What Would a Ban on Coal Mining Mean for Colombia?

Energy and Mining attorneys José Zapata and Milton Montoya were featured in a Q&A with the Inter-American Dialogue's Energy Advisor about the Colombian government's proposed bill to ban all new coal mining contracts and future exploration. Mr. Zapata and Mr. Montoya highlighted that the bill aligns with the government's plan to change the Colombian mining model in favor of a public-state mining industry where thermal coal mining would be prohibited. They emphasized that the proposal generates legal uncertainty, exposes consolidated mining companies to legal risks and could significantly affect the economy of regions where mining activity represents a substantial portion of the gross domestic product (GDP). Lastly, they noted that if the bill passes, Colombia could potentially face international lawsuits related to current mining projects.

"Legal initiatives like this discourage the growth of the mining industry and new investments, privileges artisanal and informal mining and, again, will ban the coal thermal industry," they said.

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