A huge open cast coal mining project by a quoted British firm, that would displace up to 130,000 people in Bangladesh, is at the centre of an international row. GCM, a fast growing Aim-listed company, is behind plans to a dig up to 572 million tonnes of coal in a project that will displace people from Phulbari, in north-west Bangladesh, divert a river from its course, and destroy a mangrove forest that is a world heritage site. From The Guardian.

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The project has attracted widespread hostility. In protests against the proposal 18 months ago, three people were killed in an area now said to be controlled by the military.

Foreign Secretary David Miliband backed the project on a recent trip to the country, but more than 60 international campaign groups have written to the Asian Development Bank demanding it turns down a £100m loan to the scheme. 'We're putting pressure on GCM to withdraw from this shameful project,' said Murray Bentham at the World Development Movement.

GCM said: 'An extensive environmental and social impact assessment has been taken and continues to be improved.'

Meanwhile, The Age reports that residents of Phulbari and three adjacent upazilas have not received any response from the Asian Development Bank to which they expressed their apprehensions over an open-pit coal mine project in a letter signed by numerous concerned people.

In a letter dated December 15, addressed to the ADB's president and executive directors, the people of the four upazilas that will be affected by the coal mine requested the bank's officials to reconsider their decision to fund the coal mine project as proposed by a mining company, Asia Energy, a subsidiary of the UK-based Global Coal Management.

Representatives of labourers, peasants, indigenous peoples, women, traders and professionals requested the international financial institution to 'withdraw its support of investment and political risk guarantee for the Phulbari Coal Mine project.'

'We believe that this project will increase the poverty of the local population as well as cause environmental disaster,' they said.

The letter drew the ADB's attention to the fact that Asia Energy, the company that proposed the open-pit coal mine, was violating the ADB's environmental and social safeguards, the laws of Bangladesh, and ignoring the internationally recognised human rights violations associated with this project.

According to information provided by Gobinda Bar, the head of ADB's external relations in Bangladesh, a response to the community letter was sent on February 26, 2008.

But signatories of the letter told New Age on March 11 that they are yet to receive any reply to their letter. The disclosure policy of the Asian Development Bank, however, stipulates 'timely response to requests for information and documents no later than 30 calendar days after receipt of the request'.

MA Quayum, one of the 42 signatories, who represents the Phulbari Traders' Union, told New Age on Tuesday, 'None of the signatories have yet received any response to the letter we sent about two months ago.'

Saiful Islam Jewel, convener of the Phulbari chapter of the National Committee to Protect Oil, Gas, Mineral Resources, Power and Ports, also said he had not received any reply to the letter.

He said the opinions of the local residents were being consistently ignored.

'They hold seminars and discussions about the Phulbari coal mine all over the country except in Phulbari, and claim there is much public opinion in favour of the coal mine.'

Not having received any reply, the Phulbari community sent a reminder to the president and executive directors of the Asian Development Bank on March 8, drawing their attention to recent developments and reiterating their apprehensions.

Asia Energy's proposal for an open-pit coal mine will displace over 1,00,000 people of the mine area in the four upazilas. Some 70,000 people gathered in Phulbari on August 26, 2006 to protest against the project when law enforcers opened fire killing three people.

Several hundred were injured during the clashes that ensued. The government was forced to sign an agreement on August 30, 2006 with the local people, pledging to cut any link with Asia Energy and prohibit open-pit coal mining.

Posted by collective at March 17, 2008 09:21 AM