Economic impacts of mining

The mining industry can be critical to a nation's economic well-being. Impacts may be felt on a national or regional level, with their significance dependent in part on the resources under development as well as existing government policies. This paper examines typical economic consequences of mining and how such impacts are being felt in the so-called transitional economies of Asia and Europe. Clearly, while mining continues to play an important role in the economies of Russia, China, Vietnam and other transitional nations, the nature and impacts of mining are different by virtue of years of centralized planning in the industry and the use of non-economic measures of efficiency. The changing character of mining is today opening up new opportunities for foreign investment and technology assistance.     

The mining industry in the European Union: Analysis of inter-industry linkages using input–output analysis

Input–output modelling is a useful tool in policy analysis and economic planning. This methodology is used to detect the inter-industry linkages known as forward and backward linkages. Examination of these measures provides one mechanism for identifying “key” or “leading” sectors. The main objective of this paper is to measure the linkages of the mining and quarrying industry in the European Union (EU) and to determine if any of the industry subsectors can be considered key sectors. The paper shows that three subsectors can be considered key sectors: the mining of coal and lignite and extraction of peat in Germany; mining of metal ores in Sweden; and other mining and quarrying in Austria, Denmark and Spain. These sectors are more stimulated by overall industry growth than other sectors and have greater impacts in terms of investment expenditures on the national economy than other sectors. The values of the forward and backward linkages show that the mining and quarrying is an industry that would be stimulated by an increase in a regional economy's production more than other sectors, while an increase in the mining and quarrying industry's output would not stimulate this regional economy more than an increase in other sectors.     

Ghana: revival of the mineral sector

After almost two decades of decline, Ghana's mineral sector has rebounded significantly and is currently the main foreign exchange earner. Gold mining is the principal activity within the sector and accounted for 41 percent of total export earnings in 1996. This paper presents an overview of Ghana's mineral industry and covers mineral resources, production and reserves; mining investments; the role of mining in the economy; and the structure of the industry. An overview of the national mineral policy is also presented to depict the current regulatory and fiscal environment in which the industry operates. The spectacular reversal in mineral sector performance can be attributed to the adoption of World Bank recommendations in a new national mineral policy, the 1986 Minerals and Mining Law, aimed at revitalizing the sector.     

Informal coal mining in Eastern India: Evidence from the Raniganj Coalbelt

Unauthorized mines are not uncommon in mineral-rich regions of poorer countries, and India is no exception. Whether they constitute merely a law and order problem including safety issues, or there are important social and economic questions involved has yet to be thrashed out. The mining industry, at regional, national and international levels, is ambivalent towards such mining, tending to draw attention away from their informal nature to the size factor.
This article looks into the problem of such informal mining in the light of empirical surveys in eastern Indian collieries. These are called peoples' mines and they serve a significant purpose in local economies. The article's thesis is that peasant communities are trying to claim back a portion of the local resources lost to them through appropriation by mining companies thus re-asserting their traditional rights to local mineral resources. In conclusion, the need for a new moral economy for mining regions is stressed: an economy in which local communities will play a powerful role.     

我国环保产业关联效应的投入产出分析

本文通过对比2007年与2012年投入产出表中环保产业与国民经济42个产业部门间的关联程度及结构的变化,分析得出环保产业的发展现状及产业关联结构有所优化。"环保产业不环保"的现状已有一定的改善,而"环保产业不服务于环保"的现象仍有碍于环保产业投资效率的进一步提升,大部分环保投资仍在中间生产过程中被消耗,产业生产效率水平较低。因此,政府应通过扩大环保技术投资、强化环境规制等政策打好产业组合拳,促进社会资本投资在加强环保产业内部竞争方面的综合作用,从而提高环保产业自身的价值创造能力,促进环保投资效率的提高。     

Patience is a virtue: Problems of regulatory governance in the Indonesian mining sector

Mining investment in Indonesia has been at a standstill for a decade. Clearly. international mining companies regard the country as a high risk destination for capital. Yet Indonesia is one of the most highly mineralised countries in the world and has expressed a desire to increase investment in the sector in the coming years. As a first step in this direction the government has introduced a new mineral and coal mining law to replace the highly regarded Contract of Work system. The government argues that this new law will reinvigorate mining investment in the country. This paper suggests that the new mining law will do little to improve the situation. Indeed, it is unlikely that Indonesia will become a preferred destination for mining investment in the foreseeable future. Poor regulatory architecture, endemic corruption, and a lack of institutional capacity continue to be of concern to investors.     

Environmental regulation of exploration and mining operations in Asian countries

This paper offers a new perspective on the environmental laws in Asian nations affecting the exploration, mining, and reclamation activities of the mineral resource industry: the perspective of the senior government officials in those countries, whose job is to enforce these new environmental laws. The article presents the results of a 1998 survey of national environmental officials in Asia conducted by the Colorado School of Mines and the Metal Mining Agency of Japan. Officials in 10 diverse countries—Cambodia, China, Indonesia, Lao PDR, Malaysia, Myanmar, Mongolia, Philippines, Thailand and Vietnam—responded to a detailed questionnaire covering applicable laws, agencies, protected areas, covered mineral activities, financial assurance, environmental impact assessment, public involvement, environmental standards, permit and reclamation requirements.
The survey confirms that Asian nations are part of the global trend towards national government regulatory structures that balance mineral development objectives with environmental considerations. The survey also shows developing regulatory systems (some embryonic, some more mature) utilizing a combination of mining and environmental acts, and often an 'insider' perspective of the national officials administering the laws. While that perspective is not without its biases (not least the rigor of enforcement), it may nevertheless be of use in company planning. The emerging regulatory picture contradicts the conventional notion that it is the 'lower' level of regulation in Asia that is attracting foreign direct investment in mining.     

Malaysia's tin supply problems

The sharp decline in Malaysia's tin output has become a matter of serious concern. The mining industry has blamed ‘penal’ tax rates for the decline in development, but more important in discouraging new investment and prospecting are difficulties in obtaining new mining leases, and the insecurity created by government plans to restructure asset ownership so as to increase indigenous Malay participation.     

Mining development in sub-Saharan Africa

Mineral production from sub-Saharan Africa is an important contributor to the economy at the country, regional and global levels. As an example, in relation to global production, the region provides 40% of diamonds, 20% of bauxite and 20% of rutile. However, with two or three notable exceptions, the region's share of mineral production has been declining compared to that of other regions. Whereas in some cases ore reserve depletion has been a factor, the most important underlying cause has been the absence of an enabling environment to attract high-risk exploration investment and to support private sector mining development. There has also been insufficient re-investment by the region's state dominated mining enterprises. Overall, growth is unlikely to occur unless an enabling environment is created to secure and maintain the appropriate levels of investment. The World Bank has recently initiated an African Mining Policy Study with the objective of recognizing and then introducing required adjustment processes into the region's mining industry.     

新疆牧草生产现状、市场分析与产业化途径

草业在国民经济和生态环境中具有重要的地位和作用。新疆草产业在技术水平、资金投入、经营方式与理念上,与兄弟行业相比都存在着较大差距,与兄弟省区和发达国家比较,差距更加明显。草产业的发展必须融入市场、必须走产业化道路。草业要提升发展层次,适应自治区发展现代畜牧业的新势头,应当强化草业行政管理;加大财政支持力度;制定优惠政策、扶持龙头企业;建立农牧民自己的合作组织;提高草业生产的科技含量,重视优良牧草种子的生产和推广。     

Mining during the next 25 years: issues and challenges

This article examines possible future trends in the mining industry in the light of past developments. After a preliminary discussion, the article considers various aspects of demand, supply, corporate structures, geographic distribution of investment, and social and environmental factors influencing the minerals industry. Scepticism is expressed about the smooth, exponential growth envisaged by many commentators. Some risks are elaborated, and a digression about gold is included.
The article argues that, while the minerals industry has concentrated on reducing cash costs through technical innovation and productivity improvement, new approaches may be needed in future that are not directly linked to economies of scale. Contracting out is an interesting trend with major implications.
The view that the mineral industry's corporate structure is becoming increasingly concentrated is challenged. Developments in consumer countries as well as historical precedents strongly suggest a more diverse structure.
The spread of minerals investment from North America and Australasia, and the resurgence of foreign direct investment in minerals projects, are placed in context and discussed from the viewpoints of both companies and host countries.
Although the appropriate responses to many of these issues can only properly be made by governments at all levels, the industry has to play its part.     

Predicting impacts of major projects on housing prices in resource based towns with a case study application to Gladstone,Australia

The resources sector in Australia makes a major contribution to the national economy, and underpins employment and population in the mining and mineral processing towns. For those towns, rapid growth in employment can generate particular pressures in local housing markets because of the relatively large size of the industry and the small housing stocks involved. Through a case study of Gladstone, the study provides a dynamic five-step population and housing model, to estimate short to medium term mining impacts of major resource developments. The model includes both the direct and indirect labour force generated by new resource sector developments and their flow-on effects on population increases. Sensitivity testing has allowed for different levels of resource development, employment multipliers and labour inflows. Three different approaches have then been applied to predict the housing price impacts of the expected population growth.     

Copper Investment Policy in Chile 1973–1984

The present Government of Chile has retained under state ownership the large-scale copper mines nationalized by the Allende Government in 1971. At the same time it has pledged itself to open fully the Chilean economy to the free play of national and international market forces and to this end has elected to expand Chilean copper production by using foreign capital. The financial regimes created by the Government to attract such investment are described. Although the investment terms have been generous, the Government has not been as successful in attracting as much foreign investment as it had hoped. It is suggested that the Government could expand copper production more efficiently and at less cost to the nation by investing in the state-owned copper industry.     

Joint mineral ventures in the former Soviet Union: prospects, problems and realities

This paper traces the gradual opening up to foreign investment of the rich mineral endowment of the vast territory of the former Soviet Union, containing the world's largest mineral industry. It analyzes the current status of mineral joint ventures in some of the new Republics, including Russia, Kazakhstan, Tajikistan and the Ukraine, including new legislation and other measures taken by individual states to facilitate foreign investment, as well as prospects, risks and uncertainties associated with investment in FSU mining activities that may be encountered by foreign companies. A successful gold joint venture in Tajikistan is described and evaluated to provide an understanding of the many aspects of an operational FSU project.     

Small–scale mining in South Africa: Past, present and future

Mining is an important part of the South African economy and has been the driver of much of the economic development of the country. However, the small–scale mining subsector still has to realise its full potential. A small–scale mine has been defined as a mining activity employing less than 50 people and with an annual turnover of less than 7.5 million Rand and includes artisanal mines. Small–scale miners are involved in many commodities but there appears to be a bias towards gold, diamonds and quarrying for construction materials, including brickclays. Small–scale mining is regulated by the same legislation (i.e., for the environment, labour, mineral rights, exploration and mining permitting, and skills development) as large–scale mining, though compliance is low, particularly where artisanal mining in concerned. The effective participation of small–scale miners in the mining sector is hampered by their lack of skills, i.e., technical, business and management, and their limited access to mineral deposits, capital and markets. Some of these hindrances have been inherited from the imbalances of the colonial and apartheid eras and continue to act as barriers, making entrance to the industry difficult. For those who have entered the industry out of desperation, as is the case with most artisanal miners, their activities result in negative impacts evident in the inefficient, unsafe and environmentally unfriendly operations. With the advent of the new political dispensation in South Africa, a new era is dawning for the country’s small–scale mining subsector. This has resulted in a change of attitude and new government policies which have led to special programmes being put in place to promote the subsector. Intervention strategies for the support of small–scale mining (some of which are already in operation) include programmes for kickstarting mineral beneficiation and value–addition projects, development of appropriate technologies and skills and technology transfer. Proponents of small–scale mining see a well–regulated industry as being the cornerstone of future rural economic development, particularly for previously disadvantaged communities in the poverty nodes.     

The investment climate for gold mining

This analysis compares the gold mining industry investment climate in the USA to the investment climate in Australia. These two major gold producing nation's industries share many similarities; in both the USA and Australia, there is evidence of a maturing gold mining industry. Each country has experienced a dramatic increase in gold production and, more recently, greater mining of refractory ore and development of more underground operations. In the 1980s both nations experienced a pronounced rationalization trend that consolidated some gold producing operations and eliminated others. Each country commands a disproportionately large share of exploration expenditures. Land access, a major concern in the USA, has also become a critical issue in Australia as well. For all their similarities, however, the two countries have differences that are significant enough to influence mining company investment decisions. This paper explores those differences and how they may affect the future course of these nations' gold mining industries. Both effective government policy making and corporate strategic planning will occupy a major role in the future course of the two nations' gold mining industries .     

加强矿产资源开发中对环境的保护与治理

矿产资源开发对促进国民经济的发展具有重要的作用,但与此同时也带来不少环境问题,如破坏土地和生态环境,在矿石采选冶中产生“三废”对周围环境严重污染,破坏水资源平衡,引发地质灾害等。因此,现在必须高度重视并加强矿产资源开发中对环境的保护与治理,使矿产资源开发与矿山环境保护协调发展。首先,应制订并实施各地区的矿产开发规划,根据环境容量等调整矿业布局和矿业结构,严格对矿山环境进行监测、监管;其次,应加强对矿山环境的调查和评价,加强矿山环境保护的科技研究,提高矿山环境防治技术水平并加速技术推广;最后,应加强矿山环境保护的宣传教育,使矿山环境在全体公民的参与和监督下得到有效的保护。     

环保中的博弈论

环境保护是我国的基本国策 ,采取何种措施保护环境使之更为有效是一个值得探讨的问题。应用博弈论分析了排污收费制度的可行性 ,指出此制度的不足之处 ,最后分析了新兴起的产业———环保产业投资中出现的一些特点 ,目的在于指出影响各环保措施效果的因素。     

Economic liberalisation, innovation, and technology transfer: opportunities for cleaner production in the minerals industry

The liberalisation of investment regimes for mining over the past decade is encouraging an inflow of foreign investment for mining and mineral processing projects in developing and former centrally-planned economies. This new investment is occurring at a time of technological change within the international mining industry as market and regulatory pressures lead the most dynamic firms to invest in the development or acquisition of new technologies and management practices. The effective transfer and assimilation of these technologies enable mining companies to combine gains in productivity with improvements in environmental management. Joint ventures and other strategic alliances between inwardly investing firms and the newly privatised or remnant state-owned mining enterprises may provide an effective vehicle for the transfer of the techniques for more productive and cleaner operations. Specific examples of innovative process and remediation technologies are analysed and it is suggested that the ability of innovative technologies to improve competitiveness and sustain best-practice environmental management in the recipient is linked to the transfer and effective acquisition of the capacity to manage the complex processes of technological and organisational change. The paper closes with some recommendations for further research directed towards a systematic examination of this hypothesis.     

Modeling the impact of revegetation on regional water quality: A collective approach to manage the cumulative impacts of mining in the Bowen Basin,Australia

In this paper we quantify the additional water quality benefits that can be achieved through coordinated cumulative impact management. To do this we simulate coordinated and un-coordinated revegetation investments and compare their impact on achieving regional water quality goals. Our results show that coordination between multiple mining companies achieves additional benefits since prioritization is enabled across a broader range of investment opportunities. Additionally, when coordinated investment is permitted beyond the boundaries of coal mining leases, results show that additional benefits are greatly enhanced since these regions provide more rewarding investment opportunities. Results illustrate (a) how regional coordination may influence reputational benefits of investments, and (b) that coordination is beneficial when investment opportunities are unevenly distributed across the landscape. When additional benefits are achievable, we suggest that mining companies should develop collective investment projects with an understanding of how coordination influences project costs. Similarly, investment projects should be developed with an understanding of investment tradeoffs and how these may adversely impact on regional stakeholders and hence industry reputation. The mining industry has significant potential to contribute to regional wellbeing; however, land management policies must be flexible and promote incentives to enable companies to invest beyond compliance.