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Photo: Maíra Irigaray / Amazon Watch

Holding Brazil accountable for the Belo Monte Dam

When fully operational, Belo Monte will be the third-largest dam in the world, constructed in one of the most important ecosystems on the planet: the Amazon rainforest. It sits on the Xingu River in Pará, a state in northern Brazil. The reservoir will cover 500 square kilometers of forest and farmland—an area the size of Chicago.

For the people of the Xingu, construction of Belo Monte has meant loss of access to water, food, housing, work and transportation. At least 20,000 people have been displaced.

The government and construction consortium began to construct the dam without first consulting the people of the region, many of whom are indigenous. They flouted international human rights law, which requires the free, prior and informed consent of affected indigenous communities. Brazil also failed to comply with precautionary measures issued by the Inter-American Human Rights Commission, which were intended to protect the life, health, and integrity of local communities.

Though Belo Monte began operations in May 2016, it is not yet operating at full capacity. In April 2016, a federal court suspended the dam's operating license because the consortium in charge did not complete basic sanitation works in Altamira, the city nearest to and most affected by the dam.

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Peru’s efforts to require La Oroya clean up should not be chilled by investment arbitration

San Francisco, CA – The following is a statement from the international organizations Earthjustice, the Inter-American Association for Environmental Defense (AIDA), the Peruvian Society for Environmental Law (SPDA), and Public Citizen: In 1997, Doe Run Peru (DRP), an American company, bought from the government of Peru a metallurgical complex located in La Oroya, Peru.  As a condition of the purchase, DRP agreed to comply with a number of environmental requirements aimed at protecting the environment and health of the local population.  For 15 years, Doe Run has failed to fulfill these commitments.  Now, rather than live up to its responsibilities, DRP and its parent company, the Renco Group, are using questionable legal and political tactics to continue to avoid its commitments—most prominently through an international arbitration case against the State of Peru.  In 2011, the Renco Group brought a claim in an international arbitration tribunal for US $800 million against the State of Peru, alleging Peru’s non-compliance with and failure to honor its legal obligations. However, Peru should not be deterred from its efforts to require the company to clean up La Oroya.  Here are just a few of the reasons why: 1.    Even if the Peruvian Congress were to grant DRP another PAMA extension, the liability claims in Renco’s arbitration case against Peru would remain because Doe Run’s case against Peru involves more than the PAMA extension contemplated in the proposed law.  The Peruvian legislature is currently debating a bill to extend Doe Run’s environmental remediation obligations (known by its Spanish acronym, PAMA) for a third time.  The legislature’s Energy and Mining Committee quickly approved the bill.  However, policymakers should not presume that Doe Run will drop its arbitration case against Peru if the legislature grants the extension. Indeed, the company is likely to find it advantageous to keep the investment case going (or launch new ones) in order to pressure the government through the international arbitration proceedings. 2.    The company is using the investment arbitration to insulate itself from penalties in a case in Missouri courts.  In 2007, attorneys filed lawsuits in Missouri (where Doe Run is headquartered) on behalf of children in La Oroya alleged to have experienced serious health problems from exposure to toxic pollution from the smelter in Peru.  In a similar case resolved last year regarding harms to 16 children from Missouri, the Missouri court awarded the children US $358 million.  In the aforementioned 2007 case about La Oroya in Missouri, DRP has insisted that the Peruvian government—not the company—should be held liable for these tort claims (even though the children are only claiming damages that occurred after Doe Run purchased the smelter). Therefore, the company will likely attempt to keep its international investment arbitration case alive until the Missouri case is resolved, so the Renco Group can use the arbitration to force Peruvian taxpayers to pay any penalty awarded against DRP. 3.    The Renco Group is using the arbitration case to move the Missouri case to federal court and evade liability.  Doe Run has aggressively tried to derail the Missouri case by insisting that the La Oroyan children’s claims be heard in US federal courts, where it appears Doe Run believes it is more likely to win the case.  Twice, the Missouri judge refused to allow the company to do so.  After launching the international investment arbitration against Peru, however, Doe Run made a new argument, and convinced the judge to move the La Oroyan children’s case to US federal court, which has jurisdiction over treaty-related claims.  The Renco Group has an incentive to keep the international arbitration pending against Peru—regardless of whether the Peruvian legislature extends the PAMA—in order to maintain its argument that the case belongs in federal court 4.    Giving in to the threat of the international investment arbitration would set a bad precedent for Peru and the world.   As explained above, DRP is using the investment arbitration to serve many different interests.  In each case, the common factor is that the arbitration threatens to make Peru—and Peruvian citizens—responsible for the contamination in La Oroya and any resulting penalties.  If Peru responds to this threat by giving DRP special treatment at the expense of the children of La Oroya, it will send a message to DRP and multinational companies around the world that such threats are effective.  This will weaken Peru’s ability to protect its interests, including the environment and human rights, in the face of corporate misbehavior. 5.    DRP is using false arguments to try to shift the blame to others.   In addition to the arbitration claims, DRP has long argued that Activos Mineros—a state-owned firm—should complete its PAMA obligations to remediate soils around the complex.  Now DRP is claiming unfair treatment because Activos Mineros has not yet been required to do so.  This argument makes no sense.  It is well known that cleaned soils will quickly become re-contaminated if nearby smelter pollution continues.  In Missouri, the authorities calculated that soils near the Doe Run smelter would be re-contaminated only a few years after Doe Run had remediated them at a cost of millions of dollars.  Doe Run is well aware of this, yet argues that Peruvian taxpayers should spend millions of dollars cleaning soils in La Oroya that would be re-contaminated in mere months if the smelter were to reopen without first installing all necessary pollution controls.  This would be a waste of resources and would not solve La Oroya’s health problems.  Activos Mineros should indeed remediate the soils.  But it makes no sense to do so until either DRP completes installing the control technology it has promised yet failed to deliver for 15 years, or after a decision is made to permanently close. The government of Peru should take these facts into account and make sure that it does NOT allow Doe Run to pressure it into reopening the complex in La Oroya.  The government of Peru needs to ensure it is considering and protecting not only the rights of the workers, the economy of the region, and the health and human rights of the citizens in La Oroya that would be harmed by reopening the complex, but also protecting the national economic interests.  Reopening the complex without clarifying the responsibilities for third party claims from cases such as the case pending in Missouri, would be folly and pose a significant economic risk for the nation.  This could even result in economic costs for the people of Peru that exceed the benefits obtained from operating the complex. If the Peruvian legislature believes that it can or should extend the PAMA, it should insist on at least three non-negotiable positions. First, that the Renco Group drop its international arbitration claim.  Second, that Doe Run agree that it will assume any liability in Missouri related to contamination stemming from the smelter in La Oroya.  Third, that DRP complete all of its environmental requirements—before starting any operation—so that Peru can begin its soil remediation efforts and protect the health and human rights of the children of La Oroya. Every day that the fate of the La Oroya metallurgical complex remains undecided without a final solution to the contamination, the citizens of La Oroya suffer grave health risks which in turn increase the harms for which both DRP and the government of Peru could be held liable.

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Environmental law and women

By Natalia Jiménez, legal advisor, AIDA The role of environmental law is weak on gender. This can be seen in Latin America where there is constant approval of economic and development plans affecting the female view of the world, and that could lead to new ways of violating our rights. Just like with ethnic communities, there are social groups with unique values of environmental protection, and to protect these ways of thinking is to protect the environment. Women play a decisive role in the protection of the environment in a distinct and particular way.  While not the same for all and while many women may not feel the need for this recognition, the way of understanding nature or creation on the one side and environmental damage on the other is different between men and women. This is a reason why we promote a variety of proposals for environmental management.  There are a lot of good books on this in Spanish.  Here are three: a) “Abrazar la vida. Mujer, ecología y desarrollo,” by Vandana Shiva, published in Uruguay, b) “Desarrollo y feminización de la pobreza” and “Ecofeminismo: hacia una redefinición filosófico-política de ‘Naturaleza’ y ‘Ser humano,’” both by Alicia Puleo and published in Spain. >The experience of Ecuador in protecting the moor ecosystems> is >a beautiful and inspiring example of a female environmental fight in Latin America. It also is proof of what has been said, such as that >women are the best defenders in negotiations on climate change> and that >their ideas are even more effective and sustainable when it comes to fighting hunger and poverty>. But while ethnic groups have gained a good degree of legal defense through prior consent, numerous social groups are still waiting for creative lawyers with the capacity to defend their visions in the courts. Prior consent allows ethnic groups to make decisions about plans or legislative initiatives that affect their territories in order to protect their cultural, social, and economic integrity. It is a right that has been >recognized> in countries like Colombia. In Latin America, the social aspect that comes up most in big legal battles for environmental protection is the right of ethnic groups to prior consent over a development project that could damage their existence and culture.  But little to nothing has been said in the courts on the illegality and social inconvenience of such a project violating women’s rights and their vision of the world. We need legal tools as jurisprudential precedents to make it possible to litigate and determine, for example, that a development plan is or could represent discriminatory action against women. I am not talking about multiplying the number of existing mechanisms for participation in decision-making or the number of women involved or making decisions.  We need laws that set precedents to protect the environment based on the female view of the world.  We need more creative legal tools that, like prior consent, can incorporate the environmental values of women into local and global environmental practices in a real and efficient way.

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Coral reefs in Latin America: A natural spectacle at risk

Gladys Martínez de Lemos, legal advisor, AIDA Twenty five percent of all marine species have lived at some stage in coral reefs. In Costa Rica, these reefs are under threat from deforestation and other human activities. Coral reefs help maintain balance in the marine environment. They are home to many marine species for human consumption, they protect coasts from erosion and hurricanes, and they offer coastal communities a source of income from diving tourism. But a lack of clear policies and regulations is threatening their survival.  These natural wonders help balance the ecosystem by providing a source of food to superior organisms, thus forming vital food webs. Their environmental value is so significant that economists have estimated that a hectare of reef is worth over one million dollars per year.  Even though coral reefs cover about a tenth of the ocean floor, current estimates suggest that 25% of all marine species have lived in coral reefs at some stage of their life cycle. Despite this, coral reefs are under threat in Costa Rica and elsewhere from ocean acidification, destructive fishing practices, unsustainable coastal development, and pollution, among other factors.  According to the Costa Rica's 15th State of the Nation Report, the loss of 75% of live corals in the Cahuita Reef is mostly due to sedimentation caused by basin deforestation and other human actions.  Governmental inaction It's evident that coral reefs are endangered. There are no clear and widespread policies and regulations to deal with this issue; there are no mechanisms for the control, monitoring or even protection to preserve coral reefs.  Even current international obligations on coral reef protection are overlooked. This can no longer be. Marine biodiversity and ecosystems must be preserved for future generations to see the beauty and diversity of coral reefs. We all have a son, nephew or cousin who we want to have the opportunity to enjoy the richness of the coral reefs, or the chance to savor fish and their valuable protein.  Most Latin American countries and their decision makers have not yet created special laws to protect the coral reefs.  They face a huge challenge -- and responsibility -- to protect the reefs.

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