The Legislative Body of the Province of Tierra del Fuego Passed the Law that Bans the Use of Cyanide and Open Pit Mining

On August 25, the Legislative Body of the Province of Tierra del Fuego passed a law that bans the use of cyanide, among other substances, and large-scale open-pit mining for metal ores. According to the text of the law, this list of banned substances may be broadened by the enforcement agency when there are technical or environmental reasons and the substances are identified as dangerous by national or international authorities.

In addition, the approved law contains the following provisions:

(a) Those who have been granted mining rights and those who extract or process metal ores at the time the law comes into force will have a 90-day term to submit to the enforcement authority a report indicating how they will adapt their activities to the requirements of the law. Until they comply with this obligation, their activities will be suspended.

(b) The titleholders of first category mines must hire, before the beginning of the activity, an insurance to guaranty the repair of any damage to the environment that may have been caused by their activity.

(c) An Environmental Repair Fund is created. This Fund will be of public nature, not subject to liens or attachments, and non-compensatory. To form this Fund, the titleholders of mining concessions will make a contribution equivalent to 5% of the total investment planned, except for small-scale producers, who may choose to hire a guarantee insurance policy. The contributions will be used in restoration and repair of the environment at mine closure, and will remain in the Fund until the plan for the closure of the mine is approved by the authority. The amount remaining will be paid back to the titleholder of the concession.

(d) The enforcement agency will survey environmental liabilities prior to the enactment of the law, establishing the existing pollution levels. When exploration or exploitation activities are authorized following the enactment of the law, this survey must be performed within 90 days after the mining office registers the filing for the mining right. When prior pollution is detected, the authority will determine the liabilities and the procedures for environmental restoration.

(e) The Sustainable Development and Environment Secretariat will be the enforcement agency of this law. It will be in charge of preservation of water resources as well, controlling each of the stages of metalliferous mining projects that may affect water basins.

After being approved by the Legislative Body, on September 2 of this year the law was sent to the Executive Branch to be reviewed and enacted. According to provisions contained in the Constitution of the Province of Tierra del Fuego, if the law is not vetoed by the Executive Branch within ten days since it was received, it is considered enacted (Section 108). This term will be due on September 16. By the time this article was published, the text approved by the Legislative Body had not been vetoed by the Executive Branch of the province.