Time to settle mine dispute
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Time to settle mine dispute

Now is a critical time for the government to fight tooth and nail in the Akara gold mine case saga that was brought to an international arbitrator. If defeated, the country will have to fork out 30 billion baht in compensation as demanded by the Sydney-based firm.

The case is expected to conclude in the next three to five months. Some staff of the gold mine reportedly told residents of the surrounding site in Phichit province that the case was expected to be settled by the end of this year and it was possible the operation would resume.

As arbitration hearings get under way, the government, via the Industry Ministry, has also opened negotiations with Kingsgate Consolidated, the parent company of Akara Resources Plc which operated the Chatree gold mine, which brought the case into the arbitration process against Thailand under the Thailand-Australia Free Trade Agreement.

The company's move came after the then coup-maker National Council for Peace and Order headed by army-chief-turned-PM Prayut Chan-o-cha ordered the company to suspend operations from Jan 1, 2017 due to environmental and health concerns.

Deputy Prime Minister Wissanu Krea-ngam told the media last week the government hopes the negotiation will be settled before the decision of the arbitrator comes out.

The negotiation effort initiated by Industry Minister Suriya Jungrungreangkit began late last year but it was discontinued due to the Covid-19 pandemic. The process has now resumed.

Four options were suggested in the negotiation: the government pays compensation to Akara for its mine shutdown; it allows the company to resume operations; both sides wait for the ruling from the arbitration panel; or the government pays part of the compensation and allows the company to continue mining.

Some media outlets reported that Mr Suriya proposed to the cabinet in March that it settle the legal case, paying the mine operator compensation. But Gen Prayut rejected the proposal as he believed the country could win the case.

Gen Prayut said earlier he will "take responsibility" for the legal dispute.

In fact, Thailand could win the case if the government is able to prove the mining operations resulted in negative impacts on the health and lives of local people.

In addition, the National Anti-Corruption Commission said last week it has found documents that suggested the company might have paid bribes to Thai officials to secure concessions and authorisation for gold mine explorations and operations in the country.

While the company denies claims it was involved in offering bribes, the details could still be used as new evidence to fight the case.

Whether the government goes through the arbitration process or settles the case through negotiation, it should make people's livelihoods and health safety the priority.

Blood testing indicates some 300 villagers have excessive levels of heavy metals and contaminants, such as manganese and arsenic, in their bodies.

As their natural water sources were contaminated, they were forced to buy water for drinking.

There are allegations that natural water sources which were once used for agriculture had dried up because of the mining operation.

Whatever option it takes, the government is obliged to dig into the bribery allegations, and see if there was any foul play that enabled the company to mine the area.

Those who abused their authority must be held accountable and pay the price.

Editorial

Bangkok Post editorial column

These editorials represent Bangkok Post thoughts about current issues and situations.

Email : anchaleek@bangkokpost.co.th

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