This blog post has been updated.
This month, Rainforest Action Network and three allies testified at Bank of America's annual shareholder meeting, urging them to drop coal, to stop profiting from environmental destruction and human rights abuses. We're posting the statements of our three allies. Add your voice by telling Bank of America to stop funding coal—and come clean on climate change.
My name is Santiago Piñeros. I was born in Bogotá, Colombia, and I work with Pensamiento y Acción Social (Thought and Social Action), an NGO that assists communities affected by large-scale mining in the center of the Cesar region in Colombia. I have had the opportunity to see how Drummond LTD operates in these areas, a multinational company in which Bank of America invests millions of dollars to develop its extractive coal and gas business.
Three towns located in the middle of the Cesar region—El Hatillo, community we assist, Plan Bonito, and Boquerón, communities we follow up—have to be resettled by Drummond, Glencore-Xstrata and a Goldman Sachs mining company. These resettlements were ordered by the Colombian government, due to the high levels of air pollution and dust from the coal mines. These communities should have been relocated two years ago because of the dangers that coal ash poses to people's health, including respiratory diseases, such as lung cancer, skin and ocular diseases. Thus, Drummond is currently co responsible for three involuntary resettlement processes due to air pollution in El Cesar Region.1 These communities must be resettled quickly, and Drummond's investors, including Bank of America, need to make sure this happens.
Drummond directly contaminates groundwater and rivers where these communities make their livelihoods.2 Activities such as fishing, hunting, territorial and cultural relations with the environment have deteriorated and are often no longer possible due to the contamination. For communities that rely on fishing and hunting for survival, the destruction of the environment means the destruction of the community.3 For these facts, the environmental damages in this region become a violation of the human rights of these communities and so creates an obligation for its investors—you—to commit to recognize the value of the human rights of these poor rural communities, communities that are threatened with simply disappearing. Bank of America has an obligation to protect these communities.
Bank of America invests today in a company that does not respect environmental standards. According to the environmental authorities Drummond recently spilled around 1,800 tons of coal into the Caribbean Sea off the coast of Colombia. This disaster happened because Drummond chose not to implement required changes to the system of directly loading coal at port, which would have prevented these accidents.4 Pollution levels at Drummond coal mines exceed the levels permitted by law in Colombia, and they are steadily increasing.5 The pollution is affecting human health. Still, Drummond only responds to sanctions if they impact the company's ability to export coal.
Bank of America finances Drummond's coal operation and so is co responsible for Drummond, a company that operates with no due diligence regarding human, economic and cultural rights. According to the most recent study of the Contraloría General, Drummond's operations, and thus Bank of America's investments, do not guarantee a healthy life and environment, these operations only make a profit from our natural resources.6 Who holds the accounts where these profits are stashed? Bank of America.
Are these environmental and human rights abuses something you recognize? What responsibility do you have for these events? Your money is being used to fund mining operations that do not represent social, environmental and economic benefits for the communities living in the surroundings of the mines. In fact, the levels of unsatisfied basic necessities in these communities increase as sanctions and fines while the resettlements do not seem to advance.
1. Resolution No. 9070 of 2010 and Resolution No. 1525 of 2010 from the Colombian Ministry of Environment, Housing and Development (MAVDT).
2. Contraloría General de la Nación. Minería en Colombia I: Derechos, políticas públicas y gobernanza. // Minería en Colombia II: Institucionalidad y territorio, paradojas y conflictos. 2013.
3. Resolution No. 54 of 2008 from the Defensoría del Pueblo de Colombia.
4. Resolution No. 0123 of 2013 and Resolution No. 001 of 2014 from the National Authority of Environmental Licenses (ANLA).
5. Resolution No. 9070 of 2010 and Resolution No. 1525 of 2010 from the Colombian Ministry of Environment, Housing and Development (MAVDT).
6. Contraloría General de la Nación. Minería en Colombia I: Derechos, políticas públicas y gobernanza. // Minería en Colombia II: Institucionalidad y territorio, paradojas y conflictos. 2013.
But one key coal export investor apparently hasn’t yet received the memo. Ross Bhappu, a partner at a Denver-based private equity firm called Resource Capital Funds, has been the main source of money for Ambre Energy, the shaky Australian company behind two of the three remaining coal export proposals in Oregon and Washington, the Millennium Bulk Terminal and Morrow Pacific Project proposals on the Columbia River. That’s why ten community and environmental groups wrote a letter to Ross Bhappu last month, calling on him and his firm to drop its investment in Ambre Energy and its controversial and risky coal export proposals.That’s also why we’ve launched a new website, www.RossBhappu.com. The website details how Ross Bhappu has used a $110 million bet on Ambre Energy—along with the company’s difficulties attracting other outside investment—to take more control of the company at the expense of other shareholders. We want to make sure that elected officials, investors, and communities that would be impacted by coal export projects know who is bankrolling these proposals. So check out the new website, read the details about Ross Bhappu’s bet on coal exports, and help us share the information. We’ll update the site with the latest news, so if you have a tip, let us know.