The Parkland Institute

International

Canadian mining companies: Unwelcome guests

Binding legislation still needed to curb human rights, environmental violations

On Nov. 2, 2007, gold hit $807.70 an ounce, a 28-year high. Millions of Latin Americans, Africans and Asians, exposed to the environmental and social damages of Canadian mines operating in their community, had no reason to rejoice.

Neither did the Canadian Network for Corporate Accountability (CNCA) whose members participated in the Government of Canada’s National Roundtables on Corporate Social Responsibility (CSR) and the Canadian Extractive Industry in Developing Countries from June to November 2006. The roundtables fulfilled a recommendation of the Parliamentary Standing Committee on Foreign Affairs and International Trade in its 2005 report on Mining in Developing Countries and Corporate Social Responsibility (SCFAIT). This report called for major policy and law reform to ensure that Canadian companies comply with international human rights and environmental standards.

On March 29, 2007, the roundtable advisory group - composed of representatives from industry, civil society, academia, labour and the socially responsible investment community -
released its report to the government. The report establishes standards and reporting obligations for Canadian companies, calls for the creation of an independent ombudsperson’s office to investigate complaints regarding the operations of Canadian companies in the developing world and to assess corporate compliance, and provides for withholding of government services from companies in cases of serious non-compliance.

If implemented, these recommendations would establish Canada as a global leader in corporate social responsibility. Canada is uniquely positioned to take this leadership role in regulating mining activities internationally since almost 60 per cent of the world’s exploration and mining companies are listed in Canada and these companies account for over 40 per cent of global exploration budgets and have interests in almost 3,200 mineral properties located in more than 100 countries.

While the report addresses the negative environmental and social impacts so often associated with Canadian extractive operations, it does not include binding legislation so that compliance is mandatory, as recommended in the 2005-SCFAIT report. Further, it doesn’t go far enough in ensuring the protection and promotion of the rights of indigenous peoples including the right to Free, Prior and Informed Consent, and to all internationally- guaranteed human rights standards and corresponding obligations of states and non-state actors to respect the human rights of individual and communities.

Eight months later, the long-awaited report of the roundtables still has not been adopted. CNCA members continue to petition the Government of Canada to adopt and implement the consensus- based recommendations of the National Roundtables.

Stephen Harper found out for himself that Canadian mining companies are often unwelcome guests when Chilean protesters confronted him in Santiago, Chile, in July 2007. While Harper claimed to be satisfied that Barrick Gold was behaving responsibly and “following the rules” in Chile, opponents of the mine, both in Canada and Chile, criticized Barrick for failing to listen to the communities around the mine.

It’s hard to think of anyone other than a mining company CEO who would be happy with a mine at an altitude of 4,500 metres, with potential impacts on several Andean glaciers, water supplies and agricultural and wine production. Once in a while, a poor agricultural community succeeds, after a long struggle of protests, referendums and mass resistance, in ousting a mining company before their land, homes and water are destroyed. This occurred in Tambogrande in northern Peru where the residents’ five-year struggle ended in the ouster of a Vancouver-based gold mine.

Usually, the mine wins; the people lose. With the rising price of gold, more Canadian mining companies will take advantage of corrupt governments to set up open pit mines and the Government of Canada will continue to give these mining companies carte blanche to do as they please.

0 comments

Comments about this article

Review entry | Add a comment

 

Add your comment