Newmont’s Conga Project in Peru Faces Uncertain Fate
In 2011, the The Newmount Mining Corporation started the Conga Project, an expansion of the Yanacocha mine in Cajamarca, Peru. However, numerous protests in the city of Cajamarca, located only 73 kilometers from the expansion project have paused the development of the project since the water supplies would be threatened. Because it would be an open-pit mine, there is a risk of water contamination. The protests and rallies that have taken place since, refusing the claims of President Humala who says it will generate jobs and tax revenues.
The Conga project is a very ambiguous proposition as it may benefit or affect communities radically, damage the environment and/or meet economic interests by boosting local and national economic systems. However, because of the number of anti-mining protests, in November 2011, Peru’s central government requested the project to be suspended. Consequently, independent experts reviewed the approved environmental impact assessment report of 2010 in order to help resolve the environmental viability of the Conga project. As a result, they concluded that an international standard assessment was needed and recommended some water management improvements.
Newmount has thus started a “Water First” approach, constructing reservoirs before building production facilitates or initiating mining. This involves building reservoirs on high-mountain lake areas to make sure water is available for the local communities and its supply will last until the end of 2013. However does this solve the problems that will be created when the Conga project is implemented?
In my opinion it wouldn’t. Although the Peruvian government will benefit greatly with the profit gained by expanding the mine, they disregard important social and ecological factors that play a crucial role in the future of the community.
There are various social impacts that this project will cause including but not limited to: increase migration of workers, higher rates of criminality, disruption of social communities and a change in the landscape of the environment surrounding the area. For those who hold on to the national and local loyalties they were born and raised in, or those who cannot move, or simply insist that they would like to change the world they live in instead of living in another world. This decision involves acting and speaking out. According to Hirschman, this is one of the ways in which members of societies behave in times of crisis, with their voice. This is what gives power to the people, who are able to voice out their opinions and oppose ideas and actions they do not approve of, creating a change in their world.
Peruvians Emigrating in Droves to Escape Inflation, Food Shortages and Rebel War
http://articles.latimes.com/1988-12-25/news/mn-1402_1_food-shortages
In 1988, due to food shortages, increased inflation reaching 1110%, and an extended rebel war, many Peruvians are exiting the country, with more than half of the country leaving if they could. 52% of Peru’s 21 million people would emigrate if they could economically afford to. Officials show that there has been an 80% increase in demand for passports that would allow citizens to leave the country. Due to the economic circumstances, it is difficult to find jobs and as a result the number of emigrants has been doubling every year, pushing people to leave the country to find jobs that could support them.
In 1986, 27,017 Peruvians emigrated while in 1987, 53,076 citizens left the country. About 15,000 of them have tried to emigrate to Canada, compared to 2,000 people who left in 1987. During the same time, there was a lack of hope for the younger generation due to the Shining Path terrorism war that was also affecting the economic downfall that led to job losses, long food lines and a 50% loss in the average worker’s purchasing power. As a result, most of the Peruvian emigrants are university graduates, since there are only adequate jobs for 30% of the students who graduate. This has caused many to want to emigrate to places like the United States, a country that pays higher wages, has a better political and economic system in place and is able to pay them enough to live securely, allowing them to leave times of stress back in Peru.
Due to the large number of people who are trying to attain a tourist visa to the United States, Canada and Mexico, a business in fake visas has been created and has boomed over the past few years. Clearly, this has been one of the only options Peruvians have had when dealing in times of crisis. Because citizens are technically free to move silently through the system, constantly forming and destroying relationships, they are able to—although with difficulty at this time— leave the country when they find themselves unable to participate in it. Exiting the country provides a warning sign of decline for Peru, especially for the state and government. Although citizens might want to voice their opinion to change this situation, they are unable to feed their families, putting their lives and future at risk, being an easier option to exit the country. Even after numerous times of trying to voice their opinion and change the world they live in, one reaches the point that they can no longer change the system and decide to then leave the situation they are living in.