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The existence of an extractive industry company in a community offers both opportunities and costs related to infrastructure. While in many cases, it can introduce or upgrade roads, transportation, electricity, water and sanitation either through direct provision or through tax or royalty payments to local government, extractive industry can also contribute to overburdening the existing infrastructure as a result of the in-migration and employment opportunities it creates. Companies, communities and local governments need to consider the long term sustainability of such efforts and the capacity required to manage infrastructure maintenance and distribution beyond closure. It is important to strike a balance in responsibilities so as not to produce dependency on companies, which not only makes planning for a self-supporting future impossible, but can also inflate expectations of company responsibility. Long term upkeep and maintenance of infrastructure need to be addressed at the outset in collaboration with local authorities and in accordance their local development planning. If, for example, companies can play a role in helping to provide power and water to the areas in which they operate, the authorities should be involved and their capacity to manage power distribution well understood by the company. The company should have an agreed exit strategy from the outset that is made available to all interested parties. Any direct support from a company should be built on the agreement that eventually the responsibility will be handed over to the government.

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Alcoa Invests Near Planned Mines
7 Apr 2008

[Access to full article requires paid subscription] JURUTI, Brazil -- The global commodities boom has spurred Alcoa Inc. to spend more than $35 million to bring a hospital, water system and technical skills to this remote jungle town.

The aim is to keep the peace while developing a mine that it hopes will supply 10% of the world's bauxite, a major ingredient for making aluminum.

Humanitarian efforts stemming from the New York aluminum company's Juruti investment marks a shift in the balance of power between Western mineral companies and residents of resource-rich countries. Growing demand from nations like China has sent Western companies to more remote and ...

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Planning for Integrated Mine Closure: Toolkit

This document presents an Integrated Mine Closure Planning Toolkit for the mining and metals sector. The toolkit is intended to be used to promote a more disciplined approach to integrated closure planning and to increase the uniformity of good practices across the sector. The concepts apply equally well to both large and small companies.

 

 


Dynamic Mineral Resources Management: Anosy Case Study
November 2006, Michael Stanley and DeVerle Harris | World Bank Group: Oil, Gas and Mining Policy Division
The proposed World Bank’s Dynamic Mineral Resources Management system approach provides for holistic integration of mineral potential and infrastructure development, and the corresponding impacts of the two on the systems around them.

Modifying Infrastructure Procurement to Enhance Social Development
February 2007, Engineers Against Poverty (EAP) & Institution of Civil Engineers (ICE)
The aim of the study is to identify opportunities to improve the delivery of social development objectives by modifying the way in which infrastructure projects are procured. The focus of research is public procurement of infrastructure in low and middle-income countries. This is an opportune time for such a study as investment in infrastructure is set to increase dramatically in the developing world in the near future.

Private Sector Development in Reintegration and Reconstruction Programmes
March 2006, GTZ | German Federal Ministry for Economic Cooperation and Development (BMZ)
This paper develops a framework for private sector promotion in post-conflict environments. It begins by analysing the evidence that draws the link between economic development and conflict. This is followed by an encapsulation of current trends in economic development. The purpose is to establish the broader range of private sector development options under normal circumstances. Post-conflict conditions are then examined to narrow down the field of potential interventions. This includes a brief survey on current approaches to emergency aid, reconstruction and reintegration programmes. The resulting framework for private sector development incorporates the intersection of short-term reconstruction processes and long-term economic development strategies.

Mainstreaming Conservation in Infrastructure Projects: Case Studies from Latin America
June 2007, Juan D. Quintero | The World Bank Group

This report exemplifies the kinds of win-wins that can be devised in large infrastructure projects when accounting for both direct and induced impacts on biodiversity, natural habitats, and ecosystem functions. The paper summarizes the results of an in-depth analysis of eight case study projects from the LCR region that demonstrate the significant potential for achieving substantial environmental benefit through infrastructure investments. Close evaluation of these successful experiences reveals that win-win outcomes can be achieved by carefully planning and executing conservation actions throughout the project’s lifetime.

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