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Afghanistan mining sector lacks safeguards, warn campaigners

pakistani342

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original article on the Guardian here excerpts below:

A new British-supported law regulating Afghanistan's valuable mining sector does not offer enough protection against graft, a campaign group has warned. The warning came as a senior UK minister admitted that Afghanistan could be vulnerable to the "resource curse" that has left other resource-rich developing countries scarred by corruption or unsustainable extraction.

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Afghanistan boasts deposits of everything from iron ore to emeralds, copper, lithium and natural gas, which Greening said could be worth up to $3tn. The international community, currently staring down an annual bill of $4bn just to support the Afghan police and army, is almost as keen as Kabul officials to start digging up the underground treasures.

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But landlocked Afghanistan still lacks many of the essentials needed to get gems and ore to markets, from basic transport infrastructure to a skilled population to run the mines.

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Even before serious work has started on the two biggest prizes, a copper deposit secured by a Chinese miner and an iron ore one claimed by an Indian company, there have been reports of conflict at government concessions and illegal mining elsewhere.

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Local police commanders in eastern Kunar have been extracting chromite without licenses but with foreign help, a recent report from Integrity Watch Afghanistan warned, while a coal tender to a Chinese firm in central Bamiyan left locals out of work and winter fuel.

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The British government supported the drafting of a new mining law meant to bolster the likelihood of this happening, but it has been stranded in parliament for months.

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Global Witness's has published a report entitled A Shaky Foundation, which analyses Afghanistan's mining law. It warned that from a financial point of view there is no requirement to publish details of smaller contracts, suggesting the government might be planning to row away from a widely praised requirement to make details of almost all mining deals public.

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It also appears to allow mining firms unlimited use of water, which is very likely to spark conflict in an arid country where even small streams are zealously guarded.

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"Militias implicated in human rights abuses have already been profiting from chromite and other resources. Remaining gaps in the mining law need urgent attention in order to guard against abuse and the loss of much-needed revenue for the country," said Stephen Carter, Afghanistan campaign leader for Global Witness.
 
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