24 July 2007
Mining companies in Tibet told to pay exploitation deposits
(Xinhua) Chinese authorities in the TAR are planning to levy a deposit on mining companies that wish to exploit its mineral resources in an effort designed to regulate mining practices and minimise potential impacts on the fragile ecosystem. By the end of 2007, all mining companies will have to pay an amount that would not be refundable if their mining activities were to damage the local environment, said Wang Baosheng, an official in charge of land and resources in the Tibet Autonomous Region (TAR). Wang said the local environmental administration would evaluate any damage. "If there is severe damage to the vegetation, rivers and wetlands, the deposit money will be used to remedy the situation". He refused to reveal how much of a deposit each company would have to pay. "Relevant regulations are being made and the general principle is to give equal emphasis on environment protection and economic development", he said. The local investment bureau said mining had become one of the pillar industries in Lhasa after the Golmud-Lhasa Railway opened in July 2006. "Both could be detrimental to the environment", said Zhang Bifang, vice director of Lhasa Investment Bureau. She said the new regulations would expose mining companies to higher risks and only companies that fulfil their environment protection obligations would remain in the market.