Wednesday, April 8, 2015

Mining's poor reputation in Peru leads to endless social conflicts

Protests continue in the Peruvian region of Arequipa over Southern Copper’s Tíaa María mining project. According to Jose de Echave, an analyst from the Observatory of Mining Conflicts in Peru, the Peruvian government’s support for private interests over social movements is driving this new wave of protests. He explained, “The population is seeing that their economic, social, cultural, and environmental rights are being cut. The local authorities are also seeing that their possibilities to have a certain level of choices to confront these investments are seriously being limited, therefore this is a scene that explains the reactions that we are seeing in several parts of the country.”

On Tuesday, Peruvian president Ollanta Humala himself spoke out in favor of the Tía María project, telling reporters, “We need to work to have a dialogue to explain and convince the people to give this project a chance under new norms, under an environmental impact study that has already been reviewed … and concerns have already been resolved.” Humala took pains to explain the difference between the environmentally- and socially-destructive practices of “old mining” in the country, and the regulated, modern, “new mining” in Peru.

The National Society for Mining, Petroleum, and Energy (SNMPE) complained that the Peruvian mining industry is the focus of a systematic attack by violent groups that only want to cause chaos and bring poverty to the country. The trade association however refused ownership of the problem, and instead passed the bill to the government, saying, “It is essential that the Peruvian State and its authorities act firmly, preventing radical movements from sabotaging productive activities in the country.”

President Humala at least understands that the problem with the mining industry in Peru is an image and branding problem. The industry is plagued by the poor reputation it created for itself thanks to its terrible environmental and social record. In order to change this negative association, mining companies in Peru will need to invest money in rehabilitating their brands both locally at project sites and throughout Peru.




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