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Prabhash Gokarn & Sahil Sood
Tata Steel Limited
Prabhash Gokarn & Sahil Sood : Tata Steel
Disclaimer
The presentation is an amalgamation of author’s own
views and thoughts.
Tata Steel does not necessarily subscribe to the views and
thoughts expressed in the presentation and should not be
held responsible for the same.
Prabhash Gokarn & Sahil Sood : Tata Steel
Presentation Structure
1. Three Views on Development v/s Sustainability 4 - 8
2. Mining and Sustainability 9 - 15
3. Rational Development - “fair” to stakeholders 16 - 20
4. Sustainable Development : Need & Reward 21 - 24
2
Prabhash Gokarn & Sahil Sood : Tata Steel
….a developer is one who is yet to
build his house, champions of
sustainability are already well
ensconced in theirs….
3
Prabhash Gokarn & Sahil Sood : Tata Steel 4
Prabhash Gokarn & Sahil Sood : Tata Steel
First View .….
Mountain Pass Rare Earth Mine in
California, United States. The mine,
owned by Molycorp Inc., once
supplied most of the world's rare
earth elements.
Chemical processing of ore stopped
since 1998 and the mine was fully
closed in 2002, in response to
environmental restrictions .
5
Prabhash Gokarn & Sahil Sood : Tata Steel
Second View ….
Description of Rare Earth Mining near
near the city of Ganzhou, in in Jiangxi
province, China :
Miners use a chemical extraction process
that involves digging several holes of just
a few feet in depth and feeding pipes into
the holes. A concentrated mixture of
chemicals is then pumped through the
pipes, leaching out rare earth metals as it
passes.
It is incredible that such a low-tech
method is used to harvest minerals that
are used in some of the world's most
technologically advanced products…
at any cost
6
Horrendous levels of pollution at Jiangxi
Prabhash Gokarn & Sahil Sood : Tata Steel
The Confused View….
CLOSEDKerala Mineral & Metals : In God’s own
country, water heavily contaminated with
monazite, iron fluoride and magnesium, high
number of cancer patients.
Unabated Production : Expansion
Kudramukh Iron Ore Company : In Karnataka :
mine has large iron ore deposits. Due to
ecological concers, not operating since 2005….
7
Prabhash Gokarn & Sahil Sood : Tata Steel
Hope yet, Convergence of the Debate..
MolyCorp has reopened
MountainPass Mine since
Aug’13
China Announces $1.6 Billion
Pollution Fund….
Government has seized control of
rare earth mining after finding
widespread illegal strip-
mining(Feb-14)
INDIA
?
8
Prabhash Gokarn & Sahil Sood : Tata Steel 9
Prabhash Gokarn & Sahil Sood : Tata Steel
…. Mining uses up the resources which
promotes it, thus it must catalyze the
development of other economic activities
and also generate enough positive impacts to
assist in sustainable development ….
10
Prabhash Gokarn & Sahil Sood : Tata Steel
Mining & Sustainability
 Mining necessarily ends up depleting the resource it uses and is
characterized by negative impacts.
 However, it has significant potential for making positive impact. It
is possible for mining to contribute to sustainable development
through:
 Enhancing the benefits while mitigating the negative impacts
both when mining is taking place and subsequently as well as
 Improving stakeholder participation in the management of the
resources.
 This is however easier said than done…
11
Prabhash Gokarn & Sahil Sood : Tata Steel
Sustainable development
Sustainable Development is
developing in such a way that
future people will have
“enough and as good”*
* Phrase from John Locke, 1690
12
Prabhash Gokarn & Sahil Sood : Tata Steel
Sustainable Development
Development that :
 meets the needs of the present
without
 compromising the ability of future generations to
meet their own needs
a) How much into the future
b) Are we underplaying the role of technology?
13
Prabhash Gokarn & Sahil Sood : Tata Steel
2014 2025 2050 2075 2100
D = Development : e.g. Development of a Mine
Must we sacrifice just as much for people in the
far future as for people in the near future?
D
Why must we leave as much and as good for
future people? What if that requires us to
sacrifice money, work, time, satisfaction, etc.
How Much Into the Future ?
14
Prabhash Gokarn & Sahil Sood : Tata Steel
Two Views?
Defenders of Future People
Earth’s resources belong to all,
no matter when they “arrive”.
Locke (1690)
We have borrowed the earth
from our Children….
- Can’t create new land
- Conservation of biodiversity
- Population control
Discounters of Future People
We should sacrifice “less for them”
– not “should totally dismiss”.
Nearer future people are closer
relatives of ours, so we have
stronger obligations to them.
Future people will be richer than
us; poor don’t have to help rich.
They will have technology
we can’t predict.
Development
4
15
Prabhash Gokarn & Sahil Sood : Tata Steel 16
Prabhash Gokarn & Sahil Sood : Tata Steel
Rational Development will….
 Stay within the capacity of ecosystems to absorb change.
 Provide an adequate standard of living for those who do not
have enough, in area of influence.
 Create conditions in which individuals
and groups can develop their
potential, enrich lives, advance
technology.
 Develop systems of governance which
promote and sustain these goals.
17
Prabhash Gokarn & Sahil Sood : Tata Steel
Key Principles
18
1. Leadership
2. Collaboration
3. Corporate Social Responsibility
4. Sustainability
5. Communication
6. Community Engagement
The Miner of the 21st Century must
know:
1. How to monitor emissions
2. How to protect the
environment
3. How to restore a mine site
back to other uses
4. How to get along with the
neighbours
Mining today is a balance of three elements:
1. Techno-economic issues
2. Environmental issues
3. Socio-political issues
Prabhash Gokarn & Sahil Sood : Tata Steel
– plan for the neighbourhood
– protect the environment
– plan for closure
– mitigate/restore the site
– sustain the communities
– sustain the company
 Before mining
 During operation
 After operation
At all stages…
1. Land degradation.
2. Deforestation.
3. Subsidence.
4. Air pollution.
5. Water pollution.
6. Soil Pollution.
Abandoned Mine X
Planned Closure √
Sustaining the
Community –
alternate employment
Rigorous Environmental
Impact Assessment
process
19
Prabhash Gokarn & Sahil Sood : Tata Steel
Key Challenges
 Setting up and expansion of mining operations
 Increase in workforce to support expansion
 Accommodating the workforce – impact on forest areas
 Impact of Operations on the environment
 Balancing Local and National interests – local livelihood v/s
mineral for development
 Immediate, short, medium and long term management
issues.
 Mine Closure….
20
Prabhash Gokarn & Sahil Sood : Tata Steel 21
Prabhash Gokarn & Sahil Sood : Tata Steel
Urgency for Sustainable Development
 Globalization means that many problems are no longer simply local or
national concerns.
 Growing evidence that ecosystems are seriously out of balance, posing
new and poorly understood risks.
 The problem of poverty is inseparably linked with global ecological
problems which cannot be solved unless people have a stake in the
outcome and the resources to manage the problems.
 Governance systems have not yet emerged for the reality of a
globalized economy.
 Increased awareness and expectations flowing from the new world
information regime.
22
Prabhash Gokarn & Sahil Sood : Tata Steel
Rewards of Sustainable Development
• Production consumption and living patterns consistent with
ecological balance.
• Dramatic reduction of the numbers of people living in poverty.
• Greater opportunity to develop individual and group potential.
• More open, cooperative, transparent and consensual systems of
governance.
23
Prabhash Gokarn & Sahil Sood : Tata Steel
Sustainable
Development
is Difficult
But the Rewards
are Immense
prabhash@tatasteel.com
24
http://qcfibhilai.in/uploads/presentations/P016%20Gokarn%20Sood%20Tata%20Steel%20Sustainable%20Development%20in%20the%20Mining%20Industry.pptx

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Sustainable Development in the Mining Industry - presentation at QCFI Bhilai

  • 1. Prabhash Gokarn & Sahil Sood Tata Steel Limited
  • 2. Prabhash Gokarn & Sahil Sood : Tata Steel Disclaimer The presentation is an amalgamation of author’s own views and thoughts. Tata Steel does not necessarily subscribe to the views and thoughts expressed in the presentation and should not be held responsible for the same.
  • 3. Prabhash Gokarn & Sahil Sood : Tata Steel Presentation Structure 1. Three Views on Development v/s Sustainability 4 - 8 2. Mining and Sustainability 9 - 15 3. Rational Development - “fair” to stakeholders 16 - 20 4. Sustainable Development : Need & Reward 21 - 24 2
  • 4. Prabhash Gokarn & Sahil Sood : Tata Steel ….a developer is one who is yet to build his house, champions of sustainability are already well ensconced in theirs…. 3
  • 5. Prabhash Gokarn & Sahil Sood : Tata Steel 4
  • 6. Prabhash Gokarn & Sahil Sood : Tata Steel First View .…. Mountain Pass Rare Earth Mine in California, United States. The mine, owned by Molycorp Inc., once supplied most of the world's rare earth elements. Chemical processing of ore stopped since 1998 and the mine was fully closed in 2002, in response to environmental restrictions . 5
  • 7. Prabhash Gokarn & Sahil Sood : Tata Steel Second View …. Description of Rare Earth Mining near near the city of Ganzhou, in in Jiangxi province, China : Miners use a chemical extraction process that involves digging several holes of just a few feet in depth and feeding pipes into the holes. A concentrated mixture of chemicals is then pumped through the pipes, leaching out rare earth metals as it passes. It is incredible that such a low-tech method is used to harvest minerals that are used in some of the world's most technologically advanced products… at any cost 6 Horrendous levels of pollution at Jiangxi
  • 8. Prabhash Gokarn & Sahil Sood : Tata Steel The Confused View…. CLOSEDKerala Mineral & Metals : In God’s own country, water heavily contaminated with monazite, iron fluoride and magnesium, high number of cancer patients. Unabated Production : Expansion Kudramukh Iron Ore Company : In Karnataka : mine has large iron ore deposits. Due to ecological concers, not operating since 2005…. 7
  • 9. Prabhash Gokarn & Sahil Sood : Tata Steel Hope yet, Convergence of the Debate.. MolyCorp has reopened MountainPass Mine since Aug’13 China Announces $1.6 Billion Pollution Fund…. Government has seized control of rare earth mining after finding widespread illegal strip- mining(Feb-14) INDIA ? 8
  • 10. Prabhash Gokarn & Sahil Sood : Tata Steel 9
  • 11. Prabhash Gokarn & Sahil Sood : Tata Steel …. Mining uses up the resources which promotes it, thus it must catalyze the development of other economic activities and also generate enough positive impacts to assist in sustainable development …. 10
  • 12. Prabhash Gokarn & Sahil Sood : Tata Steel Mining & Sustainability  Mining necessarily ends up depleting the resource it uses and is characterized by negative impacts.  However, it has significant potential for making positive impact. It is possible for mining to contribute to sustainable development through:  Enhancing the benefits while mitigating the negative impacts both when mining is taking place and subsequently as well as  Improving stakeholder participation in the management of the resources.  This is however easier said than done… 11
  • 13. Prabhash Gokarn & Sahil Sood : Tata Steel Sustainable development Sustainable Development is developing in such a way that future people will have “enough and as good”* * Phrase from John Locke, 1690 12
  • 14. Prabhash Gokarn & Sahil Sood : Tata Steel Sustainable Development Development that :  meets the needs of the present without  compromising the ability of future generations to meet their own needs a) How much into the future b) Are we underplaying the role of technology? 13
  • 15. Prabhash Gokarn & Sahil Sood : Tata Steel 2014 2025 2050 2075 2100 D = Development : e.g. Development of a Mine Must we sacrifice just as much for people in the far future as for people in the near future? D Why must we leave as much and as good for future people? What if that requires us to sacrifice money, work, time, satisfaction, etc. How Much Into the Future ? 14
  • 16. Prabhash Gokarn & Sahil Sood : Tata Steel Two Views? Defenders of Future People Earth’s resources belong to all, no matter when they “arrive”. Locke (1690) We have borrowed the earth from our Children…. - Can’t create new land - Conservation of biodiversity - Population control Discounters of Future People We should sacrifice “less for them” – not “should totally dismiss”. Nearer future people are closer relatives of ours, so we have stronger obligations to them. Future people will be richer than us; poor don’t have to help rich. They will have technology we can’t predict. Development 4 15
  • 17. Prabhash Gokarn & Sahil Sood : Tata Steel 16
  • 18. Prabhash Gokarn & Sahil Sood : Tata Steel Rational Development will….  Stay within the capacity of ecosystems to absorb change.  Provide an adequate standard of living for those who do not have enough, in area of influence.  Create conditions in which individuals and groups can develop their potential, enrich lives, advance technology.  Develop systems of governance which promote and sustain these goals. 17
  • 19. Prabhash Gokarn & Sahil Sood : Tata Steel Key Principles 18 1. Leadership 2. Collaboration 3. Corporate Social Responsibility 4. Sustainability 5. Communication 6. Community Engagement The Miner of the 21st Century must know: 1. How to monitor emissions 2. How to protect the environment 3. How to restore a mine site back to other uses 4. How to get along with the neighbours Mining today is a balance of three elements: 1. Techno-economic issues 2. Environmental issues 3. Socio-political issues
  • 20. Prabhash Gokarn & Sahil Sood : Tata Steel – plan for the neighbourhood – protect the environment – plan for closure – mitigate/restore the site – sustain the communities – sustain the company  Before mining  During operation  After operation At all stages… 1. Land degradation. 2. Deforestation. 3. Subsidence. 4. Air pollution. 5. Water pollution. 6. Soil Pollution. Abandoned Mine X Planned Closure √ Sustaining the Community – alternate employment Rigorous Environmental Impact Assessment process 19
  • 21. Prabhash Gokarn & Sahil Sood : Tata Steel Key Challenges  Setting up and expansion of mining operations  Increase in workforce to support expansion  Accommodating the workforce – impact on forest areas  Impact of Operations on the environment  Balancing Local and National interests – local livelihood v/s mineral for development  Immediate, short, medium and long term management issues.  Mine Closure…. 20
  • 22. Prabhash Gokarn & Sahil Sood : Tata Steel 21
  • 23. Prabhash Gokarn & Sahil Sood : Tata Steel Urgency for Sustainable Development  Globalization means that many problems are no longer simply local or national concerns.  Growing evidence that ecosystems are seriously out of balance, posing new and poorly understood risks.  The problem of poverty is inseparably linked with global ecological problems which cannot be solved unless people have a stake in the outcome and the resources to manage the problems.  Governance systems have not yet emerged for the reality of a globalized economy.  Increased awareness and expectations flowing from the new world information regime. 22
  • 24. Prabhash Gokarn & Sahil Sood : Tata Steel Rewards of Sustainable Development • Production consumption and living patterns consistent with ecological balance. • Dramatic reduction of the numbers of people living in poverty. • Greater opportunity to develop individual and group potential. • More open, cooperative, transparent and consensual systems of governance. 23
  • 25. Prabhash Gokarn & Sahil Sood : Tata Steel Sustainable Development is Difficult But the Rewards are Immense prabhash@tatasteel.com 24 http://qcfibhilai.in/uploads/presentations/P016%20Gokarn%20Sood%20Tata%20Steel%20Sustainable%20Development%20in%20the%20Mining%20Industry.pptx