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Expert sounds further warnings over bauxite projects
  • By Quang Phong | dtinews.vn | March 01, 2013 03:35 PM
 >>  Bauxite projects pose environmental and economic problems

MA Pham Quang Tu, Deputy Director of Consultancy on Development Institute confirmed the grave warnings on bauxite projects in the Central Highlands region.

 
 Pham Quang Tu, Deputy Director of Consultancy on Development Institute

Nguyen Thanh Son, Director of the Song Hong Power Company, a subsidiary of Vietnam National Coal and Mineral Industries Group (Vinacomin), said the warnings about the bad effects of the bauxite mining projects being realised. What is your opinion?

Some of the things we were warned about have started to manifest themselves, while for others, it will take time before we know the real impacts.

In 2009 scientists from Vietnam Union of Science and Technology Association warned that the project would face USD30 million in losses each year. Now Son has affirmed this after his survey of Tan Rai Plant. Even Vinacomin admitted that they predicted huge losses and they did not know when they could expect any returns on their investment.

Another problem is the need for assistance in terms of infrastructure for mining and transport. Plans to build Ke Ga Port, which many of the mining projects were counting on, have been cancelled because of environmental effects. But transport by truck has its own concerns, such as damaging the road system and traffic and safety concerns.

What is your assessment of red mud processing technology after completing your field survey?

We carried out a field survey in September 2012 and saw that the two red mud lakes are quite firm and wouldn't leak. However, the mud does have the potential to spill over during seasonal heavy rains in the Central Regions. Another issue of concern is the dewatering process for bauxite residue and waste sludge. The project needs a larger ore reservoir or the waste sludge will spill over.

In response to warnings of financial losses, Vinacomin claimed that alumina prices would increase once the economy recovers and the project would have a beneficial long-term effect to the domestic economy. What's your opinion?

It's true. However, did they take into account all the expenses and adverse effects on the society and environment? We need to see specific figures. We also went to meet with local people who have yet to see any benefits.

There has been suggestions that Vinacomin should wait to see the further results before beginning construction of their next planned mine, Nhan Co. Some NA deputies even proposed that any bauxite mine projects in the Central Highlands be halted. What do you think?

From our experiences of the Tan Rai project, we can roughly estimate the losses and effects this type of mining project will have on surrounding areas. Scrapping the bauxite projects in Central Highlands is a bold proposal, but one that makes sense. Why should we continue with projects that we know will face losses?

Vinacomin wants to go ahead with the Nhan Co project because they have nearly completed it. I understand they have already invested a lot in it, but they must also be responsible for the consequences. In my opinion, Vinacomin should focus their attention on the existing Tan Rai mine. It will play a key role in the development of the bauxite-aluminum industry for Vietnam.

Do you have any worries about the development of this industry in the Central Highland making that region dependent on the exploitation of natural resources?

It's a common worry for us and many other countries. However, the authorities are trying to reform the economy as well as change the growth pattern to avoid these problems. The Central Highlands also needs to shift away from natural resource exploitation or the economy of the entire region will suffer.

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