By Mark DaCosta- The Guyanese gold-mining sector, a cornerstone of the national economy, has come under intense scrutiny following a recent press release from the Ministry of Natural Resources (MNR). Despite the sector receiving extensive perks, concessions, and privileges, the significant environmental and human costs associated with mining remain conspicuously unaddressed.
On 31st July 2024, the MNR outlined various incentives provided to the gold-mining industry, including tax reductions, duty-free concessions, simplified licensing arrangements, and expanded mining territories in contentious areas such as the Marudi Mountains. However, the press release failed to acknowledge the adverse impacts on the environment and indigenous communities.
The Environmental Protection Act of 1996 mandates Environmental Impact Assessments (EIA) and Environmental Permits (EP) for all mining operations. Yet, the Guyana Geology & Mines Commission (GGMC) has consistently neglected these requirements for small and medium-scale mining permits, which span millions of hectares. This regulatory oversight has led to the degradation of major rivers, turning them into health hazards due to illegal hydraulic mining and inadequate waste management practices.
The alteration of riverbanks and courses, primarily through illegal hydraulic mining, has exacerbated pollution. The River Navigation Act (1998) and the State Lands Act (1903/1972) stipulate penalties for obstructing river navigation, but enforcement remains lax. As a result, polluted sediments continue to spill into creeks and rivers, undermining water quality and biodiversity.
The Environmental Protection Act (1996) mandates that every mining operation undergo an Environmental Impact Assessment (EIA) and obtain an Environmental Permit (EP). However, enforcement of these requirements by the Guyana Geology & Mines Commission (GGMC) has been notably absent for years. Thousands of small-scale and medium-scale mining permits, covering millions of hectares, have been issued without proper environmental oversight, according to annual reports from the Guyana Extractive Industries Transparency Initiative (GY-EITI).
The gold-mining industry has also intensified long-standing land disputes with indigenous communities. Despite statutory protections, Amerindian land rights have been eroded, with mining claims often taking precedence. The Mining Regulation of 1905 and subsequent legislation assert the rights of Amerindians to “quiet enjoyment” of their lands. Nevertheless, cases such as Arau Village (2009) and Isseneru Village (2012-2013) highlight how mining concessions have been granted without community consent or due diligence checks, contravening the Amerindian Act of 2006.
The use of mercury in gold recovery has further compounded environmental and health risks. In 2008, it was estimated that 11.37 tonnes of mercury were used annually in mining operations. By 2013, mercury imports had surged to 35.82 tonnes, far exceeding national requirements, with allegations of smuggling into Suriname. Mercury pollution disrupts aquatic ecosystems, leading to bioaccumulation in the food chain, increased mortality, and reproductive failures in wildlife.
The Guyana Human Rights Association (GHRA) has called for urgent reforms to address these multifaceted issues. They emphasise the need for rigorous and transparent application of EIAs, regular inspections, and stringent penalties for non-compliance. Additionally, the GHRA advocates for prioritising mine-site restoration and enforcing robust environmental regulations to protect vital water resources and promote sustainable development.
The financial burden of mine-site restoration underscores the need for reform. A GGMC experiment estimated the cost of small-scale restoration at G$6 million, yet miners often regard the obligatory G$100,000 environmental bond as a fee for GGMC to undertake the restoration.
The current state of Guyana’s gold-mining sector, marked by environmental neglect, regulatory failures, and the marginalisation of indigenous rights, calls for a comprehensive reassessment of government policies and industry practices. The incentives extended to the sector appear unwarranted given the widespread illegality and adverse impacts. For Guyana to achieve sustainable development and honour its Low Carbon Development Strategy 2030, substantial reforms are imperative. The government must balance economic interests with environmental stewardship and the rights of its indigenous peoples to secure a more equitable and sustainable future.
