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Ar#sanal	
  Mining	
  :	
  Se/ng	
  the	
  Scene	
  
Paulo De Sa
Manager
Sustainable Energy Department
Oil, Gas and Mining Unit
World Bank Group
June 7, 2012
1
Lessons	
  from	
  Interven#ons	
  in	
  Ar#sanal	
  Mining	
  
•  Pilot programs and piecemeal solutions have not worked: There are an
estimated 20 million small-scale/artisanal miners operating in over 40 countries,
and about 100 million people depend directly or indirectly on this activity for their
livelihood. Scale and replication is needed.
•  Formalization efforts have had mixed results: While most countries have
developed ASM regulations as part of their mining laws, weak institutional
capacity to monitor the sector has limited the effectiveness of these laws.
•  ASM governance issues are driving the dynamics of conflict in fragile
countries: Transparency and governance issues surrounding ASM played a
role in the dynamics of conflict in the Great Lakes Region.
•  To integrate ASM into the global supply chain, the vicious circle of poverty
must be addressed : Alternative livelihood efforts and fair supply chain
initiatives by responsible market actors are showing encouraging results.
•  The complex social issues of ASM cannot be addressed as a mining
problem: sustainable development of ASM requires cross-cutting solutions and
initiatives
•  Partnerships are needed to provide lasting solutions: multi-stakeholder
partnerships are more effective in addressing ASM issues.
2
Key	
  takeaways
•  There is not a one-size-fits all solution: Migration problems versus local
communities need to be taken into consideration.
•  Artisanal miners need some sort of legal rights to protect their activities:
•  Most mining codes still do not recognize that.
•  Granting mining titles to artisanal miners is not always the solution.
•  Don’t try to organize what is already organized:
•  Stakeholder assessments and baseline date are essential to the process.
•  ASM communities need voice but must be accountable for what they do.
•  Extension services need to be provided by professional experts, not by
bureaucrats or people with vested interests.
•  All attempts to improve the technical process must be anchored in proven
financial benefits.
•  Tripartite platforms – Government (including local), private sector and civil
society – seem to provide an adequate approach to the issue.
3
The	
  need	
  for	
  a	
  comprehensive	
  approach	
  to	
  address	
  the	
  
mul#-­‐faceted	
  issues	
  of	
  ASM	
  
4
The	
  Missing	
  Link	
  in	
  ASM	
  	
  Interven#ons	
  	
  
•  National governments are requesting assistance to help formalize ASM as a way to better
manage its adverse social and environmental impacts and realize its potential for poverty
reduction.
•  The international community is concerned about the relationship between ASM, supply chain
transparency, and the trade of conflict minerals, particularly in the Great Lakes Region and is
seeking ways to address the problem.
•  Mining companies are seeking to mitigate the risk of conflict and disruption of operations, and
to meet the disclosure requirements of conflict mineral regulations.
But…
•  International efforts are highly disjointed. There is no coordination between the various
initiatives.
•  Companies are often going it alone on ASM, trying short term solutions which buy them
“peace” for some time.
•  Industry associations like ICMM, the World Gold Council the Electronic Industry Citizenship
Coalition are trying to come up with policies and standards for their members, but these efforts
are not well coordinated.
5
The	
  World	
  Bank’s	
  Response	
  
Communi#es	
  and	
  Small-­‐Scale	
  Mining	
  Solu#on	
  Ini#a#ve	
  (CASM-­‐SI)	
  
6
•  Mission: CASM-SI is a multi-stakeholder initiative that aims to serve as
an implementation vehicle for sustainable mining development
solutions.
•  Members: Government agencies, donors, corporate, civil society, and
other stakeholders who are mutually accountable for meeting capacity
building objectives set globally and by region/country.
•  Methods: CASM-SI serves as an implementation mechanism, develops
tools and best-practices; initiates in-country pilot programs to test
solutions; provides hands-on services and guidance for its members;
serves as a resource to other issue specific initiatives; and manages a
network and knowledge center on sustainable solutions.
The	
  World	
  Bank’s	
  Response	
  
7
•  Providing tailor-made, rather than generic solutions: We will seek
greater involvement by key players to seek solutions that are built from
an understanding of the social, cultural, political, environmental and
economic context.
•  Leveraging World Bank and donor support to implement global and
regional initiatives: Global mercury, ASM formalization, Kimberly
Process, Conflict Mineral certification initiatives.
•  Deploying rapid-response in-country solutions well-integrated into
donor and Bank country programs. We will also seek matching funds
from private companies to provide rapid-response in-country solutions
to specific ASM issues.
•  Ensuring Mutual Accountability: Members of partnerships will hold each
other mutually accountable for results, through joint goal-setting and
project assessment paired with transparent communication about
results.
Oil, Gas and Mining Unit
Sustainable Energy Department
Tel: 202 473 3561
Email: pdesa@worldbank.org
8

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2012 7 June Paulo de sa

  • 1. Ar#sanal  Mining  :  Se/ng  the  Scene   Paulo De Sa Manager Sustainable Energy Department Oil, Gas and Mining Unit World Bank Group June 7, 2012 1
  • 2. Lessons  from  Interven#ons  in  Ar#sanal  Mining   •  Pilot programs and piecemeal solutions have not worked: There are an estimated 20 million small-scale/artisanal miners operating in over 40 countries, and about 100 million people depend directly or indirectly on this activity for their livelihood. Scale and replication is needed. •  Formalization efforts have had mixed results: While most countries have developed ASM regulations as part of their mining laws, weak institutional capacity to monitor the sector has limited the effectiveness of these laws. •  ASM governance issues are driving the dynamics of conflict in fragile countries: Transparency and governance issues surrounding ASM played a role in the dynamics of conflict in the Great Lakes Region. •  To integrate ASM into the global supply chain, the vicious circle of poverty must be addressed : Alternative livelihood efforts and fair supply chain initiatives by responsible market actors are showing encouraging results. •  The complex social issues of ASM cannot be addressed as a mining problem: sustainable development of ASM requires cross-cutting solutions and initiatives •  Partnerships are needed to provide lasting solutions: multi-stakeholder partnerships are more effective in addressing ASM issues. 2
  • 3. Key  takeaways •  There is not a one-size-fits all solution: Migration problems versus local communities need to be taken into consideration. •  Artisanal miners need some sort of legal rights to protect their activities: •  Most mining codes still do not recognize that. •  Granting mining titles to artisanal miners is not always the solution. •  Don’t try to organize what is already organized: •  Stakeholder assessments and baseline date are essential to the process. •  ASM communities need voice but must be accountable for what they do. •  Extension services need to be provided by professional experts, not by bureaucrats or people with vested interests. •  All attempts to improve the technical process must be anchored in proven financial benefits. •  Tripartite platforms – Government (including local), private sector and civil society – seem to provide an adequate approach to the issue. 3
  • 4. The  need  for  a  comprehensive  approach  to  address  the   mul#-­‐faceted  issues  of  ASM   4
  • 5. The  Missing  Link  in  ASM    Interven#ons     •  National governments are requesting assistance to help formalize ASM as a way to better manage its adverse social and environmental impacts and realize its potential for poverty reduction. •  The international community is concerned about the relationship between ASM, supply chain transparency, and the trade of conflict minerals, particularly in the Great Lakes Region and is seeking ways to address the problem. •  Mining companies are seeking to mitigate the risk of conflict and disruption of operations, and to meet the disclosure requirements of conflict mineral regulations. But… •  International efforts are highly disjointed. There is no coordination between the various initiatives. •  Companies are often going it alone on ASM, trying short term solutions which buy them “peace” for some time. •  Industry associations like ICMM, the World Gold Council the Electronic Industry Citizenship Coalition are trying to come up with policies and standards for their members, but these efforts are not well coordinated. 5
  • 6. The  World  Bank’s  Response   Communi#es  and  Small-­‐Scale  Mining  Solu#on  Ini#a#ve  (CASM-­‐SI)   6 •  Mission: CASM-SI is a multi-stakeholder initiative that aims to serve as an implementation vehicle for sustainable mining development solutions. •  Members: Government agencies, donors, corporate, civil society, and other stakeholders who are mutually accountable for meeting capacity building objectives set globally and by region/country. •  Methods: CASM-SI serves as an implementation mechanism, develops tools and best-practices; initiates in-country pilot programs to test solutions; provides hands-on services and guidance for its members; serves as a resource to other issue specific initiatives; and manages a network and knowledge center on sustainable solutions.
  • 7. The  World  Bank’s  Response   7 •  Providing tailor-made, rather than generic solutions: We will seek greater involvement by key players to seek solutions that are built from an understanding of the social, cultural, political, environmental and economic context. •  Leveraging World Bank and donor support to implement global and regional initiatives: Global mercury, ASM formalization, Kimberly Process, Conflict Mineral certification initiatives. •  Deploying rapid-response in-country solutions well-integrated into donor and Bank country programs. We will also seek matching funds from private companies to provide rapid-response in-country solutions to specific ASM issues. •  Ensuring Mutual Accountability: Members of partnerships will hold each other mutually accountable for results, through joint goal-setting and project assessment paired with transparent communication about results.
  • 8. Oil, Gas and Mining Unit Sustainable Energy Department Tel: 202 473 3561 Email: pdesa@worldbank.org 8