The Peruvian Congress voted 87 in favor, 20 against and 12 abstentions to pass a bill on November 29 that extends for six months the program that grants temporary permits to small-scale informal miners. The program, which has been extended several times before, was set to expire on December 31, and the new bill extends the deadline to June 30, 2025 on a one-time basis.
The temporary licensing scheme was designed to provide informal miners with a legal way to operate while helping them to transition to formal miners while meeting environmental and technical standards. However, since its inception in 2012, only a small percentage of Peru's estimated 500,000 informal miners have been formalized. As a result, the extension of the program has raised concerns that informal miners are taking advantage of loopholes to continue operating illegally while avoiding proper regulation.
Profit incentives from the continued rise in international metal prices, a general increase in unemployment, and weak government regulation have contributed to the proliferation of illegal mining in Peru. In areas such as Madre de Dios, Puno, La Libertad and Ica, illegal mining has caused serious problems of deforestation, mercury pollution and land rights conflicts. Critics argue that the extension of temporary mining permits will exacerbate these environmental problems unless stronger enforcement mechanisms are put in place.
In order to address the misuse of temporary mining permits, Peru's government should provide stronger support for the formalization process of artisanal and small-scale mining, while responsible mining practices could be promoted through educational programmes and relevant training. For mining companies going abroad to Peru, the management of miners should be strengthened within the legal framework to better balance the economic benefits of mineral extraction with the need for sustainable practices.
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