Gradually raising environmental requirements in Chile the government plans to triple environmental fines

Published: Jul 12, 2019 13:22

Save

Chilean President Sebastian Pinera has made a series of changes to a bill introduced earlier this year that would impose harsher fines for serious violations of the country's environmental regulations. As part of the amendment, the government tripled the fine from the previous limit of $70, 000 to a maximum of $215000, and defined the scope of damage to the environment.

SMM7, 12 Feb: Chilean President Sebastian Pinera has made a series of changes to a bill introduced earlier this year that will impose harsher fines for serious violations of the country's environmental regulations.

As part of the amendment, the government tripled the fine from the previous limit of $70, 000 to a maximum of $215000, and defined the scope of damage to the environment.

Chile has traditionally imposed hefty fines on mining companies that violate environmental regulations.

In 2013, Barrick Gold Company (Barrick Gold) was fined $16 million, the highest fine to date.

In 2015, the Environmental Regulatory Agency (SMA) ordered Lumina Copper to pay a fine of $11.9 million, mainly for violations of mining license requirements, including contaminated groundwater supplies.

The gradual improvement of environmental protection requirements has also brought a certain impact on Chilean mining enterprises.

Chile's national copper company (Codelco) said that as environmental requirements gradually increased, the company's costs and capital needs also rose. And since March this year, the company has been facing a shortage of funds. "related news-the Codelco union has called on the government to provide permanent financial support to ease the company's financial constraints.

"Click to enter the registration page

Scan QR code and apply to join SMM metal exchange group, please indicate company + name + main business

Copper capacity price forecast output

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM's internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or for more information, please contact: lemonzhao@smm.cn

For more information on how to access our research reports, please contact:service.en@smm.cn

Related News

9 mins ago

Copper cathode inventories drop 16,600 mt, likely to remain low in the short term

According to SMM statistics, as of July 16, social inventories of copper cathode in major Chinese regions fell to 123,400 mt, down by 16,600 mt from July 13. The recent destocking was mainly due to unplanned maintenance at some smelters, reduced domestic arrivals, and the diversion of overseas supply to the US market, while imported copper remained limited. In the secondary copper market, substitution of copper cathode was weak owing to compliance reviews on invoices. Although demand entered the traditional off-season, with downstream users making just-in-time procurement, the larger contraction in supply is expected to keep inventories low in the short term. Notably, the ratio of cancelled warrants in LME copper inventories has continued to rise recently, and some of the cancelled material has been arranged for shipment to China, indicating that low domestic inventories and tight spot supply are gradually attracting overseas material back. While demand is in the off-season and downstream users are making just-in-time procurement, the supply contraction has been more significant, and inventories are expected to remain low in the short term.

9 mins ago

37 mins ago

Shandong spot copper market

SMM News: Spot supply in Shandong remains tight. Coupled with continuous destocking of copper cathode social inventory, the average spot copper price in Shandong stays high.

37 mins ago

43 mins ago

Tight Regional Spot Supply Pushes Prices Up Continuously [SMM Shandong Spot Copper Cathode Weekly Review]

43 mins ago