NATURAL RESOURCES: MEDIATION AND EXPERTISE
Jorge Raggi
www.geoconomica.com.br
November / 2015
ABSTRACT
We present a case study of controversies over natural resources, Condomínio Morro de Chapéu X MBR / VALE, in the metropolitan region of Belo Horizonte, State of Minas Gerais. It started in 1993 with a projection of the life of iron ore mines until 2024. In 2004 the case was re-studied in detail and sponsored by the IDB. In 2008 it was reconstituted in a UFMG monograph and we added information from 2012 and 2015. An example of expertise is a report on the use of water, the beginning of the controversies. The parties agree that mediation was the best method adopted.
Natural resources can be quantified and distributed for better use in society. The main resources for human life are air (oxygen), water, minerals and terrain (surface and underground). Mediation is one of the best methods to resolve natural resource issues. It makes it possible to identify the parties involved, elect representatives with legitimacy and in a position to negotiate the best alternatives in shorter terms than other methods. Mediation, now Law No. 13.140 of 26/06/2015, is a means of resolving disputes between private individuals and resolving conflicts within the scope of public administration. The new civil procedure code prioritizes consensual conflict resolution techniques.
KEY WORDS: Natural Resources, Mediation and Expertise, Environmental Protection, Environmental Controversies, Mining and Communities.
MEDIATION
Morro do Chapéu Condominium and MBR – Brazilian Mining Reunited
It constituted a Process of Mediation or Facilitation of Dialogues as a peaceful method of conflict resolution. This dialogue was the object of a detailed study in 2004 for the Inter-American Development Bank (IDB), prepared by Tânia Almeida, and internationally publicized as a success story – www.mediadoresenred.org.ar, in Investigative Contributions Case Minas Gerais (Brazil). The case assumes that the analysis of particular cases of Alternative Dispute Resolution constitutes a method to identify and systematize a set of good practices, aiming to apply them to other similar cases. These good practices should still make it possible for those directly involved in the situation to participate.
The Case began with a water-related dispute between the Condominium and MBR. The fieldwork, which began with interviews, showed the existence of a broad scenario and multiple questions.
The work plan used in Investigative Aportes Caso Minas Gerais (Brazil) consisted of the following steps:
- Conflict mapping and analysis – Activity: cataloging available documents and application of semi-structured interviews (need for free and directed narrative) with stakeholders and key third parties in the process.
- Identification of the instruments used – Activity: design of the dialogue process through retrospective reading, consultation of documents and triangulation (contrast of data from different sources).
- Recognition of the level of satisfaction - Activity: analysis of the degree of satisfaction, using specific questionnaires, interviews with follow up and monitoring of agreements made.
- Contribution to behavioral change – Activity: disseminating information through reports.
Home
The controversies effectively started in 1993. The Condomínio Morro do Chapéu and the mining companies MIPRISA and MBR were directly involved. There was also the participation of the Public Ministry, the State Council for Environmental Policy (COPAM) and the State Foundation for the Environment (FEAM). The conflict reached an agreement in May 1996 with the formalization of a text elaborated through dialogue. In 2004, both parties admitted that this understanding was the best alternative to the judicial route.
Scenario
The disagreement began after the decision of the mining company MBR, in 1993, to expand the exploration areas of the Tamanduá Mine and the Capitão do Mato Mine, both located near the Morro do Chapéu Condominium.
Na Figure 1 The current limits of the Tamanduá Mine, the Capitão do Mato Mine, the Condomínio and the golf course (owned by the Condomínio) are illustrated with their respective areas, in the metropolitan region of Belo Horizonte, MG.
Figure 1: Current map of the case study region (areas in hectares 1ha = 10.000m²)
SOURCE: Google Earth (2015)
The Morro do Chapéu community feared that the environmental impacts caused by mining activities could devalue the region. The Condominium lodged a complaint with FEAM and COPAM for noise, detonations and lack of water during the dry season – from June to August.
Map
Na Figure 1 The map of the controversy is sketched, from the beginning in 1993 to an agreement in May 1996.
Figure 2: Scheme of controversies
SOURCE: Tania Almeida BID (2004) – modified
The 1996 Agreement
It was observed in 2004 that almost ten years after the agreement was signed, the dialogue between the parties was still operative. Similar cases can take years to resolve in court. Litigation is the most stressful scenario for those involved and even more unfavorable for the resolution of environmental issues, as these need quick solutions.
The dialogue between the parties resulted in the mining company's responsibilities for the mitigation of its impacts. MBR is committed to developing specific projects regarding visual, sound and water impact, controlling dust, protecting heritage, rescuing degraded areas, monitoring its projects and allocating the recovered area to the golf course. These and other commitments were formalized with the signing of the agreement between MBR and the Morro do Chapéu Condominium on May 30, 1996. The term for the execution of the actions would be until 1999.
The agreement received the title of Commitment to Environmental Rehabilitation, Construction, Property Compensation and Other Adjustments – MBR and Morro do Chapéu Neighborhood Community – May 1996. The main sections covered were:
- General Provisions
- Environmental Impacts
- of visual impacts
- impacts on the quality and quantity of water
- from impacts caused by dust
- of the impacts caused by detonations
- of the sound impacts caused by noise levels
- of slopes and landslides
- Procedures to be Observed in Mine and Transport Operations
- Physical and Property Security
- Definitive Suspension of Mineral Extraction and Exploration Activities of EXTRATIVA and MIPRISA Companies in the Region
- Equity Offsets
- recovery of degraded areas
- transfer of landed areas
- transfer from other areas to Morro do Chapéu
- construction of a new access road to the property
- construction of guardhouses in the gatehouse
- relocation of the highway to the company Integral Mineração
- planting of vegetation on the properties
- security works
- artesian wells
- drinking water distribution network
- sewage network and wastewater treatment plants.
- exchange of the concierge
- school building
Specifically on water, it was agreed that MBR would be responsible for supplying water to Morro do Chapéu, with regard to the construction and operation of wells. The company also undertook to offer water from the lowering of the water level around the mines for irrigation of the golf course.
after the agreement
The study pointed out that the agreement generated positive results. After its celebration, it was possible to observe some points:
- The process of dialogue between the mining enterprise and the community without the direct intervention of environmental and legal bodies;
- The parties involved developed their goals and interests;
- Formal support to the process of creation of the Environmental Protection Area of the Southern Region of Belo Horizonte;
- Valuation of condominium land.
As the pit plan for the Tamanduá and Capitão do Mato mines still extends until mid-2024, it is necessary that the coexistence between the residents of Morro do Chapéu and the mining companies be sustainable and mutually acceptable. Mining, an activity of great importance to the world today, produces wealth and foreign exchange through exports. There is a historical memory since Colonial Brazil that keeps in memory the target of exploitation of mineral resources, theft and usurpation. The study portrayed Mediation as a healthy and productive strategy and pointed out that for mining activities in the coming years it is essential that the dialogue between the parties remains fertile.
The Year 2008
In 2008, ATENIENSE (2008) listed some points that deserve consideration:
- Existence of complaints of noise and dust impact;
- Incomplete introduction of plant barriers;
- MBR bought 10 lots from residents that bordered the Tamanduá Mine;
- Monitoring of the quality of the water supplied is carried out by the Environmental Defense Commission;
- Replacement of the sewage network for septic tanks with anaerobic filter and sink;
- Where it was not possible for wastewater to infiltrate through the soil, a network was built that directs the sewage to the infiltration ditches of the Capitão do Mato Mine.
The dialogue held since 1993 has contributed to the advancement of environmental policy in the State of Minas Gerais. The legislation of the time was precarious to aid negotiations and dialogues. However, the multiplication of environmental legislation can be observed after the agreement in 1996 with the creation of several Federal Laws and Decrees, State Laws, CONAMA Resolutions and ABNT Norms.
The Year 2012
In 2012, the Association of Horizontal Condominiums (ACH), representing the Morro do Chapéu Condominium, the Pasárgada Owners Association, the Lagoa do Miguelão Condominium, the Jardim Monte Verde Condominium, the Vale do Sol Residents Association and the Community Association of São Sebastião das Águas Claras, all around the Tamanduá and Capitão do Mato mines, sent a document to the Public Ministry of the State of Minas Gerais. The Associations and Condominiums involved sought to better understand the implications of the Vargem Grande Complex Expansion Project, which encompasses the Tamanduá and Capitão do Mato mines, owned by Vale/MBR. And so they were holding meetings and holding conversations with the company.
According to this document, at a meeting held in June 2012, Vale's representative requested that the demands understood by ACH that were the responsibility of the company be formally presented, as compensation for the inconvenience and impacts caused to these communities. ACH explained in the document that the operations in the mines caused several adversities to the residents of the region and to the environment. It also claimed that conditions formerly part of the licensing project were not being met.
Thus, in the pursuit of maintaining good relations between the communities and the mining company, aiming to minimize problems caused to the environment and to the local population, the Associations and Condominiums presented the required demands divided into three groups:
A – Necessary actions to mitigate interferences and possible problems of reducing the quality of life and the environment, as a result of the Vargem Grande Complex expansion project;
B – Measures that will compensate for the problems, in the sense of rebalancing the socio-environmental environment as a result of the direct and indirect interference of mining activity in the region;
C – Actions arising from previous liabilities and/or unmet demands, despite the company's liabilities in communities and in the natural environment.
The text also declared the right of any Associate or Condominium to present its individual demand.
The Year 2015
The authors of this work carried out an inspection on July 25, 2015 at the Condomínio and Mina do Tamanduá. Morro do Chapéu is made up of 450 tenants.
Figures 4 and 5 show the Tamanduá Mine currently.
Figure 3: Boundary of the Capitão do Mato Mine with the golf course
SOURCE: Geoeconomics
Figure 4: Tamanduá Mine today – pit, sterile pile and tailings dam
SOURCE: Geoeconomics
Figure 5: Current status of the Tamanduá Mine pit
SOURCE: Geoeconomics
Noise was observed from equipment at boundary points. Residents and hired employees revealed that there is no complaint of lack of water in the Condominium for human consumption. An official stated that, at the present time, the golf course's irrigation needs are around 700m³/day.
Na Figure 6 An area donated by MBR to the Condominium for the expansion of the golf course is illustrated. The golf course has expanded from 9 to 18 holes.
Figure 6: Enlargement of the golf course
SOURCE: Geoeconomics
Timeline
A Figure 7 represents the panoramic and chronological picture of the controversies under analysis. The table was divided into two parts: (a) period from 1993 to 2004 – Source: IDB and (b) period from 2008 to 2015 – Source: several analyzed references.
Figure 7: (a) History of controversies - 1993 to 2004
SOURCE: IDB (2004) – modified
Figure 8: (b) History of controversies - 2008 to 2015
FORENSIC REPORT
Scenario
In 1994, the Condomínio claimed that the lack of water in the condominium during periods of drought was the responsibility of MIPRISA. This company had a mine next to the golf course, that is, between the Condomínio and MBR. MIPRISA had a well at a lower topographic level than the wells that supply the Condominium and with a high flow rate (above 100m³/h). In response to the neighbors' claim, MIPRISA hired an expert report to investigate the matter.
Field survey
The survey carried out in 1994 consisted of carrying out geological and hydrogeological studies. The geological map showed that the area in question, Condomínio Morro do Chapéu and the two mines, is located on the Itabirito Cauê geological formation. The analysis of the geological cut indicated an aquifer of great extension, both in area and in depth.
The area was delimited and six wells were found:
- Three wells belonging to the Morro do Chapéu Condominium with a depth of 90 to 120m and a diameter of 6”;
- 1 well, object of the question, drilled by MIPRISA with a depth of 120m and a diameter of 8”;
- Two deep wells of MBR inside the Tamanduá Mine.
The topographic section with the location of the wells was illustrated in Figure 9. It is observed that the Static Level (NE) of all wells was measured. It was found that the wells at the highest level, owned by the community, are not influenced by the wells at the lower level.
Flow and pumping tests were contracted. In the flow study it is necessary to consider two stages:
- Static level – When it is at rest, that is, when there is no pumping for 12 or 24 hours;
- Dynamic Level – When there is pumping.
Figure 9: Topographic Section Section with the location of the wells found
Vertical axis: altitudes (meters) in relation to sea level.
Horizontal axis: distance (meters) in the section
SOURCE: Geoeconomics
It is possible to notice, with the analysis of the Figure 10, that in the absence of pumping there is a water level (a). However, when inducing the exit of water, the Dynamic Level (DN) is characterized by the lowering of the water level, forming a depression cone. (B).
Figure 10: (a) – Static Level: at rest; (b) – Dynamic Level: with pumping
SOURCE: Author's Technical Collection
Then, pumping tests were performed to measure the ND of the wells object of study. The pumping was carried out in the well opened by MIPRISA. The water level was measured in the control wells, that is, the three wells that supply the Morro do Chapéu Condominium. It was found that during the test, the water level did not change in the control wells. Thus, the perception that in this case, the highest quota wells do not suffer interference from the mining company's well was attested. It should be noted that the test was carried out in the presence of representatives of both parties involved.
It was then concluded that the lack of water was not the responsibility of MIPRISA.
In possession of this conclusion, a study carried out in March 1990 was resumed, which characterized the wells owned by the Condominium. The purpose of this data collection was to determine whether the existing set of wells and equipment was capable of supplying the entire community of Morro do Chapéu, estimated at the time at 1750 inhabitants. The main characteristics collected are contained in the Tabela 1.
Table 1: Characterization of the Morro do Chapéu wells
| ASPECT | WELL 1 | WELL 2 | WELL 3 |
| Nominal flow (in 24h test) | 18,8m³ / h | 20,3m³ / h | 19,8m³ / h |
| Static Level | 48,95m | 49,65m | 50,34m |
| Dynamic Level | 50,56m | 56,35m | 55,16m |
| Pump installation depth | 66m | 75m | 72m |
| well depth | 95m | 120m | 120m |
The volume of water supplied by the three wells was more than enough to supply the entire community:
This consumption is above that provided for by the Standards for Water Installations of the Brazilian Association of Technical Standards, which considered, to satisfy the needs of homes at the time, an average consumption per capita of 150l/inhabitant x day.
Cause
The occurrence of leaks in the pipes and the absence of water meters were investigated. Water consumption for garden irrigation and for the golf course was significant.
Suggestion
It was proposed to place water meters at strategic points in the distribution network.
CONCLUSIONS
The target of this investigation is characteristic of environmental and social issues that involve mining companies and communities, each party with its specific interests. However, the case differs in the way in which the established controversy was conducted. It proved that the establishment of a Dialogue Facilitation Process was an effective method in the search for an agreement that calms the situation and preserves the understandings.
The Condomínio and MBR agree, according to testimonies from 2004, that the judicial resolution would not contemplate the interests of all those involved and would place the direct actors as adversaries, making future dialogues complex and neighborhood relations unstable. In addition to avoiding aspects inherent to legal proceedings, such as wear and tear, financial costs and long time required.
The Mediation that took place between Condomínio Morro do Chapéu and MBR shows in an innovative way how to manage the negotiation between the parties, build a new plot for this typical case of environmental confrontation, establish a new context for the complainant and complainant relationship, and delimit the space of participation of each actor. Mediation portrayed that the performance of an impartial third actor, requested by the protagonists, enables the construction of a process of reciprocal collaboration that allows accelerating the achievement of a satisfactory agreement for both. It is a way to facilitate agreements, avoid impasses and maintain a cooperative posture. With productive dialogue, it is possible to achieve mutual interests. Thus, it is feasible to point the case studied to other similar situations.
BIBLIOGRAPHY
[1] ALMEIDA, Tania. Inter-American Development Bank – IDB. Alternative Dispute Resolution Methods: Investigative Contributions Minas Gerais Case (Brazil)🇧🇷 Buenos Aires, 2004. mediadoresenred.org.ar
[2] Association of Horizontal Condominiums – ACH. Survey and claims of Communities with the Public Ministry: Expansion of the Vargem Grande Complex. Vale do Sol, Nova Lima-MG: 02 Oct. 2012. Available in . Accessed on: 3 Aug. 03.
[3] ATHENIENSE, H. Environmental Conflicts of Mining in Urban Area: Morro do Chapéu – Nova Lima/MG. 2008. 262p. Monograph presented to the Postgraduate Program in Sanitation, Environment and Water Resources at UFMG to obtain the title of Specialist in Environmental Technology.
[4] BRAGA, B et al. Introduction to Environmental Engineering. São Paulo: Practice Hall, 2002. 305p.
[5] Civil House. Law No. 13.140, 26, June 2015. Provides for mediation between individuals as a means of resolving disputes and on the self-composition of conflicts within the scope of public administration. Available in . Accessed on: 03 Jul. 2015.
[6] COELHO, J M. Mining and Environment in Brazil. Brasília-DF: CGEE – Center for Management and Strategic Studies; 2002 Oct. UNDP – Contract 2002/001604. Available in: . Accessed on: 011 Jul. 02.
[7] National Council of Mediation and Arbitration Institutions – CONIMA. Code of Ethics for Mediators. CONIMA, São Paulo-SP; 20-?. Available in:
< http://www.conima.org.br/codigo_etica_med> Accessed on: 23 July. 2015
[8] National Council of Mediation and Arbitration Institutions – CONIMA. Model Regulation Mediation. CONIMA, São Paulo-SP; 20-?. Available in: Accessed on: 23 Jul. 2015.
[9] GEOCONÔMICA MINAS LTDA, geoconomica.com.br (technical collection)
[10] RAGGI, Jorge P., MORAES, Angelina ML Environmental Expertise Dispute Resolution and Case Studies. QualityMark RJ 2007.
[11] ROHDE, Geraldo Mario. Environmental Epistemology. Porto Alegre, EDIPUCRS, 1996.
Jorge Pereira Raggi
Jorge Raggi is director of Geoconomic Minas. A geological engineer, he was professor of production engineering at UFOP and UFMG. Operator course on the SP Stock Exchange. He represented Brazil at the Environmental Protection Seminar, Ukraine, 1991, invited by the UN. He has several publications in the field of production and environmental engineering. Author of the books “Environmental Expertise: Controversy Solutions and Case Studies”, by Qualitymark, RJ. “Talent & Opportunities”, by E-Papers, RJ. “Mining Project Management – Investment Risks” (digital on website www.geoconomica.com.br). Councilor of the Minas Gerais Society of Engineers.
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