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MINING FOR CLOSURE

xiii

a codification of

principles

A number of principles can be used to guide the

management of existing and new mining opera-

tions in SEE/TRB so that acceptable sustainabil-

ity requirements and cost effective closure can be

achieved. These principles can be used to support

work with abandoned and orphaned mining sites

in order to make them safe and/or remediate, and

close them. It should be noted that the items listed

below should be seen as congruent and synergis-

tic and not exclusive (e.g. such as strict

and

flexible

rather than strict

versus

flexible).

In order to

Mine for Closure

, jurisdictions, policies

and work approaches should be:

Consistent

– Mine closure requirements and proce-

dures should be consistent with those in place in other

territories of the region. This is particularly important

where two countries share trans-boundary risks.

Centralised

– Governments should strive for an

independent mine closure law that establishes a

single agency for implementation.

Strict

– Legislation should apply the polluter pays

principle strictly and should ensure that the owner

or operator of a mining operation is responsible for

execution and completion of successful reclamation.

Financially assured

– Legislation should provide that

(particularly for new operations and operations with

considerable lifespan remaining) financial assur-

ance is provided to ensure successful reclamation.

Long-term financed

– Where conditions requiring

long-term care exist, the funding of long-term care

and management should be included in assurance.

However, government legislation should explicitly

provide that at a certain moment the company can

be relieved of future liabilities for the site.

Temporally bounded

– Where long-term care is in-

volved, the operator should be responsible to pro-

vide it until relieved of liability, but amenable tem-

poral bounds of such liability should be included in

agreements. This requires that care be long-term

financed.

Low hazard and viable

– Viable, rather than only

self-sustaining ecosystems, that are compatible

with a healthy environment and with human activi-

ties and are low hazard should be left post-mining.

Measures to address and prevent ongoing pollution

from the site should be in place.

Considered and flexible

– The target condition of a

mining site should be carefully considered in the

light of long-term environmental stability but not

in the absence of social and economic uses that

can contribute to making it safe. All encompass-

ing requirements to return a site to its original

condition or to a condition permitting a maximum

range of land uses may be inappropriate. Jurisdic-

tions should be flexible in devising solutions that

match site-specific needs in terms of the types of

mining operation, climate, topography, the sensi-

tivity of the surrounding environment, and social

requirements, and which deliver outcomes con-

sistent with sustainable development principles

and objectives

Synergistic

– Synergies between actors, particularly

actors with the capacity to provide rehabilitation

service at lowest cost, should be pursued. This may

be achieved by providing incentives for the current

industrial actors to provide expertise, equipment,

supplies and personnel to support government

funding in addressing legacies.

Elastic

– Innovative, flexible and forgiving frame-

works for indemnification against potential liabili-

ties should be sought, particularly in situations

where this may provide the necessary incentives

for multi-stakeholder participation in reclamation/

rehabilitation works.

Reasonable

– There must be recognition that in-

sistence on protection against extremely unlikely

events will impose excessive costs and as a conse-

quence, investment incentives may be significantly

reduced. Reasonable approaches must be applied

when jurisdictions seek assurance against the pos-

sibility of loss or damage to the environment.

Creative

– In situations where the mine is only

marginally profitable or is approaching the end of

its life, a creative approach to the design of the in-

strument may be called for.

Incentive based and tax balanced

– the tax or royalty

regime of the country should recognise that finan-

cial assurance imposes some costs on the operator.

This should be balanced to ensure that sustainable

development objectives are assured.