Environmental legislation, economic growth and risk in minerals development The Bolivian case

This paper examines the General Environmental Law of Bolivia which was recently passed by its Congress. It is a multi-purpose law with two primary objectives: (i) the protection and conservation of the environment; and (ii) the promotion of sustainable development. In this law, environmental benefits are emphasized by stating general principles, not by attempting to define the means. Regulations setting forth the means are left to the writing of subsequent complementary codes. This paper shows that much of the controversy surrounding the legislation disappears when it is seen as a guideline rather than an operational part of Bolivia's industrial policy. In essence, the law addresses environmental awareness in a region that is more anxious than ever to speed economic growth.