1. National Policy Framework: Priorities, Data Collection, Management
Inter-Governmental Forum Mining, Minerals, Metals and Sustainable Development Michael Stanley, the World Bank Group
National Policy Framework:
Priorities, Data Collection, Management

2. 1. Mandate: Extractive Industries Review (EIR)
“Creating appropriate policy and regulatory frameworks for sustainable development of the minerals industry.”
1. Mandate: Extractive Industries Review (EIR)
2. Define: Policy and Regulatory Frameworks for Sustainable Development and a 4-Step model for application

3. Mandate: Extractive Industries Review
Strengthening governance and transparency: building capacity and ensuring revenue transparency at the national, regional, and community level
Ensuring Extractive Industries Reach the Poor:
Communities should benefit from the Projects that affect them
Develop consistent indicators of the benefits of EI
Build capacity in communities to monitor projects that affect them
Ensure that affected communities benefit from projects as broadly as possible
Mitigating environmental and social risks
only support EI that have the broad support of communities
November 8, 2005
World Bank Mining Policy Group

4. World Bank Mining Policy Group
Mandate: Extractive Industries Review
Promoting renewable energy and efficiency to combat climate change
Improving organizational coordination
Ongoing learning and review
Striking a Better Balance – The Final Report of the Extractive Industries: World Bank Group Management Response (September 2004)
“…. We (The World Bank Group) will continue to advise and help governments create appropriate policy and regulatory frameworks for sustainable development of the minerals industry.”
November 8, 2005
World Bank Mining Policy Group

5. Process: Learning from Experience
November 8, 2005
World Bank Mining Policy Group

6. Define: Policy and Regulatory Frameworks for Sustainable Development
4. Update Overarching Instruments:
Amend laws and policies to support benefits reaching local communities
Mineral Policy
Mining Law
Mining Regulations
Other Relevant Legislation
Assess Gaps (Country Specific):
Where laws and policies do not support local governance
Environmental Impact Assessment
Social Impact Assessment
2. Capture Best Practices:
At the project development level.
1. Linkages:
Define a framework for linkages between overarching laws / policies and project specific developments.
Environmental Management Plan
Social Management Plan
Community Management Plan
Community Agreement
November 8, 2005
World Bank Mining Policy Group

7. World Bank Mining Policy Group
Define: Policy and Regulatory Frameworks for Sustainable Development
MINERAL POLICY:
MINERAL POLICY: • •
guiding principles for current and future generations to use resources
guiding principles for current and future generations to use re • •
create an enabling environment for local and international inve
create an enabling environment for local and international investment in mineral
Mineral Policy
development, and production
development, and production • •
encourage governments, sponsors, and communities to work togeth
encourage governments, sponsors, and communities to work togeth
er to ensure that operations
are conducted in an environmentally and socially sustainable man
are conducted in an environmentally and socially sustainable manner by (i) avoiding, mitigating
or compensating for local impacts, (ii) facilitating effective c
or compensating for local impacts, (ii) facilitating effective c
ommunity consultation, (iii)
mandating effective community development plans, and (iv) using
mandating effective community development plans, and (iv) using
sustainability indicators to
track and report outcomes.
track and report outcomes. • •
ensuring local economic benefits, revenue sharing, and the tran
ensuring local economic benefits, revenue sharing, and the tran
sparent management of revenues • •
policies to make informed decisions through the collection of g
policies to make informed decisions through the collection of g
eological data and resource
assessment
assessment • •
regularize small scale mining and provide for adequate institut
regularize small scale mining and provide for adequate institut
ion and technical support of these
activities
activities • •
apply internationally accepted
apply internationally accepted “ “
safe guard
safe guard ” ”
policies to environmental and social protection,
policies to environmental and social protection,
indigenous peoples, and involuntary resettlement.
indigenous peoples, and involuntary resettlement. • •
promote the transition to a commercial basis state
promote the transition to a commercial basis state
owned enterprises and those reliant on the - -
government
government
November 8, 2005
World Bank Mining Policy Group

8. Step 1: Linkages Between Overarching Policies and Laws and Project Specific Development
Other Relevant Legislation
Mineral Policy
Mining Law
Mining Regulations
A company’s development, operational, and initial closure plans
Licensing
Social Management Plan
Social Impact Assessment
Environmental Management Plan
Environmental Impact Assessment
Consultation Framework
Company
Sector Ministry
Community Management Plan
Community Agreement
November 8, 2005
World Bank Mining Policy Group

9. World Bank Mining Policy Group
Step 2. Capture Best Practices at the Local Level
Community Consultation Framework
- Assess and assign roles and responsibilities of the government, companies, NGO’s, donors, and local affected communities
Community Development Plan
- Integrated Regional Economic Development including land-use planning, social welfare, institutional frameworks for revenue management
Stakeholder Analysis
November 8, 2005
World Bank Mining Policy Group

10. World Bank Mining Policy Group
Step 2. Capture Best Practices at the Local Level – Community Consultation Framework
• affected communities – where prioritized needs and objectives have also been prepared;
• companies – committing to roles and responsibilities on key economic, environmental, and social programs.
• national / regional government planners – defining how the resource development fits within an integrated land-use and economic development strategy;
• national regulators and policy makers – defining mechanisms for the sharing of economic resource benefits;
• NGO’s and donors – integrating proposed measures by the resource development with broader social / health needs and objectives of affected communities;
• measures to achieve sustainability during the life of the operation and post-closure.
Community Consultation Framework
- Assess and assign roles and responsibilities of the government, companies, NGO’s, donors, and local affected communities
November 8, 2005
World Bank Mining Policy Group

11. World Bank Mining Policy Group
Step 2. Capture Best Practices at the Local Level – Community Development Plans
• opportunities for local economic development and the role of domestic small-to-medium enterprises (SME’s) to supply goods and services to the operation;
• impacts and measures that result directly from exploration to exploitation, to post-closure / rehabilitation.
• training and education – ensuring that mineral development has large multipliers in the academic and technology community.
• land-use & planning – ensuring that the mineral development project is harmonized, both spatially and temporally, to overall land-use development planning. This includes financial support for major infrastructure development and modeling of additional resource contributions through improved infrastructure.
Community Development Plan
- Assess and assign roles and responsibilities for regional economic development, training and education, land-use and planning, public health and welfare, institutional frameworks for revenue management
November 8, 2005
World Bank Mining Policy Group

12. World Bank Mining Policy Group
Step 2. Capture Best Practices at the Local Level – Community Development Plans
• public health and welfare issues – generally encapsulating family and gender issues, the control of infectious diseases, and nutrition.
• institutional frameworks – for the management of revenue streams that accrue locally,
• financial sustainability – to define budget needs to sustain ongoing programs, sources of financial support, and transition and exit strategies of key players (company on closure).
Community Development Plan
- Assess and assign roles and responsibilities for regional economic development, training and education, land-use and planning, public health and welfare, institutional frameworks for revenue management
November 8, 2005
World Bank Mining Policy Group

13. FROM LOCAL COMMUNITIES TO OVERARCHING INSTRUMENTS
Step 3. Assess Gaps (Country Specific): Where laws and policies do not support local governance
Step 4. Update Overarching Instruments: Amend laws and policies to support benefits reaching local communities

14. World Bank Mining Policy Group
Policy Template for Assessing Overarching Instruments
Example - Mining Law
Introduction
purpose & scope of law, objectives,
ownership of resources, role of the state
Economic
security of tenure,
transparent licensing framework
sector growth
licensing framework
obligations for fees, duties, royalties,
taxation, special provisions, and stability
secondary processing of materials
informal and small-scale mining
other activities
fiscal requirements: closure funds / environmental guaranty
initial closure plan: violations, penalties, and powers of enforcement
dispute resolution and appeals
revenue sharing with communities
Major Themes
Components
November 8, 2005
World Bank Mining Policy Group

15. World Bank Mining Policy Group
risk assessment & management, health & safety, mine reclamation
Environmental Stewardship
mine reclamation
Social: Mining and Communities
community consultation
resettlement & compensation
community well-being
Sustainable Development: Community Plan
economic closure planning
environmental closure planning
social closure planning
informal & small-scale mining
Administration of Law
competent authorities
misc. provisions
November 8, 2005
World Bank Mining Policy Group

16. World Bank Mining Policy Group
Strengthening Overarching Instruments
Social: Mining & Communities
Introduction
Economic
Environmental
Other Regulations
November 8, 2005
World Bank Mining Policy Group

17. World Bank Mining Policy Group
Sustainable Development: Community Plan
November 8, 2005
World Bank Mining Policy Group

18. World Bank Mining Policy Group
Sustainable Development: Example Action / Indicators / Outcomes matrix within a Community Plan
November 8, 2005
World Bank Mining Policy Group

19. World Bank Mining Policy Group
Summary
A draft master policy framework has been developed
The challenge now is to develop indicators / outcomes that governments can use:
what types of indicators are relevant at the community level?
Are these indicators different from that which a company might use?
what types of data could be collected to support use of these indicators?
Who should collect and monitor?
what are the research priorities in terms of testing the use of local indicators?
November 8, 2005
World Bank Mining Policy Group

20. Identify Priorities, Data Collection, Management
Next Steps
Identify Priorities, Data Collection, Management
Michael Stanley