eqchi’Population. An evaluation of AEPDI in El Estor, Guatemala. NIBR Working Paper 2008:102, p 31 114 Oxfam Amerika, 2008. The Defense of El Estor. Available at: http://www.oxfamamerica.org/workspaces/where_we_work/camexca/news_publications/art5304.ht ml. Last check: 11 August 2008. 115 Wiig, Henrik (2008). Promoting Respect for the Collective Rights of the Q’eqchi’Population. An evaluation of AEPDI in El Estor, Guatemala. NIBR Working Paper 2008:102, p20. 34 Figure 5 - Mining in Izabal in 2008116 3.2 Background EXMIBAL was founded in 1960 by Hanna Mining and the International Nickel Cooperation of Canada (INCO). Hanna Mining is the Canadian company who first found evidence of nickel in the soil of El Estor, Izabal in 1955. INCO was the international leader in the exploitation of nickel.117 In 1965, EXMIBAL was granted a mining concession for 40 years, to extract nickel, chrome, cobalt and iron in Alta Verapaz and Izabal.118 Because of the guerrilla war and the mining laws that were not adapted to transnational corporations, the extraction delayed several years. The Mining Code of 1965 compelled EXMIBAL to pay an income tax of 53%, which they tried to avoid by getting the title of ‘industry of transformation’. Even though this title 116 Skye Resources, 2008 Fenix Project > Geological Setting. Available at: http://www.skyeresources.com/projects/fenix/geological_setting. Last check: 11 August 2008. 117 Solano, Luis (2005). Guatemala petróleo y minería en las entrañas del poder, p 34. 118 Bauer Paiz, Alfonso (2004), No al la prórogga de la concesión de Exmibal. In: Diario La Hora, 18 October 2004. 35 could only be given to non-metal industries, they succeeded in 1968, which meant that in the first five years of production they didn’t have to pay any income tax. In 1966, the political instability manifested itself because of the guerilla’s focus on the mining area. The counter-insurgency strategy meant an extraordinary increase in military presence in the region, a strong impact on the losses of lives and the violation of human rights. From the 1970s onwards, the protest against EXMIBAL grew, academic and popular, because of the clear disadvantages for the Guatemalan state. An ad hoc commission of lawyers and university professors was founded in the University of San Carlos. This commission saw clear disadvantages for the state in the type of concessions as given to EXMIBAL. Still EXMIBAL got other privileges, thanks to the Minister of Economy who was member of one of the principal economic elites. The negotiations were held under an atmosphere of murder and political repression. Two members of the commission, lawyers Julio Camey Herrera and Alfonso Bauer Paiz, were attacked in 1970, Camey Herrera was killed. In 1971, lawyer and congressional deputy Oscar Adolfo Mijangos López was assassinated. The fourth member of the commission, Raffael Piedra Santa Arandí, fled into exile.119 The case of Adolfo Mijangos López was one of the cases described in the Historical Clarification Commission (HCC), which was charged with investigating crimes committed during Guatemala’s 36-year armed conflict. In its report, ‘Guatemala, Memoria del Silencio’, the HCC mentions the participation of EXMIBAL personnel in violent acts in the armed conflict in Guatemala. For example, in 1978, the population of Chichipate in El Estor was attacked by men in EXMIBAL trucks.120 The report also mentions a link between the company and the brutal repression of a peasant protest in the village of Panzós (Alta Verapaz) in 1978.121 In 1980, after three years of export, the mine made profit, but none of the revenues went back to the Guatemalan state, even though they were obliged to pay taxes and give privileges to the state since 1965. EXMIBAL argumented not paying by losses due to the fall of the international prices, even though the international nickel prices rose constantly until 1981. This provoked the reaction of the government, who wanted to renegotiate the contracts. According to Luis Solano, this was the main reason why EXMIBAL decided to suspend its operations. According to the company, 119 Solano, Luis (2005). Guatemala petróleo y minería en las entrañas del poder, pp 36-37. Procuraduría de Los Derechos Humanos, Unidad de Estudio y Análisis (2005). Tema: La Minería y los Derechos Humanos, p2. 121 CEH (s.d.). Guatemala. Memoria del Silencio. Caso illustrativo no 9. Available at http://shr.aaas.org/guatemala/ceh/mds/spanish/toc.html. Last check 15 August 2008. 120 36 the high prices of oil and the fall of the international nickel prices made them shut down their activities in 1981.122 Ten years later, in 1994, EXMIBAL returned because of a new law that gave new benefits. In 1997, the reformed mining law lowered the taxes to the Guatemalan state from 6% to 1%. Under this new law, EXMIBAL started to reorganize the ownership of their actions: Skye Resources, a Vancouver based company, started the negotiations to buy EXMIBAL in 2003, the year in which Ian Austin, former employee of INCO, became CEO of Skye Resources. In 2004, the sale of 70% of the actions of INCO to Skye Resources was made public. (30% is in hands of the Guatemalan state) The same year, the Guatemalan government gave a new exploration license for three years. The company had to pay the taxes EXMIBAL didn’t pay in 1978 – 1980: $636.000 to the ministry of finance and $127.000 to the El Estor municipality. This made the municipality of El Estor openly support the new mining operations. EXMIBAL promised to put their ancient rights aside and to accept the actual laws: not to mine in protected areas, effectuating an environmental impact assessment, working together with the government to inform and to consult the local communities, ....123 3.2.1 The mine Skye Resources operates in Guatemala by his Guatemalan subsidiary ‘Guatemalan Nickel Company’ and will concentrate on the Fenix Project, which is located in El Estor.124 The exploitation permit was granted in April 2006, after an approved Environmental Impact Assessment. In July 2007, it was announced that a resolution by the Ministry of Economy had determined that CGN would receive tax exemptions due to the company’s classification under the Law for the Promotion and Development of Export and Maquila Activities. This allows CGN to import materials and equipment duty-free and also exempts CGN from paying value-added tax.125 The ambition was to start extracting (ferro)nickel in 2009 and to reach full production in 2012. Due to the difficult capital market conditions, Skye Resources announced in 122 Solano, Luis (2005). Guatemala petróleo y minería en las entrañas del poder, p38 Ibid., pp 33 – 40. 124 Ibid., pp 132 – 133. 125 Cuffe, Sandra (2007). Guatemala: Recuperating the land that belongs to us. 123 37 January 2007 to defer the Fenix Project financing.126 In June 2008, it was announced that Skye Resources would combine its business with HudBay Minerals Inc., a leading Canadian base metal mining company. (Ferro)nickel production is now estimated to start in the last quarter of 2010.127 3.2.2 Historical Conflicts over land The Fenix Project is situated in a region were some indigenous communities have titles to their lands, but many are still in the process of collective titling of the lands they possess. The historical context in which INCO got it’s mining license helps to explain the conflicts over land which are still present and the good conditions of the contract. In 1954, the democratic elected government of Arbenz was overthrown by a CIAsupported military coup. The coup was driven by the intense lobbying efforts of big land owners such as the United Fruit Company, in response to progressive reforms being implemented by the Arbenz government. Most controversial amongst the reforms was a land reform initiative that sought to redistribute uncultivated land from major land owners to local small farmers. This coup marked the beginning of a 36 year armed conflict in which more than 200.000 peoples were killed or disappeared.128 In 1960, EXMIBAL acquired a large finca from the Guatemalan state that had been previously expropriated from a German railroad company, which had planned a never developed train connection to El Estor. When EXMIBAL got its license to mine nickel, nearly the whole area of nearly 400 km2 they acquired were lands possessed by indigenous communities as their historical territory. As the mine project developed, the company demarked its boundaries and evicted communities living on the lands, which resulted in violent conflicts that were repressed by the Guatemalan Army. 126 Skye Resources (2008), Skye Provides Update on Fenix Project and announces first quarter results. News 13 May 2008. - Skye Resources (2008), Skye Resources Defers Fenix Project Financing in View of Credit Market Conditions. News 30 January ’08. 127 HudBay Minerals Inc. (2008), HudBay Minerals and Skye Resources Announce Proposed Business Combination. HudBay Minerals Inc. (2008). HudBay Minerals and Skye Resources Announce Proposed Business Combination. Available at http://investor.shareholder.com/hbm/releasedetail.cfm?ReleaseID=317703. Last check 14 August 2008. 128 Astritis, Andy (2003). Canadian Mining Companies Violating Indigenous Rights in Guatemala. The case of INCO In El Estor. 38 As seen before, the company ceased its mining activities in 1980, leaving the mine project dormant until 2004. In 2004, INCO sold its mining rights in El Estor to Skye Resources but retained title to the lands. The exploitation permit granted by the Guatemalan government to Skye Resources in 2006 consisted of 250 km 2., which is mostly on lands possessed by 16 Maya Q’eqchi communities. The same year, five groups of some 400 families occupied lands that the company claims as its own, after years of living in the overcrowded town of Chichipate, located just west of El Estor. The vast majority are Mayan Q’eqchi peasant subsistence farmers, who are trying to have enough land to support their families. These newly settled communities sprang up on lands that have been unused and unproductive for decades. Until November, the government didn’t intervene and the number of occupiers grew to some 1000 families.129 Land issues in Guatemala are highly contested. Nearly all land rights can be contested in one way or another, due to the unsatisfactory situation of the land registry. For the region where the Fenix project is located, the situation is the same. According to some invaders, the land granted to CGN when the concession was renegotiated, included properties that these communities already bought and paid for. They didn’t receive the land titles for the property from the National Institute of Agrarian Reform (INTA).130 Community representative Carlos Cacao even says the 21 pages were missing from the folder that contained the documents in which their properties were adjudicated. FONTIERRAS, the successor of INTA, denies to know anything about the 21 missing pages in the folder. However, FONTIERRAS seems to support the claim of the local communities. A representative states it’s almost certain that the occupied land is property of the communities, but that it’s up to the Register of Cadastral Information (RIC) to determine that. FONTIERRAS can’t take a resolution on the matter, he says.131 Apart from the problems of the missing land titles, several representatives of the communities say they have been betrayed by CGN. CGN offered land titles to the landless peasants but in the same time CGN takes away more than half of the grounds that were rented to the peasants of the 129 Defensoría Q’eqchi’ (2006), Land Conflicts in El Estor, Izabal, Guatemala & the Rights of the Maya Q'eqchi' People. 130 Rey Rosa, Magali (2006), More mining problems: metal mining is causing increased problems and the situation is getting out of control. In: La Prensa Libre 22 September 2006. 131 (anon.) (2006). Indigenous invade their own lands to fight mining usurpation. In: NotiCen: Central American and Carribean Affairs. Available at http://www.allbusiness.com/caribbean/38937321.html. Last check 14 August 2008. 39 area at the time EXMIBAL was given a concession. These peasants rented some 30 caballerías132 of land to work on. EXMIBAL left the lands, and now, more than 40 years later, they come back as CGN to reclaim these lands. The farmers organisations went to CGN to talk about these land titles in September 2006. Representatives of CGN stated that the only thing they could offer is selling the 5 caballerías of land, but that there will be a survey of the area to start negotiations and thus see if it is possible to offer more land. The fact that CGN didn’t comply to this promise was one of the reasons for the land evasions to start. Furthermore, the communities state that they haven’t been consulted regarding the granting of this land to CGN. Because of the evictions, several representatives of CGN refused to talk with the communities again. Officially, CGN says the occupations are a private matter, a problem of land tenure that has nothing to do with mining.133 On November 12th 2006, the first eviction took place and was carried out without an order signed by a judge, as required by Guatemalan law. Eyewitness testimonies on the night of the evictions explained that groups of police and troops deployed from within the boundaries of company property, some using company vehicles, to evict people from their homes.134 This sparked a reaction that would later lead to the burning of some mine company buildings and one of the houses belonging to the local mayor.135 A second eviction took place on December 27th 2006. According to Paley, the Christmastime eviction order was an attempt on behalf of the mining company to ‘go legal’, to follow procedures for eviction from private land as dictated by Guatemalan law. The eviction did not take place on December 27th, but on January 8th 2007. On this day, 430 police officers backed by approximately 200 members of the state military travelled the road to Barrio Unión for the first eviction, where a public prosecutor read the eviction note. The community was given time to vacate, the houses were dismantled carefully by groups of workers employed by the CGN-Skye Resources. After Barrio Unión, La Pista was evicted, an eviction where some houses were burned. The next day, Barrio Revolución, a bigger and better organized 132 1 caballería = 45,16 ha Girón, Wilbert (2006). Campesinos exigen tierras en area de minería, en Izabal. Albedrío.org, 29 sep 2006. 134 Paley, Dawn (2007). This is what development looks like: Skye Resources and Land Reoccupation in Guatemala. 135 Defensoría Q’eqchi’ (2006), Land Conflicts in El Estor, Izabal, Guatemala & the Rights of the Maya Q'eqchi' People. 133 40 community, was evicted. Here, the whole eastern part of the community has been burned down, leaving families houseless.136 3.2.3 Consultation As in the Marlin Mine, the consultation of the local communities as prescribed by Guatemalan law has led to a dispute (cfr. supra). When the mining license was granted in 1994, no consultations took place. The farm worker union, the Federation of Country and City Workers (FTCC), has presented a claim alleging this violation to the ILO in Geneva. The claim has been admitted and investigated by the ILO. The ILO confirmed that no prior consultation had taken place.137 An Environmental Impact Assessment was elaborated by Skye Resources from late 2005 into 2006. The document was not translated into the Maya Q’eqchi’ language, nor made available to the communities whose lands and resources would be affected. Sky was granted an exploitation permit in April 2006 without having implemented any transparent or verifiable consultation permit mechanism. 138 In September 2006, Skye released a public consultation report. According to this document, there has been a consultation process between January and August 2006, reaching 3292 people from more than 28 communities. It mapped out what the biggest concerns are for the different stakeholders.139 As this consultation didn’t took place before the granting of the exploitation permit, this was not a consultation process. Instead, it maps out what the doubts and fears from the local communities are, to address them from now on. 136 Paley, Dawn (2007). This is what development looks like: Skye Resources and Land Reoccupation in Guatemala. 137 ILO . 2008, Report of the Committee set up to examine the representation alleging non-observance by Guatemala of the Indigenous and Tribal Peoples Convention, 1989 (No. 169), made under article 24 of the ILO Constitution by the Federation of Country and City Workers (FTCC). Available at: http://www.ilo.org/ilolex/cgilex/pdconv.pl?host=status01&textbase=iloeng&document=87&chapter=16&query=%23Country %3D%2A&highlight=on&querytype=bool&context=0 Last check 8 August 2008. 138 Defensoría Q’eqchi’ (2006), Land Conflicts in El Estor, Izabal, Guatemala & the Rights of the Maya Q'eqchi' People 139 Skye Resources (2006), Public Consultation Process, The Fénix Mining Project. http://www.skyeresources.com/community/in_the_news 41 3.3 Impacts As the Phoenix Mine is not yet operational, no impacts of the mining process as such can be seen. Still, there are some impacts to be expected, and some social problems that rise from the presence of the mining company. 3.3.1 Social Rache’ CGN has created and funded a community association ‘Rache´’, which means ‘green tree of hope’ in Q’eqchi. Rache’ is trying to ‘to improve health and education for people in the communities surrounding the project’. They’re doing this by donating school material, (re)building schools and restoring a hospital. Next to that, they’re launching a regional development plan.140 Voices from the communities express their concern that this organisation might be nothing more than a management vehicle for the company, instead of an instrument for local sustainable development. Also heard is the remark that only the people supporting the Phoenix Project benefit from the CGN’s social services. There is a consensus that the work Rache’ is doing is dividing the community.141 Divided communities Local communities are divided about their position towards the mine. The Skye Resources’ website shows testimonies of people supporting the mine: a pronouncement of the United Evangelic Churches of El Estor for example expresses their gratitude for the work Rache’ is doing in their communities. Next to that, a declaration of support is found by the mayor of El Estor, which expresses the belief in foreign investments as a means for sustainable development and who asks “that the Government give its total support to projects in the Izabal and Alta Verapaz areas”. 142 As seen before, at the time the mining license was granted in 1994, the company had to pay the taxes EXMIBAL didn’t pay in 1978 – 1980: $ 636.000 to the ministry of finance and $127.000 to the El Estor municipality. This made the municipality of El Estor openly support the new mining operations. 140 Skye Resources, 2008. Raxche’. Available at http://www.skyeresources.com/community/raxche. Last check 11 August 2008. 141 Henderson, Victoria L. (2006). Letter to Skye Resources Re: Fenix Project. 142 Skye Resources, 2008. Information and resources. Available at: http://www.skyeresources.com/community/in_the_news. Last check 11 August 2008. 42 On the other hand, several communities have got deep concerns about the Phoenix Project. The Association for the Integral Development of El Estor (AEPDI) for example is drawing on UN treaties and other international documents ratified by Guatemala to protect indigenous communities from extractive threats.143 Next to that, there is the FTCC who alleged a complaint at the ILO. The evicted communities are also anti-mining. La Paz (approximately 60 families), Lote 8 (100 families) and Barrio Revolucion (currently 95 families) have historic territorial claims to the recuperated lands from which they have each been evicted twice over this past year. Tomás Chub of Barrio Revolucion states: "The work that we need is farming. Just like everyone says, it would be better if the company would just leave."144 In August 2005, representatives of 20 Maya Q’eqchi’ communities of El Estor wrote an open letter to the president of the republic, to the ministry of Energy and Mines and to Skye Resources. In this letter, they protest against the fact that the communities were not consulted before granting the license, reject the pressure of CGN to make the communities leave their grounds and the massive deforestation that takes place in the region. They asked for the suspension of the mining license and the repair of the damages done. They also want the company to stop misleading, dividing and intimidating their communities, and that the historical land boundaries established by the Q’eqchi’ Mayan communities be respected until final legal title is granted to them.145 According to Solano, these divisions between the communities are also inflamed by the mining companies, public officials and the sectors that are most interested in stimulating the extractive operations. He mentions a Maya ceremony for example, which was carried out in January 2005 in El Estor. In this ceremony, permission was asked to the earth to explore nickel. The white smoke that rose during the ceremony was interpreted as a permit from nature to exploit the mines. Community members, mining businessmen and officials from the Ministry of Energy and Mines were present, which gave the idea of an orchestrated act.146 143 Oxfam Amerika, 2008. The Defense of El Estor. Available at: http://www.oxfamamerica.org/workspaces/where_we_work/camexca/news_publications/art5304.ht ml. Last check: 11 August 2008. 144 Cuffe, Sandra (2007). Guatemala: Recuperating the land that belongs to us. 145 MiningWatch. Open letter to: the President of Skye Resources / Compañia de Níquel, S.A., the President of the Republic of Guatemala and the Minister of Energy and Mines. August 12 2005. Available at http://www.miningwatch.ca/index.php?/skye/open_letter_to_guate. Last check 11 August 2008. 146 Solano, Luis (2005). Guatemala petróleo y minería en las entrañas del poder, p134. 43 Confrontation I’ve already mentioned the difficult situation in the region because of the historical conflicts over land. The evictions of November and December 2006, and of January 2007 are the most obvious confrontations resulting from this situation. Next to that, fear lives within the local communities that history will repeat itself. The memories of the civil war are still alive. As EXMIBAL is found complicit in grave human rights violations against opponents of the mining project, including threats and assassinations, communities are concerned that the same will happen now. The way the evictions were carried out, with troops on vehicles from the mining company, or in the presence of an armed force, made the memory at the EXMIBAL-days very clear. 3.3.2 Environmental What environmental consequences the Fenix Project will have, is not yet clear. Still, there are some impacts to be expected because of the process used to mine nickel. - The Fenix Project is an open pit mine. This means that the problems as stated under 3.2.2 also count for the mine in El Estor. - To mine nickel, a sulphuric acid would be used. This causes the same problems regarding acid mine drainage and contamination of the (ground)water as the mining of gold. - The effluents might be discharged in the ocean or in the Izabal Lake. Skye states this would only be considered if it can be shown conclusively that minimal environmental impacts would occur. Some communities complained about exploration drilling which caused an erosion runoff that has damaged and polluted several communities’ drinking water supplies.147 3.3.3 Economic According to the Ministery of Energy and Mines, the Fenix Project will generate income for the country in the sense of revenues, devices and taxes, and will be a 147 Vogt, Daniél (2005), Hundreds of Q’eqchi’ Mayan protest Guatemalans granting Skye Resources Nickel Exploration License. 44 source of employment and economic earning for the people who live close to the project.148 According to Norwegian investigators, the mine won’t create much employment in the region: about 400 people are employed at CGN today, this will rise to approximately 1500 during the construction phase and about 800 when the mine will be operational. Most of this workforce will probably come from the outside of El Estor, due to the low education level of the local population.149 148 149 Ministerio de Energía y Minas (2007). Lineamientos de política minera 2008 – 2012, p 8. Wiig, Henrik (2008). Promoting Respect for the Collective Rights of the Q’eqchi’Population. An evaluation of AEPDI in El Estor, Guatemala. NIBR Working Paper 2008:102, p 25. 45 CHAPTER 4 Environmental justice movement Historically Martinez-Alier sees two main clusters of the environmental movement: the nature movement and the environmental movement. The first, what he calls ‘the cult of wilderness’, is the movement that is mainly concerned with the preservation of nature, by buying nature reservations and the conservation of wild species,... The second movement is mainly engaged in the sustainable use of natural resources. It grew out of the critique on the negative consequences on the fast growing industry and welfare, and focuses on water, air and soil pollution, nuclear energy, policies on waste, mobility, ...150 Martinez-Alier calls this last movement the ‘gospel of ecoefficiency’, because off the believe in new technologies and the internalization of externalities as instruments for ecological modernization. Nowadays, both the first and second current of environmentalism are challenged by a third: the environmental justice movement. This last movement is also called the environmentalism of the poor or popular environmentalism. This movement points out that economic growth unfortunately means increased environmental impacts. It emphasizes the geographical displacement of sources and sinks and the distributional aspects of ecological conflicts. This movement has a material interest in the environment as a source and requirement for livelihood.151 The environmental justice movement states that some minority groups are forced to live with a disproportionate part of the environmental burden. They believe that one of the causes lie in the limited access to places where policy decisions are made.152 4.1 Origin The environmental justice movement has his origin in the United States, where it shifted the whole discussion about environmentalism away from preservation and conservation of Nature towards social justice. It grew out of the civil rights movement in the 1980s, fighting against the alleged disproportionate dumping of toxic waste or exposure to varying environmental risks in areas of predominantly African-American, 150 Paredis, E., Geprangd tussen olie, reuzengarnalen en stortplaatsen. De wereldwijde strijd voor ecologische rechtvaardigheid. In: De Gids op Maatschappelijk Gebied, nr. 5, mei 2005, p33. 151 Martinez-Alier, J. (2002), The Environmentalism of the Poor: A Study of Ecological Conflicts and Valuation, Edward Elgar Pub, pp1-15. 152 Ibid., p9. 46 Hispanic, Native American or low income populations. It meant an organized movement against environmental racism153. The movement for Environmental Justice became well known in October 1991, with the First National People of Colour Environmental Leadership Summit in Washington DC, where the Principles of Environmental Justice were proclaimed. The movement destroyed the NIMBY (Not In My Backyard) image of grass-roots environmental protests by turning them into NIABY protests (Not In Anyone’s Backyard).154 “This "bottom-up" movement has redefined environment to include where people live, work, play, go to school, as well as how these things interact with the physical and natural world.” 155 In the South, a similar movement rose, known as the environmentalism of the poor. Martinez-Alier uses the environmentalism of the poor as un umbrella term for social concerns and for forms of social action based on a view of the environment as a source of livelihood.156 The origin of this movement is not clear, as several moments in a hundred places on a hundred dates can be seen as the beginning of the world environmental justice movement. Many struggles over the world were reactions to environmental racism to achieve environmental justice, as such we could use ‘environmental racism’ retrospectively for different conflicts in the past.157 These social movements are often indigenous and poor, struggling for their survival. They’re for two reasons ecological, according to Martinez-Alier: First, because of their objectives that are defined in terms of the necessary things for living: energy, water and species. Second, they try to get the natural resources out of the economic sphere, from the general market system, the chrematistics (the study of the formation of market prices, in order to make money), to keep them or use them for the oikonomia (the art of material provisioning of the household).158 According to Sachs, this is a resource conflict between subsistence and market economies.159 153 Environmental racism can be defined as any policy, practice or directive that differentially affects or disadvantages (whether intended or unintended) individuals, groups, or communities based on race or colour. 154 Martinez-Alier, J., Mining Conflicts, Environmental Justice and Valuation. In: Ageyman Julian, Bullard Robert D., Evans Bob (2003a), Just Sustainabilities. Development in an Unequal World, Earthscan, London, p 214. 155 Quotation of Robert Bullard in: Bullard, Robert D. (2000). Environmental Justice in the 21st century. In: Environmental Justice Resource Centre. People of Colour Environmental Groups Directory. 156 Martinez-Alier, J. (2002), The Environmentalism of the Poor: A Study of Ecological Conflicts and Valuation, Edward Elgar Pub, p 263 157 Ibid., pp 172 – 173. 158 Martinez-Alier, J (2008). Prefacio. In: Broederlijk Delen, Alai (2008), Territorios y recursos naturales: El saqueo versus el buen vivir, p 12. 159 Sachs, Wolfgang, Santarius, Tilman (ed.) (2007). Fair Future. Resource conflicts, security & Global Justice. Zed Books, p132. 47 So the environmental justice movement and the environmentalism of the poor can be seen as two similar movements struggling for environmental justice. One critique of Martinez-Alier on the US-movement is relevant: the fact that the environmental justice movement in the USA emphasizes on ‘minority’ groups. This focus makes it less useful worldwide, as the majority of humankind cannot be seen as a ‘minority’. On the other hand, there is also something missing in the Southern environmentalism of the poor: the strong urban emphasis of the environmental justice movement in the USA, which is extremely relevant for a world of increasing urban poor populations. “There is then not only a north-south but also a rural-urban complementarity among both approaches”160 Still, Martinez-Alier feels that the movement for environmental justice as grown in the USA is uniquely placed to overcome the intellectual and social gap between the environmentalisms of the North and the South.161 Next to the North-South link, the South-South link is also relevant: grass-roots groups of different places in the world have started to make links between their separate struggles. It places their specific case in a broader framework, where their struggles are linked to “issues of civil and human rights, land rights and sovereignty, cultural survival, racial and social justice and sustainable development... Whether in urban ghettos and barrios, rural “poverty pockets”, Native American reservations or communities in the developing world, grass-roots groups are demanding an end to unjust and non-sustainable environmental and development policies.”162 4.2 Ecological Distribution Conflicts The environmental justice movement or the environmentalism of the poor is a movement against environmental racism: social conflicts with an ecological content of the poor against the relatively rich, not only but mainly in rural conflicts. According to Martinez-Alier, this movement is one connection between political ecology, as the study of ecological distribution conflicts, and ecological economics, as the study of 160 Quotation Juan Martinez-Alier in: Martinez-Alier, J. (2002), The Environmentalism of the Poor: A Study of Ecological Conflicts and Valuation, Edward Elgar Pub, p 179. 161 Ibid., p267. 162 Citaat van Robert Bullard in: Ibid., pp 173-174. 48 the ecological unsustainability of the economy. These conflicts are not only conflicts of interest, but also conflicts of values. The study of an ecological distribution conflict often reveals a clash of incommensurable values.163 4.2.1 Ecological economics and political ecology Ecological economics has a different view on the economic system, as opposed to neoclassical economics and environmental economics. Neoclassical economics sees the economy as a closed system where labour and capital, goods and services are exchanged between companies and households. There is no input of energy or material, no waste is produced. There is just an abstract exchange value circulating in an isolated system. Neoclassical economics has evolved through time, trying to incorporate some ecological aspects. Environmental economics for example tries to internalise externalities, because these externalities are seen as market failures. As such, it tries to give a monetary value to ecosystem services as to integrate them in the economic system.164 This is a big difference with the ecological economics, where money is not the only language spoken about. Ecological economics tries to give a multi-criteria approach. It sees this economy as an open subsystem of a larger finite ecosystem. It questions the sustainability of the economy because of its environmental impacts, its material and energy requirements and the growth of the population.165 Ecologically unequal exchange In neoclassical economics, the theory of the comparative advantage states that countries have to specialize themselves in that activity for which they have a comparative advantage: products that are internally cheaper to produce in relative terms. This is the basis of the WTO-policy to stimulate economic growth by liberalizing trade and financial markets. Jones states that the conditions for this theory are not fulfilled. These conditions are the absence of oligo- and monopolies, the internalization of externalities and the immobility of capital between countries. However, capital is more mobile than ever, ecological costs are externalized and there is an oligopoly of transnational companies. As such, absolute or competitive advantages are more central than comparative advantages. International capital 163 Ibid., pp 270 - 271. Jones, P.T. & Jacobs, R. (2006), Terra Incognita. Globalisering, ecologie en rechtvaardige duurzaamheid. Academia Press, pp 108 - 109. 165 Martinez-Alier, J. (2002), The Environmentalism of the Poor: A Study of Ecological Conflicts and Valuation, Edward Elgar Pub, p19. 164 49 searches those countries with the biggest absolute advantages. To attract capital, some Southern countries are obliged to lower their ecological, social, fiscal norms to get an absolute advantage. So, increasing free trade together with worsening terms of trade leads to a polarisation where the countries which already have a negative starting point get stuck at the bottom.166 As such, apart from the notion of unequal exchange taking the underevaluation of labour and health of the poor into account as well as the deterioration of the terms of trade expressed in prices in consideration, an ecological component is added. The links to the environment bring the unaccounted, and thus uncompensated, local externalities into the picture, and the different production times exchanged when extracted products that can only be replaced in the long run are exchanged for productions or services that can be produced quickly. 167 Even when the trade between regions or countries is balanced in monetary terms, it can hide an unequilibrum in terms of natural resources or harmful emissions. Ecologically unequal exchange leads to a situation where poor countries natural resources go to the rich, while the consequences of environmental degradation goes from rich to poor countries. Together with the decreasing gain from their natural resources, a vicious circle is created. To measure this ecologically unequal exchange, the notion of the ‘ecological rucksack’ is sometimes used. This term expresses all negative effects felt in the country of origin but invisible for the consumer. These hidden flows together with the direct material input gives an idea of the material flow used for the metabolism of a society. One investigation shows that the ecological rucksack of the EU import grows faster than the absolute volumes of the import itself.168 Moreover, the general idea that our economy is dematerializing because of the increasing weight of the service sector in terms of employment and in terms of economic value added is not realistic: to some extent this is a consequence of a geographical displacement of sources of energy and materials and of sinks for waste. According to Martinez-Alier, if you look at the materials needed to keep an economy going, it is clear that the economy is not dematerializing. It still needs input from materials and energy, it’s only brought from further away.169 166 Jones, P.T. & Jacobs, R. (2006), Terra Incognita. Globalisering, ecologie en rechtvaardige duurzaamheid. Academia Press, pp 224 – 231. 167 Martinez-Alier, J. (2002), The Environmentalism of the Poor: A Study of Ecological Conflicts and Valuation, Edward Elgar Pub, p214. 168 Jones, P.T. & Jacobs, R. (2006), Terra Incognita. Globalisering, ecologie en rechtvaardige duurzaamheid. Academia Press, pp 232 – 234. 169 Martinez-Alier, J. (2002), The Environmentalism of the Poor: A Study of Ecological Conflicts and Valuation, Edward Elgar Pub 50 Important in the notion of the ecologically unequal exchange is the focus on poverty and the lack of political power of the exporting region. This emphasizes the lack of alternative options, in terms of exporting other renewable goods with lower local impacts, or in terms of internalizing the externalities in the price of export, or in terms of applying the precautionary principle to new export items produced with untested technologies.170 As the notion of power is added, we get in the field of the political ecology which studies ecological distribution conflicts: conflicts on environmental entitlements, on the loss of access to natural resources and environmental services, on the burdens of pollution and on the sharing of uncertain environmental hazards. 171 As Martinez-Alier puts it: “In ecological economics, the economy is seen as embedded in the ecosystem. The economy is also embedded in a structure of property rights on environmental resources and services, in a social distribution of power and income, in social structures of gender, social class or caste, and this links ecological economics to political economy and political ecology.”172 As such, the externalities which are seen as ‘market failures’ by environmental economics, are seen as ‘cost-shifting successes’, allowed by social asymmetries in the distribution of property rights, income and power.173 Too poor to be green? The fact that environmental degradation is exported from North to South, challenges the classical economic point of view stating that economic growth leads to ecological sustainability and social justice. The environmental Kuznets Curve marks this vision: free trade and economic growth bring technological development in the long turn with which we can combat pollution. Next to ecological awareness and quality of nature, also social justice improves. However, this Kuznets Curve neglects the fact that ecological sustainability is imported from poorer countries by richer countries and that the ecological costs are shifted to the South. It also doesn’t take the irreversible ecological damage into account.174 Ecological economics challenges the idea that people would be too poor to be green, because they lack awareness or because they don’t have enough money to invest in the environment. Although obviously not 170 Ibid., p 214. Ibid., pp 96 – 97. 172 Quotation Martinez-Alier in: Ibid., p 21. 173 Muradian, R. & Martinez-Alier, J., (2002), Trade and the environment: from a Southern perspective. In: Ecological Economics 36 (2), p 289. 174 (Forthcoming) Debruyne, P. (2008), Voorbij het ecologische verdelingsconflict. De ruimtelijkecologische strijd voor rechtvaardigheid in een volle wereld.In: Doom, R., (2008). Conflict en ontwikkeling. In de grensgebieden van de globalisering. Academia Press, p 5-6. 171 51 everybody is environmentalist, Martinez-Alier argues that caring for the environment is not a luxury of the rich, but a necessity of the poor, resulting in a logical, though often unrecognized green activism of the poor.175 4.2.2 The language of valuation Ecological distribution conflicts are thus social conflicts about the sharing of uncertain environmental risks and the loss of access to natural resources and environmental services. Martinez-Alier states that there can be different languages used to talk about these conflicts: some victims may ask monetary compensation (internalization of the externalities) for the damage done, others might argue that the environment is of great ecological value or that the land is sacred, or that the resources of this territory are excluded from the market by international treaties that protect indigenous groups. So the question to ask is: “Who has the power to determine what will be the relevant languages of valuation?”176 According to Martinez-Alier, environmental justice emphasizes incommensurability of values by emphasizing racism. As an example he gives the Polluter Pays Principle: this principle implies that a deteriorating ecological distribution is in principle compensated by an improving economic distribution. The objective of course is to make pollution expensive enough so that there will be a lower level of polluting production or by a change in technology. Thus a single scale of value is used. If one sees the same problem in terms of environmental racism, it becomes a different problem. Paying a fine for inflicting damage on human dignity by racial discrimination doesn’t entitle one to repeat such conduct. There is no real compensation. As money and human dignity are not commensurate.177 Monetary compensation is often used in ecological distribution conflicts. Quite often this doesn’t go together with the discourse of indigenous territorial rights or indigenous identity. For indigenous communities, the access to ground, clean water, clean air, … is worth more than gold, because this forms their livelihood: they depend on it in their existence. Not only the physical relation with nature is relevant, 175 Martinez-Alier, J. (1994). The environment as a luxury good or “too poor to be green”? In: Ecological Economics 13, pp 8-9. 176 Martinez-Alier, J. (2004), Ecological Distribution Conflicts and Indicators of Sustainability. In: International Journal of Political Economy, p14. 177 Martinez-Alier, J. (2002), The Environmentalism of the Poor: A Study of Ecological Conflicts and Valuation, Edward Elgar Pub, p 173. 52 indigenous communities often have often a crucial relationship with the land, expressing their spiritual living and their identity.178 4.2.3 Mining as an ecological distribution conflict. As mentioned before, ecological distribution conflicts are conflicts over the principles of justice applicable to the burdens of pollution and to access to environmental resources and services. These conflicts appear in various points of the commodity chain: in the extraction of material and energy, in transport and manufacturing, or in the disposal of waste. These are often caused by the search for natural resources, materials and environmental space, led by economic growth. They find their origin in the hunger for resources of the economy, which is not (yet) dematerialising. The growing industrial economy shifts the commodity frontiers, the borders of the exploitation of resources, for example to mine gold and nickel in Guatemala. 179 According to Debruyne, this seems to put the ‘Lawrence Summers-principle’ into practice: Lawrence Summer was a World Bank economist who wrote an unofficial note where this principle is originated from: it states that dumping in developing countries was preferable because economic costs in terms of loss of wages and health risks are lower.180 The rising commodity prices push transnational companies to extract more resources. The price of nickel has been rising the last years. It peaked at 25 USD/lb in spring 2007, which gives an enormous income potential to mine nickel.181 The price of gold has also risen the last years: it reached $1,000 an ounce for the first time in March 2008. From January to March 2008, the value of gold increased by about 20%, after it rose 32% in 2007.182 A handful of these transnational companies are controlling the market in different sectors of export, like the extractive industry. To attract these companies, 178 De Walsche, Alma (2007), De ecologie van de armen. De ecologisch-economische benadering van Joan Martinez-Alier. In: Oikos, forum voor sociaal-ecologische verandering, 2007-2, pp. 31-32. 179 Ibid., pp 26-30. 180 (Forthcoming) Debruyne, P. (2008), Voorbij het ecologische verdelingsconflict. De ruimtelijkecologische strijd voor rechtvaardigheid in een volle wereld.In: Doom, R., (2008). Conflict en ontwikkeling. In de grensgebieden van de globalisering. Academia Press, p2. 181 Wiig, Henrik (2008). Promoting Respect for the Collective Rights of the Q’eqchi’Population. An evaluation of AEPDI in El Estor, Guatemala. NIBR Working Paper 2008:102, p 20. 182 (an.) (2008). Gold hits $ 1,000 for the first time. BBC News. Available at http://news.bbc.co.uk/2/hi/business/7294040.stm. Last check 14 August 2008. 53 governments are willing to take different fiscal, social and ecological measures. 183 The governments hope to take advantage of the earnings of these companies to generate income. Guatemala for example is encouraging large mining companies to enter the country, trying to take advantage of their richness in natural resources to bring income. Mining companies have received exploration concessions for nearly ten percent of the surface area in the country, and they are given tax concessions and speedy processing of applications in order to facilitate the process for those companies willing to invest in the country. Guatemala hopes to take advantage of having these transnational companies in the country: it is trying to ensure the success of the first large scale mining operations (Marlin and Fenix) to pave the way for other projects to be realised. As such it is willing to give concessions to both the local population and the companies, even at the cost of potential income for the central government. The 1% revenue of the current mining law is an example. 184 According to a report of Oxfam America however, mineral dependence is strongly linked to lower standards of living and increased poverty rates.185 This predicts that mining probably won’t bring the prosperity hoped for. For the companies however, the situation is different. Goldcorp is making huge profits, Skye Resources is hoping the same. For the Marlin Mine for example, the combination of the record prices of an ounce of gold on the international market and the low production cost ($ 144 per ounce in 2007186) shows the mine is very profitable for the company. Goldcorp’s earnings for the Marlin Mine reached up to $ 203.7 millions in 2007.187 The presence of these companies in Guatemala is causing conflicts on the terrain. The cases of San Marcos and El Estor described above are clear examples of this. These people are struggling against the big mining companies, the government and international institutions to protect their livelihood and the right to a safe and sound environment. Their struggle is about justice. 183 Jones, P.T. & Jacobs, R. (2006), Terra Incognita. Globalisering, ecologie en rechtvaardige duurzaamheid. Academia Press, p 228. 184 Wiig, Henrik (2008). Promoting Respect for the Collective Rights of the Q’eqchi’Population. An evaluation of AEPDI in El Estor, Guatemala. NIBR Working Paper 2008:102, pp 20 – 21. 185 Ross, Michael (2001). Extractive sectors and the poor. Oxfam America Report, p8. 186 Goldcorp (2008). Delivering growth. 07 Annual Report, p11. 187 Ibid., p 33. 54 4.3 Environmental Justice Movements in Guatemala? It’s clear that the two cases stated above cannot be compared easily. For example, the historical background of the Fenix Project makes it a different story than the Marlin Mine. Or the situation that the problems in San Marcos started with the presence of Goldcorp, while in El Estor, it revitalized living problems on land tenure. Or the mere fact that the Marlin Mine is operational and the Fenix Project not yet. Still, in both cases, local communities and indigenous people are the central players in the opposition of the mines. They are first affected, they organize protests, blockades, take action against the mining company and get up for themselves. Can the movements in El Estor and in San Marcos be seen as ecological justice movements? This movement tries to answer the question: ‘Who gets what, why and how much?’. It tries to uncover the underlying assumptions which may contribute to and produce unequal production.188 This movement sees the problem in terms of power (the concentration and access to power is decisive in the decisions made by governments and enterprises) and uses a 'discourse' in terms of rights (the right on a safe and sound surrounding as a human right). The environmental justice movement is typical a grass roots movement.189 An important aspect of the environmental justice movement is that it abandons the idea that communities in the South would be too poor to care about the environment. On the contrary, they believe that their social struggle has an ecological dimension: the struggle to protect their livelihood.190 4.3.1 Analysis in terms of power Ecological distribution conflicts are analyzed in terms of power: who has the power to take certain actions or decisions? The companies or governments choose certain locations for dumping waste or for heavily polluting industries because they don’t expect much opposition there.191 This is clear in both cases: who decides where the mine is located, what compensations can be given? The map showing mining in 188 Bullard, Robert D. (2000). Environmental Justice in the 21st century. In: Environmental Justice Resource Centre. Peoply of Colour Environmental Groups Directory, p 559. 189 Paredis, E., Geprangd tussen olie, reuzengarnalen en stortplaatsen. De wereldwijde strijd voor ecologische rechtvaardigheid. In: De Gids op Maatschappelijk Gebied, nr. 5, mei 2005, pp 35-37 190 Ibid., p39. 191 Paredis, E. (2004), 'Environmental justice', verrijking van duurzame ontwikkeling met een machtsanalyse en een rechtenbenadering. Seminarie van de Duurzame Raad voor Duurzame Ontwikkeling 'Over Environmental Justice', 12 februari 2004, p5. 55 relation to poverty was clear: most concessions are given in regions where poor people live. Evidently because minerals were found, but also because the people living there don’t have the power to stop this project. Martinez-Alier makes a striking comparison: if gold would be found underneath the football stadium of FC Barcelona, this would probably not be easily given in concession. Supporters would demand true compensations, the government would have to comply to these demands or cancel the project.192 Why doesn’t this count for the people of San Marcos and El Estor? This becomes most clear in the referenda held by the communities of San Marcos in which they rejected mining. These consultations are not taken seriously by the government nor by the company, who say the people have been misled. Several communities who speak openly out against mining don’t seem to be worth taken into account. More general it’s about who has the power to choose the kind of development for these communities. The Marlin Mine is seen as a development project by the World Bank and the Guatemalan authority. Moreover, the state’s representatives have tried to label the opponents of the governments’ mining policy as being against development, thereby maintaining the poor in their fate.193 Marco Maldorado of COPAE asks: “What kind of development do we want? What’s behind this development? At what cost does it come?”194 A letter written by the CGN puts it this way: “The promoters of the mining industry ... sell the Marlin mine as a "development" project. In reality, however, the mine is simply a business that enriches an international corporation at the expense of the good development of communities, facilitated by the persistent and systematic corruption, impunity and lack of real democracy, both at the national and international levels.” The people of Sipakapa wrote their own development project. This doesn’t seem to count as true development however. These people don’t have the power to stand against the vision of the World Bank. The same story in El Estor: The CEO off Skye Resources says: “What we can try to do is offer them a better future. They need to move beyond subsistence farming.” The answer by Martín Col Caal, a 21 year old subsistence farmer of Barrió 192 Vandenbroucke Esther. Notes of lecture Juan Martinez-Alier. Colloquium Ecollogical Economics, 24 February 2007. 193 McBain Brigitte, Bickel Ulricke (2005), Open Pit Gold Mining. Human Rights Violations and Environmental Destruction – The Case of the Marlin Gold Mine – San Marcos, Guatemala, FIANdocument d44e, p22. 194 Maldorado, Marco Vinicio Lopez, Análisis. La industria minera en Guatemala: entre el despojo y el etnocidio. In: Voces del tiempo, 56, p4. 56 Revolución: ”Mining does not bring development. Development comes from tourism and agriculture. Mining brings contamination of the environment and the persecution of community leaders, those who oppose the mine.”195 The decision to place the mines in El Estor and San Marcos is about who has the access to financial, structural and cultural power: - Financial power: Goldcorp is supported by the government because it’s the single largest taxpayer of Guatemala. It has contributed to the Guatemalan economy. As the Fenix Project will create the second modern open pit mine in Guatemala, the same is hoped for this project. - Structural power: It’s clear that the communities are quite powerless facing the Guatemalan government and two big Canadian transnational mining companies. The fact that the Marlin Mine received a 45 million dollar credit by the IFC/World Bank, who sees the Marlin Project as a ‘development project’ for the region, identifies another powerful player in this story. - Cultural power: Several examples can be given to show the different culture of the indigenous communities and the Guatemalan government and the corporations. For example, Guatemalan law stipulates that the underground is owned by the state, even if one has a land title. Mayan culture and Cosmovision however does not separate between landed and subterranean resources, as such it contradicts to the formal national laws.196 4.3.2 Analysis in terms of rights The origin in the civil rights movement gives the environmental justice movement a framework and a language to articulate problems and demands. Central stands the basic right on a safe and sound environment as a human right. Concepts as individual (citizens)rights, social justice, human dignity, equal chances and self determination are essential.197 The clearest example of how the people of San Marcos use rights to defend themselves, are the consultations: the rights of the indigenous communities as stated 195 Amuchastegui, Maria (2007). Mining misery Guatemala is one of many countries that has attracted the investment of Canadian mining companies —but at what cost to its people? 196 Wiig, Henrik (2008). Promoting Respect for the Collective Rights of the Q’eqchi’Population. An evaluation of AEPDI in El Estor, Guatemala. NIBR Working Paper 2008:102, p 14. 197 Paredis, E. (2004), 'Environmental justice', verrijking van duurzame ontwikkeling met een machtsanalyse en een rechtenbenadering. Seminarie van de Duurzame Raad voor Duurzame Ontwikkeling 'Over Environmental Justice', 12 februari 2004, p5. 57 in Convention 169 of the ILO. Moreover, this convention is used as a basis for defending their natural environment against open pit mining in general.198 Indigenous territorial rights are also used: Mario Tema, community leader in Sipakapa, says rejecting the mine revindicates the rights of people who have been the owners of these territories for at least 5,000 years.199 In El Estor, the situation is analysed by indigenous territorial rights: Who has the right to claim a terrain? Indigenous territorial rights oppose some land titles given by the Guatemalan government to mining companies. The Q’eqchi for example have a long tradition for migration, expanding their territory when the population rises and contracting their territory when the population is decreasing. They have a tradition that each generation leaves their original communities to form new ones on virgin land, avoiding land fragmentation in their original communities..200 These rights were used to defend the occupations: “We are recuperating the land that belongs to us”, says Alfredo Ical of Barrio Revolucion.201 4.3.3 Grassroots movement The environmental justice movement is typical a movement that rises bottom-up, informal and spontaneous. As seen before, the environmental justice movement arises from the different local movements struggling for their livelihood.202 This is clear in both cases: the resistance to the mines has grown spontaneously, bottom-up and informal. People have organized themselves to oppose to the mine. Both the situation in Sololá in 2005 and the land occupations in El Estor in 2007 show the spontaneity and informality of these actions. The organisation of the first consultation in Sipakapa in 2005 marks an important moment: the local communities organize themselves, consulting their own community. This has been an inspiration for several other communities. According to Magalí Rey Rosa, this was the first time a 198 ”Defensa del patrimonio natural del territorio de Sipakapa y rechazo y resistencia del pueblo Sipakapense a la minería de oro a cielo abierto y a las operaciones de la compañía Glamis Gold/Montana/Proyecto Marlin, mediante la aplicación efectiva del Convenio OIT 169 sobre derechos de los pueblos indígenas.” In: Organizaciones del Municipio, Parroquia de Sipacapa (2006), Programa de Desarollo del Municipio de Sipacapa, Departamento de San Marcos, p28. 199 Paley, Dawn (2007), Turning Down a Gold Mine. 200 Wiig, Henrik (2008). Promoting Respect for the Collective Rights of the Q’eqchi’Population. An evaluation of AEPDI in El Estor, Guatemala. NIBR Working Paper 2008:102, pp 22-23. 201 Cuffe, Sandra (2007). Guatemala: Recuperating the land that belongs to us. 202 Paredis, E. (2004), 'Environmental justice', verrijking van duurzame ontwikkeling met een machtsanalyse en een rechtenbenadering. Seminarie van de Duurzame Raad voor Duurzame Ontwikkeling 'Over Environmental Justice', 12 februari 2004, p6. 58 community speaks so explicitly out against mining, based on an international convention.203 Surely, there has been support from other actors: regional, national and international ngo’s are reporting and taken action around these mining problems. But the origin of the protest were truly grassroots. 4.3.4 Ecological and economic distribution Ecological distribution conflicts are about the access to environmental services and to natural resources, and about the burdens of pollution. The focus of the environmental justice movement is how this environmental problem is felt locally: it’s created locally, the effects are felt locally. This is important, because as such it gives a story of real people in real places, replacing the analysis in abstract terms. 204 How mining is an environmental distribution conflict, is described above. It made clear that the positive effects of mining will mainly go to the company and the Guatemalan elite. The communities surrounding the mine get the burden: water pollution, loss of territories, health problems, destruction of the local economy. This shows clearly the unequal ecological and economic distribution of mining in Guatemala. This argumentation is used by the local communities in El Estor. A woman evicted from Barrrio Unión says: “Look what the company is doing: eviction! ... They said the company would bring work. Where is the work now? They are just taking the minerals and leaving.”205 COPAE, denouncing the support of the World Bank to the Marlin project, states: “Apart from the apparent impossibility to eradicate corruption among public officials and politicians in Guatemala4, we know that the country’s upper class, the principal supplier of high officials in governmental institutions, does not have the slightest interest in changing the situation of exclusion and poverty that affects more than 60% of the Guatemalan population.”206 203 Vandenbroucke Esther, Interview Magali Rey Rosa, 9 March 2008. Paredis, E. (2004), 'Environmental justice', verrijking van duurzame ontwikkeling met een machtsanalyse en een rechtenbenadering. Seminarie van de Duurzame Raad voor Duurzame Ontwikkeling 'Over Environmental Justice', 12 februari 2004, p7. 205 Quotation of evicted woman in: Rights Action (2007). Violent evictions in El Estor. 206 COPAE (2007). The World Bank’s other Paradigm. In: The Robust Oak, 2007 (12), p3. 204 59 4.3.5 Livelihood Central in this movement is the material interest in the environment as a source and a requirement for livelihood. As such, the environmentalism of the poor turns the view of the Brundtland report around: from environmental damage caused by poverty (’too poor to be green’) to conflicts in which poor people defend the environment, their livelihood, against the state or the market.207 The people affected by the mine in San Marcos and in El Estor are mainly subsistence farmers: land and water are crucial for them. Economic security for them means protecting these resources. This land and water is also needed by the mining company, which creates a social conflict about their livelihood. This is clear in El Estor where local communities speak out and act against the loss of their territory, and in San Marcos where people protest against the loss of biodiversity, the drying up of their water wells, the metals found in the Tzalá River, etc. 4.3.6 Languages of valuation Environmental conflicts are fought out in different languages and arise because of an incommensurability of values and of interests. This is clear in both cases. The World Bank for example sees mining as a means to break out of the cycle of poverty 208: mining has an economic value which is preferable above other values the land can have. The indigenous communities on the other hand state the following: “As Indigenous Peoples, we have an integral vision of our Mother Earth, manifested in the respect and intimate relationship that exists between people and nature. This is our Cosmovision, in which human beings are not superior, but part of a whole. Our vision contrasts with the occidental logic of natural resource exploitation, based on the accumulation of capital by a few at the cost of the lives of many, in this case of Indigenous Peoples. The great consequence of this history is the State of poverty in which we find ourselves.”209 Javier de León of the Association for the Integral Development of San Miguel Ixtahuacán (ADISMI) poses the following question: “Is this the kind of development 207 Martinez-Alier, J. (2002), The Environmentalism of the Poor: A Study of Ecological Conflicts and Valuation, Edward Elgar Pub, p 266. 208 World Bank, 2008. Topics. Oil, Gas, Mining and Chemicals. Glamis Gold Ltd.'s Montana Exploradora Marlin Project in Guatemala. Available at web.worldbank.org. Last check 14 august 2008. 209 Guatemala Community Network (2006). Stop Canadian Mining in Guatemala. 60 we want? What are we to negotiate? There is nothing to negotiate! Can you negotiate life? I do not think you can negotiate life. Health can not be negotiated. In this case, human lives are at risk.”210 The idea behind mining is that an improved economic distribution will compensate the damages done. This again is a monetary value put above other values. The question if health can be negotiated makes it clear: how could a human life be monetary compensated? Who would estimate the value of this life? The different values used are also clear in the conflicts over land. The Q’eqchi’ Mayans for example see their territory as a fundamental element for their survival, not only as individuals, but as a people with their own characteristics. Further, the extraction of any component of its territory that is not subject to the rules and customs of their culture, affects their world reality and as such, their cultural integrity as a people.211 As such, historical grounds with a spiritual value and grounds to create economic value are incommensurate. It is clear that the different values used are incommensurate. The question then is “who has the power to determine what will be the relevant languages of valuation?”212 Who has the power to simplify complexity? For both cases, certainly not the indigenous communities. 4.3.7 Guatemalan environmental justice movements? The features show clearly that the communities struggling against the mining companies in El Estor and in San Marcos can be seen as ecological justice movements. They are fighting against environmental racism: the disproportionate allocation of the burdens of mining to these communities. As such, they are linked to other struggles of people over the world. From mining conflicts in Honduras, Peru, Bolivia, Congo, to protecting mangroves against shrimp farming in Bangladesh, over the struggle of the Ogoni against Shell in the Nigerdelta, to the resistance against a dam in India, etc. All these conflicts can be looked at in detail, investigating the specific situation of that country, that region, that project. Most of them would 210 Quotation of Javier de Léon in: Rodríguez, J. (2007), Gold Mine Worsens Social Tensions. Vogt, Daniel (2005). ILO Investigates Claim Charging Violation of Convention 169 Regarding Skye Resources’ Guatemalan Nickel Project. 212 Quotation of Martinez-Alier in: Martinez-Alier, J. (2004), Ecological Distribution Conflicts and Indicators of Sustainability. In: International Journal of Political Economy, p14. 211 61 probably be fighting against some sort of environmental injustice. The strength of linking them in one big movement, is that it gives them perspectives beyond their own local struggle. It places their struggle in a broader frame, linking the environmental degradation they face to the increasing globalization. 4.4 Recommendations The search for commodities is driven by economic growth. This economy is not dematerializing. Moreover, more and more countries are adapting this material intensive economy. This means an increase in the use of natural resources and material. As long as the demand remains high, mining will be a lucrative business. New mines will open, causing conflicts like the ones seen in San Marcos and El Estor. The first recommendation can’t be any other than this: we have to dematerialize our economy. Using less materials, by consuming less, by using them more efficiently, by inventing new techniques, ... Moreover, we should see which materials are really necessary. Knowing that 80% of all gold is used to make jewellery, it is clear that the production of gold could be diminished severely. As gold mining is one of the dirtiest industries in the world, one could wonder why this isn’t yet so. Mining cannot be sustainable: it is always a polluting process. But can it be made responsible? Oxfam America and Earthworks have established ‘golden rules’: a set of minimum criteria for more responsible mining. These are the following: - Respect basic human rights as outlined in international conventions and laws. - Obtain the free, prior, and informed consent of affected communities. - Respect workers’ rights and labour standards, including safe working conditions. - Ensure that operations are not located in areas of armed or militarized conflict. - Ensure that projects do not force communities off their lands. - Refrain from dumping mine waste into oceans, rivers, lakes, or streams. - Ensure that projects are not located in protected areas, fragile ecosystems, or other areas of high conservation or ecological value. - Ensure that projects do not contaminate water, soil, or air with sulphuric acid drainage or other toxic chemicals. 62 - Cover all costs of closing down and cleaning up mine sites. - Fully disclose information about social and environmental effects of projects. - Allow independent verification of the above.213 The cases described above show breaches on several of this criteria: - The free, prior and informed consent was in both cases not guaranteed - Communities have been forces off their lands in El Estor - There are severe indications that water in San Marcos has been contaminated with heavy metals. - The closure plan of San Martín in Honduras indicates that a future closure plan for the Marlin Mine won’t cover all costs of closing down and cleaning up the mine site. - Information about social and environmental effects of both mines has not been easily spread. For Guatemala, the Golden Rules should be addressed to answer the key challenges for mining as been stated above: there are several problems with the mining law, the general situation in Guatemala with it’s land conflicts and small economic elite poses specific challenges. Recommendations for Guatemala are thus the following: - Addressing the issue of land titles. Making sure that deeds are clearly stated and that the land is less unequal distributed will take a big cause of conflicts away. - The MARN should establish some good environmental laws and protect them. - The revenue for the Guatemalan state should go up. The tax exemptions for foreign companies should not be granted. This would increase the income for the Guatemalan state. Another important point here is off course that the government manages to put good governance into practice for the whole population, not only for the rich elite. - The local population should be truly consulted before granting an exploration license to a mining company. Involving the indigenous community from the beginning and taking their concerns seriously is a condition for sustainable mining with a positive impact on the local economy. Are there good practices considering mining? One example is worth mentioning: In Colombia, gold is mined in close relationship with the local population. The extraction 213 Earthworks, Oxfam America (2007). Golden Rules. Making the case for responsible mining, pp 2-3. 63 is fulfilling some certification criteria for ‘green gold’. These make sure that the extraction doesn’t use toxic chemicals, that the load on the environment doesn’t exceed it’s recovering capacity, etc.214 This could be an inspiring example for Guatemala. 214 Corporación Oro Verde, 2008. Our Work. Certified Green Gold Program. Available at http://www.greengold-oroverde.org/ingles/oroverde_ing.html, last check 14 August 2008. 64 Conclusions The two questions posed in this thesis can now be answered: What is the impact of mining in San Marcos and in El Estor? Can the movements opposing these mines be seen as environmental justice movements? Guatemala has a history of land conflicts and is the country with the biggest income equity. It has attracted mining to share in the benefits of the company’s revenues. However, the type of mining, the situation of the local population, the lack of good laws make it a rather negative story. Looking at the history of the Marlin Mine and the Fenix Project, it’s clear that these had and still have social, economic and ecological impacts on the local communities. Mainly the Marlin Mine is already showing what open pit mining means: water contamination, increased conflicts and economic problems due to water scarcity. The story of the San Martín Mine in Honduras predicts what more they can expect. The people of El Estor don’t face the negative consequences of metal mining yet. Still, the renewed mining license brings the struggle for their land into the open again. The violent evictions keep the memory of the unpleasant Guatemalan history alive. As these conflicts aren’t typical Guatemalan problems, we’ve placed them in the framework of the ecological justice movement. This showed clearly how mining is an ecological distribution conflict: a social conflict on who gets the benefits and who has to bear the burdens of this highly polluting activity. Moreover, pushed by economic growth and the high commodity prices, companies go further and further to extract natural resources. This causes more and more conflicts similar to the ones described. To link the struggle of the people opposing the mine in Guatemala to similar ecological distribution conflicts over the world, we looked if the features of the environmental justice movement fitted them. This question was positively answered, as such connecting their local problems to the increasing globalization. This made clear that the struggle is about environmental injustice. Some recommendations were formulated to address the challenges posed by mining. Oxfams Golden Rules could be a starting point for the Guatemalan government to work on sustainable mining. Still, this could run counter to the 65 Cosmovision of the indigenous peoples. 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Exploración de Minas y Canteras Lee P. Mosheim Edgar Antonio Diaz Davila Cooperativa Juventud Minera Chisja I Montana Exploradora de Guatemala Jorge Luis Avalos Asturias Geominas S. A. Richard Keit Corbin Compañía Minera El Cóndor S. A. Gregory Arnold Vanclieaf Representaciones Químicas S. A. Químicos S. A. Ruben Riveiro Champey Roselina Sagastume Entre Mares de Guatemala, S. A. Pedro R. Garcia Varela Exploraciones Mineras de Guatemala S. A. Sociedad de energía creativa, S. A. Bruno Monturi Vecchi Michael Harold Barady Elizabeth Haidacher Avila José David Albizurez Del Cid Edgar Rolando Vicentt Jaramillo Minera Mayamérica Exmingua, S. A. Zinc centroamérica, S. A. Industria del sulfato, S. A. Exploraciones Mineras de Centroamérica, S. A. Walter Orlando Mendez Motagua Resources S. A. Pedro Rafael García Varela Jaime Fernanfo Pérez Morales Productos Mineros de Guatemala, S. A. Jesús Alfredo Erchila De León Exportaciones y Servicios, S. A. Gladys Annabella Morfín Mansilla María Evangelista Puente de Marías Josefina Granados López de Tello Exmibal Juan Gilberto Barrientos Virgilio C. Recinos Fernando Santucci Teodoro Recinos plata, plomo oro plomo, plata plomo, plata y otros Magnesita Magnesita plomo, plata y zinc plomo Oxido de hierro oro, plata, cobre, plomo, zinc, niquel oro, plata, cobre, plomo, zinc, etc. oro, plata, zinc oro, plata oro oro, plata oro, plata, cobre oro, plata, cobre oro, plata, cobre oro, plata oro, plata oro, plata oro, plata oro, plata Niquel oro, plata oro, plata, cobre, plomo, zinc, etc. oro, plata, cobre, plomo, zinc, niquel oro, plata, cobre, plomo, zinc, niquel oro, plata, niquel, cobalto, cromo, etc oro, plata, cobre, plomo, zinc, etc. oro, plata, hierro, zinc, cobre, cadmio oro oro, plata, cobre, plomo, zinc oro, plata, cobre, plomo, zinc Asociados (?), oro Cobre, plomo, zinc, oro, plata Oro y asociados oro, plata, cobre, plomo, zinc oro, plata, cobre, plomo, zinc oro, plata, cobre, plomo, zinc, aluminio oro, plata, cobre, plomo, zinc oro, plata, cobre, plomo, zinc Plomo y plata Niquel, cromo, cobalto, Fe Plomo Plomo y plata plata plomo Alta Verapaz Izabal Huehuetenango Huehuetenango Izabal Izabal Alta Verapaz Huehuetenango Chiquimula San Marcos, Huehuetenango, Quetzaltenango, Suchitepéquez, Sololá Baja Verapaz, Huehuetenango San Marcos, Huehuetenango, Quiche Zacapa Chiquimula Izabal Quiche Huehuetenango, Alta Verapaz Guatemala Baja Verapaz y Alta Verapaz San Marcos, Jutiapa, Chiquimula, Guatemala, Jalapa, El Progreso, Huehuetenango, Quetzaltenango Guatemala San Marcos, Huehuetenango, Quiche, Totonicapan, Guatemala, Chiquimula, Jutiapa Baja Verapaz Huehuetenango Jalapa Izabal, Chimaltenango, Guatemala, Totonicapán, Quiché Chiquimula Chimaltenango, Huehuetenango, Totonicapán, Baja Verapaz Izabal (El Estor), Alta Verapaz Izabal (Morales), Chiquimula, Zacapa, El Progreso Huehuetenango El Progreso Baja Verapaz, El Progreso Jalapa San Marcos, Alta Verapaz, Zacapa, Guatemala, El Progreso, Chimaltenango San Marcos,Chiquimula, Huehuetenango, Jutiapa Guatemala Guatemala, Chimaltenango Baja Verapaz, El Progreso, Alta Verapaz, Quiche Quiche, Chimaltenango, Sololá, Guatemala San Marcos, Totonicapán, Huehuetenango, Quiche, Sololá, Verapaces Jutipa Huehuetenango Izabal (El Estor) Huehuetenango Huehuetenango Guatemala Huehuetenango 215 Madre Selva (2004), Principales mapas de minería de metales en Guatemala. Powerpoint Madre Selva. 75