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NGOs slam mining lobby as Milei's 'omnibus' bill progresses in congress

Bnamericas
NGOs slam mining lobby as Milei's 'omnibus' bill progresses in congress

Socio-environmental NGOs have slammed what they claim are efforts by mining companies to lobby Argentine legislators to make the country's glacier law more flexible ahead of a vote on President Javier Milei’s so-called omnibus bill.

The widespread initiative, with which the ultra-right and pro-market government aims to reactivate the economy by reducing the role of the State, was approved in principle on Friday in the chamber of deputies by 144 to 109 votes, causing uproar among environmental NGOs.

Although now the modified text must be analyzed article by article before going to the senate, several environmental groups have criticized the bill as it would eliminate the role of state agencies in the care and protection of the environment and argue it would allow irresponsible exploitation of natural resources.

After an intense debate in the lower house, the original text was cut by almost half, particularly in matters related to privatization and delegated powers.

By not being specific about the glacier law, environmental groups claim the omnibus bill seeks to "authorize mining in currently protected areas, where there are glaciers and a periglacial environment, allowing for their destruction, harming the ecological balance and the quality of life of the communities," NGO CELS together with entities such as Amnesty International, the Argentine association of environmental lawyers and Greenpeace said in a statement on Monday.

The statement claims lawmakers have been influenced by the lobbying of transnational mining companies.

Marina Pera, associate analyst for the Southern Cone at global consulting firm Control Risks, told BNamericas that while previous president Alberto Fernández had a policy favorable to environmental protection to combat climate change, during his campaign Milei referred to global climate as a “socialist lie” and that Argentina would withdraw from all international climate agreements.

Although after taking office on December 10, leading figures in Milei’s government stated that the country would in fact remain committed to such agreements, "it is likely that we will see little progress in the coming years, since the government is not likely to introduce environmental regulations that restrict economic activities, such as mining," Pera said.

Regarding privatizations, Yacimientos Mineros de Agua de Dionisio – YMAD – was finally removed from the list of companies to be targeted under the omnibus law. YMAD is owned by Catamarca province, the Universidad Nacional de Tucumán and the Argentine State.

In addition to being self-sustainable, YMAD has helped finance infrastructure works and provides employment and services in the province, local media reported.

YMAD has gold and silver mining operations in Farallón Negro and Alto de la Blenda, and held the rights to the now exhausted Bajo La Alumbrera copper-gold mine that was operated by Minera Alumbrera, from which it received 20% of the profits. The company is still involved in the MARA project that looks to use the Alumbrera infrastructure. 

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