by BROOKE DENMARK
The striking jade greens and golden yellows visible in the stream photographed above are a result of acid drainage that will last for up 100 years. This is the water that communities near the San Martine mine use daily to bathe and wash laundry.
It is no secret that open-pit gold mines wreak havoc on the environment. Less widely known is the incredible amount of power free trade agreements have granted to gold-mining corporations to cause this damage.
Pacts such as The North American Free Trade Agreement (NAFTA) and the Central American Free Trade Agreement (CAFTA) include chapters that allow corporations to sue signatory nations for lost profits in the event that new laws, such as environmental or health regulations, threaten the corporation’s investment. This is exactly what is happening now in El Salvador.
A decision is imminent in the first case of its kind to be heard under CAFTA: Pacific Rim Mining Corp. vs. El Salvador. Anti-mining groups, environmentalists and trade justice activists throughout the Americas are poised for a response from the CAFTA tribunal, which could set a precedent for mega-projects throughout the region.
Pacific Rim, a Canadian-based mining corporation, is suing the government of El Salvador for violating its investor rights under Chapter 10 of CAFTA. The company claims that the government of El Salvador violated its investor rights by failing to issue a permit to begin operations. Since Canada is not a member of CAFTA, Pacific Rim is suing El Salvador under a U.S. subsidiary. The government of El Salvador acted in response to calls from a wide network of civil society groups, including communities potentially affected by the mine, environmentalists and the Catholic church, who rallied together to block the mine. They argued that the mine will contaminate El Salvador’s already limited water supply and cause serious environmental and health issues. Individuals involved in the movement have met violent repression for their opposition and the case is already stained with blood. Four Salvadoran anti-mining activists have been assassinated over the past two years. Those cases remain unresolved.
Alternatives International for more
(Thanks to Feroz Mehdi)